POBE Flashcards
What are the essential features of Management?
• Taking place within a structured organisational
setting with prescribed roles
• Directed towards the attainment of aim and
objectives
• Achieved through the efforts of other people;
and
• Using systems and procedures
What are the Common Tasks of Management?
• Planning • Organising • Commanding • Coordinating • Controlling Some writers combine Commanding and Coordinating as Leading to produce a POLC framework of management.
What are the Principles of Management?
Henri Fayol
- Division of work
- Authority and responsibility
- Discipline
- Unity of command
- Unity of direction
- Subordination of individual
interest - Remuneration
- The Degree of Centralization
- Scalar Chain
- Order
- Equity
- Stability of Tenure of
Personnel - Initiative
- Esprit de Corps
What are the Management Theories?
Classical (Scientific - Taylorism; Bureaucracy - Weber)
Human Relations (Hawthorne)
Systems Approach
Contingency
What are the characteristics of Strategy?
Long Term
Aims at Gaining Advantage
Concerns scope of organization activities
Aims at Matching Organization’s Activities to the Environment
Maximizes Available Resources
May require major resource changes
Reflects the attitudes and beliefs of senior managers
Influenced by Environmental forces
What the examples of Strategic Decisions in Construction?
• Diversification of building types
• Expanding or shrinking the market, by type of
client or/and location
• Differentiation of building product (uniqueness)
• Producing better value-for-money buildings
• Ownership
• Merger or company takeover
• Partnership
• Contracts bidding.
What are the Strategic Approaches?
• Reactor (Reactive) Approach is informal and unsystematic. It is often adopted by small firms, who ‘wait and see’ and respond to environmental changes. • Planned (Proactive) Approach is formal and systematic. It is often adopted by large and sophisticated firms, who look ahead for opportunities and threats.
What are the advantages of Reactor (Reactive) Approach?
• Save executive time, cost and talent by
not engaging in formal planned strategy;
• Opportunities will not be restricted to
those included in the strategic plan;
• May gain by delaying decisions when
fuller information becomes available.
What are the advantages of Planned (Proactive) Approach?
• Pay attention to important issues • Examine own strengths and weaknesses • Identify opportunities early • Consider risks as well as opportunities • Study competitors • Anticipate changes in marketplace and environment • Avoid the need for crisis management • Plan changes and minimise disruption to existing operation • Focus effort of everyone and enhance internal harmony • Reassure and motivate staff • Promote strategic thinking amongst the senior decision makers
What are the stages of developing a business strategy?
- Strategic analysis (PEST, SMART, SWOT) - Objectives are decided
- Strategy formulation - Alternative plans proposed
- Evaluation of alternative strategies - cost & benefits of alternative proposals
- Strategic choice
- Action plan - long term and short term plan
- Strategy implementation -
task & checklist - Strategic control and feedback
What is PEST Strategic Analysis?
Political
Economical
Social
Technological
What is SMART Strategic Analysis?
Specific Measurable Achievable Realistic Time bound
What is SWOT Strategic Analysis?
Strength - positive aspects or distinctive competencies, which provide market advantage
Weakness - negative aspects or deficiencies in current competencies or resources
Opportunities - favourable conditions with changes in external environment
Threats - unfavourable conditions that endanger operation and effectiveness
What are the basic components of an organization structure?
Top management Middle management operational core organizational support operational support
What are the key elements of organization structure design according to Naoum?
- Group formation - setting up departments
- Communication networks - enable information flow
- Power and authority - relationship of individuals in an organization
- Centralisation and decentralisation - location of power
- Mechanistic and organic systems - formal structure (functional specialization); roles allowed to adjust
- Span of control - number of subordinates
What are the factors affecting organizational design?
Environment
Strategy
Technology
Human Resources
What are the factors influencing organization structure?
Organizational Management - manager’s personality and values, goals and objectives, strategy
Organizational characteristics - age, size, subordinates
Environment - external, internal
Operation - task, technology
What are Naoum’s Types of Organizational Structure?
Simple structure •Informal line relationship between members •Centralised power •Wide span of control •Direct supervision •Single decision making •Fast reaction to a dynamic environment
Functional structure •Functional grouping of specialists •Decentralisation of function power •Narrow span of control •Direct and indirect control •Formal communication •Slow to react to a dynamic environment
Matrix structure
•Larger projects, with an organisation, require skills of different functional departments. The conventional vertical functional structure is overlaid by horizontal project based lateral authority, influence or communication.