Essential Standard 2.00

Company

LOGO

Essential Standard 2.00

Understand business organization and management.

1

Company

LOGO

Objective 2.02

Understand leadership and management.

2

Topics• Management• Leadership• Human Resource Management

3

Management

4

Management• Describe the role of a manager• Managers are responsible for

management of a business to accomplish goals by effectively using people and other resources.

5

Describe the five functions of management

– Planning– To analyze information, set goals based on

information, and make decisions to accomplish the goals

– Organizing– To arrange resources in order to accomplish

the goals of the business

6

Describe the five functions of management

– Staffing• To obtain, train, and compensate employees to

accomplish the goals of the business– Implementing

• To direct and lead people to accomplish the goals of the business

– Controlling• To determine whether a business is

accomplishing its goals that were set in the planning stage.

7

Management continuedLevels of management

– Top• Executives who are responsible for the overall direction of

the business– Mid-Management

• Specialists responsible for a specific part of the business– Supervisors

• First level of management in the business• Responsible for the routine work of employees

– Management by others• Other employees who are not managers, may serve as

leaders for a group of employees

8

Management continued• What is management style?• Describe the different types of

management styles:– Tactical– Strategic– Mixed

9

Management continued• Tactical

•Directed and controlling•Typically, use for inexperienced employees or during a crisis

10

Management continued• Strategic• Less directed with employees helping

with decision making• Typically, used with trusted and/or

experienced employees

• Mixed• Combination of both tactical and

strategic11

Leadership

12

Leadership

• The ability to motivate others to effectively accomplish goals of the business.

• What characteristics do a good leader possess?

13

Leadership continued

How many did you name? • Intelligence• Judgment• Objectivity• Initiative• Dependability• Understanding

• Cooperation• Honesty• Courage• Confidence• Stability

14

Leadership continuedLeadership styles

Autocratic• Used when a leader needs to give direct, clear,

and precise orders and makes decisions• Situations to use style:

– During an emergency – To direct the work of inexperienced employees

15

Leadership continued– Democratic

• one who includes employees in making decisions• Situations to use style:

– To monitor quality of work of employees– To direct the work of employees working as a team

– Open or Laissez-fare• one who gives little or no direction to employees• Situation to use style:

– To monitor achievements and communicate regularly with employees

– To direct the work of experienced and trained employees

16

Company

LOGO

Human Resources Manager

17

Human Resources Management• What is the role of human resources

managers? • The functions of human resources

management:– Planning and staffing– Managing compensation and benefits– Managing performance of employees

18

Human Resources Management continued• Planning and job staffing

– Classifying employees• Permanent

– Long term commitment• Temporary

– Hired for a specific time/job• Full Time

– 30 or more hours per week (usually 40+ hours)• Part Time

– Short work week

19

Human Resources Management continued• Planning and job staffing

– Determining job requirements:• The use of job analysis to determine all the

duties for a particular job• Recruiting and hiring employees

• The application process– Reviewing applications/resumes– Interviewing applicants– Checking references of applicants – Making a job offer to applicants

• New employee orientation– Paperwork– Training – Mentor

20

Human Resources Management continued• Managing compensations and benefits

– Compensation method• Time Wage – Direct payment per hour• Salary – Direct payment per week, bi-weekly, or monthly• Commission – Percentage of sales• Piece Rate – Payment per unit produced• Base plus incentive – Direct payment plus perfomance

based pay– Employee benefits

• Other items given to employee for working. For example, health insurance, vacation time, sick time, dental insurance, etc.

21

• Managing performance of employees– Employee evaluation

• Objective evaluations of emplyees’ quality of work– Promotion

• Advancement of an employee to a position with greater responsibility

– Transfer• Assignment of the employee to a job in another area with

similar responsibility– Termination

• Ends employment relationship

22

Human Resources Management continued