1. Chapter 1
The Changing Paradigm of Management & Foundations of Learning Organizations
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2. Learning Objectives
Explain the differences between efficiency and effectiveness and their importance for organizational performance.
Define ten roles that managers perform in organizations.
Discuss the management competencies needed to deal with today’s turbulent environment, including issues such as diversity, globalization, and rapid changes and the skills needed for crisis management.
Describe the learning organization and the changes in structure, empowerment, and information sharing managers make to support it.
Understand how historical forces influence the practice of management
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3. Learning Objectives (contd.)
Learning Objectives (contd.)
Identify and explain major developments in the history of management thought.
Describe the major components of the classical and humanistic management perspectives.
Discuss the scientific management perspective and its current uses in organizations.
What role does contingency play in organizations?
Explain the major components of total quality management.
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4. Definition of Management
Definition of Management
The attainment of organizational goals in an effective and efficient manner through:
Planning,
Organizing,
Leading, and
Controlling of organizational resources.
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5. Ex 1.1 The Process of Management
Planning
Leading
Resources
Controlling
Organizing
Performance
Human
Financial
Raw Materials
Technological
Information
Attain goals
Products
Services
Efficiency
Effectiveness
Use influence to motivate employees
Select goals and ways to attain them
Assign responsibility for task accomplishment
Monitor activities and make corrections
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6. Organization
An organization is a social entity that is goal directed and deliberately structured.
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7. Effectiveness and Efficiency
Effectiveness and Efficiency
Organizational effectiveness is the degree to which the organization achieves a stated goal, or succeeds in accomplishing what it tries to do.
Organizational efficiency refers to the amount of resources used to achieve an organization’s goal.
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8. Ex. 1.2 Relationship of Conceptual, Human, and Technical Skills to Management Level
Technical Skills
Human Skills
Conceptual Skills
Management Level
Top Managers
Middle Managers
First-Line Managers
Non-managers (Personnel)
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9. Informational Interpersonal Decisional Monitor Disseminator
Ex. 1.3 Ten Manager Roles
Informational
Interpersonal
Decisional
Monitor
Disseminator
Spokesperson
Figurehead
Leader
Liaison
Entrepreneur
Disturbance handler
Resource allocator
Negotiator
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10. Characteristics of the New Workplace
Characteristics of the New Workplace
Centered around information and ideas
Work is free-flowing and flexible
Organized around networks,work is often virtual
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11. Management Competencies of Today
Management Competencies of Today
Embrace ambiguity
Create organizations that are:
Fast
Flexible
Adaptable
Relationship-oriented
Focus on:
Leadership
Staying connected to employees and customers
Team building
Developing a learning organization
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12. Crisis Management Skills
Crisis Management
Stay Calm
Be visible
Crisis Management Skills
Put people before business
Know when to get back to business
Tell the truth
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13. Ex. 1.5 Elements of a Learning Organization
Ex. 1.5 Elements of a Learning Organization
Team-Based Structure
Learning Organization
Empowered Employees
Open Information
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14. Ex. 1.6 Three Types of E-Commerce
Ex. 1.6 Three Types of E-Commerce
E-commerce represents business exchanges or transactions that occur electronically. It replaces or enhances the exchange of money and products with the exchange of data and information from one computer to another.
Exhibit 1.6
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15. Management & Organization
Management & Organization
Social Forces … values, needs, and standards of behavior.
Political Forces … influence of political and legal institutions on people & organizations.
Economic Forces … forces that affect the availability, production, & distribution of a society’s resources.
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16. Ex. 1.7 Management Perspectives Over Time (adapted)
Ex. 1.7 Management Perspectives Over Time (adapted)
The Technology-Driven Workplace
The Learning Organization
Total Quality Management
Contingency Views
Systems Theory
Management Science Perspective
Humanistic Perspective
Classical Perspective
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17. Classical Perspective
Emphasized a rational, scientific approach to the study of management.
Sought to make organizations efficient.
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18. Classical Perspective Three Subfields
Classical Perspective Three Subfields
Scientific management
Administrative principles
Bureaucratic organizations
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19. Humanistic Perspective
Humanistic Perspective
Emphasized understanding human behavior.
Dealt with needs & attitudes in the workplace.
Truly effective control comes from within the individual worker rather than authoritarian control.
Hawthorne Studies brought this perspective to forefront.
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20. Dislike responsibility People are self-centered
Ex. 1.9 Theory X & Y (adapted)
Theory X
Theory Y
People are lazy
People lack ambition
Dislike responsibility
People are self-centered
People don’t like change
People are energetic
People want to make contributions
People do have ambition
People will seek responsibility
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21. The Contingency Approach
The Contingency Approach
… means that one thing depends on other things, and for organizations to be effective, there must be a “goodness of fit” between their structure and the conditions in their external environment.
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