Chapter 1 - Defining Management Flashcards
Define Management
The activity of getting other people to transform resources so that the results add value to the organisation in terms of reaching it’s organisational goals
Cons of Management
Time consuming
Expensive
Managers may only make decisions which benefit them
Pros of Management
Co-ordinates large number of people so more can be achieved
Increases efficiency and reduces waste
How can managerial effectiveness be shown?
In terms of money
Value added per employee - the less employees needed to reach goals the more effective the manager
Varieties of managers
Position with regards to ownership
Level in organisation
Relationship in operations
‘Position with regards to ownership’
“Owner-managers”
Entrepreneurs
Intrapreneurs
5 main entrepreneurial tactics
- Start a business
- Buy an existing business
- Franchise
- Be incubated by a parent organisation
- Be spun off from a larger business
‘Level in organisation’
First-line managers
Middle managers
Senior managers
First-line managers
Junior managers, supervisors, team leaders
Direct day to day activities of subordinates
Large span of control
New issue every one or two mins (583 a day)
Middle managers
Manage first-line managers
Co-ordinate and liase
Convert strategies and objectives into actions and plans
New issue every nine mins
Senior managers
Director, president, CEO
Concerned with future strategy and developing a vision
Responsible for large units of organisation as a whole
‘Relationship with production’
Line mangers
Specialist managers
Project managers
Interim managers
Line mangers
Directly responsible for production of goods or services
Large span of control
Specialist managers
Found in finance, HR, purchasing or IT
Have a narrow but deep range of expertise
Typically called in and co-ordinated by line manager to help with an issue
Can overrule line managers
Project managers
In charge of a special project team formed for a specific purpose
Interim managers
Employed only for the time it takes to finish a project
Used when people cannot be spared from their other duties
Can also substitute for other managers
Often have a wide range of experience and considerable track record
Katz’s three broad skills
- Conceptual skills (Senior)
- View situations broadly, think analytically, solve problems - Interpersonal skills (Middle)
- Work effectively with other people and teams - Technical skills (First-line)
- Specialist knowledge of an industry or process
Mintzberg and the nature of managerial work
Research using structured observation - 5 CEOs for 5 days
Duration of managerial episodes related to level of management (9 mins on average)
Large variety of activities - must have broad education
Very fragmented
Prefer talking and observing situations as this is faster than formal media
Mintzberg’s 10 major roles - Interpersonal
- Figurehead - symbol of their unit and perform ceremonial duties
- Leader - inform, motivate and guide subordinates
- Liaison - Linking their own group to other groups
Mintzberg’s 10 major roles - Informational
- Monitor - collect info on performance of AoR
- Disseminator - give feedback to subordinates on performance
- Spokesperson - informs general public about company
Mintzberg’s 10 major roles - Decisional
- Entrepreneur - initiate and engineer change
- Disturbance handler - take action to get progress back on track after unforeseen events
- Resource allocator - delegate resources
- Negotiator - negotiate with external organisations
David McClelland - Achievement motivation
The need to do something quicker, better or more efficiently
Industrial revolution preceded 50 years earlier by an increase in achievement motivation
Companies with CEOs with higher AM were more innovative and grew faster
Leadership Motivation Profile (LMP)
People at the top of organisations:
- Higher need for power
- Moderate need for achievement
- Low need for affiliation
Managerial Competencies (Bristow, 2001)
Seven of the top ten concern relations with other people
Interpersonal and intra personal skills dominate
Communication skills are particularly important
Organisational and analytical abilities are also key
