Exam 1 outline

Exam 1 outline - BMGT364 EXAM 1 OUTLINE 1. Management and...

Info iconThis preview shows pages 1–3. Sign up to view the full content.

View Full Document Right Arrow Icon
BMGT364 EXAM 1 OUTLINE 1. Management and Organization Theory Believing that management is common sense produces some dangerous half truths o Financial incentives drive company performance Get the rewards right and everything else will follow Financial incentives are very important for driving company performance Reward systems signal what is important, and therefore, focus attention Money motivates and directs behavior Incentives matter but… Sometimes you get what you pay for, but don’t want it Surveys show that people at work are motivated by many factors that they rate as more important than money Extrinsic incentives can undermine intrinsic motivation Monetary rewards are expensive and lose their effectiveness – a raise is only a raise for 30 days, then it is your salary o Strategy is #1 Companies spend most of their emphasis on consulting dollars on strategy. Strategy consulting is more expensive and higher end than HR or IT implementation The logic is that doing the wrong thing well is a recipe for failure. Success comes from knowing what to do to compete effectively Strategy is #1 but… What is difficult to imitate is the ability to execute, which comes from culture and processes that are harder to ascertain and more difficult to copy Richard Kovacevich- CEO of Wells Fargo Bank- “I could leave our strategic plan on a plane, and it wouldn’t matter. No one could execute it. Our success has nothing to do with planning. It has to do with execution.” o The company with the best people wins Hiring talent is the path to success, and the best organizations have the smartest people Research shows that in many tasks such as computer programming, the most productive out-produce the least productive by many times, and therefore, selection matters The people make the place, in that even an organization’s culture and climate come from the types of people who are recruited Selection does matter but… Talent is neither fixed nor necessarily easily assessed The quality movement maintains that it is the SYSTEM that determines performance, not individual ability or motivation Numm i: New United Motor Manufacturing, Inc. o Pontiac Vibe, Toyota Corolla, Toyota Tacoma o Plant size: 5.3 million square feet o Provided a comparison- productivity and quality of the same people, different system- GE and Nummi Overall Production GE: 43.1 hours per car… NUMMI: 20.8 hours per car Adjusted Production GE: 30.8 hours per car… NUMMI: 19.6 hours per car Quality index GE: 2.6-3.0… NUMMI: 3.6-3.8 Evidence-Based management o A way of thinking The attitude of wisdom-knowing what you know and knowing what you don’t know
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Being committed to “fact based” and “evidence based” action o Running experiments and learning from the data Video: Las Vegas, Inc Harrah’s competitive advantage= computer system called Decision Total rewards = Loyalty program
Background image of page 2
Image of page 3
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 32

Exam 1 outline - BMGT364 EXAM 1 OUTLINE 1. Management and...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online