Saturday, October 19, 2013

Organizing - Henri Fayol's Concept

To organize a business is to provide it with everything useful to its functioning: raw materials, tools, capital, personnel. All this may be categorized into two main groups: the material organization and the human organization. The body corporate would be capable of fulfilling the six essential functions only when these resources are provided to it.  Fayol mentioned that only human organization is dealt with in his paper. It is because he presented only a discussion paper highlighting what can be taught in management course or subject.

The latter day management scholars must have developed on the material organization development in their voluminous books. But they also neglected the essential portion of the organization.

Saturday, October 5, 2013

Customer Satisfaction Focus - Resource Efficiency Focus

Managers have to simultaneously take care of customer satisfaction and resource efficiency.

Industrial engineers specialize in resource efficiency of engineering activities.

Eleven Customer-Focused Practices of Baldrige Award Winners

1. Multiple listening posts for understanding customer requirements
2. Highly refined recovery systems and complaint management processes
3. Comprehensive, creative, and continuous interface with the customer
4. Clarity about customer segments and their requirements
5. Customer focus is demonstrated at all levels and cascades from the top
6. Customer requirements and marketplace needs drive new product
7. Organization structures that support a customer-focused orientation
8. Information about customers is frequently and widely communicated
9. Missions that extend beyond customers and the boundaries of the business
10. Technology and operational processes mapped to customer service
11. Key results measures reflect high levels of customer service and satisfaction

4Cs of Customer Focused Solutions

Resource Efficiency Focus Initiatives

Deloitte Consultants are promoting resource efficiency now

A resource-focused approach to running your supply chain can enhance margins and help  win market share. If  suppliers are using too much energy, materials or water,  then they are spending too much money. And the extra expense is being born by  the supply chain. Help them become more efficient and then use the savings to increase the supply chain profit margins and market share.

Resource efficiency is a new and untapped opportunity, says Deloitte

Why? Efficiency initiatives of the past focused on systems and processes, rather than resources. A resource-focused approach – reducing energy, carbon, water, materials and waste – can offer an alternative and new way to achieve significant savings with rapid payback.

High Profit Supply Chain - Deloitte 2013 paper

Resource Efficiency - European Commission Netherlands 2013 Policy papers

Shop Floor Human Resource Management

It is production who do shop floor human resource management. They are in touch with every employee eight hours or more every day. What is the theory that supports them in their managerial activity.

F.W. Taylor advocated that managers take the responsibility for developing methods of accomplishing the required tasks and for training recruit in those methods. He wanted a foreman in charge of discipline apart from other foremen who look after specific aspects of methods.

Juan López-Cotarelo, Industrial Relations Research Unit, Warwick Business School  points out that line managers play a central role in human resource management. In many organisations, they are charged with myriad HR-related tasks, such as filling out performance appraisal forms, interviewing candidates for employment, making salary increase recommendations and breaking employment-related news –good and bad- to employees.

He also points out that treatment of line managers in the human resource management literature has been at best patchy. The ‘functional’ or ‘micro’ HRM subfield (Wright and Boswell, 2002) has produced knowledge about the role of line managers in the separate HR processes, such as personnel selection and performance appraisals. Most of the work in this subfield however has focused on describing the various ways in which managers can be subject to biases in their decision making. For instance, the personnel selection literature has shown that the behaviour of interviewers influences the performance of applicants (Liden et al., 1993), and that interviewer similarity and affect towards the interviewee is linked to perceived job suitability of the applicant (Howard and Ferris, 1996). Likewise, the performance appraisal literature has devoted much effort to determining the effects of rater affect and rater similarity on performance evaluations (Levy and Williams, 2004) On the ‘macro’ or ‘strategic’ side of the literature (Wright and Boswell, 2002), research has almost universally espoused a research design which has limited attention to line manager actions.

BREWSTER, C. & SODERSTROM, M. 1994. Human resources and line management.
In: BREWSTER, C. & HEGEWISCH, A. (eds.) Policy and practice in European
human resource management : the Price Waterhouse Cranfield survey. London; New York: Routledge.

HOWARD, J. L. & FERRIS, G. R. 1996. The Employment Interview Context: Social and
Situational Influences on Interviewer Decisions. Journal of Applied Social
Psychology, 26, 112-36.

Juan López-Cotarelo, HR discretion: understanding line managers’ role in  Human Resource Management 
Juan López-Cotarelo, Industrial Relations Research Unit, Warwick Business School 

LEVY, P. E. & WILLIAMS, J. R. 2004. The Social Context of Performance Appraisal: A 
Review and Framework for the Future. Journal of Management, 30, 881-905. 

LIDEN, R. C., MARTIN, C. L. & PARSONS, C. K. 1993. Interviewer and applicant 
behaviors in employment interviews. Academy of Management Journal, 36, 372-

WRIGHT, P. M. & BOSWELL, W. R. 2002. Desegregating HRM: a review and
synthesis of micro and macro human resource management research. Journal of
Management, 28, 247-76. 

Thursday, October 3, 2013

Management Scholars and Thinkers

Business and Management Thinkers - Brief Biographies and Their Publications

Harrington Emerson

DOB  2 August

Peter F. Drucker

Obituary, New York Times, November 2005
He wanted to write "Managing Ignorance." Interesting as I argue that the cost of ignorance is much higher than cost of quality in the society.