Executive Development Programme- June 2012

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1 Session 1- Role of a Manager and Concept of Team Leadership By the end of the session, participants will be able to: 1. Differentiate between management and leadership. 2. Define the role of a manager and a leader and the differences between each. 3. Detail the attributes or skills required by a manager or team leader. 4. Discuss the role of personal charisma, style, power and influence on the success of team leadership. 5. Explain the importance of management in the overall achievement of organisational goals. Session 1- Role of a Manager (pre-reading) 1

2 There are various definitions available on the web for the terms management, administration and leadership. Given below are some of the common definitions for these terms. Management: Management is the act of managing something. Those in charge of running a business are called management. Management in all business and human organization activity is the act of getting people together to accomplish desired goals and objectives. The organization and coordination of the activities of an enterprise in accordance with certain policies and in achievement of defined objectives is known as management. As a discipline, management consists of the interlocking functions of formulating corporate policy and organizing, planning, controlling, and directing an organization's resources to achieve the policy's objectives. Management is also defined as judicious use of means to accomplish an end. Administration: Performance of executive duties is known as administration. Administration consists of the performance or management of business operations and thus the making or implementing of major decisions. Leadership: Leadership is the activity of leading. Leadership is also used in reference to the body of people who lead a group. Leadership has been written as the process of social influence in which one person can enlist the aid and support of others in the accomplishment of a common task. A leader is a person who rules or guides or inspires others. History of Management The earliest mention of management practices is recorded in the Hindu scriptures also called the Vedas. Research is being conducted by various individuals to validate this reference and hence at this point in time there is insufficient evidence to validate the history of management. There is however written evidence of management practices in two separate books. Around 300 BC, Chanakya- chief adviser to the Maurya King Chandragupta Maurya advocated certain guidelines for governance. Though considered an expert in economics and political science, he was known to be a master strategist. His work, Arthshastra lays down policies on economics, welfare and war strategies. Some of the guidelines advocated by him are relevant and practical even in today s world. Another book by the name, Art of War was written by a Chinese military general. If the context of war is taken away and replaced with the competitive business environment of these times, then the philosophies professed by Sun Tzu is again relevant and practical to these times. In the 18 th century, Adam Smith, an economist wrote Wealth of Nations in which he defined the importance of specialization of labour in order to increase productivity. Session 1- Role of a Manager pre-reading Page 2

3 Research on management practices actually picked up after the rise of industrialization. The earliest concepts and theories are referred to as classical theories. Subsequently with studies being conducted on understanding human psychology, efforts were made to correlate the two studies of psychology and behaviour at workplace. The concepts and theories established at this time are called the behavioral theories of management. Currently, there are diverse approaches to management and the focus has shifted from managing to leading. These approaches are termed as modern theories of management. Classical Theories on Management Frederick Winslow Taylor The earliest theory was published in 1911 by an American engineer, FW Taylor, who tried to apply scientific principles to the way people worked. He was always looking for the one best way of doing something. Using a scientific approach, he broke down jobs into small tasks. By training people to do one of the small tasks really well, he was able to improve output in the steel factory he managed. This was the beginning of time and motion studies and task specialization. Taylor also expected to be able to reduce the stress and strains on the workers. He was the first to insist that planning and organising work, and training people to do the work properly, were part of a manager s responsibilities. Henri Fayol In 1916, Henri Fayol, a French mining engineer, first identified the Functions of Management, which he originally defined like this: Planning Organising Commanding Coordinating Controlling Looking ahead and making provision for the future. Providing the business with the resources it needs to operate: equipment, materials, finance and trained people. Making sure that things get done: directing the operations. Harmonising all activities effectively and efficiently. Making sure things happen the way they were planned to. Like planning, organising is concerned with a future outcome. Planning is about determining what the outcome should be, whilst organising is about collecting the resources so that a planned outcome can occur. Fayol did not mean commanding to imply ordering people about, but to mean getting the job done by effectively leading. Coordinating means making sure that everything works smoothly. In addition to the five primary functions given above, Fayol proposed 14 principles of management: Division of work (labor). Session 1- Role of a Manager pre-reading Page 3

4 Authority-managers give orders. Discipline- employees follow rules of the organization. Executive Development Programme- June 2012 Unity of command- only one superior in charge of giving orders. Unity of direction- Manager responsible for setting objectives for the organization. Organization objectives come first and then the personal objectives. Remuneration- Wages paid to workers as per their services or work. Centralized decision making process- Only one person (either owner or manager) can take decisions. Clear hierarchy- line of authority and communication flows from top to bottom. Order- Resources should be organized and in order. Equity- Manager should treat workers fairly and equally. Employee turnover should be controlled and manageable. Initiative- Employee productivity will be higher if he is allowed to originate and carry out plans. Esprit de corps- encouraging team work. Nowadays coordinating is seen as part of the other four functions, so we no longer count it as a separate function. So we are left with four Functions of Management: Planning; Organising; Leading and Controlling. Elton Mayo Elton Mayo, an Australian psychologist and sociologist is known for his research on Hawthorne experiments. The experiments were conducted to look at ways of increasing human productivity. However, during the experiments, he noticed that worker satisfaction depended on the social set-up at the workplace. He concluded that people's work performance is dependent on both social issues and job content. Informal groups at the work place had a stronger impact on the behavior of the workers. (Wikipedia). His research and subsequent conclusions changed the way the world looked at management and the work force. Despite some criticisms of his work, organizations started to look at the human side of management. Behavioral Theories on Management These theories shall be discussed at the workshop at OCLD. Modern Approaches to Management These theories will also be discussed at the workshop at OCLD. Session 1- Role of a Manager pre-reading Page 4

5 TASKS OF A MANAGER PLAN Preparing rosters Adjusting rosters Activities and schedules ORGANISE Routine tasks Non-routine tasks Resources LEAD (getting work done) Satisfying guests Getting work done CONTROL Staff performance Follow ups Standards and Quality FINANCES TRAINING COMMUNICATE RELATIONSHIPS Revenue generation Inducting staff Sharing information Guest Cost controls Skills training Holding meetings Subordinates Waste elimination Coaching staff Explaining policies Superior Budgeting Reflecting views Colleagues Listening STAFF Welfare Motivation SAFETY and SECURITY PROCESSES Standard operating procedures Appraisal Discipline procedures Team spirit Feedback SO WHAT SHOULD MANAGERS DO? In theory, the senior managers should spend most of their time planning and organising, some time controlling and only a little time on the operations. Conversely, junior managers should spend most of their time on the actual operations, some time controlling, and a little time planning and organising. Middle managers would fall in between: spending time mainly on organising and controlling, with less time on planning and operational work. Research shows that the reality is a little different. Certainly, junior managers spend most of their time doing the job, but senior and middle managers also spend more time on doing than on planning, organising and controlling. They apparently spend a lot of time talking to people: up to 75%. You might wonder what they could be talking about. Here are some findings: Holding meetings to discuss coming events, projects, VIP arrivals, new priorities = Planning Talking to various department heads to ensure they have what they need to operate properly Dealing with guests, staff and managers about the operations and helping out where required = Organising = Leading Session 1- Role of a Manager pre-reading Page 5

6 Walking around and talking to everyone, thereby keeping an eye on things, people, costs, revenue and standards = Controlling These communications concern the four Functions of Management. Typically, managers will also spend time communicating for other reasons, for example: Getting to know the staff, praising good performance, and providing timely feedback to get poor performance on track Responding to owners, corporate office, media, competitors, guests, staff, fellow managers, just because s/he is the boss Receiving, storing and passing-on helpful information to subordinates to help them do their work better. = Motivating = Relationships = Informing Attributes of a Manager Technical competence- Knowledge and skills: Innovative skills- Ability to upgrade services, product, explore new and best ways of doing something. Resource management skills- ability to organise, source and control resources used in operations. Social competence- Interpersonal relationships: Communication skills- Ability to share information clearly and correctly. Coaching and counselling skills- Ability to listen to staff and their needs, mentor and coach them. Guest relations and interaction- Ability to establish positive and long term relationships with guests. Cross functional collaboration- Ability to collaborate and network with other departments and hotels in order to get the job done. Conceptual competence- Leadership skills Problem solving and decision making- Ability to think clearly in a problem situation and using analytical skills identify root cause and possible solutions to the problem. Planning and organising skills- Ability to foresee and prepare for the future. Staff development- Ability to guide, train, educate and prepare staff for higher responsibilities. Delegation skills- Ability to assign work to staff in order to achieve organisational objectives. Session 1- Role of a Manager pre-reading Page 6

7 Food for thought: Distinguishing between Manager and Leader Warren Bennis in his book On Becoming a Leader said: The manager administers; the leader innovates. The manager is a copy; the leader is an original. The manager maintains; the leader develops. The manager focuses on systems and structure; the leader focuses on people. The manager relies on control; the leader inspires trust. The manager accepts reality; the leader investigates it. The manager has a short-range view; the leader has a long-range perspective. The manager asks how and when; the leader asks what and why. The manager has his or her eye always on the bottom line; the leader has his or her eye on the horizon. The manager imitates; the leader originates. The manager accepts the status quo; the leader challenges it. The manager is the classic good soldier; the leader is his or her own person. The manager does things right; the leader does the right thing. Session 1- Role of a Manager pre-reading Page 7

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