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Chapter 9 Management Principles. Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey.

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Presentation on theme: "Chapter 9 Management Principles. Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey."— Presentation transcript:

1 Chapter 9 Management Principles

2 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey The Management Process Management – a process whereby unrelated resources are integrated into a total system for accomplishment of objectives. Involves: Planning Organizing Staffing Leading Controlling

3 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Managing Organizations Organization – a group of people working together in a structured & coordinated way to achieve goals. Management is a set of activities directed at an organization’s resources for achieving goals effectively & efficiently.

4 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Management Concepts Authority – delegation from top to lower levels of management & the right of managers to direct others & take action of their position. Responsibility – obligation to perform an assigned activity or see that someone else performs it.

5 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Management Concepts Accountability – state of being responsible to one’s self, to some organization, or to the public. Efficiency – “Doing things right.” Effectiveness – “Doing the right things.”

6 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Managerial Levels Manager – anyone responsible for people & other organizational resources. Managerial Levels: First-line –supervises employees Middle – coordinates activities implementing an organization’s policies Top – executives that control the organization

7 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Managerial Levels

8 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey TQM Managerial Levels

9 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey TQM Managerial Levels TQM philosophy adaptations: Create smaller organizational units Form cross-functioning teams Empower employees to make decisions Reduce the number of organizational levels Place emphasis on vision & values Find ways to take advantage of the Internet

10 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey General & Functional Managers General manager – responsible for all activities of a organizational unit. Functional manager – responsible only for one area of organizational activity.

11 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Mintzberg’s Roles of Managers

12 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Mintzberg’s Interpersonal Roles Focus on relationships. Interpersonal Roles: Figurehead – responsible for representing the management (ceremonial duties). Leader – responsible for creating an environment that will motivate the staff. Liaison – responsible for dealing with people both inside & outside the organization.

13 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Mintzberg’s Informational Roles Focus on communication. Informational Roles: Monitor – searches for information to become more effective. Disseminator – transmits information to subordinates. Spokesperson – transmits information to people inside & outside the organization or unit.

14 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Mintzberg’s Decisional Roles Focus on unit strategy. Decisional Roles: Entrepreneur – voluntary initiator of change. Disturbance handler – responds to situations that are beyond his or her control. Resource allocator – decides how & to whom the organization’s resources will be distributed. Negotiator – participates in a process of give & take until a satisfactory compromise is reached.

15 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Management Skills Skill – an ability that can be developed & that is manifested in performance. Katz’s Management Skills: Technical – understanding of, & proficiency in, a specific kind of activity. Human – working with people & understanding their behavior. Conceptual – ability to view the organization a whole.

16 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Managerial Levels & Skills

17 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Management Functions Five management functions: Planning Organizing Staffing Leading Controlling Performed during coordinating activities of the subsystems of the organization.

18 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Planning Determining in advance what should happen. Hierarchy of plans: Goals – desired future conditions that organizations strive to achieve. Objectives – goals that set the direction for all managerial planning. Policies – guidelines for action Procedures & methods – define steps for implementation.

19 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Planning

20 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Dimensions of Planning (Repetitiveness) Standing Plans Plans for repetitive action Used many times Examples Policies Procedures Methods Rules

21 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Standing Plans Policy – general guide to organized behavior developed by top-level management. Procedure – Chronological sequence of activities. Method – details for one step in a process. Rules – specification of action, stating what must or must not be done.

22 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Dimensions of Planning (Repetitiveness) Single Use Plans Plans for a single use Used only once Examples Programs Projects Budgets

23 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Dimensions of Planning (Time Span) Short range plans Covers 1 year or less Long range plans Covers 1-5 year period Strategic plans Continuous and systematic process Focuses on future outcomes, how to accomplish and how to measure success

24 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Dimensions of Planning (Level of Management)

25 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Organizing Process of: Grouping activities Delegating authority to accomplish activities Providing for coordination of relationships Facilitating decision making Formal Organization – the outcome of organizing, usually in chart form.

26 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Span of Management Number of employees that can be effectively supervised by one manager. Factors in determining proper number: Organizational policies Availability of staff experts Competence of staff Objective standards Nature of the work Distribution of workforce

27 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Delegation Delegation - assigning job activities & authority to a specific employee within the organization. Authority is delegated down the hierarchy of the organization. Effective delegation elements: Specific tasks must be assigned clearly. Sufficient authority must be granted. Responsibility must be created.

28 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Staffing The recruitment, selection, training, & development of people who will be most effective in helping the organization meet its goals. Primarily carried out by a personnel department. Line managers are responsible for training, & development.

29 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Staffing Steps Human Resources Planning designed to ensure an organization’s labor requirements are continuously met. Recruitment & Selection concerned with developing, evaluating, & choosing a pool of job applicants. Orientation, Training, & Development acquaints newcomers with organization & its goals & policies & informs them of their responsibilities.

30 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Staffing Steps Performance Appraisal compares an individual’s performance with established standards for the job. Compensation encompasses all activities concerned with administration of the wage, salary, and benefits program.

31 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Leading Management function of directing human resources for the accomplishment of objectives. Includes: Morale Employee satisfaction Productivity Communication

32 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Controlling Management function of ensuring that plans are being followed. Involves: Measuring actual performance & comparing it with desired performance or standards. Analyzing deviations between actual & desired performance & determining whether or not deviations are within acceptable limits. Taking actions to correct unacceptable deviations.

33 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Quality of Work Life (QWL) Guidelines: Decisions are made at the lowest possible level. Teams of employees are responsible for a complete job. Technical & social potential of employees & the organization is developed. Quality & quality of employees are emphasized.

34 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Quality of Work Life (QWL) Guidelines (cont.): Safety & health of employees are emphasized. Availability of immediate feedback of information required to perform a job. Problems are solved by teams, but responsibility is shared by all levels of the organization.

35 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Quality of Work Life Participative management – involving employees in the decision making process. Leader-member relations – refers to nature of the relationship between the leader & work group. Team-based leadership – two or more people who interact regularly to accomplish a common purpose or goal. Self-managed teams – teams that do the daily work.

36 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Corporate Culture Includes shared: Philosophies Values Assumptions Beliefs Expectations Attitudes Norms Knits an organization together.

37 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Positive Corporate Culture Qualities Integrity involves trust between people in the organization. Bottom-up management style gives employees a feeling of being on the team. Having fun is important for both managers & employees. Community involvement in social service programs is appreciated by employees. Emphasis on physical health & fitness reflects a belief that a sound mind goes along with a sound body.

38 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Caring Culture Checklist Have a written mission statement. Remind employees of the mission statement. Have a hands-on style of management. Foster open relationships between management & employees. Empower hourly employees. Give incentives for superior performance. Give employees an ownership stake in the business.

39 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Vertical Division of Labor Based on the establishment of lines of authority. Chain of command - clear & distinct lines of authority within an organization. Delegated authority is given up by the person who delegated it. Parity principle – organizational authority & responsibility must coincide.

40 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Horizontal Division of Labor Emphasis on encouraging employees to share ideas across all levels & departments. Reduces the number of levels in each department.

41 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Underlying Concepts of Organization Different areas of organizational activity must be defined. Someone must be placed in charge of each area. The source & use of authority is fundamental to organizational effectiveness.

42 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Authority Formal authority – exists because of position in the organization. Positional authority – derived from the position or office. Acceptance authority – based on employee’s acceptance of that authority. Authority of competence – based on a manager’s competence or expertise.

43 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Departmentalization Process of grouping jobs according to some logical arrangement. Departments are commonly organized by: Function Product Geography Customer Process/Equipment Time or Shift

44 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Line & Staff Line Position – a position in the direct chain of command. Staff Position – intended to provide expertise, advice, & support for line positions. Line Authority – formal authority created by the organizational hierarchy. Staff Authority – based on expertise in specialized activities.

45 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Administrative Intensity Degree to which managerial positions are concentrated in staff positions. High Administrative Intensity – many staff positions relative to line positions. Low Administrative Intensity – emphasizes more line positions.

46 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Organization Chart Graphic portrayal of the organization structure. Depicts basic relationships of positions & function. Specifies the formal authority & communication network of the organization.

47 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Coordination Process of linking activities of various departments in the organization. Linking role – manager who links with managers at higher levels with those at their own level Mechanisms for coordination: Committees Task forces

48 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Job Analysis Process of determining duties & tasks of a job. Involves a systematic investigation of jobs such as: Collecting data on tasks Performance standards Skills required Occupational Information Network, O*NET (www.onetcenter.org)

49 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Job Description List of duties, working conditions, & tools & equipment needed to perform the job. Job Description Sections: Title – used to indicate level in the organization. Identification – includes location of the job, the person to whom the jobholder reports, & often the number of employees in the department. Duties – statements of duties arranged in order of importance.

50 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Job Specification (job spec) List of abilities, skills, & other credentials needed to do the job. Statement of job conditions relating to the health, safety, & comfort of the employee.

51 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Performance Standards Desired results at a definite level of quality for a specified job. Performance – the attainment of a desired result at a defined level of quality for a specified purpose. Should be based on work-related behaviors & clearly stated in writing.

52 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Job Design An outgrowth of job analysis. Concerned with structuring jobs to improve organization efficiency & employee job satisfaction. Job – a set of all tasks that must be performed by a given employee.

53 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Job Design

54 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Job Enlargement Developed to increase the total number of tasks that employees perform. Tasks – individual activities that make up a job. Prevents employee boredom from repetition of same tasks day after day.

55 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Job Enrichment Increases the variety & number of tasks & control the employee has over the job. Factors for motivating employees: Achievement Recognition Growth Responsibility Performance

56 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Job Characteristics Job dimensions that improve efficiency & job satisfaction: Skill variety Task identity Task significance Autonomy feedback

57 Foodservice Organizations, 5th edition Spears & Gregoire ©2004 Pearson Education, Inc. Upper Saddle River, New Jersey Employee Work Teams Two or more employees who interact regularly to accomplish a narrow set of goals. Created by management to solve specific problems.


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