Moon Mam IBM
Moon Mam IBM
Moon Mam IBM
and Management
IPE 4203
Mahjabin Moon
Lecturer
Department of Mechanical and Production Engineering
Ahsanullah University of Science and Technology
What Is An Organization?
Organization
Managerial Concerns
Efficiency
“Doing things right”
Getting the most output from the least amount of inputs
Effectiveness
“Doing the right things”
Completing activities so that organizational goals are attained
Efficiency Vs. Effectiveness
Efficiency Effectiveness
Takes the present state into Takes the long term strategy into
consideration consideration
Someone who works with and through other people by coordinating their
work activities in order to accomplish organizational goals.
Classification of Managers
First line managers
Middle managers
Top managers
Classification of Managers
First line managers
They may have titles such as regional manager, project leader, store
manager, or division manager.
Classification of Managers
Top Managers
Planning
Organizing
Leading
Controlling
Management Functions
Planning
defining goals
who is to do them
motivating subordinates
Interpersonal roles
Informational roles
Decisional roles
Mintzberg’s Managerial Roles
Mintzberg’s Managerial Roles
Interpersonal roles
Managerial roles that involve people and other duties that are ceremonial
and symbolic in nature
- figurehead
- leader
- liaison
Mintzberg’s Managerial Roles
Interpersonal roles
Figurehead
Symbolic head
Examples of activities
Greeting visitors
Leader
Examples of activities
Liaison
Examples of activities
Acknowledging mail
Monitor
Examples of activities
Disseminator
Examples of activities
Spokesperson
Examples of activities
- entrepreneur
- disturbance handler
- resource allocator
- negotiator
Mintzberg’s Managerial Roles
Decisional roles
Entrepreneur
Examples of activities
Disturbance handler
Examples of activities
Resource allocator
Examples of activities
Scheduling
Requesting authorization
Decisional roles
Negotiator
Examples of activities
Technical skills
Conceptual skills
Human skills
Management Skills
Technical skills
The ability to work well with other people individually and in a group.
Importance of customers
Importance of innovation
Importance of sustainability
Management History
Scientific Management
3. Cooperate with the workers to ensure all the work is done according
to the principles of science.
The Gilbreths also experimented with the design and use of the proper
tools and equipment for optimizing work performance.
Scientific Management
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IPE 4203
Mahjabin Moon
Lecturer
Department of Mechanical and Production Engineering
Ahsanullah University of Science and Technology
Learning Objectives
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Organizational culture.
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Omnipotent view
Omnipotent View 3
Good managers
- anticipate change
- exploit opportunities
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Omnipotent View
Symbolic view
An organization’s success
or failure is due to external
forces outside managers’
control
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Symbolic View 4
Symbolic View
Example of Cisco
1990:
After 10 years:
- Declined performance
- Flawed strategy, haphazard acquisition approach, and poor customer
service
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External Environment
Specific environment
General environment
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Specific environment
General environment
broad economic,
socio-cultural
political/legal
demographic
technological
global conditions
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Demographic
- Age, race, gender, education level, geographic location, income, and family
composition.
Political/legal
- Federal, state, and local laws, as well as global laws and laws of other
countries.
- Political conditions and stability.
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Sociocultural
- Values, attitudes, trends, traditions, lifestyles, beliefs, tastes, and patterns of
behavior.
Technological
- Scientific or industrial innovations.
Global component
- Globalization and a world economy.
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Environmental Uncertainty
The extent to which managers have knowledge of and are able to predict
change their organization’s external environment is affected by:
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Example: Hasbro Toy company, the second largest toy manufacturer (behind
Mattel) has simplified its environment by acquiring many of its competitors
such as- Tiger Electronics, Wizard of the Coast, Kenner Toys, Parker
Brothers and Tonka Toys.
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Stable environment
- no new competitors
- few technological breakthroughs by current competitors
Dynamic environment
- Opposite
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Organizational Stakeholders
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Organizational Culture
Implications:
Culture is a perception.
Culture is shared.
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Strong Cultures
- Cultures in which key values are deeply and widely held.
- Have a strong influence on organizational members.
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Planning
Organizing
Leading
Controlling
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Planning
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Organizing
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Leading
The degree to which managers are concerned with increasing employee job
satisfaction
What leadership styles are appropriate
Whether all disagreements—even constructive ones—should be eliminated
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Controlling
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Thank you
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Ahsanullah University of Science & Technology IPE 4203: Industrial and Business Management
Presented by
Mahjabin Moon
Lecturer, MPE, AUST
Management by Stephen P. Robbins & Mary Coulter (11th Ed)
Ahsanullah University of Science & Technology IPE 4203: Industrial and Business Management
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Ahsanullah University of Science & Technology IPE 4203: Industrial and Business Management
Focuses on
two things
value what the company
is providing
Ahsanullah University of Science & Technology IPE 4203: Industrial and Business Management
https://www.chiefmarketer.com/wal-mart-launches-new-marketing-slogan/ 4
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Ahsanullah University of Science & Technology IPE 4203: Industrial and Business Management
Customers
Products or services
Markets
Concern for survival, growth, and
profitability
Philosophy
Concern for public image
Technology
Self-concept
Concern for employees
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Ahsanullah University of Science & Technology IPE 4203: Industrial and Business Management
It’s based on the mission and goals of the organization and the roles that
each business unit of the organization will play.
The other part of corporate strategy is when top managers decide what to do
with those businesses: grow them, keep them the same, or renew them.
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Ahsanullah University of Science & Technology IPE 4203: Industrial and Business Management
Growth Strategy
A corporate strategy that’s used Stability Strategy
when an organization wants to A corporate strategy in
expand the number of markets which an organization
served or products offered, either continues to do what it is
through its current business(es) or currently doing.
through new business(es).
Renewal Strategy
A corporate strategy designed
to address declining
performance by examining of
organizational weaknesses.
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Ahsanullah University of Science & Technology IPE 4203: Industrial and Business Management
Growth Strategy
Concentration – Focusing on a primary line of business and increasing the
number of products offered or markets served.
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Ahsanullah University of Science & Technology IPE 4203: Industrial and Business Management
Growth Strategy
Vertical Integration –
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Growth Strategy
Horizontal Integration –
Combining operations with another competitor in the same industry to
increase competitive strengths and lower competition among industry
rivals.
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Ahsanullah University of Science & Technology IPE 4203: Industrial and Business Management
Growth Strategy
Diversification –
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Stability Strategy
Offering the same products to the same clients, not introducing new
products, maintaining market share, and more.
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Ahsanullah University of Science & Technology IPE 4203: Industrial and Business Management
Renewal Strategy
Developing strategies to counter organization weaknesses that are leading
to performance declines.
Retrenchment: A short-run strategy used for minor performance problems.
It helps an organization stabilize operations, revitalize organizational
resources and capabilities, and prepare to compete once again.
Turnaround: Addressing critical long-term performance problems through
the use of strong cost elimination measures and large-scale organizational
restructuring solutions..
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Renewal Strategy
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Stars
Invest large amounts of cash and should also generate large amounts of cash.
Eventually develop into cash cows as their markets mature and sales growth
slows.
Cash Cows
Profitand cash generation should be high, because of the low growth,
investments should be low.
The cash generated by cash cow is reinvested in stars & question mark.
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Ahsanullah University of Science & Technology IPE 4203: Industrial and Business Management
Dogs
Avoid & minimize the number of dogs in a company.
Question marks
Low relative market share & high growth industry business. So business require
large amount of cash to maintain or gain market share.
Question mark therefore may become stars if enough investment is made or they
may become dogs if ignored.
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Attempting to
Seeking to Using a cost or
create a unique
attain the differentiation
and distinctive
lowest total advantage to
product or
overall costs exploit a
service for
relative to particular market
which
other industry segment rather a
customers will
competitors. larger market.
pay a premium.
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Marketing Production
Purchase/
Human
procurement
Resources
department
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Organizational Structure and Design
IPE 4203
Presented By
Mahjabin Moon
Lecturer
Department of Mechanical and Production Engineering
Ahsanullah University of Science and Technology
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Organizational Structure
The formal arrangement of jobs within an organization.
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Divides work to be done into specific jobs and departments.
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A process that involves decisions about six key elements:
1. Work specialization
2. Departmentalization
3. Chain of command
4. Span of control
5. Centralization and decentralization
6. Formalization
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Work Specialization
The degree to which work activities
are divided into separate job tasks.
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Work Specialization
Overspecialization can result in
human diseconomies from boredom,
fatigue, stress, poor quality, increased
absenteeism, and higher turnover.
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Departmentalization
The basis of grouping common work activities together so the
work gets done in a coordinated and integrated way.
Five common forms of departmentalization-
1. Functional
2. Geographical
3. Product
4. Process
5. Customer
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Functional
Grouping jobs by functions performed.
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Functional
• Advantages
Efficiencies from putting together similar specialties and people
with common skills, knowledge and orientations.
Coordination within functional area.
In depth specializations.
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Functional
• Disadvantages
Poor communication across functional areas
Limited views of organizational goals
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Geographical
Grouping jobs on the basis of territory or geography.
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Geographical
• Advantages
More effective and efficient handling of specific regional issues
that arise.
Serve needs of unique geographic market better.
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Geographical
• Disadvantages
Duplication of functions.
Can feel isolated from other organizational areas.
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Product
Grouping jobs by product line.
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Product
• Advantages
Allow specialization in particular product and services.
Managers can become experts in their industry.
Closer to customers.
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Product
• Disadvantages
Duplication of functions.
Limited views of organizational goals.
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Process
Grouping jobs on the basis of product or customer flow.
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Process
• Advantages
More efficient flow of work activities.
• Disadvantages
Can only be used with certain types of products.
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Customer
Grouping jobs by type of customer and needs.
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Customer
• Advantages
Customers’ needs and problems can be met by specialists.
• Disadvantages
Duplication of functions.
Limited views of organizational goals
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Chain of Command
The continuous line of authority
that extends from upper levels of an
organization to the lowest levels of
the organization and clarifies who
reports to whom.
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Authority
◦ The rights to tell people what to do and to expect them to do
it.
◦ Acceptance theory of authority
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Acceptance theory of authority
Barnard contended that subordinates will accept orders only if the
following conditions are satisfied:
1. They understand the order.
2. They feel the order is consistent with the organization’s purpose.
3. The order does not conflict with their personal beliefs.
4. They are able to perform the task as directed.
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Line Authority
Authority that entitles a manager to direct the work of an
employee.
The president, the production manager, and the sales manager
are examples of line managers.
Staff Authority
Positions with some authority that have been created to
support, assist, and advise those holding line authority.
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Responsibility
◦ The obligation or expectation to perform.
Unity of Command
◦ The concept that a person should have one boss and should
report only to that person.
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Span of Control
The number of employees who can be effectively and efficiently
supervised by a manager.
It determines the number of levels and managers in an
organization
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Width of span is affected by:
Skills and abilities of the manager and the employees
Characteristics of the work being done
Similarity of tasks
Complexity of tasks
Standardization of tasks
Strength of the organization’s culture etc.
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Centralization
Decision making is concentrated at a single point in the
organization.
Organizations where top managers make all the decisions
and lower-level employees simply carry out those orders.
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Decentralization
Lower-level employees provide input or actually make
decisions.
Employee Empowerment.
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Formalization
The degree to which jobs within the organization are
standardized and the extent to which employee behavior is
guided by rules and procedures.
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Structural decisions are influenced by:
Strategy and structure
Size and structure
Technology and structure
Environmental uncertainty and structure
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Traditional Designs
Simple Structure
- Low departmentalization, wide spans of control, centralized
authority, little formalization
Functional Structure
- Operations, finance, human resources, and product research
and development
Divisional Structure
- Composed of separate business units or divisions
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Contemporary Organizational Designs
Team Structures
Matrix & Project Structures
Boundary less structure
- Virtual
- Network
Learning structure
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Thank You
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