Management Fall 2013 Lecture Slide 10

1. Management Fall 2013Lecture Slide 10 Instructor : RAZA ILLAHE Lahore Leads University

2. The idea of Micro-management Foundations of PLANNING – The first management function

3. What is Micromanagement Micromanagement is a style of management and it means ,to manage all the small parts of work , give continous input and expect up-dates of what employee is doing, sometimes from start to finish. Example: Steve Jobs, former CEO of APPLE was a famous micomanager.He used to work along with his regular employees ,instead of just giving orders from above to top managers and middle managers. Walt Disney is another example of a businessman who preferred micromanagement style.

4. Micromanagement Some people like the idea of micromanagement. While,some people disagree. Those who don't like micromanagement ,they say : A manager's job is to delegate responsibility to employees and then evaluate the results. Not to do all the work himself. Micro-managing happens ,when the manager starts watching every detail of how a task is performed, often making suggestions that can frustrate the employee. What's truly important is the end result, not the path taken to get there and many managers forget this.

5. Advantages of Micromanagement It makes an employee understand what exactly their top management expect from them. The manager directly deals with the new ideas and creativity of employees and does not let supervisors etc discourage regular employees. Micromanagement gives direct control over tasks that employees do and it becomes easier to achieve desired results. Employees who do not normally perform well, can start to perform better when they are constantly monitored. Concerns and issues of employees can be communicated directly to the management, so they can resolve them and make employees more motivated to perform tasks.

6. Disadvantages of Micromanagement Micromanaging can be time-consuming for a manager The manager has their own tasks to do. By micromanaging they ignore their own tasks and spend time with employees. Micromanagement can make the employee feel that they are not empowered and trusted to do their job properly.This may lead to demotivation and dissatisfaction. Micromanagement is stressful for managers too as a manager's work increases. A micromanager wants tasks to get done according to their 'specific' ideas. They do not let the employee discover or create better methods for completing tasks and improve efficiency ;

7. Conclusion for Micromanagement . We have discussed advantages and disadvantages of micromanagement earlier. According to that discussion,we cannot say thay micromanagement is totally good or totally negative style. Just like every style of management, it has its own advantages and disadvantes. The key is to find the balance and avoid overdoing either, traditional management or micromanagement.

8. Foundations of PLANNING

9. Planning There are four main functions of management. Planning, Organising, Leading and Controlling. Planning is the first function of management. What Is Planning? Planning involves defining the organization’s goals, establishing strategies for achieving those goals, and developing plans to integrate and coordinate work activities.

10. Types of Planning Informal: not written down, short-term focus; specific to an organizational unit. Formal: written, specific, and long-term focus, involves shared goals for the organization.

11. Why Do Managers Plan? There are four main reasons to plan: 1. Provides direction Planning provides directionto managers and non-managers alike. When employees know what their organization is trying to accomplish and what they should contribute to reach goals, they can coordinate their activities, cooperate with each other, and do what it takes to accomplish those goals

12. Why Do Managers Plan? 2. Reduces Uncertainty Planning reduces uncertainty by forcing managers to look ahead, anticipate change, consider the impact of change, and develop appropriate responses. Although planning will not totally eliminate uncertainty, managers plan so they can respond to understainty effectively.

13. Why Do Managers Plan? 3. Minimizes waste and redundancy(Duplication) Planning minimizes waste and redundancy. When work activities are coordinated around plans, inefficiencies become obvious and can be corrected or eliminated.

14. Why Do Managers Plan? 4. Sets the standards for controlling Planning establishes the standards used in controlling. When managers plan, they develop goals and tasks. When they control, they see if the taks have been carried out and the goals accomplised. Without planning, there would be no goals against which to measure work effort.

15. Planning and Performance The Relationship Between Planning And Performance Formal planning is linked with positive financial results. The quality of planning and implementation positively affects performance. The external environment (government regulations, trade unions etc) can reduce the effect of planning on performance. Formal planning must be used for several years before planning begins to affect performance.

16. Elements of Planning Planning is often called the primary management function because it establishes the basis for all the other things managers do as they organize, lead, and control. It involves two important aspects: goals and plans. Goals(Objectives): Goals are the desired outcomes for individuals, groups, or entire organizations. They Provide direction and evaluation performance criteria. Plans: Documents that outline how goals are to be accomplished.These documents describe how resources are to be allocated and establish activity schedules

17. Types of Goals We can classify most company’s goals as either strategic goals or financial goals. Financial Goals : Financial goals are related to the expected financial performance of the organization, For example, McDonald’s states that its financial targets are 5 percent average annual sales and revenue growth. Strategic Goals Strategic goals related to the performance of the firm related to factors in its external environment (e.g., competitition etc). For example, Strategic goal of BBC ,: “We want to be the world’s most influential news organization.”7

18. Types of Plans Strategic Plans Apply to the entire organization. Establish the organization’s overall goals. Broad Cover extended periods of time. Operational Plans Specify the details of how the overall goals are to be achieved. Cover short time period. Narrow

19. Types of Plans (cont’d) Specific Plans Plans that are clearly defined and leave no room for interpretation. For example, a manager who seeks to increase his department’s work output by 8 percent over a given 12-month period might establish specific procedures, budget , and schedules of activities to reach that goal. Directional Plans Flexible plans that set out general guidelines, provide focus, yet allow manager's own will in implementation.They provide focus but don't lock manager into specific activities that he must do. For example, a ,music company manager who seeks to sign “good artists” may opt for getting artists through agencies , through networking, social media or through world wide contacts. They are flexible about which path to follow to achieve goal of signing “good artists”.

20. Directional vs. Specic Plans Example .

21. Types of Plans (cont’d) Single-Use Plan A one-time plan specifically designed to meet the need of a unique situation. For example , when Walmart wanted to expand the number of its stores in China, top-level executives formulated a single-use plan as a guide. Standing Plans Ongoing plans that provide guidance for activities performed repeatedly.Standing plans include policies,rules, and procedures, which we defined in earlier lesson. An example of a standing plan is the harassment policy and bullying developed by the University of Arizona. It provides guidance to university administrators, faculty, and staff as they make hiring plans.