Principles of Management
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Principles of Management






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    Principles of Management Principles of Management Presentation Transcript

    • Authority, Delegation Motivation
    • Responsibility The duty to perform the task or activity an employer has been assigned
    • Accountability
      • The fact that the people with authority and responsibility are subject to reporting and justifying task to those above in the chain of command
    • Chain of command
      • The flow of authority from the top to the bottom of an organization
      • Power
      • The capacity to influence decisions (or to influence the behavior of others)
      • Authority
      • The formal and legitimate right of a manager to make decision, issue orders, and allocate resources to achieve desired outcomes
      • Line Authority
      • Authority that entitles a manager to direct the work of a subordinate
      • Staff Authority
      • Authority given to individuals who support, assist and advise others who have line authority
      • Kinds of Power
      • Legitimate
      • Expert
      • Reward
      • Referent
      • Coercive
      • Delegated
    • Legitimate Power
      • The power a person has as a result of his or her position in a formal organization.
    • Expert Power
      • Influence that results from expertise, special skill or knowledge.
    • Reward Power
      • Power that produces positive benefits or rewards
    • Referent Power
      • Power that arises from identification with a person who has desirable resources or personal traits.
    • Coercive Power
      • Power that rests on the application, or the threat of application of physical sanctions
      Physical sanctions
      • Infliction of pain
      • Arousal of frustration through restriction of movement
      • Controlling basic physiological or safety needs.
    • Delegated Power
      • Power that is exercised on behalf of a person actually holding power
      • Functional Authority
      • Authority delegated to an individual or a department to control specified task (s)
      • Centralization
      • The concentration of decision-making authority in upper management
      • Decentralization
      • The handing down of decision-making authority to lower levels in an organization
      • It in a fundamental aspect of delegation
      • Delegation
      • The process managers use to transfer authority and responsibility to positions below them in hierarchy
      • Process of Delegation
      • Determining results expected from person
      • Assigning tasks
      • Giving authority for accomplishing these tasks
      • Holding the person responsible for accomplishment of tasks
      • Factors effecting degree of delegation
      • Costliness of decision
      • Desire of uniformity of policy
      • Size & character of organization
      • History & culture of organization
      • Management philosophy
      • Desire of independence
      • Availability of managers
      • Control techniques
      • The pace of change
      • Decentralization Advantages
      • Relieves top management of some burden of decision making and forces upper-level managers to let go.
      • Encourages decision making and assumption of authority and responsibility.
      • Gives managers more freedom and independence in decision making.
      • Promotes establishment and use of broad control which may increase motivation.
      • Makes comparison of performance of different organization units possible.
      • Facilitates setting up of profit centers.
      • Facilitates product diversification.
      • Promotes development of general managers.
      • Aids in adaptation to fast-changing environment
      • Disadvantage
      • Makes it more difficult to have a uniform policy.
      • Increases complexity of coordination of decentralized organization units.
      • May result in loss of some control by upper-level managers.
      • May be limited by inadequate control techniques.
      • May be constrained by inadequate planning and control systems.
      • Can be limited by the availability of qualified managers.
      • Involves considerable expenses for training managers.
      • May be limited by external forces (national labor unions, government controls, tax policies).
      • May not be favored by economies of scale of some operation .
      • STAFF
      • BENIFITS
      • Expert advice
      • Think –tank
      • Unbiased approach /view
      • lack of responsibility
      • Distant approach /view
      • Exercise of under authority
      • Unrelated staff work
      • Understanding authority relationship
      • Listening to staff
      • Keeping staff informed
      • Making staff work responsibly
      • Require complete staff work
    • Culture
      • Culture is the general pattern of behavior, shared beliefs, values, and norms among members of a society.
      • It pertains to the values and beliefs shared by employees of an org. and the general pattern or their behavior.
      • A system of shared vision and understanding within an organization that determines how employees act
      • A set of key values , beliefs , understanding and norms that members of an organization share
    • Manifestation of Org. Culture
      • Formal rules and procedures
      • Formal code of behavior
      • Rituals, Traditions, customs
      • Jargon, jokes
      • Formal dress code
      • Pay & benefit systems
    • Creating Org. Culture
      • Birth of a new enterprise
      • Creation of a core management group
      • Sharing of common vision amongst the CMG
      • CMG begins to act in concert and develop dominant values, philosophy norms and org. climate etc.
    • Maintenance of Org. Culture
      • Steps of Socializations
      • Selection of entry – level personnel
      • Placement on the job
      • Job mastery
      • Measuring and rewarding performance
      • Adherence to important values
      • Recognition and promotion
    • Changing or Org. Culture
      • Requirement
      • External environment has drastically changed
      • Merger
      • Internal environment changes
    • Guidelines for changes
      • Assess the current culture.
      • Set realistic goals that impact and bottom line.
      • Recruit outside personnel with appropriate industry experience.
      • Make changes from the top down.
      • Include employees in change process.
      • Removal all old cultural reminders.
      • Anticipate problems and take care of them.
      • Move quickly to bring changes.
      • Be persuasive and persistent.
      • The willing-ness to exert high levels of efforts to reach objective ( as well as goals ) conditioned by the efforts ability to satisfy some individual need
      • “ the arousal direction and persistence of behavior”
      • “ the entire range of drivers that satisfy desires, need and wishes”
      • NEED
      • The internal state that makes certain outcomes appear attractive
      • DRIVERS
      • All those actions that force a person to make an effort to satisfy individual needs
      Self Actualization Esteem Social
      • Physiological Needs
      • Food , drink , shelter ,clothing sexual satisfaction, and other physical requirement
      • Safety Needs
      • Security and protection from physical and emotional harm, as well as assurance that physiological needs will continue to be met
      • Social Needs
      • Affection ,relationship, belongingness, acceptance and friendship
      • Esteem Needs
      • Internal factors such as self –respect, autonomy and achievement ; and external factors such as status , recognition and attention
      • Self Actualization
      • A persons drive to become what he
      • (or she ) is capable of becoming
      • Theory X
      • The assumption that employees dislike work, are lazy, seek to avoid responsibility and must be coerced to perform
      • Theory Y
      • The assumption that employees are creative, seek responsibility and can exercise self –direction
      • Theory X and Theory Y Assumptions
      • THEORY X
      • Employees inherently dislike work and will attempt to avoid it whenever possible .
      • Employees must be coerced, controlled, or threatened with punishment to achieve desired goals
      • Employees will shirk responsibilities and seek formal direction whenever possible
      • Most of workers place security above all other factors associated with work and will display little ambition
      • Theory Y
      • Employee view work as being as natural as rest or play
      • Employees will exercises self – direction and self-control if they are committed to the objectives
      • The average person can learn to accept and even seek , responsibility.
      • The ability to make good decision is widely dispersed through the population and isn’t necessarily the sole ability of managers
    • Motivation-Hygiene Theory The Theory that intrinsic factors are related to job satisfaction, while extrinsic factors are associated with dissatisfaction .
      • Motivators
      • Factors that increase job satisfaction.
      • Hygiene Factors
      • Factors that eliminate satisfaction.
      • Motivators Hygiene Factors
      • Achievement Supervision
      • Recognition Company policies
      • Work itself Relationship with supervisor
      • Responsibility Working conditions
      • Advancement Salary
      • Growth Relationship with peers
      • Relationship with subordinates Status
      • Security
      • Modern Theories of Motivation
      • Expectancy theory
      • People will be motivated to do things to reach a goal if they believe in the worth of that goal
      • Equity theory
      • It refers to an individuals’ judgment about the fairness of the reward he (or she) will get relative to input (i e effort, experience , education)
      • Reinforcement theory
      • Individuals can be motivated by proper design of the work environment and praise for their performance (and that punishment for poor performance produces negative results)
      • Behavior is a function of its consequence
      • Three –Needs theory
      • The needs for achievement, power and affiliation are major motivation for work
      • Goal – Setting theory
      • Specific goals increase motivation and performance and difficult goals result in higher motivation and higher performance than easy goals
      • Motivational Techniques
      • Money
      • Recognition
      • Quality of working life (QWL)
      • Job enrichment