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  1. Management INLS 227 Fall 2002

  2. Owner v. Manager • Owner • “ran his own business” • managed business and people • Played a big part in running daily activities • Opened and closed shop • Had one building • Made those deposits to the bank

  3. Management • Manager • Not owner • Was subservient to owner • Managed the daily activities

  4. The Professional Manager • Professional Management Programs • Wharton Business School 1881 • Harvard Business School 1908 • NYU Business School 1918 • Three factors around this time leading to professional management status: • Growth of big business • Separation of ownership from management • Development of a transferable body of management knowledge

  5. Business Management • Finance • Manufacturing • Purchasing, transportation, and physical distribution • Human Resources Management • Employee Benefits • Technology • Administrative Systems

  6. Management - Finance • Role • Translates all information into financial, bottom line. • Managing money • Responsibilities of the Chief Financial Officer • Sets financial and financing policies • Provides measurements • Plans annual and long range goals • Evaluates economic trends • May also be chief investment officer – setting investment policies

  7. Finance Organization ChartMiddle to Large Organization

  8. Manufacturing • Planning a manufacturing organizational structure • Develop strategy and goals • Assign people to structure • Manpower planning and performance • wages • labor • Manufacturing processes • process design • planning manufacturing/production systems

  9. Manufacturing • Materials management • Planning of production and materials • Evaluation • Materials handling & warehousing • basic handling principles • equipment and systems for handling • planning the warehouse • Quality management • Quality Control • Vendor quality • Customer feedback information • Facilities management • Location • Plant capacity, layout, equipment installation • Automation

  10. Purchasing • Originally, the “purchasing agent” • Importance transitioned it to purchasing manager • Inventory control • Just-in-time • Purchasing of capital equipment • Great place for cost cutting

  11. Physical Distribution • Gets the finished product to the right place, at the right time, in the right condition, and at the right cost for customer sales • Acts as buffer between production of product and the customers or market for the product by maintaining inventories, transportation, operating the warehousing facilities • Acts in support and in complement with production, marketing, sales

  12. Human Resources Management • Locating, appraising, selecting, and placing employees in a timely and efficient manner • Requires integration of dynamics of organization, awareness of long-term strategic plans of the organization, • Statistical data on separations, promotions, demotions, hires • Use of computer technology critical • PeopleSoft, HRNetSource

  13. Human Resources Management • Importance of compliance with government regulations • 1960’s the gov’t focused on the workplace as the arena for for social change • Amount of regulations had profoundly affected the organization and responsibilities of HR.

  14. HR Compliance • Documentation and Records • Federal statutes and regulations require maintenance of records for varying periods of time. nonexempt employees records kept for 3 yrs involuntary terminations – 6 months Occupational Safety and Health Act (OSHA) records kept for 5 yrs – required for work-related deaths, injuries, illnesses

  15. HR Compliance • Fair Labor Standards Act FLSA • Civil Rights Act of 1964 – Title VII • Employee Retirement Income Security Act ERISA • Occupational Safety and Health Act OSHA • Affirmative Action • Family and Medical Leave Act 1993 FMLA • Americans with Disabilities Act 1992 ADA • Consolidated Omnibus Budget Reconciliation Act COBRA • Equal Employment Opportunity Commission EEOC

  16. Human Resources Management SALARY ADMINISTRATION • Employee Compensation • Benefits • Bonus, Incentive awards • Direct pay - largest portion of compensation costs • Must develop pay structures • Market value,job pricing,evaluation structures (points system) • Strategy to determine increases • Merit, inflation, across-the-board,

  17. Human Resources Management • Employee Benefits • Def: additional compensation or pay in the form of vacations, sick leave, social security, pensions… • Life insurance, medical insurance, profit sharing, pension, SS, discounts, sick, vacation, rest periods, relocation expenses, counseling, credit unions…

  18. Human Resources Management • Manage Executive Compensation • Base salary, annual incentive awards and bonuses, long-teem incentives, stock options, special stock, supplemental pension plans,, perquisites [car, office, plane, medical, club memberships, in-town apt,. Sabbatical leaves…

  19. Human Resources Management • Training and Development • Different from school training – adult training needs • Learner involvement, tailored learning activities, informal, manageable units, applied • Employee training v. Management training • Evaluation of training is important • Training cost money!

  20. Human Resources Management • Performance Appraisal • Employee Relations- quality of work, employee health • Labor Relations • Safety • Security

  21. Key Resources for HR Databases • CCH Health and Human Resources Management • BNA Human Resources Library • ABI-Inform • LexisNexis Academic • Business Source Elite • Best Practices Database • Dissertation Abstracts Online • Wall Street Journal

  22. Key Resources for HR • Internet Resources • Department of Labor • Bureau of Labor Statistics • National Labor Relations Board • U.S. Census • Report on the American Workforce • National Compensation Surveys • Employee Benefits Survey • Training Supersite from Training Magazine

  23. Key Resources for HR • Magazines and Journals • HR Focus • HRMagazine • Human Resource Development Quarterly • Human Resource Management • Monthly Labor Review • Personnel Psychology • Research in Personnel and Human Resources Management • Training • Workforce

  24. Key Resources for HR • Associations Society for Human Resources Management American Society for Training & Development

  25. Key Resources for HR • Books • Handbook of Labor Statistics • American Salaries and Wage Survey • Human Resources Yearbook • The ASTD Training and Development Yearbook • Deskbook Encyclopedia of Employment Law • The Executive Handbook on Compensation: linking strategic rewards to business performance • The Performance Management Pocketbook