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SUPERVISORY MANAGEMENT

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Title: SUPERVISORY MANAGEMENT


1
SUPERVISORY MANAGEMENT
  • WELCOME TO
  • SUPERVISORY MANAGEMENT
  • WORKSHOP
  • BRITISH VIRGIN ISLANDS
  • January 16 17 2006
  • Supervisory Management - Improving Behavioral
    Skills and Attitudes

2
SUPERVISORY MANAGEMENT
  • INTRODUCTION
  • Besides their technical skills all employees
    including supervisors must be equipped with the
    Behavioral Skills and Attitudes needed to
    function in Organisations which command high
    Public Importance
  • It is within this context that this Workshop on
    Supervisory Management is being conducted under
    the theme
  • Supervisory Management - Improving Behavioral
    Skills and Attitudes

3
SUPERVISORY MANAGEMENT
  • Course Objectives
  • Examine the main theories which have accompanied
    the development of organizational management
  • Explore the relationship between the supervisor,
    employees and the organisation
  • Introduce concepts of strategic planning
  • 4. Define measures for effective management of
    employees.

4
SUPERVISORY MANAGEMENT
  • Course Outline
  • DAY 1
  • Am
  • 900 - 930 Introduction to Course
  • 930 - 1015 Organisational Management
    Theories
  • 1015 - 1030 Break
  • 1030 - 1230 Globalisation and The 21 st
    Century Organisation
  • pm
  • 130 - 230 Organisational Culture and
    Strategy
  • 230 - 245 Break
  • 245 - 4 00 Management, Leadership and
    Performance
  • DAY 2
  • am
  • 900 - 1030 Assessing Management Styles
  • 1030 1045 Break
  • 1045 - 1230 Motivating People at Work
  • pm
  • 130 - 215 Case Study
  • 215 - 300 Case Study (Group Reports)

5
SUPERVISORY MANAGEMENT
  • Organisation Management Theories
  • Factory System
  • Adam Smith an industrialist The Wealth of
    Nations (1776) led to Production Systems which
    split work processes into separate units of
    workers performing one task with each unit
    controlled by a supervisor
  • The first use of the term supervisor
  • Role of the supervisor was to ensure that workers
    performed the task assigned to them (period)
  • Workers still possessed knowledge of the work
    process and control over it

6
SUPERVISORY MANAGEMENT
  • Organisation Management Theories
  • Factory System
  • The advantages, according to Smith, of this
    system were that
  • Constant performance of a single simple task
    endowed a worker with greater dexterity
  • Time was saved by avoiding movement between tasks
  • Concentration of effort on one task leads to the
    invention of machines to aid productivity

7
SUPERVISORY MANAGEMENT
  • Organisation Management Theories
  • Factory System
  • As far back as those days workers objected to the
    factory system and sought ways to undermine the
    work processes
  • Factory system still progressed and permeated all
    levels of industrial life and commerce in general
  • Feelings of antagonism towards new methods of
    working and the introduction of new technology
    still seen in the behaviour of some groups of
    workers today

8
SUPERVISORY MANAGEMENT
  • Organisation Management Theories
  • Fast Forward to early 1900
  • Frederick Winslow Taylor Principle of
    Scientific Management
  • Three central elements
  • A systematic collection of knowledge about work
    processes by supervisors
  • The removal of worker discretion and control over
    their activities
  • The creation of standard procedures and times for
    performing certain tasks

9
SUPERVISORY MANAGEMENT
  • Organisation Management Theories
  • Frederick Winslow Taylor
  • Principle of Scientific Management applied to
    the workplace as
  • Work process under the strict control of
    supervisors who told workers
  • What to do
  • When to do it
  • How long it should be done
  • Compared to Adam Smith Role of the supervisor
    was to ensure that workers performed the task
    assigned to them
  • Contd

10
SUPERVISORY MANAGEMENT
  • Organisation Management Theories
  • The position of workers transformed
  • from
  • Monopoly of knowledge about the work process
    and control over it
  • To
  • Limited amount of knowledge and little or no
    control over the work process

11
SUPERVISORY MANAGEMENT
  • At the same time as TaylorFayol in France,
    Principles of Management
  • Division of Work More and better work from the
    same effort, through the advantages of
    specialisation
  • Authority and Responsibility Authority brings
    responsibility. Sanctions are required to
    generate useful actions
  • Discipline Is essential for the efficient
    operation of the organisation
  • Unity of Command Employees should receive
    orders from only one supervisor
  • Contd

12
SUPERVISORY MANAGEMENT
  • Principles of Management
  • Unity of Direction Effective co-ordination
    requires that there should be only one leader
    GM, CEO, MD
  • Subordination of Individual/Group interests
    The interests of the organisation take precedence
    over those of the individual
  • Remuneration Methods of payment should be fair
    and reward well-directed effort
  • Centralisation Varies across the organisation
  • Scalar Chain A chain of superiors from
    ultimate authority to the lowest ranks. Respect
    for line authority.
  • Order A place for everything and everything in
    its place
  • Contd

13
SUPERVISORY MANAGEMENT
  • Principles of Management
  • Equity Fairness in dealing with all employees
    at all levels throughout the scalar chain
  • Stability Prosperous organisations have stable
    managerial personnel
  • Initiative A source of strength which should
    be encouraged
  • Esprit de corps Harmony and unity are a great
    strength for the organisation
  • Only these last four retained as valid
    Principles of Management? Discuss

14
SUPERVISORY MANAGEMENT
  • Principles of Management
  • According to Fayol, Management has the
    responsibility of implementing these principles
    and therefore the duties of management were as
    follows
  • Planning
  • Organising
  • Command and Control
  • Co-ordination

15
SUPERVISORY MANAGEMENT
  • Organisation Management Theories
  • Human Relations Approach
  • Two Central Concepts
  • THE ORGANISATION
  • Organisations are complex social systems and not
    mechanical. They require more than just simple
    close supervision, rigid rules and purely
    economic considerations and incentives for
    effective control ethics, the environment
  • THE PERSON
  • People are emotional beings as well as economic,
    they have both emotional and economic needs to
    satisfy. The work environment has to be
    structured so that it allows people to meet these
    important needs

16
SUPERVISORY MANAGEMENT
  • Organisation Management Theories
  • Human Relations Approach has led to the
    Rationalistic approach to Human Resources which
    matches the Human Resource to the Business
    Strategy of the Organisation in treating the
    employee as a strategic resource that possesses
    skills and expertise that can be harnessed
    for the organisations competitive advantage

17
SUPERVISORY MANAGEMENT
  • Reflection
  • Where are we today in BVI?

18
  • The Twentieth- and Twenty-first Century
    Organization Compared
  • Twentieth Century Twenty-First Century
  • Structure Structure
  • Bureaucratic - Non-bureaucratic, with
    fewer rules and employees
  • Multileveled - Limited to fewer levels
  • Organized with the expectation that -
    Organized with the expectation expectation
    that senior management will manage
    management will lead and lower- level
    employees will manage
  • Characterized by policies and - Characterized
    by policies and
  • procedures that create many
    complicated procedures that produce the
  • internal interdependencies minimal
    internal interdependence
  • needed to serve customers


19
  • The Twentieth- and Twenty-first Century
    Organization Compared
  • Twentieth Century Twenty-First Century
  • Systems Systems
  • Depend on few performance information -
    Depend on many performance
  • systems information systems,
    providing
  • data on customers especially
  • - Distribute performance data to executives -
    Distribute performance data
  • only widely
  • Offer management training and support
    systems - Offer management training and
  • to senior people only support systems
    to many people

20
  • The Twentieth- and Twenty-first Century
    Organization Compared
  • Twentieth Century Twenty-First Century
  • Culture Culture
  • Inwardly focused - Externally oriented
  • Centralized - Empowering
  • Slow to make decisions - Quick to make
    decisions
  • Political - Open and candid
  • Risk averse - More risk tolerant

21
Economic and Social Forces Driving the need
for Major Change in Organizations Technological
Change International Maturation of Markets Fall
of Economic in Developed and
Socialist Integration Countries Regimes ---
--------------------------------------------------
--------------------------------------------------
---------------------------------------- Faster
and better com- Fewer tariffs Slower domestic
growth More coun- munication (GATT/WTO) trie
s linked to the capitalist syste
m Faster and better Currencies linked More
aggressive exporters More Transportation via
floating ex- privatization change
rates More information networks More global
capital More deregulation Connecting people
globally flows


THE GLOBALIZATION OF MARKETS and COMPETITION
22
THE GLOBALIZATION OF MARKETS and COMPETITION
  • More Hazards More Opportunities
  • More competition - Bigger Markets
  • Increased speed - Fewer Barriers
  • More Large-scale change in organizations
  • To avoid hazards and/or capitalize on
    opportunities, firms must become stronger
  • competitors. Typical transformation methods
    include
  • - Reengineering - Mergers and acquisitions
  • - Restructuring - Strategic change
  • - Quality programs - Cultural change

23
SUPERVISORY MANAGEMENT
  • ORGANISATIONAL CULTURE - Definitions
  • The Pattern of basic assumptions that a group
    has invented, discovered or developed in learning
    to cope with the problems of external adaptation
    and integration, and that have worked well enough
    to be considered valid, and, therefore to be
    taught to new members as the correct way to
    perceive think and feel in relation to these
    problems
  • A system of shared values (what is important)
    and beliefs (how things work) that interact with
    a companys people organisational system to
    produce norms (the way we do things around here)
  • The deeper level of assumptions and beliefs that
    are shared by members of an organisation, that
    operate sub-consciously, and that define in a
    basic taken for granted fashion an
    organisations view of itself and its environment
  • Organisational Culture is influenced to a large
    extent by the behaviour of the Chief Executive
    especially where such a person has been with the
    organisation for a long time

24
SUPERVISORY MANAGEMENT
  • ORGANISATIONAL CULTURE
  • Organisational Culture influences behaviour in
    three areas
  • Organisational Values Beliefs in what is best
    or good for the organisation and what should or
    ought to happen. They are expressed by reference
    to both goals and the means of achieving such
    goals
  • Organisational Climate The working atmosphere
    of the organisation as perceived and experienced
    by its members. This will encompass how people
    feel about and react to the characteristics and
    quality of the organisational culture and its
    values
  • Management Style The way in which managers
    behave and exercise authority. They may be
    autocratic or democratic, tough or easygoing,
    formal or informal. It also describes the way in
    which managers behave.

25
SUPERVISORY MANAGEMENT
  • ORGANISATIONAL CULTURE
  • Getting the Basics right a Culture for success
  • Clive Lloyds successful West Indies cricket
    team vs Current The West Indies Cricket Team????

26
ORGANIZATIONAL CULTURE AND MINDSET
  • Company Focus on doing the BASICS very well. 
  • Its amazing how many departments have great
    visions yet fail to achieve their full potential
    - all the potential in the world but with no
    focus on executing the basics
  • Many historic, recurring day-to-day problems
    (perhaps the same problems that plague your
    operation) can be permanently eliminated by a
    tenacious execution of the crucial basics.  The
    mastering of these basics can help you and your
    department reach full growth and potential.

27
ORGANIZATIONAL CULTURE AND MINDSET
  • 8 Basics for Organisational Success
  • Customer Connectivity
  • Information Integrity
  • Performance Management
  • Quality Management
  • Teamwork Organisation
  • Knowledge of Value
  • Business Process Management
  • Resource Planning

28
CULTURE AND MINDSET
Basic 1 Customer Connectivity The reality
of customer responsiveness is in the eyes of the
beholder - the customer. The sooner we realize
and accept our customers' perceptions of our
services as reality, and accept it as our
challenge, the sooner we will earn their
confidence. Customer responsiveness and
satisfaction strategies must be developed
together with tactical plans that reduce customer
complaints and provide world class customer
service. In our line of business most delinquent
customers are dissatisfied with the service
received (???)
29
CULTURE AND MINDSET
Basic 2 Information Integrity It is not
uncommon for supervisors to become disenchanted
with operating systems which fail to deliver on
time schedules and promised paybacks. Truism
acceptable systems results cannot be achieved
when systems are driven by inaccurate data and
untimely, uncontrolled documentation. For most
systems a key requisite to optimizing operational
performance is through the collection of accurate
and timely information.
30
CULTURE AND MINDSET
Basic 3 Performance Management Measurement
systems can be motivational or de-motivational.
The individual goal setting of the 80s is a good
example of de-motivational measurement - it
tested one individual or group against the other
and while satisfying some individual egos, it
provided little contribution to overall company
growth and profit. Organisations must develop a
performance scorecard that will stimulate
innovation and increase the participation and
contribution of all employees.
31
CULTURE AND MINDSET
Basic 4 Quality Management QUALITY is a
crucial business basics. For businesses to master
customer quality requirements, they need to
address quality as a total company change
initiative strategy. A formalize proven quality
management system is the preferred approach.   
32
CULTURE AND MINDSET
Basic 5 Teamwork All employees in an
organisation must work as a team. Team dynamics
is predicated on the effectiveness of their
members to communicate  and share knowledge. As
with any organizational innovation, the
successful introduction of team dynamics requires
that ability to assimilate significant change.
Hierarchies must be flattened, employees must be
empowered to make and then implement decisions,
and new and at times unfamiliar technologies must
be adopted, various sources of resistance must be
addressed, plans must be clearly communicated,
and ownership of the new model of teamwork must
be widely deployed. 
33
CULTURE AND MINDSET
Basic 6 Knowledge of what brings value to
the Organisation Developing  a visual map of the
value stream allows everyone to fully understand
and agree on how value is produced in the
organisation and where waste occurs. Analysis
of the processes which the maps represent will
help increase customer satisfaction by
identifying actions to decrease system
breakdowns, reduce costs, establish
customer-driven process performance measures,
reduce non-value-added steps, and increase
productivity.
34
CULTURE AND MINDSET
The 8-Basics? Basic 7 Business Process
Management   Companies must develop strategies
to gain speed, quality and reduce costs by
reviewing their business processes.
35
CULTURE AND MINDSET
The 8-Basics? Basic 8 Resource Planning
One of the major challenges in industry today
is the timely right sizing of operations. Profit
margins can be eroded by not taking timely
downsizing actions and market windows can be
missed and customer confidence lost by not
upsizing the direct labor force in a timely
manner. These actions demand timely, tough
decisions that require accurate, well-timed and
reliable resource information (Basic 2).
36
BALANCED SCORECARDS
  • Strategic Planning
  • Strategic planning is a business process that
    many companies employ to identify their critical
    success targets that set the course for future
    growth and profits.
  • Strategic Planning is an essential process in
    mastering the 8 Basics for Organisational
    Success.
  • Lewis Carroll in Alice in Wonderland makes a
    good case for it Would you tell me, please,
    which way I ought to go from here? said Alice.
    That depends a good deal on where you want to
    get to, said the Cat. I dont much care
    where, said Alice. Then it doesnt matter
    which way you go, said the Cat.

37
BALANCED SCORECARDS
  • Strategic Planning


38
BALANCED SCORECARDS
  • Strategic Planning

In developing a strategic plan three key
questions are considered 1. Where are we
today? 2. Where do we want to go, and when?
and 3. How do we get from here to there?

39
BALANCED SCORECARDS
  • Strategic Planning

Like most business processes, the key to
success is in the effective implementation of the
plan. Companies that do a good job of developing
and executing their strategies can create a
competitive edge. Organizations that turn their
plan into a "dust collector" sitting on an
executive bookshelf, will never achieve their
full potential. The key to success is the design
and implementation of a balanced scorecard.

40
  • STRATEGIC PLANNING
  • The Management Process
  • Situation analysis
  • Objectives and strategies
  • Critical success targets
  • Implementation
  • Benefits
  • An understanding of the Utilitys vision
  • A focus on critical success targets
  • Team commitment and empowerment
  • Foundation for the Balanced Scorecard

41
SITUATION ANALYSIS
  • As part of So Called SWOT Analysis
  • Identifying and Evaluating Internal Factors
  • Strengths
  • Customer Service
  • Product Innovation
  • Staff Knowledge
  • ?
  • Weaknesses
  • A weak Dollar
  • Long Delivery Cycle Time
  • Poor on-time delivery performance
  • ?

Where are we today?
42
SITUATION ANALYSIS
  • Identifying and Evaluating External Factors
  • Opportunities
  • Poor Distribution
  • Marginal field service support
  • ?
  • Threats
  • Metric products
  • Aggressive new competitors
  • ?

Where are we today?
43
SITUATION ANALYSIS
  • Developing the Mission Statement

MISSION STATEMENT
THE COMPANY
THE CUSTOMER
THE MARKETPLACE
What business are we in? How do we
describe our customer?
44
OBJECTIVES AND STRATEGIES
  • Objectives
  • Categories
  • Financial
  • Customers
  • Internal Business Processes
  • Innovation and Learning
  • Criteria
  • Single theme for each
  • Results oriented and quantified
  • Ownership identified
  • All objectives in concert with each other
  • Challenging and achievable

Where do we wish to arrive, and when?
45
OBJECTIVES AND STRATEGIES
  • Defensive Strategies
  • Solve internal weaknesses which make the
    organization vulnerable to external threats

DEFENSIVE STRATEGIES
INTERNAL WEAKNESSES
EXTENAL THREATS
How do we get there from here?
46
OBJECTIVES AND STRATEGIES
  • Competitive Strategies
  • Utilize internal strengths to take advantage of
    external opportunities

STRATEGIES TO BUILD ON STRENGTHS
INTERNAL STRENGTHS
EXTERNAL OPPORTUNITIES
How do we get there from here?
47
  • Technology Leadership
  • Value Delivery Systems
  • Operations Effectiveness

CRITICAL SUCCESS TARGETS
48
  • Technology Leadership
  • The best use of available technology

CRITICAL SUCCESS TARGETS
49
CRITICAL SUCCESS TARGETS
  • Value Delivery System
  • Quality
  • The ISO-9000 System
  • The Baldrige System
  • The home grown system
  • Customer perception is reality
  • Service
  • Request-for-system expansion responsiveness
  • Technical assistance
  • Service call responsiveness
  • Price
  • Cost-of-services
  • Tariff

50
CRITICAL SUCCESS TARGETS
  • Operations Effectiveness
  • Productivity
  • Management performance monitoring
  • Best-in-class housekeeping
  • Speed
  • An assault on turnaround times
  • Continuous improvement - elimination of waste
  • Quality
  • Customer quality service reports
  • No status quo mind-set

51
IMPLEMENTATION
Lessons Learned
  • Success Criteria

CORPORATE VISION
  • Must Dos
  • Demo executive commitment
  • Encourage participation
  • Select the right staff to join team
  • Easy access to information
  • Focus on critical success targets
  • Set well-defined objectives
  • Consider available resources
  • Communicate plan
  • Include balanced scorecards as your integrated
    performance measurement system

STRATEGIC PLAN
ACTION PLAN-A2
ACTION PLAN-A3
ACTION PLAN-A1
ANNUAL BUSINESS PLAN
PLANS BUDGETS
PLANS BUDGETS
PLANS BUDGETS
52
IMPLEMENTATION
  • Obtaining Required Commitment
  • Pre-planning steps
  • Demonstrate managerial commitment
  • Selecting the right planning team and
    information
  • Soliciting input from employees
  • Execution steps
  • Encouraging participation
  • Focusing on Critical Success Targets
  • Setting well-balanced, qualified objectives
  • Considering available resources
  • Developing a balanced scorecard
  • Post-planning steps
  • Communicating and deploying the plan
  • Linking strategic to tactical planning
  • Fine tuning the planning process

53
IMPLEMENTATION
  • The Action Plan
  • State the objective of the plan. Is it relevant?
  • Identify the individual who has overall ownership
    for the success of the plan.
  • Identify the individuals who have responsibility
    for the success of each action step in the plan.
  • Indicate the due date of completion of each step.
  • List results oriented steps. . . Using action
    verbs to describe each.
  • Identify the resources (human, capital and
    facilities) required to perform the action steps.

Lessons Learned
RESPONSIBLE INDIVIDUAL
DATE COMPLETE
DUE DATE
ACTION STEPS
COMMENTS
RESOURCE REQUIREMENTS
TIME PERIOD
COMMENTS
PEOPLE
FINANCIAL
EQUIPMENT
54
THE MANAGEMENT PROCESS
  • 1.Situation Analysis
  • Identifying and evaluating internal factors
  • Identifying and evaluating external factors
  • Developing the mission statement
  • 2.Objectives and Strategies
  • Strategic objectives
  • Defensive strategies
  • Competitive strategies
  • 3.Critical Success Targets
  • Technology Leadership
  • Value Delivery System
  • Operational Effectiveness
  • 4.Implementation
  • Success Criteria
  • Resource Management
  • The Action Plan

55
STRATEGIC PLANNING BALANCED SCORECARDS
  • Purpose
  • Improve results from strategic planning
  • Articulate the Utilitys business vision
  • Communicate the Utilitys critical success
    targets
  • Achieve utility-wide understanding and commitment
    to the strategic plan
  • Develop and execute tactical plans in support of
    critical success targets
  • Create a work environment that fosters
    performance measurement, recognition and reward

56
STRATEGIC PLANNING BALANCED SCORECARDS
  • BSC can be used for first time strategy
    development or for an institution which already
    has a strategy to up-date its strategy
  • Up-dating strategy Process
  • Assessment of Strategy
  • Revise Strategy
  • Selection of Metrics

57
STRATEGIC PLANNING BALANCED SCORECARDS
  • Process
  • Assessment of Strategy
  • Strategy is assessed from 4 Perspectives
  • Financial
  • What are the organisations financial goals
  • Customer
  • What value propositions are offered to customers
  • Internal Business Processes
  • What key Business Processes will enable delivery
  • on value propositions
  • Learning and Growth
  • What skills and infrastructure are necessary for
  • maintaining long-term growth of the organisation

58
STRATEGIC PLANNING BALANCED SCORECARDS
  • Process
  • Revise Strategy
  • Revise the strategy in the light of answers to
    questions posed and select strategic objectives
    for each of the 4 Perspectives

59
STRATEGIC PLANNING BALANCED SCORECARDS
  • Process
  • Selection of Performance Metrics
  • Select meaningful Performance metrics that gauge
    whether the Objectives are being met for each of
    the 4 Perspectives
  • A good mix of lag and lead metrics is required

60
STRATEGIC PLANNINGSTRATEGY MANAGEMENT SYSTEM
  • A Strategy Management System (SMS) is a framework
    within which a company could keep under constant
    review documented plans developed to address the
    major issues facing the institution, taking into
    consideration the interest of its owners,
    customers and changes in the internal and
    external environments.
  • The major output of a SMS development exercise is
    a strategy matrix. The strategy matrix combines
    the analytical thoroughness of the Logical
    Framework Method with the performance measurement
    driven approach of the Balanced Scorecard method
    of strategy formulation.

61
STRATEGIC PLANNINGSTRATEGY MANAGEMENT SYSTEM
  • The strategic matrix gives a concise description
    and performance metrics for
  • Management vision for the organization
  • Strategic objectives to be adopted in order to
    keep the vision in focus
  • Specific outputs critical to the achievement of
    the objectives and
  • Activities to be undertaken to produce the
    identified outputs.
  • The concept of the strategy matrix was
    developed by CBWMP and used by this organization
    in its own strategic planning.

62
STRATEGIC PLANNINGSTRATEGY MANAGEMENT SYSTEM
Central Water and Sewerage Strategy Matrix
63
  • OVERCOMING OBJECTIONS
  • Objections
  • We know it all already
  • Its too labor intensive
  • We have limited control over results
  • The results will be used against us
  • Management will misuse the results
  • They will score us by unfair standards
  • Too much complexity
  • Too expensive to deploy

64
  • OVERCOMING OBJECTIONS
  • Overcoming Objections
  • Overcome objections by commitment in particular a
    commitment to performance measurement
  • Commitment should be built early in the planning
    process by getting everyone involved and
    encouraging suggestions and comments at all
    levels especially from those who have to
    implement the action plans
  • The strategic plan should be widely circulated
    and sold to employees at all levels of the
    organisation
  • During implementation plans should be
    periodically reviewed and lessons learned

65
  • Performance Measurement

Financial numbers may tell us were winning the
war, but it takes complete performance
measurements to focus our energy and efforts to
win each of the battles along the
way. Supervisory Management - Improving
Behavioral Skills and Attitudes

66
MAINTAINING SYSTEM CREDIBILITY
  • Establishing a Measurement Mindset

THERE IS NO STATUS QUO!
YOURE EITHER WINNING OR YOURE
LOSING
There is no effective control without
measurements!
67
  • PERFORMANCE MEASUREMENT
  • Issues To be Addressed
  • Why performance measurements
  • Benchmarking
  • Benefits
  • Proactive motivation
  • Participative goal setting
  • Process ownership

68
  • PERFORMANCE MEASUREMENT

Performance measurement has a special role in
Strategic Planning and Implementation Performance
measurement also necessary in operational
management
69
BALANCED SCORECARDS
  • Performance Measurement
  • Performance measurements provide the foundation
    for organisational success and is a Critical
    Element of Supervision
  • Without metrics to establish and track where we
    are and where we want to go, there is little
    incentive to make positive changes happen.
  • If we are to be successful in our pursuit of
    aggressive change we must develop a rational
    performance measurement methodology that achieves
    total company commitment.
  • An important element in a performance measurement
    system is the ability to capture relevant data
    that will provide a valid assessment of how the
    process is being performed. To this end, we need
    to establish ownership of the process, then get
    the process owner involved in establishing an
    appropriate method of performance measurement.
    Without this happening, there will be no
    worthwhile commitment to goal attainment.

70
WHY PERFORMANCE MEASUREMENT
  • Performance Measurement FOR Strategic Alignment

Credible Sales Forecasting
Efficient Prodn and Distribution
As Received Quality
Timely Infrastructure Development
Yes
Yes
Yes
Yes
Project Mang. Function Review
Forecast Commercial Operations Review
Materials and Scheduling Process Review
Quality Standards Review
No
No
No
No
Bottom Line Results
Total Customer Satisfaction
Inventory Effectiveness
Profit Margins
Yes
Yes
Yes
Balanced Scorecard Process Review
Feedback and Proactive Process Review
Days of Supply Process Review
Cost vs Revenue Review
No
No
No
No
71
WHY PERFORMANCE MEASUREMENT
  • Management By Facts

Without data, you're just another opinion.
SELECT PROBLEM
PARETO DIAGRAM
HISTORGRAM
SCRAP
REWORK
ANALIZE PROBLEM
DATA COLLECTION
ID ROOT CAUSE
CHECK SHEET
CONTROL CHARTS
GRAPH
SCATTER DIAGRAM
PLAN X ACTIONS
CONFIRM RESULTS
AFTER
BEFORE
FINE TUNE
ACTION 1
ACTION 2
TIME
2-3
72
MAINTAINING SYSTEM CREDIBILITY
  • Establishing a Measurement Mindset

THERE IS NO STATUS QUO!
YOURE EITHER WINNING OR YOURE
LOSING
There is no effective control without
measurements!
73
MAINTAINING SYSTEM CREDIBILITY
  • Establishing a Measurement Mindset

Reflection Establishing a performance measurement
mindset is the responsibility of management?
There is no effective control without
measurements!
74
MAINTAINING SYSTEM CREDIBILITY
  • Databases, Ownership and Maintenance
  • Simple Department Processes
  • User process owner
  • Database chalk board, tick chart and hand plot
    graphs
  • Maintenance process customer
  • Complicated Processes - Service Delivery
  • Users process owner or team
  • Database Excel spreadsheet and computer graphs
  • Maintenance assigned team member
  • Intradepartmental Processes - Cost of Quality
  • User functional manager or self-directed process
    team
  • Databases computerized business systems down
    loaded to Access for additional input forms and
    graphs
  • Maintenance MIS and/or team data specialist
  • Remember, Without data, you're just another
    opinion.

75
MAINTAINING SYSTEM CREDIBILITY
  • Some Requisites for Success
  • Management acceptance and support Commitment
  • A few good champions
  • Trust and understanding
  • Valid, timely and consistent measurements
  • Need to review and adjust range of metrics
  • Demonstrated benefits from use of system
  • A want to succeed business culture
  • A true sense of accomplishment
  • Change in Behavioral Skills and
  • attitudes

76
BENCHMARKING
  • Internal - A Good Starting Place
  • Define critical company success factors
  • Identify relevant work processes and prioritize
    by importance
  • Identify process owners and internal customers
  • Agree on current performance levels and establish
    data measurements
  • Negotiate improvement goals - celebrate the goal
    achievements and reset the marks

77
BENCHMARKING
  • External - Some of the Options
  • Customers
  • Non-Competitive Businesses
  • Competitors
  • World Bank
  • CBWMP
  • Institute of Quality and Productivity -SDSU
  • Your Best Option Industry Week
  • The Benchmarking Tool Kit - www.cbwmp.tzo.org

78
Performance Measurement Recap
  • Why Performance Measurements
  • Management by facts
  • Strategic Alignment
  • Maintaining System Credibility
  • Establishing a measurement mindset
  • Databases, ownership and maintenance
  • Some requisites for success
  • Benchmarking
  • Internal - a good starting place
  • External - some of the options
  • Supervisory Management - Improving Behavioral
    Skills and Attitudes

79
A Straight From the Internet Story
I rarely open joke e-mail messages. Not that I
don't enjoy a good joke but rather because I am
not usually in the mood for a joke when I am on
the Internet. However, once in awhile, I will
open one and on this occasion it was worth
it. On June 20th 1969, Neil Armstrong, commander
of the Apollo -11 Lunar Module, stepped onto the
moon and said, "That's one small step for man,
one giant leap for mankind." When reentering the
module, he made a brief statement, "Good luck, Mr
Gorsky." When back in the USA many reporters kept
asking him what was the significance of the
Gorsky statement. He never responded with an
answer. Many speculated that it was a message to
a Soviet astronaut. On July 5th, 1995, when
once again he was asked the 26 year-old question,
he finally replied. In 1938 when I was a kid in a
small Midwestern town, we used to play baseball
in a field in the back of my house. One day, one
of my friends hit a ball over the fence into my
neighbor's yard. I jumped the fence to retrieve
the ball that had landed up against Mr. and Mrs.
Gorsky's house directly under their bedroom
window. When I stooped to pick up the ball, I
could hear Mrs. Gorsky yelling at Mr. Gorsky, "
Sex! You say you want sex! You'll get sex when
the kid next door walks on the moon!"
80
SUPERVISORY MANAGEMENTQUALITY
  • Buzz Words
  • Quality System
  • Quality Assurance System
  • Quality Management System
  • Customer Satisfaction System
  • Total Quality Management
  • What do all these terms really mean?

81
SUPERVISORY MANAGEMENTQUALITY
  • What is Quality?
  • We associate the term quality with
  • Degree of excellence
  • Superiority of some kind
  • A desired characteristic or feature
  • For example Rolls Royce car
  • But there are more Toyotas on the road than
    Rolls Royces. We therefore know that quality is
    notoriety, and quality could come at a price.
    But Toyotas have are popular and the Toyota
    Company is successful because, to some measure,
    they produce cheap, quality cars. So therefore
    what exactly is Quality.

82
SUPERVISORY MANAGEMENTQUALITY
  • For the Public Sector
  • Quality is associated with
  • What the public wants eg clean water
  • When it wants it eg 24 hour supply of water,
    daily garbage collection
  • At a price customers are prepared to pay (produce
    and supply at as low cost as possible)
  • For the Private Sector, the bottom-line to
    quality is profit The Business primary goal or
    Success
  • SuccessBusiness GoalProfitQuality

83
SUPERVISORY MANAGEMENTQUALITY
  • Therefore
  • A Quality system can be defined as the
    organisational structure, responsibilities,
    procedures, processes and resources required to
    achieve the organisations goals and objectives
  • As the quality system is about management of
    the business it is also referred to as a Quality
    Management System
  • And where it provides assurance for customers
    and managers it is called a Quality Assurance
    System

84
SUPERVISORY MANAGEMENTQUALITY
  • Organisations that possess a Quality system have
    documented their system in writing in the form of
    Manuals, Procedures and Instructions.
  • One such system is called Total Quality
    Management
  • Do BVI Gov. Depts. have Quality Systems?

85
SUPERVISORY MANAGEMENTPRINCIPLES OF MANAGEMENT
  • Management had the sole responsibility of
    implementing the Principles of Management and
    therefore the duties of Management were as
    follows
  • Planning
  • Organizing and Co-ordinating
  • Command and Control
  • More or less Supervisors are called upon to
    perform the Same duties today

86
SUPERVISORY MANAGEMENTPRINCIPLES OF MANAGEMENT
  • Planning
  • Agreeing on departmental/unit/section/division
    goals
  • Clarification of tasks to be performed by
    employees under his/her control
  • Making sure that employees have the resources to
    function
  • Ensuring that systems for record keeping and
    communications are set up and meet the section
    goals
  • Setting of standards and performance benchmarks

87
SUPERVISORY MANAGEMENTPRINCIPLES OF MANAGEMENT
  • Organising and Coordinating
  • Ensuring work on tasks is taken forward in a
    rational manner
  • Ensuring a smooth flow of resources to employees
  • Devolving responsibilities and sub-tasks to
    employees
  • Ensuring coordination of activities in the
    section
  • Keeping in focus the results expected and not
    being side-tracked
  • Arranging for evaluation of results achieved
  • Arranging for employee evaluation and feedback
  • Arranging for employee training
  • Making sure liaison and communication take place
    with management who are expecting results

88
SUPERVISORY MANAGEMENTPRINCIPLES OF MANAGEMENT
  • Controlling
  • Ensuring that standards are adhered to, deadlines
    are met and decisions are made
  • Checking on feedback from management on
    achievement of results to date
  • Making sure that all contribute to the units
    efforts
  • Making sure that evaluation of sections work
    takes place and what is learned is integrated
    into future work
  • Making sure that employee performance is rewarded
  • Directing workers on how to perform tasks???

89
SUPERVISORY MANAGEMENTLEADERSHIP
  • In most organizations a strain exists between the
    individual and management especially in the area
    of organization and individual goals
  • This strain is played out in the workplace in the
    attempts by the organization, through its
    management, to exercise control over its
    employees
  • The power of an organizations management to
    control its employees rests either in specific
    positions, a person or a combination of both
  • An individual whose power is chiefly derived from
    his/her organizational position is referred to as
    an official (manager)
  • An individual whose ability to control others is
    chiefly personal is referred to as an informal
    leader.
  • One who commands both is a formal leader
  • Modern organizations thrive on formal leadership

90
LEADERSHIP
  • The Twelve Major Attributes Of Leadership are
  • A Willingness To Try The Untried
  • Self Motivation
  • A Keen Sense Of What Is Fair
  • Definitive Plans
  • Decision Stickability
  • The Habit Of Going The Extra Mile
  • A Positive Personality
  • Empathy
  • Mastery Of Detail
  • Willingness To Assume Full Responsibility
  • Duplication
  • A Deep Belief In Their Principles

91
LEADERSHIP
  • A Willingness To Try The Untried
  • No employee wishes to be led by a supervisor who
    lacks courage and self confidence
  • It is a positive leadership style that takes on
    challenging tasks or takes opportunities that
    have not been tried before
  • A supervisor knows in taking certain actions
    he/she might be unsuccessful, but by leading by
    example, will maintain the motivation of
    employees.

92
LEADERSHIP
  • 2. Self Motivation
  • The supervisor who cannot motivate himself has
    not the slightest chance of being able to
    motivate others

93
LEADERSHIP
  • A Keen Sense Of What Is Fair
  • In order to retain the respect of employees a
    manager must be sensitive to what is fair and
    just
  • A leadership style whereby all people are treated
    justly and equally always creates a feeling of
    security

94
LEADERSHIP
  • Definitive Plans
  • A good leader plans the work and then works the
    plan

95
LEADERSHIP
  • Decision Stickability
  • The supervisor who waivers in the decision-making
    process shows that he/she is unsure of
    him/herself, whereas an effective leader makes a
    decision after giving sufficient thought to the
    problem
  • However, a good leader does not stick
    unreasonably to a bad decision

96
LEADERSHIP
  • The Habit Of Going The Extra Mile
  • Leaders are willing to do whatever and more than
    they ask of employees
  • The supervisor who arrives before the employee
    and leaves a little bit later is one example of
    this attribute of leadership

97
LEADERSHIP
  • 7. A Positive Personality
  • Employees respect this quality, it not only
    inspires confidence but also builds and maintains
    an enthusiastic team sprit

98
LEADERSHIP
  • Empathy
  • The successful leader must have the ability to
    put himself in the shoes of his employees to be
    able to see the world from their side
  • He does not have to agree with others but must be
    able to see how they feel and understand their
    viewpoint

99
LEADERSHIP
  • 9. Mastery Of Detail
  • The successful leader understands and carries out
    every detail of his job and has the knowledge and
    the skill to master the responsibilities that go
    with the position

100
LEADERSHIP
  • Willingness To Assume Full Responsibility
  • A good leader must be willing to take full
    responsibility for the mistakes of followers
  • Should a follower make a mistake, perhaps through
    incompetence, the leader must consider that it is
    he, himself who has failed
  • The effective leader accepts the cliché The
    buck stops here

101
LEADERSHIP
  • 11. Duplication
  • The effective leader is always looking for ways
    of duplicating the skills in other people. In
    this way, he develops others.

102
LEADERSHIP
  • A Deep Belief In Their Principles
  • The effective leader has a determination to
    achieve goals, no matter what obstacles come
    along, and believes in what he or she is doing
    with a determination to fight for it.
  • Unless we stand for something we will fall for
    anything

103
Management versus Leadership


104
Management versus Leadership
105
Management versus Leadership
106
Self-Evaluation Characteristics of Effective
Leadership The questions below relate to
characteristics of effective leaders. Use the
questions to evaluate whether you possess these
characteristics. Use the results to see where
you might focus to strengthen your leadership
skills.
107



108

109
MOTIVATION
  • Definition
  • Motivation is getting somebody to do something
    because they want to do it. Motivation is
    charcterised by a set of internal and external
    driving forces which activate, channel and
    sustain behaviour towards some individual, group
    and organisational and societal goals
  • Analyse this definition considering the following
    questions
  • Activate (does this mean create?)
  • Channel (is the implication that the forces
    colour the individuals personality?)
  • Sustain (do the driving forces provide
    consistency and continuity?)
  • Behaviour (What is behaviour?)
  • Organisational goals (are they contingent on
    organisational culture?)
  • Societal goals (what is the impact of the social
    system on the driving forces?)

110
MOTIVATION
  • MOTIVATION
  • MANAGEMENT FUNCTION TO ENSURE THAT ALL EMPLOYEES
    ARE MOTIVATED
  • EMPLOYEES MUST ALSO ACCEPT RESPONSIBILITY FOR
    SELF-MOTIVATION

111
MOTIVATION
  • Theories of Motivation
  • From the earliest records of time men have been
    trying to motivate themselves and others
  • Recall Friends Romans country men lend me your
    ear etc. one of the greatest motivational
    speeches ever recorded.
  • For those who read the Bible
  • For God so loved the world that he gave his
    only begotten son so whosoever believeth in him
    shall not perish but have everlasting life

112
MOTIVATION
  • THEORIES OF MOTIVATION
  • Frederick Taylor who could be described as the
    father of motivational theory postulated that
    managers should concentrate on one over-riding
    need which provided the reason why people work
  • THE NEED FOR MONEY!
  • Taylors approach called Scientific Management
    was simple
  • Organise the work to produce the most efficient
    method of operation
  • Ensure that payment was dependent on productivity
    so that there was a financial incentive for
    employees to work hard
  • INCENTIVE MOTIVATION

113
MOTIVATION
  • THEORIES OF MOTIVATION
  • Hawthorne studies drew attention to the
    socio-psychological aspects of behaviour at work
  • Simply put
  • Peoples motivation for work extends way beyond
    THE NEED FOR MONEY
  • OTHER ELEMENTS
  • ATTITUDE MOTIVATION
  • THE RIGHT ENVIRONMENT

114
MOTIVATION
  • THEORIES OF MOTIVATION
  • Mc Gregor
  • Theory X and Theory Y
  • Under Theory X managers assume
  • Employees inherently dislike work and wherever
    possible attempt to avoid it
  • Since employees dislike work, they must be
    coerced, controlled or threatened with punishment
    to achieve management ends
  • Employees will shirk responsibilities and seek
    direction wherever possible (shun autonomy)
  • Most workers place job security above all other
    factors associated with work and will display
    little ambition

115
MOTIVATION
  • THEORIES OF MOTIVATION
  • Mc Gregor
  • Under Theory Y managers assume
  • Employees can view work as being as natural as
    rest or play
  • People will exercise self-direction and
    self-control if the feel committed to the
    objectives of the company. Employee
    participation in decision making will lead to
    commitment to decisions
  • The average person can learn to accept, even
    seek, responsibility. Thus he or she should be
    given greater opportunity to experience both more
    autonomy and more participation
  • Creativity in problem solving is widely dispersed
    throughout the population. Judgment in decision
    making is not necessarily in the sole possession
    of those in management positions

116
MOTIVATION
  • THEORIES OF MOTIVATION
  • Self Test Philosophy of Management
    Questionnaire

117
Philosophy of Management INTERPRETATION
  • Directions The following descriptions gives an
    indication of your management philosophy and how
    strongly you hold the assumptions associated with
    it.
  • ? If your score falls between 144 and 0, your
    management philosophy is based on Theory Y
    assumptions. The closer you fall to 144, the
    more strongly you hold these assumptions and the
    fewer Theory X assumptions you hold. The closer
    your score is to 0, the more your management
    philosophy reflects a mix of Theory Y and Theory
    X assumptions.

118
Philosophy of Management INTERPRETATION
  • ? If your score falls between 0 and -144, your
    management philosophy is based on Theory X
    assumptions, The closer you fall to -144, the
    more strongly you hold these assumptions, and the
    fewer Theory Y assumptions you hold. The closer
    your score is to 0, the more your management
    philosophy reflects a mix of Theory X and Theory
    Y assumptions.
  • Theory Y
  • You believe that
  • ? Management should create conditions that
    enable and encourage employees to attain their
    own goals by working towards the goals of the
    organization
  • ? Employees are inherently ready to accept
    responsibility, do a good job, and work in the
    best interest of the company
  • ? It is managements responsibility to create
    the conditions that will allow
  • employees to develop their fullest potential

119
Philosophy of Management INTERPRETATION
  • Theory X
  • You believe that
  • ? Managements only responsibility is to
    improve the companys bottom line.
  • ? The employees of an organization are tools to
    be used to meet this goal
  • People are basically unwilling to work
    in the best interests of the company, cannot
    handle responsibility, and must be tightly
  • controlled, prodded, and punished to get their
    work done.

120
Philosophy of Management INTERPRETATION
  • What do the results of this questionnaire tell
    you about your philosophy of management?

121
MOTIVATION
  • THEORIES OF MOTIVATION
  • Mc Gregor

122
MOTIVATION
  • THEORIES OF MOTIVATION
  • Maslows theory (1950s) was an attempt to set
    out a pattern in the range of needs and to
    indicate whether some needs are more important
    than others.
  • Maslows hierarchy of pre-potency is explained
    as
  • Needs higher up the hierarchy (lower
    pre-protency) do not motivate behaviour unless
    there is some degree of satisfaction of the lower
    order needs.

123
MOTIVATION
  • THEORIES OF MOTIVATION
  • Maslows Hierarchy of needs
  • Self-actualisation Our own standards and
    values which are the motivating force of our need
    for autonomy
  • Esteem To be valued, liked or esteemed by the
    group around us
  • Social Contact with others in search of
    friendship, affection and a sense of belonging to
    a group
  • Safety Protection against threat, danger and
    deprivation
  • Physiological Food, water, shelter and
    reproduction

124
MOTIVATION
  • THEORIES OF MOTIVATION
  • REFLECTION
  • In some ways people everywhere are similar to
    one another. We want to be loved, we care about
    the respect of other people and of ourselves, and
    we do not like to feel taken advantage of.
  • Do you agree?

125
MOTIVATION
  • THEORIES OF MOTIVATION
  • Principle of Management By Objectives Approach
    Peter Drucker
  • Clear goals and Targets with incentives for
    achievement and corrective action (not sanctions)
    for failure are motivating and enable people to
    channel their energies in a focused way.
  • MBO combines elements of Taylor and Maslow and
    is the basis for many modern Performance
    Management Systems

126
MOTIVATION
  • THEORIES OF MOTIVATION
  • Management By Objectives
  • Major drawbacks
  • The effect of goal setting may reduce with time,
    the initial enthusiasm wears off and motivation
    declines
  • Problems in harmonising individual and
    organisational goals
  • Demotivating where system is corrupt

127
MOTIVATION
  • THEORIES OF MOTIVATION
  • Herzberg Two-Factor Theory
  • Sought to provide an explanation about what gave
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