Leadership & Management

CDR Paul HillThe Changing Paradigm of

Management

Webster Says:Manage: to handle or direct with a

degree of skill

Manager: one who manages

Management: judicious use of means to

accomplish an end

The Book SolutionManagement is defined as the attainment of organizational goals in an effective and efficient manner through planning, leading, and controlling organizational resources“Hard” vs. “Soft”Achieving strategic objectives through sound management practices

Corporate ExamplesLee Iacocca (Strategic Management)Mary Parker Follett (“management as the art of getting things done through people”)Peter Drucker (attempts to incorporate leadership into management)Don’t be fooled!- leadership (art) = strategic vision- management (science) = execution

ManagementExecution of a strategic directionMeasurableScientificEfficientMeans to an endBottom-line driven

Management

Attainment of goalsEffectively and efficientlyThrough:

PlanningOrganizingLeadingControlling

Management Functions

PlanningWhere the organization wants to go How to get thereLong-term perspective

Management FunctionsOrganizingHow to execute “the plan”

Allocation of resourcesAssignment of tasksGrouping of tasks into departmentsUpdating management model- teams- specialtiesSelf-management

Management FunctionsLeading

Influence/motivate employees To achieve goals/objectives

Shaping (uncertainty) - Strategic direction

Positive vs. negativeCommunication and re-assessment are the keys to success

Management FunctionsControlling

Monitoring employee activitiesDetermining if the organization is on target (feedback loop)Making corrections, as necessary

Empowerment vs. autocracyIssue: Micro-management

Organizational Performance

Effectiveness – degree to which objectives are efficiently achievedEfficiency – Resources “wisely” used to achieve goals/objectivesWarning!!! Effectiveness vs. efficiency

(multi-tasking vs. quality)Issue: competing needs/priorities

(minimally manned ships)Issue: seduction of numbers

Organizational Performance

High PerformanceAchievement of strategic goals/objectives

AmbitiousRealistic

“Efficiency” the mark of a proContinuing commitment to High Performance

Elements of Management Skills

Conceptual Skill—see:Organization as a whole – Big Picture!Relationship between parts

Human Skill—Ability to work with and through people (leadership)Technical Skill—

Specific functionsSpecialized knowledgeWarning!!! (donut glazers)

Manager’s RolesInformational (seek feedback) (roles; monitor, disseminator, spokesperson)Interpersonal (communication)(roles; figurehead, leader, liaison)Decisional (resolving conflict, priorities)(roles; entrepreneur, disturbance handler, resource allocator, negotiator)

The Decision Making Process

Identifying a ProblemIdentifying Decision CriteriaAllocating Weights to the CriteriaDeveloping Alternatives Analyzing AlternativesSelecting an AlternativeImplementing the AlternativeEvaluating Decision Effectiveness

Decision-MakingSignificant responsibility- consider impact- consider implicationsDecision-Making models- “Assumption of Rationality”- “Bounded Rationality”- “Intuition”

RationalityDecision-Maker is objective and logicalProblem is clear and unambiguousSingle, well-defined goalAll alternatives/consequences knownClear and constant preferencesMaximum payoffInterest of the organizationNo time or cost restraintsEncumbrances also rational (perhaps static)

Bounded RationalityConstraints imposed by organizationUnderstanding of problem always simplifiedLimits to informationSolution: satisficing (80% solution good enough!)Figure 2-8

Role of IntuitionSubconscious decision-making based upon experience

Complements rational analysis

“Gut” vs. analysis

Decision-Making “Style”Problem Avoider (inactive)Problem Solver (reactive)Problem Seeker (proactive)Perspective: Rational vs. emotionalBalance and appropriateness

(N3 vs. N5)

Decision-Making StylesDirective; rational, efficient and logical. Low tolerance for ambiguity – thrives on consistency and order. Efficient and speedy DM. Poor use of analysis; yields good short-term decisions. Non-creative.Analytic; desire more data than “directive DM. Greater tolerance for ambiguity – considers decisions more carefully; better ability to adapt. More creative.

Decision-Making Styles (cont.)

Conceptual; visionary, big picture thinkers. Very creative. Best at strategic (long term) problem solving.Behavioral; consensus seekers. Team oriented but conflict averse. Seeks acceptance rather than results.Good leaders (managers) will frequently utilize elements from all styles in a given situation.

Decision-Maker StylesT

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High

Low

Rational Intuitive

Analytic Conceptual

Directive Behavioral

The Management Revolution

Paradigm shifts- information age- “vertical” to “learning” organizationLearning Organization- flat- team-led- stakeholders- empowerment