Friday, March 17, 2017

Management Notes 2


MGT Exam 4 Notes:
Lesson 13: Communication Skills
1.     Communication is the transfer of information and understanding from one person to another
a.     UNDERSTANDING is very important, none or mis communication
2.     Consequences: Miscommunication-> funny or a disaster
a.     Airport leading to crash on the runway
b.     Transfer of information but not understanding
3.     Organizational outcomes
a.     Problems getting changes implemented
b.     What is the key factor for success
                                               i.     Communication can lead to both outcomes
4.     All businesses suffer from poor communication: affects goals
5.     Surveys show that communication is critical in determining promotability
6.      
7.     Sender: Person sending the message
8.     Encoding: How the message is sent (text, video, voice)
9.     Channel: The medium it is sent through (phone, letter, email, presentation)
10. Decoding: Receivers translation of the message from the sender
11. Receiver: person receiving the message
12. Feedback: Relay back to sender to see if intended message is received correctly
13. Noise: distractions that inhibit the sending of the message (facebook, literal, etc)
14. Barriers to communication
a.     Intentional filtering- deliberate manipulation to make the message more desirable for the receiver
b.     Perceptual filtering- Not intentional filtering. Personality and background affects how they interpret and retain a message.
c.      Selective perception- Screening out what we don’t want to hear depending on what they do or would not want to hear. Selective hearing.
d.     Information overload- We don’t get the whole message because it exceeded our processing capacity. You cant get all of the information if too much information is communicated.
e.     Language- words mean different things to different people. Gay meaning happy vs sexual preference. The English language can be tricky- turn right now.
15. Communication channels- methods to transfer a message
a.     Media richness. Richer media conveys more and immediate feedback on understanding. Richer media is good for sensitive, complicated, or important messages.
b.     Face to face> Phone> Email
16. Effective presenting, encoding
a.     Know your audience and speak their language; give a background
b.     Know your content and make sure it is accurate. Answer possible questions.
c.      Draw a conclusion first and then give the data to ensure they come to the right conclusion. Provide meaningful information followed by proof
d.     When possible use visual communication: pictures say 1,000 words
e.     Keep presentations short and simple
17. Effective listening, decoding
a.     Hearing uses your ears, listening requires processing by your brain
b.     Requires effort, you must pay attention
c.      Don’t become fixated on one statement, avoid assumptions, take responsibility for asking questions and giving feedback.
18. Feedback- critical
a.     Most mistakes can be avoided with feedback
19. It is always the managers fault if communication fails
Lesson 14: Foundations of Control
1.     Process of monitoring activities to ensure that they are being accomplished as planned and, if not correcting any significant deviations
2.     An effective control system esures that activities are completed in ways that lead to the attainment of the organizations goals
3.      
4.     Steps in the control process
a.     Identify the appropriate standard (set goals)
b.     Measure actual performance
c.      Compare actual performance vs. the standard
d.     Take managerial action to correct inadequate standards
5.     Corrective action:
a.     Changes behavior: tactics (fix components of the process), effort, skillfulness
b.     Revision standard-
6.     Sources of variation: how big of a difference is too big?
a.     Common or random- exists in every process. Normal part of the process and its limits can be known by measuring the outcomes of the process. No managerial control needed
b.     Sytematic vaiations: change in inputs, operator error. Not a normal part of the process and requires correction.
c.      Calculate the change in STDV with looking at target values. Set control limits
d.     If it’s in control limits, then only random variation is present. No action needed. Changes in trend may signal need for action.
7.      
a.     Feedback control and concurrent control costs much more than feed forward control.  Concurrent can intervene can change some things during the problem occurring.
b.     New systems tend to focus more on feedback controls.
8.     Effective control systems
a.     Tied to strategy
b.     Emphasis on prevention
c.      Accurate and timely measures
d.     Minimizes total cost of non-conformance
e.     Understandable and predictable
9.     Affect the design of effective systems
a.     Importance of the activity to success. More importance, more control
b.     Expertise of individuals
c.      Stability of technology- how long processes are in place, how mature they are. Tech changes, then control changes
d.     Size of organization- larger, more opportunities to exploit control
e.     Span of control and degree of autonomy- influences who receives information and uses information. More autonomy is pushed down, more trining needed to use information.
f.      Organizational control- ease of implementing control.
10. Dysfunctional side
a.     Use many unfocused controls- no meaningful control or failure to achieve goals
b.     Problems with incomplete control measures- pick and choose what measures to evaluate to make them look good
c.      Problems with inflexible or unreasonable standards- goals will be ignored or manipulated. Low or high performance standards but no useful information.
11. Implemetnting systems is expensive! Optimize how much control to limit costs.
12.  
13. Contemporty issues in managerial control
a.     Individuals who own company down own them. Managers vs shareholders
                                               i.     Loss of control of directions
                                              ii.     Contract relationships to ensure managers operate in the best regard for the company
1.     Outcome contract- compensation tied to outcomes and manager chooses strategy
2.     Behavior contract- guarantee that their behavior is specified of the owner.
b.     Counterproductive behavior: work slow down, sabotage, harassment, perusing unsanctioned activates
Lesson 15: Entrepreneurship
1.     The process of taking risks to try to create a new enterprise
a.     The identification, evaluation, and exploitation of opportunities
2.     Intrapreneurs- corporate entrepreneurs
3.     Why become one?
a.     Challenge, satisfaction, profit potential, autonomy, dissatisfaction with current job
4.     How to get started:
a.     A great idea for a product or service
                                               i.     Develop a recipe for a perfect recipe for a chocolate chip cookie. Mrs. Fields Cookies.
b.     Find a new method- a new way to do or market something
                                               i.     Nike- marketing through expert athletes performing well in the product.
c.      Recognize a need and develop a way to meet it
                                               i.     Gillette- use a product a few times and then disposing. Safe, inexpensive, and throw away blade
d.     Start with a desire to build a great organization
                                               i.     HP- started a great company and then decided what to make. Initially unfocused on electronic and agriculture work. Later focused their business.
5.     New businesses ventures fail. Half fail in 4 years and 60% in 6 years.
6.     What does it take to succeed
a.     Talent- Need innovation and good business management skills
b.     Making good choices- feasibility analysis, risk evaluation, making a business plan.

c.      Financing options
                                               i.     Angel investors- wealthy people, family, friends, etc
                                              ii.     Venture capital- firms that invest in a company
                                            iii.     Bank financing- Loan that will be paid back with interest
7.     Lessons from an entrepreneur
a.     Ask yourself “Can I afford to fail?” – Risk evaluation
b.     What do you understand? – Requires talent
c.      Beware of the law of small numbers- focusing on the success of a small number of successful businesses
d.     Watch for the side street effect – Keep your eyes open for new and different opportunities. Don’t get stuck and fail to change the plan

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