Principles of Management (POM) Revision Samiir Seem

Chapter Ten: Revision BIT26-B

 Describe six key elements in organizational

design:

Answer

Work specialization

Departmentalization

Chain of command

Span of control

Centralization and decentralization

Formalization

 Work specialization dividing work activities

into separate job tasks.

 Departmentalization the basis by which

jobs are grouped together.

 Chain of command the continuous line of

authority that extends from upper levels of an organization to the lowest levels of the
organization.

 Span of control the number of employees

who can be effectively and efficiently supervised by a manager.

 Centralization the degree to which

decision-making is concentrated at the upper levels of the organization.

 Decentralization the degree to which

lower-level employees provide input or actually make decisions.

 Formalization the degree to which jobs

within the organization are standardized and the extent to which employee behavior.

 Organizing arranging and structuring work

to accomplish an organization’s goals.
 Organizational Structure the formal
arrangement of jobs within an organization.

 Organizational chart the visual

representation of an organization’s structure.

 Purposes of Organizing:

Divides work to be done into specific jobs

Assigns tasks and responsibilities with individual jobs

Coordinates diverse organizational tasks

Clusters jobs into units

Establishes relationships among individuals groups and department

Establishes formal lines of authority

Allocates and deploys organizational resources

 Cross-functional team a work team

composed of individuals from various functional specialties.

 Responsibility the obligation or expectation

to perform.

 Unity of command the management

principle that each person should report to only one manager.

 Employee empowerment giving employees

more authority (power) to make decisions.

 Contrast mechanistic and organic

structures:

Answer

Mechanistic organization a rigid and tightly controlled.

Organic organization highly adaptive and flexible.

 Mechanistic organic

High specialization Cross functional team

Centralization Decentralization

High Formalization Low formalization

 Discuss the contingency factors that favor

either the mechanistic model or the organic model of organizational design:

Answer

Structural decisions are influenced by:

Overall strategy of the organization

Size of the organization

Technology use employed by the organization

Degree of environmental uncertainty

 Describe traditional organizational designs:

Answer

Simple structure low departmentalization, wide spans of control centralized authority,

and little formalization.

Functional structure groups together similar or related occupational specialties.

Divisional structure made up of separate, semiautonomous units or divisions.

Chapter Twelve: Revision

 Explain the importance of the human

resource management process and the external influences that might affect that
process:
 Answer

HRM is important for three reason:

A significant source of competitive advantage.

High performance work practices.

An important part of organizational strategies.

External Factors That Affect the HRM Process:

The economy’s effect on HRM

Employee Labor Unions

Legal environment of HRM

Demographic trend

 Human resource management (HRM) is the

practice of recruiting, hiring, deploying and managing of an organization's employees.

 Human resource planning right peoples

right places at the right times.

 Discuss the tasks associated with

identifying and selecting competent employees:

Answer

Job analysis is an assessment that defines jobs and the behaviors necessary to perform
them.

Job description is a written statement that describes a job.

Job specification specifies minimum qualifications a person must possess to perform a

given job successfully.

 Major sources of potential job candidates

include:

The Internet
 Employee referrals

Company Web site

College recruiting

Professional recruiting organizations

 Recruitment locating, identifying, and

attracting capable applicants.

 Decruitment reducing an organization’s

workforce.

 Realistic Job Preview (RJP) a preview of a

job that provides both positive and negative information about the job and the
company.

 Orientation introducing a new employee to

his or her job and the organization.

 Explain the different types of orientation

and training:

Answer

Orientation results in an outsider-insider transition that makes the new employee feel
comfortable and fairly well-adjusted.

The two types of training are general and specific

 Describe strategies for retaining

competent, high-performing employees:

Answer

Performance appraisal methods are written essays, critical incidents, graphic rating
scales.

Skill-based pay systems reward employees for demonstrated job skills.

 Variable pay system an employee’s compensation is contingent on performance.

 Discuss contemporary issues in managing

human resources.

Answer

Managers can manage downsizing by communicating openly and honestly.

Organizations are dealing with work–family life balance issues.

Organizations are controlling HR costs by controlling employee health care costs and
pensions.

 Downsizing the planned elimination of jobs

in an organization.

 Sexual harassment is any unwanted action

or activity of a sexual nature.

 Family friendly benefits benefits that

accommodate employees’ needs for work–life balance.

Chapter Thirteen: Revision

 Define groups and the stages of group

development:

Answer

Formal groups are work groups and informal groups are social group.

Stages of Group Development

Forming stage

Storming stage

Norming stage

Performing stage
 Adjourning

 A Group two or more interacting and

interdependent individuals to achieve specific goals.

 Forming stage the first stage of group

development in which people join the group and then define the group’s purpose,
structure, and leadership.

 Storming stage the second stage of group

development, characterized by intragroup conflict.

 Norming stage the third stage of group

development, characterized by close relationships and cohesiveness.

 Performing stage the fourth stage of group

development when the group is fully functional and works on group task.

 Adjourning the final stage of group

development for temporary groups during which group members are concerned with
wrapping up activities rather than task performance.

 Describe the major components that

determine group performance and satisfaction.

Answer

Group performance and satisfaction are determined by external conditions, group

member resources, group structure, group processes, and group tasks.

The major components that determine group performance and satisfaction include

Group member resources

Group roles

Pressures to conform

Group decision-making

Effective communication and controlled conflict

 Group Structure
 Role

Norms

Groupthink

Status

Social loafing

Group cohesiveness

 Groupthink when a group exerts extensive

pressure on an individual to align his or her opinion with that of others.

 Group cohesiveness the degree to which

group members are attracted to one another and share the group’s goals.

 Conflict perceived incompatible differences

that result in interference or opposition.

 Traditional view of conflict the view that all

conflict is bad and must be avoided.

 Human relations view of conflict the view

that conflict is a natural and inevitable outcome in any group.

 Interactionist view of conflict the view that

some conflict is necessary for a group to perform effectively.

 Functional conflicts conflicts that support a

group’s goals and improve its performance.

 Dysfunctional conflicts conflicts that

prevent a group from achieving its goals.

 Task conflict conflicts over content and

goals of the work.

 Relationship conflict conflict based on

interpersonal relationships.

 Process conflict conflict over how work gets

done.
 Define teams and best practices
influencing team performance:

Answer

Teams is a group of people who work together toward a common goal. 

Best practices influencing team performance include:

Cohesiveness

Communication

Groupthink

Role Identity

Stability

Team Size

 Types of Work Teams:

Problem-solving team

Self-managed work team

Cross-functional team

Virtual team

 Problem-solving team is one that’s focused

on improving work activities or solving specific problems.

 Self-management work team is responsible

for a complete work process or segment and manages itself.

 Cross-functional team is composed of

individuals from various specialties.

 Virtual team uses technology to link

physically dispersed members in order to achieve a common goal.
  Characteristics of an effective team
include:

Clear goals

Relevant skills

Mutual trust

Unified commitment

Good communication

Negotiating

Skills

Appropriate

Internal and external support

 Discuss contemporary issues in managing teams:

Answer

Challenges of managing global teams

Group member resources

Group structure

Status

Group processes

Managing conflict

Chapter Nineteen: Revision

 Explain the nature and importance of control:

 Answer

Controlling the process of monitoring, comparing, and correcting work performance

Control is important because

It’s the only way to know if goals are being met, and if not, why.

It provides information and feedback.

It helps protect an organization and its asset.

 The control process:

Measuring Actual Performance

Comparing Actual Performance Against the Standard

Taking Managerial Action

 Describe the three steps in the control process:

Answer

Measuring Actual Performance involves deciding how to measure actual performance

and what to measure.

Comparing Actual Performance Against the Standard involves looking at the variation
between actual performance and the standard (goal).

Taking Managerial Action can involve doing nothing, correcting the actual performance,
or revising the standards.

 Performance the end result of an activity.

 Organizational performance the accumulated results of all the organization’s work

activities.

 Productivity the amount of goods or services produced divided by the inputs needed to
generate that output.

 Explain how organizational and employee performance are measured:

Answer
 Productivity

Organizational Effectiveness

Industry and company rankings

 Describe tools used to measure organizational performance:

Answer

Feed forward controls take place before a work activity is done.

Concurrent controls take place while a work activity is being done

Feedback controls take place after a work activity is done.

 Discuss contemporary issues in control:

Answer

Cross-cultural differences may be needed primarily in the areas of measuring and taking
corrective actions.

Workplace concerns include workplace privacy, employee theft, and workplace

violence.

Corporate governance is the system used to govern a corporation so that the interests
of corporate owners are protected