KEY TERMS OF MANAGEMENT FROM DELEGATION TO MANAGERIAL GRID

1.     Delegation:  The transfer of authority from a manager to a subordinate. 

2.     Span of management:  The number of employees reporting to a manager.  Also known as span of control. 

3.     Centralization:  Decision authority is concentrated at the top of the organizational  hierarchy. 

4.     Decentralization:  Upper management pushes decision-making authority to lower organizational levels. 

5.      Tall structure:  Characterized by a large number of hierarchical levels and a relatively narrow span of management. 

6.     Flat structure:  Characterized by few hierarchical levels and a broad span of management.

7.     Organizational change:  The adoption and implementation of innovations and new behaviors by an organization.

8.      Reactive change:  Changes that occur after external forces have affected organizational performance.

9.      Proactive change:  Changes initiated in anticipation of future events and opportunities.

10.  Sequence of organizational change 

  • Environmental and internal forces → Need for change → Initiate change → Implement change 

11.  Performance gap:  The gulf between desired and actual performance. 

12.   Initiating change  :

-         Search:  Discovering developments internally and externally that can satisfy a need for change. 

-        Creativity:  The creation of innovative solutions for organizational problems. 

-        Idea champion:  An employee who determines a need exists within an organization and actively strives to satisfy it. 

-         New venture team:  A temporary task force assigned to solving organizational problems and developing innovations. 

-        New venture fund:  A fund established to provide resources for individual and group-developed innovations. 

13.   Implementing change 

-        Force field analysis:  Determining which forces drive or resist proposed changes. 

-         Communication and education:  Providing employees with detailed information on impending organizational changes through presentations and info papers. 

-         Participation:  Involves employees with the organizational change process. 

-        Negotiation:  A formal bargaining process between management and subordinate business units and employees that serves to set changes in terms that are mutually acceptable. 

-        Coercion:  The use of formal managerial power to force changes upon an organization. 

-        Top management support:  The public expressions by executive management in support of organizational changes. 

14.  Categories of organizational change 

-         Technology changes:  A change that incorporates developing technology that improves communication, management, and production. 

-        Product changes:  A significant change in a company’s product or service. 

-        Structural changes:  Any adjustment of an organization’s management or functional structure. 

-        Cultural changes:  A change in employee beliefs, values, and norms. 

15.  Leadership:  An individual’s ability to influence a person or group of people to perform functions that reach goals. 

16.  Trait theories:  Theories that promote individual personality traits as factors that determine leadership effectiveness. 

17.  Behavior theories:  Theories that promote behaviors as factors in determining leadership effectiveness. 

18.  Ohio State Studies 

-        Initiating structure:   The structuring by a manager of roles to best achieve goals. 

-          Consideration:  The propensity of a manager to form professional relationships based on trust, respect, and regard for subordinates’ feelings. 

19.    University of Michigan Studies 

-        Employee-oriented leader:  A leader who promotes interpersonal relationships. 

-        Production-oriented leader:  A leader who promotes task- orientation. 

20.   The Managerial Grid:  A matrix that graphically illustrates leadership styles by identifying 81 different leadership styles.