1 Management A.....a process entailing responsibility for the effective and economical planning and regulation of a company’s operations to fulfill a given purpose or task. Such responsibility involves: –j–judgment and decision to determine plans and develop monitoring/controlling system to regulate a progress against plans –g–guidance, integration, motivation and supervision of the personnel composing the enterprise and carrying out its operations B......a process whereby scarce resources (human, material, financial) are combined to achieve organizational goals –c–clients, employees, owners, processes Manager gets results through people. How? By influencing people!

2 Brain storming Brainstorming purpose? –The technique is used to generate a large number of ideas in a short time, so that many alternatives can be considered –It is designed to encourage participants to open thinking and integrate team opinion Enhance team work, individual participation and group cohesiveness Encourage participants to think and evaluate ideas/problems in new ways Include ideas based on intuition that might be considered novel or unconventional How to use it? –The brainstorming question is stated, agreed on, and written down for everyone to see it –Everybody participates, each team member, in turn, gives one idea until all ideas are exhausted –Process is kept free from criticism and judgment until all ideas are generated –Team maintains spontaneous and enthusiastic environment, nobody dominates –Generated ideas are visibly written for everyone to see it –Participants are encouraged to build on each other's creativity –Written ideas are reviewed for clarity and duplicates How to evaluate the result? –Every member of team offers a sorted sequence of written points according to his opinion about priorities

3 Brief history of management Scientific – logical sequence Adam Smith ( ) specialization –Repetition of specialized task would increase its speed in the chain of activities –Less time would be lost through job changing if worker remains at the same task, –Specialized tools could be developed for each task Frederick Taylor (1856 – 1915) job design –How should the shovel load be adjusted? –What type of shovel is optimal for certain material? –How quickly should the shovel be moved? –What role does horizontal distance play? Result: labor force reduced, output increased, costs reduced,.. Frank & Lilian Gilberth (1900 – 1910) motion study Reduction the number of movements – brick layer Henry Ford ( ) assembly line Meat processing observations lead to car assembly line Human – respect and dignity Elton Mayo ( ) working conditions –Human physical elements influence productivity Henry Gantt ( ) Interest of workers –Management isn't the driving force of slavery –Bonus system motivates –Tasks are properly scheduled Abraham Maslow basic needs 1.Psychological –food, water, rest, air, sex 2.Security/safety –free from physical harm and economic ruins 3.Social –desire for love and friendship, acceptance by others 4.Esteem –desire for self-respect and respect for others 5.Self-actualization – to maximize a personal potential Frederick Herzberg 1960 human motivation –Dissatisfaction factors –company policy, level of supervision, relationships with supervisor, peers, subordinates, working conditions, salary –Satisfaction factors –opportunities for achievement, recognition, work itself, responsibility, opportunities for advancement, personal growth, learning,.. Peter Drucker - management by objectives − A set of assigned objectives agreed between individual and manager − Performance reviews conducted periodically to determine gap between reality and objectives − Rewards to individuals according to the gap

4 Discussion of manager's role 1.Manager 2.Credit risk manager 3.Transformation program manager 4.Chief economists 5.Human resources manager 6.Marketing manager A.What duties done by all these managers are common? B.What quality and skills are required for each position? C.Which position would you like to have and which not? D. How to match personal skills with job specifications? E. What skills should be improved?

5 Frederick W. Taylor His collected works were published in 1947, entitled Scientific management. 1.Each operation of a job was studied and analyzed 2.Using this information, management worked out the time and method for each job and type of working tools to be used 3.Work was organized so that the worker's only responsibility was to do the job in prescribed manner 4.Men with right physical skills were selected and trained for the job Task of management: observing, analyzing, measuring, specifying the work method, organizing and choosing the right person for the job Results: rapid increase of productivity, specialized tools, increase of wages, revolutionary management approach improving working methods and productivity, more detailed planning of jobs, simplified tasks less skills of workers, boring, repetitive jobs, worker is a tool in hands of management, worker dissatisfaction increased