Why must people know their roles, objectives, responsibilities and authority?

6.1.

Why must people know their roles, objectives, responsibilities and authority?

In order for people to cooperate effectively, they must know their roles, their objectives, their responsibilities, and their authority.

What is required to define relationships and to make it easier to communicate decisions?

A formal structure is required to define relationships and to facilitate the communication of decisions.

How does the manager’s span of control make a difference between a small enterprise and a large one?

A small enterprise may have a very simple, centralized organization with a single manager, but if the enterprise grows beyond a certain limit, the manager will be unable to supervise everyone effectively and will have to appoint subordinate managers.

What is the effect of further growth?

As the organization grows further, the subordinates will eventually reach the limits of their own spans of control, which will necessitate the establishment of a third level of managers.

How may the span of control vary?

The span of control varies in different organization and is generally wider at lower levels. Thus, a top executive may have from three to eight subordinates, whereas a lower-level supervisor may manage from twelve to thirty persons.

Why do enterprises try to keep their number of levels to a minimum?

As the number of levels increases, administrative costs rise, and communication, planning, and control become more difficult.

Why should a manager have the broadest possible span of control?

small enterprise may have a very simple, centralized organization with a single manager, but if the enterprise growth beyond a certain limit, a manager would be unable to supervise everyone effectively and will have to appoint subordinate managers. This limitation is usually called managers span of control. An enterprise will try to have as little number of levels as possible which means, that the managers span of control should be as broad as possible.

Why must a manager limit the time that he spends with each subordinate?

in order to manage more subordinates and to increase his span of control.

What two things can the manager do to achieve this limitation?

to avoid the waste of time the superior must assign clear responsibility for each task to each subordinate and must delegate to each the necessary authority to achieve those tasks.

Another time saving factor is to minimize the number of face-to-face meetings.

How can subordinates save a superior’s time?

the subordinates are properly trained for their duties, if they have clear objectives and understand the objectives much of the superiors time could be saved.

What is the usual basis for the department of an enterprise?

the organization of an enterprise into separate departments, each under a subordinate manager, is not generally based on numbers. It most commonly reflects the functions of the enterprise, functions such as production. This vary with different types of enterprise.

What functional departments would certain types of enterprise lack?

for example airline enterprise would not have production department, or manufacturing company would not have operational department.

What are some adv and disadv of geographic departmentation?

if a company covers a broad geographic area it may be efficient to have departments based on geography. Such departmentation may save transporting costs, simplify hiring of personnel and simplify communications. On the other hand there will be higher costs because of the separate management and service in each area. Also top manager can have problems with control.

Describe all the relationships in the enterprise shown in fig.5.4.

8.1.

НЕТУ

15. Explain the main advantages of appointing a "backup" person?

Another approach, designed to broaden the background of future managers, is job rotation-they rotate through a series of positions in several departments and thus learn about each one. If they do not have responsibility for making decision in each temporary post, they will not gain actual managerial experience.

16. Is formal training a good substitude for the above systems? Why or why not?Although again not providing direct management experience, such training offers the possibility of broad secondhand experience through the study of actual case.

MBO

Give an example

For example, an objective should be not simply to increase profit but to obtain earnings after taxes of 15% on total assets during the coming year, with details on how this will be accomplished. Another objective could be to reduce scrap in a certain manufacturing process from 3% to 2.5% by December 31.

Give an example

Instead of saying that an objective is to improve communications, a manager might agree to improve internal communications by putting out a monthly newsletter, starting October 15, and by holding weekly staff meetings after that date.

2.2

10.1

What was the Gantt chart?

One of the earliest visual control systems was the Gantt chart, developed by Henry L. Gantt during World War I. Gantt showed how planned activities could be broken down into separate operations represented as horizontal lines along a time axis.

6.1.

Why must people know their roles, objectives, responsibilities and authority?

In order for people to cooperate effectively, they must know their roles, their objectives, their responsibilities, and their authority.