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Endnotes156
Acknowledgements158
CHAPTER7 Informationanddecision making159 Introduction161
7.1Informationtechnologyandthe newworkplace162
Workandthevirtualoffice162
Howinformationtechnologyischanging organisations163
Howinformationtechnologyischanging business164
7.2Informationandinformationsystems165
Whatisusefulinformation?166
Informationneedsoforganisations166
Developmentsininformationsystems167
Decisionsupportsystems167
Informationsystemsandthe manager’sjob168
7.3Informationanddecisionmaking171
Typesofmanagerialdecisions171
Decisionconditions172
Howmanagersapproachdecisions173
7.4Thedecision-makingprocess173
Stepsindecisionmaking173
Behaviouralinfluenceson decisionmaking176
Individualandgroupdecisionmaking177
Ethicaldecisionmaking178
7.5Knowledgemanagementand organisationallearning178
Whatisknowledgemanagement?178
Organisationallearning179
Summary180
Keyterms180
Appliedactivities181
Endnotes182
Acknowledgements183
CHAPTER8 Planning184 Introduction186
8.1Howandwhymanagersplan187
Theimportanceofplanning187
Theplanningprocess189
8.2Typesofplansusedbymanagers191
Short-rangeandlong-rangeplans191
Strategicandtacticalplans192
Policiesandprocedures193
Budgetsandprojectschedules193
8.3Planningtools,techniquesand processes194
Forecasting194
Contingencyplanning195
Scenarioplanningandcontingency planning195
Benchmarking198
Staffplanners199
Managementbyobjectives199
Participationandinvolvement200
Summary202
Keyterms202
Appliedactivities203
Endnotes203
Acknowledgements204
CHAPTER9 Strategicmanagement205 Introduction206
9.1Sustainablestrategic competitiveness207
Whatisorganisationalstrategy?207
Strategicmanagement208
Strategicmanagementgoals208
9.2Thestrategicmanagementprocess210
Analysisofmission,valuesand objectives211
Analysisoforganisationalresourcesand capabilities213
Analysisofindustryandenvironment214
9.3Strategiesusedbyorganisations216
Levelsofstrategy216
Growthanddiversification strategies217
Restructuringanddivestiture strategies218
Cooperationinbusinessstrategies219
Onlinestrategies220
9.4Strategyformulation220
Porter’sgenericstrategies221
Productlifecycleplanning222
Portfolioplanning224
Adaptivestrategies225
Incrementalismandemergent strategy226
9.5Strategyimplementation226
Managementpracticesand systems226
Corporategovernance227
Strategicleadership227
Summary229
Keyterms230
Appliedactivities230
Endnotes231
Acknowledgements233
CHAPTER10 Organising234 Introduction236
10.1Organisingasamanagement function236
Whatisorganisationalstructure?237
Formalstructure237
Informalstructure237
10.2Traditionalorganisationstructures238
Functionalstructures238
Divisionalstructures240
Matrixstructures241
10.3Essentialsoforganisationaldesign243
Bureaucraticdesigns244
Adaptivedesigns246
Virtualdesigns246
10.4Contingenciesinorganisational
Environment247
Strategy248
Sizeandlifecycle248
Humanresources249
10.5Developmentsinorganisation
Teamstructures251
Networkstructures252
10.6Subsystemsdesignandintegration254
Subsystemdifferences254
Howtoachieveintegration255
10.7Organisingtrends257
Shorterchainsofcommand257
Lessunityofcommand257
Widerspansofcontrol258
Moredelegationandempowerment258
Decentralisationwithcentralisation259
Summary260
Keyterms261
Appliedactivities262
Endnotes262
Acknowledgements264
CHAPTER11 Controlling265 Introduction266
11.1Organisationalcontrol267
Rationaleforcontrolling267
Stepsinthecontrolprocess268
11.2Typesofcontrols270
Feedforwardcontrols271
Concurrentcontrols271
Feedbackcontrols272
Internalandexternalcontrol272
11.3Organisationalcontrolsystems273
Remunerationandbenefits273
Employeedisciplinesystems275
Informationandfinancialcontrols275
Operationsmanagementandcontrol278
Projectmanagementandcontrol279
Balancedscorecards280
MBO:integratedplanningand controlling281
Summary282
Keyterms282
Appliedactivities283
Endnotes283
Acknowledgements284
CHAPTER12 Humanresource management285
Introduction287
12.1Diversityandtheimportance ofpeople288
Whypeoplemakethedifference288
Thediversityadvantage289
12.2HRM291
Employmentdiscrimination291
Occupationalhealthandsafety293
IndustrialrelationsintheAsia–Pacific region294
InternationalHRM296
TheHRMprocess297
StrategicHRM297
12.3Attractingaqualityworkforce298
Therecruitingprocess298
Makingselectiondecisions300
12.4Developingaqualityworkforce303
Employeeorientation303
Traininganddevelopment304
Performancemanagementsystems305
Purposeofperformanceappraisal305
Performanceappraisalmethods305
12.5Engagement:maintainingaquality workforce307
Careerdevelopment308
Work–lifebalance309
Remunerationandbenefits312
Retentionandturnover314
Summary316
Keyterms316
Appliedactivities317
Endnotes318
Acknowledgements320
CHAPTER13 Leading321 Introduction322
13.1Thenatureofleadership323
Leadershipandvision323
Powerandinfluence324
Ethicsandthelimitstopower325
Leadershipandempowerment326
13.2Leadershiptraitsandbehaviours326
Searchforleadershiptraits327
Focusonleadershipbehaviours327
13.3Contingencyapproachesto
Fiedler’scontingencymodel329
Hersey–Blanchardsituationalleadership model331
House’spath–goalleadershiptheory332
Vroom–Jagoleader-participation model333
13.4Issuesinleadershipdevelopment334
Transformationalleadership335
Emotionalintelligence336
Genderandleadership337
Drucker’s‘old-fashioned’leadership337
Moralleadership338
Summary340
Keyterms340
Appliedactivities341
Endnotes341
Acknowledgements344
CHAPTER14 Communicationand interpersonalskills345 Introduction346
14.1Thecommunicationprocess347
Whatiseffectivecommunication?347
Persuasionandcredibilityin communication348
Barrierstoeffectivecommunication348
14.2Improvingcommunication351
Transparencyandopenness351
Activelistening352
Bodylanguage352
Constructivefeedback353
Useofcommunicationchannels353
Proxemicsandspacedesign355
Technologyuse356
Valuingcultureanddiversity357
Languageandorganisationalchange357
14.3Perception358
Perceptionandattribution358
Perceptualtendenciesanddistortions359
14.4Communicationandconflict management360
Consequencesofconflict360
Causesofconflict360
Howtodealwithconflict361
Conflictmanagementstyles362
Structuralapproachestoconflict management363
14.5Negotiation364
Negotiationgoalsandapproaches364
Gainingintegrativeagreements364
Avoidingnegotiationpitfalls365
Cross-culturalnegotiation366
Ethicalissuesinnegotiation366 Summary368
Keyterms369
Appliedactivities370
Endnotes370
Acknowledgements372
CHAPTER15 Motivationand rewards373 Introduction374
15.1Whatismotivation?375
Motivationandrewards375
Rewardsandperformance375
15.2Contenttheoriesofmotivation377
Hierarchyofneedstheory377
ERGtheory379
Two-factortheory379
Acquiredneedstheory380
Questionsandanswersoncontent theories381
15.3Processtheoriesofmotivation382
Equitytheory382
Expectancytheory383
Goal-settingtheory385
Self-efficacytheory385
15.4Reinforcementtheoryofmotivation387
Reinforcementstrategies388
Positivereinforcement388
Punishment389
Ethicalissuesinreinforcement390
15.5Motivationandremuneration390
Payforperformance391
Incentiveremunerationsystems392 Summary395
Keyterms396 Appliedactivities396 Endnotes396
Acknowledgements399
CHAPTER16 Individuals,jobdesign andstress400 Introduction401
16.1Themeaningofwork402
Psychologicalcontracts402
Workandthequalityoflife403
16.2Satisfaction,performanceandjob design404
Jobsatisfaction405
Individualperformance407
Jobdesignalternatives408
16.3Directionsinjobenrichment411
Corecharacteristicsmodel411
Technologyandjobenrichment413
Questionsandanswersonjob enrichment413
16.4Alternativeworkarrangements414
Thecompressedworkweek414
Flexibleworkinghours414
Jobsharing415
Telecommuting416
Part-timeandcasualwork417
16.5Jobstress418
Sourcesofstress419
Consequencesofstress420
Stressmanagementstrategies422
Summary424
Keyterms425
Appliedactivities425
Endnotes426
Acknowledgements428
CHAPTER17 Teamsandteamwork429 Introduction430
17.1Teamsinorganisations431
Challengesofteamwork431
Synergyandtheusefulnessofteams432
Formalandinformalgroups432
17.2Trendsintheuseofteams433
Committees433
Projectteamsandtaskforces433
Cross-functionalteams434
Employeeinvolvementteams434
Virtualteams434
Internationalteams436
Self-managingworkteams436
17.3Teamprocessesanddiversity439
Whatisaneffectiveteam?439
Stagesofteamdevelopment441
Normsandcohesiveness443
Taskandmaintenanceneeds444
Communicationnetworks445
17.4Decisionmakinginteams446
Howteamsmakedecisions446
Assetsandliabilitiesofgroup decisions446
Creativityinteamdecisionmaking448
17.5Leadinghigh-performanceteams448
Theteam-buildingprocess448
Teamleadershipchallenges450
Summary451
Keyterms452
Appliedactivities452
Endnotes452
Acknowledgements454
CHAPTER18 Leadingandmanaging change455 Introduction457
18.1Challengesofchange458
Strategiccompetitiveness459
Continuousinnovation460
Characteristicsofinnovative organisations461
Innovationandindustryclusters462
18.2Organisationalchange464
Changeleadership464
Modelsofchangeleadership465
Plannedandunplannedchange467
Forcesandtargetsforchange467
18.3Managingplannedchange468
Phasesofplannedchange469
Choosingachangestrategy470
Understandingresistancetochange473
Dealingwithresistancetochange474
Managingtechnologicalchange474
Virtualorganisations474
18.4Organisationdevelopment477
Organisationdevelopmentgoals478
Howorganisationdevelopmentworks478
Organisationdevelopment interventions479
Organisationaltransformation481
TheProsci® ADKAR® model482
18.5Personalchangeandcareer readiness483
Sustainingcareeradvantage484
Summary486
Keyterms487
Appliedactivities488
Endnotes488
Acknowledgements490
CHAPTER19 Entrepreneurshipandnew ventures491 Introduction493
19.1Thenatureofentrepreneurship493
Characteristicsofentrepreneurs496
Theroleofgovernmentsin entrepreneurship498
19.2Entrepreneurshipandsmallbusiness499
Internetentrepreneurship499
Internationalbusiness entrepreneurship501
Familybusinesses501
Whysmallbusinessesfail502
19.3Newventurecreation503
Lifecyclesofentrepreneurial
organisations503
Writingthebusinessplan504
Choosingtheformofownership505
Businessstart-upfinance505
19.4Entrepreneurshipandbusiness development506
Intrapreneurshipandlargeenterprises506
Businessincubation507
Summary508
Keyterms508
Appliedactivities509
Endnotes509
Acknowledgements511
CHAPTER20 Operationsandservices management512 Introduction514
20.1Operationsmanagementessentials514
Productivity514
Competitiveadvantage515
Operationstechnologies515
20.2Valuechainmanagement517
Valuechainanalysis518
Supplychainmanagement518
Inventorymanagement519
Break-evenanalysis520
20.3Serviceandproductquality521
Customerrelationshipmanagement521
Qualitymanagement523
Statisticalqualitycontrol524
20.4Workprocesses525
Howtore-engineercoreprocesses525
Process-drivenorganisations526
20.5Physicalfactorsintheworkplace527
Lightingtheworkplace527
Ergonomicworkstations527
Climatecontrol527
Summary529
Keyterms529
Appliedactivities530
Endnotes530
Acknowledgements531
Case1532
Case2535
Case3538
Case4540
Case5544
Case6546
Case7549
Case8552
Case9555
Case10557
Strategycase1560
Strategycase2567
Index572
ABOUTTHEAUTHORS JohnR.SchermerhornJr DrJohnR.SchermerhornJr istheCharlesG.O’BlenessprofessorofmanagementemeritusintheCollege ofBusinessatOhioUniversity.JohnearnedaPhDinorganisationalbehaviourfromNorthwesternUniversity,anMBA(withdistinction)inmanagementandinternationalbusinessfromNewYorkUniversity,and aBSinbusinessadministrationfromtheStateUniversityofNewYorkatBuffalo.Hepreviouslytaught atTulaneUniversity,theUniversityofVermont,andSouthernIllinoisUniversityatCarbondale,where healsoservedasheadoftheDepartmentofManagementandassociatedeanoftheCollegeofBusiness Administration.
ManagementeducatorsandstudentsalikeknowJohnastheauthorofseveralleadinginternational textbooks,including ExploringManagement and Management 13thedition,andasaseniorco-author of OrganizationalBehavior 13theditionand CoreConceptsofOrganizationalBehavior.Johnhas alsopublishednumerousarticlesinleadingmanagementjournalsandisamemberoftheAcademyof Management.
PaulDavidson DrPaulDavidson isassociateprofessorofmanagementintheQueenslandUniversityofTechnology BusinessSchool.Hehas40years’universityteachingexperience,andhaspublishedmorethan100 academicpapersandninebooks..HehasstudiedandtaughtattheUniversityofQueensland,theUniversity ofBirmingham,theUniversityofGeneva,theUniversityofOtago,StanfordUniversityandSouthernCross University.Hehasdegreesinscience(psychology),theologyandbusinessadministration.Inaddition,Paul hasconsultedandtaughtnationallyandinternationallytomanypublicandprivatesectororganisations, includingtheSheratonHotelGroupinAustraliaandAsia,RoyalDutchShellintheNetherlandsandthe UnitedStates,andextensivelytotheRoyalAustralianNavy,asareserveofficer.Hehasbeenavisiting professorinmanagementatReimsManagementSchoolandGrenobleGraduateSchoolofBusinessin France,JyväskyläPolytechnicinFinland,EuromedBusinessSchoolatMarseilleinFrance,andatthe UniversityofTexasatAustinintheUnitedStates.
Hisdoctoralresearchwasintheareaofmanagementeducationanddevelopment,andhiscurrent researchandteachinginterestsareinthedevelopmentofHRmanagementcompetenciesandinternational humanresourcemanagement,andinprojectmanagement.Priortohisacademiccareer,Paulwasanofficer intheRoyalAustralianAirForceandaclinicalpsychologist.Betweenacademicappointments,hehas beenchiefexecutiveofficerofacompanywithsome650employees.Hewasastatecouncillor(1994–2007)andpresident(2000–05)oftheAustralianHumanResourcesInstituteinQueensland,andchairman ofitsNationalAccreditationCommittee(2004–10),aswellasbeingafellowoftheAustralianHuman ResourcesInstitute.HeisalsoafellowoftheAustralianInstituteofCompanyDirectorsandhasrecently completed10years’serviceasadirectoroftheQueenslandCancerCouncil,amajorcharityforresearch andsupportincancertreatment.
PeterWoods
AssociateProfessorPeterWoods isamembertheDepartmentofBusinessStrategyandInnovation,Griffith BusinessSchoolandtheDirectorInternationaloftheGriffithBusinessSchool.Histeachinghasbeen recognisedbymultipleawards,includingtheprestigious2010AustralianLearningandTeachingCouncil AwardforTeachingExcellence(Internationalisation);GriffithUniversity’sExcellenceinTeachingAward (BusinessandLaw)in2010;andhewasaco-recipientofthePro-ViceChancellor’sawardforinnovation in2011.In2012,hewasawarded‘Brisbane’sBestLecturer’bytheGoldenKeyInternationalHonour Society.PeterhasalsoservedasacademicfellowattheGriffithLearningFutures,helpingacademicstaff toimproveteachinginthemulticulturalclassroom.HespecialisesinteachingdoingbusinessintheAsia Pacific,introductorymanagement,interculturalmanagement,andstrategicmanagement.
Peterhasprovidedmanagementconsultingtomultinationalcorporations,tertiaryeducationinstitutions, governmentagenciesandprivatesectorbusinesses.Hehasdeliveredcross-culturaltraininginAbuDhabi, HongKong,NewZealandandmanyAustraliancities.Peterisindemandasakeynoteconferencespeaker internationallyandnationally,providingtrainingfortertiaryeducatorsininstitutionssuchastheUniversity ofQueensland,UniversityofCanberra,UniversityofVictoria(Wellington,NZ),UniversityofCanterbury (NZ)andmanyIndonesianuniversities.HeisaspeakerofMandarinChineseandBahasaIndonesia.
PriortojoiningGriffithUniversity,Peterworkedformanyyearshelpingtoestablishnon-government organisations,includingtheBrisbane’sMulticulturalCommunityCentre.Priortothis,heworkedata numberofhospitalsasasupervisingmedicalsocialworker,specialisinginrehabilitationandagedcare. PeterisamemberoftheAcademyofManagementandtheGriffithAsiaInstitute.Peterreceivedhis PhDin2007afterresearching‘Cross-CulturalPerformanceManagementintheExpatriateContext’.His researchinterestsincludecross-culturalmanagement,Chineseleadership,ChineseinvestmentinAfrica, performancemanagement,diversitymanagement,internationalisationofthecurriculumandteachingin themulticulturalcontext.HehasreceivedmultipleinternationalandAustralianawardsforhisresearch andhaspublishedinleadinginternationalacademicjournals,includingthe JournalofBusinessEthics and InformationTechnologyandPeople.
AharonFactor AharonFactorisanexperiencedMBAfacilitatorworkingonSouthernCrossUniversity’sonlineMBA program.AfterextensiveacademicexperienceinAustralianuniversities,andworkinggloballyinbusiness consulting,AharonnowworkscloselywithSouthernCrossMBAstudentsbringingtogethertheoryand practice.Hehasalsorecentlyestablishedasustainabilityconsultingfirm,SustainableSME.Aharonhas alsocompletedanAustralianFederalgovernmentresearchgrantthatadvisedgovernmentofthechallenges thatsmallandmedium-sizedbusinessesfaceinbecomingenvironmentallysustainable.Inaddition,hewas amemberoftheAustralianAcademyofSciencesthink-tankonclimatechange.Hiseducationbeganat KingsCollege,UniversityofLondon,andheholdsaPhDfromtheAarhusBusinessSchool,University ofAarhus(Denmark).
AlanSimon
DrAlanSimon isaPrinciplesofManagementandEffectiveCommunicationslectureratTaylor’sCollege. PreviouslyhewasanassociateprofessorinmanagementintheUniversityofWesternAustralia’sBusiness Schoolforalmost14years,andretiredin2017.Hehas35years’universityteachingexperienceandmore than80publicationstohiscredit,includingseveralbooksandmonographs.Hehastaughtintroductory management,managingorganisationalchange,strategiccapabilitiesandorganisationalsuccess,and businessresearchmethodsatMonashUniversityandtheUniversityofWesternAustralia.Hehaswon ExcellenceinUndergraduateandPostgraduateTeachingAwardsatUWA,andwasawardedthePearson prizeforAustralianandNewZealandAcademyofManagementEducatoroftheYearin2012.His doctoratewasawardedbyRhodesUniversityandinithedevelopedanewmethodforconductingresearch.
AlanhasconsultedwidelytoindustryandgovernmentandheworkedandconsultedfortheP&S BusinessConsultingGroupinMelbourneformanyyears.Hehasalsodeliveredseveralshortcourseson management,bothinAustraliaandoverseas.Hisclientlist,tonameafew,includestheAustralianInstitute ofManagement,BarclaysBank,ComcaterCCE,CPAAustralia,Holden’sEngineCompany,LendLease, MainRoadsWA,MercorConsultingandPioneerConcrete.HewasamemberoftheAustralianandNew ZealandAcademyofManagementandtheBritishAcademyofManagementformanyyearsbeforehis semi-retirement.
Hehasplayedandcoachedcricket,rugbyunion,competitionsquashandmixedtouchrugby.Heisalso aboatingenthusiast,holdinganoffshoreskipper’sticket.
EllenMcBarron
EllenMcBarron isalecturerinmanagementandHRandisbasedattheBrisbanecampusoftheAustralian CatholicUniversity.Herbackgroundincludes30yearsinthefinanceindustry,wheresheleftasanational trainingmanagerin1999tomovetoacademia.Shehastaughtatbothundergraduateandpostgraduate levelsinBurma,Thailand,HongKongandChina.Ellenisanexperiencedmanagerandleader,actively researchingtheorganisationmanagementofexpatriates,andhasexperiencewithinternationalHRM, performancemanagement,socialentrepreneurshipandrefugeeemployability.Sheisactivelyinvolved insocialjusticeissueswithintheuniversitycommunity,andhasregularconsultancyworkwiththe QueenslandGovernmentandtheminingindustry.EllenwonaCarrickAwardforthedevelopmentof areplicableandsustainablemodelthatdeliversempoweringtertiaryeducationtocamp-basedrefugees.
FatimaJunaid
DrFatimaJunaid isalecturerintheSchoolofManagementatMasseyUniversity’sBusinessSchool situatedinPalmerstonNorth,NewZealand.ShepreviouslytaughtatvariousbusinessschoolsinPakistan foroveradecade.Shespecialisesinteachingintroductorymanagementandorganisationalbehaviour.
PriortomovingtoNewZealand,sheprovidedmanagementconsultingtolargecorporategroupsin Pakistan.ShehasdeliveredtrainingforpublicsectoremployeesundertheUSAID-fundedAssessmentand StrengtheningProgram(ASP).Shehasalsoplayedakeyroleindevelopingresearchskillsforemployees workinginAfghanistan’spublichealthsector.Shedeliversonlinetalksonwomen’sstressandmental healththatarewidelyviewedbygroupsofworkingwomeninPakistan.ShefluentlyspeaksPashto,Urdu andHindi.
FatimahasproducedkeyreportsonmanagementcapabilitiesinNewZealand.Sheiscurrentlyengaged intheHRsphereofNZ,assheworksondifferentprojects.ShehasalsoworkedaDISKEmember (DevelopingInstitutionalStrategyonKnowledgeExchange)projectatim|sciences;supportedbythe BritishCouncil,Pakistan andUniversityofSouthampton,UK.
FatimareceivedherPhDin2018.Herresearchlookedattheinterplayofjobstressandpost-traumatic stressdisorderinthecontextofterrorism,anditseffectsonemployeeoutcomes.Heropinionpieces appearregularlyinthenewspapers.Hermostrecentprojectinvolvesunderstandingthetraumaticstressors inemployeesworkinginChristchurch.Sheisanactiveresearcher,andareviewerforjournalsand conferences.
JaneTsakissiris
JaneTsakissiris isadirectorofHCDsquadPtyLtd.HCDsquadcreatesmeaningfulexperiencesfortheir clients,theirclients’customers,andtheirclients’workforcetalent.
Herprofessionalexperiencescoverabroadspectrumofindustriesandlocations.Shehasworkedfor privateandpublicorganisationsinprogrammanagement,projectmanagement,generalistmanagerial,consultancy,andbusinessanalystroles.Janecontinuestosupportnon-for-profitorganisationsinQueensland asaboardmember.
Janehasdegreesandcertificationsincompanydirectorship,business,ICT,projectmanagement,and education.
Jane’sdoctoralresearchintheQUTSchoolofCivilEngineeringandBuiltEnvironmentScienceand EngineeringFacultyinvestigatedstudentdigitalexperienceinacollaborativeblended-realitylearning 1environmentinhighereducation.HerMastersresearchinvestigatedhowprofessionalidentityandselfinterestworktogethertoinfluencethecareerchoicesoftheemergingInformationandCommunications Technologyworkforce.
JanehasworkedasasessionallecturerintheQUTBusinessSchoolandisanAssociateFellowof theHigherEducationAcademy.Herpublishedworksareinmanagementeducation,humanresource managementeducation,andtechnologyinhighereducation.Shehaspresentedasaninvitedspeakerat internationalconferencesinChina,aswellasinAustralia.
APPLICATIONSATA GLANCE Thereal-worldexamplesin Management,7thAsia–Pacificedition,havebeencarefullychosentoincludea balanceofsmalltomedium-sizedenterprisesandlargermultinationalcorporationsoperatinginourregion, andadiverserangeofrelevantproductandserviceindustries.
1 Thecontemporary workplace
Thecurrent Australianworkplace
2 Historical foundationsof management
3 Environmentand diversity
Lookingbackto lookforward
McDonald’sgoes‘Glocal’(globalisation)
Thechallengeofmanagingacrosscultures (diversity—Asian)
Routinesandprocesses:thefoundationsof organisationalcapability(counterpoint)
Theappealofthe‘flat’organisation—why somefirmsaregettingridofmiddlemanagers (counterpoint)
ClassicalmanagementintheHaierGroup (innovation—Asian)
Blackmoresrewardsstaffwithsliceofprofits (innovation)
Asia–Pacificleadersvalueautomation (globalisation—Asian)
Thinkaboutyourmanagementtheories (counterpoint)
Theproblemof workplacediversity inNewZealand
4 International dimensionsof management
5 Ethicalbehaviour andsocial responsibility
6 Sustainability
Uber:thegood,the badandtheugly
Interactionthroughscreensreplacesface-to-face contact(technology)
Carbontaxesandemissionstradingschemes (sustainability) Dirtymoney(ethics)
Queenslandwomenmotorcyclepolicebeatingthe odds(counterpoint)
Diversityandthemulticulturalorganisationin Singapore(diversity—Asian)
DoctorsWithoutBorders(globalisation)
Newchallengestoglobalisation:Trump,Brexit andChina’s‘OneBelt,OneRoad’initiative (counterpoint)
Australia,NewZealandandtheUnitedStates (diversity)
Supplyanddemandoflabour—aglobal phenomenon(globalisation)
Usingcorporate socialresponsibility fortheirown agenda?
Deoderantpowers cementproduction —areyoukidding?
Australia’smostethicalcompany?(ethics)
Bangladeshclothingfactories:aretheysafenow? (ethics)
CorporatesocialresponsibilityinSouth-EastAsia (sustainability—Asian)
Makingeventssustainable(sustainability) Amodernmanagementdilemma(globalisation)
7 Informationand decisionmaking
Whataretech companiesdoing aboutethicaluseof data?Notmuch
8 Planning PlanningforPort Shorts
9 Strategic management Qantas—enduring painforgain
Thedownsideoftechnologyandglobalaccess (globalisation)
Whyalgorithmswon’tnecessarilyleadtoutopian workplaces(counterpoint)
Planningforcorporatesocialresponsibility (socialresponsibility)
BPplansforagreenerfuture(sustainability)
Planningforinnovation(innovation)
Theabsurdityofplanninginarapidlychanging globaleconomy(counterpoint)
Thefutureofretailing(globalisation—Asian)
Whydoesstrategyfail?(counterpoint)
Risingnationalismandbusinessstrategy (diversity)
The‘gigification’ofdisabilityservices(innovation)
10 Organising
Doesthe‘no manager’company reallywork?
11 Controlling Controland cryptocurrencies (Asian)
12 Humanresource management
TheGooglewalkout isawatershed momentin21st centurylabour activism
Operationsbaseathomeorabroad? (globalisation)
Coulddownsizingbeagoodthing?(counterpoint)
Sexualassaultandharassmentintheworkplace (diversity)
Innovation,rubbishandsustainability (sustainability)
ApplePark:aspeciallydesignedHQ(technology)
Organisationstructureasaformofcontrol(social responsibility—Asian)
TheChineseperceptionofquality(counterpoint —Asian)
Threebusinessleadersonhowolderworkerscan boostyourbusiness(diversity)
DiscriminationatworkinAsia (counterpoint—Asian)
Ispsychtestingagreattooloragreat disappointment?(counterpoint)
Workingfour-dayweeksforfivedays’pay? Researchshowsitpaysoff(innovation)
Thegenderpaygap(counterpoint)
13 Leading Whenleadersfailto lead—Australia’s bankingsector
Whenwinningatallcostsisnotwinningatall —crisisintheleadershipofCricketAustralia (counterpoint)
Shouldtheinnovatoralwayslead?ElonMuskand Tesla’sbumpyride(technology)
Breastfeedingwhileincharge—theNewZealand leaderwhoshowsthewayforward(diversity)
14 Communicationand interpersonalskills Communication goesmobile
Thefragilityoforganisationalreputation (technology)
Selfawarenessandstaffengagement (counterpoint)
(continued)
15 Motivationand rewards
Atlassian’s ‘motivate-toinnovate’approach: anAustralian successstory
16 Individuals,job designandstress
Managingstressin Filipinostart-ups
GlaxoexposedinChinesescandal (globalisation—Asian)
PwCandBHPBilliton:creatingopportunitiesfor diversityandinclusion(diversity)
NovartisdrivesmotivationandleadershipinChina (globalisation—Asian)
TheriseofextrabenefitsinAustralia (counterpoint)
YoungChineseworkerswantsociablehours (socialresponsibility—Asian)
Asia–Pacificemployeesdissatisfiedinthe workplace(globalisation—Asian)
TheAustralianNetworkonDisability:recognising disabilityasadiversityissue(diversity)
PersonalanalyticsemergesinAsiaPacific:an ethicaldilemma(ethics)
Singaporeexecutiveskeenforflexiblework (socialresponsibility—Asian)
17 Teamsand teamwork
18 Leadingand managingchange
TeambehindCanva Australia’sbest workplaceawards
Howtheopen bankingAPIcould transformfinancial servicestobenefit consumers
IsthatHouston?Melbournetechcompany connects(technology)
Rewardtheteamortheindividual?(counterpoint)
DriversforsuccessatSocieteGenerateAsia Pacific(diversity)
Firsttherewasabrick,nowthere’saniPhone (technology)
Australia—aninnovativecountry(innovation)
Cryptocurrencytoattractadifferenttypeof traveller(counterpoint)
Potentialinconstraints:findingotheravenuesto exploitinaflourishingindustry(sustainability)
Chanceandfatedetermineorganisationalsurvival (counterpoint)
‘Dismal’lackofculturaldiversityinleadership sparkscallfortargets(diversity)
19 Entrepreneurship andnewventures
GenZ—thedigital entrepreneurs
20 Operations andservices management
Forgetsiestas, ‘greenmicro-breaks’ couldboostwork productivity
Entrepreneurialsuccessstories(innovation)
Embracingdiversitywhilebridgingthedivide betweensocialworkandbusiness:thesocial entreprenuer(diversity)
Mildura’sfirstcoworkingspaceopensforlocal entrepreneurs(technology)
FindingauniquepathforAustralia’s manufacturingfuture(sustainability)
Socialmediasuccess(technology)
TheInternetofThings(technology)
Thecontemporary workplace LEARNINGOUTCOMES Afterstudyingthischapter,youshouldbeableto:
1.1 discussthechallengesofthecontemporaryworkplace
1.2 describewhatorganisationsarelikeinthecontemporaryworld
1.3 understandwhomanagersareandwhattheydo
1.4 describethemanagementprocess
1.5 understandhowtolearnessentialmanagerialskillsandcompetencies.
OPENINGCASE ThecurrentAustralianworkplace Adecadeonfromtheglobalfinancialcrisis,today’s managersandemployeescontinuetofacearange ofcontentiousissuesintheworkplace.The2018 ClosingtheGapreportemphasisedcontinuing challengesinachievingequalityandprosperityfor IndigenousAustraliansandTorresStraitIslander peoples,includingineducationandemployment.1
The#MeToomovement,originallyexposingworkplacesexualharassmentintheUnitedStatesfilm industry,quicklyspreadtoAustralianshores.Bank misconductandparliamentaryleadershipspills causedwidespreadmistrustinourinstitutions.2
Environmentalissuessuchastheresponsibleminingandburningofcoalandtheuseofsingle-useplastic bagscontinuetobedebated.ButwhatinfluencehavethesescandalsanddebateshadontheAustralian workplace?Whatvaluesandidealsdotheyreflect?
Officially,badbehaviourintheworkplacewillnotbetolerated.Australianworkplacesareunder unprecedentedscrutinyforabuseofpower,corruptionandimproperpractice.Ifstakeholdertrustis compromisedororganisationsarefoundtoexploitworkersorpollutetheenvironment,thoseinauthority arelikelytobeheldaccountable,publiclyandquickly.
Unofficially,however,abuseofpowerandpeoplecontinues,andtheemploymentrelationshipisfraught withcomplexities.Hierarchyand‘acceptedorder’inorganisationsisalsoincreasinglyunderchallenge. Respectforauthorityisnolongeragiven,andstandardsforwhatconstitutes‘goodmanners’andcivility intheworkplaceareinflux.Workplacebullyingisincreasinglyseenastotallyunacceptable,yetstilloccurs andisfrequentlypublicisedinthemedia.
Technologyintheworkplaceisseenasbothservantandmaster.Welikewhatitcandoforusbutnot whatitdoestous.Someresentitsimpactonourelusivework–lifebalance.Welikeapsinourtechnology thatmakeroutinetaskseasy,butwecomplainaboutthefloodofemailswehavetomanageeveryday. Wearestillfiguringouthowtoworkwithrobots.
Morethananything,wewantapeacefullifethatletsusworkunhinderedbyracial,religious,age-based andgender-baseddiscrimination.Gradually,buttooslowly,weareaddressinginequalityofopportunity. Webelievewearethe‘luckycountry’andthe‘landofthefairgo’,butdoestherealitymeetour expectations?ManyAustralianspridethemselvesontheirsunnyoptimismanda‘she’llberight’attitude —let’shopetheyareprovenright.
QUESTION Howhastheworkplacechangedinthepast20yearsandwhataretheimplicationsofthesechanges? Wherearethetrendslikelytotakeusinthenext20years?
Introduction The21stcenturyhasbroughtdemandsforanewworkplace—oneinwhicheveryonemustadaptto arapidlychangingsocietywithconstantlyshiftingexpectationsandopportunities.Learningandspeed are in;habitandcomplacencyare out.Organisationsareevolving,asisthenatureofworkitself.The globaleconomyissustainedbyinnovationandtechnology.Eventheconceptofsuccess—personaland organisational—ischangingascareerstakenewformsandorganisationstransformtoservenewcustomer expectations.Suchdevelopmentsaffectusall,offeringbothunparalleledopportunityandunprecedented uncertainty.Inthisageofcontinuouschallenge,acompellingmessagemustbeheardbyallofus—smart peopleandsmartorganisationscreatetheirownfutures!3
Inthequestforabetterfuture,thebestemployersshareanimportantcommitmenttopeople.Amid highperformanceexpectations,theyoffersupportiveworkenvironmentsthatallowpeople’stalentsto befullyusedwhileprovidingthemwithbothvaluedrewardsandrespectforwork–lifebalance.Inthe bestorganisationsemployeesbenefitfromflexibleworkschedules,onsitechildcare,onsitehealthand fitnesscentresanddomesticpartnerbenefits,aswellasopportunitiesforprofitsharing,cashbonusesand competitivesalaries.Inshort,thebestemployersarenotjustextremelygoodatattractingandretaining talentedemployees.Theyalsoexcelatsupportingtheminahigh-performancecultureworkplacesothat theirtalentsarefullyusedandtheircontributionshighlyvalued.
Today’sdynamicnewworkplacealsohashugeimplicationsforhowindividualsmanageandshape theircareers.Employeesareincreasinglycommittedtotheirowndevelopment.Theiraimiscontinuous improvementinordertooptimisetheirchancesofemployment.Fewerandfeweremployeesdependonan organisationfortheiridentityandtheyarenolongercommittedtojustoneemployer.
Afterstudyinghigh-performingcompanies,managementscholarsCharlesO’ReillyandJeffreyPfeffer concludedthatthosecompaniesachievesuccessbecausetheyarebetterthantheircompetitorsatgetting extraordinaryresultsfromthepeopleworkingforthem.‘Thesecompanieshavewonthewarfortalent’, theysay,‘notjustbybeinggreatplacestowork—althoughtheyarethat—butbyfiguringouthow togetthebestoutofalloftheirpeople,everyday’.4 This,iswhat Management andyourmanagement courseareallabout.Botharedesignedtointroduceyoutotheconcepts,themesanddirectionsthatare consistentwiththesuccessfulmanagementoforganisationsintoday’shigh-performanceworksettings. Asyoubegin,considerfurtherthechallengeposedbythetitleofO’ReillyandPfeffer’sbook: Hidden Value:HowGreatCompaniesAchieveExtraordinaryResultswithOrdinaryPeople.Letyourstudyof managementbedevotedtolearningasmuchasyoucantoprepareforacareer-longcommitmenttogetting greatthingsaccomplishedthroughworkingwithpeople.
1.1Workingintoday’seconomy LEARNINGOUTCOME1.1 Discussthechallengesofthecontemporaryworkplace. Aspainfulastheglobalfinancialcrisisbecame,wenowliveandworkinapost–globalfinancialcrisis economy,markedbychallengingopportunitiesanddramaticuncertainty.5 Itisanetworkedeconomy inwhichpeople,institutionsandnationsareincreasinglyinfluencedbytheinternetandcontinuing developmentsininformationandcommunicationstechnology(ICT).6 Whereoncetheinternetwasthe keytoanexcitingfuture,understoodbyonlyafew,itisnowexpectedasathresholdtechnologyand relieduponroutinelybythemany.Massiveconnectivitybetweensystemsandpeopleandcomprehensive automationofseeminglyalloureverydayprocessesisnowsimply‘businessasusual’.Theneweconomy isaglobaleconomywhosescopeincreasesdaily.Thenationsoftheworldandtheireconomiesare increasinglyinterdependent,andthisglobalisationgeneratesgreatchallengesaswellasopportunities. Theneweconomyisknowledge-driven.Wemustallacceptthatsuccessmustbeforgedinworkplaces reinventedtounlockthegreatpotentialofhumanintelligence.Thehigh-performancethemesoftheday are‘empowerment’,‘respect’,‘participation’,‘flexibility’,‘teamwork’,‘creativity’and‘innovation’.
Undoubtedly,theneweconomyisperformancedriven.Expectationsoforganisationsandtheirmembers areveryhigh.Successisnotguaranteed,butmustbeearnedinasocietythatdemandsnothingless thanthebestfromallitsinstitutions.Organisationsareexpectedtocontinuouslyexcelonperformance criteriathatincludeinnovation,concernsforemployeedevelopmentandsocialresponsibility,aswell asmoretraditionalmeasuresofprofitabilityandinvestmentvalue.Whenorganisationsfail,customers, investorsandemployeesarequicktoletthemknow.Forindividuals,therearenoguaranteesoflongtermemployment.Jobsaresubjecttoconstantchange.Increasinglytheymustbeearnedandre-earned everydaythroughperformanceandaccomplishments.Careersarebeingredefinedintermsof‘flexibility’, ‘skillportfolios’and‘entrepreneurship’.Today,ittakesinitiativeanddisciplineandcontinuouslearningto navigateone’sowncareerpath.Tomorrow’schallengesarelikelytobeevengreater.Whatthenaresome ofthechallengesaheadformanagers?
Intellectualcapital Thedynamicpathwaysintothefutureareevidentamongnewbenchmarksbeingsetinandbyprogressive organisationseverywhere.Manywillbeintroducedthroughout Management.Whatwillbecomeevident isthattheultimatefoundationsofanorganisation’ssuccessareitspeople—whattheyknow,whatthey learnandwhattheydowithit.Theycarrynotjustthecorporatememory,butalsorepresentthefirm’s intellectualcapital —definedasthecollectivebrainpowerorsharedknowledgeofaworkforcethat canbeusedtocreatevalue.7 Indeed,theultimateeleganceofthenewworkplacemaywellbeitsability tocombinethetalentsofmanypeople,sometimesthousandsofthem,toachieveuniqueandsignificant results.
Thisistheageofthe knowledgeworker —someonewhosemindisacriticalresourceforemployers andwhoaddstotheintellectualcapitaloftheorganisation.8 Ifyouwantasuccessfulcareerinthenew economyyoumustbewillingtoreachfortheheightsofpersonalcompetencyandaccomplishment.
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