Srba Markovic - Organisation and Company Development

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Organisation and Company Development

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Srba Markovic - Organisation and Company Development

  1. 1. Welcome Module Organisation and Company Development Trainer: Srboljub Markovic
  2. 2. Relation to other modules <ul><li>Public appearance skills </li></ul><ul><li>Management skills </li></ul><ul><li>Organization and Company Development </li></ul><ul><li>Local Business Opportunities </li></ul><ul><li>Business Communication </li></ul><ul><li>Business Plan Writing </li></ul><ul><li>Financial management and accounting </li></ul><ul><li>Public appearance skills </li></ul>
  3. 3. Program first day <ul><li>Introduction BSC Kragujevac </li></ul><ul><li>Introduction participants </li></ul><ul><li>Training agreement </li></ul><ul><li>Program of the week </li></ul><ul><li>Introduction topic of the day </li></ul>
  4. 4. Training agreement <ul><li>Confidentiality </li></ul><ul><li>Attend whole week (5 – 9 May) </li></ul><ul><li>Start and end ‘on time’: 09.00 – 13.00 hours </li></ul><ul><li>Short comfort breaks 10 minutes </li></ul><ul><li>Switch off mobile phones </li></ul><ul><li>Only one person talks at one moment </li></ul><ul><li>Every participant gives at least 1 presentation </li></ul><ul><li>Individual counseling after 13.00 hours </li></ul>
  5. 5. Introduction of participants <ul><li>Name, education, experience </li></ul><ul><li>Expectation of the training/module </li></ul><ul><li>Elevator pitch on Business idea </li></ul><ul><ul><li>More information in next slide </li></ul></ul><ul><li>Take 5 minutes to prepare </li></ul><ul><li>Total time to present: 1 minute! </li></ul>
  6. 6. Elevator Pitch (60 seconds) <ul><li>Catch attention </li></ul><ul><li>Pitch </li></ul><ul><ul><li>What is your product or service? </li></ul></ul><ul><ul><li>Who is your market? </li></ul></ul><ul><ul><li>How will you make money? </li></ul></ul><ul><ul><li>Who is behind company? </li></ul></ul><ul><ul><li>Competition? </li></ul></ul><ul><ul><li>Competitive advantage? </li></ul></ul><ul><li>Show your passion </li></ul><ul><li>End with request </li></ul>
  7. 7. Program of the week <ul><li>Monday – Entrepreneurship and motivation, Organisation </li></ul><ul><li>Tuesday – Human Resource Management (HRM) </li></ul><ul><li>Wednesday – Project management </li></ul><ul><li>Thursday – Production and Operations management </li></ul><ul><li>Friday – Practical work in a leading production company </li></ul>
  8. 8. Agenda – topic of the day: <ul><li>Monday – May 5, 2008 </li></ul><ul><li>Entrepreneurship and motivation, Organisation </li></ul>
  9. 9. Who are entrepreneurs ? <ul><li>Person who creates a new business, in the face of risk and uncertainty, for the purpose of achieving profit and growth by identifying opportunities and assembling the necessary resources to capitalize on them. </li></ul>
  10. 10. Characteristics of Entrepreneurs <ul><li>Need for Achievement </li></ul><ul><li>Willingness to take Risks </li></ul><ul><li>Self-Confidence </li></ul><ul><li>A need to Seek Refuge </li></ul><ul><li>Diversity – regardless on age, gender, race, background </li></ul>
  11. 11. Options we all have ??? <ul><li>Run own business </li></ul><ul><li>OR </li></ul><ul><li>Work for somebody else </li></ul>
  12. 12. Rewards of being an Entrepreneur <ul><li>Possibility of unlimited profits </li></ul><ul><li>Independence - doing what s/he likes and enjoys, and have control over the life and destiny </li></ul><ul><li>Satisfying way of life </li></ul><ul><li>Contribute to society and be recognized for my efforts </li></ul>
  13. 13. Drawbacks of being an Entrepreneur <ul><li>Long hours and hard work (usually it associates with stress) </li></ul><ul><li>Uncertain income and BIG possibility of business failure </li></ul><ul><li>Risk of losing invested money </li></ul><ul><li>Lower quality of life in early stage </li></ul><ul><li>Complete responsibility </li></ul>
  14. 14. Leadership <ul><li>The nature of leadership </li></ul><ul><li>Who are leaders? </li></ul><ul><li>What makes them leaders? </li></ul><ul><li>Different leadership styles </li></ul><ul><li>Are leaders born, or is it possible to become a leader? </li></ul>
  15. 15. A leader: <ul><li>innovates </li></ul><ul><li>develops </li></ul><ul><li>focuses on people </li></ul><ul><li>inspires trust </li></ul><ul><li>has an eye on the horizon </li></ul><ul><li>does the right things </li></ul>
  16. 16. Leadership Styles <ul><li>Autocratic style </li></ul><ul><li>Paternalistic style </li></ul><ul><li>Participative style (Democratic) </li></ul><ul><li>Consensus style </li></ul><ul><li>Laissez-faire style </li></ul>
  17. 17. Business Functions <ul><li>Human Resources Management </li></ul><ul><li>Marketing and Sales </li></ul><ul><li>Research and Development </li></ul><ul><li>Production/Operations </li></ul><ul><li>Customer Service </li></ul><ul><li>Finance and Accounts </li></ul><ul><li>Administration and IT </li></ul>
  18. 18. Human Resources <ul><li>Recruitment and retention </li></ul><ul><ul><li>Job descriptions </li></ul></ul><ul><ul><li>Person Specifications </li></ul></ul><ul><li>Dismissal </li></ul><ul><li>Redundancy </li></ul><ul><li>Motivation </li></ul><ul><li>Professional development and training </li></ul><ul><li>Health and safety and conditions at work </li></ul><ul><li>Liaison with trade unions </li></ul>
  19. 19. Marketing and Sales <ul><li>Market research </li></ul><ul><li>Promotion strategies </li></ul><ul><li>Pricing strategies </li></ul><ul><li>Sales strategies </li></ul><ul><li>The sales team </li></ul><ul><li>Product – advice on new product development, product improvement, extension strategies, target markets </li></ul>
  20. 20. Research and Development <ul><li>New product development </li></ul><ul><li>Product improvements </li></ul><ul><li>Competitive advantage </li></ul><ul><li>Value added </li></ul><ul><li>Product testing </li></ul><ul><li>Efficiency gains </li></ul><ul><li>Cost savings </li></ul>
  21. 21. Finance and Accounts <ul><li>Cash flow </li></ul><ul><ul><li>Monitoring income/revenue </li></ul></ul><ul><ul><li>Monitoring expenditure </li></ul></ul><ul><li>Preparing accounts </li></ul><ul><li>Raising finance </li></ul><ul><ul><li>Loans </li></ul></ul><ul><li>Links with all other functional areas </li></ul>
  22. 22. Production/Operations <ul><li>Acquiring resources </li></ul><ul><li>Planning output – labour, capital, land </li></ul><ul><li>Monitoring costs </li></ul><ul><li>Projections on future output </li></ul><ul><li>Production methods </li></ul><ul><ul><li>Batch </li></ul></ul><ul><ul><li>Flow </li></ul></ul><ul><ul><li>Job </li></ul></ul><ul><ul><li>Cell </li></ul></ul><ul><li>Efficiency </li></ul>
  23. 23. Customer Service <ul><li>Monitoring distribution </li></ul><ul><li>After-sales service </li></ul><ul><li>Handling consumer enquiries </li></ul><ul><li>Offering advice to consumers </li></ul><ul><li>Dealing with customer complaints </li></ul><ul><li>Publicity and public relations </li></ul>
  24. 24. Administration and IT <ul><li>Managing estates – cleaning, health and safety, maintenance, security </li></ul><ul><li>Reception </li></ul><ul><li>Clerical work – reporting, recording, record keeping, communication </li></ul><ul><li>Overview of quality control </li></ul><ul><li>Use of IT systems </li></ul>
  25. 25. Organisation Charts Hierarchical Structure Managing Director Sales Director Marketing Director Finance Director A B C D Market Research Strategy Purchasing Manager Sales Manager Accounts Manager
  26. 26. Workers Pyramidal Structure Senior Management MD Middle Management
  27. 27. Centralised/Entrepreneurial R&D Marketing Sales Production Finance MD
  28. 28. Collaborative Sales Marketing Production Accounts
  29. 29. Circular/Flat Marketing Sales Production Finance R&D
  30. 30. Project Marketing R&D Sales Finance HR Production Matrix Structure
  31. 31. Organisation Charts <ul><li>Changes to business structures </li></ul><ul><li>Linked to new thinking on leadership and management </li></ul><ul><li>Less hierarchical </li></ul><ul><li>Emphasis on communication and collaboration between sections </li></ul><ul><li>Global businesses – more complex structures </li></ul>
  32. 32. Corporate Culture
  33. 33. Corporate Culture <ul><li>The beliefs and values shared by people who work in an organisation </li></ul><ul><ul><li>How people behave with each other </li></ul></ul><ul><ul><li>How people behave with customers/clients </li></ul></ul><ul><ul><li>How people view their relationship with stakeholders </li></ul></ul><ul><ul><li>People’s responses to energy use, community involvement, absence, work ethic, etc. </li></ul></ul><ul><ul><li>How the organisation behaves to its employees – training, professional development, etc. </li></ul></ul>
  34. 34. Corporate Culture <ul><li>May be driven by: </li></ul><ul><li>Vision – where the organisation wants to go in the future </li></ul><ul><li>Mission Statement – summary of the beliefs of the organisation and where it is now </li></ul>
  35. 35. Corporate Culture <ul><li>May be reflected in: </li></ul><ul><ul><li>Attitude and behaviour of the leadership </li></ul></ul><ul><ul><li>Attitude to the role of individuals in the workplace – open plan offices, team based working, etc. </li></ul></ul><ul><ul><li>Logo of the organisation </li></ul></ul><ul><ul><li>The image it presents to the outside world </li></ul></ul><ul><ul><li>Its attitude to change </li></ul></ul>
  36. 36. End of day 1 <ul><li>Conclusions </li></ul><ul><li>Further readings </li></ul><ul><li>Individual consulting on request </li></ul><ul><li>Thank you on your attention ! </li></ul>
  37. 37. Agenda – topic of the day: <ul><li>Tuesday – May 6, 2008 </li></ul><ul><li>Human Resource Management </li></ul>
  38. 38. Day 2 – HRM <ul><li>Introduction </li></ul><ul><li>Summary of previous day </li></ul><ul><li>Objective of the day </li></ul><ul><li>Training </li></ul>
  39. 39. Human Resource Management <ul><li>HRM deals with management of people </li></ul><ul><li>People is a dominant factor that makes difference between SUCCESS and FAILURE of the company. </li></ul>
  40. 40. Human Resources Management
  41. 41. Recruitment
  42. 42. Recruitment <ul><li>The process by which a job vacancy is identified and potential employees are notified. </li></ul><ul><li>The nature of the recruitment process is regulated and subject to employment law. </li></ul><ul><li>Main forms of recruitment through advertising in newspapers, magazines, trade papers and internal vacancy lists. </li></ul>
  43. 43. Recruitment <ul><li>Job description – outline of the role of the job holder </li></ul><ul><li>Person specification – outline of the skills and qualities required of the post holder </li></ul><ul><li>Applicants may demonstrate their suitability through application form, letter or curriculum vitae (CV) </li></ul>
  44. 44. Selection
  45. 45. Selection <ul><li>The process of assessing candidates and appointing a post holder </li></ul><ul><li>Applicants short listed – most suitable candidates selected </li></ul><ul><li>Selection process – varies according to organisation: </li></ul>
  46. 46. Selection <ul><li>Interview – most common method </li></ul><ul><li>Psychometric testing – assessing the personality of the applicants – will they fit in? </li></ul><ul><li>Aptitude testing – assessing the skills of applicants </li></ul><ul><li>In-tray exercise – activity based around what the applicant will be doing, e.g. writing a letter to a disgruntled customer </li></ul><ul><li>Presentation – looking for different skills as well as the ideas of the candidate </li></ul>
  47. 47. Employment Legislation
  48. 48. Employment Legislation <ul><li>Increasingly important aspect of the HRM role </li></ul><ul><li>Wide range of areas for attention </li></ul><ul><li>Adds to the cost of the business </li></ul>Even in a small business, the legislation relating to employees is important – chemicals used in a hairdressing salon for example have to be carefully stored and handled to protect employees.
  49. 49. Discipline
  50. 50. Discipline <ul><li>Firms cannot just ‘sack’ workers </li></ul><ul><li>Wide range of procedures and steps in dealing with workplace conflict </li></ul><ul><ul><li>- Informal meetings </li></ul></ul><ul><ul><li>- Formal meetings </li></ul></ul><ul><ul><li>- Verbal warnings </li></ul></ul><ul><ul><li>- Written warnings </li></ul></ul><ul><ul><li>- Grievance procedures </li></ul></ul><ul><ul><li>- Working with external agencies </li></ul></ul>
  51. 51. Development
  52. 52. Development <ul><li>Developing the employee can be regarded as investing in a valuable asset </li></ul><ul><ul><li>- A source of motivation </li></ul></ul><ul><ul><li>- A source of helping the employee fulfil potential </li></ul></ul>
  53. 53. Training
  54. 54. Training <ul><li>Similar to development: </li></ul><ul><ul><li>- Provides new skills for the employee </li></ul></ul><ul><ul><li>- Keeps the employee up to date with changes in the field </li></ul></ul><ul><ul><li>- Aims to improve efficiency </li></ul></ul><ul><ul><li>- Can be external or ‘in-house’ </li></ul></ul>
  55. 55. Rewards Systems
  56. 56. Rewards Systems <ul><li>The system of pay and benefits used by the firm to reward workers </li></ul><ul><li>Money not the only method </li></ul><ul><li>Fringe benefits </li></ul><ul><li>Flexibility at work </li></ul><ul><li>Holidays, etc. </li></ul>
  57. 57. Trade Unions
  58. 58. Trade Unions <ul><li>Importance of building relationships with employee representatives </li></ul><ul><li>Role of Trade Unions has changed </li></ul><ul><li>Importance of consultation and negotiation and working with trade unions </li></ul><ul><li>Contributes to smooth change management and leadership </li></ul>
  59. 59. Productivity
  60. 60. Productivity <ul><li>Measuring performance : </li></ul><ul><li>How to value the workers contribution </li></ul><ul><li>Difficulty in measuring some types of output – especially in the service industry </li></ul><ul><li>Appraisal </li></ul><ul><ul><li>- Meant to be non-judgmental </li></ul></ul><ul><ul><li>- Involves the worker and a nominated appraiser </li></ul></ul><ul><ul><li>- Agreeing strengths, weaknesses and ways forward to help both employee and organisation </li></ul></ul>
  61. 61. Final remarks <ul><li>People create good ideas, products and services; they don’t come from the equipment, infrastructure or capital . </li></ul><ul><li>This is why we need to employ the best candidates . </li></ul><ul><li>Who is the best candidate ? </li></ul>
  62. 62. End of day 2 <ul><li>Conclusions </li></ul><ul><li>Further readings </li></ul><ul><li>Individual consulting on request </li></ul><ul><li>Thank you on your attention ! </li></ul>
  63. 63. Agenda – topic of the day: <ul><li>Wednesday – May 7, 2008 </li></ul><ul><li>Project management </li></ul>
  64. 64. Day 3 – Project management <ul><li>Introduction </li></ul><ul><li>Summary of previous day </li></ul><ul><li>Objective of the day </li></ul><ul><li>Training </li></ul>
  65. 65. What is a project? <ul><li>A project is a sequence of unique, complex and connected activities that are completed to achieve one goal or purpose in a limited timeframe. </li></ul><ul><li>A project is a temporary endeavor to achieve a stated objective: </li></ul><ul><ul><li>specific start and end dates </li></ul></ul><ul><ul><li>specific deliverables based on SoW </li></ul></ul><ul><ul><li>consumes resources: people, time, money, machines, materials </li></ul></ul><ul><ul><li>often has a defined budget </li></ul></ul>
  66. 66. Project scheduling <ul><li>Split project into tasks and estimate time and resources required to complete each task. </li></ul><ul><li>Organize tasks concurrently to make optimal use of workforce. </li></ul><ul><li>Minimize task dependencies to avoid delays caused by one task waiting for </li></ul><ul><li>another to complete. </li></ul><ul><li>Dependent on project managers </li></ul><ul><li>intuition and experience. </li></ul>
  67. 67. The project scheduling process
  68. 68. Bar charts and activity networks <ul><li>Graphical notations used to illustrate the project schedule. </li></ul><ul><li>Show project breakdown into tasks. Tasks should not be too small. They should take about a week or two. </li></ul><ul><li>Activity charts show task dependencies and the the critical path. </li></ul><ul><li>Bar charts show schedule against calendar time. </li></ul>
  69. 69. Task durations and dependencies
  70. 70. Activity network
  71. 71. Activity timeline
  72. 72. Critical Path Analysis <ul><li>May be used as part of the decision making process </li></ul><ul><li>Enables a firm to plan and monitor operations </li></ul><ul><li>Time related – identifies the maximum time for an operation to be completed </li></ul><ul><li>Identify potential problems in implementing operation </li></ul><ul><li>Identifies where and when resources (including human ones) are needed </li></ul>
  73. 73. CPA – the Process <ul><li>Identify and prioritise the activities </li></ul><ul><li>Identify which activities MUST be done before others </li></ul><ul><li>EST – identify earliest start time </li></ul><ul><li>LFT – identify latest finish time </li></ul><ul><li>Identify the FLOAT – tasks which can be completed outside the critical path </li></ul><ul><li>Identify the critical path – points connecting ESTs and LFTs (where these are the same) </li></ul>
  74. 74. Critical Path Analysis Nodes: Show the start and finish of a task Node numbers showing order of activities in the left hand semi-circle of each node. 3 Earliest Start Time (EST) 5 Latest Finish Time (LFT) A 3 B 5 Arrows indicate the order of the tasks, the letter above shows the order, the time period below the arrow The Critical Path 1 2
  75. 75. End of day 3 <ul><li>Conclusions </li></ul><ul><li>Further readings </li></ul><ul><li>Individual consulting on request </li></ul><ul><li>Thank you on your attention ! </li></ul>
  76. 76. Agenda – topic of the day: <ul><li>Thursday – May 8, 2008 </li></ul><ul><li>Production and Operations management </li></ul>
  77. 77. Day 4 – Production and Operations management <ul><li>Introduction </li></ul><ul><li>Summary of previous day </li></ul><ul><li>Objective of the day </li></ul><ul><li>Training (we have a guess speaker) </li></ul>
  78. 78.
  79. 79. Answer the following questions <ul><ul><li>Identifying production program/services </li></ul></ul><ul><ul><li>Main characteristics of production process? </li></ul></ul><ul><ul><li>Selection of technology and needed equipment? </li></ul></ul><ul><ul><li>Main producers and suppliers? </li></ul></ul><ul><ul><li>Technical requirements (electrical supply, water supply, sewerage, etc.)? </li></ul></ul><ul><ul><li>What are your costs of production? </li></ul></ul><ul><ul><li>Future investments in equipment? </li></ul></ul>
  80. 80. Quality
  81. 81. Quality Control <ul><li>The responsibility of every member of the workforce for the quality of products and services provided by the business. </li></ul><ul><li>Emphasis on reducing defects, etc. before it gets to the final stage of production and certainly to the consumer. </li></ul>
  82. 82. TQM (Total Quality Management) <ul><li>Name given to quality control </li></ul><ul><li>Features of TQM: </li></ul><ul><ul><li>Quality Circles – meetings of relevant workers to discuss issues relating to maintenance and improvement of quality in the business – may also double as a form of empowerment and motivation. </li></ul></ul><ul><ul><li>Statistical Process Control – statistical data generated to inform the evaluation of processes within the business. </li></ul></ul><ul><ul><li>Zero defects – systems in place to ensure that no product leaves the business with a defect – important in building supplier relationships, image, reputation. </li></ul></ul>
  83. 83. Quality standards <ul><li>ISO 9001 </li></ul><ul><li>ISO 14000 </li></ul><ul><li>OHSAS </li></ul><ul><li>HACCP </li></ul>
  84. 84. ISO 9000 <ul><li>The ISO 9000 family addresses &quot;quality management&quot; </li></ul><ul><li>This means what the organization does to fulfill: </li></ul><ul><li>the customer's quality requirements, and </li></ul><ul><li>applicable regulatory requirements, while aiming to </li></ul><ul><li>enhance customer satisfaction, and </li></ul><ul><li>achieve continual improvement of its performance in pursuit of these objectives. </li></ul>
  85. 85. ISO 14000 <ul><li>The ISO 14000 family addresses &quot;environmental management&quot; </li></ul><ul><li>This means what the organization does to: </li></ul><ul><li>minimize harmful effects on the environment caused by its activities, and to </li></ul><ul><li>achieve continual improvement of its environmental performance. </li></ul>
  86. 86. ISO 9000 Benefits <ul><li>Businesses, can base their activities (products and services offered) on requirements that are accepted widely across the globe </li></ul><ul><li>As these standards have a worldwide acceptance, consumers are served with an increasingly wide choice of products and services </li></ul><ul><li>Technology becomes compatible across most business organisations </li></ul>
  87. 87. ISO 9000 Benefits <ul><li>A wider choice of suppliers meeting ISO Standards means greater competition which benefits consumers </li></ul><ul><li>Greater understanding of what’s required to compete globally gives developing countries the information they need to decide what to produce </li></ul><ul><li>We all benefit from wider use of international standards as the transport systems, machines and tools we use (for example) become safer </li></ul>
  88. 88. Summary of ISO 9000 Benefits <ul><li>Controls quality </li></ul><ul><li>Saves money </li></ul><ul><li>Makes for satisfied customers </li></ul><ul><li>Is widely used globally </li></ul><ul><li>All types of organisation covered </li></ul><ul><li>All sectors and markets included </li></ul>
  89. 89. End of day 4 <ul><li>Conclusions </li></ul><ul><li>Further readings </li></ul><ul><li>Final arrangements for day 5 – Visiting a leading production company </li></ul><ul><li>Individual consulting on request </li></ul><ul><li>Thank you on your attention ! </li></ul>

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