1. Year 12 Business Management Management roles, styles & skills (Chapter 5)

4. Management Roles - POLC Planning Planning is the formalised procedure to produce a result. It provides a sense of direction. Planning can be short, medium or long term. The three levels of planning are; strategic, tactical and operational.

5. ‘The Planning Process’ (decision making or problem solving model) This process or model has a number of stages; 1.Identify the issue or problem. 2.Gather information and complete a SWOT analysis. 3.Develop alternatives (cost/benefit analysis) 4.Implement the best alternative 5.Monitor & evaluate the implementation & change if necessary (back to step 1)

6. 1) Strategic Planning Defines and determines the long term planning process. Time frame – 2 to 5 years. Senior managers, CEO & Board of Directors develop these plans. Examples include; organisational restructuring, takeover, mergers & acquisitions etc. ‘Big picture’.

7. SWOT Analysis Used as a management tool to outline the key Strengths, Weaknesses, Opportunities and Threats faced by an organisation. Strengths & Weaknesses are from the internal environment, Opportunities and Threats are from the external environment. Ensure that this can be applied to a case study scenario.

8. Example InternalExternal Strengths include; Branding and product quality, skills employees, reputation. Opportunities include; Decreased interest rates, new economic conditions, globalisation – opening up of markets. Weaknesses include; Poor reputation, unskilled employees, poor management, unsuitable structure, negative corporate culture. Threats include; Competition, decreased demand for product or service, environmental issues.

9. 2) Tactical Planning Defines and determines the medium term planning process. Time frame – 1 to 2 years. Middle & departmental managers develop these plans. Examples include; implementing the strategic plans – put into practice, major changes in staff training, allocation of resources.’

10. 3) Operational Planning Defines and determines the short term planning process. Time frame – ‘day to day’ decisions, less than one year. Front Line Managers (FLM) develop these plans. Examples include; ordering stock, staff rosters, production schedules.

11. Management Roles - POLC Organising Organising is when managers need to make decisions about resource allocation & to out plans into action. The following concepts are part of the organising role of a manager; a)Division of labour – divide employees into teams or groups and allocate a task or project. b)Delegation of authority – distribute power & responsibility to others. Develop employee skills, motivate staff.

12. c) Span of control – number of employees a manager supervises. Can organise employees to complete tasks. d) Coordination – need to allocate employees to teams and ensure they are functioning productively, able to work together.

13. Management Roles - POLC Leading Good leadership is essential for the proper functioning of all organisations. Leadership is the ability to create a vision, empower others to follow. What makes a good leader? Examples of business (and other leaders) -

14. Examples of leaders Bill Gates Leadership Tips from Bill Gates In the book Business @ the Speed of Thought: Succeeding in the Digital Economy. Gates wrote about four leadership tips that he applies:Business @ the Speed of Thought: Succeeding in the Digital Economy 1. Take two “retreats” every year. “Leave your office to develop long-range strategies.” 2. Read books on other topics. “Read books on topics that don’t pertain strictly to your business or industry. It’s the best way to maintain a broad perspective.” 3. Identify problems early. “Identify problems early by tracking “exceptions,” such as sales figures that suddenly sag for a particular product. Jump on them right away.” 4. Stop at the end of each day “Stop at the end of each day to analyse how well you used it.

15. Richard Branson – his key to Leadership. Ability Blur the division between work and play. Move quickly. Make sure products are in alignment with the current market and with the values of the brand. Listen to people. Encourage communication and feedback. Create opportunities for communication to take place. Check that the company and products is in line with current and future market requirements. Finding the right people and creating an environment in which they can flourish. Success depends on learning.

16. Hire the right people and give them responsibility to do the job without interference. Fully accepting that to learn and grow mistakes have to be made. Little things matter. Move with the times. Follow your instincts. Leap before you look. Constantly review new opportunities. Constantly look for and respond to feedback.

17. Management roles - POLC Controlling Managers need to be able to evaluate and monitor performance of the organisation. Once plans have been completed and resources used, it is important for the organisation to review its plans and resource allocation. Evaluation can include the use of KPIs and reflection.

18. Management Styles There are different management styles – autocratic, persuasive, consultative, participative, laissez faire. Need to know all features, advantages & disadvantages of all styles. Can use COMPAC – allows styles to be compared & explained..

19. Contingency (situational) approach – managers change styles depending on the situation. There is no one right management style. Most managers & organisations are now using a consultative & participative approach.

20. Management skills All managers need to use a range of skills in their jobs. The main management skills include; Communication/ interpersonal/ listening skills (* one skill) Delegation Problem solving Analytical skills Time management skills ** Do not use POLC!

21. Application to SACs & exam POLC Need one or 2 roles & apply to case study Styles Features, advantages & disadvantages of each Skills 3 or 4 skills – definition, how to improve (eg. Training, coaching etc) Need to apply each to different management levels eg. Senior, FLM & middle management.