Published on April 26, 2014
Management 1-2 Management for any organization is a function of organizing and channeling the people together to accomplish desired goals. In common understanding, management is also referred to the body or group of persons who perform the various functions of management.
Five Functions of Management 1-3Figur
Planning • Process of identifying and selecting appropriate organizational goals and courses of action. • Complex, difficult activity • Strategy to adopt is not always immediately clear • Done under uncertainty 1-4
Organizing Task managers perform to create a structure of working relationships that allow organizational members to interact and cooperate to achieve organizational goals 1-5
Organizing • Involves grouping people into departments according to the kinds of job-specific tasks they perform • Managers lay out lines of authority and responsibility • Decide how to coordinate organizational resources 1-6
Staffing • The process of making out, assessing, appointing, evaluating and developing the employees at work in an organization is staffing. • In here the characteristics of a job are determined primarily.
• Staffing is that part of the process of management which is concerned with acquiring, developing, employing, appraising, remunerating and retaining people so that right type of people are available at right positions and at right time in the organization. • In the simplest terms, staffing is ‘putting people to jobs’.
Directing • Directing is concerned with instructing, guiding, supervising and inspiring people in the organization to achieve its objectives. • It is the process of telling people what to do and seeing that they do it in the best possible manner. 1-9
Directing • Leadership involves using power, personality, and influence, persuasion, and communication skills • Outcome of leadership is highly motivated and committed workforce 1-10
Controlling • Task of managers is to evaluate how well an organization has achieved its goals and to take any corrective actions needed to maintain or improve performance • The outcome of the control process is the ability to measure performance accurately and regulate organizational efficiency and effectiveness 1-11
PLANNING • Planning involves selecting missions and objectives and the actions to achieve them • It requires decision making that is choosing from among alternative future course of action.
Nature of Planning 1. Primacy of Planning: 2. Planning a Process: 3. Ubiquity/pervasiveness of Planning: 4. Future orientation: 5. Information base: 6. Rationality: 7. Formal and informal Nature: 8. Intellectual Process: 9. Pragmatic, action-orientation: 10. Decision making: 11. Dynamism:
Types of Plan • Purposes or Missions • Objectives or goals • Strategies • Policies • Procedures • Rules • Programs • Budgets
Steps of Planning • Establishing objectives • Establishment of Planning Premises • Determining Alternative Courses • Evaluation of Alternatives • Selecting a Course of Action • Formulating Derivative Plans • Establishing Sequence of Activities • Feedback or Follow-up Action
MANAGEMENT BY OBJECTIVES
MBO MEANING It is a process in which superiors and subordinates sit together to identify the common objectives and set the goals which are to be achieved by the subordinates and assess the contribution of each individual and integrate individual objectives with those of the organization so as to make best use of the available resources of the organization
Core Concepts of MBO • “AVOID THE ACTIVITY TRAP” Instead of just a few top-managers, all managers should: • participate in the strategic planning process, in order to improve the implement ability of the plan, and • implement a range of performance systems, designed to help the organization stay on the right track.
FEATURES OF MBO 1. MBO as a Philosophy 2. MBO as an Approach 3. Organizational and Individual Goals Determination 4. MBO is a Top-down or the Bottom-up Approach in results Management 5. MBO has Multiple Uses 6. MBO as a Performance Appraisal and Review 7. A Comprehensive System Approach 8. Guidelines for Appropriate System
PROCESS OF MBO 1. Setting of Objectives 2. Key Result Areas 3. Setting of Subordinates Objectives 4. Revision of Organizational Structure 5. Matching Objectives and Resources 6. Conducting Periodic Progress Reviews 7. Performance Appraisal 8. Feedback
IMPORTANCE AND ADVANTAGE OF MBO 1. Better Management of Organizational Activities 2. Clarity in Organizational Action 3. Provide Maximum Personnel Satisfaction 4. Basis for Organizational Change
DECISION MAKING PROCESS Decision making is the mental process resulting in the selection of a course of action among several alternatives. Decision making is the process of making choices by setting goals, gathering information, and assessing alternative occupations.
Difference between Planning and Decision Making • Planning managerial functions where managers are required to establish goals and state the ways and means by which these goals are to be attained. Therefore planning is taken as the foundation for future activities • Decision-making is the process of identifying a set of feasible alternatives and choosing a course of action from them. Decision- making is a part in planning.
STEPS OF DECISION MAKING
Decision making techniques 1. Group decision making: A number of studies have shown that professional people do not function well under micromanagement. Group problem solving casts the manager in the role of facilitators and consultant. Compare to individual decision making , group can provide more input and better decision.
Decision making techniques 2. Nominal group technique (NGT) -It is eliciting written questions, ideas, and reactions from group members. Consists of : -Silently generating ideas in written. -Round-robin presentation by group members of their ideas on a flip chart. -Discussing each recorded idea and evaluate. -Voting individually on priority ideas, with group solution being derived mathematically through rank ordering.
Decision making techniques 3. Delphi technique It is judgments on a particular topic are systematically gathered from participants who do not meet face to face. Useful when expert opinions are needed .
Decision making techniques 4. Statistical aggregation: Individuals are polled regarding a specific problem and their responses are tallied . like Delphi technique , does not require a group meeting. no opportunity for group members to strength their interpersonal tie or interaction.
Decision making techniques 5. Brainstorming •The idea generating technique wherein a Group members meet and generate diverse ideas about the nature, cause , definition, or solution to a problem without regard to questions of feasibility or practicality. •It is most effective for simple, well-defined problems. It encourages enthusiasm and competitiveness among group members in generating ideas.
Decision making techniques 6. fishbone diagram (causes and effect) Is drawn after a brainstorming session, the central problem is visualized as the head of the fish, with the skeleton divided into branches showing contributing causes of different parts of the problem.
Work system ED Overcrowding Resources and facilities lack of availability of ground ambulance transportation limited resources of ED in the form of medical Lack of supplies and medications Unavailability of operating room time shortage of physical plant space Ancillary services not same hours as ED Lack of availability of 24-hour laboratory tests Increased medical records documentation requirements Increase length of stay due to waiting for test Delay in the services provided by radiology, lab. and ancillary services Fishbone diagram (Cause and effect) Delay in treatment and prolonged patient stay in ED No system available for supervising &evaluating work
Decision making techniques vary according to the nature of the problem or topic, decision maker, situation, and decision making method or process. 7. Thomas Saaty's Analytical Hierarchy Matrix
Thomas Saaty's Analytical Hierarchy Matrix •List alternatives in columns and rows as depicted in the matrix above. •Starting with Alternative A, go across columns in the matrix and rate each alternative against all the others. •When the alternative under consideration has more value than the others, •Then give the more valuable alternative a score of When the alternative has less value than the others. •Then give the less valuable alternative a score of Add the scores for each row/alternative; •highest score is the highest rated alternative according to the criteria you used. •In the matrix above, Alternative C scores highest, so it's the highest rated alternative.
Decision making techniques 8. Pareto Analysis Selecting the Most Important Changes To Make. It uses the Pareto principle - the idea that by doing 20% of work you can generate 80% of the advantage of doing the entire job is a formal technique for finding the changes that will give the biggest benefits.
Decision making techniques 9. Paired Comparison Analysis Working Out the Relative Importance of Different Options. helps you to work out the importance of a number of options relative to each other. It is particularly useful where you do not have objective data to base this on. easy to choose the most important problem to solve, or select the solution that will give you the greatest advantage .
Decision making techniques 10. PMI ('Plus/Minus/Implications' ) Weighing the Pros and Cons of a Decision.
Decision making techniques 11. Six thinking hats Looking at a Decision from All Points of View It is used to look at decisions from a number of important perspectives. This forces you to move outside your habitual thinking style, and helps you to get a more rounded view of a situation. '6 Thinking Hats‘ How to the Tool: Each 'Thinking Hat' is a different style of thinking.
Decision making techniques White Hat: With this thinking hat you focus on the data available. Look at the information you have, and see what you can learn from it. Red Hat: you look at problems using intuition, gut reaction, and emotion . Try to understand the responses of people who do not fully know your reasoning. Black Hat: look at all the bad points of the decision .
Decision making techniques Yellow Hat: The yellow hat helps you to think positively. It is the optimistic viewpoint that helps you to see all the benefits of the decision and the value in it Green Hat: The Green Hat stands for creativity. This is where you can develop creative solutions to a problem Blue Hat: The Blue Hat stands for process control. This is the hat worn by people chairing meetings. When running into difficulties because ideas are running dry, they may direct activity into Green Hat thinking. When contingency plans are needed, they will ask for Black Hat thinking,
Decision making techniques 12. Decision grid: A decision making process grid is a matrix for comparing multiple options when there are also several criteria to consider. It is a rational model and is also classed as a visual decision tool. When the complexity of the decision increases these decision making tools and techniques can prove useful. Especially as the number of options and criteria increase.
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