Essential Standard 2.00

1. Essential Standard 2.00 Understand business organization and management.

2. Objective 2.02 Understand leadership and management.

3. Topics • Management • Leadership • Human Resource Management

4. Management

5. Management • Describe the role of a manager • Describe the five functions of management: • Planning • Organizing • Staffing • Implementing • Controlling

6. Management continued Levels of management • Top • Executives who are responsible for the overall direction of the business • Mid-Management • Specialists responsible for a specific part of the business • Supervisors • First level of management in the business • Responsible for the routine work of employees • Management by others • Other employees who are not managers, may serve as leaders for a group of employees

7. Management continued • What is management style? • Describe the different types of management styles: • Tactical • Strategic • Mixed

8. Leadership

9. Leadership • The ability to motivate others to effectively accomplish goals of the business. • What characteristics do a good leader possess?

10. Intelligence Judgment Objectivity Initiative Dependability Understanding Cooperation Honesty Courage Confidence Stability Leadership continued How many did you name?

11. Leadership continued Leadership styles Autocratic • Used when a leader needs to give direct, clear, and precise orders and makes decisions • Situations to use style: • During an emergency • To direct the work of inexperienced employees

12. Leadership continued • Democratic • one who includes employees in making decisions • Situations to use style: • To monitor quality of work of employees • To direct the work of employees working as a team • Open or Laissez-fare • one who gives little or no direction to employees • Situation to use style: • To monitor achievements and communicate regularly with employees • To direct the work of experienced and trained employees

13. Human Resources Manager

14. Human Resources Management • What is the role of human resources managers? • The functions of human resources management: • Planning and staffing • Managing compensation and benefits • Managing performance of employees

15. Human Resources Management continued • Planning and job staffing • Classifying employees • Permanent • Long term commitment • Temporary • Hired for a specific time/job • Full Time • 30 or more hours per week (usually 40+ hours) • Part Time • Short work week

16. Human Resources Management continued • Planning and job staffing • Determining job requirements: • The use of job analysis to determine all the duties for a particular job • Recruiting and hiring employees • The application process • Reviewing applications/resumes • Interviewing applicants • Checking references of applicants • Making a job offer to applicants • New employee orientation • Paperwork • Training • Mentor

17. Human Resources Management continued • Managing compensations and benefits • Compensation method • Time Wage – Direct payment per hour • Salary – Direct payment per week, bi-weekly, or monthly • Commission – Percentage of sales • Piece Rate – Payment per unit produced • Base plus incentive – Direct payment plus perfomance based pay • Employee benefits • Other items given to employee for working. For example, health insurance, vacation time, sick time, dental insurance, etc.

18. Human Resources Management continued • Managing performance of employees • Employee evaluation • Objective evaluations of emplyees’ quality of work • Promotion • Advancement of an employee to a position with greater responsibility • Transfer • Assignment of the employee to a job in another area with similar responsibility • Termination • Ends employment relationship