CH-3 Supervisory Planning – Supervision: Concepts and Practices of Management : Book Guide

Chapter 3 Supervisory Planning Learning Objectives 1. Define planning and explain why all management functions depend on planning. Planning is the managerial function that determines what is to be done. It includes analyzing the situation, forecasting events, establishing objectives, setting priorities, and deciding what actions are needed to achieve objectives. Planning is a function of every manager, from the top-level executive to the supervisor. Without planning, there is no direction to organizational activities. 2. Explain how visioning and mission statements provide the foundation for strategic planning. The notion that “if you don’t know where you want to go, then you may not be happy when you arrive” best illustrates why one needs to develop well-defined personal (and organizational) objectives. Setting the foundation for the creation of a vision are questions such as: “What businesses are we really in? What products, goods, or services do current or potential customers need? How can we best meet customer needs while making a reasonable return on our investment?” A mission/values statement identifies the purpose, philosophy, and direction for the organization. Visioning goes beyond the mission statement. Visioning is the process of developing a mental image of what the organization could become. Once defined, the mission and vision must be communicated so that everyone knows where the organization intends to be. Visioning can thus help focus company goals and objectives. The organization develops plans based on the vision. 3. Discuss the need for well-defined organizational goals and objectives, particularly as they relate to the supervisor. When one has determined where one wants to get to, setting stretching, measurable, accountable, realistic, and time-limited (SMART) objectives is the next step. Although overall goals and objectives are determined by top-level management, supervisors formulate departmental objectives, which must be consistent with organizational goals and objectives. Objectives should state what should be done and when. 4. Describe the supervisor’s role in synchronizing his or her plans with organizational plans. While overall organizational goals and objectives are determined by top-level management, supervisors must formulate objectives related to their areas of responsibility. The supervisors’ plans must be consistent with those of upper-level management. Supervisors devote most of their attention to short-term (operational) plans that complement the organization’s vision, mission, and overall strategies. Everyone is responsible for planning. Of course, the supervisor should consult with others to develop plans that are consistent with those of upper-level management. Supervisors devote most of their attention to short-term planning. The supervisor’s short-term plans should be integrated and coordinated with the long-term plans of upper-level management. Supervisors must communicate to employees what is being planned in a timely fashion. 5. Summarize management by objectives (MBO). A management by objectives (MBO) approach relies on participative setting of objectives and using those objectives as the primary basis for assessing performance. The four-step process shown in Figure 3.4 begins with the development of SMART objectives. This step serves as the foundation for determining necessary resources, the activities that must be carried out, and the results that are to be worked toward. MBO ties planning activities together, establishes priorities, and provides coordination of effort. MBO-type approaches, which may be called other things, usually involve objectives being agreed upon by employees and their supervisor. Periodic reviews ensure that progress is being made. At the end of the appraisal period, results are evaluated against objectives, and rewards are based on this evaluation. Objectives for the next period are then set, and the process begins again. 6. Identify the major types of standing and single-use plans and explain how these plans help supervisory decision making. To attain objectives, standing plans and single-use plans must be devised. Top-level managers typically develop company-wide policies, procedures, methods, and rules; supervisors formulate the necessary subsidiary standing plans for their work units. Policies are guides for decision making, and most originate with higher-level management. Most employees are familiar with their organization’s human resources (HR) policies. The supervisor’s primary concern is interpreting, applying, and staying within policies when making decisions for the department. Policies are more likely to be followed consistently if they are written. Procedures, like policies, are standing plans for achieving objectives. Procedures specify a sequence of actions that guide employees toward objectives. The supervisor often develops procedures to determine how work is to be done. The advantages of procedures are that they require analysis of what must be done, promote uniformity of action, and provide a means of appraising employees’ work. In addition, the supervisor will be called on to design and follow methods and rules, which are essentially guides for action. Methods and rules are more detailed than procedures. A rule is a directive that must be applied and enforced wherever applicable. Supervisors should help establish budgets for his or her areas of responsibility. These single-use plans are expressed in numerical terms. A budget serves as a control device that enables the supervisor to compare results achieved during the budget period against the budget plan. Supervisors at times may play a small role in developing projects, which are single-use plans designed to accomplish specific undertakings on a one-time basis. 7. Describe how the supervisor plans for efficient and effective resource use. Planning serves to use human and physical resources to their potential. Planning how best to use a firm’s material, capital, and human resources is essential. Supervisors must plan for the efficient use of the department’s space and major physical resources. Such planning may include close coordination with the maintenance department and/or other staff. A major problem has been the loss and theft of materials, supplies, merchandise, data, and other company property. Supervisors must ensure that adequate security precautions are taken to discourage individuals from misusing or stealing items. Issues with Internet freedom and easy access have led to many breaches of security, identity theft, and misinformation being posted. Supervisors should have a general understanding of all safety requirements. Safety committees and safety programs help planning initiatives and bring about safe work environments. Planning for the full use of employees is at the core of professional supervision. Planning work schedules for employees includes establishing reasonable performance requirements and anticipating overtime requirements and absences. Many organizations are experimenting with various types of alternative, part-time, and temporary work schedules. Time is one of the supervisor’s most valued resources. Everybody has the same amount of it, so time is not the problem; the problem is how we use it. Therefore, supervisors must plan and manage their own time if they are to be effective. Supervisors wanting to improve work procedures and methods should continuously look for more efficient ways to achieve their objectives. Encouraging employees to look for better ways to do their jobs and evaluating periodic work samples may result in substantial savings for the organization. Supervisors can use JIT inventory control systems to reduce inventory costs and ensure that materials and components arrive when needed. Gantt charts and PERT networks are graphic tools designed to aid supervisors in planning, organizing, and controlling operations. 8. Cite the key advantages of planning for quality. Various quality-improvement concepts relate directly to planning. Total quality management (TQM) means planning for quality, preventing defects, correcting defects, and continuously improving quality and customer satisfaction. Knowledge management, which involves systematically planned approaches to storing and disseminating information, has increasingly become an important part of many organizational efforts to improve customer and employee services and satisfaction. Benchmarking, the process of identifying and improving on the best practices of others, precedes plan development. Organizations that want to be as good as or better than the best in the world strive to attain national or international quality standards. Plans must be developed to establish, maintain, and increase product and service quality. Quality improvement does not just happen; it must be planned. Organizations that want to be the best in the world will meet the quality standards established in ISO 9001 or the Baldrige Quality Awards. Quality improvement doesn’t just happen; it has to be planned. 9. Recognize the importance of planning for the unthinkable (crisis management). This century has witnessed many tragedies and crises that have, in some way, touched our lives and caused each of us to take a different look at how we plan. Today every individual and organization must prepare for the unexpected. Crisis management involves identifying the unthinkable, developing plans of action (POAs) for dealing with them, developing contingency plans, forming crisis teams, and stimulating crisis drills. Like Johnson & Johnson’s response to the Tylenol crisis, organizations should respond proactively and quickly. Planning helps supervisors anticipate possible unthinkable events and their consequences. Supervisors must use their information-getting and information-giving skills to help employees prepare for and address crisis situations. It is always appropriate to say “I am/We are sorry” and ask “What can be done to make it right?” PowerPoint Presentation Slides 3-2 Learning Objectives Lecture Outline I. Management Functions Begin with Planning Planning is the process of deciding what needs to be done by whom and when. It is future focused and precedes all other managerial functions. It includes analyzing a situation, forecasting events, establishing objectives, setting priorities, and deciding which actions are needed to achieve those objectives. It is a managerial function every supervisor must perform every day. What Have You Learned? Question 1 Personal Skill Builder 3-1: What Call Would You Make? NOTE: Many prefer to introduce the issue of Crisis Management Planning early in the lecture. It is something the students can identify with. The “Personal Skill Builder 3-1: What Call Would You Make?” activity will get students thinking about all of the potential hazards that may confront them as they go through life. In 1995, the Oklahoma City truck bombing killed 15 children at a day care center and brought national attention to terrorist activities. On the morning of April 20, 1999, Eric Harris and Dylan Klebold entered their suburban Denver, Colorado, high school (Columbine) and murdered 13 of their fellow students. Most of students can recall what they were doing when they first heard about the terrorist attacks on the World Trade Center and Pentagon on 9/11. Then there was the Virginia Tech tragedy followed in 2008 by the Northern Illinois University killings. It makes no difference how they are classified—terrorist attacks, acts of rage, or murder—those students who survived will remember that day and the days that followed forever. Some will live in fear for the rest of the lives. In early 2009, crisis after crisis occurred almost daily and it was not the financial crises being reported. Most educational institutions have taken proactive steps to curb violent behavior. A year ago—the same day that a Chelsea Clinton was to speak at a campus seminar—the campus went on a lock down. A student was murdered in her dorm room. The killer was the mother of one of her roommates. The electronic alert system worked fairly well but we found it that it did not work as well as intended. IPFW Chancellor Mike Wartell reported the following to the IPFW Community immediately after the event. “This event may understandably lead to concerns or discomfort concerning matters of personal safety. Are students, staff, faculty, and visitors safe at IPFW? While recent history gives ample reason for the question to be raised, records show that the rate of criminal activity is remarkably low and that this is the first homicide on campus in the history of the institution. We have a skilled professional police force, extensive security infrastructure, and appropriate policies and procedures to help assure safety on campus. We also work closely with Fort Wayne police when it comes to matters of safety in the immediate vicinity of campus. In addition, we have a number of educational programs in place to encourage students, staff, and faculty to help assure their own safety and the safety of others. Perhaps most importantly, we are not complacent when it comes to safety. Our programs, policies, and procedures are constantly under review to help assure we are doing as much as possible to provide a safe campus community to learn, work, and live. Every one of us who is a member of the IPFW community can and should help assure the safety and security of all on campus. We must be vigilant for signs of potential trouble or lapses in security. We must be prompt and persistent in bringing those matters to the attention of individuals charged with addressing such issues. We must be a caring and just community, eager to support those struggling with personal issues but consistent in holding individuals accountable for their behavior. In that way, we all play an important role in shaping the best IPFW possible. Thank you for your patience, understanding, and support in these challenging times.” (4/17/2008) “When I was a kid growing up we had a ‘fire drill’ but never a ‘tornado drill.’ Then one year we had a major tornado and the schools started having tornado drills.” In light of the above statement, encourage the students to review the school’s crisis management plan. Perhaps, the “Personal Skill Builder 3-1: What Call Would You Make?” activity and corresponding skill application will motivate the students to be more proactive in preparing themselves to respond appropriately in a crisis. II. The Strategic Planning Process As the first function of management, planning must start at the top level of management and permeate all levels of the organization. For the organization as a whole, this means top management must develop an outlook and plans that guide the organization. Strategic planning is the process of establishing goals and making decisions that enable an organization to achieve its long- and short-term objectives. Top management must develop an outlook and plans that guide the organizations. Managers must be involved in strategy formulation because their participation in the strategic planning process is essential to gaining employee commitment for the chosen directions and strategies. The inability to create a vision and develop plans is the sure route to failure. PowerPoint Presentation Slide 3-3, Management Functions Begin with Planning A. Mission Statements and Visioning Mission statement is a statement of the organization’s basic philosophy, purpose, and reason for being. The mission statement serves as a springboard or basis for assessing the company’s performance and results. Visioning is the process of developing a mental image of what the firm or organization could become. The vision statement is the management’s view of what the company should become; reflects the firm’s core values, priorities, and goals. Supervisors use visioning to guide their parts of the organization. What Have You Learned? Question 2 PowerPoint Presentation Slide 3-4, Management Functions Begin with Planning (cont.) PowerPoint Presentation Slide 3-5, Figure 3-1 PowerPoint Presentation Slide 3-6, Mission Statement and Visioning III. Organizational Goals and Objectives Setting overall goals is a function of top-level management, which must define and communicate to all managers the primary purposes for which the business is organized. These objectives must be within the general framework of the overall goals, and they must contribute to achieving the organization’s overall mission and purpose. Objectives are usually stated in terms of what is to be accomplished, when, and by how much. Metrics are standards of measurement used to determine that performance is in line with objectives. Regardless of the scope of one’s responsibilities, supervisors must keep an eye on the financial statements and other scorecards to ensure that goals and objectives become reality. Whenever possible, objectives should be stated in measurable or verifiable terms. This is essential to management-by-objectives, which is discussed next. A dashboard is a visual presentation of the current status of an organization’s key performance metrics relative to its goals. PowerPoint Presentation Slides 3-7, Organizational Goals and Objectives IV. All Management Levels Perform the Planning Function The organization’s vision, objectives, and strategies serve as the foundation for the supervisor’s planning process. The magnitude of a manager’s plans depends on the level at which those plans are intended to be carried out. Planning is far more far-reaching at the top level than at the supervisory level. At the supervisory level, the scope is narrower and more detailed. Evaluating the past should be part of managerial planning. Managers can plan more effectively by evaluating previous plans and trying to learn from past successes and failures. Supervisors should consult with specialists in the organization to help carry out the required planning responsibilities. A. Planning Periods A distinction is made between periods can be long-range or short-range planning. The definitions of long-range and short-range planning depend on the manager’s level in the organizational hierarchy, the type of enterprise, and the kind of industry in which the organization is operating. Most managers define short-range planning as that which spans the next couple of months. There are some activities, such as preventive maintenance, for which the supervisor can plan several months in advance. The plans a supervisor makes should be integrated and coordinated with the long-range plans of upper management. These long-range plans developed by top management is called strategic plan. [Note to Instructors: See additional content notes on Time Management in relation to planning at the end of this lecture outline.] What Have You Learned? Question 3 PowerPoint Presentation Slide 3-8, All Management Levels Perform the Planning Function PowerPoint Presentation Slide 3-9, Figure 3.3 V. Management by Objectives—A System for Participative Management Management by objectives (MBO) is a process in which the supervisor, and the employee jointly set the objectives against which performance is later evaluated. It is a management system that involves participative management. MBO is also called “managing by results” or “managing for performance.” Four major elements of an effective MBO system include (Figure 3.4): •Joint determination of SMART objectives •Inputs: Resources needed to achieve objectives •Activities and processes to achieve objectives •Results While MBO emphasizes results rather than the techniques used to achieve them, an effective MBO system is constructed such that all four of the aforementioned elements are integrated and support the others. PowerPoint Presentation Slide 3-10, Management by Objectives—A System for Participative Management PowerPoint Presentation Slide 3-11, Figure 3.4 A. Why use Management by Objectives? MBO is results-oriented. It provides a more rational basis for sharing the rewards of an organization, particularly compensation and promotion based on merit. It helps high-level managers recognize the importance of delegating authority and responsibility to managers, supervisors, and employees. It ties together many plans, establishes priorities, and coordinates activities that otherwise might be overlooked. A sound MBO program encourages the contributions and commitment of people toward common goals and objectives. In an organizational setting, MBO provides a sound means of appraising individuals’ performances by emphasizing objective criteria. PowerPoint Presentation Slide 3-12, Why Use Management by Objectives? What You Have Learned? Question 4 VI. Types of Plans After setting major goals and objectives, all levels of management participate in the design and execution of additional plans for attaining desired objectives. A. Plans Standing plans are policies, procedures, methods, and rules that can be applied to recurring situations. They are also called repeat-use plans. Top-level managers formulate company-wide standing plans; supervisors formulate the necessary subsidiary standing plans for their work units. Single-use plans accomplish a specific objective or to cover a designated time period. They are plans that become obsolete once the objective is accomplished or the period of applicability is over. B. Policies A policy is a standing plan that serves as a guide to making decisions. Policies enable supervisors to arrive at about the same decisions their managers would, or at least to make decisions within acceptable parameters. While policies should be considered guides for thinking, they do permit supervisors to use their own judgment in making decisions, as long as those decisions fall within the parameters of policy. 1. Origin of Policies Major company-wide policies are originated by top-level management, while departmental policies are established by supervisors. Some policies are imposed by external forces, such as government, labor unions, trade groups, and accrediting associations. 2. Written Policy Statements Promote Consistency Written policy statements are more likely to be followed consistently if they are written. It requires managers to think through issues more thoroughly and consistently. Every policy should be reviewed periodically and revised or discarded as conditions or circumstances warrant. 3. The Supervisor’s Role Supervisors seldom issue policies. It is the supervisor’s role to interpret, apply, and explain policies. A supervisor may occasionally experience a situation for which no policy exists or seems applicable. If the supervisor finds that higher-level management has never issued a formal policy to cover such a request, the supervisor needs guidance and should ask his or her manager to issue a policy—a guide for action. C. Procedures A procedure is a standing plan that defines the sequence of activities to be performed to achieve objectives. Procedures define a chronological sequence of actions that carry out the terms and objectives of a policy. All supervisors must follow the same procedure. One advantage of preparing a procedure requires an analysis of work to be done. It promotes uniform action, reduces the need for much routine decision making, and encourages a predictable outcome. D. Methods A method is a standing plan that details exactly how an operation is to be performed. It is even more detailed than a procedure. A procedure shows a series of steps to be taken, whereas a method is concerned with only one operation or one step, and it indicates exactly how that step is to be performed. In devising methods, the supervisor may use the know-how of methods engineers or a motion-and-time study specialist if such individuals are available in the organization. However, most supervisors have employees who are not well trained and for whom procedures and methods must be established. PowerPoint Presentation Slide 3-13, Types of Plans E. Rules A rule is a specific guide for the behavior of employees in a department and the supervisor must follow that rule, without deviation, wherever it applies. Occasionally, supervisors must devise their own rules or see to it that the rules defined by higher-level managers are obeyed. Regardless of who develops the rules, it is each supervisor’s duty to apply and enforce all rules uniformly as those rules relate to each area of responsibility. What Have You Learned? Question 5 PowerPoint Presentation Slide 3-18, Standing Plans PowerPoint Presentation Slide 3-19, Example of Policy and Procedure Statement F. Budgets A budget is a plan that expresses anticipated allocations and results in numerical terms, such as dollars and cents, employee hours, sales figures, or units produced. It’s a single-use plan, as it expires after the stated period is over. Because a budget is expressed in numerical terms, it has the advantage of being specific rather than general. 1. The Supervisor’s Role in Budgeting Supervisors should have the opportunity to propose detailed budgets for their departments or at least to participate in discussions with higher-level managers before departmental budgets are finalized. They are more concerned about the expense side of the budget because business expenses can cut profits. All supervisors are held accountable for variations from the established budget. 2. Budget Review Most organizations schedule interim monthly or quarterly reviews during which the budget is compared to actual results. A budget is a control device. If necessary, the budget is revised to adjust to results and forecasts. G. Cost-Cutting Reducing costs is a natural concern in all organizations. In recent years, many supervisors have had to find ways to cut costs. The best strategy for bottom-line improvement is a combination of both cost reduction and different ways to increase revenue. H. Project Management A project is a single-use plan for accomplishing a specific, nonrecurring activity (e.g., design of a new inventory-control system by a warehouse supervisor). A project may be part of an overall program, it is an undertaking that can be planned and fulfilled as a distinct entity, usually within a relatively short period. Team Skill Builder 3-1: What Call Will You Make? PowerPoint Presentation Slide 3-14, Types of Plans (cont.) VII. Supervisory Planning for Resource Use Because supervisors are especially concerned with day-to-day planning, they must plan for the best use of all their resources. Making effective use of time is one of the most important supervisory activities. This section discusses physical and human resources planning techniques. A. Efficient Space Use Supervisors must always plan for space allocation and use. When planning space use, a floor-layout chart to determine whether there is sufficient space for the work to be performed and whether the space has been laid out appropriately. If the proposed layout indicates a need for additional space, the supervisor should include with the space request a thorough analysis of how the space is currently allocated. B. Use of Other Major Physical Resources Supervisors must plan for the efficient use of their departments’ other major physical resources, such as tools, machinery, computers, and various types of equipment and furniture. The supervisor may sometimes decide that equipment must be replaced. The supervisor may sometimes decide that the equipment must be replaced. In making this request, the supervisor should develop and submit a plan to higher-level management for disposing that equipment. Higher-level managers may turn down these changes because they may not be economically feasible. C. Use and Security of Materials, Supplies, Merchandise, and Data Supervisors must make sure that adequate security precautions are taken to discourage individuals from theft and to make it difficult for items to be lost or stolen. If the firm has its own security force, the supervisors should meet with security personnel to plan and implement security devices and procedures that are suited to the department. A major concern of many firms has been the theft of data and information, mostly associated with computer break-ins. No organization or sector is immune from cyber threats. Supervisors should work very closely with IT specialists to plan for limited access to certain data and to protect important hardware and software. D. Safe Work Environment The supervisor shares a major responsibility, ethically and legally, for doing everything possible to maintain the safest possible work environment. Workplace violence is an act or threat of assault directed at another employee. The best protection employers can offer is to establish a zero-tolerance policy toward workplace violence against or by their employees. NOTES: For more information on workplace violence, instructors can view the Bureau of Labor Statistics Web site (http://www.bls.gov) and click on BLS Survey of Workplace Violence Prevention and Census of Fatal Occupation Injuries. E. Observance of OSHA and Other Safety Regulations Both before and since passage of the Occupational Safety and Health Act (OSHA) of 1970, supervisors have been expected to devote major attention to reducing and preventing injuries and accidents on the job. It has expanded the responsibility of the supervisor in planning for and bringing about a safer work environment. F. Safety Committees The purpose of a safety committee is to help the supervisors develop safer work areas and enforce safety regulations. Many safety committees have ongoing safety meetings and site walk-throughs in which safety committee representatives identify and correct various problems. Most accidents reported on the job are caused primarily by human failure. Supervisors must emphasize safe work habits in daily instructions to employees and ensure that all equipment in the department is used properly and has ample protective devices. Safety planning and safety in practice are everyone’s responsibility. PowerPoint Presentation Slide 3-15, Supervisory Planning for Resource Use PowerPoint Presentation Slide 3-16, Figure 3.6 G. Full Use of Human Resources Using the workforce fully means getting employees to contribute to their fullest capabilities. This requires: •Developing plans for recruiting, selecting, and training employees •Searching for better ways to arrange activities •Training employees in the proper and safe use of the materials associated with their jobs •Supervising employees with an understanding of the complexities of human needs and motivation •Communicating effectively with employees •Appraising employees’ performances •Recognizing achievements •Promoting deserving employees •Adequately compensating and rewarding employees •Taking just and fair disciplinary actions Planning to use employees fully is at the core of effective supervision. In addition to employees, another important resource is the supervisor’s time. PowerPoint Presentation Slide 3-17, Supervisory Planning for Resource Use (cont.) H. Employee Work Schedules Supervisors should establish a work schedule based on an estimate of what constitutes a fair, rather than a maximum output. Allowances must be made for fatigue, unavoidable delays, personal needs, and a certain amount of unproductive time during the workday. Some supervisors may be able to plan employee time with the help of a specialist, such as a motion-and-time analyst. NOTE: Additional content notes on Time Management in relation to planning are given at the end of this lecture outline. I. Overtime and Absences Occasionally, supervisors find it necessary to plan for overtime, although overtime primarily should be considered an exception or an emergency measure. As a general rule, supervisors should anticipate a reduction of between 5 and 10 percent in productivity from employees when they work overtime. If a supervisor finds that excessive overtime is required regularly, then alternative methods of doing the work should be found or additional employees should be scheduled or hired. Supervisors also must plan for employee absences. Of course, a supervisor cannot plan for every employee absence due to sickness, injury, or personal problems. However, the supervisor can plan for holidays, vacations, temporary layoffs, and other types of leaves or predictable absenteeism. J. Alternative Work Schedules and Telecommuting Many organizations have adopted various work schedules for their employees, such as flextime, part-time work, job sharing, telecommuting, and other work-at-home arrangements, as well as unconventional hours. Flextime usually involves permitting certain employees to select different starting and ending times within a five-day workweek. Supervisors have found that alternative work schedules create problems when they are trying to cover workstations and job positions, and that it may be difficult to exercise supervisory control at certain times of the workday. Supervisors must plan well in advance and communicate with work-at-home employees concerning such items as project work to be completed, deadlines, budget constraints, productivity expectations, and customer requirements. Most studies of alternative work-schedule plans have concluded that employees generally appreciate the opportunity to select their work schedules. Furthermore, flexible work schedules usually are associated with improvements in absenteeism rates, tardiness rates, retention, morale, and productivity. K. Part-Time and Temporary Employment Part-time employees are increasing in number. Scheduling part-time employees requires considerable planning to match the needs of the department or business operation. Supervisors must accordingly assess the need for full- and part-time workers, as well as plan work schedules carefully to accommodate the special interests and needs of part-time workers without creating scheduling problems with full-time employees and departmental work requirements. Temporary employees fall into two basic categories. The first type includes employees who are hired by agencies and are “farmed out” for short-term work assignments with various employers. The second type of temporary employee, called an interim employee, is hired directly by a firm for a specific need or project. Supervisors should try to give temporary employees job assignments that are very clearly defined, jobs they can do without disrupting the regular workforce. PowerPoint Presentation Slides 3-26 and 3-27, Employee Work Schedules L. Improvement in Work Procedures and Methods Supervisors often are so close to the job that they may not recognize when work procedures and methods need updating. Therefore, supervisors should periodically try to look at departmental operations as strangers entering the department for the first time might view them. Improvement generally means any change in the way the department is doing something that will increase productivity, lower costs, or improve the quality of a product or service. The supervisor sometimes can apply work-sampling techniques to cut costs, save time, and increase employee efficiency. Work sampling involves inspecting a small amount of work from a job to determine areas for improvement. PowerPoint Presentation Slides 3-18, Supervisory Planning for Resource Use (cont.) M. Planning Inventory To reduce the costs of maintaining large inventories, many firms use inventory-control techniques that better plan the inflow of materials needed for production. A just-in-time (JIT) inventory-control system, also called kanban, is a system for scheduling the raw materials and components of production to arrive at the firm precisely when they are needed. This system avoids having to purchase and stock large amounts of items. It requires close coordination between the firm and its suppliers. For the system to work, suppliers must be willing and able to supply parts on short notice and in small batches. Also, so that suppliers can plan their production efficiently, the firm must keep suppliers well informed about its projected needs for their products. PowerPoint Presentation Slide 3-28, Planning Inventory N. Scheduling and Project Planning A Gantt chart is a graphic scheduling technique that shows the activity to be scheduled on the vertical axis and necessary completion dates on the horizontal axis. Gantt charts are helpful in projects in which the activities are somewhat independent. For large projects, such as a complex quality improvement program, Program evaluation and review technique (PERT) is more applicable. It’s a flowchart for managing large programs and projects that shows the necessary activities, with estimates of the time needed to complete each activity and the sequential relationship of activities. It begins with the supervisor defining the project in terms of not only the desired goal but also all the intermediate goals on which the ultimate goal depends. PowerPoint Presentation Slide 3-19, Supervisory Planning for Resource Use (cont.) VIII. Planning for Quality Improvement and Knowledge Management In manufacturing firms, quality traditionally meant inspecting the product at the end of the production process. Total quality management (TQM) is an organizational approach involving all employees to satisfy customers by continually improving goods and services. Many firms have been involved in planning and carrying out short- and long-term strategies for more effective knowledge management. Knowledge management is the systematic storage, retrieval, dissemination, and sharing of information. The increased emphasis on higher product and service quality has led many firms to follow guidelines or criteria developed by others. Benchmarking is the process of identifying and improving on the best practices of leaders, and it follows these steps: •Determine what to benchmark (e.g., a process or procedure, quality, costs, customer service, employee development, compensation). •Identify comparable organizations inside and outside the industry. •Collect comparative performance data. •Identify performance gaps. •Determine the causes of the differences. •Ascertain the management practices of the best. Many firms have given serious attention to ways of achieving quality improvements. ISO 9001 is the international standard for quality management. Also, Malcolm Baldrige National Quality Award is American’s highest quality award. What Have You Learned? Question 5 PowerPoint Presentation Slide 3-20, Planning for Quality Improvement and Knowledgeable Management IX. Crisis Management: Planning Required People face crisis situations each and every day. A crisis is a critical point or threatening situation that must be resolved before it can cause more harm—or a tragedy—a disastrous event or misfortune that negatively impacts the lives of people—varies depending on people’s perspectives, perceptions, and the degree to which it impacts them. Supervisors must exercise due diligence and be prepared for the unexpected. Crisis management planning involves identifying the unthinkables, developing a plan for dealing with the unthinkables, developing contingency plans, forming crisis teams, simulating crisis drills and so on. (Refer to Figure 3.7 for suggested crisis management planning concepts.) What Have You Learned? Question 6 Team Skill Builder 3-2: Dealing with People you Might Appreciate: “The Advice Seeker!” PowerPoint Presentation Slide 3-21, Crisis Management: Planning Required PowerPoint Presentation Slide 3-22, Key Terms NOTE: Instructors can engage students by using the Opening You Make the Call and Personal Skill Builder 3-1 as an introduction to this chapter but it can also be used effectively here as well. Additional Content Notes on Time Management in Relation to Planning Author Stephen Covey suggests that people always “begin with the end in mind.” Effective time management requires knowing that where one is going and why one wants to go there is more important than how fast one can go. In other words, what does it matter if one accomplishes many tasks if they are not in line with our goals? People have the same finite amount of time. How many times has one heard someone say, “I wish I had more time”? No one has yet found a way to “make time” or store it for another day, but by working smarter, one can use time effectively. Following are some practical tips for managing time. •Determine priorities. Focus on the most important tasks, those that support your objectives. One should not be afraid to ask his or her boss if a new task takes priority over other assignments. •Clarify duties with a time-use chart. Identify the regular duties most directly relate to departmental objectives. •List duties and prioritize the list. Make this a part of the to-do list. •One should know one’s prime time. This is the time of the day when one is most alert, think clearly, and work most effectively. Schedule one’s most complex tasks for this period and his or her most routine tasks for the times when his or her energy is low. •Schedule time at the end of the day to make tomorrow’s to-do list; then be sure to follow through according to this list. •Use a desk calendar, day planner, or PDA (personal digital assistance) to note activities that need major attention. Document the what, when, who, and where of the details. •Use organizational and time-management techniques that are based on common sense. For example, handle papers only once, keep one’s desk or workstation clear, finish one job before starting another, avoid distractions, and say “no” when necessary. •Deal with interruptions when one’s focused on an important project. If someone asks for a minute on a non-life-threatening matter, tell that person that the matter at hand will be given undivided attention and ask him or her to schedule a brief meeting later. It is acceptable to tell someone that he or she will call back later. Wasting valuable time is not acceptable. •Enable subordinates to be the best they can be. Encourage subordinates to take responsibility and to make decisions. One should not let subordinates pass these decisions to them. •Overcome procrastination. Plan habitually and continuously, break difficult tasks into small and doable units, and work on unpleasant tasks immediately. •Use the 2-hour rule. If one has been working on a problem for more than 2 hours without finding a solution, get help. Often, by explaining a problem to someone else, one gets a different perspective. •Follow the 80/20 principle. Eighty percent of achievement comes from 20 percent of time spent. Answers to What have you Learned? 1. Define planning. Why is planning primarily a mental activity rather than a “doing” type of function? Planning means establishing objectives based on the current situation and forecasts of the future, and determining the actions needed to achieve the objectives. It is mental effort that involves thinking before acting. A supervisor can learn to become a better planner through proper attention to planning and self-discipline. Most supervisors who become better planners are taking a major step to becoming better managers. Too often, supervisors spend so much time “putting out fires” that their departments seem to just survive, rather than have any general direction or purpose. For many supervisors, taking adequate time to think through what they want to accomplish would be a first major step in improving their operations. 2. What is the importance of an organization’s vision? What is your vision for the next 12 months? Visioning goes beyond the mission statement. Visioning is the process of developing a mental image of what the organization could become. Once defined, the mission and vision must be communicated so that everyone knows where the organization intends to be. Visioning can thus help focus company goals and objectives. The organization develops plans based on the vision. Student visions should be shared so that their classmates can assess if student goals and objectives are part of their personal visions; it is important that they understand the difference between mission statement and visioning. 3. Identify and discuss the important factors a supervisor should consider in planning the work of his or her areas of responsibility. Supervisors who are well informed about the organization’s goals and objectives will be in a much better position to integrate their departmental plans with the overall plans for the entire enterprise. Goals and objectives are essential in planning because these are the targets toward which plans and activities must be directed. For the most part, supervisors will be involved in developing supportive objectives for their departments. In addition, supervisors may be asked at times to participate in long-range planning for major extensions or additions of facilities, and to contribute ideas for long-term projects and programs. Supervisors will plan for long-term maintenance and safety programs and other aspects of operations that have an ongoing impact on the department. 4. Discuss the step-by-step model for management by objectives (MBO). Explain why each step is crucial if MBO is to be successfully implemented. Refer to Figure 3.4 on page 81 as a visual of the MBO approach elements. The four elements are: •Jointly determine specific, measurable, and verifiable objectives (the foundation of the system) •Inputs: identify the resources needed to achieve objectives •The activities and processes that must be carried out to accomplish the goal •The results, which are evaluated against the objectives When employees have a say in what the objectives are, they will feel more ownership because they are “our goals” as opposed to “their goals.” MBO focuses on the results rather than the techniques used to achieve those results, but an MBO system is constructed such that all four of these elements are integrated and must support the others in order to be successful. 5. If you were a supervisor in a small firm that had few policies and procedures and you believed that the organization needed to pursue a TQM program, how would you go about developing a plan to improve the company’s production processes? This question is essentially an application exercise. It encourages students to develop their own ideas for planning a total quality initiative. The instructor may wish to remind students of steps in the decision-making process that could have a bearing upon how they approach this particular problem. What a supervisor could, or should, do in such a situation will depend upon the nature and size of the firm and the degree of decision-making authority the supervisor has to develop a policy to cover such a situation. While not a new concept, total quality management (TQM) does have major emphasis upon total organizational efforts toward meeting customer needs and satisfaction. In a macro sense, the student should “think outside the box” and develop plans and procedures that would improve the quality, prevent and correct defects, and maintain a constant vision of continuous improvement. The key word in the question is “total,” that is, everyone is involved and committed to the process of quality improvement. In this scenario, the supervisor could play an important role in gathering information concerning the scope of the problem. The supervisor might try to obtain copies of policies or procedures that other firms have developed. Students have found various Internet sources to be invaluable sources of quality improvement information (Refer to the example, www.qualitydigest.com). The company should consider including input from customers and vendors as a foundation for their quality improvement efforts. Students can visit websites of different firms to identify how they have instituted customer quality and loyalty satisfaction indexes and other quality initiatives. Students can review this chapter’s Supervisory Tips box before they establish quality improvement initiatives. The supervisor might draft a recommendation for a policy and accompanying procedures that could be suggested to top management. An important part of this effort is to solicit the input from others that are affected and also give them an opportunity to review the draft recommendation. Material presented in Chapter 4 stresses that employees want to have ownership. Having an opportunity to contribute and to review the policy before it is presented to top management gives the employees a sense of accomplishment. 6. What do you see as the “downside” of a crisis management policy? For this exercise, engage the class in an open discussion as to how they would suggest handling this situation. It would also be a good idea to find out what is in place for crisis management at your university or college campus already, and use that as a basis from which to start or continue a discussion with the class. Refer Figure 3.7 (Crisis Management Planning) for this skills application. Students can review some existing crisis management plans via the internet, such as: •The National Center for Crisis Management http://www.universitycrisisresponse.com/contents.htm •Clemson University http://www.clemson.edu/studentaffairs/deanofstudents/crisismanagement.php •Washing & Lee University http://www.wlu.edu/document/emergency-management-plan Answers to Personal Skill Building Personal Skill Builder 3-1: What Call Would You Make? 1. Identify what Shannon does well. Shannon being the transportation supervisor is able to develop a comprehensive planning system to schedule transportation requirements and preventive maintenance. Shannon is a highly regarded supervisor as she possesses good supervisory skills. She is able to exercise the meaning of the statement “Plan your work, then work your plan!” effectively in her work routine. Overall Shannon seems to be supervising very well. 2. Discuss her planning and time management techniques. Shannon has built her team on the basis of open communication, trust, and transparency. As far as the planning is concerned Shannon uses the statement “Plan your work, then work your plan!” as a golden rule. Her employees, every Tuesday morning, review progress, identify potential problem areas, and make recommendations for improvement. The department gets together informally once each month to celebrate accomplishments. Shannon lists all the things that need to be done the next day in order of priority and also the time of day that each task will need to be done and who is responsible for its accomplishment. This is then posted on the message board in the center of the office. Employees conscientiously review the list at the beginning of each workday and align their daily calendars accordingly. Everyone willingly works together to address any emerging issues. Students’ answers may vary. However, students should address the points mentioned above. 3. Evaluate the following statement. “Effective planning by Shannon does not create problems for her subordinates.” As seen from Shannon’s and the employees’ perspective the statement is just. But the scenario lacks information as to why the new superintendent wants a program of continuous improvement. Also, the superintendent challenging the group to question their supervisory practices and asking them to find ways to improve them might make one think that something has gone wrong in the process of supervision. Coming to a solid conclusion seems difficult and demands more information. Students’ answers may vary. However, students should address the points mentioned above. 4. You have two weeks to develop three strategies for improvement in your department. What will you do to handle this challenge? The supervisor can start by having individual sessions with the subordinates to check if there are any emerging issues that need attention. The supervisors should get over the fact that his or her leadership and planning style has worked very well and that the system for continuous improvement is already in place than a different perspective. In this case, superintendent will help the supervisor spot the loopholes or issues in a particular department. Students’ answers may vary. However, students should address the points mentioned above. 5. Your authors believe that total quality management can improve the quality of service by involving everyone in the process. Who should you involve to help you meet the superintendent's challenge? Total quality management (TQM) is an organizational approach involving all employees to satisfy customers by continually improving goods and services. In order to meet the superintendent's challenge the supervisor must include all the employees working under him or her. Students’ answers may vary. However, students should address the points mentioned above. 6. Remember that you do not appear to have a system to evaluate the students’, their parents’, or the taxpayers’ perceptions of quality. How would you get their input and how might that input help you develop a plan to improve the transportation system? This situation is analogous to doing something without any feedback. It would be tough for the supervisor to evaluate whether the implemented plan is helping him or her to improve the transportation system. In this case, the supervisor can wait for things to go wrong and handle them as they come at the same time providing quality service. Students’ answers may vary. However, students should address the points mentioned above. Personal Skill Builder 3-2: Prior Planning Instructors might want to review the BLS Survey of Workplace Violence Prevention (http://www.bls.gov) prior to using this Personal Skill Builder. A Web search will also provide other tips for crisis management. As referenced in Discussion Question 6 above, there are many crisis management plans available via the Internet that students may use, and those sources listed in Question 6 can also be used in this skills application. Prior to developing a crisis management policy and procedure, students should review the concepts presented in Figure 3.7. Steps 1, 2, and 3 should serve as the foundation of the planning effort. Once the policy has been developed, crisis teams should be formed and simulations should be used for practice, control, and evaluation purposes. Problems, situations, and decisions are becoming increasingly complex and interrelated. As such, crisis management is mandatory for every organization. Yet, through all this, the organization must speak with one voice. Many colleges and universities have initiated course work dealing with organization security. Many employees have also taken crisis management workshops. In studying a number of campus shootings, the U.S. Secret Service and U.S. Education Department study concluded that “no one single profile fit the shooters and that many were depressed and had difficulty coping with ‘significant losses or personal failures.’” Professor Shane Jimerson of the University of California, Santa Barbara has helped develop one such workshop. Security training and monitoring will help, but awareness of where you are and what is going on around you, vigilance, is a must. Do students have a sense of awareness, understanding, and watchfulness? How many have witnessed student behavior such as that cited in the PSB? Personal Skill-Builder 3-3 Technology Tools—Using Gantt and PERT Planning Software to Help the Community Gantt chart is a graphic scheduling technique that shows the activity to be scheduled on the vertical axis and necessary completion dates on the horizontal axis. Program evaluation and review technique (PERT)—a flowchart for managing large programs and projects that shows the necessary activities, with estimates of the time needed to complete each activity and the sequential relationship of activities. Students can follow the guidelines given in the chapter to get their GANTT and PERT charts for the selected activity. Answers to Team Skill Building Team Skill Builder 3-1: What Call Will You Make? Students can groups of 6 to 10 depending on the class size. Each group should determine who will play the following roles: Abrigail Connealy; Athletics director King; and other students can review the university’s athletics programs and develop a plan of action (POA) for increasing student attendance and support of the program. (Note: Alternatively, students could devise a plan to increase attendance and support for music, dance, and other on-campus performing arts.) This should be a fun, creative activity for the students. Among the groups you may find the naysayers who can’t believe there is any time for participation in campus events. Others may have no awareness that these groups even exist and that their participation is needed and wanted. Athletics may not interest some students; however, some of the on-campus performing arts activities may relieve personal stress and add joy to their pressure-packed lives. One question that you might pose is “What does it mean to be educated?” Perhaps this will help some students reevaluate the value of campus activities. Team Skill Builder 3-2: Dealing with People you Might Appreciate: “THE ADVICE SEEKER!” After reading this TSB, be prepared to encourage students to be creative in their approach to the questions. They are no longer reading about a negative, disgruntled employee, but rather one who is a leader and team player. Macon supports his employees and solicits their feedback in this crisis situation. His ability to cope with change that he has no control over is a powerful example for future supervisors. Students should enjoy responding to this scenario because it is based on the SKAs of effective supervisors. Answers to Supervision in Action Questions Video Clip: Bissell Brothers—Managing Start-Ups 1. Explain the planning process used by the Bissell Brothers Brewing Company. Students’ answers will vary. Planning is the process of deciding what needs to be done by whom and when. The focus is on the future and it precedes all other managerial functions. The definition of planning was clearly understood by the company. According to Peter, the co-founder of the company, the planning process of the company involved setting up milestones such as: •Closing the startup’s investment rounds •Finalizing the bank loan •Getting people to invest in the startup •Managing the distribution and sales •Down payments for new equipment The business plan designed by the company is working well and the company is doing well by gaining profits. 2. In your opinion, what should be the mission statement for Bissell Brothers Brewing Company? Students’ answers will vary. A mission statement is a statement of the organization’s basic philosophy, purpose, and reason for being. Peter wants to make the best beer on the planet, and ‘to make the best beer on planet’ could probably be the company’s mission statement. Students’ answers should include the unique purpose of the company that makes them different from their competitors. Also the mission statement should highlight the reason for the company’s existence. 3. In your opinion, how is the company different from its competitors? Students’ answers will vary. As Noah mentioned, the major difference in their company when compared to its competitors is that the company has full control over the business as an entity. Unlike the traditional method, where the brewing company gets a distributor, the production, packaging, and distribution of the beer at Bissell Brothers Brewing Company is entirely done by themselves eliminating any third party. 4. It’s clear from Peter’s statement that the demand for craft beer is high. In your opinion, what steps should Peter take in order to meet the increasing demand when the resources available for the production are limited? Students’ answers will vary. However, students’ answer should include the following: •Efficient space use •Use of other major physical resources •Use and security of materials, supplies, merchandise, and data •Part-time and temporary employment to increase productivity •Improvement in work procedures and methods increasing the efficiency •Planning inventory •Scheduling and project planning 5. Explain the critical decisions taken by the company’s co- founders in setting up the brewery. What advice would you suggest in case of a crisis at the company? Students’ answers will vary. The co-founders of the company are risk takers. Both Peter and Noah took a major decision of setting up the brewery. Peter shifted from commercial photography to brewing and Noah, had a psychology degree, decided to brew beer which he was passionate about. Also, instead of saving money in the bank Peter decided to put a down payment for more equipment to keep up with the increasing demand for beer. Peter should plan for the unexpected. For example “A problem with the equipment in the middle of the night,” as mentioned by Peter. Crisis management involves identifying the unthinkable, developing plans of action (POAs) for dealing with them, developing contingency plans, forming crisis teams, and stimulating crisis drills. Peter should use his information-getting and information-giving skills to help employees prepare for and address crisis situations. Solution Manual for Supervision: Concepts and Practices of Management Edwin C. Leonard , Kelly A. Trusty 9781285866376, 9781111969790