Managing Business Activities to Achieve Results (MBAAR)

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Managing Business Activities to Achieve Results (MBAAR) by Mind Map: Managing Business Activities to Achieve Results  (MBAAR)

1. Part A: Managing Activities to Achieve Results

1.1. Business processes and functions

1.1.1. Hierarchy of objectives: - It is the interaction of people, in order to achieve the aims and objectives, which form the basis of an organisation. Some form of structure is needed by which people interactions are channelled and coordinated. - Organisations need: Objectives, People, Structure. - Mintzberg uses the following: a) Mission - "overriding premise" of the business b) Goal - "general statement of aim or purpose" c) Objectives - quatification or more precise statement of a goal d) Strategies - broad kind of action to achieve objective 1.1 - Mission Mission "describes the organisation's basic function in society, in terms of the products and services it produces for its cliets" (Mintzberg) 1.2 - Mission statements Mission statements are formal declarations of underlying purpose. They say what an organisation exists to do. Mission statements might be reproduced in a number of places. There is no standard format, but they should have certain qualities: => Brevity will make them easier to understand and remember. => Flexibility will enable them to accommodate change. => They should be distinctive, to make the firm stand out. 1.3 - Aims or goals Aims or goals give a sense of direction for the activities of an organisation and are sufficient for the satisfaction of the organisation's mission. 1.4 - Objectives In business organisation, a paramount consideration is profitability. The mission of a business, whether it is stated or not, must be to carry on its activities at a profit. They should relate to the critical success factors of the organisation, which are typically: a) Profitability b) Market share c) Growth d) Cash-flow e) Customer satisfaction f) Quality of the organisation's products g) Industrial relations h) Added value Objectives are normally quatified statements of what the organisation actually intends to achieve and should fulfil the SMART criteria outlined below: Specific Measurable Achievable Results-oriented Time-bounded Whereas mission statements describe a value system for the organisation and some indication of the business it is in, objectives are well defined. For example: a) Mission: deliver a quality service b) Aim or goal: enchance manufacturing quality c) Objectives: over the next twelve months, reduce the number of defects to one part per million. 1.5 - Strategies A Strategies is a course of action, including the specification of resources required to achieve a specific obbjective. Strategy is the organised development of resources (financial manufacturing, marketing, technological, manpower, and so on) to achieve specific objectives against competition from rival organisations. 1.6 - Policies and standards of behaviour Policies provide the basis for decision-making and the course of action to follow to achieve objectives. Objectives and policy together provide corporate guidelines for the operation and management of the organisation. For example, specific decisions relating to personnel policy could include: + Giving priority to promotion from within the organisation + Enforcing retirement at government pensionable age + Permitting line manager, in consultation with the personnel manager, to appoint staff up to a given salary/wage level Policies and Strategies need to be converted into everyday performance. 1.7 - Organisation structure Aims and objectives are the first stage in the design of organisation structure and they help facilitate systems of communication between different parts of the organisation. The aims are related to the input-conversion-output cycle. To achieve its objectives and satisfy its mission and aims the organisation take inputs from the environment, through a series of activities transforms or converts them into outputs and returns them to the environment as inputs to other systems. All organisations need lines of direction through the establishment of objectives and the determination of policy. Other factors also influence the design of the structure. In total, the structure of a business organisation is determined by: => Its mission => What it does => Its size => Where it operates => Who it deals with => Its culture => Technology => The complexity of its operations => Its history and future expectations 1.8 - The public and not-for-profit sectors

1.1.2. Organisational culture 2.1 - What is culture? Culture is the commonly held and relatively stable beliefs, attitudes and values that exist within the organisation. Some aspects of culture: -Customs and rituals -Relationship between superiors and subordinates -Symbols -Physical artefacts -Common language -Values Trompenaars suggested that in fact there are different levels at which culture can be understood: -The observable, expressed or "explicit" elements of culture include: +Behaviour +Artefacts +Rituals -Beneath values and beliefs lie assumptions 2.2 - Categorising cultures Tough guy culture Bet-your-company culture Work hard, play hard culture Process culture 2.3 - Analysing and comparing cultures Handy gave each of these types a Greek God's name: -Zeus is the god representing the power culture or club culture. -Apollo is the god of the role culture or bureaucracy. -Athena is the goddess of the task culture. -Dionysus is the god of the existenial or person culture. 2.4 - Miles and Snow Miles and Snow analyse three strategic cultures, and a fourth "non-strategic" culture: a) Defenders b) Prospectors c) Analysers d) Reactors

1.1.3. Levels of organisation 3.2 - Centralisation and decentralisation (page 17 and 18) 3.3 - Departmentation and divisionalisation (page 18; 19 and 20) 3.4 - The matrix structure (page 20 and 21)

1.1.4. Business processes 4.1 - Business processes orientation We define a business process as "a set of related activities that collectively realise a business goal" 4.2 - What is a process? A business process: -Has a goal -Has specific inputs -Has specific outputs -Uses resources -Has a number of activities that are performed in some order -May affect more than one organisational unit -Creates value of some kind for the customer. The customer may be internal or external. The transformation process: -Production -Maintenance -Boundary sapanning -Adaptation -Management Inputs may include capital, raw materials, people, information, managerial and technical and skills and knowledge. Outputs - the type or outputs will vary with the organisation. They generally include products, services, profits and rewards 4.3 - The components of a process A process is performed by using a procedure to combine basic assets with explicit and tacit knowledge 4.4 - Process mapping (page 24 and 25) 4.5 - Managing the processes There is a series of activities for managing processes effectively: 4.6 - Quality gateways in the requirements process The steps to achieve good quality in requirements definitio include: elicitation, analysis, representation, validation 4.7 - Business process measure The goal should be one of the following types: services goal, revenue goal, legal goal

1.2. Plans for areas of responsibility

1.2.1. Planning 1.1 - Hierarchy of objectives Mission Goals Objectives Strategy Tactics Operational plans 1.2 - The business plan 1.3 - Planning and control cycle 1.4 - Purposes of planning and organising 1.5 - Measures of success

1.2.2. Management by objectives 2.1 - Achievement of organizational goals 2.2 - SMART objectives 2.3 - Coordination 2.4 - Individual effectiveness and time management

1.2.3. Systems, policies and procedures 3.1 - Planning and coordination tools 3.2 - Office procedures and systems 3.3 - Financial control procedures 3.4 - Managing risk

1.2.4. Customer orientation 4.1 - Managing the relationship with clients/customers 4.2 - Customer orientation: internal and external customers An internal customer is the person within the company who receives the work of another and then adds his or her contribution to the product or services before passing it on to someone else. There are two approaches to customer orientation: The market driven, The driving markets. 4.3 - Quality chain Quality is subjective Quality is distinctive Quality is dynamic

1.2.5. Product policy (Please see at page 53 and 54) 5.1 - Product development 5.2 - Marketing research

1.2.6. Organising 6.1 - Structures and systems By function By territora By product Matrix organisation 6.2 - Allocating tasks Organisational positions and job descriptions Specialisms 6.3 - Align resources with objectives (Please see at page from 56 to 58) 6.4 Time management Identifying objectives Prioritising Scheduling Control 6.5 - Legal and regulatory control Law can affect business in the following different ways: -Dealings with customers -How a business treats its employees -Dealings with shareholders -The criminal law

1.2.7. Project management 7.1 - What is project management? A project is an undertaking, often cutting across organisational and functional boundaries, and carried out to meet established goals within cost, schedule and quality objectives. 3.1 - Hierarchy and specialisation Organisational pyramid: Team members -> Junior management Operations -> Middle management Tactics -> Top management Strategy -> Board Mission 7.2 - Project planning (page 64)

1.2.8. Project planning tools (Please see at page from 64 to 71) 8.1 - Work breakdown structure 8.2 - Using charts 8.3 Network analysis 8.4 - Critical path analysis 8.5 - Scheduling using the critical path 8.6- Work flow 8.7 - Linking work flows

1.2.9. Resorces allocation (Please see at page from 72 to 74) 9.1 - Gantt charts 9.2 - Cost scheduling

1.2.10. Flexible planning (Please see at page from 75 to 77) 10.1 - Allowing for delays 10.2 - Crash times 10.3 - PERT

1.3. Operational plans

1.3.1. Operations management 1.1 - The importance of operations 1.2 - Operations management as a system 1.3 - Relationships with other functions 1.4 - Standards and procadures

1.3.2. Product development 2.1 - Design and development 2.2 - Establishing specifications

1.3.3. Converting resources - the value added chain 3.1 - Production 3.2 - Value-added chains 3.3 - Value system 3.4 - Purchasing and inbound logistics 3.5 - Stock levels 3.6 - Just-in-time 3.7 - Impact of JIT

1.3.4. Meeting objectives - quantity, quality, time and cost 4.1 - Operating and controlling the system 4.2 - Balancing the objectives 4.3 - Quantity objectives 4.4 - Cost objectives 4.5 - Time objectives 4.6 - Quality objectives 4.7 - Quality control 4.8 - Statistical process control

1.3.5. Coordination 5.1 - Organisation 5.2 - Formal and informal types of coordination 5.3 - The importance of coordination 5.4 - What needs coordinating? 5.5 - Symptoms of poor coordination 5.6 - Causes of poor coordination

1.3.6. Improving coordination 6.1 - Management strategies 6.2 - Structures and mechanisms

1.3.7. Organisational constraints 7.1 - Constraints on management 7.2 - External stakeholders 7.3 - PEST factors 7.4 - The political-legal environment 7.5 - The economic environment 7.6 - The socio-cultural environment 7.7 - The technological environment

1.3.8. Internal environment 8.1 - Internal stakeholders 8.2 - Organisation

1.3.9. Limited resources 9.1 - Money 9.2 - Time 9.3 - Information

1.4. Quality

1.4.1. Limited resources 6.1 - Management strategies 6.2 - Structures and mechanisms

1.4.2. Quality systems 1.1 - The importance of quality in a business environment 1.2 - What is quality? Quality has been defined by Ken Holmes (Total quality management) as "the totality of features and characteristics of a product or service which bears on its ability to meet stated on implied needs." 1.3 - Quality systems 1.4 - Quality standards 1.5 - The quality hierarchy

1.4.3. Quality control (QC) 2.1 - Inspection 2.2 - Quality control and quality standards 2.3 - Quality control and inspection 2.4 - Advantages of quality control

1.4.4. Quality assurance (QA) 3.1 - Acceptable standard 3.2 - Supplier quality assurance (SQA) 3.3 - Quality assurance of goods inwards 3.4 - Inspection of output 3.5 - Statistical process control (SPC)

1.4.5. Total Quality Management (TQM) ISO 8402:1994 defines total quality management (TQM) as a management approach of an organisation centred on quality, based on the participation of all its members and aiming at long-term success. This is achieve through customer satisfaction and benefits to all members of the organisation and to society. 4.1 - TQM philosophy 4.2 - Tools and techniques 4.3 - Design for quality 4.4 - Quality circles 4.5 - Continuous improvement

1.4.6. Managing and monitoring quality 5.1 - Organisational implications 5.2 - Quality management 5.3 - Difficultied 5.4 - Creating a culture of improvement 5.5 - Participation 5.6 - W Edwards Deming 5.7 - Barriers to quality and excellence 5.8 - Quality audits, assessments and reviews

1.4.7. Cost of quality 6.1 - Traditional accounting systems and the cost of quality 6.2 - Explicit and implicit costs of quality

1.5. Organisational performance

1.5.1. Monitoring systems 1.1 - Monitoring and control 1.2 - Process of control 1.3 - Feedback 1.4 - Critical control points and standards 1.5 - Taking corrective action

1.5.2. Performance measurement 2.1 - What is evaluated? 2.2 - Quality measures - importance of prevention rather than correction 2.3 - Profit and other objective 2.4 - Critical success factors 2.5 - System resource approach 2.6 - Internal process approach 2.7 - The goal approach 2.8 - The stakeholder view approach 2.9 - The competing values approach

1.5.3. Performance measure 3.1 - Quantitative and qualitative performance measures 3.2 - Financial performance measures 3.3 - Non-monetary measures

1.5.4. Operational performance indicators 4.1 - Financial and non-financial indicators 4.2 - Performance measures for sales - a customer-focused culture 4.3 - Performance measures for materials 4.4 - Performance measure for people 4.5 - Performance measure for overheads 4.6 - The balanced scorecard

1.5.5. Types of change 5.1 - Environmental change 5.2 - Technological change 5.3 - Changes in working practices 5.4 - Continual improvement culture

1.5.6. Managing change 6.1 - Framework for managing change 6.2 - Identifying opportunities for improvement 6.3 - Assessing the benefits and problems of change 6.4 - Proposing the introduction of change 6.5 - Planning change 6.6 - Implementing change 6.7 - Plan evaluation 6.8 - Wider implications of change

1.5.7. Business process re-engineering Business process re-engineering: "the fundamental rethinking and radical redesign of business processes to achieve dramatic improvements in critical contemporary measures of performance, such as cost, quality, service and speed." (Hammer and Champy) 7.1 - Development 7.2 - How it works 7.3 - Processes 7.4 - Principles of BPR 7.5 - Characteristics

1.6. Health and Safety in the workplace

1.6.1. Health and safety legislation 1.1 - The Health and Safety at Work Act 1974 1.2 - The Management of Health and Safety at Work Regulations 1999 1.3 - The Workplace (Health, Safety and Welfare) Regulations 1992 1.4 - Health and Safety (Display Screen Equipment) Regulation 1992 Repetitive strain injury (RSI) is the term for various complains associated with sustained computer use, frequently including back ache, eye strain and stiffness or muscular problems of the neck, shoulders, arms or hands. 1.5 - Working Time Regulations 1.6 - Smoke-free legislation 1.7 - Further health and safety regulations

1.6.2. Risk assessment and monitoring 2.1 - What is risj assessment? Hazard - is something with the potential to cause harm. It could be a substance, a piece of machinery, an activity, the building itself or the method of work; Risk - is the chance, high or low, that somebody will be harmed by the hazard. 2.2 - Assessing the risk Step 1: Look for the hazards Step 2: Decide who might be harmed and how Step 3: Evaluate the risks and dicide whether the existing precautuins are adequate or more needs to be done Step 4: Record your findings, inform affected employees Step 5: Review your assessment on a regular bisis or whenever something changes and revise if neccessary 2.3 - Benefits of risk assessment 2.4 - Monitoring health and safety

1.6.3. Accident and fire prevention 3.1 - Accidents 3.2 - Accident prevention 3.3 - Accident reporting 3.4 - Fire safety and prevention 3.5 - Health and safety policy 3.6 - A culture of health and safety

1.6.4. Public attitudes and concerns 4.1 - General concerns 4.2 - Workplace stress 4.3 - Workplace bullying 4.4 - Alcohol and drug misuse

2. Part B: Managing Communications, Knowledge and Information

2.1. Information and knowledge needs

2.2. Develop communication processes

2.3. Improve systems relating to information and knowledge