Principles of Management Essay

Principles of Management

1. Effectiveness in business is to achieve organizational goals, while efficiency is to achieve these goals with minimal waste of money, time, materials and people. I think it is pretty obvious that Starbucks is an efficient and effective organization. Starbucks identified its goals and achieved them by identifying a need for a brand coffee shop that were close to major corporate organizations and other busy areas through extensive research of an area before building their stores. Today, there are more administrative and IT positions in the U.S. than before, and Starbucks realized this and expanded. Starbuck's offers a variety of different types of coffee and it doesn't take long to get the coffee made to the customer's liking. Starbucks' stores are efficient enough that ordering and receiving their product doesn't take too long and its service is not too quick to decrease its quality. Thus, Starbucks has grown worldwide.

2. Managers can contribute to organizational efficiency and effectiveness by helping their firms excel at innovations to stay ahead of competitors. Managers need to identify and introduce new products, and adapt to changes in consumer demand and to new competitors. Managers can contribute by looking for ways to continually improve on producing quality products and services. Managers need to analyze the process for its good or services and survey its customers and identify problems, and live a philosophy of continuous improvement. Also, another way, managers can contribute to organizational efficiency and effectiveness is meeting and exceeding customers’ changing needs. Since service sector dominates the U.S. economy, managers need to focus on continually meeting the changing needs of customers to create and maintain mutually beneficial long-term relationships. Managers can contribute being able to move with speed and agility when developing and introducing a new product to the market, and addressing customer requests. As they say, first movers on a product tend to win, more than lose. Speed and quality combined can be a good measure of a company's efficient operations. Lastly, managers can contribute to an organization's efficiency and effectiveness by helping the firm keep costs low to increase sales. This can be done with introduction of software programs that control inventory, distribution, and logistics to cut costs. Even managers can look at more routine human resource tasks such as payroll and benefits management and outsourcing those tasks to cut costs. Keeping costs low is important because consumers can easily compare prices for a product online.

3. In the last 10 years, I think managers' jobs have changed and evolved in numerous ways. In the past, the corporate environment and other industries worked with a rational hierarchy with a group of individuals close to the owners who made product or service decisions and delegated them down. Then, managers directed all the employees on what to do and how to do it. At that point, managers just sat back and monitored the performance and the results. There was very little creativity and input accepted from lower level managers. Now a days, teamwork, collaboration and input from top level managers down to employees and customers are regularly received and asked for. Also, managers are now working leaders who get their hands dirty side-by-side with their team members and employees to solve problems and create value. Managers have a more active role in decision-making and the freedom to be more innovative. Another way I think managers' jobs have changed is there's more emphasis on developed technology and better utilization of networks to enhance the organization. Managers need to think globally and how to come up with ideas to address global expansion of an organization and its effects worldwide. These changes have occurred because technology is more dynamic and changes frequently causing organizations to become more competitive. Organizations have to constantly analyze its planning, organizing, leading, or controlling operations and how to be more innovative. These include utilizing its managers and other human resources and keep them involved in these processes to gain a competitive edge against its competitors.