Ch 10 managing change in bussiness

• Controller Manager


  +Autocratic, tells employees exactly what to do and expects them to do it without question, assumes he knows everything and never asks employees for their opinions, makes all the decisions
• Facilitator Manager


  Trains employees to acquire skills needed to make decisions and solve problems, uses employee empowerment and participation to enable them to make a useful contribution, tries to help employees when they make mistakes or have problems, makes funding and resources available
• Facilitator Managers


  • Believe in employee empowerment, employee participation, and teamwork to achieve excellent quality
• Employee Empowerment


  Manager gives employee the power to make their own decisions about how they do their job, without having to ask manager's permission first
• Benefits of Employee Empowerment

  • Business makes the most of employees' skills and talents. •mangers less time supervising using there skills for more important issue in the bussiness ●employees motivation increases as they are more responsible (theory x and y) it satisfying their esteemed needs (Maslow) they are happier •better service as they know how to deal with the
• Disadvantages of Employee Empowerment

  • Risk of serious mistakes being made by employees who lack knowledge or training, some employees may confuse empowerment with authority to do whatever they want, some employees may feel stressed and demotivated by extra responsibility
• Employee Participation


  Giving employees more of a say in the running of the business, allowing them input into the decision-making process
• Ways to achieve Employee Participation

  • Works councils, worker directors, share options
• Benefits of Employee Participation

  • Employee motivation increases, business benefits from creative input of employees, better communication and industrial relations
• Teamwork


  Groups of employees working together to achieve an objective
• Stages in Forming Teams

  1. Forming - members meet for first time, polite but don't reveal much

  2. Storming - conflict as members establish positions

  3. Norming - conflicts resolved, consensus reached, focus on task

  4. Performing - team pulls together as one, strong sense of unity
• Advantages of Teams for the Business

  • Better decisions, improved employee motivation, better quality products, improved coordination between departments
• Advantages of Teams for Employees

  • Satisfy social needs, learn from more experienced workers, easier to make tough decisions, recognition for contributions
• Quality Assurance


  Techniques used to ensure products consistently meet customer requirements, detecting and fixing problems at every stage of production
• Advantages of Quality Assurance


  • Consistent high quality products, increased customer satisfaction and repeat business, lower costs from fewer faulty products
• Total Quality Management (TQM)


  Business strategy that aims for every person in the business to do their job perfectly, incorporating the principles of quality assurance
• The first step in TQM is to define quality from the customer's perspective, then conduct market research to find out what customers want and set targets accordingly
• Every stage of making and selling the product

  1. Designing the product

  2. Preventing defects by detecting them

  3. Checking the product
• Quality Assurance


  Ensures the business's products are consistently of the highest quality
• Total Quality Management (TQM)


  A business strategy where every person in the organisation focuses on improving the quality of products, services and the work environment
• Principles of TQM


  • Focus on the customer
  • Employee empowerment
  • Supplier partnerships
  • Continuous improvement
• Employee Empowerment


  Employees are given the power to make their own decisions about how they do their jobs, using their skills and knowledge to produce perfect products
• Supplier Partnerships


  The business and suppliers work together, with long-term contracts and consistent delivery of perfect quality products
• Continuous Improvement


  The aim is to make perfect products, with the business constantly striving to do better than the last time
• New technology has had a big impact on the job of a manager in a number of ways
• Impact of technology on managers

  • Marketing - using the internet and e-commerce
  • Decision-making - using information and communications technology
  • Production - using computer-aided design and manufacturing
• New technology can replace employees in some tasks, freeing up managers to focus on other aspects of running the business
• Impact of technology on employees

  • Changes in job roles
  • New job opportunities
  • Increased costs for training
  • Potential for remote work
• Impact of technology on business costs

  • Can reduce some costs but increase others for training and new technology
• Impact of technology on business opportunities

  • Enables new product development and design
  • Enables direct marketing and international trade
• Strategies for managing change

  1. Leading by example

  2. Communicating with employees

  3. Turning employees' resistance into acceptance

  4. Teamwork

  5. Employee participation
• change is the process by which an organization adapts to new conditions
• Change management involves planning how to implement changes within an organization.
• Leaders must be able to manage change effectively if they are going to succeed in their jobs.
• The ability to lead through change is one of the most important skills that leaders need today.
• Managing change requires strong leadership, effective communication, and employee involvement.
• Organizations can use various strategies to manage change, such as leading by example, communicating with employees, turning resistance into acceptance, teamwork, and employee participation.
• Employees may resist change because it threatens their job security or status, disrupts routines, or forces them to acquire new knowledge and skills.
• Resistance to change is common among employees due to fear of job loss or reduced pay, lack of trust in management's motives, and uncertainty about what will happen.
• Customers may resist change when they become accustomed to doing business with a company in a certain way.