Lectures

Page 1

Lecture 9. Organisational culture

1). What is organisational culture?

Culture refers to the typical way of working within an organisation as demonstrated by the behaviours of the people that work for it.

“… it reflects the underlying assumptions about the way work is performed; what is acceptable and not acceptable’; and what behaviour and actions are encouraged and discouraged”.

(Atkinson cited in Mullins, 2013)

‘The way we see and do things around here'

…it’s built up through traditions, history and structure

‘Who we are… what we stand for… what we do…’

Gives the organisation a sense of identity

Culture by definition is elusive, intangible, implicit, and taken for granted.

set of assumptions, understandings, and implicit rules

New employees are not acceted as full members of the organisation until they learn organisation rules.

2). What is organisational culture about?

Shared values, norms and behaviours that guide how employees to work within an organisation and act as a cohesive force

Values and rituals which serve as “glue” to integrate the members of the organisation

3). What aspects of culture do you know?

There are visible and hidden elements of culture.

4). What visible elements include?

•Uniform/dress style

•Physical environment

•Products and services offered

•Business has mission and vision statement

5). What hidden elements include?

•Leadership style

•Power and politics

•Values, attitudes and beliefs of employees- the practices that become acceptable ways of doing things at work

*Some ompanies can publish their values.

6). Why does organisation culture matter?

•Culture influences the behaviour of people

•Values matter when managing people (e.g. Working as a team; deliver best quality beyond, innovation, continuous improvement)

7) What is the difference between strong and weak cultures?

Strong cultures:

•Widely shared values

•Culture conveys consistent messages about what is important

•Values are deeply and widely shared

•Have greater influence on employees

•Employees are more committed to the values

•Employees more loyal

•Organisation performs better

•Values are clear and widely accepted, employees know what they are supposed to do and what is expected of them

Weak cultures:

•Values limited to few people- usually top management

•Culture sends contradictory messages about what is important

•Employees have little knowledge about the organisation history or heroes

•Employees cannot fully identify with the culture

•Little connection with shared values and behaviours

8) How cultures is created?

Leaders ->

Actions and behaviour of leaders;

what leaders pay attention to;

what gets rewarded and what gets punished;

allocation of attention and resources

->

Culture

9) What are 4 types of culture?

Power Culture

Role Culture

Task Culture

Person Culture

1. Dominance of an individual who makes the key decisions throughout the organisation. Small number of people have all the control and power

2. Power is based at the top levels of hierarchy. Work based on rules and regulations, split into various functions. Employees focus on the particular role or task that has been assigned to them by their job description.

3. Team work used to complete a particular task. Staff feel motivated as they are empowered to make decisions with their team in order to complete tasks. Feel valued as they are given more responsibility.

4. Individuals are central to an organisation. Organisation only exists to serve the interest of others. Has no hierarchy. Commonly found in charities or non profit organisations.

10). How does each type structured?

1. Power culture

Control radiates from the centre

Concentrates power among a few

Few rules and little bureaucracy

Swift decisions are possible

2. Role culture

People have clearly delegated authorities within a highly defined structure

Hierarchical bureaucracy

Power derives from a person's position

Little scope exists for expert power

3. Task culture

Teams are formed to solve particular problems

Power derives from expertise as long as a team requires expertise

No single power source

Matrix organisation

Team may develop own objectives (a risk)

4. Person culture

People believe themselves to be superior to the business

Business full of people with similar training, background & expertise

Common in firms of professionals (e.g. accountants & lawyers)

Power lies in each group of individuals

11). What leadership styles suit to each type of organisational culture?

Power - Autocratic

Role - Autocratic/Paternalistic

Task - Paternalistic/Democratic

Person - Democratic

12) Why is organisational culture associated with an iceberg?

It has visible and invisible elements - like an iceberg (part of ice is seen above the sea and bottom part is under the water surface)

None of the visible elements can ever make real sense without understanding the drivers behind them.

invisible elements that are the underlying causes of what noticeable on the visible side

13) Describe the visible side of org. culture iceberg.

Visible organisational culture - the way we say we get things done.

What is included:

Vision

Strategy

Goals

Procedures

Policies

Structures

Shared values

14) Describe the hidden side of org. culture iceberg.

Invisible organisational culture - the way we really get we get things done.

What is included:

Beliefs

Shared assumptions

Perceptions

Tradition

Norms

Values

Unwritten rules

Stories

Feelings

15) What is Cultural web?

Cultural web - Identifies six interrelated elements that help to make up what is called the "paradigm" – the pattern or model – of the work environment.

By analysing the factors in each, you can begin to see the bigger picture of the culture of the organisation - what is working, what is not working, and what needs to be changed.

16) What is included in the "paradigm"?

Paradigm includes:

Stories

Rituals and routines

Symbols

Organisational structures

Control systems

Power structures

17) What does each of paradigm sections stand for?

1. Stories - The past events and people talked about inside and outside the company. Who and what the company chooses to immortalize says a great deal about what it values, and perceives as great behaviour.

2. Rituals and routines - The visual images of the company including logos, how smart the offices are, and the formal or informal dress codes.

3. Symbols - The daily behaviour and actions of people that signal acceptable behaviour. This determines what is expected to happen in given situations, and what is valued by management.

4. Organisational structure - This includes both the structure defined by the organization chart, and the unwritten lines of power and influence that indicate whose contributions are most valued.

5. Control systems - The ways that the organisation is controlled. These include financial systems, quality systems, and rewards including the way they are measured and distributed within the organization).

6. Power structures - The pockets of real power in the company. This may involve one or two key senior executives, a whole group of executives, or even a department. The key is that these people have the greatest amount of influence on decisions, operations, and strategic direction.

18) What impact does culture have on motivation and employee engagement?

Managers need to focus on shaping an organisational culture that prioritises employee motivation and engagement

Managers need to consider how passionate employees are about their work, how proud they are to tell people where they work, do they believe in the mission of the organisation and do they feel their work is valued

By focusing on influencing the right organisational culture, using both intrinsic and extrinsic rewards, companies can improve staff retention and financial performance, which can result in a healthier competitive advantage

Implementing a cultural approach to management spreads the benefits of collective participation into the lower levels of the organisation in order to secure commitment to the organisation's goals and strategies.

19). What 3 things leaders can do?

Constantly ask "WHY?"

Why do we do it this way?

If the answer is "That's just the way we've always done it," you may be scratching the surface of a much deeper issue.

Dive deep

Ask yourself what aspects of your personal value system have led to your company's success and how an over reliance on those things may be serving to cut you off at the knees.

Consult an outsider

Find an outsider who is willing to experience your organisation for a while. They may see things you don't and be able to question why you do things the way you do them.

Page 2

Lecture 6. Employee engagement

Lecture aim:

Employee Engagement & Organisational Commitment

Differences between an average employee and a great employee

Factors Contributing to Job Satisfaction and Organizational Commitment

Empowerment

1) What is employee engagement?

Focus is on motivated employees, performance.

focus on job satisfaction and fulfilment of needs.

Employee engagement examines the clarity of employees’ perceptions of what is expected of them, their relationships with co-workers and managers, and how these contribute to their experience of and involvement in their work” Smith, P. et al (2013) p.70 Organisational Behaviour

Examples of employee engagement:

- I’m an engaged employee…

- How much I engage myself at work is determined by my level of contribution and satisfaction in my job

- I feel motivated to contribute to the success of the organisation I work for

- I use my skills, talents and discretionary efforts to make a positive and sustainable difference where I work

- I’ve committed myself to my organisation's goals and values….

- I have an enhanced sense of my own well-being

2) What are 3 dimensions of employee engagement?

Emotional – enjoy coming to work, satisfaction, connected to co-workers

Cognitive – job uses employees’ skills and abilities appropriately

Behavioural – willing to put in more effort and increase performance as required (CIPD, 2012)

3) Why is Employee Engagement important?

Research of 900 global organisations (by Kanter and MacKenzie) showed a link between employee engagement and financial performance (Hewitt , 2010).

Organisations with high levels ( > 65% of employees engaged) of employee engagement performed better financially.

Companies with low engagement ( < 40% of employees engaged) had a shareholder return that was 40% lower than average.

4) Why does Employee Engagement Matter?

Gallup found that businesses that had engaged employees were two times as likely to be successful as a business;

A Gallup 2012 survey wanted too see if high employee engagement really made a difference;

High employee engagement resulted in greater attendance, fewer safety incidents, higher productivity and profitability, and lower turnover;

Those who had the most engaged employees fared even better– they were four times as likely to be successful.

5) What drives employee engagement?

Key Drivers of Employee Engagement:

Pay

Recognition

Pride in Working for the Organisation

Belief in Senior Management & Leadership

Relationship with Line Manager

Career Opportunities

6) What is the use of key drives of employee engagement for organisations?

Successful organisations improve by focusing on a small number of high-impact initiatives aimed at addressing their key engagement drivers.

Managers can seize the opportunity to improve employee engagement to drive business results

Examples of how influence employee engagement:

From manager side:

- What can I do to engage you more?

From employee side:

- Allow me to give my opinions before you make a decision

- Ask me how I’m doing

- Provide me with opportunities to improve & develop my skills & capabilities

- Encourage me to think creatively

- Inspire me…! Set high personal standards, that I’ll want to copy

- I want to have a good relationship with you…treat me with respect

- Give me challenging tasks that develop my skills

- Provide me with opportunities for career advancement

7) What are 8 things that make employee feel engaged?

Clarity

Mature of Work

Workload

Autonomy

Growth

Fairness

Relationships

Recognition

8) Provide an example of what impacts on the employee engagement?

30% of teamwork

50% of management

20% company

9) What’s the difference between an engaged & a disengaged employee?

Engaged employees :)

Work with passion

Have a strong bond with their organisation

Introduce new ideas and move the company forward

Disengaged employees :-I

Sleepwalk through the day

Only show minimum engagement with their work

Put in their time without energy or passion

Actively Disengaged employees :(

Are unhappy

Undermine what their colleagues accomplish

Add costs to the business activity

Comparison table:

Engaged employees Disengaged employees

Deliver …. * Reduction in productivity

Improved business performance * Loss of key talent (high turnover)

Profits * Difficulties when embedding organisational change

Customer service * Negative impact on creativity and commitment

Innovation * Little inclination to use their knowledge and skills for the good of the organisation

Staff retention * Increase in absence

Efficiency and effectiveness

Brand reputation (employer brand)

10) What are 10 personal characteristics of engaged employee?

Ambitious (The perfect employee will always want to improve and will have big goals)

Autonomous (The ability to work on tasks y themselves with very little help)

Humble (it's important to stay grounded, and not get too arrogant)

Passionate (passionate for what employee is doing)

Confident

Honest

Creative (Look for the employee who asks unexpected quotations)

Reliable (Someone you can always count on, no matter what)

Eager (An ideal employee will be eager and hungry, always wanting to learn new skills)

Positive (Having a positive attitude)

11) What are 10 personal characteristics of disengaged employee?

Complain

Make excuses

Lack Enthusiasm

Doesn't help others

Gossip

Liar

Know-it-all

Independent

rresponsible

No initiative

No questions

No growth

Distracted

12) Do you recognise any of these (engaged and disengaged) traits in yourself?

13) What is the difference between average employees and great employees?

Average employees

Come to work just for the paycheck

No desire to learn new things

Don't read

Don't plan

Resist change

Blame or justify

Motivated out of fear

Never contribute new ideas

Poor health habits

Love waiting time

Poor teammates

A drag to be around

Great employees

Love doing great work

Constant learners

read regularly

Embrace change

Plan for success

Takes responsibility

Motivated by a sense of excellence

Idea machines

Great health habits

Hate waiting time

Team leaders

Fun to be around

14) What are 4 key emotions that lead to engagement?

Enthusiasm -employees are enthusiasts about work

Inspired - employees are motivated by their leaders

Empowered - employees are allowed to do the work their way

Confident - employees are sure they can achieve excellence

15) How is Maslow's Hierarchy of needs applied to employee engagement?

* Look at the picture in separate file for this Topic.

16) What does employee empowerment include?

Empower

Enhance

Enable

Engage

17) What does employee empowerment mean?

- It means different things in different organisations, based on culture and work design.

Employees are allowed greater freedom, autonomy and self-control over their work and the responsibility for decision-making

It is based on the concepts of job enlargement and job enrichment

18) Wt is job enlargement?

Job enlargement is an increase in job tasks and responsibilities to make a position more challenging. It is a horizontal expansion, which means that the tasks added are at the same level as those in the current position

19) What are benefits of empowerment?

Increased productivity

Increased enthusiasm

Increased morale and motivatoin

Higher quality services

Improved team work

Increased competitiveness

Decreased emotional impact of restructuring

20) What is Organisational Commitment?

- It is the feeling of responsibility that a person has towards the mission and goals of an organization

It is the bond employees experience with their organisation

When an individual has job commitment, he or she is more likely to perform tasks and responsibilities that will help an organisation achieve a goal

21) What do committed to the organisation employees fell?

Employees who are committed to their organisation generally

feel a connection with their organisation

feel that they fit in

feel they understand the goals of the organisation

22) What should managers do in order to make easy the job and motivate employees to do great job?

Manager input:

Clear purpose & value of work

Praise & appreciation

Work allocation based on intererest

Focus on strength

Ability to use talent each day

Listening & discussing real issues

23) What are the benefits to the organisation?

Benefits to the organisation:

Focused effort and better outcomes

Decreased absenteeism &turnover

Greater innovation

Greater commitment to the organisation

When employees are engaged the following benefits can be seen:

Employees’ skills and knowledge can be better used > higher productivity

Employees feel more valued > more likely to stay and to contribute more

The organisation gains a positive reputation > easier to recruit good employees

Conflict is reduced and co-operation between employer and employee is based on interdependence

24) How could you benefit if to engage+enable your employees?

Increase employee performance by 40%

Increase customer satisfaction rates by 18%

Multiply your financial success * 4,5

Decrease employee turnover by 14%

25) Can your provide examples on employee engagement?

Examples on employee engagement:

№1

Cooperative Group

- Staff have informal meetings, all encouraged to contribute over coffee and cake

John Lewis

- John Lewis have a suggestion scheme, management consultations and a culture of knowledge sharing

- The CIPD(2009) a suggests that a poor work-life balance and lack of flexibility are barriers to engagement

Source: Smith et al. (2013),Organizational Behaviour

№2

KPMG’s engagement strategy

Shorter working week

Working from home

Job sharing

Unpaid leave

Career breaks

‘Glide time’ – when the start and finish times of the working day an be adjusted

Annualised hours

B&Q’s engagement strategy

Managers more accountable for engagement within their teams

Management training

Action planning

Review and performance

Summary

Employee engagement involves providing workers with the right conditions to give their best at work

Teamwork, management & leadership and company culture are key drivers of employee engagement

Engaged employees provide value to an organisation; disengaged employees can add costs to business activities

Employee motivation is closely linked to levels of engagement

Employee empowerment offers individuals greater power on decision-making and over their work

Employees who feel they ‘fit’ the organisation are more likely to be committed

Page 3

Lecture 5. Motivation in the workplace

Lecture aim:

To gain an understanding of how motivation influences performance and productivity in the workplace.

Objectives:

To define motivation

To identify the key theorist/theories relating to motivation

To examine how motivation influences employee performance

To discuss the challenges of motivation in the new workplace

1) Answer 4 questions for yourself:

Why do some people work hard - probably far harder than they need?

Why do some people not work as hard as they reasonably could when they are at work?

Why do some people work below their best?

Why do they not put in more effort?

2) What task do managers have regarding their employees?

Managers have the task of influencing people to apply their efforts to attaining organisational goals.

3) What is motivation?

The degree to which an individual wants and chooses to engage in certain specified behaviour’. (Mullins, 1996 p.480)

(Additional definitions)

- Motivation is the energy and commitment a person dedicates to a task.

- Motivation a set of forces that energise, direct and sustain behaviour.

- Motivation is the art of getting people to do what you want them to do because they want to do it.

4) Where does motivation come from?

Motivation comes within (internal) push forces

or

outside (external) pull forces.

5) What is motivation concerned with?

Motivation concerned with the desire to do something or achieve a particular result.

6) What motivates you?

7) What two types of motivation in the workplace exist?

Extrinsic and Intrinsic Motivation.

8) What is a difference between intrinsic and extrinsic motivation?

Intrinsic:

- this is a personal orientation to work and concerned with "oneself"

- relates to the intangible (psychological) rewards, such as sense of challenge &achievement; interest in the job; using one's ability' positive recognition; receiving appreciation; personal growth & development; being treated well)

- motivation that is driven by an interest

- exists within the individual

Extrinsic:

- this is an 'instrumental' orientation to work and concerned with 'other things'

- relates to the tangible rewards, such as salary; benefits; security; promotion; conditions of service; conditions of work; work environment.

- comes from the outside of an individual.

9) Name and describe two motivation theories.

Content Theory

Focus is on: What motivates individuals

Maslow's Hierarchy of Needs; Herzberg’s two factor model;McGregor’s Theory X & Y

Process Theory

Focus is on: how does the process motivate an individual

Adam’s Equity Theory; Lock’s Goal Setting Theory; Vroom’s Expectancy Theory

10) Describe each theory*

* Отдельный файл будет с картинками!

11) What results can motivated employees bring?

Greater productivity

Better quality products or service

Lower staff turnover

Reduced absenteeism

12) what 3 things can impact motivation?

Motivation varies over time and according to circumstances

Individuals have different needs and expectations

A person’s age and the type of job they do will influence a person’s motivation

13) What two methods of motivation in the workplace exist?

Monetary methods

Non-monetary methods

14) What 6 monetary methods exist? (provide description for each of them)

Fringe benefits

Examples include company cars and discount vouchers. May not encourage greater productivity but often build company loyalty.

Bonuses

A payment usually related to the achievement of a target. Usually easier to apply to sales or production than the provision of a service.

Profit share

Employees are encouraged to work hard to ensure that the business is profitable, however, it is usually spread evenly between both hardworking and less hardworking staff.

Commission

Payments are made in relation to the number or value of sales made. Encourages increased sales but may lead to heavy handed selling techniques.

Piece rate

Payments are made per item produced. Encourages productivity but sometimes at the expense of quality.

Overtime

Additional payment made for extra hours worked. Can provide greater flexibility to the workforce but may result in low productivity during normal working hours so employees can access overtime payments.

15) What 6 non-monetary methods exist? (provide description for each of them)

Job rotation

Employees move between different jobs e.g. on a production line. Results in flexible, multi-skilled staff but ultimately workers may just be moving from one boring job to another.

Job enlargement

Workers are given a wider variety of different tasks to carry out although there is no increase in the level of responsibility. This is sometimes called horizontal loading.

Job enrichment

Giving employees the chance to fully utilise their abilities through, for example, providing a range of challenges, training workers and allowing them to demonstrate their skills.

Empoverment

Allowing workers greater autonomy. They have greater freedom and power to control their own working lives.

Team-working

Involves organising workers into groups, setting team goals and awarding team rewards for achieving targets. Team-working fits with Mayo’s findings.

Participation

Employees participate in organisational decision making through such things as quality circles and works councils.

Summary:

Content theories of motivation - Maslow & Herzberg (based on the Human Relations approach to management)

Process theories of motivation – Vroom and Adams

Individuals are motivated in different ways

Motivated employees are contented and more productive

Various motivation techniques (monetary and no-monetary) are used in the workplace

Page 4

Lecture 4. Leadership

Lecture aim:

�To define leadership

�To explore leadership skills

�To examine different leadership styles and theories

�To examine the link between effective leadership and motivation

1) What is leadership?

(several variants)

- it's a two-way process in which a manager influences and guides workers wards the achievement of organisational objectives

- it's the act of establishing direction. purpose and the necessary capabilities among a group of people.

- it's a process where an individual seeks to influence others to contribute voluntary to the achievement of group tasks.

2) What does a leader seek?

A leader actively seeks the participation and commitment of all the team in achieving group goals.

3) What is a difference between management and leadership?

Management is doing things right.

Leadership is doing the right things.

4) What is the task of a leader?

The task of a leader is to get his or her people from where they are to where they have not been

5) What attributes should leader have?

Ability to inspire

Vision

Communication

Intuition

Confidence (in self and others)

Creativity

Positive attitude

Exemplifying organisation's values

Courage/farlesness

6) What makes an effective leader?

Inspiration

Integrity

Clear goals

Good example

Vision

Clear communication

Expects the best

Support

Encouragement

Recognition

Stimulation work

Focus on team interests and needs

7) Have you met or do you work with someone who you think is an effective leader?

8) What theories of leadership exist?

- Style Theory

- Trait Theory

9) What does Style Theory speak about?

Style theory answers this questions: What Does a Good Leader Do?

Style theories focus on the leader’s behaviour or style at work, rather than personal characteristics.

10) What does Trait Theory speak about?

Style theory answers this questions: What Type of Person Makes a Good Leader?

Focuses on the qualities, personality characteristics, or "traits" required for effective leaders.

11) How many leadership styles exist? Name each of them.

Autocratic*

Democratic*

Laissez-Faire*

Transformational

Transactional

* The difference between those 3 style is given in additional file with a picture.

12) Which factors influence leadership style?

The personality of the manager

The skills and abilities of the manager

The skills and abilities of the team of workers

The tradition and culture of the organisation

The type of industry

Circumstances

The nature of the tasks being carried out

13) What are advantages and disadvantages of Autocratic Leadership?

Advantages:

Autocratic management allows quick decisions to be made

Often necessary during crisis situations

Can ensure that the direction of the organisation remains in line with organisational objectives

Disadvantages:

Workers may become dependent on the managers

Little creativity is encouraged

Employees may not be given the opportunity to express their ideas

May lead to workers feeling ignored or demotivated

Examples of how would autocratic leader behave:

- I’m an AUTOCRATIC leader….what I say goes… got it!

- I ‘TELL’ people what to do!

- I’m in control of EVERYTHING

- I don’t need to have a discussion with you…and I definitely don’t want any disputes.

- I tell you what to do and you do it…ok?!

- I don’t want your opinions…nor do I need you input.

- I make the decisions…ALL of the decisions…!

14) What are advantages and disadvantages of Democratic Leadership?

Advantages:

Democratic management can gain commitment, especially during periods of change

Employees are more likely to buy into decisions

Motivation may improve

Disadvantages:

Decision making can become slower

Examples of how would autocratic leader behave:

- I’m a DEMOCRATIC leader…I like your ideas and suggestions.

- I ‘CONSULT’ with my staff.

- ….let’s work together!

- Discussing issues and problems with my staff helps me make better decisions.

- I want my employees to share information with me.

- I like my employees to freely offer their opinions and input.

- I want to provide everybody with an opportunity to participate in the process of decision making.

15) What are advantages and disadvantages of ‘Laissez Faire’ (Free Rein) Leadership?

Advantages:

Useful for skilled, creative and well-trained employees

Can motivate workers as they have more control over their working lives

Disadvantages:

Decision-making can become very time-consuming and may lack direction

May lead to chaos if good teamwork, feedback and working relationships are not evident

Danger of lack of control and direction

Examples of how would autocratic leader behave:

- I’m use the ‘LAISSEZ FAIRE’ style of leadership.

- I ‘LET’ my staff do what they want to do….I’m ‘hands off’!

- I trust my staff to do their jobs well.

- I give very little direction to my staff because they know what they need to do and how to do it…they are highly experienced.

- I give my employees a broad outline of what needs to be done.

- I allow my staff to manage their own time and duties.

- I let them make their own decision….they know best.

16) How choice of leadership style is determined?

- The style of leadership and the reactions of the group will be determined by the situation concerned (tasks, environment, workers).

For example, a usually democratic manager may need to use an autocratic management style during a crisis situation.

Management is dynamic and leaders will tend to select the appropriate style to fit differing circumstances.

17) What is a difference between transactional and transformational leadership?

1. Transactional leadership

focus on the role of supervision, organization, and group performance. They are concerned about the status quo and day-to-day progress toward goals;

handles day-to-day changes, and is only concerned with picking out the "rotten apples";

leadership is responsive;

works within the organisational culture;

transactional leaders make employees achieve organisational objectives through rewards and punishment;

motivates followers by appealing to their own self-interest.

2. Transformational leadership

work to enhance the motivation and engagement of followers by directing their behaviour toward a shared vision;

solves the "root" of the problem, and allows the "tree" flourish;

leadership is proactive;

work to change the organisational culture by implementing new ideas;

transformational leaders motivate and empower employees to achieve company's objectives by appealing to higher ideals and moral values;

motivates followers by encouraging them to transcend their own interests for those of the group or unit.

18) What is a difference between management and leadership?

Management Leadership

Management is doing things right Leadership is doing the right things

Produces order and consistency Produces change and movement

1. Planning and budgeting 1. Establishes direction

Establishes agendas * Creates a vision

Sets timetable * Clarifies the big picture

Allocates resources * Sets strategies

2. Organising and staffing 2. Aligns people

Provide structure * Communicates goals

Make job placements * Seek commitment

Establish rules and procedures * Builds teams, coalitions, alliances

3. Controlling and problem solving 3. Motivates and inspires

Develop incentives * Energizes

Generate creative solutions * Empowers subordinates & colleagues

Take corrective action * Satisfies unmet needs

Summary:

�Leadership should be dynamic

�Different types – autocratic, democratic, laissez-faire, transactional, transformational

�Disagreement as to whether leadership traits can be learned

�Range of characteristics seem to be required for effective leadership

�Effective leadership determined by those being led as well as those leading

Page 5

Lecture 3. Developments in Approaches to Management

Lecture aim:

Historical developments in approaches to management

Identify the key theorists & theories relating differing styles of management

Introduce the concept of Human Resource Management

Identify contemporary approaches used today

What will you learn in this session:

Early influences on management theory

Characteristics of different approaches to management

Types of management used in Business

1) What 4 approaches to management exist?

Classical Management

Scientific Management

Human Relations Management

Human Resource Management

2) What is Classical Management?

- It is a process consisting of several related functions, such as planning and organizing.

It focuses on the productivity, output and efficiency of workers;

By identifying specific business functions—including marketing, finance, production, managers can efficiently divide an organisation into departments that work as a process;

Structured chains of authority and responsibility can successfully facilitate the performance of employees within departments to achieve company goals.

3) Who created 14 principles of management?

Henri Fayol

Henri Fayol (born 1841 in Istanbul; died 1925 in Paris) was a French management theorist. Henri Fayol was one of the most influential contributors to modern concepts of management, having proposed that there are five primary functions of management.

3.1.) List 5 functions of management.

1. Planning,

2. Organizing,

3. Commanding,

4. Coordinating, and

5. Controlling (Fayol, 1949, 1987).

4) List 14 principles of management?

Division of work and specialisation

Authority must match responsibility

Discipline

Unity of direction

Unity of command

Suppression of individual interest to the general interest

Remuneration must be fair in relation to effort

Centralisation

Scalar of hierarchy principle of line authority

The principle of order

Equity

Stability of tenure of personnel

Importance of initiative

Importance of ‘Esprit de Corps’

5) How does this work in Business?

6) What is Scientific Management?

It is the art of knowing as a manager, exactly what you want your workers to do

then making sure they do it in the best, cheapest and most efficient way.

How work Scientific Management:

-> Allocate the work between managers and workers – managers plan & train workers perform task efficiently.

-> Train them to work at maximum efficiency following precise instructions.

-> Supervise to ensure that they're using the most efficient ways of working.

-> Monitor worker performance.

-> Provide incentives for good performance.

-> Use scientific method to study work & determine the most efficient way to perform specific tasks

AND Match workers to their jobs based on capability and motivation.

-> Determine the best way for a worker to do their jobs.

6.1) What drawbacks does Scientific management have?

While scientific management principles improved productively and had a substantial impact on industry, they also increased the monotony o work.

While in many cases the new ways of working were accepted by the workers, in some cases they were not.

The use of stopwatches often was a protested issue and led to a strike at one factory where "Taylorism" was being tested.

Complaints that Taylorism was dehumanizing led to an investigation by the United States Congress

7) Who is Fredrick Taylor?

Frederick Taylor (1856-1915) "The Father of Scientific Management".

Scientific Management theory arose from the need to increase productivity in the U.S.A. especially, where skilled labor was in short supply at the beginning of the twentieth century. The only way to expand productivity was to raise the efficiency of workers.

Taylor devised four principles for scientific management theory, which were:

1. The development of a true science of management,

2. The scientific selection and training of workers,

3. Proper remuneration for fast and high-quality work

4. Equal division of work and responsibility between worker and manager

8) Can you provide examples of Taylor's theory of Scientific Management application in the modern workplace?

First example:

Call centres

Working at fast pace

Call duration

Scripting- standardized

Operators dealing with one type of enquiry from callers

Target driven

Teams within call centres resemble lean production in manufacturing

9) What is Taylorism?

- Production efficiency methodology that breaks every action, job, or task into small and simple segments which can be easily analyzed and taught.

In simple words:

The idea of training, rewarding and providing a stable working environment meant workers work harder under better working conditions.

10) What are 6 goals of Taylorism?

Taylorism:

aims to achieve maximum job fragmentation to minimize skill requirements and job learning time,

separates execution of work from work-planning,

separates direct labor from indirect labor

replaces rule of thumb productivity estimates with precise measurements,

introduces time and motion study for optimum job performance, cost accounting, tool and work station design, and

makes possible payment-by-result method of wage determination.

11) provide example of Taylorism.

Beauty industry:

Step-by-step manicure

Make-up assembly

Beauty products assembly line

12) What are negative aspects of this management approach?

- While scientific management principles improved productivity and had a substantial impact on industry, they also increased the monotony of work.

- While in many cases the new ways of working were accepted by the workers, in some cases they were not.

- The use of stopwatches often was a protested issue and led to a strike at one factory where "Taylorism" was being tested.

- Complaints that Taylorism was dehumanizing led to an investigation by the United States Congress.

13) What is Human Relations Management?

It focuses on ’the social factors at work and the behaviour of employees within an organisation’ Mullins (2002) p64.

It examined the effects of social relations, motivations and leadership style on employee productivity

It aims to understand the needs of workers and how the needs of the organization and its workers could be better united

The human relations movement led to ideas on increasing production by humanising the work organisation

Human resource management tries to create an organisation which:

Achieves objectives while satisfying its members

Encourages high productivity and low absenteeism

Stimulates co-operation and avoids industrial strife

14) Who created the Hawthorne Studies?

Elton Mayo

15) What can you say about Elton Mayo?

He was a researcher at the Western Electric Company in Chicago between 1927 -1932

He carried out a series of experiments called the Hawthorne Studies

(The Hawthorne Experiments began as a study into physical conditions and productivity. They ended as a series of studies into social factors)

From his observations Elton Mayo found that employee productivity varied depending on the environmental conditions

He concluded that that employees are motivated far more by relational factors such as attention and friendship than by monetary rewards or environmental factors such as lighting, humidity, etc.

He believed the reason workers are motivated is that individuals have a deep psychological need to believe that their organization cares about them, is open, concerned, and willing to listen to them

16) What are main points of the Hawthorne Studies?

Main conclusions -

Individual workers cannot be treated in isolation, but must be seen as members of a group.

The need to belong to a group and have status within it, is as important as monetary incentives or good physical working conditions

Informal (or unofficial) groups at work exercise a strong influence over the behaviour of workers.

Supervisors and managers need to be aware of these social needs and cater for them if workers are to collaborate with the organisation rather than work against it.

The Hawthorne Experiments began as a study into physical conditions and productivity; it ended as a series of studies into social factors.

17) What is the Significance of the Human Relations Movement today?

They …’generated new ideas concerning the importance of work groups and leadership, communications, output restrictions, motivation and job design’ Mullins (2002) p 67

The Hawthorne Studies were important because they showed that how managers behave is a vital aspect of motivation and improved performance ….and the importance of informal work groups.

Crainer (1998)

18) What is the meaning (philosophies) of HRM?

The recognition of people’s needs and expectations at work

Respect for the individual

Justice in treatment and equitable reward systems

Stability of employment

Good working environment and conditions of service

Opportunities for personal development and career progression

Democratic functioning of the organisation and full observance of all laws and codes of conduct relating to employment

19) What HR factors you know?

HR Planning

Recruitment & selection

Induction of new employees

Training & Development

Performance appraisal

Remuneraton & benefits

Implementing disciplinary procedures

Motivating

Implementing safety policy

20) What 2 approaches of HRM exist?

Soft HRM

Hard HRM

21) What does soft HRM approach include?

1. Opportunities for staff development

Training

Talent development

Internal promotion

2. Empowerment

3. Consultation

4. Greater autonomy and responsibility

Flatter organisational structure

22) What does hard HRM approach include?

1. Control mechanisms

Judgemental appraisals

Centralised decision making

Tall organisational structure

2.Fixed term contracts

3. Minimum wage

4. External recruitment

Some more personal questions for conclusion:

Have I practiced any of these management approaches?

What approaches are used in my workplace?

Are they effective?

Could they be improved?

Page 6

Lecture 2. Introduction to Management

Lecture aim:

Introduce the concepts of People and Organisational Management

Identify and discuss the Role & Functions of Management

Examine the competencies that are necessary to be an Effective Manager

Identify different Types of Organisations

What you will learn:

Definitions of management

Role and Functions of a Manager

Key Management Competencies

Definition of an organisation

Nature and types of organisations

1) What is Management?

“Management is art of getting things done through people.”

“Management is the activity of getting things done with the aid of people and other resources” Boddy, D. (2014 p.10)

“To manage is to forecast and plan, to organise, to command, to co-ordinate and to control” Fayol (1916)

It’s the “process or activities (thinking as well as acting) which have to be preformed in order to get something done” Keuning, D. et al (2010 p. 9)

“Essentially management is about organising people and resources productively, to the mutual benefit of both the organisation as a whole and the individual employees. The manager should see him or herself as facilitating the process” (Dixon 1972, pp 89)

2) What is the role of a business manager?

Responsible for the day to day running of the business*

Ensure that the business is running smoothly and efficiently*

Staff are allocated the correct work load for their skills

Make sure customer satisfaction is maintained and products/services are of a consistently high standard

Responsible for discipline and the hiring and dismissing of staff

Possibly also organising staff rotas and holiday

3) What is primary function of Management?

Management's primary function is to get people to work together for the attainment of an organization's goals and objectives.

4) What are 5 management functions?

Planning

Organising

Staffing

Directoring

Controlling

5) Who is a manager?

It's someone who

directs processes and activities

gets work done through other people by initiating and directing actions

gets things done with the aid of people and other resources

makes ongoing decisions about what work has to be done, how it has to be done, who has to do it.

6) What does manager have to do?

Motivate

Communicate

Plan

Co-ordinate

Organise

Lead

7) What is a manager responsible for?

Manager is responsible for:

Motivating.

- meeting the social and psychological needs of employees in the fulfilment of organisational goals.

Planning.

- deciding the objectives or goals of the organisation and preparing how to meet them.

Controlling.

- monitoring and evaluating activities, and providing efficient ways of getting things done.

Organising.

- determining activities and allocating responsibilities for the achievement of plans.

8) What skills and personal qualities are important for management?

Ability to use initiative when undertaking decision making;

Ability to deal with “difficult” salon situations such as client complaints and staff disagreements in a diplomatic fashion;

Willingness to work flexible hours;

Good “people” skills - be able to understand and assist staff if they need help or are having difficulty which affect their work;

Exemplary organisational skills including timekeeping and keeping records;

Ability to remain fair and professional at all times;

Team leadership qualities i.e. being a good motivational speaker and example setter to the rest of your staff during team meetings and one to one discussions;

Be able to deal with problems which may arise on a day to day basis in a stress free and calm manner.

9) What are 5 questions good manager should ask?

Am I a good role model?

Do I help employees understand what they need to do?

How do I support my employees?

How do I manage difficult situations?

When was the last time I asked employees for their views?

10) What is an organisation?

It is a collection of people working together in a coordinated and structured fashion to achieve one or more goals.

11) How are those goals achieved?

Organisations use management to accomplish the work that is required to achieve the goals.

12) What are 9 determining features of an organisations?

Age

Size

Location

Culture

Management Style

Industry sector

Future Plans

Technology

Stakeholders

13) What is an organisational chart?

An organisational chart is a diagram that shows the structure of an organisation and the relationships and relative levels of its parts and positions.

14) What is the purpose of an organisation?

in order to achieve objectives and to provide satisfaction for their members;

to enable objectives to be achieved that could not be achieved by the efforts of individuals on their own;

because groups of people working together can achieve more than the sum of the achievements which the individuals in the organisation could produce when working separately.

15) What types of organisations you know?

1. Private sector

Profit-making

Non-profit-making (voluntary sector)

2. Public Sector

Summary:

Management:

the art of getting things done through people

It is a process or series of continuing and related activities

It involves and concentrates on reaching organizational goals

It reaches these goals by working with and through people and other organizational resources

Personal questions:

What specifically, did you do to ‘get things done with the aid of people and other resources’?

Decide if what you did accurately describes ‘management’?

What do you know about management in the beauty industry ?

Can you apply some of the principles learned in today’s lecture?

Page 7

Lecture 1. Introduction

Lecture outcomes:

1.Demonstrate an understanding of management theory and contemporary issues relevant to the management of people and organisations

2.Explore the role and impact of managers and leaders on individuals, groups and organisations

3.Identify and recommend proposals to resolve people management issues at individual, group and organisational levels

Schedule of topics:

The Nature of Organisations

Contemporary Approaches to Leadership and Management

Organisation Culture

Effective Team Management

Motivation and Employee Engagement

Planning & Decision –Making

The Changing World of Work

Application of theory to practical scenarios

Assessment:

2-Hour Exam

Pre-released Case Study

Questions – mix of multiple choice and short answer

100% Weighting

What is a Case Study?

An account of an activity, event or problem that contains a real or imaginary situation

It can include the difficulties you would encounter in the workplace

Case studies are used to help you see how the complexities of real life influence decisions

Analysing a case study requires you to practice applying your knowledge and your thinking skills to a real situation

To learn from a case study you will be "analysing, applying knowledge, thinking and drawing conclusions" (Kardos & Smith 1979)

According to Kardos and Smith (1979) a good case has the following features:

It is taken from real life (true identities may be concealed)

It consists of many parts and each part usually ends with problems and points for discussion

It includes sufficient information for the reader to treat problems and issues.

It is believable for the reader (the case contains the setting, personalities, sequence of events, problems and conflicts)