Tools in Management

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    IS MANAGEMENT ART OR SCIENCE?

    SCIENTIFIC BASE

    ART

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    TOOL?

    TOOL ENHANCE INDIVIDUALS CAPABILITIES.

    ENGINEERING TOOLS

    MANAGEMENT TOOLS

    EXAMPLES

    ENGINEERING TOOLS TURNING A NUT ON A BOLT TO TIGHT IT/ LOOSE IT.

    TOOL USED = SPANNER

    PRINCIPLE USED = TORQUE

    POWER ASSISTED STEARING & BRAKES ETC. PRINCIPLES USED = HYDRAULIC/ PNEUMATIC

    PRESSURE THROUGH DIFFERENTIAL AREA.

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    AMPLIFIER = AMPLIFICATION

    THROUGH

    CURRENT/VOLTAGE.

    ENGINEERING TOOLS CAN BE

    EITHER ELECTRICAL, ELECTRONIC,

    MECHANICAL, HYDRAULIC ORPNEMENTIC ETC.

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    INTRODUCTIONTools are an important part of every profession.Having the right tools, knowing how to use them,marks out the professional from the amateur,enabling the professionals to be better, faster

    and more competent. Management is exception.Indeed management consultants rally heavily ontools, often once they have developedthemselves and which constitute valuable

    intellectual property. If managers want toprofessional at what they do and not just giftedamateurs, they need to have tools.

    THE ROLE OF TOOLS IN MANAGEMENT

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    HOW TOOLS WORK

    Tools increase individuals power, some timesmarginally, some times enormously. Just as physicaltools can help to bang nails or build bridges,management tools can help to solve small localprograms or re-engineer the whole business. Whatever

    their level of operation, tools enable people tounderstand, shape and control situations which aretoo complex to manage through individual effort orinsight. For all the complexity of human minds, andtheir supremacy in many areas of perception and

    cognition, people have great difficulty in rememberingand processing large amounts of information. Withouttools, the complexity of modern system andorganizations may take them intractable and notsusceptible to control.

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    WHAT TOOLS ACHIEVE

    Management tools focus or direct

    information for a particular purpose. The

    impact chart is based on:

    Some tools bring information together.

    Other begin to analyze and shape it.

    A few of the more sophisticated are for

    analyzing and shaping the organization itself.

    By selecting and presenting information inparticular way, the tools provide route ways

    through complexity.

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    SELECTING THE RIGHT TOOLS

    There are, of course, a lot of tools to

    choose from. However, a small selection is

    presented here. However, it is realistic to

    be aware of the kind of tools there are,

    and what they achieve. Here an affinitydiagram is used to show the viewpoint of

    how group the tools group together.

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    STATISTICAL QUALITY CONTROL TOOLS

    These are for collecting and analyzing

    quantitative information about processes.

    They are derived from manufacturing, but

    are now increasing applied to serviceindustries as well. The core tools in this

    category are known are statistical process

    control.

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    PLANNING TOOLS

    This selects out all the information

    relevant to particular activity, and

    organizes it so that it can be understood,

    analyzed and changed as necessary. CHANGE MANAGEMENT TOOLS

    These introduce new ways of thinking and act.

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    These are tools, which are built into thesystem, to make sure management processes

    and procedure work properly.

    GRAPHICAL TOOLS

    These are tools of all kinds that use graphic

    presentation to show dimension of the

    information, which are not otherwise evident orvisible.

    QUALITY MANAGEMENT SYSTEM TOOLS

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    These tools are design to effect the way the

    whole organization thinks and feels and the

    direction in which it is moving. This group

    includes the most sophisticated of the tools.

    COST MANAGEMENT TOOLS

    These work with the principles behind

    accounting methods, so that financial reporting

    supports what the business is trying to achieve.

    STRATEGY TOOLS

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    PROBLEM SOLVING TOOLS

    These identify key characteristics of problems,and their implications. They help top focusenergy on particular issue, one at a time.

    DATA CAPTURE TOOLS Data capturing is the first step to

    understanding and controlling selected aspectsof organization. These tools identify what

    information is important for particularpurposes, and set up appropriate ways ofcollecting it.

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    PRIORITISATION TOOLS

    Prioritization is an essential aspect of many of the

    tools. When there is a lot of information to deal with,it is important to prioritize it in order to simplify the

    problem without distorting it.

    CONSENSUS TOOL

    This deal with the difficulties involved in reconciling

    different viewpoints and provides rational ways of

    reaching agreement.

    PRODUCT AND PROCESS DESIGN TOOLS These help to ensure that, particularly in

    manufacturing organizations, processes are

    designed logically to derive the right products in the

    right way.

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    THE FORMS TOOLS TAKE

    Management tools use a numbers of

    forms to achieve their purpose. These

    includes:

    GRAPHICS FORMS

    Majorities of the tools shown use graphics

    form either for a part or for whole of the

    tool. Graphic forms include diagrams,

    tables, forms, questionnaires and lists.They are particularly important for data

    capture and for showing relationships.

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    TEMPLATES. These are organizational

    patterns or designs, which can be used to

    organize or reorganize activities. Strategic tools

    often take this form.

    PHILOSOPHIES. Sometimes the tools is a

    philosophy- a set of ideas and beliefs whichhelp to interpret and shape the data

    PROCESSES

    Tools can be processesfixed sequences ofactivities, which can be introduced in the

    organization

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    TEAMS

    Teamwork is particularly associated with TQM.

    At their best teams provide a way of moving

    beyond individual capacity

    PHYSICAL ORGANIZATION

    A small number of tools work through physically

    reorganizing the environment in which people

    are working in order to highlight or differentiate

    activities.

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    IMPLEMENTING THE TOOLS

    For the most parts, the business of understanding the tools, and deciding whichones to use and how, forms parts of what isthought of as a hard approach to management;

    a tinkering with mechanics of management andorganization. However the tools areimplemented in a complex organizationalframework where the softer aspects ofmanagement are extremely important issues of

    motivation, culture, management style.Leadership and communication will have a directbearing on how successfully the tools can beused/implemented.

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    THE CULTURE OF ORGANIZATION

    People cant be expected to adapt to the tools

    straight away. Even simple tools can seemunnatural and unwieldy the first time round. Oftenthe tools ask people to think in ways in which astrange to them and which impose a discipline,which they may resent. Typical reactions are to

    ignore or sabotage the tool, proving it wasnt anygood any way. Cultures where management toolsare effective are cultures where results are moreimportant than politics, and where staffs are surethat management wants to know the truth, and not

    just an acceptable version of it. Cultures dontchange overnight, of the effectiveness with whichthey can solve programs, or compelling once it justunderway.

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    FACILITATION

    Weve actually called it a tool. Facilitationis a skill full and demanding role, which

    can often be taken by an outside

    consultant. Facilitation not only provides

    the hard supportknowledge of the tool,

    the equipment for making it work and so

    on. But also control softer implementation

    issues, making sure the saboteurs areidentified and kept at bay, for example.

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    TRAINING

    Training can take various forms sometimes practice is all thats needed, or

    reading a book. For other tools, intensive

    training will be needed, and it might be bestto use specialist consultants rather than

    trying to go it alone.

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    IMPACT CHART OF TQM TOOLS

    Each tool is classified by what it will achievefor the organization and not by how easy or

    difficult it is to implement. So, for example,

    the tools on the left (o) arent necessarily theeasiest to carry out. It is just that by

    themselves they wont analyze or change the

    organization.

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    1. Tools which gather or

    communicate information2. Tools

    which involve a simple level of

    analysis 3. Tools which involve a

    more complex level of analysis4.

    Tools which lead to changes of part

    of the organization5. Tools which

    lead to major changes in how the

    whole org works

    1. Tools which gather or

    communicate information2. Tools

    which involve a simple level of

    analysis 3. Tools which involve a

    more complex level of analysis4.

    Tools which lead to changes of

    part of the organization5. Tools

    which lead to major changes in

    how the whole org works

    1. Tools which gather or

    communicate information2. Tools

    which involve a simple level of

    analysis 3. Tools which involve a

    more complex level of analysis4.

    Tools which lead to changes of

    part of the organization5. Tools

    which lead to major changes in

    how the whole org works

    1. Tools which gather or

    communicate information2. Tools

    which involve a simple level of

    analysis 3. Tools which involve a

    more complex level of analysis4.

    Tools which lead to changes of

    part of the organization5. Tools

    which lead to major changes in

    how the whole org works

    1. Tools which gather or

    communicate information2. Tools

    which involve a simple level of

    analysis 3. Tools which involve a

    more complex level of analysis4.

    Tools which lead to changes of

    part of the organization5. Tools

    which lead to major changes in

    how the whole org works

    Action plans

    Altitude survey

    Brainstorming

    Check list Check

    sheet Customer

    needs analysis

    Customer

    satisfaction

    assessment

    Delphi technique

    Error cause

    removal Focus

    group

    Interviewing

    Meeting checklist

    Questionnaire

    Suggestion

    scheme Supplier

    survey Team

    briefing

    Affinity diagram Bandgraph Bar graphClean sheet analysisConcentrationdiagram CriticalSuccess Factors Endpoint state analysisFlow charts Force

    field analysisHistogram Lateralthinking Line graphPaired comparisonPareto analysis Piechart Problemanalysis Qualityobjectives Radarchart Rating sheet

    Relation diagramResponsibility matrixScattered diagramScenario writingSpider diagramThinking hats Trendchart

    Acceptance sampling Activity

    analysis Arrow Diagram Attributes

    analysis Audit Barrier analysis

    Block diagram Break-Even chart

    C-chart Cause and effect diagram

    Classification of defects Control

    charts Corrective actions Cost-

    benefit analysis Cost of quality

    Critical path analysis Cusum

    chart Data flow diagram Decision

    analysis Design Review Design of

    experiments Design-to-cost

    Facilitation Fagan Inspection

    documents Fagan inspection-

    software Failure mode effect and

    criticality analysis Fault tree

    analysis Fish bowl meeting Gantt

    chart Gap analysis Inspection

    Loss function analysis Matrix

    diagram Multi-vari chart Nominal

    Group technique Np-chartp Chart

    Performance Evaluation Review

    Technique Performance matrices

    Pre-control Process analysis

    Process capability analysis

    Process definition Process failure

    analysis Process model Quality

    function deployment R chart

    Regression analysis Relevance

    tree Reliability prediction and

    analysis Root Cause evaluation

    matrix Solution effect analysis

    Stratification Training need

    analysis Tree diagram U chart X

    chart Z chart

    Activity basedaccountingBenchmarkingCompany wideimprovement Crossfunctional teamsFamily teams Feed-back loop Hoshin Job

    redesign Managementby objective Pokayoke Preventivemaintenance Qualitycircles Quality councilQuality improvementteam Self-inspectionStatistical processcontrol Total

    productivemaintenance Zerobased budgeting

    Business

    process re-

    engineering

    Business

    simplification

    Departmentalpurpose

    analysis Just-

    in-time Kaizen

    Mission

    statement Zero

    defect

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    AFFINITY DIAGRAM OF TQM TOOLS

    Here we group the tools together by type. This

    chart is useful if you are fairly clear about what

    you want to do, and need to know what tools can

    help you. Some tools appear in more than onegroup, because they share characteristics with

    more than one type. For example, A matrix

    diagram is a graphic tool, and also a

    prioritization tool.

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    AFFINITY DIAGRAM OF TQM TOOLS

    STATISTICAL QUALITY CONTROLAcceptance sampling

    C chart

    Control chart

    Cusum chart

    Design of experiment

    Multi-vari chart

    np chartp Chart

    Pre-control

    Process capability analysis

    R chart

    Regression analysis

    Reliability prediction and analysis

    Scattered diagram

    Statistical process control

    Stratification

    Trend chart

    U chart

    X chart

    STRATEGYBench marking

    Business process reengineering

    Business simplification

    Departmental purpose analysis

    Hoshin

    Job redesignJust in time

    Kaizen

    Management by objectives

    Mission statement

    Preventative maintenance

    Quality circle

    Quality council

    Team briefing

    Total productive maintenance

    Training need analysis

    Zero defects

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    AFFINITY DIAGRAM OF TQM TOOLS

    PLANNINGAction plans

    Arrow diagram

    Critical path analysis

    Gantt chartMeeting checklist PERT

    Responsibility matrix

    Scenario writing

    COST MANAGEMENTActivity based accounting

    Break even chart

    Cost benefit analysis

    Cost of quality

    Design to cost

    Life cycle costing

    Zero based budgeting

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    AFFINITY DIAGRAM OF TQM TOOLS

    CHANGE MANAGEMENT

    Activity analysis

    Barrier analysis

    Cross functional teams

    End point state analysisFacilitation

    Family teams

    Fishbowl meetings

    Focus group

    PROBLEM SOLVING

    Affinity diagram

    Attributes analysis

    Cause and effect diagram

    Clean sheet analysisDecision analysis

    Fault tree analysis

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    AFFINITY DIAGRAM OF TQM TOOLS

    QUALITY MANAGEMENT

    SYSTEM

    Audit

    Company wide quality

    improvement

    Corrective actionFagan inspection-documents

    Fagan inspection-software

    Feedback loop

    Inspection

    Quality improvement teams

    Quality objectives

    Self inspection

    GRAPHIC TOOLS

    Band graph

    Bar chart

    Block diagram

    Concentration diagram

    Data flow diagram

    Fault tree analysis

    Flow charts

    Gantt chartsHistogram

    Line graph

    Matrix diagram

    Pie chart

    Process model

    Quality function deployment

    Radar chart

    Relations diagram

    Relevance tree

    Spider diagram

    Tree diagram

    Z chart

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    MANAGEMENT TOOLS

    MANAGEMENT AS A SCIENTIFIC FIELD ALSO REQUIRES TOOLS TO ENHANCE

    MANAGER CAPABALITY TO EXECUTE

    MANAGEMENT FUNCTIONS EFFICIENTLY

    & EFFECTIVELY.

    MANAGEMENT TOOLS HAVE BEEN

    CATEGORISED ACCORDING TO USE IN

    THE FIELD OF MANAGEMENT LIKEPLANNING, STRATEGY, PROBLEM

    SOLVING, AND IMPROVEMENT ETC.