Chapter 2 - Management Flashcards
What are the five essential management functions?
planning organizing staffing leading controlling
management
The process of getting things done through and with people.
scientific management
A type of management that uses standardization, specialization, and scientific experiments to design jobs for greater efficiency and production.
What is Taylorism?
increasing productivity and output by doing repetitive work
“work smarter, not harder”
Taylor used scientific management to figure the best way to work
Administrative Theory
An integrated set of ideas to organize work, positions, departments, supervisor–subordinate relationships, hierarchy, and span of control to design an organization.
Developed by Henri Fayol as a top-down model
Division of Work
How work is separated into smaller, more specialized tasks and activities. Example = medicine with its different specialties
Specialization
The width of the range of tasks and work done by an employee or department.
Coordination
How different work units (e.g., departments) are connected to work together toward a common purpose.
Line Work
Work that contributes directly to achieving an organization’s purpose and main goals.
Staff Work
Work that uses specialized skills, abilities, and expertise to support line workers and thereby indirectly contribute to the organization’s purpose.
Authority
Power formally given to a job position to make decisions, take actions, and direct and expect obedience from subordinates.
Line of Authority
The vertical chain of command, authority, and formal communication up and down an organization.
In a health insurance company, a billing clerk reports up to the accounts receivable supervisor who reports up to the director of finance who reports up to the vice president of financial affairs who reports up to the president. The president communicates policy down to the director of finance, and so on.
Unity of Command
Arrangement in which a worker takes commands from and is responsible to only one boss.
A webmaster takes commands from and is responsible to only the director of information technology in a large cardiology group practice.
Span of Control
How many subordinate workers a manager is directly responsible for; how many workers report directly to that manager. (Sometimes called span of supervision.)
In a medical equipment and supply business, the manager has a span of control over five workers, including one sales supervisor, one delivery team leader, one storeroom supervisor, one accounting team leader, and one administrative assistant.
Centralization
How high or low in an organization the authority exists to make a decision.
In a health insurance company, purchasing decisions exceeding $100,000 are centralized at the board of directors level. Purchasing decisions for less than $500 are decentralized at the lower supervisor level.
Norms
Behaviors and attitudes expected of people in a group, organization, or society.
Human relations
A type of management based on psychology and sociology that considers employees’ feelings and behaviors, especially in groups.
What did Luther Gulick and Lyndall Urwick study?
what executives do and determined that they plan, organize, staff, direct, coordinate, report, and budget
What is the Weber and Bureaucratic Theory?
when an organization uses bureaucratic principles wisely, they can contribute to effective management.
it makes work and organizations more efficient but less personal
What are some principles of the Weber and Bureaucratic Theory?
◆ Staff are subject to organizational authority only in their work for the organization, not in their personal lives.
◆ Employees work in a hierarchy (organization chart) of bureaus, with a higher bureau (office) controlling lower ones.
◆ Control is based on authority rather than on personal relationships.
◆ Each bureau has an established division of labor and duties.
◆ A bureau is managed according to written documents kept in files for continuity.
◆ Workers are hired to fill positions based on open selection rather than election.
◆ Staff are selected based on qualifications and ability rather than personal relationships.
◆ Staff are paid based on position and responsibilities in the hierarchy.
◆ A worker can be promoted in the hierarchy based on seniority and achievement.
◆ Employees do not own rights to the bureau where they work, nor do they own property, equipment, or other resources used for work production.
◆ Staff must follow a system of rules, standards, and discipline that controls their work.
◆ Staff must follow orders given by superiors in official positions.
Contingency Theory
The best type of organization is contingent, which means it depends on other factors, such as the organization’s environment, purpose, plans, size, and technology used to create products and deliver services.
There is no single correct way to organize; instead, “it all depends.”
Katz found that managers use three basic kinds of skills …
technical, human, and conceptual
institutional theory
managers sometimes do what society says is “the right thing”—even though doing so reduces organizational efficiency.