Increasing Participation in Decision Making

Managers do make some decisions as individuals, but decision makers more often are part of a group.  Major decisions in the business world  rarely are made entirely  by an individual. Effective  decision making often depends on whether managers involve the right people in the right ways in helping to solve problems. One model that

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Information Technology Has Changed Everything

The Internet, little more than a curiosity to many managers just a decade ago, now influ- ences their  lives and jobs in myriad ways. Managers at Arch Coal  use the Internet and GPS networking to monitor and manage major mining equipment. Trinchero Family Estates, producer of Sutter Hill wines,  uses an online system to

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The Evolving World of IT

IT  changes  rapidly, and organizations  that want to stay competitive   are adopting  new technologies and approaches  to improve their operations. However,  most organizations merge new IT applications with existing operational and management information systems. 1. A NEW GENERATION OF IT The force that is fueling growth on the Internet today isn’t a bunch  of

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Types of Information Systems

Organizations typically incorporate new and emerging tools into their existing IT systems. Most managers appreciate the value of making information readily available and easily shared with those who need it in some kind of formal, computer-based information  sys- tem. Such a system combines hardware, software, and human resources to support organi- zational information and

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The Internet and E-Business

In recent years, most organizations have incorporated the Internet as part of their IT strategy.99  The Internet is a global collection  of computer networks linked together for the exchange of data and information.  The Internet became  accessible  as a public information and communications tool after Tim Berners-Lee,  a researcher at CERN (Centre Européan pour

Organizing the Vertical Structure

The organizing process leads to the creation of organization structure, which defines how tasks are divided  and resources deployed. Organization  structure is defined  as (1) the set of formal  tasks assigned to individuals and departments; (2) formal reporting relation- ships, including  lines of authority, decision responsibility, number of hierarchical  levels, and span of managers’

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Departmentalization in the firm

Another fundamental characteristic of organization structure is departmentalization, which is the basis for grouping positions into departments and departments into the total organization.  Managers make choices about how to use the chain of command to group people together  to perform their work. Five approaches  to structural design reflect different uses of the chain of

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Organizing for Horizontal Coordination

One reason for the growing use of teams and networks is that many companies are recog- nizing the limits of traditional  vertical organization structures in today’s fast-shifting envi- ronment. In general, the trend is toward breaking down barriers between departments, and many companies are moving toward horizontal  structures based on work processes rather than

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Factors Shaping Structure

Despite the trend toward horizontal design, vertical hierarchies continue to thrive because they often provide important benefits for organizations.67 How do managers know whether to design a structure that emphasizes the formal,  vertical hierarchy or one with an emphasis on horizontal communication and collaboration? The answer lies in the contingency fac- tors that influence

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Changing Things: New Products and Technologies

1. Turbulent Times and the Changing Workplace Today’s organizations  face an almost continual need for change. Sometimes, forces outside the organization bring about changes,  such as when a powerful  retailer such as Wal-Mart demands annual price cuts, or when a key supplier goes out of business. Many U.S. companies revised their procedures to comply

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Changing People and Culture

All successful changes involve  changes in people and culture  as well. For example, getting products to market fast requires that people learn to work collaboratively. Changes in people and culture pertain to how employees think—changes  in mind-set. People change pertains to just a few employees,  such as sending  a handful of middle managers to

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Model of Planned Organizational Change

Change does not happen easily, but change can be managed. By observing external trends, patterns,  and needs, managers use planned  change to help the organization adapt to exter- nal problems and opportunities.63  When organizations  are caught flat-footed, failing to anticipate or respond to new needs, management is at fault. An overall model for planned

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Implementing Organizational Change

The final step to be managed in the change process is implementation.  A new, creative idea will not benefit the organization until it is in place and being fully used. One frustration for managers is that employees often seem to resist change for no apparent reason. To effec- tively manage the implementation process, managers

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Environmental Influences on HRM

1. The Strategic Role of Human Resource Management The strategic approach to HRM recognizes three key elements. First, as we just discussed, all managers are HR managers. For example, at IBM every manager is expected to pay atten- tion to the development and satisfaction of subordinates. Line managers use surveys, career planning,  performance appraisal,

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The Changing Nature of Careers

Another current  issue is the changing nature of careers. HRM can benefit employees and organizations by responding to recent changes in the relationship  between employers and employees and new ways of working such as telecommuting, job sharing, outsourcing, and virtual teams. 1. THE  CHANGING SOCIAL CONTRACT In the old social contract between organization and

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Attracting an Effective Workforce

The first goal of HRM is to attract individuals who show signs of becoming valued, pro- ductive, and satisfied employees. The first step in attracting an effective workforce involves HR planning, in which managers or HRM professionals predict the need for new employ- ees based on the  types of vacancies that exist, as illustrated

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Developing an Effective Workforce

Following  selection, the next goal of HRM is to develop employees into an effective work- force. Development includes training and performance appraisal. 1. TRAINING AND DEVELOPMENT Training and development represent a planned  effort by an organization to facilitate em- ployees’ learning  of job-related skills and behaviors.70  Organizations  spent some $51.1 billion for training in

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Maintaining an Effective Workforce

Now we turn to the topic of how managers and HRM professionals maintain  a workforce that has been recruited  and developed. Maintenance  of the current workforce involves compensation,  wage and salary systems, benefits, and occasional terminations. 1. COMPENSATION The term compensation refers to (1) all monetary payments and (2) all goods or commodi- ties

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Diversity In Organizations

Many managers  are finding innovative  ways to integrate diversity initiatives into their organizations.  These initiatives  teach current employees to value differences, direct corpo- rate recruiting efforts, influence supplier decisions, and provide development training for women and minorities. Smart managers value diversity and enforce the value in day-to-day decision making. In the United States, today’s

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Valuing Diversity

Top managers  say their companies value diversity  for a number  of reasons,  such  as to give the organization access to a broader range of opinions and viewpoints, to spur greater creativity and innovation, to reflect an increasingly  diverse customer base, to obtain the best talent in a competitive  environment,  and to more effectively compete

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