5 ORIGINS OF MANAGEMENT Schools of Management Theory Managerial TemperamentSatisfiers and DissatisfiersParticipative ManagementThe Managerial GridSituational LeadershipSo What Do Managers DO?
6 Schools of Management Theory Classical School: encompasses administrative theory and scientific managementAssignment #1: Compare and contrast the Administrative Management Theory (Henry Fayol) with the Scientific Management Theory (Frederick Taylor)
7 MANAGERIAL TEMPERAMENT Assignment #2: Compare and contrast Theory X and Theory Y management (Douglas McGregor)Another leading theorist: Frederick Herzberg attended to the issues of employee motivationSatisfiers and DissatisfiersParticipative Management
9 The impoverished style (1,1) In this style, managers have low concern for both people and production. Managers use this style to avoid getting into trouble. The main concern for the manager is not to be held responsible for any mistakes, which results in less innovative decisions.Features 1. Does only enough to preserve job and job seniority. 2. Gives little and enjoys little. 3. Protects himself by not being noticed by others.Implications 1. Tries to stay in the same post for a long time.The country club style (1,9)This style has a high concern for people and a low concern for production. Managers using this style pay much attention to the security and comfort of the employees, in hopes that this would increase performance. The resulting atmosphere is usually friendly, but not necessarily that productive.The produce or perish style (9,1)With a high concern for production, and a low concern for people, managers using this style find employee needs unimportant; they provide their employees with money and expect performance back. Managers using this style also pressure their employees through rules and punishments to achieve the company goals. This dictatorial style is based on Theory X of Douglas McGregor, and is commonly applied by companies on the edge of real or perceived failure. This is used in case of crisis management.The middle-of-the-road style (5,5)Managers using this style try to balance between company goals and workers' needs. By giving some concern to both people and production, managers who use this style hope to achieve situable performance.The team style (9,9)In this style, high concern is paid both to people and production. As suggested by the propositions of Theory Y, managers choosing to use this style encourage teamwork and commitment among employees. This method relies heavily on making employees feel as a constructive part of the company.
10 A mini-republic or modern village Some philosophers see the business enterprise as a means of transmitting social justice, as a kind of mini-republic. This is especially true of contract and stakeholder theorists. Those who view a business as being primarily someone's property reject this view. While they might believe that the net effect of people disposing and exchanging their property freely will benefit society as a whole, they would argue, even if this were not the case, if there were no utilitarian advantage, one ought not to limit another's freedom, that is, unless it is harmful to others.Regardless of how one thinks about these matters, it is undeniable that a business enterprise represents an increasingly important part of people's lives, especially the employees working there, for, in many ways, the business constitutes a person's principal social group, and it amounts to a replacement for the village or tribe that was the central social setting for our ancestors. In many ways, one's affiliation with a business is the most important social institution most of us have outside of the family.
11 SITUATIONAL LEADERSHIP As a leadership model, the best known example was developed by Paul Hersey, a professor who wrote a well known book "Situational Leader" and Ken Blanchard, the management guru who later became famous for his "One Minute Manager" series. They created a model of situational leadership in the late 1960s in their work Management of Organizational Behavior (now in its 9th edition) that allows one to analyze the needs of the situation, then adopt the most appropriate leadership style. It has been proven popular with managers over the years because it is simple to understand, and it works in most environments for most people.The model rests on two fundamental concepts; leadership style, and development level.
12 Leadership stylesBlanchard and Hersey characterized leadership style in terms of the amount of direction and support that the leader provides to their followers. They categorized all leadership styles into four behavior types, which they named S1 to S4:S1: Directing/Telling Leaders define the roles and tasks of the 'follower', and supervise them closely. Decisions are made by the leader and announced, so communication is largely one-way.S2: Coaching/Selling Leaders still define roles and tasks, but seek ideas and suggestions from the follower. Decisions remain the leader's prerogative, but communication is much more two-way.S3: Supporting/Participating Leaders pass day-to-day decisions, such as task allocation and processes, to the follower. The leader facilitates and takes part in decisions, but control is with the follower.S4: Delegating Leaders are still involved in decisions and problem-solving, but control is with the follower. The follower decides when and how the leader will be involved.Of these, no one style is considered optimal or desired for all leaders to possess. Effective leaders need to be flexible, and must adapt themselves according to the situation. However, each leader tends to have a natural style, and in applying Situational Leadership he must know his intrinsic style.
13 Development levelsThe right leadership style will depend on the person being led - the follower. Blanchard and Hersey extended their model to include the Development Level of the follower. They stated that the leader's chosen style should be based on the competence and commitment of her followers. They categorized the possible development of followers into four levels, which they named D1 to D4:D1: Low Competence, High Commitment - They generally lack the specific skills required for the job in hand. However, they are eager to learn and willing to take direction.D2: Some Competence, Low Commitment - They may have some relevant skills, but won't be able to do the job without help. The task or the situation may be new to them.D3: High Competence, Variable Commitment - They are experienced and capable, but may lack the confidence to go it alone, or the motivation to do it well or quickly.D4: High Competence, High Commitment - They are experienced at the job, and comfortable with their own ability to do it well. They may even be more skilled than the leader.Development Levels are also situational. I might be generally skilled, confident and motivated in my job, but would still drop into Level D1 when faced, say, with a task requiring skills I don't possess. For example, many managers are D4 when dealing with the day-to-day running of their department, but move to D1 or D2 when dealing with a sensitive employee "issue"
14 PRINCIPLES OF MANAGEMENT Elements DefinedFunctions DefinedACTIVITIES OF SEQUENTIAL FUNCTIONSPlanningOrganizingStaffingDirectingControlling
16 NORMATIVE CHARACTERSITICS HOUSEKEEPING EMPLOYEESCultural diversityVarieties of languagesLack of formal educationPossibly but NOT necessarily lower socio economic backgrounds
17 MOTIVATION AND PRODUCTIVITY Researching the MotivesSelectionTrainingDelegationTangibles versus IntangiblesRewards and Motivations
18 Assignment # 3Develop a motivational incentive for the housekeeping staff which will ensure a higher standard in room cleaning . Prepare to present in the workshop.
19 NEW HORIZONS IN MANAGEMENT Employees Renamed and EmpoweredMany hotel companies refer to their employees as associates. WHY?Empowerment: A form of delegationAllows the person closest to the problem to do what is necessary to correct it.Total Quality Management
20 Total Quality Management (TQM) is a management strategy aimed at embedding awareness of quality in all organizational processes
21 TQM is composed of three paradigms: Total: Involving the entire organization, supply chain, and/or product life cycleQuality: With its usual Definitions, with all its complexitiesManagement: The system of managing with steps like Plan, Organize, Control, Lead, Staff, provisioning and the likes
22 Ritz Carlton Case Study Quality management begins with president and chief operating officer Schulze and the other 13 senior executives who make up the corporate steering committee and the senior quality-management team. They meet weekly to review product- and service-quality measures, guest satisfaction, market growth and development, organizational indicators, profits, and competitive status. Approximately one-fourth of each executive's time is devoted to quality-related matters.
23 Gold standards. Key product and service requirements of the travel consumer have been translated into Ritz-Carlton Gold Standards, which include a credo, motto, three steps of service, and 20 "Ritz-Carlton Basics". Each employee is expected to understand and adhere to these standards, which describe processes for solving problems guests may have as well as detailed grooming, housekeeping, and safety and efficiency standards.
24 To provide superior service, Ritz-Carlton created its targeted selection process to ensure a successful match of potential employees to employment. Upon being selected, new employees are versed on the corporate culture through a two-day orientation, followed by extensive on-the-job training, then job certification. Ritz-Carlton values are reinforced continuously by daily "line ups," frequent recognition for extraordinary achievement, and a performance appraisal based on expectations explained during the orientation, training, and certification processes.
25 To ensure guests' problems are resolved quickly, workers are required to act at first notice--regardless of the type of problem or customer complaint. All employees are empowered to do whatever it takes to provide "instant pacification." No matter what their normal duties are, other employees must assist if aid is requested by a fellow worker who is responding to a guest's complaint or wish.
26 To cultivate employee commitment further, each work area is covered by three teams responsible for problem solving, strategic planning, and setting quality-certification standards for each position.Rather than opening a hotel in phases, as is the practice in the industry. Ritz-Carlton aims to have everything right when the door opens to the first customer. A "seven-day-countdown control plan" synchronizes all steps leading to the opening.
27 The company president and other senior leaders personally instruct new employees on the gold standards and quality management during a two-day orientation, and a specially selected start-up team composed of staff from the company's other hotels ensures that all work areas, processes, and equipment are ready.
28 QUALITY DATADaily quality production reports, derived from data submitted from each of the 720 work areas in the hotel, serve as an early warning system for identifying problems that can impede progress toward meeting quality and customer-satisfaction goals.Coupled with quarterly summaries of guest and meeting-planner reactions, the combined data are compared with predetermined customer expectations to improve services.
29 Housekeeping?Among the data gathered and tracked over time are annual guest-room preventive-maintenance cycles, percentage of check-ins with no queuing, time spent to achieve industry-best clean-room appearance, and time to service an occupied guest room.
30 QUALITY RESULTSAccording to surveys conducted for Ritz-Carlton by an independent research firm, 92 to 97 percent of the company's guests leave with that impression.As a result of its quality program, Ritz-Carlton received 121 quality awards from the travel industry in 2007 alone, including: "Best Hotel Chain in the United States," by Zagat Travel Survey; "Index Award of Excellence," by Hotel and Travel Index; "Alred Award" for Best Hotel Chain, by Corporate Travel; and "Top Hotel Chain in Ability to Service Meetings," by Successful Meetings.The aim of these and other customer-focused measures is not simply to meet the expectations of guests but to provide them with a memorable visit.