Key Principles of Management and Leadership
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1 Workbook 1 Key Principles of Management and Leadership Personal Development Customer Service Promoting Quality Leadership Skills Personal Goals Staff Recruitment Staff Development Level 3 Certificate in Management
2 Fayol s theory has been updated and amended slightly over the years. People have changed some of the headings a little to update the translation from French, and to suit their organisations and their own theories. We have selected this five-point model of Henri Fayol s theory, because it is a very clear analysis of the functions of management. The five main functions of management are: Planning e.g. defining objectives within the overall strategy of the organisation; establishing goals and deadlines; planning the human and physical resources required; establishing policies and procedures. Organising e.g. how and when tasks will be done and monitored; who will do the tasks; the allocation of equipment and other physical resources; the flow of information; the distribution of responsibility and authority. Commanding staff leading or directing staff, e.g. motivating and rewarding team members; selecting, training, evaluating and monitoring staff; resolving conflicts and problems, following disciplinary measures if necessary; guiding, advising, directing and working with staff to achieve objectives; supporting professional development for staff. Coordinating e.g. communicating with team leaders, team members and other teams within the organisation; communicating with other businesses, companies and outside agencies involved in achieving the objectives; using and developing reporting and decision-making structures; liaising with suppliers, customers and so on. Controlling e.g. monitoring progress and measuring performance; analysing reasons for problems and taking effective action; handling budgets; allocating tasks and resources. Planning Controlling Organising Management Coodinating Commanding Workbook 1 5
3 Mary Parker Follett s Theory of Management The Fayol model is widely accepted and used as a model for management functions. There are modern versions but the principles remain broadly the same. There are many other theories about the functions of management. Another example is Mary Parker Follett s theory, which is based on the art of getting things done through people. Mary Parker Follett ( ) was a social worker, writer and organisational consultant and has been called the woman who invented management. She advocated pull rather than push for employee motivation, and developed insightful ideas about negotiation, conflict resolution and power sharing. Parker Follett looked at management and leadership holistically - as a whole, not just a collection of parts. Each part, each function and each person was seen as interdependent, and the key concept is interrelatedness, Her model is about management by objectives, with people governing themselves, and interacting to achieve objectives through cooperation. Parker Follett s theories about management includes such principles as: 1) Conflict resolution through integration often results in a win-win situation e.g. identifying each party s underlying needs, concentrating on the similarities and finding solutions that meet different sets of needs. Parker Follett claimed that working in groups allows people to find out about themselves. She said that recognising and dealing with fundamental differences, in friendships and with colleagues, leads to a deeper and more meaningful relationship. Differences are enriching and lead to higher levels of understanding and endeavour. This more democratic style of consultation, negotiation was pioneering at the time, but is seen as normal in the twenty-first century. By embracing the diversity or people s skills, experience, culture, backgrounds and so on, conflicts are usually dealt with quietly, calmly and quickly. 6 L4W 2013
4 2) Genuine power is not coercive but coactive not having power over someone, but sharing power with someone. She coined the phrases power-over and power-with. Time and motion studies at the time concentrated on managers having power over people, highlighting the need to push people into action at work. Parker Follett observed that groups of people work more effectively if they share power with each other and the organisation, so that they pull together and are empowered. She believed that organisations need to do more than just share the power. They need to increase the power, and to seek methods by which power can be increased for all. In the twenty-first century, it is now quite normal for employees to have a stake in their organisation. This can be a share ownership scheme, for example, a comments and suggestions scheme, or a forum where employees are represented in management decisions. 3) True leaders create power rather than expressing personal power e.g. they empower their team rather than exerting their power over the team members. Parker Follett criticised hierarchical organisations. She despised competition, bullying and the command and control style of leadership (push/power-over), and she supported democratic and integrated forms of management (pull/power with). She believed that the energies of the human spirit need to be free to release full potential. The idea is that leadership is fluid, where leaders and followers are in a relationship. She said that the leader guides the team and is, in turn, guided by the group. Leaders teach and influence others by stimulating them, and value frontline employee knowledge. This was radical in the early 1900s, but has become the centre of many managers styles. Legislation, appraisal and training policies and procedures are often based around empowering and supporting employees. Workbook 1 7
5 Knowledge Activity 1: Imagine that you are an events manager in a large hotel. You have been given the task of organising a wedding reception that has been booked for next month. You already have the lists of requirements from the couples there will be guests for a three course lunch, then 200 for an evening buffet; they want a disco and live music; they want to help to decorate the venue; they want champagne on arrival and a bar until late. Make notes about the various management functions you need to consider. Planning What needs to be planned in advance? What problems may arise? Organising How will you allocate resources? Commanding staff Who will do what and how? Coordinating Who do you need to communicate with? Controlling How will you keep things on track? 8 L4W 2013
6 Productive Team Work Communication Methods Disclaimer Every effort has been made to ensure that the information contained within this learning material is accurate and reflects current best practice. All information provided should be used as guidance only, and adapted to reflect local practices and individual working environment protocols. All legislation is correct at the time of printing, but is liable to change (please ensure when referencing legislation that you are working from the most recent edition/amendment). Neither Learning for Work (L4W); nor their authors, publishers or distributors accept any responsibility for any loss, damage or injury (whether direct, indirect, incidental or consequential) howsoever arising in connection with the use of the information in this learning material. Copyright 2013 All rights reserved. All material contained within this manual, including (without limitation): text; logos; icons; and all other artwork is copyright material of Learning for Work (L4W), unless otherwise stated. No part of this publication may be reproduced, stored 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 copyright owners. If you have any queries, feedback or need further information please contact: Learning for Work (a trading arm of Learning at Work Ltd). Pure Offices, 1 Broad Gate, The Headrow, Leeds LS1 8EQ info@learning-work.co.uk L4W-CIMv1 February 2013
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