LABORATORY MANAGEMENT TRADITONAL PATIENT-

FOCUSED
Management Board of Directors Patient
working with & through people to ↓ →↑
accomplish a common mission. CEO/Administrato Line worker
r ↑
Conditions for Management to Succeed ↓
- A mission or goal that the VP/Asst. Section
Administrator Supervisors
organization or subunit expects to
↓ ↑
accomplish. Dept. Manager Dept. Manager
- Leaders with the authority to direct ↓ ↑
the team toward the goal. Section VP/Asst.
- Necessary resources (people, Supervisors Administrator
equipment, supplies & money). ↓ ↑
- Responsibility for achieving the Line workers CEO/administrator
goals assigned. →↓ ↑
Patient Board of Directors
- Accountability for using the
↑
resources established.
Manager as a representative
- representative of the owners or
Managers board of directors in both for profit
must recognize the many roles they are and not-for-profit organizations.
asked to play and obtained the expertise - they also represent those they
and skills necessary to accomplish the supervise, as they are responsible
missions for which they are held for supplying the needs and
accountable. presenting their concerns as to the
owners.
Roles of a Manager

Manager as a person Skills of a Manager

- responsible to and to other people
Organizational skills
with similar fears, dreams, hopes,
- ability to conceptualize and apply the
life problems, aspirations, potential management process, systematize
and expectation. work flow, make decisions and
- bring with them their own individual communicate with co-workers.
talents, training & weaknesses.
People skills
Manager as a servant - understanding the basic theories of
human needs and work motivation is
- managers must become supporters essential to accomplishing the goals
of their staff, if the organization is to of the individual and the
function properly. organization.
- provide the means for the staff to
meet the needs of their patients. Financial management skills
- locate the place on the traditional - involve the effective use of and
accounting for the monetary assets
organizational chart where the
of the company
patient comes into contact with the
organization. Technical skills
- note that the patient interfaces with - involve the synthesis of the 1st 3
and receives services from the skills and the management of
person at the bottom of the chart. physical (resources, supplies,
- patients should be the top priority of equipment, facilities) into the
operational parameters unique to
the organization.
each organization.
Major Management Theories Management Levels

Scientific management
- attempts to apply a systematic or
scientific approach to the study of
organizations.

Bureaucracy management
- examines the organization aspects
of the company and its work flow to
explain how institutions function and
how to improve their structural
processes.

Behavioral science
- focuses on the performance and
interaction of people within the
organizations.
Systems Analysis
- Views the organization as a
continuous process interacting within
itself and with its environment.
Bureaucracy Management
- Examines the organizational aspects
and work flow of companies to
explain how institutions function and
how to improve the process.
The Basic Functions of Management
Planning - clarifies the process of attaining
the desired goals of an organization.
*identifying goals, Evaluate
Current situation
*Established time frame, Set
objectives
*Forecast resource needs
*Implement plan, Obtain
feedback
Organizing - identifies the steps needed to
implement a successful plan.
*formal Hierarchy, Informal
relationships
Directing - leadership put into action.
*leadership, Time allocation
Controlling - puts plan into operation and
measures implementation progress.
*Instructions, Follow-up,
Modifications
Planning
is the management function that clarifies the
process attaining desired goals of an
organization. It emphasizes more on how a
person will be able to be creative,
innovative, attain vision and be able to
think outside the box.
Planning involves four processes:
 Data gathering
 Assessment
 Calculation of risks
 Determination of strategy.
What is the true function of planning?
- It provides and reminds you the goals and
standards that drive the controlling function.
- It represents the cognitive function of
management.
- It requires attention to detail, creativity,
globalization, flexibility, logic, predictability,
decisive decision making, and vision.
- Deep understanding of the organization’s
purpose.
Components of planning
Vision – provides a nonspecific, directional
and motivational guidance for the entire
organization.
Mission –organization’s reason for being
established

Objectives – It addresses the issues within

the organization’s missions such as marking
a spot at the markets, innovation,
productivity, physical and financial
Management by Objectives *MBO*
resources, financial resources, profitability,
- is a personnel management technique
management and worker performance and where managers and employers work
efficiency. together to set, record and monitor goals for
a specific period of time.
Goals – are specific statements of - organizational goals and planning flow top-
anticipated results that further define the down through the organization and are
organization’s objectives. translated into personal goals for
organizational members.
Tactics – the most specific plans that
- a program that embodies all the concepts
describe how, who, what, when and where
in the management process.
activities will take place to accomplish a
- is primarily used as a tool for strategic
shared goal.
planning, employee motivation, and
Mission statement –articulates the performance enhancement.
purpose, attitude and core competencies of - is intended to improve communication
the institution in as concise a declaration as between employees and management,
possible. increase employees understanding of
- it should highlight what the healthcare company goals, focus employee efforts
upon organizational objectives, and provide
organization and the laboratory do best or
a concrete link between pay and
excel at most.
performance.
- Policies and practices and behaviors
should all evolve around the missions’
statement. Characteristics of objectives in MBO
programs:
“SMART” is a mnemonic that stands for Objectives should
SPECIFIC, MEASURABLE, ATTAINABLE, - Follow well throughout plans and long term
REWARDING AND TIMED. goals
- Be based on a collaborative agreement
Hierarchy of plans
between supervisor and employee
-Describes the different types of plans, from
- Be person specific
broad to specific, that are used in the - Be within the power of the individual to
planning process. accomplish
- each plan is described, identified as to - Be measurable.
when that plane is appropriate, and the - Have a designated time frame.
purpose or reason for the plan. - Provides feedback and information to
- also described as common steps in the responsible employees so they know how
development of any of the listed plans. they are progressing and can make timely
and independent adjustments.
Purpose of
missions
Implementing the MBO program
Objectives
- Establish long-range company goals in
such areas as sales, competitive
Policies positioning, human resource and
development.
Strategies -Use these long-range plans to determine
company-wide goals for the current year.
Rules - A successful MBO program requires each
employee to produce five-ten specific
Procedures measurable goals.

Programs

Budgets

Organizing
Organizing is the process of structuring
activities, materials, and personnel for
accomplishing predetermined objectives.
One of the most important functions of a
manager is to organize the activities of the
laboratory in such a way that use of time is
carefully considered so that effort is
minimized while output is maximized. The
difference between profit and loss is often
determined by how well the resources and
workflow of the laboratory are organized.
The key to organization is in knowing the
essential tasks that must be performed,
understanding what knowledge and
expertise the employees must possess to
perform those tasks, and the physical and
capital requirements that must be
assembled to achieve the desired results.
Organization should be approached as an
ongoing process, since testing, technology,
and staffing are all dynamic.
Staff knowledge and technologies are
constantly evolving. The educational
base of laboratory employees changes with
the steady turnover of personnel. While
every effort should be made to retain
valuable and well-trained personnel, reality
dictates that bench-level employees will
come and go, often without adequate
advance notice. Turnover is a constant
concern of a manager. Technology
developments further impact staffing needs.
Therefore, a manager must be prepared
to lead in a constantly changing
environment where different pieces of the
equation are forever being transformed by
external factors.
Organizational Chart
An essential management tool is the
organizational chart. An organizational
chart shows hierarchical relationships
between functional areas. It is a visual
depiction of the organization. It helps to
clarify workflow, reporting lines, and areas
of responsibility by explicitly listing
delineated work areas, be it by division,
laboratory, or medical specialty
The chart specifically indicates
positional authority. Authority implicitly
accompanies a position on the
organizational chart, and its location on the
chart implies a degree of consent by direct
reports. The organizational chart is a
contract of sorts, as it unambiguously
illustrates the structure of the organization
and the relationships among the people
within it.
Time Management
The surest way to be well organized is to
develop a structured approach to time
management. Every hour of a manager’s
day is occupied with urgent concerns and
pressing issues. Without a disciplined time
management system, a manager can
quickly become overwhelmed, consumed by
the demands of small crises.
A time management system allows a
manager to:
• Minimize time wasted on non productive
issues
• Be prepared for meetings
• Be aware of existing commitments
• Understand the capacity to take on new
assignments
and when to say “no”
• Plan each day’s work efficiently and
effectively
• Make certain that no project (large or
small) is neglected
Policies
An effective organization has policies that
express behavioral expectations within
the workplace. Policies are the“laws” of the
laboratory. Little different from laws in a
society, policies must be fair and equally
applied to everyone in the organization.
Every laboratory should have an open,
accessible, and easily understood set of
policies. These policies must be made
known to each employee, and there should
be some expectation that employees be
required to read and understand those
policies that are applicable to them.
All policies have seven basic
characteristics:
- must be well thought out
- flexible enough to be applied to both
normal and unusual situations
- acceptable to those who apply them
- consistent; objective; clear and
communicated to those individuals
to whom they apply; and
- continuously re-evaluated and
changed when necessary.
Procedures
Procedures are formal steps to guide an
employee through a specific job task. A
procedure is a written, sequential course of
action to be taken to achieve a desired
outcome. A laboratory manager must
maintain current, concise procedure
manuals for all processes that are
performed in the laboratory.
the book of laboratory procedures should be
continuously reviewed and revised by a
team of experts to ensure that they are up
to date and in compliance with the most
current regulations and standards of care.
The standard operating procedures (SOP)
manual is a very important tool in the
laboratory. An up-to-date SOP manual
ensures that procedures performed by the
technical staff are consistent with the
industry and of the highest quality.
Managers use the procedure manual to
train the laboratory technologists, and
technologists use the procedure manual as
a reference when performing laboratory
methods, which constantly change as
technologies develop.
Workflow
A laboratory manager must be a master of
all the interconnected processes within the
laboratory. These processes are logically
sequential, and they are accomplished in
such away that one process or step must be
completed before the next can begin. This is
known as workflow, or organizing tasks
in a particular way to accomplish a
specified result.
An important tool for analyzing workflow is
the flowchart. Process design flowcharting
is a fact-gathering technique
used to make the effort of a task visible by
writing down what is done. A flowchart
graphically illustrates the relationships
between necessary tasks. By writing down
the steps in a task, you can often identify
areas of overlap, redundant effort, and
opportunities for improvement.
Staffing
A manager must ensure that efficient
staffing is maintained at all times. The best-
equipped laboratory will not function at top
efficiency if it is improperly staffed.
Accurate staffing must be pegged to the
organizational chart, taking into
consideration how each laboratory
component
serves the ultimate mission of the laboratory
as a whole.
Only with efficient staffing and
scheduling can management make the
best use of personnel, supplies,
instrumentation, and facilities in a prompt
and cost-effective manner.
Types of Organizational Charts
Functional Top-Down Hierarchy
- it reflects a traditional business
structure
- this structure shows the C-Suite
at the top, followed by other
senior management, middle
managers, and so on 
- employees with similar skill sets
and specialization are grouped
together
Divisional Organizational Chart
 - reflects a company organized
along a product line or specific
geography
- a company will use this set up if
one division is sufficiently
independent from another
- is also called as product
structure is an arrangement of
a business that breakdowns the
organization into separation
which is self-concerned with
- a division is self-oriented and
includes groups of
functionalities that execute to
make a product
Matrix Organizational Chart
- it reflects a company where
employees are divided into
teams by projects or product
lead by a project or product
manager, but also report to a
functional manager
- can help facilitate better, more
open communication and create
a flexible, dynamic work
environment that can easily shift
resources where they're needed
management of the overall
institution rest with its
governing board.
- due to licensure, Medical
governance boards,
accreditation policies, there are
usually two lines of authority
each with their own hierarchical
structure
- the board appoints a chief
executive officer and the chief of
the Medical staff
Flexible organizational structures
- can respond more readily to
external and internal pressures
and changing environments
Directing/Leading
Directing is the process of influencing
people to attain predetermined objectives.
A manager is a director of people and
activities. Staff members require and expect
direction in their activities.
The action of management is in directing
people in their activities.

Communicating
Flat Organizational Chart
- will show few or no levels of
No matter how great the plan or how
management between
talented the person, if managers cannot
executives and all other
communicate effectively with other
employees
members of the team, their ideas and inputs
- empowers self-management
are doomed. Although it is not listed as a
and greater decision making
separate management process,
ability for every employee
communication is an integral part of each
- it's most often employed by
management function.
smaller businesses 
Communication is among the most
Tall Organizational/Vertical Chart
important components of management.
- it shows that the CEO is at the top
Clear written and verbal communication
of the chain of command, with
from-manager to employee, from employee
various levels of management
to manager, between managers, and
underneath
between peers—influences every action.
- A tall organizational structure
consists of several layers of
Communication must flow in all directions.
management
It must be concise, clear, consistent, and
- This structure assumes that lower
continuous. Employees rely upon regular
level employees lack the experience
feedback from their supervisors.
and knowledge to make good
Supervisors rely upon their employees to
decisions for the company.
inform them of their needs.
The structure builds in authorization
levels, eliminating the potential for
low level employees to make
decisions that hold negative
There are four basic communication
consequences for the company. 
flows through which messages can be
passed:
Dual form of organization
- the ultimate authority and downward, upward, lateral, and diagonal.
responsibility for the

Downward communications
travel from the superior to the immediate
subordinate. Downward communications
are used to transmit information and instruct
employees in the performance of their jobs.
Upward communication
Travels from the subordinate to the
immediate supervisor, and it is used to
provide feedback on how things are going.
Lateral communication
takes place between people on the same
level of authority within an organization, and
it is used for promoting coordination and
teamwork.
Diagonal communication
occurs between people who are neither in
the same department nor on the same level
of authority within the organization.
Diagonal communication is used for cutting
across organizational boundaries in an
effort to save time.
The basic attributes of good-quality
communication are attention, acceptance,
and empathy.
Attention is the thoughtful consideration of
others. When speaking to someone, be
considerate of his or her concerns, needs,
and experiences. Actively listen to what
people are saying. Ask questions to clarify
concerns. Affirm your understanding by
paraphrasing and restating their concerns
until there is no ambiguity and no room for
misunderstanding.
Acceptance is the act of favorably receiving
someone’s thoughts and opinions. This
does necessarily imply agreement, but
conveys that you understand the concerns
being expressed and that you will keep an
open mind.
Empathy is a very important aspect of
communication. It is the ability to share in
another’s emotions or feelings. It is the
identification of another’s thoughts and
attitudes as they might apply to a particular
situation.
The elements of successful
communication are:
• Listening
• Empathy
• Trust
• Continuous communication
• Consistency
• Clarity
• Honesty
•Multidirectionality
• Verbal and nonverbal methods of
communication
• Active communication
Delegating
An effective manager understands the need
and value of delegation, or, simply stated,
the assignment of responsibilities to others.
Delegation
is the process of selecting people from a
very limited pool (current job incumbents) to
perform a task.
is a process, a series of linked decisions
that identifies what needs to be done,
understanding the desired result, and then
selecting qualified people to perform
important tasks by making an informed
decision about who is best qualified to meet
performance expectations.
Through delegation, a manager is making
a prediction that the person selected will
follow through to the desired conclusion.
Motivating
Success in any activity is inspired by some
type of motivation. Motivation is both
internally and externally derived. The most
desirable and effective employees are the
ones who come to work already equipped
with a good deal of enthusiasm and
inspiration.
Motivated employees have relatively few
problems with absenteeism, tardiness,
and poor work habits compared to those
who lack motivation in their jobs.
A. H. Maslow’s work Motivation and
Personality is a prime study for
understanding motivation. His hierarchy of
basic needs is well known.
Physiological Needs– The essentials,
such as food, sleep, and air.
Safety Needs– Based on human
preference for a safe, orderly, predictable,
organized world that can be relied upon to
be free of danger or unexpected
happenings.
Approaches to Leadership
Trait Approach
- produces varying lists of
personal traits guaranteed
successful leadership to
persons who possessed
characteristics such as heights,
charisma, intelligence and the
like
- focuses on addressing what a
leader is or who becomes a
leader
Behavioral Approach
- focuses on what a leader does
rather than what a leader is.
- leadership can be learned
through education, training, and
life and work experience
Situational Contingency Approach
- focusing on the importance on
the context of the situation in
explaining leader effectiveness
- the leadership style needed
would change with the situation
Reciprocal Approach
- Leadership is a relational and
shared process that includes a
strong emphasis on followership
Transformational Leadership
- leadership approach that
causes change in individuals
and social systems
- it creates valuable and positive
change in the followers with the
end goal of developing followers
into leaders.
Transactional Leadership
- operates within existing
boundaries of processes,
structures, and goals
- depends on self-motivated
people who work well in a
structured, directed environment
Charismatic Leadership
- a method of encouraging
particular behaviors in others by
way of eloquent communication,
persuasion and force of
personality
Leadership Styles
The Blake-Mouton Model (The
Managerial Grid)(Robert Blake & Jane
Mouton)
They visualized leadership styles in terms of
a balance between concerns for getting the
job done and the working relationships that
must be integrated to achieve effective
leadership.
- a 1/9 (country club) suggests a
preoccupation with relationships
and satisfying the needs of
others at the expense of the
task that needs to be done
- A 9/1 (task) indicating the
maximum commitment to
working objectives, with little to
no concern given to people’s
feelings
- a 1/1 (impoverished)
characteristic of a low profile
manager who exerts minimal
effort to get the job done and
has a minimal contact with
others
- the 5/5 (middle of the road)
managers tend to maintain a
satisfactory balance between
the need to get the work get
done and the morale of the
people doing the work
-the 9/9 (team) suggest an
expectation of conflict between
keeping people happy and
getting the job done.
Lorenzi-Riley Model
They proposed the following styles
of leadership behaviors:
On-the-job retirees Leadership Style, Behavior and Situation
- are low on task skills, low on Style Authoritati Democr Laisse
interpersonal relationships and ve atic z-Faire
are usually procrastinators Behavi “Telling”. “Consulti “Joinin
or Leader ng”. g”.
identifies a Leader Leader
Whip crackers problem, gives is just
- usually very task oriented, low considers people a anothe
on interpersonal skills and see solution, chance r
the task to be done as their choose one, to membe
primary responsibility then tells influence r and
others what a agrees
Schmoozers (one who chats and idly they are to decision in
gossips) do from the advanc
- rank low on task and high in start; e to
interpersonal relationships members carry
- can be enthusiastic about a asked for out
project but have a problem ideas decisio
getting their group to get the job and n
done leader group
selects makes
most
Team builders promisin
- ranks high in both task and g
interpersonal skills solution
- they empower their staff and
they know what questions to ask When Time is Time is Group
and when to offer support style is limited; available is
Effectiv people lack ; group is highly
Theories X, Y, and Z (Douglas McGregor) e skills; group motivate motivat
- employees’ attitudes and doesn’t d; people ed;
abilities that ultimately influence know each have sense
their work performance other some of team
degree exists;
of skills routine
X-Philosophy
is
- employees are basically lazy,
familiar
detest work, need direction
to
and control to protect them
group
from the anathema of work
membe
rs
Y-Philosophy
- optimistic set of expectations When Strong Group is Low
that workers view work as style is sense of unmotiva sense
natural as play, highly ineffect team; ted; of
motivated, self-disciplined and ive people have people team;
exercise creativity in problem some have no people
solving degree of skills; have
skills/knowl high low
Z-Philosophy edge; group level of degree
changing societal goals must be wants conflict of
included in the workplace and spontaneity present skills;
that productivity and rewards in work group
are not the only objectives of expect
workers but quality of their work s to be
lives have a significant impact told
on their performance . what to
do

Managing Change
A manager’s challenge in managing
change is to reduce the instinctive
resistance to it by presenting it in a way that
gives staff members reason to understand
that the change will bring an improvement.
When implementing a procedural
change, a manager must be very careful to
communicate with staff members to assure
them that their performance is not being
criticized and that their jobs are not
threatened.
As in every aspect of management, good
communication is the key to success in
managing change. Listening to people’s
concerns, asking for their ideas, and
genuinely paying attention to their input will
dramatically increase the likelihood of
success when implementing change.
Coaching
The best managers are teachers and
coaches, always engaging their employees
in a productive and ongoing process
of continuing education.
goes a step beyond teaching. It also
involves encouraging an employee to try
new things and to strive for a higher
level of accomplishment. This is done in a
gentle and supportive way that is intended
to bolster self-confidence and to foster a
sense of being worthy.
Controlling
Controlling is the process of determining
that everything is going according to plan.
By controlling the details, a manager
ensures that the laboratory functions at the
highest possible level of efficiency.
Types of Control
Feed forward controls
- attempt to detect and anticipate
problems or deviations from the
standards in advance of their
occurrence
Diagnostic controls
- seek to determine what
deviation is taking (or has taken)
place
Therapeutic controls
- tell us both what and why, and
then proceed to take corrective
action
Concurrent (Prevention) Control
- also called steering control because
it allows people to act on a process
or activity while it is proceeding, not
after it is proceeding, nor after it is
completed
Feedback Controls
- also known as post-action control
- focus on the end results of the
process
Steps in controlling
Establishing goals and standards
- lab. managers has to communicate
their organization’s goals, standards
and objectives as clearly as possible
Measuring actual performance against
goals and standards
- measure the actual performance and
compare
- comparing the actual performance
with the ultimate goals
Taking corrective action
- in case there are discrepancies
between actual performances and
goals, lab. managers need to take
corrective actions immediately
Following up on corrective action
- lab. managers should stick to the
problem until they solve it
- if they refer it to a subordinate, they
must stay around and see to it that
he completes the task
Setting Performance Standards
Regularly scheduled, structured evaluations
are a necessary expectation of employees.
People deserve to know how they’re doing
in relation to a written set of expectations
about performance.
Job description
is a written and signed agreement
concerning the responsibilities of the
position. Every new employee should have
one, and it should be reviewed annually to Step Six: Implementation of the solution
ensure that the obligations are current and Step Seven: Measurement of the
accurately described. Consequence

should include a job title, a compensation Decision Making

classification or range, the name of the
supervisor who will review performance, a A manager’s effectiveness often hinges
specific and detailed listing of upon the consistency and quality of the
responsibilities, and a performance decisions he makes.
evaluation schedule.
Decision making is by definition a
During the appraisal period, a job thoughtful, conscious process that requires
description guides the manager in making a rational consideration of cause and effect.
decisions about merit-based salary In most cases, decisions are made to
adjustments, promotion, areas of expected create improvement in a given situation.
improvement, and training needs.

Evaluating Employee Performance Several general areas of concern to

A performance appraisal provides an
employee with valuable written feedback
about progress made toward specific
employment objectives. It serves the
employee’s need for objective evaluation
about how he or she is doing. It also
serves the manager’s obligation to assess
performance and provide constructive
feedback.
which a laboratory manager must be
sensitive:
- Quality of the Decision
- Acceptance of Commitment to the
Decision
- Speed of the Decision
- The nature of the Value Judgments
of the Decision

Problem Solving

First and foremost, a laboratory manager is

a problem solver.

Problem solving is a skill that can be

developed, and it improves with confidence
and repetition.

To be an effective problem solver, a

manager must approach problems in a
structured, creative way
The manager must be able to determine the
exact source and nature of the problem

The manager must be a dedicated

detective, gathering evidence and pulling
together as much information as possible to
identify the root cause of the flawed
process.

Once the cause of a problem is known, a

manager has to come up with a solution.

Seven step approach:

Step One: Definition of the Problem

Step Two: Fact Gathering
Step Three: Development of Alternative
Solutions
Step Four: Weighing of Alternative
Solutions
Step Five: Selection of Solutions