Week 5 notes
Week 5 notes MGMT 340
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This 3 page Class Notes was uploaded by Vishal Gulati on Tuesday October 4, 2016. The Class Notes belongs to MGMT 340 at University of Illinois at Chicago taught by Peter B. Thompson in Fall 2016. Since its upload, it has received 4 views. For similar materials see Introduction to Organizations in Management at University of Illinois at Chicago.
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Date Created: 10/04/16
9/20 155A Hierarchical control ● use of rules, policies, hierarchy of authority, written documentation, reward systems and other formal mechanisms. ● Relies on cultural values, traditions, shared beliefs and trust ● Responsibility for quality control rests with quality control inspectors and supervisors rather than with employees ● Extrinsic rewards such as wages, benefit, and possibly promotions up the hierarchy ● Intrinsic rewards joy and pleasure from doing something well ● Culture the way we do things, good and bad ● With Hierarchical control, the organizational culture is somewhat rigid ● Mechanistic control= Hierarchical control ● Responsibilities technology often is used to control the flow and pace of work ● Adjust adapt and overcome movie reference= Heartbreak ridge ○ Sgt keeps changing the rules so they keep adjusting and they all come back home safely Exhibit 15.6 ● No organization can control employees 100 percent of the time, and self discipline and self control are what keep workers performing their jobs ● With decentralized control, power is more dispersed and is based on knowledge and experience as much as position ● Everyone is involved in quality control ● Intrinsic rewards of meaningful work and the opportunity to work 15.5B Open book management ● Allow employees to see for themselves ● How his or her job fits into the big picture ● Finally open book management ties employee rewards to the company's overall success ● The great game of business ○ Job of old engines and refurbish them ○ Loves rebuilding 12 cylinder engines ○ Noticed how much work they put in ○ He taught accounting to workers Exhibit 15.7 Opacity is the opposite of transparency 156 Look up demming 14 principles 15.6 A TQM Techniques ● The implementation of TQM involves the use of many techniques, including quality circles, benchmarking, 6 sigma principles, quality partnering, and continuous improvements ○ Quality circles A group of 612 volunteer employees who meet regularly to discuss and solve problems affecting the quality of their work ○ Quality is” meets customer's expectation ○ Benchmarking the continuous process of measuring products , services, and practices against the toughest competitors or those companies that are industry leaders to identify areas for improvement ■ Establishes a standard ■ Exhibit 15.8 5 steps ○ Quality partnering perople from the quality control department are often seen as “ outsiders ● Quality is the result of a carefully constructed cultural environment. It has to be the fabric of the organization, not part of the fabric ○ Demming, Philip crosby is important ● 3.4 defects per million partses Defect free 99.998 percent of the timee ○ Take nothing for granted and emphasized disciplined and relentless pusuit of higher quality and l ● DMAIC ○ Define ○ Measure ○ Analyze ○ Improve ○ And control Exhibit 15.9 The importance of quality improvement programs Exhibit 15.10 Many contingency factors. 9/22 157a international quality standards ● Certified ISO 9000 standards to demonstrate their commitment to quality ● Corporate governance has be expanded to refer to the framework of systems, rules, and practices by which an organization ensures accountability, fairness, and transparency i its relationships with alll stakeholders, including investors, employees, customers and the general public ● Sarbanesoxley act of 2002(SOX) ○ Better internal monitoring to reduce the risk of fraud, certification of financial reports by top leaders, improved measures for external auditing and enhanced public financial disclosure ○ The initial cost of implementing the SOX reforms may run as high as 5 million to 10 million for a small business once it has gone public
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