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Perspective Management Notes For 2021-2022 Perspective Management Notes For 2021-2022
Perspective Management Notes For 2021-2022 Perspective Management Notes For 2021-2022
PERSPECTIVE MANAGEMENT
TRIMESTER 1
Shreyash Sheth
Table of Contents
1) Management Definition, Functions & Management Skills, Business Environment,
PESTLE.............................................................................................................................. 2
2) Scientific Theory by Frederick W. Taylor ..................................................................... 9
3) Administrative Theory by Henri Fayol....................................................................... 11
4) Bureaucratic Theory by Max Weber ......................................................................... 13
5) Human Relations Theory by Elton Mayo ................................................................... 15
6) X&Y Theory by Douglas McGregor ........................................................................... 19
7) Total Quality Management by Deming .................................................................... 23
8) Abraham Maslow's Hierarchy of Needs .................................................................... 24
9) Management By Objectives & SMART Goals by Peter Drucker .................................. 26
10) Systems Management Theory .............................................................................. 33
11) Mckinsey7 S Framework ....................................................................................... 36
12) Design Thinking by Tim Cook ................................................................................ 39
13) Vijay Govindrajan's-Three Box Solution ................................................................ 41
14) Stephen Covey -7 Habits of Effective People & Time Management Matrix ............. 42
15) Discovery & Delivery Skills .................................................................................... 43
16) Leadership & Managerial Styles: The Blake Mouton Managerial Grid ................... 47
17) Business Ethics ..................................................................................................... 50
18) MBA Oath ............................................................................................................ 56
The MBA Oath........................................................................................................................ 56
19) ESG ...................................................................................................................... 57
20) Circular Economy.................................................................................................. 58
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1. Planning
It is the basic function of management. It deals with chalking out a future course of
action & deciding in advance the most appropriate course of actions for achievement
of pre-determined goals. According to KOONTZ, “Planning is deciding in advance -
what to do, when to do & how to do. It bridges the gap from where we are & where
we want to be”. A plan is a future course of actions. It is an exercise in problem
solving & decision making. Planning is determination of courses of action to achieve
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desired goals. Thus, planning is a systematic thinking about ways & means for
accomplishment of pre-determined goals. Planning is necessary to ensure proper
utilization of human & non-human resources. It is all pervasive, it is an intellectual
activity and it also helps in avoiding confusion, uncertainties, risks, wastages etc.
2. Organizing
It is the process of bringing together physical, financial and human resources and
developing productive relationship amongst them for achievement of organizational
goals. According to Henry Fayol, “To organize a business is to provide it with
everything useful or its functioning i.e. raw material, tools, capital and personnel’s”.
To organize a business involves determining & providing human and non-human
resources to the organizational structure. Organizing as a process involves:
• Identification of activities.
• Classification of grouping of activities.
• Assignment of duties.
• Delegation of authority and creation of responsibility.
• Coordinating authority and responsibility relationships.
3. Staffing
4. Directing
• Supervision
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• Motivation
• Leadership
• Communication
5. Controlling
Good management skills are vital for any organization to succeed and achieve its
goals and objectives. A manager who fosters good management skills is able to
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propel the company’s mission and vision or business goals forward with fewer
hurdles and objections from internal and external sources.
Management and leadership skills are often used interchangeably as they both
involve planning, decision-making, problem-solving, communication, delegation,
and time management. Good managers are almost always good leaders as well.
In addition to leading, a critical role of a manager is to also ensure that all parts of
the organization are functioning cohesively. Without such integration, several issues
can arise and failure is bound to happen. Management skills are crucial for various
positions and at different levels of a company, from top leadership to intermediate
supervisors to first-level managers.
According to American social and organizational psychologist Robert Katz, the three
basic types of management skills include:
1. Technical Skills
Technical skills involve skills that give the managers the ability and the knowledge to
use a variety of techniques to achieve their objectives. These skills not only involve
operating machines and software, production tools, and pieces of equipment but also
the skills needed to boost sales, design different types of products and services, and
market the services and the products.
2. Conceptual Skills
These involve the skills managers present in terms of the knowledge and ability for
abstract thinking and formulating ideas. The manager is able to see an entire
concept, analyze and diagnose a problem, and find creative solutions. This helps the
manager to effectively predict hurdles their department or the business as a whole
may face.
The human or the interpersonal skills are the skills that present the managers’ ability
to interact, work or relate effectively with people. These skills enable the managers
to make use of human potential in the company and motivate the employees for
better results.
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Below we break down the key items of each of the 6 Factors of the PESTEL
framework (Political, Economic, Social, Technological, Environmental, and Legal).
Points derived from PESTEL Analysis can be incorporated into other strategic
frameworks, such as SWOT Analysis and Porter’s 5 Forces, where relevant.
Political Factors
When looking at political factors, you are looking at how government policy and
actions intervene in the economy and other factors that can affect a business. These
include the following:
• Tax Policy
• Trade Restrictions
• Tariffs
• Bureaucracy
One of the reasons that elections tend to be a period of uncertainty for a country is
that different political parties have diverging views and strategies for policy on the
items above.
Economic Factors
Economic Factors take into account the various aspects of the economy, and how
the outlook on each area could impact your business. These economic indicators are
usually measured and reported by Central Banks and other Government Agencies.
They include the following:
Often these are the focus of external environment analysis. The economic outlook is
of extreme importance for a business, but the importance of the other PESTEL
factors should not be overlooked.
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Social Factors
PESTEL analysis also takes into consideration social factors, which are related to
the cultural and demographic trends of society. Social norms and pressures are key
to determining consumer behavior. Factors to be considered are the following:
Social Factors Example: The percentage of the American population that smokes
has decreased since the 1970s, due to changes in society’s perception of health and
wellness.
Technological Factors
• R&D Activity
• Automation
• Technological Incentives
• The Rate of change in technology
Environmental Factors
• Weather Conditions
• Temperature
• Climate Change
• Pollution
• Natural disasters (tsunami, tornadoes, etc.)
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Legal Factors
There is often uncertainty regarding the difference between political and legal factors
in the context of a PESTEL analysis. Legal factors pertain to any legal forces that
define what a business can or cannot do. Political factors involve the relationship
between business and the government. Political and legal factors can intersect when
governmental bodies introduce legislature and policies that affect how businesses
operate.
• Industry Regulation
• Licenses & Permits
• Labor Laws
• Intellectual Property
Legal Factors Example: A restaurant is forced to shut down after not meeting food
safety standards set out in state law.
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Taylor believed that interest of employer & employees should be fully harmonized so
as to secure mutually understanding relations between them.
Division of Responsibility
This principle determines the concrete nature of roles to be played by different level
of managers & workers.
The management should assume the responsibility of planning the work whereas
workers should be concerned with execution of task.
Thus planning is to be separated from execution.
Mental Revolution
The workers and managers should have a complete change of outlook towards their
mutual relation and work effort.
It requires that management should create suitable working condition and solve all
problems scientifically.
Similarly workers should attend their jobs with utmost attention, devotion and
carefulness. They should not waste the resources of enterprise.
Handsome remuneration should be provided to workers to boost up their moral.
It will create a sense of belongingness among worker.
They will be disciplined, loyal and sincere in fulfilling the task assigned to them.
There will be more production and economical growth at a faster rate.
Maximum Prosperity for Employer & Employees
The aim of scientific management is to see maximum prosperity for employer and
employees.
It is important only when there is opportunity for each worker to attain his highest
efficiency.
Maximum output & optimum utilization of resources will bring higher profits for the
employer & better wages for the workers.
There should be maximum output in place of restricted output.
Both managers & workers should be paid handsomely.
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Esprit de Corps: Promoting team spirit will build unity and harmony within the
organization.
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He also instituted the belief that an organization must have a defined hierarchical
structure and clear rules, regulations, and lines of authority which govern it. Max Weber
bureaucracy ideally has the following characteristics:
• Specialization of labor
• In traditional structures, the leader delegates duties and can change them at
any time. However, over time, this changed and there was a clear specification
of jurisdiction areas along with a distribution of activities as official duties.
• Rules are exhaustive, stable, and employees can learn them easily. Further,
the organization records them in permanent files.
• Personal property is separate from the office property. Also, the means of
production or administration belong to the office.
• The official is taken in for a trial period and then offered a permanent position
with the organization. This protects him from arbitrary dismissal.
Max Weber’s Bureaucratic Form – 6 Major Principles
Max Weber listed six major principles of the bureaucratic form as follows:
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• The rules are inflexible and rigid. Further, there is too much emphasis on these
rules and regulations.
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• Managers should understand that employees have unique needs and one
size doesn’t fit all; communication is essential between managers and employees
Therefore, the Elton Mayo Theory suggested that the workplace is a social system
where multiple factors influence an employee’s performance. Most times, it’s
psychological and organizations need to pay attention to these aspects for bringing
about change.
1. COORDINATING PROCESS
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2. JOB SATISFACTION
In addition to economic needs, employers need to focus on social and psychological
needs and expectations as well. There should be some non-monetary incentives as
they not only boost employee morale but also increase employee retention. Such
incentives further enhance productivity and efficiency.
3. HUMAN ASPECT
As we’ve already established, the Human Relations Theory was developed as a
response to the scientific approach, moving toward the human aspect of
management. It suggests that humane treatment is crucial for successful
management. This means that employers should prioritize employee well-being
within and beyond the workplace.
1) COMMUNICATION
At the core of the human relations approach to management lies strong
communication skills. It ensures that everyone in the organization is on the same
page. It encompasses all forms of communication—verbal, non-verbal and written.
Whether it’s the eye contact you maintain with your audience during meetings or the
emails you send, effective communication skills are a great way to convey your
message and connect with others. Managers and team leaders should especially
focus on sharpening these skills as it helps them drive teamwork and collaboration.
2) CONFLICT RESOLUTION
It’s no secret that employees come from multiple walks of life. This further leads to
diverse personality types, outlooks and goals all working together. There may be
times when you don’t agree with someone’s perspectives and you have every right
to respectfully disagree. This is why conflict resolution skills are important as they
help people address and resolve issues in a civil manner. However, people need to
keep an open mind and must allow for individual perspectives to be voiced. You
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must work towards a solution that everyone feels comfortable with and maintain
harmony in the process.
3) ORGANIZATION
One of the most important skills in the human relations approach, organization
impacts all areas of work. Whether it’s your workflow or physical workspace, staying
organized has several benefits. It helps you prioritize your work and manage your
time better. It’s a key element in creating an efficient workflow. This further allows
you to meet your deadlines and be productive. Organization is an important quality
for team leaders as it allows them to juggle multiple priorities and complete tasks in
an organized process.
By employing these skills, managers and team leaders can implement human
relations management practices with greater efficiency.
1) PROVIDE CONTEXT
Employees are often unable to see the bigger picture. As a result, it’s difficult for
them to find meaning in their work. This can negatively impact employee morale and
increase the risk of them quitting their jobs. Communicate the organizational mission,
vision and objectives to remind employees of their contribution. Help them extract a
sense of fulfillment from their tasks.
2) COLLECT FEEDBACK
Communication is a two-way street. If you want to strengthen relationships,
collaboration and efficiency, you need to hear others out as well. You can actively
solicit employee feedback through surveys or one-on-one meetings. More
importantly, you need to act on the feedback or insights you gathered. This helps
establish trust as employees feel heard.
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While monetary benefits act as strong motivators, they alone don’t suffice. You need
to make your employees feel valued as well. Recognize or celebrate their hard work
whenever possible. Effective recognition is honest and authentic, so make sure that
you talk about individual achievements. The act of appreciation can be as simple as
a congratulatory email or as big as a celebratory lunch.
As you can see, not only employees but also employers can benefit from the human
relations approach.
CONCLUSION
Although the Elton Mayo theory was groundbreaking at the time, it’s impossible to
imagine a workplace without considering social aspects in the modern world. As a
manager, if you want to improve workplace performance and prioritize your team’s
needs and expectations, Harappa’s Managing Teamwork course is the solution! This
team management course will not only help you collaborate with different team
members but also handle conflicts with empathy, maturity and sensitivity. You’ll
master the art of giving and receiving feedback and foster a team culture that helps
everyone maximize their potential. Try Harappa to grow alongside your team!
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tentatively called it Theory Z. Before it could be widely published, McGregor died and
the ideas faded. All rights reserved. No part of this publication may be reproduced in
a retrieval system, or transmitted, in any form or by any means, electronic,
mechanical, photocopying, recording or otherwise, without the prior permission of the
publisher. Theory Z The work on Theory Z which McGregor began was not
completely forgotten. During the 1970s, William Ouchi began to expound its
principles by comparing and contrasting Japanese (Type J) and American (Type A)
organisations. Type A organisations tended to offer short-term employment,
specialised careers (with rapid promotion) and individual decision making and
responsibility. Type J firms, on the other hand, mirrored the ethos of Japanese
society - collectivism and stability rather than individuality. Those American firms
which shared Type J characteristics (and indeed had more in common with Type J
organisations) were described as Type Z (examples included Hewlett-Packard and
Procter & Gamble). Leadership Before McGregor, the thrust of writing about
leadership focused on the qualities and characteristics of `Great People', in the hope
that, if those qualities were identified, they could be emulated. McGregor argued that
there were other variables involved in leadership, including the attitudes and needs
of the followers, the nature and structure of the organisation itself, and the social,
economic and political environment. For McGregor, leadership was not a property of
the individual, but a complex relationship among these variables. He was one of the
first to argue that leadership was more about the relationship between the leader and
the situation they faced, than merely the characteristics of the leader alone. » IN
PERSPECTIVE The Human Side of Enterprise marked a watershed in management
thinking which had previously been dominated by the scientific approach of Taylor,
and formed the foundations for the current people-centred view of management.
Theory Y has been criticised for being too idealistic, but if we examine each of the
six tenets of Theory Y in turn, we can trace much modern thinking back to McGregor:
1. Work - as a source of satisfaction - means accepting that people need to know not
just what or how, but why; the adoption of meaningful objectives is one of the keys to
self-motivation. 2-4. Ownership, commitment and responsibility are three of the key
facets of empowerment 5-6. The encouragement for people to be fully exercised in
the solution of organisational problems is central to action learning, Total Quality
Management, strategic thinking and knowledge exploitation. As mentioned, Moss
Kanter on empowerment, Bennis on leadership, and Peters on excellence as well as
chaos, all acknowledge their debt to McGregor. Contemporary and subsequent
commentaries on McGregor's theories have tended to see them as black and white.
Harold Geneen, former President and CEO of ITT, commented that although
Theories X and Y propose a neat summary of business management, no company is
run in strict accordance with either one or the other. Peter Drucker argued that the
contrast between Theory X and Theory Y is ‘“largely a sham battle’”, since people
behave in a reactive way and in fact the situation and job requirements often dictate
the best approach. The two contrasting theories are best seen perhaps as two
polarising forces with which managers have to grapple. Blake and Mouton expressed
this in terms of the managerial grid where managers constantly have to balance the
drives and forces between task - getting things done - and people - how best to get
them done for the benefit of the organisation and the individuals doing them. All
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OR
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An important step in the MBO approach is the monitoring and evaluation of the
performance and progress of each employee against the established objectives.
Ideally, if the employees themselves are involved in setting goals and deciding their
course of action, they are more likely to fulfill their obligations.
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interpretation and evaluation of what the company can and should achieve within a
specified time.
4. Performance evaluation
Within the MBO framework, the performance review is achieved by the participation
of the managers concerned.
5. Providing feedback
In the management by objectives approach, the most essential step is the
continuous feedback on the results and objectives, as it enables the employees to
track and make corrections to their actions. The ongoing feedback is complemented
by frequent formal evaluation meetings in which superiors and subordinates may
discuss progress towards objectives, leading to more feedback.
6. Performance appraisal
Performance reviews are a routine review of the success of employees within MBO
organizations.
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The MBO approach does not emphasize the significance of the context wherein the
goals are set. The context encompasses everything from resource availability and
efficiency to relative buy-in from the leadership and stakeholders.
Finally, there is a tendency for many managers to see management by objectives as
a total system that can handle all management issues once installed. The
overdependence may impose problems on the MBO system that it is not prepared to
tackle, and that frustrates any potentially positive effects on the issues it is supposed
to deal with.
Key Takeaways
Management by Objectives (MBO) is an approach adopted by managers to control
their employees by implementing a series of concrete goals that both the employee
and the organization aim to accomplish in the immediate future and work accordingly
to achieve.
The MBO approach is implemented to ensure that the employees get a clear
understanding of their roles and responsibilities, along with expectations, so that they
can understand the relation of their activities to the overall success of the
organization.
If the management by objectives strategy is not adequately set, decided upon, and
controlled by organizations, self-centered workers can be likely to misinterpret
results, wrongly portraying the achievement of short-term, narrow-minded goals.
SMART GOALS
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For example, a general goal would be “I want to get in shape.” A more specific goal
would be “I want to obtain a gym membership at my local community center and
work out four days a week to be healthier.”
For example, building on the specific goal above: I want to obtain a gym membership
at my local community center and work out four days a week to be healthier. Every
week, I will aim to lose one pound of body fat.
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A SMART goal must be time-bound in that it has a start and finish date. If the goal is
not time-constrained, there will be no sense of urgency and, therefore, less
motivation to achieve the goal. Ask yourself:
Does my goal have a deadline?
By when do you want to achieve your goal?
For example, building on the goal above: On August 1, I will obtain a gym
membership at my local community center. In order to be healthier, I will work out
four days a week. Every week, I will aim to lose one pound of body fat. By the end of
August, I will have realized my goal if I lose four pounds of fat over the course of the
month.
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System Approach
#1 Input
Inputs are the raw materials that can be processed for the output. An organization
gets input from the external environment. Input consists of human, financial,
physical, and information. Qualified and experienced human resources, good
physical infrastructure, and adequate capital are crucial for accomplishing
organizational goals.
#2 Processing
Organizations are processing units. They convert raw materials into finished
products through the conversion process. Solid planning, decision-making,
leadership, and proper control are vital for better processing.
#3 Output
The output is the product of organizations. Outputs are supplied in the market and
feedback or response is received. If the businesses provide quality outputs to their
customers, buyers will have a positive attitude towards the organization and vice-
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versa. For a better product or service, an organization needs good inputs and
processing.
Components of System Theory
#1 Goal Oriented
Every system is purposeful. It is directed towards achieving certain objectives.
#2 Subsystem
The parts or components of a system are called subsystems. Each system may be a
subsystem of a larger whole making another system. For example, a teacher is a
subsystem of a college, which is the subsystem of a university, which is also the
subsystem of the education commission of the nation. These subsystems interact
with each other.
#3 Synergy
The synergy means the whole is greater than the sum of its parts. Thus, the synergy
effect means 2 + 2= 5. It means that the performance of the whole depends on how
well its parts are related and not how well each part operates. For example, if two
organizations or systems join together they will achieve more success than if they
work separately.
#4 System Boundary
Every system has a boundary that separates it from its environment. In an
organization, the boundary determines which parts are internal and which are
external. In an open system, the system boundary is flexible, and in a closed system,
the boundary is rigid. Many organizations apply flexible system boundaries.
#5 Open and Closed System
An open system continuously interacts with the environment. All organizations
interact with their environment. It is concerned with the transformation of input into
useful outputs required by environments.
The closed systems do not interact with the environment and are not affected by
them. They are isolated within their organization and most have their works to be
done within their environment. A clock is an example of a closed system.
#6 Flow
A system has a flow of materials, information, money, human, and other resources.
These are inputs, processed through the conversion process, and comes as output
and supplied in the market as a product or service.
#7 Feedback
A reaction or response from the environment is known as feedback. It helps to
evaluate either the output is useful or not. It is useful in evaluating and improving the
functioning of the system. Therefore, feedback is the key to system control.
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The focus of the McKinsey 7s Model lies in the interconnectedness of the elements
that are categorized by “Soft Ss” and “Hard Ss” – implying that a domino effect exists
when changing one element in order to maintain an effective balance. Placing
“Shared Values” as the “center” reflects the crucial nature of the impact of changes
in founder values on all other elements.
1. Structure
Structure is the way in which a company is organized – chain of command and
accountability relationships that form its organizational chart.
2. Strategy
Strategy refers to a well-curated business plan that allows the company to formulate
a plan of action to achieve a sustainable competitive advantage, reinforced by the
company’s mission and values.
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3. Systems
Systems entail the business and technical infrastructure of the company that
establishes workflows and the chain of decision-making.
4. Skills
Skills form the capabilities and competencies of a company that enables its
employees to achieve its objectives.
5. Style
The attitude of senior employees in a company establishes a code of
conduct through their ways of interactions and symbolic decision-making, which
forms the management style of its leaders.
6. Staff
Staff involves talent management and all human resources related to company
decisions, such as training, recruiting, and rewards systems
7. Shared Values
The mission, objectives, and values form the foundation of every organization and
play an important role in aligning all key elements to maintain an effective
organizational design.
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We teach the phases of design thinking as linear steps, but in practice, the process
is not always linear—the phases combine to form an iterative approach that you can
try out and adapt to suit your specific challenge.
Frame a Question
Inspire your team to think about your customers (who you’re designing a solution for)
and what they actually need.
Gather Inspiration
Go out into the world and seek inspiration by observing and discovering what people
really need.
Generate Ideas
Use the inspiration you gather to help push past the obvious to come up with fresh
solutions to your problem.
Make Ideas Tangible
Build rough prototypes and find what’s working and what’s not.
Test to Learn
Test your prototypes, gather feedback, and iterate.
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Some of these steps may happen several times, and you may even jump back and
forth between them. Moving through the phases of design thinking can take you from
a blank slate to a new, innovative solution.
Why Design Thinking is Valuable
We live and work in a world of interlocking systems, where many of the problems we
face are dynamic, multifaceted, and inherently human. The following IDEO case
studies consider the questions How will we personalize health? and How can design
advance learning and education?
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That's where the seven habits of highly effective people come in:
Habits 1, 2, and 3 are focused on self-mastery and moving from dependence to
independence.
Habits 4, 5, and 6 are focused on developing teamwork, collaboration, and
communication skills, and moving from independence to interdependence.
Habit 7 is focused on continuous growth and improvement and embodies all the
other habits.
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Skype. “They get a kick out of screwing up the status quo,” she told us. “They can’t
bear it. So they spend a tremendous amount of time thinking about how to change
the world. And as they brainstorm, they like to ask: ‘If we did this, what would
happen?’”
Most of the innovative entrepreneurs we interviewed could remember the specific
questions they were asking at the time they had the inspiration for a new venture.
Michael Dell, for instance, told us that his idea for founding Dell Computer sprang
from his asking why a computer cost five times as much as the sum of its parts. “I
would take computers apart…and would observe that $600 worth of parts were sold
for $3,000.” In chewing over the question, he hit on his revolutionary business model.
Discovery Skill 3: Observing
Discovery-driven executives produce uncommon business ideas by scrutinizing
common phenomena, particularly the behavior of potential customers. In observing
others, they act like anthropologists and social scientists.
Intuit founder Scott Cook hit on the idea for Quicken financial software after two key
observations. First he watched his wife’s frustration as she struggled to keep track of
their finances. “Often the surprises that lead to new business ideas come from
watching other people work and live their normal lives,” Cook explained. “You see
something and ask, ‘Why do they do that? That doesn’t make sense.’” Then a buddy
got him a sneak peek at the Apple Lisa before it launched. Immediately after leaving
Apple headquarters, Cook drove to the nearest restaurant to write down everything
he had noticed about the Lisa. His observations prompted insights such as building
the graphical user interface to look just like its real-world counterpart (a checkbook,
for example), making it easy for people to use it. So Cook set about solving his wife’s
problem and grabbed 50% of the market for financial software in the first year.
Innovators carefully, intentionally, and consistently look out for small behavioral
details—in the activities of customers, suppliers, and other companies—in order to
gain insights about new ways of doing things. Ratan Tata got the inspiration that led
to the world’s cheapest car by observing the plight of a family of four packed onto a
single motorized scooter. After years of product development, Tata Group launched
in 2009 the $2,500 Nano using a modular production method that may disrupt the
entire automobile distribution system in India. Observers try all sorts of techniques to
see the world in a different light. Akio Toyoda regularly practices Toyota’s philosophy
of genchi genbutsu—“going to the spot and seeing for yourself.” Frequent direct
observation is baked into the Toyota culture.
Discovery Skill 4: Experimenting
When we think of experiments, we think of scientists in white coats or of great
inventors like Thomas Edison. Like scientists, innovative entrepreneurs actively try
out new ideas by creating prototypes and launching pilots. (As Edison said, “I haven’t
failed. I’ve simply found 10,000 ways that do not work.”) The world is their laboratory.
Unlike observers, who intensely watch the world, experimenters construct interactive
experiences and try to provoke unorthodox responses to see what insights emerge.
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prevent ice crystal growth on cells during freezing, a technique that CPS applied to
its manufacturing process with stunning success.
What are delivery skills?
Delivery skills are comprised of effective eye contact, volume, pacing, tone,
body language, word choice, and appearance. It's important to be aware of not
only what you are saying, but also how you are saying it.
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When people are committed to, and have a stake in, the organization's success, their
needs and production needs coincide. This creates an environment based on trust
and respect, which leads to high satisfaction, motivation and excellent results. Team
managers likely adopt the Theory Y approach to motivation, as we mentioned above.
Applying the Blake Mouton Grid
It is important to understand your management or leadership style, so that you can
then identify ways of reaching the target position of Team manager.
Step One: Identify Your Managerial Style
List five or six recent situations where you were the leader.
For each situation, place yourself on the grid according to where you believe you fit.
Use our self-assessment leadership quiz to help you spot your traits.
Step Two: Identify Areas Where You Can Improve and Develop Your Leadership
Skills
Look at your current approach. Are you settling for "Middle-of-the-Road" because it's
easier than reaching for more? Think about whether your style suits the situation you
are in.
If you feel that you are too task-oriented, then you can try to involve your team
members in creative problem solving , improve how you communicate with them,
or work on your mentoring skills . Or, if you tend to focus too much on people, it
may mean becoming clearer about scheduling and monitoring project progress ,
or improving your decision making .
Continually monitor your performance and watch for situations where you slip back
into bad old habits .
Step Three: Put the Grid in Context
The Team Management style is often the most effective approach, but there are
situations that call for more attention to one area than the other. For example, if your
company is in the middle of a merger or some other significant change, then it can
be acceptable to place a higher emphasis on people than on production, to guide
them and reassure them through a potentially difficult time. Likewise, when faced
with an emergency, an economic hardship, or a physical risk, concerns about people
may be put to one side, for the short term at least, to achieve good results and
efficiency.
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Business ethics carries significant influence in the corporate world. Not only does it
change how businesses operate on a day-to-day- basis, but it also influences
legislation around corporate regulation. Find out what business ethics is, why it is
important, and how you can spot ethical and unethical behaviors in the workplace.
Business ethics is the study of how a business should act in the face of ethical
dilemmas and controversial situations. This can include a number of different
situations, including how a business is governed, how stocks are traded, a business'
role in social issues, and more.
Business ethics is a broad field because there are so many different topics that fall
under its umbrella. It can be studied from a variety of different angles, whether it's
philosophically, scientifically, or legally. However, the law plays the biggest role in
influencing business ethics by far.
Many businesses leverage business ethics not only to remain clean from a legal
perspective, but also to boost their public image. It instills and ensures trust between
consumers and the businesses that serve them.
The modern idea of business ethics as a field is relatively new, but how to ethically
conduct business has been widely debated since bartering and trading first arose.
Aristotle even proposed a few of his own ideas about business ethics.
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philosophically and measured empirically. As this field of study became more robust,
the government began legislating leading ideas in the field into law, thus forcing
businesses to abide by certain rules and regulations that were deemed ethical.
Business ethics are important for a variety of reasons. First and foremost, it keeps
the business working within the boundaries of the law, ensuring that they aren't
committing crimes against their employees, customers, consumers at large, or other
parties. However, the business also has a number of other advantages that will help
them succeed if they are aware of business ethics.
Businesses can also build trust between the business and consumers. If consumers
feel that a business can be trusted, they will be more likely to choose that business
over its competitors. Some businesses choose to use certain aspects of business
ethics as a marketing tool, particularly if they decide to highlight a popular social
issue. Leveraging business ethics wisely can result in increased brand equity overall.
Following business ethics can also be beneficial for the business' employees and
operations. Attracting top talent is significantly easier for ethical businesses.
Employees not only appreciate a socially aware employer, but will also perceive
them as the kind of business that will act in the best interest of their employees. This
produces more dedicated employees and can also reduce recruitment costs.
Business ethics as a field of study is incredibly diverse, but many concepts can be
divided into a few basic principles. Every business should strive to follow these
guidelines in the pursuit of success.
Trustworthiness
Respect
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Showing respect for employees and customers involves following through on all
promises -- and providing sincere apologies and appropriate compensation if
anything falls through. Showing a lack of respect will deter customers from engaging
with a business and lower a business' reputation. It will also do significant damage to
employee morale and increase turnover.
Fairness
Treating customers and employees with a sense of fairness and justice is a key type
of ethics. Manipulative behaviors aren't just unethical, but they are also unhelpful --
and the top priority of any business should be to be helpful to its customers and
employees. It is also important to treat all people equally.
Caring
Businesses, at the end of the day, are composed of human beings. There are human
beings that consume goods or services from the business, and then there are human
beings that work to produce those goods or services. Being open to their struggles
and coming to the table with solutions will show empathy -- a valuable tool for any
business to utilize. Showing a sense of caring and keeping the lines of
communication is not just the ethical thing to do, but can also boost internal and
external perceptions of the business.
Companies that build their workplace culture around putting customer needs first and
hiring people who engage in this behavior are participating in ethical behaviors. For
example, if a customer comes into a store looking for a product that meets very
specific needs, it's important to provide them the best product for the situation
described instead of upselling them or encouraging them to buy a product that won't
meet their needs. However, it is important to ensure that the "customer first" attitude
does not unintentionally result in the unethical treatment of employees -- such as
encouraging them to work more overtime than allowed, forcing them to endure
abuse from customers with no safe way to escape the situation, and more.
Being Transparent
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Many businesses collect the personal information of their customers, whether it's
payment information, health information, or similar. One of the priorities for any
business should be securing and protecting this information. For example, a hospital
may create and enforce aggressive policies around staff sharing patient information
on social media. Having an employee share this kind of information on their personal
accounts is not only disrespectful of the patient's privacy, but could also put the
hospital at risk of violating HIPAA regulations.
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Lying
Lying to your employees or customers is the biggest way to break trust. Trust is the
best source of dedication and loyalty that any business has. Once that trust is
broken, it is extremely difficult to get it back. For example, if a company has a high-
performing employee who is asking for a promotion, they may say that there is no
room in the budget for a promotion this year. A few months later, another employee
may receive a promotion. Telling obvious lies isn't just unethical -- it will drive people
away from your business.
This is a common ethical dilemma that many businesses face. Many employees
misuse company time in a variety of ways, whether it's surfing the internet during
business hours, taking extended breaks, altering time sheets, or similar. Misusing
company time is unethical because the employee is being paid a salary for work that
they did not complete or time they did not dedicate to their job.
While there is bound to be some conflict in the workplace, it is important to make the
workplace a safe environment for everyone. Some companies unintentionally
cultivate a hostile or overly competitive company culture. For example, employers
may encourage an unhealthily competitive environment among employees to drive
productivity and innovation. However, cultivating this kind of environment can tax
employee mental health, and even encourage unethical, sabotaging behavior among
employees who want to get ahead at work.
Conflicts of interest encourage businesses to act in ways that do not benefit their
customers or employees. For example, if a manager has a relative as their direct
report, that manager may treat that employee differently than their other reports. It is
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the duty of the business to address this situation. Removing conflicts of interest can
become more complex when a business is publicly traded, non-profit, or receives
funds from a government entity.
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My purpose is to lead people and manage resources to create value that no single
individual can create alone.
• I will manage my enterprise with loyalty and care, and will not advance my
personal interests at the expense of my enterprise or society.
• I will understand and uphold, in letter and spirit, the laws and contracts
governing my conduct and that of my enterprise.
• I will refrain from corruption, unfair competition, or business practices harmful
to society.
• I will protect the human rights and dignity of all people affected by my
enterprise, and I will oppose discrimination and exploitation.
• I will protect the right of future generations to advance their standard of living
and enjoy a healthy planet.
• I will report the performance and risks of my enterprise accurately and
honestly.
• I will invest in developing myself and others, helping the management
profession continue to advance and create sustainable and inclusive prosperity.
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19) ESG
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