Assignment 1

OPERATION AND
MANAGEMENT
Group 3 - GBD0902
 Table of Contents

01 02 03
Link between
Introduction Management and
leadership concepts management and
leadership

04
Management
05
Management
06
functions and Recommendation for
approaches and
leadership roles FPT Software
leadership theories
Management
approaches
I. Management and
leadership concepts
I. Management and leadership concepts
1. Management

1.1 Definition

Management is the method of using organizational resources to

attain organizational goals through planning, organizing, and

staffing, driving, and controlling (DuBrin, 2011).

I. Management and leadership concepts
1.2 Difference in Management levels
I. Management and leadership concepts
1.2 Difference in Management levels
Top-level managers: These individuals head one or two levels in an organization and
hold titles. Top managers do not direct the day-to-day operations of the company;
instead, they set goals for the organization and direct the company to achieve them.

Middle-level managers: Middle managers are people at levels below the top managers.
Middle managers are responsible for implementing the goals set by top management.

First-level managers: A first-level manager is also known as a supervisor. Although first-

level managers typically do not set goals for the organization, they have a very strong
influence on the company.
I. Management and leadership concepts
2. Leadership

2.1 Definition of leadership

Leadership is the capacity to inspire confidence and bolster among the

individuals who are needed to achieve organizational goals.

Leader is a person who sets goals for his/her people or teammates,

and then leads or rallies them to achieve those goals.
I. Management and leadership concepts
2.2 Definition of followership

Followership is a “priori choice (self-conscious) of the individual in

the context of his or her relationship to the nominal leader.

Followers are subordinates who have less power, authority, and

influence than do their superiors.

I. Management and leadership concepts
How leader use power and authority to “influence” people

Power is the ability or potential to influence decisions and control

resources.

Authority is the formal right to get people to do things or the formal

right to control resources.

I. Management and leadership concepts
How leader use power and authority to “influence” people
Leaders use many other strategies of leverage to get things done and
eight factors are commonly used are:
• Leading by example • Ingratiation

• Leading by values • Exchange

• Assertiveness • Coalitions

• Rationality • Joking and kidding

II. MANAGEMENT AND LEADERSHIP DIFFERENCES
1. The differences of management and leadership
1.1. Management style
Autocratic: This type of management follows a top-down approach, with
one-way communication from bosses to employees.

Transformational: This style of management is agile and growth-focused.

Democratic: Managers encourage employees to give input during the

decision-making process but are ultimately responsible for the final decision.
II. MANAGEMENT AND LEADERSHIP DIFFERENCES
1. The differences of management and leadership

1.1. Management style

Affiliative: This management style is aimed at creating a harmonious

relationship in the workplace.

Pacesetting: Organizations have goals and objectives that they are

working to achieve.
II. MANAGEMENT AND LEADERSHIP DIFFERENCES
1.2 Leadership style
The transaction leadership: is someone who is laser-focused on
performance, similar to a pacesetter.
The transformational leadership: is the process by which a leader
motivates a group or organization to perform beyond expectations.
The democratic leadership: is behavior that influences people in a
manner consistent with and/or conducive to basic democratic
principles and processes.
II. MANAGEMENT AND LEADERSHIP DIFFERENCES
1.2 Leadership style
The transaction leadership: is someone who is laser-focused on
performance, similar to a pacesetter.
The transformational leadership: is the process by which a leader
motivates a group or organization to perform beyond expectations.
The democratic leadership: is behavior that influences people in a
manner consistent with and/or conducive to basic democratic
principles and processes.
II. MANAGEMENT AND LEADERSHIP DIFFERENCES
1.2 Leadership style

Autocratic leadership: is someone who is focused primarily on

results and efficiency.

Laissez- faire leaderstyle: is the opposite of the autocratic leadership

type, focusing mostly on delegating many tasks to team members
and providing little to no supervision.
II. MANAGEMENT AND LEADERSHIP DIFFERENCES
1.2 Leadership style

Autocratic leadership: is someone who is focused primarily on

results and efficiency.

Laissez- faire leaderstyle: is the opposite of the autocratic leadership

type, focusing mostly on delegating many tasks to team members
and providing little to no supervision.
II. MANAGEMENT AND LEADERSHIP DIFFERENCES
2. The differences of management and leadership in characteristics
III. LINK BETWEEN
MANAGEMENT AND
LEADERSHIP
III.
V/ LINK
The linkBETWEEN MANAGEMENT
between Management AND
and LEADERSHIP
Leadership
- When starting a business, things are always very vague and uncertain. Leaders must help subordinates to
understand, trust and accept the "hard work and commitment" for common goals
- Leadership and management must go together to develop the company holistically, the role of a leader is to
influence, build vision, create change and develop while managers systematize processes.
- Businesses can have many managers, but there is always only one true leader. Never a company that wants to
grow lacks 1 in of its workforce with a manager who is not the right person for the job.
V/ Real
III. life case case
A real-life studystudy

Vingroup's success or failure was determined by

its leadership and ingenious management. Pham
Nhat Vuong, the Chairman of Vingroup, is the
first Vietnamese person to make the World
Billionaire List. He focused on management and
staff training, such as requiring 100 hours of
training each employee per year.
IV. Management functions
and leadership roles
Management functions
• Planning is a managerial activity that entails defining
objectives and determining a course of action to
achieve those objectives.

• Organizing is a management function that entails

creating an organizational structure and deploying
human resources to guarantee that goals are met

• Leading entails using social and informal forms of

influence to motivate people to take action.

• Controlling consists of three steps: setting

performance criteria, comparing actual performance
to standards, and taking remedial action as needed.
 Leadership roles
Coach and mentor
• provide comments on both effective and
poor performance
• give suggestions to group members on
how to enhance performance.
Spokesperson and negotiator
• addressing queries
• Negotiate to benefit the company
Include 8 leadership roles
Organizer
• organizing the work of group
members
• explaining organizational policies,
rules, and procedures
• developing policies and rules and
processes to coordinate the flow of
information inside the unit
Task Delegator
• giving projects or tasks to group
members
• establishing objectives and
performance criteria for work
completion
• ensuring that group members are
adequately committed to task
Figurehead
• spend some time participating in
ceremonial events or serving as a Team Builder
figurehead • recognizing group members for
• entertaining clients or customers their accomplishment
as an official representative of the • throwing parties
company, • sponsoring sports teams
Staffing Coordinator
• hired to fill roles Entrepreneur
• compensating members • come up with new ideas
• ensuring proper training promoting • advance the firm's
group members business goals.
• recommending promotion, and
terminating or demoting individuals
in the group.
Famous businessman – Tim Cook

- Joined Apple in 1998 at the

invitation of Steve Jobs and
assumed the position of senior vice
president for worldwide sales.
- Tim Cook was appointed Apple's
CEO in 2011.
 Managerial functions – Tim Cook
• Apple was valued $300 billion before Tim Cook came over as CEO.
• Recognize that Apple still has a lot of potential for expansion.
• Planned financial and social focus to enhance market value.
• Apple Watch, AirPods, and other phone-related items make their debut.
Wanting everything under his control by...

• Checked mails
• Went to the store and engaged in live talking
• A better understanding of the problems that customers
experience
• The development of new strategies to improve the product
 Leadership roles – Tim Cook
• When the war between the US and Chinese trade countries increased in
2018.

• When importing Chinese goods, Apple may face significant taxation.

• Instead of choosing sides, Cook intended to please both parties.

• On the one hand, Cook used his voice at the China Economic Forum to
declare his support for free trade.

• On the other hand, Cook developed a personal relationship with Donald

Trump through his daughter and son-in-law, and met with US trade
representatives and Trump

• There is no tax on Apple Watch.

He also …..
• Democratic.

• Respectful values the thoughts and voices of people

around

• Giving opportunities and decision power to senior staff.

• Mr. Schiller's position as Apple's senior vice president

of marketing - transforming the image and revenue.

• Provided him with the chance to develop and make

marketing decisions.
 Tim Cook's success
• In 2020, he managed to turn Apple into a $2 trillion
corporation.
• Apple Watch sales surpassed the total sales of all Swiss
watch manufacturers combined in 2019.
• Nearly half of all headphones sold in the world are
AirPods
• requires to retain customers, Apple are ready to upgrade
and improve again base on customer contributions
• There is no tax on Apple Watch
Tim Cook’s shortcoming
• There will be some times when the democratic
leadership style
• When giving decision-making power to an individual
or a certain department - quite subjective.
• Wrong - causing loss to the company
-> Should provide opinions and intervene in part of the
decision, especially important decisions.
V. Management approaches
and leadership theories
Management approaches
 Management approach Rocket Chart
The System perspective
System Perspective:
- Entropy: The tendency of a system to run down and
Classical Approach
die if it does not receive fresh inputs from its Scientific Management F. W. Taylor,
environment. Henry Gantt, Frank &Lillian Gilbreth
- Synergy: The whole organization working together Administrative Management (Henri Fayol)
will produce more than the parts working
independently.

The Contingency approach Behavioral approach

A perspective on management that
emphasizes that no single way to manage
people or work is best in every situation.
It encourages managers to study individual
and situational differences before deciding
on a course of action.
The Hawthorne studies ( Elton Mayo )
Theory X & theory Y : (Douglas McGregor):
Maslow’s Need Hierarchy (Abraham Maslow:
Quantitative approach
A perspective on management that emphasizes use of a
group of methods in managerial decision making, based on
the scientific method such as statistics, linear-programming,
decision tree, network analysis, computer simulations

Management approaches: Management is a subject that has been studied formally since the 1700s. Management practices have
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been explored and argued as a result of experiments and theories that emerged over time
Frederick Winslow
Taylor
• American inventor and engineer who is known
as the father of scientific management

• Born in 1856 in Germantown , Pennsylvania

• Obsessed with order and control

• Piece rate system increases productivity

among factory worker

• Philosophy known as Taylorism

• Died 1915
Scientific Management
FSDOEF Biography
• Frank Gilbreth ( 1868-1924) – engineer , pioneered
Scientific Method in bricklaying . Member of Taylor
Society ( SAM)
• Lillian Gilbreth (1878-1972) – engineer , insdustrial ,
psychologist (PhD)
• Henry Gantt (1861-1919) –Mechanical engineer and
management consultant . He joined Frederick. W. Taylor
in applying scientific management principles for 1887-
1891
Contribution
Other key contributors to scientific management were Henry
Gantt and Frank and Lillian Gilbreth, who developed Gantt
charts to represent project plans over time visually and
had lots of experiments time and motion during the working
 HENRI FAYOL
• Henri Fayol was French mining engineer
• He was born in Istanbul in 1841 and passed away
in Paris in 1925
• Later he turned out to be a leading industrial
HJjsass
and successful manager
• He wrote a monograph in French in1916 title “
Genẻal and Industrial Administration”
• He is considered as the Father of Admintrative
Management theory .
Classical Aproach

PROS CONS

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-Enhanced
- -Planning reduces
Scientific management production
productivity
-Ability to
-Requires huge capital
control
-Management takes
-------------------------------------------- -Decreases
control
inaccuracy
-Decreased
autocracy -Management Oriented
-Heathy financial
Administrative management -Concepts borrowed from
situation military science
-Higher productivity -Ignores environmental
-Facilities in changes
acquiring goals -Mechanical Approach
-Data-based decisions -Deals with formal
-Improve employee and structure
customer satisfaction
Behaviour Aproach
PROS CONS

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-

-It answers crucial -Behavioral are a

concerns regarding the mechanism that is
learned and it takes
leadership model of an time.
organization. -Leaders have some
considerations on how
workers should be
-It defines the handled
manager's leadership
 PROS CONS

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- -It takes a long time to rea
-Errors easily happen.

Quantitative Aproach
Informing management
about the potential
results in the future
-Data collection occurs
rapidly and in larger
scale
Contingency Aproach
PROS CONS

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-
- It encourages -Behavioral are a
mechanism that is
managers to examine
learned and it takes
individual and time.

situational differences -Leaders have some

considerations on how
before deciding on a
workers should be
course of action handled

-Improve managerial
skills as well as
decision- making skill
 Trait Theory

- By Ralph M. Stogdill in 1940s

- Individual must possess the key
personality traits and characteristics
to be an effective leader. Traits are
inherent by birth
- Traits could be: Physiological traits,
Socioeconomic characteristics,
Personality traits, Intellectual
traits, Task-related traits, Social
characteristics
Ralph M. Stogdill
 Contingency theory
Fred Edward Fiedler

Fiedler's
Contingency Model

- No leadership style is precise as a stand-alone

- Internal and external dimensions require the leader to
adapt to each situation
- Fiedler’s Contingency Theory model:
+ Leader was at the center of the leader-subordinate
relationship
 Situational theory

Paul Hersey and Ken Blanchard

- By Hersey and Blanchard

- Situational leadership theory
hersey and blanchard's leadership
emphasize that there is no single model
best leadership style
- Leaders must adapt to each situation
 Behaviors Theory Participate Theory

- By Kurt Lewin
- By Kurt Lewin - More people involved
- The success of a within the decision-
leader is based on making process is
their behavior better than one
- This theory involves - Leaders encourage
observing and team members'
evaluating a participation and
leader's actions and contribution while
feeling accountable
behaviors when
and dedicated to the
responding to a decision-making
specific situation process
Kurt Lewin
 Example: Contingency Theories
- Jack Ma, founder of Alibaba
- Example of a relationship-driven
leader
- Emphasis on his relationships with
colleagues
- Always listens to employees'
opinions
- Stands between transformational
leadership and visionary leadership
- Enhance leadership - Complex.
and decision-making - Basically
skills reactive in
- Provides options to nature. Sometimes
the employees, that the handling the
help them to grow and situations become
hard for the
xample: Situational theory

- Patricia Sue Summit, head coach in

Tennessee Lady Volunteers
- Used the Hersey-Blanchard
Situational Model to solve problems
in building basketball team
- Always consider subordinates and
factors that influence the work
environment in making decision
 VI. Evaluation and
recommendation for the
contemporary business world
• The leader and manager need to have the foresight of the future and, in turn,
prepare for every situation possible instead of trying to adapt one or a few
selected methods to every problem.
• This leads to another fact that among many different management
approaches, the Contingency approach within the contemporary
management process stands out the most, as the contingency indicates the
possibility of failure by using one method for every situation, and at the same
time, encourage flexibility of managers.
• It can be said that out of all management approaches, the contingency
approach is the most appropriate management approach in the
contemporary business world, and the same thing can be said by Leadership
theory with situational leadership.
When employees in Toyota receive special care,
support, and direction they feel empowered and
respected.That's one of the benefits of situational
theory.

This allows Toyota to stay flexible and transform its

policies and strategies according to the changing
environment. Toyota can consider the fundamental
factors, analyze situations thoroughly and then make
the appropriate decision..

The contingency approach allows an organization to

choose different leaders as per their leadership styles in
various contexts.
Recommendation for FPT Software

Behavioral Quantitative
Approach Approach

01 motivation and 03
opportunities for Quantitative approach
advancement and cannot wholly predict
improvement FPT all risks, but it can
SOFTWARE reduce them.
become more
flexible and have improve and
more options to deal increase productivity
02 with several and streamline other 04
different proble management
methods
Contingency System
approach Perspective
Recommendation for FPT Software
pre-tax
profit
decreased
the company should continue
to adopt a task-oriented
leadership style to help the
company maintain high
performance
COVID
PANDEMIC
FPT
SOFTWARE
This is an adaptive,
flexible style whereby
leaders are encouraged
to consider their
employees
successful leadership Hersey-Blanchard model
is related to both tasks
and relationships the company should follow
a democratic leadership
style to not only maintain a
good relationship between
leaders and employees