Principles of Management

-managing diverse workforce
-building and maintaining competitive advantage
-maintaining ethical and socially responsible standards
-IT and e-commerce
-global crisis management

-discipline
-initiative
-unity of command
-renumeration of personnel 
-unity of direction
-line of authority
-divison of labor
-centralization
-esprit de corps
-subordination of individual interests to the common interest
-stability of personnel
-authority and responsibility
-order
-equity

1. Formal authority derives from one's position
2. you get positions because of your performance
3. Authority and responsibilities are specified by the organization
4. Authority is effective when there's a hierarchy
5. Rules are followed and control behavior

1. Scientific management theory
2. Administrative management theory
3. Behavioral management theory
4. Management science theory
5. Organizational environment theory

-Age
-Religion
-Gender
-Socio-economic background
-Ethnicity
-Race
-Capabilities/Disabilities
-Physical appearance
-Sexual Orientation
-Education
-Experience

-different points of view and approaches
-improved managerial decision making
-retain employees
-creative ideas
-expected by shareholders
-understand diverse customers

-reward for effectively managing diversity
-empower employees to challange discriminatory bahviors, actions, remarks
-encourage flexibility
-secure top management commitment
-increase accuracy of perceptions
-increase diversity awareness
-pay attention to how members are evaluated
-increase diversity skills
-training
-consider the data
-encourage mentoring of diverse employees

Orientation
-valuing achievement orientation
-valuing nurturing orientation
-long-term orientation
-short-term orientation

Power distance
-high: inequalities between citizens are okay
-low: inequalities between citizens are not allowed

Uncertainty avoidance:
-low: value diversity
-high: expect high confirmity with their own beliefs

Individualism vs collectivism

sentiment
inflation
interest rate
unemployment
investment

affects input and output on a daily basis

-suppliers
-competitors
-distributors
-customers

Licensing
Coutertrade
Turnkey projects
Franchising
Export
Wholly owned subsidiaries
Equity joint venutres
Contract manufacturing
Non-equity strategic alliances

-Single use plans
-Standing plans
-Scenario planning

Flexibility
Continuity
Unity
Accuracy

-Low-cost (Lidl, Aldi, Denner)
-Focused low-cost (Iceland)
-Differentiation (Mercedes)
-Focused differentiation (Ferrari)
-Stuck-in-the-middle
-Hybrid (Migros with Denner and Globus)

for analyzing the industry

-Threat of new entrants
-Bargaining Power of Suppliers
-Bargaining Power of Buyers
-Threat of Substitute Products
-Rivalry among existing Competitors

-higher market share
-higher profit ratios
-better image
-lower marketing expenses
-high attractiveness on labor market
-stronger employee indentification

-closeness to suppliers
-focus on customer
-set goals and create incentives
-ask for employees' input
-measure quality
-break down barriers between functions
-just-in-time inventory
-find sources of defects
-commitment to quality
-design for ease production

Organizational ethics

Organizational structure

Characteristics of organizational members

Employment relationship (HR policies)

Functional structure
Divisional structure
Matrix structure
Product team structure

Human resources (grouping of jobs)

Organizational environment of culture of a country

Strategy (low-cost/differentiation)

Technology (face-to-face/internet)

Activities to attract and retain employees 
Ensuring employees perform at high level and contribute to the accomplishment of organizational goals

Process by which managers design the components of an HRM system to be  consistent with all of the other elements

-job analysis
-job advertisement
-recruitment (internal/external)
-selection

background infos
references
paper-and-pencil tests
physical ability tests
performance tests
interviews

for basic jobs

On-the-job training
Classroom instruction
Apprenticeship

for managers

On-the-job training
Classroom instruction
Varied work experience
Formal education

An assessment of which employees needs training or development

Process through which managers share appraisal

-formal (at a set time during the year you give feedback about the analyzation of performance)
-informal (unscheduled feedback e.g. conversation)
-problem solving, solution finding
-be specific
-avoid personal criticism
-express confidence
-agree on timetable for improvements
-praise high performance

-Formal (you analyze employees at a set time during the year based on targets, set in advance)
-Informal (unscheduled analyzion of performance)

Who:
Peers (on important interactions)
Customers
Supervisors
Subordinates
Self

-pay level
in comparison with those of other firms

-pay
base salaries, pay rises, bonuses

-pay structure
pay structured based on their relative importance to goals, skills etc

-Legally required
Social security
Workers' compensation
Unemployment insurance

-Volutary
day care
health insurance
retirement

-Cafeteria style
employees choose

represent workers' interest

more powerful than 1 individual

collective bargaining; negotiation between labor and management

-Recruitment and selection
-Training and development
-Performance appraisal and feedback
-Pay and benefits
-Labor relations

1. Establish standards of performance, goals or targets
2. Measure actual performance
3. Compare actual performance against standards
4. Initiate corrective action