BUSINESS

Administration/Management.

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Continued
The business administration/management
function of today is considered to be :
Planning.
Controlling.
Organizing.
Leading/Coordinating.
Staffing.

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 Planning.
Planning involves mapping out exactly how to
achieve a particular goal. An example would
be, say that the organizations goal was to
improve company sales. The
administrator/manager needs to decide which
steps are necessary to accomplish that goal.
These steps may include increasing
advertising, inventory, and sales staff. These
necessary steps are developed into the plan.
When the plan is in place the
administrator/manager can follow it to
accomplish the goal of improving company 3
 Organizing..
after a plan is in place, an
administrator/manager needs to organize
their team and materials according to their
plan. Assigning work and granting authority
are two important elements of organizing.

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 Staffing
After an administrator/manager discerns their
areas needs, they may decide to expand or
increase their staff by recruiting, selecting,
training, and developing employees. A
manager in a large organization often works
with company's human resources department
to accomplish this goal.

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 Leading..
A manager needs to do more than just plan,
organize, and staff to achieve their goal. They
must also lead, and lead by example. This
includes motivating, communicating, guiding,
and encouraging. It requires the manager to
coach, assist, and problem solve with
employees.

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 Controlling..
After the other elements are in place, a
managers job is not finished. They need to
continuously check results against goals and
take any corrective actions necessary to make
sure that their plans remain on track.

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Continued..
All managers at all levels of every
organization perform these functions , but the
amount of time a manager spends on each
one depends on both the level of
management and the specific organization, or
individual.

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Continued.
A manager performs many roles, not only as a
manager, a team leader, a planner, an
organizer, a coach, a mentor , problem solver,
and decision maker all rolled into one. They
also have busy schedules with employee
meetings, unexpected problems, or strategy
and brainstorming sessions.

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Continued.
A lot of managers put the emphasis on
controlling or micromanagement.
Unfortunately, they do not realize that
controlling means to understand the current
status of the particular business. Then by
proper planning, organization, motivation and
leading the situation can be controlled to
insure a profit.

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Continued..
A good manager will insure a profit is
accomplished by removing all obstacles to
success. Planning, organizing, motivating,
leading and controlling are the functions
required of the manager to insure there is
success. Superior trading Performance is
organized to help all persons improve their
profit margin. To that end you must provide
information that will help with planning,
organizing, motivating, leading and controlling
your business.
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Continued..
One point should be made about business
tools. If they dont lead to an actionable
outcome then they are of no use. For
example if data is taken on the number of
calls made each day to make business
appointments but the data does not lead to an
action which creates better efficiency and/or
effectiveness in the calls, the data is
worthless. It should ether not be taken or used
to improve the profit of the business.

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Continued..
Remember, business is all about profit. Both
sides of the trade must make a profit, win-
win business. The MANAGEMENT of your
business must make all business management
decisions in such a manor to maintain optimal
profit while maintaining the best possible
customer relationship. After all, with no
customer there is no business.

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 Micromanagement.
Micromanagement is one of those complex
concepts that happen in the work
environment. Many professionals experience
severe involvement of their supervisors in
their daily work. This will eventually result in a
job change or getting negative results that
could have been easily avoided. The concept
of micromanagement can be used wrongly to
describe irritated managers.

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Continued.
Not all managers are micromanagers and not
all irritating managers are micromanagers. It
is the job of both managers and subordinates
to identify whether micromanagement is
involved or not. Supervision is different than
micromanaging others. If you are
communicating your expectations and goals
clearly and understandably to your team and
giving them the opportunity to work while
following up with them to touch base or giving
them short feedback, you are supervising your
team and making sure the project or 15
Continued..
Task is done effectively and within a timely
manner. If you are communicating your
expectations, then suddenly appear in their
office area without prior notification, you are
micromanaging your team members. The
concept of micromanaging mostly appears
with theory X managers who believe team
members will not do their job well without
severe supervision. There are problems with
this type of view. This view shows that the
managers have little trust in their team
members. 16
Continued..
This lack of trust from managers results in
team members not being able to trust their
managers. Team members may even lose
their motivation, which brings negative results
in their performance at work. Being
micromanaged does not feel good. The
manager or co-worker constantly involves him
or herself in the work of others, with that
manners, as mentioned, would directly
decrease efficiency, productivity and
performance.
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 Reasons For
Micromanaging.
Other than connecting concept of
micromanagement with theory X managers,
micromanagement arise when a supervisor or
manager has great concern for details;
increased performance pressure, at times
personal insecurities, or even as an indirect
tool to terminate an employee.

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10 Roles Of A Manager.
Henry Mintzberg wrote a book called The nature
of managerial work, he describes a set of 10
roles a manager fills, these fall into 3 categories;
Interpersonal- This role involves human
interaction.
Informational- This role involves the sharing and

analyzing of information.
Decisional-This role involves decision making.

This is illustrated on the following slides.

Continued.
Informational Monitor Seek and receive
information ; scan
reports; maintain
personal contact with
stakeholders.
Informational Disseminator Forward information
to organization
members via memos,
reports and phone
calls.
Informational Spokesperson Transmit information
to outsiders via
reports, memos, and
speeches.
Interpersonal Figurehead Perform ceremonial
and symbolic duties,
such as greeting
visitors and signing
legal documents. 20
Continued.
Category Role Activity
Interpersonal Leader Direct and motivate
subordinates ; counsel
and communicate
with subordinates.
Interpersonal Liaison Maintain information
links both inside and
outside the
organization, via
mail , email , phone,
and meetings.
Decisional Entrepreneur Initiate improvement
projects; identify new
ideas and delegate
idea responsibility to
others.
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Continued.
Category Role Activity
Decisional Disturbance Handler Take corrective action
during disputes or
crisis; resolve
conflicts among
subordinates; adapt
to environments.
Decisional Resource Allocator Decide who gets
resources; prepares
budgets; set
schedules and
determines priorities.
Decisional Negotiator Represent
departments during
negotiations of
contracts, sales,
purchases, and 22
Continued.
Not everyone can be a manager or within a
management position. Certain skills, or
abilities to translate knowledge into action
that results in desired performance are
required to help other employees become
more productive. These skills fall under the
following categories.

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Continued.
1) Technical.
2) Human.
3) Conceptual.

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 Technical.
This skill requires the ability to use a special
proficiency or expertise to perform particular
tasks. Accountants, Engineers, Market
Researchers, computer scientists, these are
just an example of some of the many
positions that would require technical skills.

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 Technical
Managers acquire these skills initially through
formal education and then further develop
them through training and on the job
experience. Technical skills are most
important at lower levels of management as
you would have to demonstrate these on a
daily basis.

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 Human.
This particular skill demonstrates the ability to
work well in co-operation with others. Human
skills emerge in the workplace as a spirit of
trust, enthusiasm, and genuine involvement in
interpersonal relationships. A manager with
good human skills has a high degree self-
awareness and a capacity to understand or
empathize with the feelings of others.

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 Human..
Some managers are naturally born with great
human skills through classes or experience.
No matter how human skills are acquired,
they are critical for all managers because of
the highly interpersonal nature of managerial
work.

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 Conceptual.
This particular skill calls for the ability to think
analytically. Analytical skills enable managers
to break down problems into smaller parts, to
see the relations among the parts, and to
recognize the implications of any one problem
for others. As managers assume ever-higher
responsibilities in organizations today, they
must deal with more ambiguous problems
that have long term consequences.

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 Conceptual.
Again managers may acquire these skills
initially through formal education and then
further develop them by training and on the
job experience. The higher the management
level, the more important conceptual skills
become.

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 Continued..
Although all three categories contain skills
essential for managers, their relative
importance tends to vary by level of
managerial responsibility. Business and
management educators are increasingly
interested in helping people acquire technical,
human, and conceptual skills, and develop
specific competencies, or specialized skills
that contribute to high performance in a
managerial position.

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 Continued.
The following are some of the skills that the
top 10 world business management colleges
is urging institutes and colleges to help their
students develop;
Leadership- ability to influence others to
perform tasks.
Self-objectivity- ability to evaluate yourself
realistically.
Analytic thinking- ability to interpret and
explain patterns in information.
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 Continued..
Behavioral flexibility- the ability to modify
personal behavior to react objectively rather
than subjectively to accomplish organizational
goals.
Written communication- ability to express
ideas clearly in writing.
Oral communication- the ability to to express
ideas in words.
Personal impact- ability to create good
impression and instill confidence.
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 Continued.
Resistance to stress- ability to perform under
stressful conditions.
Tolerance for uncertainty- ability to perform in
ambiguous situations.

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 Theory X Theory Y
Douglas McGregor, an American social psychologist,
proposed his famous X-Y theory in his 1960 book
'The Human Side Of Enterprise'. Theory x and
theory y are still referred to commonly in the field of
management and motivation, and whilst more
recent studies have questioned the rigidity of the
model, McGregor's X-Y Theory remains a valid basic
principle from which to develop positive
management style and techniques. McGregor's X-Y
Theory remains central to organizational
development, and to improving organizational
culture.
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 Continued.
McGregor's X-Y theory is a salutary and simple
reminder of the natural rules for managing
people, which under the pressure of day-to-
day business are all too easily forgotten.
McGregor's ideas suggest that there are two
fundamental approaches to managing people.
Many managers tend towards theory x, and
generally get poor results. Enlightened
managers use theory y, which produces better
performance and results, and allows people to
grow and develop.
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 Continued.
McGregor's ideas significantly relate to
modern understanding of the Psychological
Contract, which provides many ways to
appreciate the unhelpful nature of X-Theory
leadership, and the useful constructive
beneficial nature of Y-Theory leadership.

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 Theory x ('authoritarian
management' style)
The average person dislikes work and will
avoid it he/she can.
Therefore most people must be forced with
the threat of punishment to work towards
organisational objectives.
The average person prefers to be directed; to
avoid responsibility; is relatively unambitious,
and wants security above all else.

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 Theory y ('participative
management' style)
Effort in work is as natural as work and play.
People will apply self-control and self-direction
in the pursuit of organizational objectives,
without external control or the threat of
punishment.
Commitment to objectives is a function of
rewards associated with their achievement.

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 Continued..
People usually accept and often seek
responsibility.
The capacity to use a high degree of
imagination, ingenuity and creativity in
solving organisational problems is widely, not
narrowly, distributed in the population.
In industry the intellectual potential of the
average person is only partly utilised.

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X and Y Diagram.

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Continued.

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characteristics of the x theory
manager.
Perhaps the most noticeable aspects of
McGregor's XY Theory - and the easiest to
illustrate - are found in the behaviors of
autocratic managers and organizations which
use autocratic management styles.
What are the characteristics of a Theory X
manager? Typically some, most or all of these:

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 Continued.
results-driven and deadline-driven, to the exclusion of
everything else
intolerant
issues deadlines and ultimatums
distant and detached
aloof and arrogant
elitist
short temper
shouts
issues instructions, directions, edicts
issues threats to make people follow instructions
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 Continued
demands, never asks
does not participate
does not team-build
unconcerned about staff welfare, or morale
proud, sometimes to the point of self-
destruction
one-way communicator
poor listener
fundamentally insecure and possibly neurotic

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 Continued.
anti-social
vengeful and recriminatory
does not thank or praise
withholds rewards, and suppresses pay and remunerations
levels
scrutinizes expenditure to the point of false economy
seeks culprits for failures or shortfalls
seeks to apportion blame instead of focusing on learning from
the experience and preventing recurrence
does not invite or welcome suggestions
takes criticism badly and likely to retaliate if from below or
peer group
poor at proper delegating - but believes they delegate well

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 Continued
thinks giving orders is delegating
holds on to responsibility but shifts
accountability to subordinates
relatively unconcerned with investing in
anything to gain future improvements
unhappy

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 how to manage upwards -
managing your X theory boss
Working for an X theory boss isn't easy - some
extreme X theory managers make extremely
unpleasant managers, but there are ways of
managing these people upwards. Avoiding
confrontation (unless you are genuinely being
bullied, which is a different matter) and
delivering results are the key tactics.

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 Continued.
Theory X managers (or indeed theory Y
managers displaying theory X behaviour) are
primarily results oriented - so orientate your
your own discussions and dealings with them
around results - ie what you can deliver and
when.
Theory X managers are facts and figures
oriented - so cut out the incidentals, be able
to measure and substantiate anything you say
and do for them, especially reporting on
results and activities.
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 Continued.
Theory X managers generally don't
understand or have an interest in the human
issues, so don't try to appeal to their sense of
humanity or morality. Set your own objectives
to meet their organisational aims and agree
these with the managers; be seen to be self-
starting, self-motivating, self-disciplined and
well-organised - the more the X theory
manager sees you are managing yourself and
producing results, the less they'll feel the
need to do it for you.
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 Continued.
Always deliver your commitments and
promises. If you are given an unrealistic task
and/or deadline state the reasons why it's not
realistic, but be very sure of your ground,
don't be negative; be constructive as to how
the overall aim can be achieved in a way that
you know you can deliver.
Stand up for yourself, but constructively -
avoid confrontation. Never threaten or go over
their heads if you are dissatisfied or you'll be
in big trouble afterwards and life will be a lot
more difficult. 51
 Continued.
If an X theory boss tells you how to do things
in ways that are not comfortable or right for
you, then don't questioning the process,
simply confirm the end-result that is required,
and check that it's okay to 'streamline the
process' or 'get things done more efficiently' if
the chance arises - they'll normally agree to
this, which effectively gives you control over
the 'how', provided you deliver the 'what' and
'when'.

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 Continued.
And this is really the essence of managing
upwards X theory managers - focus and get
agreement on the results and deadlines - if
you consistently deliver, you'll increasingly be
given more leeway on how you go about the
tasks, which amounts to more freedom. Be
aware also that many X theory managers are
forced to be X theory by the short-term
demands of the organization and their own
superiors - an X theory manager is usually
someone with their own problems, so try not
to give them any more. 53
 Tuckman Model
Forming
Storming
Norming
Performing

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 Continued
Dr Bruce Tuckman published his Forming
Storming Norming Performing model in 1965.
He added a fifth stage, Adjourning, in the
1970s. The Forming Storming Norming
Performing theory is an elegant and helpful
explanation of team development and
behavior. Similarities can be seen with other
models, such as Tannenbaum and Schmidt
Continuum and especially with Hersey and
Blanchard's Situational Leadership model,
developed about the same time.
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 Continued.
Tuckman's model explains that as the team
develops maturity and ability, relationships
establish, and the leader changes leadership
style. Beginning with a directing style, moving
through coaching, then participating, finishing
delegating and almost detached.

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 Continued
At this point the team may produce a
successor leader and the previous leader can
move on to develop a new team. This
progression of team behaviour and leadership
style can be seen clearly in the Tannenbaum
and Schmidt Continuum - the authority and
freedom extended by the leader to the team
increases while the control of the leader
reduces.

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 Continued.
In Tuckman's Forming Storming Norming
Performing model, Hersey's and Blanchard's
Situational Leadership model and in
Tannenbaum and Schmidt's Continuum, we
see the same effect, represented in three
ways.

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 Continued
Tuckmans four-stage model

1. Forming
2. Storming
3. Norming
4. Performing

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Continued.

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 Forming- Stage 1
High dependence on leader for guidance and
direction. Little agreement on team aims other
than received from leader. Individual roles and
responsibilities are unclear. Leader must be
prepared to answer lots of questions about
the team's purpose, objectives and external
relationships. Processes are often ignored.
Members test tolerance of system and leader.
Leader directs.

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 Storming- Stage 2
Decisions don't come easily within group. Team
members vie for position as they attempt to
establish themselves in relation to other team
members and the leader, who might receive
challenges from team members. Clarity of purpose
increases but plenty of uncertainties persist.
Cliques and factions form and there may be power
struggles. The team needs to be focused on its
goals to avoid becoming distracted by relationships
and emotional issues. Compromises may be
required to enable progress . leader coaches.

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 Norming-Stage 3
Agreement and consensus largely forms among the
team, who respond well to facilitation by leader.
Roles and responsibilities are clear and accepted.
Big decisions are made by group agreement.
Smaller decisions may be delegated to individuals
or small teams within group. Commitment and unity
is strong. The team may engage in fun and social
activities. The team discusses and develops its
processes and working style. There is general
respect for the leader and some of leadership is
more shared by the team. Leader facilitates and
enables .leader facilitates.
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 Performing- Stage 4
The team is more strategically aware; the
team knows clearly why it is doing what it is
doing. The team has a shared vision and is
able to stand on its own feet with no
interference or participation from the leader.
There is a focus on over-achieving goals, and
the team makes most of the decisions against
criteria agreed with the leader. The team has
a high degree of autonomy. Disagreements
occur but now they are resolved within the
team positively, and necessary changes to
processes and structure are made by the 64
 Continued
The team is able to work towards achieving
the goal, and also to attend to relationship,
style and process issues along the way. Team
members look after each other. The team
requires delegated tasks and projects from the
leader. The team does not need to be
instructed or assisted. Team members might
ask for assistance from the leader with
personal and interpersonal development.
Leader delegates and oversees.

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Tuckman's fifth stage
Adjourning
Bruce Tuckman refined his theory around 1975 and
added a fifth stage to the Forming Storming Norming
Performing model - he called it Adjourning, which is
also referred to as Deforming and Mourning.
Adjourning is arguably more of an adjunct to the
original four stage model rather than an extension -
it views the group from a perspective beyond the
purpose of the first four stages. The Adjourning
phase is certainly very relevant to the people in the
group and their well-being, but not to the main task
of managing and developing a team, which is clearly
central to the original four stages.
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 adjourning - stage 5
Tuckman's fifth stage, Adjourning, is the break-up of
the group, hopefully when the task is completed
successfully, its purpose fulfilled; everyone can move
on to new things, feeling good about what's been
achieved. From an organizational perspective,
recognition of and sensitivity to people's
vulnerabilities in Tuckman's fifth stage is helpful,
particularly if members of the group have been
closely bonded and feel a sense of insecurity or
threat from this change. Feelings of insecurity would
be natural for people with high 'steadiness' attributes
and with strong routine and empathy style .

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