Principles of Managment

- Innovation (renew, improve)

- Efficiency/Speed (use resources better than competition)

- Quality upkeeping/control

- Responsiveness to customers

- customers

- community

- supplier and distributor

- employees

-shareholders/stockholders

-managers

- When a manager makes decisions for himself and not for the company

- Information flow that is only available in managment level and doesnt go through the rest of the company

- came up in 1913

- elimination of unnecessary motions so time could be saved: workers do only one task to be more efficient = job specialization

- as workers performance increased (mass production), managers required more work for sam pay; output was biggest concern

- control system leads to high efficiency and effectiveness, introduced bureaucracy

- P1: structure and authority comes from ones position

- P2: occupy positions because of performance and not rank

- P3: work distribution and of responsibilities comes from organization, job descriptions

- P4: hierarchically arranged authority, organizational chart

-P5: Rules and Regulations are to be followed (culture)

- equality, treating employees with respect and order, more humanistic side of management, well being of members is important

-how managers should personally behave, encourage and motivate employees, human side and mechanical side are interrelated

working productivity and working environment, nice place to work =no workers fatigue

managers should be trained on human front

X: average employee is lazy, managers should closely supervise employees, strict rules and defined system of rewards and punishment

Y: employees are not lazy, will do whats best for organization, managers should provide opportunities for employees to self direct, necessary resources to achieve goals

- quality of product becomes important, consumerism was over = global competition, 1980s Asian countries are outsourcing Europe and US

- Quantitative Managment (programming)

- Operations Management (production analyzation techniques)

- Total quality Management (quality control comes from japan)

- Management Information  system (IT, Digital office space

- External environment: Political, cultural, economic, competition, technological

-  takes in resources from  external environment, transforms them into goods and services --> sent back to external environment where they are bought by customers

- self-contained system that is not affected by changes in its external environment

Workers evaluate their own performance, depening on current organizational environment

stable environment chooses mechanic structure (army, banks, government)

Changing environment chooses organic structure (start-up, google)

Age (young: new ideas/ old: experience), Race/Ethinicity (bring world to us, language skills), Disabilities (help others be mindful and open, image for business), Socioeconomic (personal understanding to target different customer groups)

- Simplistic and often inaccurate beliefs about the typical characteristics of particular groups of people

-The systematic tendency to use information about others in ways that result in inaccurate perceptions

- Perceive others who are similar to ourselves more positively than we perceive people who are different

- Perceive individuals with high social status more positively than those with low social status

- Focus attention on individuals who are conspicuously different

- Asking/forcing  to perform sexual favors in exchange for reward or avoiding negative consequences

- lewd jokes, displaying pornography, making sexually oriented remarks about appearance etc.           

--> interferes with co-workers’ ability to perform their jobs effectively

- Clear sexual harassment policy endorsed by top management

- Fair complaint procedures to investigate charges of sexual harassment

- take corrective action as soon as possible

- provide education and training for all members incl. managers

- exporting/franchising

-countertrade/turnkey projects (equity joint ventures)

-contract manufacturing, non equity strategic alliances (equity joint ventures)

-licensing/wholly owned subsidiaried

- Market-Seeking Motive: (home market is too small)

- Cost Reduction Motive: (lower wages, lower taxes, lower transportation costs)

- Strategic Motive: (Following customers abroad "backpacker approach/follow competitors abroad "bandwagon effect")

- Task environment: Competitors, Distributors, Customers, Suppliers

- General Environment: Economic (interst rate, Inflation), Political (legal, Regulation), Technological (Digitalization), Sociocultural (Culture, Society), Demographic (Age, Class, Race)

Human capital: (flow of people around the world)

Financial Capital: (flow of funds across world markets through overseas investment, credit, lending and aid)

Resource Capital: (flow of natural resources, parts, components between companies and countries)

Political Capital: (flow of power/influence around the world using diplomacy, persuasion, aggression and force of arms)

Tariffs

Free-Trade Doctrine

Lowering of trade barriers

- Plan of action that improves  organization’s departments to performs its task-specific activities --> adds value to org. g&s

-  coordinated series or sequence that transforms inputs (new product concepts, raw materials) into the finished goods or services customers value and want to buy

- Development of a set of functional-level strategies that support a company’s business-level strategy and strengthen its competitive advantage

Product development, Marketing, Materials management, Production, Sales, Customer service

- Increased efficiency

- reduced costs

- collaboration between various departments

- creating greater value to the firm

Its a way to manage companys interaction with current/potential customers

- data analysis to improve business relationships with customers --> sales growth

- Increased reliability --> higher prices -->higher profits

- Increased productivity -->lower costs-->higher profits

technique used to improve quality by improving value-chain activitys and the statistically measureing the improvement

- Measure, Analyze, Improve, Control, Define

-Focuses on improving quality of products and all organizations value-chain activities are directed to this goal

a.) Product layout: step by step creation of a product in different departments

b.) Process Layout: Small kitchen in Starbucks to avoid many steps

c.) Fixed-position layout: every part of an airplane gets delivered on set and gets built there

-  Teams produce an entire product instead of just parts, members learn all tasks, increased productivity and efficiency

- Deep rethinking and radical redesign of processes to improve cost, quality, service and speed dramatically

- development of new, different g & s because of big changes and discoveries in technology

- gradual improvement/refinement of existing products as existing technologies are perfected already

1.) Determining organizations mission and goals

2.) Formulate Strategy: analyze current situations develop corporate, business and functional strategy (SWOT, Five Forces Model)

3.) Implementing strategy

- Corporate level plan, Business level plan, Functional level plan

- Unity, Continuity, Accuracy, Flexibility