INTRO TO MANAGEMENT EXAM I: RUTGERS – HUBBARD UPDATED 2024/2025 QUESTIONS AND ANSWERS GRADED A+ taBusinesses Exist To - Serve needs of society Productive use of resources, create value for customers, employees, and shareholders 6 Major Theorie

INTRO TO MANAGEMENT EXAM I: RUTGERS – HUBBARD UPDATED 2024/2025 QUESTIONS AND ANSWERS GRADED A+ taBusinesses Exist To - Serve needs of society Productive use of resources, create value for customers, employees, and shareholders 6 Major Theories of Management - Scientific Administrative Behavioral Management Science Organizational Environment Leadership and Innovation Scientific Management Theory Contributors - Adam Smith Fredrick Taylor Gilbreaths Adam Smith - 1700's - Job Specialization and Division of Labor Fredrick Taylor - late 1800's - 4 Principles to increase efficiency 4 Principles to Increase Efficiency - 1. Study the Work, experiment with improvements 2. Codify the best methods for doing the work 3. Hire/Align worker skills with the jobs to be done 4. Provide fair pay and incentives Gilbreaths: 3 Steps - 1. Analyze all tasks, break into components 2. Find better ways to perform each component 3. Reorganize each component so overall more efficient Administrative Management Theory Contributors - Max Weber Henri Fayol Max Weber - 5 Principles of Bureaucracy to ensure efficiency & effectiveness Describes a formal system of organization and administration Henri Fayol - 14 Principles of Efficiency More comprehensive and balanced view of the organization Behavioral Management Theory Contributors - Mary Parker Follet Elton Mayo Douglas McGregor Mary Parker Follet - Emphasized the Human side of management "Authority should go with knowledge" - employee job self determination Identified the importance of cross-functioning (collaboration across the org) Elton Mayo - Hawthorne Studies Management involvement with workers more important than physical work conditions Birth of Human Relations movement Douglas McGregor - Theory X, Theory Y Management Science Theory - Quantitative Management Operations Management Total Quality Management Management Information Systems Quantitative Management - Uses data and math based models, simulations, and techniques to aid decisions Operations Management - Specialized techniques for optimizing productions systems Total Quality Management (TQM) - Integrates process management, measures/evaluation, and proven improvement methedologies to improve effectivnes and efficiency Management Informations Systems (MIS) - Provide easy access to external and internal data to enhance decision making Organizational Environment Theory - Open Systems View (1960s) - Katz, Kahn, Thompson Contingency Theory (1960s) - Burns, Stalker, Lawrence, Lorsch Contingency Theory (1960s) - Burns, Stalker, Lawrence, Lorsch - No one best way to organize: Stable environment = Mechanistic Structure Rapidly changing environment = Organic Structure Open Systems View (1960s) - Katz, Kahn, Thompson - Resources come from the external environment, are converted internally, and then sent back as goods and services to the external environment Leadership & Innovation - Leadership vs Management (2000 - Goleman, Kotter) Importance of Innovation (2000 - Foster, Christensen, Amabile) Leadership vs Management (2000 - Goleman, Kotter) - Emotional Intelligence Leader as influencer/persuader Importance of Innovation (2000 - Foster, Christensen, Amabile) - Impact of Disruptive Technologies Innovation key to growth/survival Employee Engagement Confidence in business leaders - Declined greatly over time Job Satisfaction - Declining over time Youngest workers are least satisfied They expect more from management Conference Board Recommends - Better Management == More engaged workforce == More satisfied employees == More productive employees Management Theory Evolution - Not necessarily one best way, but nearly always a better way Purpose of management - Right work, done well Enterprise Level Management - requires implementing Processes and Practices that identify and deliver superior performance in innovative and socially responsible organizations: Enterprise Level Management Key Points - Identify and communicate the "Right Work" Design, implement, and monitor flows of work so the "Right Work" is performed effectively and efficiently ("Done Well") Pursue innovation to create new opportunities and to continuously improve Adopt values and practices that enable the firm to act responsibly towards all stakeholders Why do managers get bad ratings - Most managers think they are doing a GOOD JOB! Most managers never receive any formal training Sometimes national policies/cultures perpetuate ineptness (e.g., trade barriers, trade union resistance) Human nature to resist change (uncomfortable) Need a burning platform - the motivation to change Takes a long time to implement, progress can be slow at first 3 Core Elements of Management - Targets, Incentives, Monitoring