BUS 51 - Mosley7e ch05


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Cengage Professor, Karen Gordon-Brown, Peralta Community College District @ Merritt College, Oakland, CA

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  • BUS 51 - Mosley7e ch05

    1. 1. Part 2 Planning and Organizing Chapter 5 Delegating Authority and Empowering Employees Mosley • Pietri PowerPoint Presentation by Charlie Cook The University of West Alabama © 2007 Thomson/South-Western All rights reserved.
    2. 2. Learning Objectives Learning Objectives After reading and studying this chapter, you should be able to: 1. Recognize the importance of delegation. 2. Explain what is involved in the delegation process, including authority, responsibility, and accountability. 3. Understand the role of authority. 4. Understand the role of power and why it is a great motivator. 5. Indicate ways to increase empowerment. 6. Recognize the benefits of delegation. © 2007 Thomson/SouthWestern. All rights reserved. 5–2
    3. 3. Learning Objectives (cont’d) Learning Objectives (cont’d) After reading and studying this chapter, you should be able to: 7. Understand why leaders fail to delegate and why employees may not welcome delegation. 8. How to face adaptive changes. 9. Indicate ways to achieve effective delegation and discuss the roles of various parties in achieving effective delegation. © 2007 Thomson/SouthWestern. All rights reserved. 5–3
    4. 4. The Role of Delegation • Key Aspects of Delegation  Granting authority—the power or right to act in a specified manner in order to reach organizational objectives.  Assigning duties and responsibilities—specifying key tasks associated with a particular job.  Requiring accountability—the obligation that is created when an employee accepts the leader’s delegation of authority. © 2007 Thomson/SouthWestern. All rights reserved. 5–4
    5. 5. The Role of Authority • Authority  The right granted by the organization to do something or to tell someone else to do it, in order to reach organizational objectives. • Views on the Sources of Authority  Formal Authority View  A manager’s authority is conferred; authority exists because it was granted by the organization.  Acceptance of Authority View  A manager’s authority originates only when it has been accepted by the group or individual over whom it is being exercised. © 2007 Thomson/SouthWestern. All rights reserved. 5–5
    6. 6. The Role of Power • Power  The ability to influence individuals, groups, events, and decisions and is closely related to leadership. • Types of Power  Reward power  Coercive power  Legitimate power  Control-of-information power  Referent power  Expert power © 2007 Thomson/SouthWestern. All rights reserved. 5–6
    7. 7. EXHIBIT 5.1 Authority-Power Combinations © 2007 Thomson/SouthWestern. All rights reserved. 5–7
    8. 8. The Role of Empowerment • Empowerment  Is the granting of authority to employees to make key decisions within their enlarged areas of responsibility.  Embraces the idea that individuals closest to the work and to customers should make the decisions. © 2007 Thomson/SouthWestern. All rights reserved. 5–8
    9. 9. EXHIBIT 5.2 Action Plan of James McKenney, Vice President of Lending I. Statement of my objective To greatly improve my efficiency and effectiveness in carrying out the delegation process with the leading officers reporting to me. II. Analysis of the problem or objective A. At the banking school when we discussed the 16 problem styles (Myers-Briggs profiles and analysis), I discovered that the characteristics of my type can lead to being a very effective leader if a few potential blind spots can be overcome. It seems that those who are sensing/thinking types (as I am) are so conscientious that our attitude is “If you want it done right, do it yourself.” This statement definitely applies to me. B. When I was recently promoted to this position, the president of the bank gave me a number of positive reasons for my promotion. He also cautioned me that with my increased responsibilities, I could expect to get involved in activities as previously, but he wanted me to focus on developing the skills and knowledge of our loan officers and improve bottom line results. C. I realize that most of my life I earned good grades in high school and college because of individual effort. This carried over to my work habits as a loan officer, but I now realize that to be a successful supervisor, I need to develop my team and make use of coaching and empowerment. III. Development of alternative solutions A. Start having biweekly meetings for one hour after banking hours. 1. At our first meeting we will jointly develop objectives that enhance and reinforce the bank’s financial goal. 2. At our subsequent meetings we will review our progress and discuss any problem loans. A. Set up a participative individual management-by-objectives program. This plan will allow individual bank officers to set performance objectives that support our lending division’s objectives. During this process I will play the role of coach and mentor, and after the initial meeting, set up performance review sessions with each officer every six months or as needed. B. Once every six months at our biweekly meeting we will conduct a brainstorming session to identify our strengths and any problems, issues, or missed opportunities we need to address. C. I will explore educational opportunities available for our officers including scheduling several officers for our state banking school or the Banking School of the South. IV. Final action plan I have begun implementing all of the alternative ideas (A, B, C, and D in Section III). Prior to sending this to you, I met and discussed the ideas with our president and CEO. He was most enthusiastic and supportive and is presenting the concept to our executive committee for possible implementation in all divisions of our bank. © 2007 Thomson/SouthWestern. All rights reserved. Source: This example is based on the experiences of Don Mosley, Sr., when he served as coordinator and instructor for the management and leadership segment of the Banking School of the South at Louisiana State University. The name is fictional to ensure no embarrassment to the actual banker. 5–9
    10. 10. Why Leaders Fail to Delegate • Do not want to surrender power and authority to subordinates. • Lack of trust in subordinates. • Fear employees will make mistakes for which they will be held accountable. • Are insecure and are afraid that employees will do well and be promoted ahead of them. • Recognize that subordinates need more training, coaching, and experience. © 2007 Thomson/SouthWestern. All rights reserved. 5–10
    11. 11. It Is Time to Delegate When You: • Are doing work that an employee could do just as well. • Begin thinking you are the only one who actually knows how the job should be done. • Leave the job each day loaded down with details to take care of at home. • Stay frequently after hours catching up on work. • Never get through with your work. • Realize you are a perfectionist. • Tell employees how to solve problems. © 2007 Thomson/SouthWestern. All rights reserved. 5–11
    12. 12. Why Employees May Not Welcome Delegation • They do not want to assume ambiguous or unclear duties and responsibilities. • They are afraid of failure. • They want to avoid increased job stress. © 2007 Thomson/SouthWestern. All rights reserved. 5–12
    13. 13. EXHIBIT 5.3 The Experiential Learning Model Experience = Do The individual or team does something that results in success or a mistake. Identify = Look The individual or team, perhaps with the assistance of a coach or facilitator, identifies what happened. Analyze = Think Together they analyze what factors were involved in causing the success or failure. Generalize = Grow A conclusion is drawn and an attempt to discover principles that will help in future situations. © 2007 Thomson/SouthWestern. All rights reserved. 5–13
    14. 14. Achieving Effective Delegation and Empowerment Coaching and Mentoring Coaching and Mentoring Reframing and Training Reframing and Training Delegation and Delegation and Empowerment Empowerment Individual Introspection Individual Introspection and Development and Development © 2007 Thomson/SouthWestern. All rights reserved. 5–14
    15. 15. Benefits of Delegation Employee Employee Development Development Enhanced Enhanced Power Power Benefits of Benefits of Delegation Delegation Improved Improved Control Control Improved Time Improved Time Management Management © 2007 Thomson/SouthWestern. All rights reserved. 5–15
    16. 16. Seven Habits of Unsuccessful Executives 1. They see themselves and companies as dominating their environment. 2. They identify so completely with the company that there is no clear boundary between their personal interests and the corporation’s interests. 3. They think they have all the answers. 4. They ruthlessly eliminate anyone who isn’t 100 percent behind them. 5. They are consummate spokespersons obsessed with the company image. 6. They underestimate obstacles. 7. They stubbornly rely on what worked for them in the past. © 2007 Thomson/SouthWestern. All rights reserved. 5–16
    17. 17. Important Terms Important Terms • • • • • • • • • • accountability authority coaching delegation of authority empowerment experiential learning job descriptions parity principle Peter principle power reframing © 2007 Thomson/SouthWestern. All rights reserved. 5–17
    18. 18. Case 5-2 The Autocratic Manager © 2007 Thomson/SouthWestern. All rights reserved. 5–18