Chapter 2

Management, Supervision, and Decision Making

Section 2.1

Increasing Management Effectiveness

JOURNAL:Who is an effective leader that you know of? What attributes did this person have that made them an effective leader?

What motivates you to do your best?

Management Roles Managers are responsible for getting the

work of an organization accomplished through the efforts of other people

Some managers use threats and punishment (may lead to poor quality)

One of the main challenges managers face is determining the best ways to work with employees to prepare and motivate

By studying managers daily work schedules, 3 management roles were identified

Management Roles Definition: Common set of activities

that make up an important part of a managers job

3 main roles: Communicators, relationship builders, and decision makers

Communicators Able to gather important

information, used appropriately, and shared with those who need it

Act as spokesperson inside and outside of the organization

Relationship Builders Represent their organization and

maintain effective relationships with others

Create positive and motivating environment

Interact with other managers, develop and support subordinates, and resolve conflicts

Decision Makers Constantly on the lookout for new

opportunities and areas for improvement Determine the best way to allocate

resources to meet the needs of the organization

Solve problems, take corrective action, recognize and reward success

Getting Work Accomplished Mgt jobs are organized around the 4

management functions• Planning, Organizing, Implementing,

Controlling

Managers use resources available to them to get work accomplished

Main resources: People, money, facilities, equipment, and materials

Continued Most important resource: Employees Determine what work is best for

each employee Make sure employees have the

resources they need See Figure 2-1 pg. 30

Getting Work Accomplished 1)First step for managers is to develop a plan Plan shows how the resources will be used 2) 2nd step is to organize Organizing for managers is mostly making

sure that resources are available when needed

When resources are available implementation will take place (3)

Controlling is final step, check to see resources were used effectively or if changes need to be made

Example Pg. 31 What’s the goal of a school? Who is necessary to complete this

task? See pg. 30 Facts and Figures

Principles of Effective Mgt Businesses change in style every

few years As business structure changes

effective management techniques also must change

See caption pg. 32

Management Principles Come from the studies of effective

organizations and managers Definition: The fundamental guidelines for

the decisions and actions of managers Pg. 32 “6 Effective Management Practices” Must be consistent and objective in mgt

work (can’t rush to judgments, be biased, or put self-interests first)

Must plan for your work and look at possible effects of actions

Section 2.2

Effective Supervision

The Supervisor’s Job Supervisors are often experienced

employees who have been put in management positions

How could this effect relationships with co-workers?

Managers who work directly with non-management employees and are responsible for translating the plans of the company into the every day work environment that motivates their employees to do their best

Supervisors Continued Important Task: Create work environment

that motivates employees to do their best Hold employees to deadlines and high

quality Really the only management that deals

with management and employees Must give employee problems to

management and solve employee problems

Supervisors continued Often little to no management training Not always an easy transition Employees go from co-workers to

subordinates Subordinate: Subject to the authority and

control of another person Must command respect yet keep

employees motivated

Effectiveness of Supervisors 3 Main factors

• 1) The quality of the work of the supervised employees

• 2) The efficient use of the company’s resources• 3) The satisfaction of the supervisors employees

Question: Should the success of a supervisor depend more on the performance and satisfaction of subordinates or on the supervisors individual job performance?

Responsibilities of Supervisors Time is often divided between

management activities and other work

Must implement plans developed by the executives

Supervisory jobs vary greatly from position to position

Common Set of Responsibilities

1) Communicate the Goals and Directions of Management to Employees

Employees must know what is expected of them to be effective

Good supervisors show why company goals are important

Common Set of Responsibilities Cont.

2) Explain Employee Concerns and Ideas to Management

Employees want to feel like they are part of the company (work harder)

Supervisors need to learn of their concerns and ideas

Must follow up with mgt to find out what was done

See Facts and Figures pg. 35

Common Set of Responsibilities Cont. 3) Evaluate and Improve Employee Performance Must be able to make sure that all employees are

performing as effectively as possible Supervisors perform regular performance reviews Performance Review: Procedure that evaluates

the work and accomplishment of an employee and provides feedback on performance

Can be formal or informal Must be positive and objective in reviews Provide rewards and recognition for success Provide advice and coaching for those who don’t Serious problems lead to discipline or termination

Common Set of Responsibilities Cont. 4) Encourage Employees to Do Their Best

Work If employees like their job their

performance will go up When unsure or have conflict employees

will not succeed Employees want to be accepted and

respected Want a supervisor who is approachable Want to be recognized for their success

Common Set of Responsibilities Cont. 5) Use Resources Efficiently Failure to do so will result in a loss Must control the costs of a business Examples in HHS Supervisors will have a great deal of influence on

profit or loss because of so much day to day interaction

Must constantly look for ways to operate more efficiently

Seek employee advice Pg. 36 caption

Managing Day-to-Day Activities All employees get direction from a

supervisor (usually daily) Plan, organize, implement, and

control daily Common tasks…

Scheduling Work Daily planning is done through the use of work

schedules Work Schedules: Identify the tasks to be done,

employees assigned to the work and the time frame for completion of each task

Decide who works each day and for how long, along with projects to complete

Time management is very important Time Management: Managing work schedules to

achieve maximum productivity (not wasting time)

Communication with Employees Happens daily Can be individual or as a whole group Oral or writing Electronic becoming more common Must choose the appropriate

communication at the right times Ask for feedback to check for

understanding Must be able to listen

Controlling Quality Quality Control: Process of making sure work

meets acceptable standards Some companies spend a lot of time correcting

errors or defects Careful planning, developing quality standards,

and regularly checking the quality of work being done can reduce problems

Train employees to spot quality Example: BP See pg. 37 illustration Discuss pg. 38 “Management Matters” Pg. 40 Focus on Innovation

Improving Supervisory Skills One of the biggest challenges to new supervisors is

getting away from non-management activities and into management functions

Why? Can’t do the job for employees Employees resent managers that do too much Must trust in your employees work Most supervisors will get special training Work Coaches: Experienced manager who meets

regularly with an new manager to provide feedback and advice

How do work coaches compare to an athletic coach? If training isn’t provided the new supervisor should

research on their own

Section 2.3

Managing With Information

Using Management Information Managers need access to

information to do their job successfully

Ex: Production records, sales records, personnel, expenses, and profit or loss

Must be easily retrievable

Using Management Information Systems Management Information Systems (MIS):

Computer-based system that stores, organizes, and provides information about a business

All companies must have a form of MIS, computerized makes easiest

Plans should be based on the past and anticipated changes

Effective systems allow for “what-if” questions

What-if Analysis Definition: Systematic way to explore the

consequences of specific choices using computer software.

Ex: What if we increased sales by 5%?, What if we replaced out delivery vehicles with more fuel efficient vehicles?

Big for time saving and monitoring performance

JOURNAL You are the manager of a large retail

electronics store that is facing growing competition from Internet sales. List 3 “What-If” questions related to the future of the business. What information would you need to answer each question?

Business Research Can’t make a decision without sufficient

information about the problem or possible solutions (research is needed)

Two common research: Marketing and Product Development Research

Ex: Marketing manager trying to figure out why a product isn’t selling

No product should be produced unless you know it can be produced for a profit

Research Continued Economic factors are a major area of

research (companies, competitors, markets)

Large companies have research departments (Hershey, Nike)

Small companies outsource Universities and government do a lot of

research Pg. 42 Caption

Decision Making Many decisions are not based on

specific problems Supervisors decision making focuses

more on daily operations (schedules, project assignments)

Problems and Decision Making Problem: Difficult situation requiring

a solution Usually have multiple solutions Ex: Shipping a product from Texas to

Maine See Figure 2-3 “Problem Solving

Procedure” pg. 43

Steps in Problem Solving Procedures that are taught in

science classes are also used in business

1) Identify the Problem 2) Determine Possible Solutions 3) Analyze the Solutions 4) Select the Best solution

Identify the Problem Cant solve a problem until you know what the

problem is Many times the manager doesn’t even know that

there is a problem Can’t identify a symptom as a problem Symptom: Sign or indication of something that

appears to be the problem Ex: Headache to illness, falling sales to

placement Symptom can be used to identify the problem Earlier you can catch the problem the better

List Possible Solutions Once a problem is identified managers

should begin to list all possible solutions

Example: Poor advertising as problem All problems have more than 1 solution Must come up with at least 2 solutions See pg. 45 Mgr Perspective

Ways to create solutions Brainstorming Brain writing Wish List Discuss with people outside of the

company Look at past methods that worked

Analyze the Solutions 3rd step to problem solving Study each possible solution separately,

narrow down to a few, select the best MIS comes into play Decide which decisions are practical Important decisions may require a test

(inside or outside org.) Test may be best way to eliminate Improvement shows potential

Contingency Planning Contingency Plan: Alternative course of

action to be followed if a specific problem arises

Identify possible problems before they arise When planning have several contingencies Develop procedures in case problem does

occur Often done for new procedures or

expensive changes Can save money in the long run