MM502 Management Styles 07.31.10 (Cherry)

© 2009 IBM Corporation

MANAGEMENT STYLES- MBE, MBIS, MBM, MBOD

CHERRY ANNE CALOMARDE – MM 511 OMT

31 JULY 2010

© 2009 IBM Corporation2


There are SEVERAL DIFFERENT MANAGEMENT STYLES.These are concerned to be the most reliable:

Management by Coaching and Development (MBCD)

Management by Competitive Edge (MBCE)

Management by Consensus (MBC)

Management by Decision Models (MBDM)

Management by Exception (MBE)

Management by Information Systems (MBIS)

Management by Matrices (MBM)

Management by Organisational Development (MBOD)

Management by Objectives (MBO)

Management by Performance (MBP)

Management by Styles (MBS)

Management by Walking Around (MBWA)

Management by Work Simplification (MBWS)

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SEVERAL DIFFERENT MANAGEMENT STYLES.





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Management by Exception (MBE):

Managers delegate as much responsibility and activity as possible to those below them, stepping in only when absolutely necessary.

Its objective is to facilitate management's focus on really important tactical and strategic tasks. In MBE, the decision that cannot be made at one level of management is passed on to the next higher level.

Management by exception and/or reporting by exception is a process by which top management is spared from routine, planned, expected and irrelevant information or situation. however, it initiates feedback and reporting in the event of any extra ordinary situation or circumstance that would be out of the scope of the junior management as they still lack the expertise in important strategic matters.

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Active and Passive MBE

Management by Exception (active): Watches and searches for deviations from rules and standards, takes corrective action

Management by Exception (passive): Intervenes only if standards are not met

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Advantages of MBE: It saves managerial personnel time

Improved performance through proper system

Helps to identify the responsible person

Disadvantage:If a result is being managed by exception, you are only concerned

with keeping it “between the ditches”. You really don’t care how or when the thing gets done; only that it is done. If something goes wrong, you will take the action needed to put it back on track, but nothing else. If the activity goes way off track, you are likely to receive some complaints or calls from unhappy customers, but that serves as your “MBE warning”.

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Management by Information Systems (MBIS):

As the name of the management style amply suggests, this style is a process that provides information needed to manage organizations effectively.

MIS refers broadly to a computer-based system that provides managers with the tools for organizing, evaluating and efficiently running their departments.

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Risks Associated With MIS

Management decisions based upon ineffective, inaccurate, or incomplete MIS may increase risk in a number of areas.

poorly programmed or non-secure systems in which data can be manipulated and/or systems requiring ongoing repairs can easily disrupt routine work flow and can lead to incorrect decisions or impaired planning.

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MANAGEMENT INFORMATION SYSTEM (MIS)

Data + Organization

Set of formal business systems designed to provide information for an organization

Computers are typical components

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Management by Matrices (MBM): A style of management where an individual has two reporting superiors

(bosses) - one functional and one operational.

Ex: This is commonly seen in project management where an engineer, for example, reports to the chief engineer functionally, but reports to the project manager on operational project issues.

Is a type of organizational management in which people with similar skills are pooled for work assignments.

Ex: all engineers may be in one engineering department and report to an engineering manager, but these same engineers may be assigned to different projects and report to a project manager while working on that project. Therefore, each engineer may have to work under several managers to get their job done.

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Advantage and disadvantage

ADVANTAGES: Individuals can be chosen according to the needs of the project.

The use of a project team which is dynamic and able to view problems in a different way as specialists have been brought together in a new environment.

Project managers are directly responsible for completing the project within a specific deadline and budget.

DISADVANTAGES: A conflict of loyalty between line managers and project managers over the

allocation of resources.

If teams have a lot of independence can be difficult to monitor.

Costs can be increased if more managers (ie project managers) are created through the use of project teams.

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Management by Organizational Development (MBOD):

In this management style, the managers work on improving the employee communication and relations. It is like the paternalistic style, but the organization's priority is profit rather the "employee satisfaction". Nonetheless, an organization following this management style, will work on having good employee relations and communication as well.

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Paternalistic Management styles

A more Paternalistic form is also essentially dictatorial; however, decisions take into account the best interests of the employees as well as the business.

A good example of this would be David Brent or Michael Scott running the business in the fictional television show The Office. The leader explains most decisions to the employees and ensures that their social and leisure needs are always met. This can help balance out the lack of worker motivation caused by an autocratic management style. Communication is again generally downward, but feedback to the management is encouraged to maintain morale. This style can be highly advantageous when it engenders loyalty from the employees, leading to a lower labor turnover, thanks to the emphasis on social needs. It shares disadvantages with an autocratic style, such as employees becoming dependent on the leader.

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Documents

MM502 Management Styles 07.31.10 (Cherry)