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s313.c12.fa10 - SOC 313 Survey of Sociology of Work Monday...

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Unformatted text preview: SOC 313: Survey of Sociology of Work Monday, 01 November 2010 Most important… soc 313 • Do take ownership of your education in this class by completing all reading and writing assignments on time and participating in on‐line discussions. • Read each of the assigned textbook chapters before Instructor: QUINCY EDWARDS viewing the supplemental Powerpoint presentations. • Laulima is the University of Hawai‘i on‐line course SURVEY OF SOCIOLOGY OF WORK management system. Links to the discussion board and other salient features are provided at: https://laulima.hawaii.edu/ THE SOCIAL ORGANIZATION OF WORK (4TH ED.) Online Fall 2010 Instructor: Quincy Edwards OCCUPATIONS AND PROFESSIONS PART IV SOC 313: SURVEY OF SOCIOLOGY OF WORK Occupations and Professions Managers—a category that includes a large number of occupational specialties found in every industrial setting, because every industry needs at least some specialized workers who direct and oversee the production of goods and services. CHAPTER 12 …and other readings Managers 1 SOC 313: Survey of Sociology of Work Monday, 01 November 2010 Chapter Outline… • Types of Management Roles • Executives, Managers, and Administrators at Work Managers… Executives, managers, and administrators organize and coordinate work and make decisions about production, finances, and the hiring, firing, and deployment of other workers. These responsibilities do not imply, however, that managers act unilaterally; even the “boss” faces limitations. • Continuities and Discontinuities in Management Roles • Tracking Management Performance • The Future of Executives, Managers, and Administrators. Types of Management Roles… Generic term Manager refers to: 1. Executives 2. Managers Types of Management Roles 3. Administrators. In labor relations, management is distinguished from labor by its responsibility for maintenance and growth of the employing organization. Managers defined principally in relation to their employing organization—not in relation to their occupational group. • They do not necessarily share a common base of knowledge. • Entry into management not restricted by need for licensure or certification. Providing leadership and coordination—essential to management jobs. Types of Management Roles… EXECUTIVES Refers to workers at the very top of a workplace bureaucracy: • U.S. president—Chief executive. • Within government—Executive branch refers to all agencies that carry out government programs. • Top officers of most corporations and agencies—Executives. Types of Management Roles… MANAGERS Today’s management is different from previous centuries’ management for two basic reasons: 1. Today’s enterprises are far larger, more geographically dispersed than the early farms and factories. 2. Today, ownership is also more dispersed. The modern corporation is… OWNED BY MANY SHAREHOLDERS WHO ELECT… A BOARD OF DIRECTORS THAT APPOINTS… CORPORATE EXECUTIVES WHO APPOINT… THE MANAGEMENT TEAM WHO… Receives its authority from the board of directors. 2 SOC 313: Survey of Sociology of Work Monday, 01 November 2010 Types of Management Roles… ADMINISTRATORS • Administrators in elaborate and complex government agencies—assist in developing and enforcing policies. • Today, top managers of nonprofit firms—often called administrators. • Specialized officers at college or university—recognized as administrators. • Hospitals, nursing homes, and similar institutions—often headed by an administrator. Types of Management Roles STAFF AND LINE MANAGERS Executives, managers, and administrators can also be distinguished by whether they have line or staff responsibility. • Line manager—supervises workers directly involved in production process. Typically have substantial numbers of lower‐level supervisors and workers who report directly to them. • Staff manager—provides or supervises a service that is necessary to the organization but not its major product or service (accounting, maintenance, legal services, personnel, purchasing). When restructuring, many companies outsource these staff functions. Executives/Managers/Administrators at Work… Workers attracted to management—its duties are varied; some measure of autonomy and authority. Compensation—depends on experience and employing organization. Executives, Managers, and Administrators at Work $6,000 $5,000 In 2005, the median weekly earnings were… $4,000 $3,000 $2,000 $1,000 $0 FULL‐TIME WORKER For top executives, compensation is much higher. MALE MANAGER FEMALE MANAGER EXECUTIVE Top corporate executives in U.S. among best compensated workers—salaries, bonuses, fringe benefits, and perquisites easily make them multimillionaires. Executives/Managers/Administrators at Work… DEMAND FOR MANAGERS Within a firm, demand for managers—function of technology and organization. • Span of control—technology may alter the number of workers a manager supervises which, in turn, affects number of managers required. • Steepness of hierarchy—the levels of supervision required. • Top management, or executives—may negotiate in their hiring contracts for compensation if a merger, acquisition, or reorganization leads to loss of their jobs. Severance pay provisions sometimes lavish—”golden parachutes.” Executives/Managers/Administrators at Work… DEMAND FOR MANAGERS (CONTINUED) • Recently, organizational changes have reduced long‐term job security of managers. • Some organizations have reduced managerial staff due to: Foreign competition New technology Deregulation Other financial issues. Even very small firms must have managers. • During 1990s, downsizing flattened the company hierarchy by reorganizing in ways that laid off some middle managers. Executives decided their companies were too fat and needed to become “lean and mean.” • Willingness to lay off more workers—becoming a sign of managerial ability. • Middle managers—continued targets for job shedding. 3 SOC 313: Survey of Sociology of Work Monday, 01 November 2010 Executives/Managers/Administrators at Work… THE SELF‐EMPLOYED WORKER • Less than 8% of U.S. labor force—self‐employed. Much Executives/Managers/Administrators at Work… THE SELF‐EMPLOYED WORKER (CONTINUED) • Failure rate of small businesses is very high. Between 2000 and 2001— higher proportion of self‐employed among certain groups, such as immigrants. • 33% of self‐employed—professional and business services, 585,000 new businesses opened, but 553,000 small businesses closed. • A small business owner can share partial risk of ownership by or education and health services. • Self‐employed—commonly found in retail trade; personal purchasing a franchise. Requires large investment in time and money, but customers recognize nationally advertised product. Franchisee agrees to run business according to conditions set down by national organization, provides capital; hires and supervises workers; arranges purchasing, accounting, and other services, and oversees daily operations. services. Executives/Managers/Administrators at Work… SUPPLY OF MANAGERS • In recent years, women have advanced into management positions. • About37% of all managers are women. Some firms have a two‐track system of promotion to management—the “mommy track” having less complicated jobs, lower mobility requirements, and ceiling on managerial promotions. • In 2005, only 6% of all executive, managerial, and administrative workers—black; only 6.3%— Hispanic; and 4.2%—Asian. • Social class, education—affect recruitment to management. Holding advanced degree and having upper‐class background—useful for joining formal and informal networks inside and outside corporation; networks useful for career moves within corporation. Executives/Managers/Administrators at Work… SUPPLY OF MANAGERS (CONTINUED) • Middle managers—more likely to come from middle‐class or working‐class origins, and to have graduated from small state colleges or denominational colleges. • In some industries (auto repair services, retail sales), majority of manages do not have college degrees. Position within management may represent social mobility from their parents’ positions. Work conditions may be grueling. • Middle managers often experience “ceiling effect”—reach level within the firm above which they cannot pass. • Business proprietors and other self‐employed workers—often have backgrounds similar to middle managers, but not so likely to have college degrees. Many have specialized training and skills (independent craft workers and professionals). Executives/Managers/Administrators at Work… THE MANAGERIAL CAREER In large firms, marked by number of transitions. • Initiation—Intended to be training period. New manager works long hours and often long weeks; to refuse assignments without very good cause makes superiors wonder aloud if manager is really committed and “has what it takes.” (This period of overwork also characterizes some professional workers—medical interns, new associates in law firms, beginning university faculty.) • Frequent transfer—Ostensibly provides adequate staffing for firm and teaches manager new skills. Recurrent moves—difficult for manager’s family to become involved in community or have many friends outside company. Limiting ties with other groups increases manager’s reliance on the corporation as source of income identity, and prestige. Executives/Managers/Administrators at Work… THE MANAGERIAL CAREER (CONTINUED) Most successful managers have mentors during early years in the company. • Typical mentor—two levels higher than the manager; serves as role model, protector, adviser, and cheerleader. • Many management jobs ambiguous—companies act in climate of uncertainty. The mentor can provide a road map for understanding. • Mentors may warn of interdepartmental “dirty tricks”—teach protégés how to protect themselves while giving appearance of being good team players. • Eventually, mentor and protégé part ways—part of developing the protégé’s separate identity—sometimes with hard feelings on both sides. • As the protégé becomes better established, their friendship is renewed and sometimes develops into a long‐lasting relationship. 4 SOC 313: Survey of Sociology of Work Monday, 01 November 2010 Executives/Managers/Administrators at Work… THE MANAGERIAL CAREER (CONTINUED) Often encounters barriers. (See Table 12.1, Percentage of Respondents Mentioning Principal Barriers in Their Corporate Career, by Sex, on p.290 in text.) • Typically, there is a period of pruning—Some managers are promoted and others are encouraged to leave. • Managers may also find themselves rechanneled into by‐waters of the corporations—often staff positions that are not rungs on a career ladder. • Managers walk a fine line between too obviously advancing their careers and being perceived only as team players (insufficiently loyal and insufficiently ambitious). (See Box 12.2, Whose Idea Was It? on p.291 in text.) • Promotion to higher levels—often “political,” based on something other than technical qualifications. Corporate ideology maintains—firm is meritocracy; those at top have achieved positions by accomplishments. Executives/Managers/Administrators at Work THE MANAGERIAL CAREER (CONTINUED) In recent years, many question ethics of managers in U.S. corporations, citing: • • • • Managers’ bribery of overseas officials. Tolerance for unsafe products and production facilities. Efforts to evade regulation and statutes. Conspiring to fix prices. • Recent accounting frauds further undermined public confidence. Collapse of corporations—Enron, Global Crossing, Tyco International, and World‐Com—caused loss of billions of dollars to shareholders, and loss of employees’ jobs and pensions. Prominent corporate executives were subsequently jailed. • New government regulations, especially the Sarbanes‐Oxley Act*—have been developed to try to eliminate false or misleading misrepresentations of corporation’s financial condition and to require corporate boards to justify executives’ compensation and perks. * Provides a complete cross‐referenced index of SEC filers, audit firms, offices, CPAs, services, fees, compliance/enforcement actions and other critical disclosure information. Executives/Managers/Administrators at Work THE MANAGERIAL CAREER (CONTINUED) Ex‐Enron treasurer Glisan given immunity in trial By MARY FLOOD, Copyright 2004, Houston Chronicle Oct. 6, 2004, 4:34PM The judge in the first Enron criminal trial gave immunity to ex‐Enron treasurer Ben Glisan Jr. from all state and federal criminal charges from his testimony, except for perjury, paving the way for Glisan to testify. Glisan, the ex‐treasurer of Enron who is currently serving a five‐year prison term, is expected to testify that he tried to get Merrill Lynch to let Enron postpone its promised repurchase of three Nigerian barges but was refused an extension. "I felt it was my job to help Enron look stronger than it was," Glisan told the jury this afternoon. Glisan told the jury that he did wrong in the Nigerian barge deal by failing to warn management about an improper deal. "It was a simple transaction in which Enron reported the sale of an asset which Enron didn't really sell," Glisan said. He said he worried that Enron's reputation in the financial world would be tainted by pushing so hard on the relatively small barge deal, when it was improper. Glisan was brought into court before Judge Ewing Werlein Jr., this afternoon in prison‐greens and invoked his Fifth Amendment right not to incriminate himself. The judge then granted Glisan immunity, honoring an Enron Task Force request that Glisan, who has not entered into a cooperating agreement with the government, be granted immunity The judge this morning ordered prosecutors to provide defense attorneys with bits and pieces of grand jury testimony and FBI reports in anticipation of the government calling Glisan to the stand this afternoon. An e‐mail from Glisan, already in evidence, states, "To be clear, (Enron) is obligated to get Merrill out of the deal on or before June 30." Prosecutors hope to use Glisan to prove to the jury that there was an oral side deal that Enron executives believed bound the company to buy back the barges only sold to the bankers so Enron could add profit to its 1999 earnings. The government alleges that promise was at the heart of conspiracy and fraud…. Continuities and Discontinuities in Management Roles Continuities/Discontinuities: Management Roles… CHANGES IN SCALE • Today’s agencies and corporations—larger and more bureaucratized than governments and companies of the past. • Several layers of managers—each coordinating and monitoring layers below. • Distinctions among top management (executives), middle management, and first‐line supervisors (foremen). • First‐line supervisors—not considered part of management by some organizations. • In large, bureaucratized workplaces, average manager must think about the horizontal and vertical dimensions of bureaucracy. Continuities/Discontinuities: Management Roles… CHANGES IN SCALE (CONTINUED) • Horizontal dimension—development of functional units that perform discrete tasks (e.g., factory with separate departments for purchasing, personnel, production, maintenance, and shipping). • Manager’s job to ensure that his/her own unit is performing satisfactorily and that its job is coordinated with those of other units. • Functional units of conglomerate (company made up of companies)—may be separate corporations. If these units are autonomous, coordination among them may be key function of top management. 5 SOC 313: Survey of Sociology of Work Monday, 01 November 2010 Continuities/Discontinuities: Management Roles… CHANGES IN SCALE (CONTINUED) • Vertical dimension—bureaucratic hierarchy of the workplace. • Workplaces now larger—coordination by managers; accomplished by adding layers to the hierarchy. • Typical manager reports to superior who, in turn, reports to other superiors. • Number of layers in hierarchy—the steepness of an organization. • Steeper organizations experience greater communication problems due to need for information to be accurately transmitted up/down corporate chain of command. • Flatness (few vertical layers)—desirable attribute for corporations wishing to be agile in responding to changing conditions. Continuities/Discontinuities: Management Roles… CHANGES IN ENVIRONMENT • Organization will survive only if it is successful in its exchanges with others in its environment. • Exchanges can be cooperative (e.g., those between suppliers and purchasers). • Exchanges can be competitive (e.g., those between organizations producing same goods or services). • Relationships with regulatory agencies, consumer organizations, lenders, and possible merger partners—range from quite friendly to fiercely adversarial. • Monitoring and responding to changes in environment –among most important tasks of contemporary managers. (See Box 12.3, Staying Competitive, on p.293 of text.) Continuities/Discontinuities: Management Roles… CHANGES IN SPECIALIZATION • In small firms, managers know entire business—job varied; requires a range of skills. • In large firms, specialization required. Some managers trained to assume one particular management function. Some managers have experience within specific organization. Continuities/Discontinuities: Management Roles… CHANGES IN SPECIALIZATION (CONTINUED) • Line managers—bureaucratic authority over production of goods or services. Staff managers—provide ancillary or auxiliary services to line managers. For example: Line managers know about technology/equipment used in production. Staff managers responsible for accounting, legal services, personnel management, etc. • Today, sharp distinction often made between first‐line supervisors (at top of job ladder) and middle managers (recruited directly from outside; often with credential that foremen do not have). • First‐line supervisor—at top of one career ladder. Middle management positions—entry ports and first run on another career ladder within management. Continuities/Discontinuities: Management Roles… CHANGES IN TECHNOLOGY Technology affects how managers manage: • People • Production • Information. Allows electronic eavesdropping on speed and accuracy of workers. Expands the span of control of managers. Fewer managers needed. Increased volume of information implies need for more managerial interpretation. More managers needed. Continuities/Discontinuities: Management Roles… CHANGES IN TECHNOLOGY (CONTINUED) Technology affects manager’s knowledge of production in many ways. • Requires manager to learn new techniques. • Leads to changes in size and characteristics of company’s workforce. • Staffing ratio decided by management—has major effect on number of managers. Or managers may decide to maintain same staffing ratio —reorganize work into two shifts or other ways to redeploy existing workforce. Technology also affects manager’s information base—dramatically expanding available information. • May suffer from “information overload” or may receive conflicting types of information (must decide which data are reliable). Indecision on appropriate staffing ratios of managers to other workers—one reason for succeeding rounds of employment and layoffs in management suites. 6 SOC 313: Survey of Sociology of Work Monday, 01 November 2010 Tracking Management Performance… • Managers must simultaneously seek good relationships with subordinates, peers, and superiors. • At the same time—directing, coordinating, and planning. Tracking Management Performance • Paying attention to daily operations, and the company’s long‐range goals and objectives. • Job aspects to be emphasized will change from day to day. • Sociologists have developed several ways to investigate job performance of managers, two of which are: 1. Micro‐level: Behavioral—based on observation of individual managers. 2. Macro‐level: Organizational cultures—generalizes from studies of large numbers of managers to develop more abstract management styles. Tracking Management Performance… THE BEHAVIORAL APPROACH Emphasizes how managers choose to perform their roles from among many activities available to them. According to Henry Mintzberg (1973), managers play ten major roles: 1. 3. 5. 7. 9. Figurehead Liaison Disseminator Entrepreneur Resource allocator 2. Leader 4. Monitor 6. Spokesperson 8. Disturbance handler 10. Negotiator. Tracking Management Performance… THE BEHAVIORAL APPROACH (CONTINUED) One study of successful/unsuccessful managers used checklist in Box 12.4 to identify what successful managers really do on the job. Identified the successful managers through their relatively rapid promotion records: • More likely to “network” with subordinates and superiors. • Served to maintain good horizontal and vertical relationships. Must also maintain good relationships with outsiders who affect environment of firm. • Then when important information exchanged—in good position to receive or transmit it. • Also more oriented toward conflict management; spent more time on decision‐ making, planning, coordinating. Can be substantial variation in how two managers perform same job. (See Box 12.4, A Checklist for Managers, on p.297 of text.) Nevertheless, compared to counterparts in other industrialized countries, American managers—accused of failing to make good decisions or failing to emphasize most important roles in their job. (See Box 12.4, How American Managers Fail, on p.298 in text.) Tracking Management Performance… THE ORGANIZATIONAL APPROACH Identifies unique features of organizations that affect the behavior of managers as a group. Major components of organizational culture: climate, supervisory leadership, peer leadership, and group process. These components affect production costs and financial outcomes; individual workers and their behaviors (absenteeism, job satisfaction). Tracking Management Performance… THE ORGANIZATIONAL APPROACH (CONTINUED) Scientific management (Theory X)—views workers as motivated principally by economic rewards (paternalistic). In this culture, successful manager pays close attention to vertical relationships. Human relations approach (Theory Y)—views workers as motivated both by extrinsic rewards (money) and intrinsic rewards (job satisfaction). Managers expected to pay close attention to their relationships with their subordinates. Theory Z (much closer, almost fraternal relationship between managers and workers)— views workers as highly trained and skilled partners in production; often recommended for managers who supervise knowledge workers. Efficient production requires teamwork by managers and workers. Because Theory Z emphasizes worker participation in some decision‐making—associated with such organizational practices as climate surveys (assess workers’ perception of workplace, and quality circles (informal discussion groups of workers from various levels of organization who meet periodically to discuss improving work process and product). 7 SOC 313: Survey of Sociology of Work Monday, 01 November 2010 Future of Execs., Mgrs., and Admins. • Bureau of Labor Statistics predicts 11.3% growth in managers, between 2004 and 2014. • As organizations change, number of managers will change, and tasks they perform will change. • At issue… How much the public trusts top managers, and what is the perceived accountability of managers? • Very high salaries of top managers not always correlated with top performance. • Corporate boards and general public—not fully able to evaluate performance. • Large spread between best‐paid and worst‐paid people—usually due to actions of managers—associated with lower performance, lower productivity, and decreased employee engagement. The Future of Executives, Managers, and Administrators. Review… • Managerial occupations vary among firms, and within firms. • Self‐employed proprietors are managers; top executives of multinational corporations are managers. Quick Review • In common—necessity to make decisions, control and allocate resources, provide for maintenance and growth of organizations. • Management behavior and organizational climates—how managers can improve on fitting in the many roles of their job. • Serious issues of values raised—top executives and their excessive pay, lack of accountability, deliberate falsification of corporation information, overemphasis on short‐term results. • Management jobs—have tended to be strongly limited by race, gender, and social class. At this point, you should be able to: 1. Distinguish among executives, managers, and administrators, and to explain the difference between staff and line managers. 2. Describe factors that affect the supply and demand for managers, including self‐employed and franchisee positions. 3. Discuss the stages of the managerial career. 4. Discuss scale, environment, specialization, and technology as factors that affect managers. 5. Explain the terms staffing ratio, span of control, and steepness of hierarchy. 6. Describe the behavioral approach and the organizational culture approach as alternative ways of assessing managers’ performance. Ch.12 Discussion Why should the public and elected officials be concerned about the honesty of accounting in large corporations? Proceed to discussion link at Laulima and engage! 8 ...
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