Introduction to Organization and Management

1
Introduction to OrganizationandManagement

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2
The Characteristics of an Organization
Has a Distinct Purposes
Is Composed of People
Has a Deliberate Structure
3
The Changing Organization

• Traditional
• Stable , inflexible
• Job focused
• Jobs define work
• Individual-oriented
• Permanent jobs
• Command-driven

• Contemporary
• Unstable , flexible
• Skills focused
• Tasks define work
• Team-oriented
• Temporary jobs
• Involvement driven

4
The Changing Organization

• Contemporary
• Participative
• Customer oriented
• Diversity
• No time boundaries
• Lateral networks
• Work anywhere

• Traditional
• Directive
• Rule-oriented
• Homogeneity
• 9-5 workdays
• Hierarchies
• Work on-site

5
Top Managers
Mid-Level Managers
The Levels of an Organization
First-Line Managers
Operation Employees
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Inputs and Outputs
Efficient Management
Doing Things Rights
Low Resource Waste
Productivity
Goals and Objectives
Effective Management
Doing The Right Things
High Goal Attainment
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Planning Organizing Leading Controlling
The Four Function of Management
8
Mintzbergs Management Roles
Interpersonal Roles
Decisional Roles
Informational Roles
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Skills That Managers Need
Conceptual
Top Managers
Human
Middle Managers
Technical
Middle Managers
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The Environment
The Open System
Transformation -Management -Employees -Technology
-Operation
Outputs -Products -Service -Profits -Losses

• Inputs
• Materials
• Capital
• Labor
• Data

Feedback
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The Contingency Perspective
Organization Size Task Technology Environment
Uncertainty Individual Differences
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Organizational Type
Organizational Level
Is the Managers Job Universal ?
Cross National Transferability
Organizational Size
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Why Study Management ?

• You should understand how organization are
  managed.
• You will either manager or be managed.

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Theory and Conceptual Administration (B)

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15

• Historical Background
• Of Management Theories
• 1
  2 3
• Early
  Adam Industrial
• Example Smith
  Revolution
• Egyptian Wealth
  Machine
• Pyramids of Nation
  Power
• Great Wall Division
  of Mass
• of China Labor
  Production

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• Develop a science for each
  Select, train and develop
• element of work
  workers
• Taylors Four
  Principle of Management
• Cooperate with works
  Divide work and
• 
  responsibility equally

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General Principle Management (Taylors)

• Division of work
• Authority and Responsibility
• Discipline
• Unity of Command
• Unity of Direction
• Subordination of Individual General Interest

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General Principle Management (Taylors)

• Remuneration
• Centralization
• Scalar Chain
• Order
• Equity
• Stability of Tenure of Personnel
• Initiative
• Esprit de Corps

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Henry Fayol

• Management Function ( POCCC)
• Planning
• Organizing
• Commanding
• Coordinating
• Controlling

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Max Weber (Bureaucracy)

• Division of Labour
• Authority Hierarchy
• Formal Selection
• Formal Rules and Regulations
• Impersonality
• Career Orientation

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• Maslow (Malows Hierarchy of Needs Theory)
• Self-Actualization
• Esteem Needs
• Social Needs
• Safety Needs
• Physiological Needs

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Theories of Leadership

• (Six Traits That Differentiate Leaders From
  Nonleaders)
• Drive
• Desire to lead
• Honesty and integrity
• Self-confidence
• Intelligence
• Job-relevant knowledge

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Trend and Present Administration in the Future

• Globalization
• Workforce Diversity
• Information Technology or IT
• Continually Learning and Adaptive Org.
• Total Quality Management or TQM

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Organizational Culture and Environment

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25

• Whats Cultures?
• Organization Changing?
• Organization Cultures Changing?
• Cultures Changing
• Rise Death
• Continue Process
• Normal Implementation
  Behavior
• Popularity
• Behavior Setting
• 
  Extensively Behavior
• 
  Cultures
• 
  Build or Change

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• How Should We View
• The Role of Management?
• The Omnipotent View
• The Symbolic View
• The Synthesis View

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Dimensions of Organization

• Innovation and Risk Taking
• Attention to Detail
• Outcome Orientation
• People Orientation
• Team Orientation
• Aggressiveness
• Stability
• Non-Stability

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• Size of The Age of The
• Organization Organization
• Strong Culture
• Versus
• Weak Culture
• Intensity of Employee
• Organization Culture Turnover

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• How Do Employees Learn About The Culture of
  an Organization?

• Stories
• Rituals
• Material Symbols
• Language

30
GlobalizationManaging The Global
Environment(Organization and Management)

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31
Companies With Over 60 Percent of Revenue From
Non-US. Operation

• Exxon ____________________________________________
  ______76.8
• Colgate-Palmolive ________________________________
  71.6
• Manpower _________________________________________
  __70.8
• Mobil ____________________________________________
  ______ 67.2
• Coca-Cola ________________________________________
  ____67.1
• Avon Products ____________________________________
  _ 65.3
• Digital Equipment _______________________________
  64.8
• Gillette _________________________________________
  ______ 63.1
• IBM ______________________________________________
  _______61.3
• Citicorp _________________________________________
  ______ 60.6

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• Three Attitudes Towards International Business

• Ethnocentric
• Polycentric
• Geocentric

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• The Changing
• Business Environment
• Regional
• Trading Alliances
• European North
  American Association
• Union
  Free Tread of Southeast
• ( EU )
  Agreement Asian Nations
• 
  ( NAFTA ) ( ASEAN )

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• Global Organization
• The Changing
• Business Environment
• Global
• Trading Alliances
• Multinational
  Transnational Borderless
• Corporations
  Corporations Organization
• ( MNC )
  ( TNC )

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• How Organizations
• Go International
• Stage 1 Stage 2
  Stage 3
• Export to Hire Foreign
  Licensing
• Foreign Agents or
  Franchising
• Countries Brokers
  
  Contract
  Joint Venture
  Foreign Foreign
• 
  Managers Subsidiary

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• Managing in
• A Foreign Country
• Legal-Political Environment
• Economic Environment
• Culture Environment

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• Individualism
  Power
• Versus
  Distance
• Collectivism
• Hofsteds
• Dimensions of
• National Culture
• Quantity
  Uncertainty
• Versus
  Avoidance
• Quality of Life

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Criteria for Making GlobalEmployee Selection
Decision

• Ability to adapt
• Technical Skills
• Spouse and Family
• Human relations Skills
• Desire to go Overseas

• Overseas Experience
• Knows host culture
• Academic standing
• Language Skills
• Knows home culture

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• Factors Affecting
• International Adjustment
• Pre-Assignment Adjustment
• Individual
• Training
  Experience
• Expectations
• Organization
• Selection Criteria and Mechanisms

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• Factor Affecting
• International Adjustment
• In-Country Adjustment
• Individual Factors
• Job Factors
• Organization Culture
• Organization Socialization
• Nonworking Factors

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Decision Making The Essence of the Managers Job

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42
The Decision-Making Process

• Identification of a Problem
• Identification of Decision Criteria
• Allocation of Weights to Criteria
• Development of Alternatives
• Analysis of Alternatives
• Selection of an Alternatives
• Implementation of the Alternatives
• Evaluation of Decision Effectiveness

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Decisions in the Management Function

• Planning
• What are the organizations long-term objective?
• What strategies will best achieve those
  objective?
• - What should the organizations short-term
  objectives be?
• - How difficult should individual goals be?

• Leading
• How do I handle employees who appear to be low in
  motivation?
• What is the most effective leadership style in a
  given situation?
• How will a specific change affect worker
  productivity?
• - When is the right time to stimulate conflict?

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Decisions in the Management Function

• Organizing
• How many employees should I have report directly
  to me?
• How much centralization should there be in the
  organization?
• How should jobs be designed?
• When should the organization implement a
  different structure?

• Controlling
• What activities in the organization need to be
  controlled?
• How should those activities be controlled?
• When is a performance deviation significant?
• What type of management information system should
  the organization have?

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3 Alternatives
2 Target of Alternative
1 Identification of a Problem
7 Decision
The Manager as Decision Maker
4 Objective Setting
6 Non-objections
5 Objective Certainty
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• Well-Structured Problems and Programmed Decisions
• Poorly-Structured Problems and Non-programmed
  Decisions
• Integration

Types of Problems and Decisions
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• High
• Low
• Rational
  Intuitive

Analytic Conceptual
Directive Behavioral
Tolerance for Ambiguity
Way for Thinking
Decision-Making Styles
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• Overconfidence
• Hindsight Immediate Gratification
• Self-Serving Anchoring Effect
• Sunk Costs Decision-Making
  Selective Perception
• Randomness
  Errors and Biases
  Confirmation
• Representation
  
  Framing
• 
  Availability
• 
  
  

Decision-Making Biased and Errors
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Foundations of Planning

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50
Whats Planning?

• - Whats To Be Done.
• - How Its To Be Done.
• PLANNING
• Formal Planning
  Informal Planning

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Purpose of Planning

• Planning Gives Direction
• Coordinate
• Cooperate
• Planning Reduces Uncertainty
• Planning Reduces Overlapping and Wasteful
  Activities
• Planning Sets the Standard Used in Controlling

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The Role of Goals and Plans in Planning

• Goals
• Goals are Objectives
• Plans

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Types of Goals

• Social Responsibility
• Profits Market Shared
• - Financial Goals Strategic Goals
• - Stated Goals Real Goals

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Types of Plans

• Breadth Time Frame
  Specificity Frequency of Use
• Strategic Long term Directional
  Single use
• Operational Short term
  Specific Standing

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Contingency Factors in Planning

• Managers Level
• - Strategic Planning
• - Operational Planning
• 2. Environmental Uncertainty
• - Specific
• - Flexible
• 3. Time Frame of the Plans

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Planning in the Hierarchy of Organizations

• Strategic
• Planning Top
• Executives
• Middle-Level
• Managers
• Operational First-Level
• Planning Managers

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Effective Planning in Dynamic Environments

• Specific But Flexible
• Ongoing Process
• Change Direction if Environmental Conditions
  Changed
• Stay Alert to Environmental Changes

58
Strategic Management

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Why is Strategic Management Important?

• External Analysis
• -opportunities
• -threats
• Identify the
• organizations SWOT Analysis
  Formulate Implement
  Evaluate
• current mission, goals,
  Strategies Strategies
  Results
• and strategies
• Internal Analysis
• -strengths
• 
  -weaknesses

The Strategie Management Process
60

• Multibusiness
• Corporation
• Strategic
  Strategic Strategic
  Business Unit 1
  Business Unit 2 Business Unit 3
• Research and Manufacturing
  Marketing Human Finance
• Development
  Resources

Corporate
Business
Functional
Types of Organizational Strategy
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• Corporate Level Strategy
• Direction
• Mission
• Vision
• Growth Strategy
• Stability Strategy
• Renewal
• Concentration
• Growth Strategy
  Vertical and Horizontal Integration
• Diversification

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• Corporate Level Strategy

Growth Strategy Stability Strategy Renewal Stab
ility Strategy Pause/Proceed with
Caution Strategy
No Change Strategy Profit
Strategy
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• Corporate Level Strategy

Growth Strategy Stability Strategy Renewal Re
trenchment Strategy Renewal Turnaround
Strategy
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• Business Level Strategy
• The Role of Competitive Advantage
• - Distinctive Competencies
• - Competitive Advantage
• - Competitive Differentiation
• - Cost Leadership
• - Focus
• Competitive Advantage Strategies
• Cost Leadership Strategy
  Differentiation Strategy
• Focus Strategy

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• Functional Level Strategy

Research and Development Manufacturing
Marketing Finance Human Resources
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Human Resource Management
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Human Resource Planning
Identify and Select Competent Employees
Recruitment
Selection
Decruitment
Provide employees with up-to-date skills and
knowledge
Orientation
Training
Performance Management
Compensation and Benefits
Career Development
Retain competent and high-performing employee
"Human Resource Management Process"
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Human Resource Planning
1. Current Assessment - Human Resource
Inventory - Job Analysis - Job Description
- Job Specification 2. Future Human Resource
Needs
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Recruitment or Decruitment
1. Recruitment gt Internet gt Employee
referrals gt Company Web site gt College
recruiting 2. Decruitment gt Downsizing gt
Layoffs gt Transfers gt Reduced workweeks

Advantage and Disadvantage
70
Selection
Selection Decision
lt Correct gt / lt Errors gt
Correct - Successfull Accepted - Unsuccessfull
Rejected
Errors - Reject - Accept
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Types of Selection Devices
gt Application Forms gt Written Tests gt
Performances-Simulation Tests gt Interview gt
Background Investigation gt Physical Examination
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Orientation
Work Unit Orientation Organization Orientation
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Employee Training
1. Technical Skill 2. Interpersonal Skill 3.
Problem Solving Skills
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Employee Performance Management
- Written Essays - Critical Incidents - Graphic
Rating Scales - Behaviorally Anchored Rating
Scale - Multiple Comparison - 360 Degree Feedback
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Compensation and Benefits
1. Job Based 2. Business or Industry Based 3.
Skill Based
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Career Development
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Current Issues in Human Resource Management
1. Managing Downsizing 2. Managing Workforce
Diversity 3. Sexual Harassment 4. Workplace
Romances 5. Work-Family Life Banlace 6.
Controlling HR Costs
78
Managing Change and Innovation
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Forces for Change
External Forces
Internal Forces
- Marketplace - Governmental Laws and
Regulations - Technology - Labor Market - Economic
- Operations of the Organization gt Strategy gt
New Equipment gt Employee Attitude
80
Two Views of the Change Process
1. Unfreezing 2. Changing 3. Refreezing
Unfreezing

Changing
Refreezing
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Managing Change
Work specialization, departmentalization, chain
of command span of control, centralization,
formalization, job redesign, or actual
structural design.
Structure
Work processed, methods, and equipment.
Technology
Attitudes, expectations, perceptions, and
behavior-individual and group.
People
82
Sensitivity Training
Surver Feedback
Team Building
MORE EFFECTIVE INTERPERSONAL WORK RELATIONSHIPS
Process Consultation
Intergroup Development
Organizational Develoment Techniques
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Stimulating Innovation
Creativity Innovation
Inputs
Transformation
Outputs
Creative Individuals, groups, Organizations
Creative environment, processs, situation
Innovative product (s), work methods
Systems View of Innovation
84
Variables that Stimulate Innovation
Structural Variables - Organic Structures -
Abundant Resources - Hight Interunit
Communication - Minimal Time Pressure -Work and
Nonwork Support
Human Resource Variables - High Commitment to
Training and Development - Hight Job Security -
Creative People
STIMULATE INNOVATION
Cultural Variables - Acceptance of Ambiguity -
Tolerance of the Impractical - Low External
Controls - Tolerance of Conflict - Focus on
Ends - Open-System Focus - Positive Feedback
85
Leadership
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86
seven traits associated with leadership
1. drive. leader exhibit a high effort
level. they have a relatively high desire for
achievement.
2. desire to lead. leaders have a strong desire
to influence and lead others. they
demonstrate the willingness to take
responsibility.
3. honesty and integrity. leaders build trusting
relationships between themselve and followers by
being truthful or nodeceitful and by showing high
consistency betwenn word and deed.
87
seven traits associated with leadership
4. self-confidence. followers look to leaders
for an absence of self-doubt. need to show
self-confidence in order to convince followers of
the rightess of their goals and decisions.
5. intelligence. leaders need to be
intellignt enough to gather, synthesize,
and interpret large amounts of information.
6. job-relevant knowledge. dffective leaders have
a high degree of knowledge about the company,
industry, and technical matters.
7. extraversion. leaders are energetic, lively
people. they are sociable, assertive, and rarely
silent or withdrawn.
88

• Behavioral Dimension Conclusion
• University of Iowa Democratic style involving
  subordinates, delegating Democratic style of
  leadership was
• authority, and encouraging participation
  most effective, although later studies
• Autocratic style dictating work methods,
  showed mixed results.
• centralizing decision making, and limiting
  participation
• Laissez-fairs style giving group freedom to
  work
• make decisions and complete work
• Ohio State Consideration being considerate
  of followers High-high leader (high in
  consideration
• ideas and feelings and high in
  initiating structure) Initiating structure
  structuring work and work achieved high
  subordinate
• relationships to meet job goals
  performance and satisfaction, but not
• in all situations.
• 
  

behavioral theories of leadership
89
Behavioral Dimension Conclusion .University
of Employee-oriented emphasized interpersonal
Employee-oriented leaders were Michigan rela
tionships and taking care of employees
associated with high group productivity needs
and higher job satisfaction.

Production-oriented emphasized technical
or task
aspects of job Managerial Grid Concern for
people measured leaders Leaders
performed best with a 9.9 concern for
subordinates on a scale of style (high
concern for production and 1 to 9 (low to
high) high concern for people). Concern
for production measured leaders concern for
getting job done on a scale of 1 to 9 (low to
high)
behavioral theories of leadership
90
Country Club Management Theoughtful attention to
needs of people for satisfying
relationship leads to a comfortable, friendly
organization atmosphere and work tempo.
Team Management Work accomplished is from
commetted people interdependence through a
"common stak" in organization purpose leads to
relationships of trust and respect.
The Managerial Grid
1,9 9,9



5,5



1,1 9,1
9
High
8
7
Middle-of-the-Road Management Adequate
organization performance is possible through
balancing the necessity to get out work with
maintaining morale of people at a
satisfactory level.
6
Concern for people
5
4
3
2
1
Task Management Efficiency in operations results
from arraging conditions of work in such a way
that human elements interfere to a minimum
degree.
Low
1
2
3
4
5
6
7
8
Impoverished Management Exertion of
minimum effort to get required work done is
appropriate to sustain organization membership.
9
Concern for production
Low
High
91
Cutting-edge approaches to leadership
1. Transformational Leadership
2. Transactional Leaders
3. Charismatic-Visionary Leadership
4. Team Leadership
- Liaison with Exteranl Constituencies
- Troubleshooter
- Conflict Management
- Coach
92
Leadership Issues in the Twenty-First Century
1. Legitimate Power 2. Coerive Power 3. Reward
Power 4. Expert Power 5. Referent Power
93
Gender Differences and Leadership
Skill (Each check mark denotes which group Scored higher on the respective studies) Men Women
Motivating Others vvvvv
Fostering Communication vvvv
Producing High-Quality Work vvvvv
Strategic Planning vv vv
Listening to Others vvvvv
Analyzing Issues vv vv