COM 220 Study Guide - Final Guide: Career Development, Profit Sharing, Situation Two

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COMMERCE 220
Chapter 1 & 2 & 3
Perspectives
o employee- manager
managers- CEO
ceo- Board of Directors
Why are organizations important?
o Basic unit that forms the structure of society
Identity
o Derived from organizational membership. Humans require a sense of belonging that
organizations fulfill
What are organizations?
o Social inventions for accomplishing common goals through group effort
Key characteristics of organizations:
o 1. Social inventions
2. Goal accomplishment
3. Group effort
Social inventions
o the coordinated presence of people (not things)
Is about understanding people and managing them to work effectively
What is organizational behaviour?
o The study of attitudes (job satisfaction, cooperation, conflict, innovation,
diversity, ethics) & behaviours of individuals and groups in organizations and
how to manage and change them
*organizations structured more effectively
*external environment affect
Human Resources Management (HRM) vs. Organizational Behaviour (OB)
o HRM: actions to acquire, develop/retain employees- recruitment, selection,
compensation, training, development
OB- effectively execute HRM practices
Why study OB?
o Interesting: about people/human nature
Important: profound impact on managers, employees, and consumers (work is
integral to identity & wellbeing)
Makes a difference: determines the competitiveness, effectiveness of
organizations
"Discretionary effort"- means to motivate
-extra mile, placing needs of organization first, good organizational citizenship
Management Practices to Performance:
o "Best companies" to work for:
-Flexible work schedules, benefits
-Learning & development
-Family assistance programs
- Career development programs
-Wellness and stress reduction programs
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-Employee recognition and reward programs
-Stock-options, profit-sharing and bonuses
Comparing 50 Fortune Magazine companies
o good OB- sustainable advantage
Happy employees- performance & existence
Goals of OB
o Predicting, Explaining & Managing behaviour
- if behaviour can be predicted and explained, it can be managed
- Predicting/explaining= analysis
- management=action (decision making)
The evolution of management
o 2 basic phases:
1. The classical view and bureaucracy
- Classical (early 1900's): high degree specialization of labour, centralized
decision making
2. The Human relations view
For many years- prescribe 1 "Correct" was to mange an organization
Classical View
o early 1900's): high degree specialization of labour, centralized decision making
Post industrial revolution, era mass production, attracted analysis and action.
Complete absence of discretion- the worker does not make any decisions
Scientific management
o 1911
- economic efficiency through labour productivity
-most efficient component parts
-standardization of movements, timing, rest, written instruction for procedures,
manages specialist (technical vs discipline)
Began 1880's, industrial application, optimum specialization and standardization
(as opposed to informal rules within trades)- great gains in industrial output
Bureaucracy
o 1922
-chain of commands
-detailed rules, regulation, procedures
-high job specialization
-centralization of power at the top of organization
-selection & promotion based on technical competence (not favouritism)
Much of MAX WEBER's theory was to address rampant incompetence, nepotism,
corruption. Used to create/operate the "ideal" organization in which the worker
trades conformity to rules for security, fairness, chance of promotion, purpose
Human Relations Movement & Critique of Bureaucracy
o Hawthorn Studies 1920-
test impact of certain working conditions on efficiency of workers. Realization-
complex human element-nature (psychological and social processes) played major
role in performance
Critique of Bureaucracy
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o 1. High specialization (incompatible with growth/achievement)
2. Central Authority (limits innovation & adaptation)
3. Strict rules/standards (adherence to regulations becomes goal & needs of
customers and organization are ignored)
The Human relations Movement
o called for:
- less rigid, more decentralized forms of control
-design more interesting jobs
-two way communication
-employee participation in decision making
advocated more people-orientated and participative styles of management
Contingency approach
o No one best way to manage, decision based on situation. Continent upon situation
(R&D vs. payroll)
1. the leader
2. those being led
3. task
4. circumstances and goals of organization
Managerial Roles
o 1. Interpersonal- leadership, figurehead
2. Informational- monitor, share
3. Decisional- entrepreneur, resource allocation
Managing=complex, highly variable challenge
Managerial Activities
o 1. Routine communication
2. Traditional management- planning
3. Networking- outside (moving up ranks-personal success)
4. Human Resource management- motivating, staffing (employee satisfaction,
commitment, unit effectiveness-organizatonal success)
Managerial Agendas
o 1. Agendas setting- informal, unwritten, concerned with people's issues
(INFORMAL INTERACTION- behind scenes to succeed)
2. Networking- formal(superiors * subordinates), informal (inside & outside)
3. Agenda implementation- wide range of tactics, not just formal authority
Managers use intuition to
o -sense problem exist
-perform (mental tasks quickly)
-synthesize (isolated pieces of information and data)
-Double-check (more formal or mechanical analyses)
Necessary for efficiency
International Managers
o Technical requirements- same everywhere, but behavioural requirements depend
on location
4 issues organizations and managers are currently concerned with:
o 1. Diversity- local & global (workforce-culturally diverse, no longer acceptable to
be racist, aging workforce, globalization)
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