The Management Environment

1. The Management Environment Module 1 LIS 580: Spring 2006 Instructor- Michael Crandall

2. Roadmap • Why do we care? • What do managers do? • Where did management come from? • What kinds of management are there? • What’s happening today? LIS580- Spring 2006

3. Why Do We Care? • “… modern society has become a society of organizations… In a society of organizations, managing becomes a social function and management the constitutive, the determining, the differential organ of society.” Drucker, 1986 • In other words, you’re in it whether you like it or not, so better to understand how it works in order to use it to your advantage LIS580- Spring 2006

4. Organization Defined • Organization • A group of people with formally assigned roles who work together to achieve the stated goals of the group. • Characteristics: • Common purpose/goals • Organizational structure G.Dessler, 2003 LIS580- Spring 2006

5. Management Defined • Manager • A person who plans, organizes, leads, and controls the work of others so that the organization achieves its goals. • Is responsible for contribution. • Gets things done through the efforts of other people. • Is skilled at the management process. • Management Process • Refers to the manager’s four basic functions of planning, organizing, leading, and controlling. G.Dessler, 2003 LIS580- Spring 2006

6. Mintzberg’s Managerial Roles • Figurehead • Leader • Liaison • Spokesperson • Negotiator G.Dessler, 2003 LIS580- Spring 2006

7. The Manager as Innovator • The Entrepreneurial Process • Getting employees to think of themselves as entrepreneurs. • The Competence-Building Process • Working hard to create an environment that lets employees really take charge. • The Renewal Process • Guarding against complacency by encouraging employees to question why they do things as they do—and if they might do them differently. G.Dessler, 2003 LIS580- Spring 2006

8. Types of Managers FIGURE 1–1 G.Dessler, 2003 LIS580- Spring 2006

9. The Managerial Skills • Technical Skills • The need to know how to plan, organize, lead, and control. • Interpersonal Skills • An understanding of human behavior and group processes, and the feelings, attitudes, and motives of others, and ability to communicate clearly and persuasively. • Conceptual Skills • Good judgment, creativity, and the ability to see the “big picture” when confronted with information. G.Dessler, 2003 LIS580- Spring 2006

10. The Foundations Of Modern Management • The Classical and Scientific School • Frederick Winslow Taylor and Scientific Management • The “one best way” • Scientific selection of personnel • Financial incentives • Functional foremanship G.Dessler, 2003 LIS580- Spring 2006

11. The Foundations Of Modern Management (cont’d) • The Classical and Scientific School (cont’d) • Frank and Lillian Gilbreth and Motion Study • Analyzed physical motion and work processes to improve worker efficiency. • Henri Fayol and the Principles of Management • Defined the functions of management • Published “General and Industrial Management” • Advocated “chain of command” G.Dessler, 2003 LIS580- Spring 2006

12. The Foundations Of Modern Management (cont’d) • The Classical and Scientific School (cont’d) • Max Weber and the Bureaucracy • A well-defined hierarchy of authority • A clear division of work • A system of rules covering the rights and duties of position incumbents • A system of procedures for dealing with the work situation • Impersonality of interpersonal relationships • Selection for employment, and promotion based on technical competence G.Dessler, 2003 LIS580- Spring 2006

13. The Foundations Of Modern Management (cont’d) • The Behavioral School • The Hawthorne Studies • Researchers found that it was the social situations of the workers, not just the working conditions, that influenced behavior at work. • The Human Relations Movement • Emphasized that workers were not just “givens” in the system. Workers have needs and desires that organizations have to accommodate. G.Dessler, 2003 LIS580- Spring 2006

14. Douglas McGregor: Theory X and Theory Y • Theory X • Most people dislike work and responsibility and prefer to be directed. • They are motivated not by the desire to do a good job, but simply by financial incentives. • Most people must be closely supervised, controlled, and coerced into achieving organizational objectives. G.Dessler, 2003 LIS580- Spring 2006

15. Douglas McGregor: Theory X and Theory Y (cont’d) • Theory Y • People wanted to work hard. • People could enjoy work. • People could exercise substantial self-control. • Managers could trust employees if managers treated them right. G.Dessler, 2003 LIS580- Spring 2006

16. The Foundations Of Modern Management (cont’d) • The Behavioral School (cont’d) • Rensis Likert and the Employee-Centered Organization • Less effective organizations have a “job-centered” focus: specialized jobs, emphasis on efficiency, and close supervision of workers. • Effective “employee-centered” organizations build effective work groups with high performance goals.” • Participation is an important approach employed by high-producing managers. G.Dessler, 2003 LIS580- Spring 2006

17. Bridging the Eras: The Administrative School • Chester Barnard’s “Zone of Indifference” • A range of orders that a worker will willingly accept without consciously questioning their legitimacy. • Managers have to provide sufficient inducements (and not just financial ones) to make each employee’s zone of indifference wider. • Herbert Simon and Managerial Influence • Use the classicists’ command and control approach. • Foster employee self-control by providing better training, encouraging participative leadership, and developing commitment and loyalty. G.Dessler, 2003 LIS580- Spring 2006

18. The Quantitative/Management Science School • The Management Science Approach • Operations Research/ Management Science • Seeks optimal solutions to management problems through research and the use of scientific analysis and tools. • The Systems Approach • The view that an organization exists as a set of interrelated subsystems that all contribute internally to the organization’s purpose and success while interacting with the organization’s external environment. G.Dessler, 2003 LIS580- Spring 2006

19. The Situational/Contingency School • Contingency View of Management. • The organization and how its managers should manage it are contingent on the company’s environment and on technology. • Tom Burns and G. M. Stalker • Mechanistic organizations • Organic organizations G.Dessler, 2003 LIS580- Spring 2006

20. Multi-Ontology Sense Making • David Snowden proposes that we look at the problem through multiple lenses • Clearly more complex space than most management systems take into account Kurtz, C. F.; Snowden, D. J. “The new dynamics of strategy: Sense-making in a complex and complicated world”. IBM Systems Management Journal. Volume 42, Number 3, 2003. http://www.research.ibm.com/journal/sj/423/kurtz.html From Pollard, D. How to Save the World. March 24, 2005. http://blogs.salon.com/0002007/2005/03/24.html LIS580- Spring 2006

21. Fundamental Changes Facing Managers FIGURE 1–2 G.Dessler, 2003 LIS580- Spring 2006

22. Two Books to Read • Reich, Robert B. The Work of Nations: Preparing Ourselves for 21st Century Capitalism. Vintage, 1992.http://www.amazon.com/exec/obidos/tg/detail/-/0679736158 • Friedman, Thomas L. The World Is Flat: A Brief History of the Twenty-first Century. Farrar, Straus and Giroux , 2005. http://www.amazon.com/exec/obidos/tg/detail/-/0374292884 LIS580- Spring 2006