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Organizational Management Class 1 (Feedback Systems and Taylor) – Pages 9-32

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Organizational Management Class 1 (Feedback Systems and Taylor) – Pages 9-32

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Organizational Management Class 1 (Feedback Systems and Taylor) – Pages

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, Class 1 (Feedback Systems and Taylor) – Pages 9-32

1-1 Management feedback systems actually make our decisions for us. That is why we must

understand the overall mission (business strategy), view of the future, and the meaning of all

three systems' financial results. One is a failed system, but it is instructive to realize why it failed

as this is an economy under strict government control that so many Americans want. The last

two are the US and Japan – now that you know that there are two feasible strategies, one may be

better than the other. That judgment is up to you.

What is the overall mission and meaning of financial results for the defunct Soviet, traditional

US, and Japan’s feedback systems? (Add a bit of descriptive material to your answers.)

Soviet:

The Soviet feedback system mission is to have a centralized command economy where

privatization is prohibited property is state-owned. This system eliminates the domestic

industry's free-market economy, limiting planners' ability to devise the most appropriate

measures to enhance economic growth.

Traditional US:

The traditional American society incorporated a mixed economy system exhibiting both

socialism and capitalism. This feedback system enabled the US government to acknowledge

economic freedom and intervene for the general public good.

Japan:

The Japanese feedback system is a highly developed free market. This system has enabled

Japan to increase productivity, efficiency, and innovation that has seen its economy grow to

the largest in terms of GDP globally.

, 1-2 The video compared Stanley and Luigi pizza shops from the perspective of management

feedback systems. What were the two management systems, and how do their operations reflect

these systems?

Stanley:

Stanley believes in a Japanese system indicated by his emphasis on employee welfare.

Luigi:

Luigi believes in the traditional American system due to the priority on the market

conditions.

1-3 If Stanley realizes that Luigi is taking business away from him, will he be psychologically

willing to make the change? Why?

No, Stanley is more attached to the company's success and would be less persuaded to let

go of his ideologies.

This partly explains why there are 70,000 abandoned factories in the US.

1-4 If a supplier offers 90% off for a component that technically works but may reduce quality

with a market impact years away, what would be the likely decision of a traditional American

manager and the Japanese manager and why?

The American manager may buy the supplier's component in that the product may benefit

the company make more profits today. On the contrary, a Japanese manager may

downturn the offer as the Japanese management system focus on the long-run benefits.

1-5 The Taylor system of paying more to induce workers to increase their productivity is an

obvious cost to the factory owners. But what was its actual cost to the owner, and what is the

basis of this conclusion?

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