Chapter 2 Flashcards
Management definition
getting things done through other people
in private sector organisations, who do managers act on behalf of
shareholders
In public sector organisations, who does management act on behalf of
government
Power definitioin
the ability to get things done
What type of power is described
the power of physical force or punishment or intimidation
coercive power
What type of power is described
Based on control over valued resources. Managers have access to information, contacts and financial rewards for team members. Amount depends on scarcity
Reward power
What type of power is described
Associated with a particular position in organisation (e.g. authorise expense, issue instructions)
Legitimate power
What type of power is described
Based on experience, qualifications or expertise, depends on others recognising the expertise in an area which they need or value
expert power
What type of power is described
based on force of personality or charisma which can attract, influence or inspire other people
referent (or personal) power
What type of power is described
power to disrupt operations through industrial action, refusal to communicate information or sabotage
negative power
Authority definition
the right to do something, or to ask someone else to do it and expect it to be done (position/legitimate power)
Areas where managerial authority is exercised
making decisions within scope of authority
assigning tasks to subordinates
Responsibility definition
obligation a person has to fulfil a task which they have been given
Accountability definition
Person’s liability to be called to account for the fulfilment of tasks they have been given by persons with a legitimate interest in the matter
Who has authority over a subordinate
line manager
Who has authority in giving specialist advice to another manager/department over which they have no authority. does not entail right to make or influence decisions in the advisee department
staff manager
who has a hybrid of line and staff authority whereby they have authority in certain circumstances to direct, design or control activities or procedures in other departments
functional manager
Who has authority over a project team in respect of the project in progress. Likely temporary and the team still have line managers
project manager
Solution for
Staff manager authority undermining line manager authority
Clear demarcations for line, staff and functional managers should be created
Solution for
lack of seniority (line managers more senior than staff managers)
use functional authority via policies and procedures
Solution for
expert staff managers may lack realism going for technically perfect but commercially impractical solutions
they should be fully aware of operational issues and communicate regularly with line managers
Solution for
staff managers lack responsibility for success of their ideas
should be involved in implementing suggestions and share accountability for outcomes
what is involved in the management process
planning,
organising
controlling
leading
what involves setting detailed objectives and targets in the light of overall objective, forecasts and resources
planning
what involves identifying the process, technology and people required and then allocating and coordinating work
organising
what follows on from reviewing plans in light of experience
controlling
what is generating effort and commitment in a team
leading
what are the three key roles of managers
informational
interpersonal
decisional
what is the informational role
checking data received and passing it to relevant people
what is the interpersonal role
acting as a leader for their own team and linking with leaders of other teams
what is involved in decisional role
allocate resources
handle disturbances
negotiate for what they need
solve problems
act as entrepreneur
What is culture
the common assumptions, values and beliefs that people share
the way we do things round heree
tensions affecting the type of culture
flexibility and control
inward and outward looking
what culture is described
business looks inwards, aiming to make the internal environment stable and controlled/ goals are known and unchanging, there are defined methods rules and procedures, security’s ability and order motivate staff
internal process culture - public sector organisations
what culture is described
Effectiveness is defined as achieving goals that satisfy external requirements. the business is structured and controlled so as to effectively deal with the outside world/ competitive and achievement of goals motivate staff
Rational goal culture - large established buisnesses
what culture is described
The external environment is a soured of energy and opportunity, but it is ever changing and unpredictable. business must be highly flexible and open to new ideas so it is very adaptable in structure, staff are motivated by growth, creativity and variety
Open systems culture - new business unit working with fast changing tech
what culture is described
the business looks inwards aiming to maintain existence and well being of staff staff motivated by sense of belonging
support service units
Key functions in business
marketing
operations/production
procurement
HR
Finance
IT
Marketing definition
set of human activities directed at facilitating and consummating exchanges/ it covers whole range of activities
What is a customer
purchases and pays for goods or services
what is a consumer
ultimate user of goods / service
What is high volume, low unit value, fast repurchase goods
fast moving consumer goods
what has low volume but high unit value
consumer durables (white goods. brown goods, soft goods)
what involves delivering intangible goods
service
what is the marketing mix
the set of controllable marketing variables that a firm blends to produce the response it wants in the target market
what are the four ps of marketing goods
produce
price
promotion
place
what are the seven ps of marketing services
produce
price
promotion
place
people
process
physical evidence
what is market segmentation
the division of the market into homogeneous groups of potential customers who may be treated similarly for marking purposes
what is a product
anything that can be offered to a market for attention, acquisition, use or consumption that might satisfy a want or need. includes physical, services, persons, places, organisations and ideas
Three elements of a product
basic
actual
augmented
factors to consider when taking a product from basic to actual and augmented
quality and reliability
packaging
branding
aesthetics
product mix
servicing
technology
Four cs of pricing
costs
competitors
Customers
corporate objectives
what is price elasticity
how customer demand is affected by changes in price
Advantages of selling direct to customers
no need to share profit margins
control over ultimate sale
speed of delivery to ultimate consumer likely to be quicker
what are the advantages of using intermediaries
more efficient (logistically)
costs normally lower
consumers expect choice at point of sale
producer may not have resources to sell direct
five main types of promotion
advertising
sales promotion (BOGOF)
Public relations
digital marketing
direct marketing
personal selling
What are push promotion techniques
ensuring products and services are available to consumers by encouraging intermediaries to stock items
what are pull promotion techniques
persuade ultimate consumer to buy
In B2B market, what bust business consider when determining promotion package
buyer, customer and user
What are operations management
creating as required goods or services that the business is engaged in supplying to customers by being concerned with the design, implementation and control of the business’s processes so that inputs are transformed into output products and services
Four Vs of operations
volume
variety
variation in demand
visibility
operations management is concerned with balancing five key variables - what are they
external and internal demand for g&s
Resources
capacity of LT assets of business
inventory levels
performance of process which creates G&S
what is described
original research obtain new scientific or technical knowledge or understanding, there is no obvious commercial or pratical end in view
pure research
What is described
Research which has an obvious commercial or practical end in view
applied research
What is described
the use of existing scientific and technical knowledge to produce new or substantially improved tech, products or systems before starting commercial production operatoins
devellopment
what is described
finding new and improved products for the market
Product research
What is described
developing new and better ways of producing goods/services
process reserach
What is defined:
the acquisition of goods and or services at the best possible total cost of ownership in the right quantity and quality at the right time, in the right place and from the right source for direct benefit or use of the business
procurement
what does the procurement mix comprise of
quantity,
quality,
price
lead time
five rights of procurement
right quality in
the right quantity at the
right price in
the right place at
the right time
To be effective supply chains must be
responsive and reliable
what is the supplier delivery aspect of procurement known as
inbound logistics
what is defined
the network of organisations, their systems, resources and activities that are required to turn raw resources into a product or service provided to a consumer
supply chain
What is defined
the elements of a supply chain which provide the materials and production of the goods and services
upstream supply chain members (suppliers)
What is defined
the elements of the supply chain that are involved after the product has been manufactured or service provided
downstream supply chain members
What are tier 1 suppliers
suppliers who supply directly to the organisation
what are tier 2 suppliers
suppliers who supply tier 1 suppliers
What is defined
the creation, development and maintenance of an effective workforce matching the requirements of the business and responding to the environment
Human Resources Management
what does the hard approach to HRM emphasise
resource element of HRM
what does the soft approach to HRM emphasise
a human element to HRM
HRM four Cs
Commitment
competence
congruence
cost effectiveness
Examples of IT delivery activities
IT service operations
Capacity monitoring and management
customer billing and budgeting
business operations availability and performance to agreed service levels
service continuity/contingency management
IT Support activities
Maintaining appropriate configuration of IT service components
physical and logical integrity of infrastructure
security and access control
prevention, investigation and reolsuiotn of operational events incidents and prbolems
what is defined
the study and understanding of individual and group behaviour in an organisational setting to help improve organisational performance and effectiveness
organisational behaviour
What is defined
the degree to whcih a person wants certain behaviours and chooses to engage in them
motivation
four stages of group development
forming
storming
norming
performing
within a team, what does the shaper do
committed to task
may be aggressive and challenging will promote activity
Within a team, what does the plant do
be thoughtful and thought provoking
in a team, what is the role of the resource investigtro
not a new ideas person but picks up others ideas and adds to them, usually sociable who acts as bridge to outside world
what is described
having sufficient rights to control and judge actions of subordinates
authority
What is described
giving subordinates necessary and reasonable freedom of action to carry out their roles
autonomy
what is described
exercising the power conferred by rights in such a way as to win willing and positive response from suborindates
leadership
what type of leadership is described
decisions are imposed by managers on subordinates
subordinates are motivated by threats
authority is centralised with minimal delegation
little communication
no teamwork
exploitative authoritative
What type of leadership pis described
leadership is by condescending form of the master servant relationship
subordinates motivated by rewards
some degree of delegation of responsibility
little communication between superior and subordinate
relatively little teamwork
benevolent authoritative
What type of leadership is described
superiors have substantial but not complete trust in subordinates
motivation is by rewards and some involvement in objective setting
increasing degree of delegation
some communication between superior and subordinate
moderate amount of teamwork
consultative
What is described
superiors have complete confidence in subordinates
motivation is by reward and participation in objective setting
high degree of delegation
much communication between superior and subordinate
substantial teamwork
participative
what is defined
giving subordinate responsibility and authority to carry out a given task while the manager retains overall responsibility
delegation
Advantages of delegation
manager can be relieved of less important activitiees
enables decision to be taken near to point.of impact without delay
gives businesses chance to meet changing conditions more flexibly
makes subordinate job more interesting
allows for career development and succession planning
it brings together skills and ideas
team aspect is motivational
allows performance appraisal
Problems caused by poor delgation
too much supervision can waste time and be demotivating
too little supervision can lead to subordinates feeling abandoned and may result in inferior outcome if not happy
manager tries to pass the buck
manager only delegates boring work
tries to delegate impossible tasks they can’t do
may not delegate enough if feel status undermined
subordinates may lack skill and training required
if a task is delegated, what else must be delgated
authority
rational goal culture qualities
need to control the environment
outward looking
