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8.2 The functions of management

Quick quiz:
Can you recall the four functions of management we covered in Principles of Management ?

Bonus section: The power of 4

Part of motivating is realising how important people are to success. As we realise this, we change from thinking of them as tools and concentrate on growing them as resources.

Growing people is like planting a garden. To produce a good crop you start with healthy plants, provide the best start possible and care for them carefully. If you tend your people as carefully as you would tend a garden that was your only source of food, what kind of crop would you get?

Organisations are not just about making money. They are about growing the business, growing profits (or reaching the goal) and growing people at the same time.

You need four elements to grow people. Together they are called the power of four . These are:

These four parts of an effective workplace add up to a whole that is greater than the sum of its parts. These four factors create synergy.

Synergy = synchronised energy

Consider this:
Semler (1983) stated that the challenge of management is to create an environment where people were pleased to come to work in the morning.

The following reading revisits the functions and covers the role of the supervisor, manager or leader. It concludes a wide range of issues. It is written with the idea that the reader is either preparing for, or is currently employed at a supervisory or management level.

Reading 8.2

Timm, P. 2001, "Roles of the supervisor, manager, or leader".

Key service concept:
For customer service to be a key strategic issue and embedded in organisational culture, merely sending front office staff to a training course will not be effective. The impetus, the desire, the willingness to serve both external and internal customers must come from the top, the side and the middle at all times and it must be witnessed, not merely heard.

Activity 8.1

Take a moment to go back to chapter 3 and revisit briefly the section on TQM-core concepts and establishing the quality culture. Note how many of the concepts discussed earlier are interrelated with each new topic we raise. You should also be discovering the interrelatedness of the subjects within the course.

The following short reading is an example from the port sector covering the range of issues that impact on the organisation as a whole and the role of the manager in building a culture focussed on the customer.

Reading 8.3

Duffy, E. 1999, "Inclusivity".

Now that you have a feel for the changes at the Port, work through the strategic plan, what Sanderson calls the "strategic framework" upon which to hang the "feel good issues". Notice how the customer is a major stakeholder.

Reading 8.4

Fremantle Port 2000, A Guide to our Business.

This brochure may also be downloaded directly from the site www.fremantleport.com.au

In the Duffy reading (8.3 above) note that the CEO touches on empowerment and the importance of responsibility. You may remember in Principles of Management we raised the idea of inverting the typical management pyramid? The following reading covers these issues in a customer service context:

Reading 8.5

DeVrye, C. 2000, extract from "Empowerment".

In the Duffy reading note that the CEO states that the first thing was to change the culture. This is also raised in the following reading, turning cultures that cannot into cultures that can (you may see some points in reading 8.6 that do not "sit well" with you).

Reading 8.6

Buchanan, R. 2002, "The enemy within that sabotages companies, customer service and jobs".

Activity 8.2

Use examples from organisations in the maritime industry to explain how customer service must be a key strategic issue, embedded in organisational culture.

Some general service readings as related to the maritime industry follow.

Reading 8.7

Olsztynski, J. 2001,"Thomas Pipe".

Reading 8.8

Sowinski, L. 2001, "What do auto shippers look for in their transportation network?".

The first rule is to change the rules

"Do you ... understand today's rules and regulations well enough to spearhead change? Are the changes you would like to bring about motivated by the knowledge that your customers will benefit? Are the people in your organisation committed to supporting a political fight for a needed change? Does your company have mechanisms for enlisting the support of your employees, your customers, your suppliers, the business community, and the general public?"

... when Smith (of the well-known FedEx Corporation) convinced the US Congress to deregulate the air-express business, competitors shared the benefits, and industry revenues jumped tenfold. FedEx shook the package-delivery business when it discarded Postal Code-inspired zone-and-volume pricing systems in favour of fixed pricing. Confusion over charges all but disappeared. The change not only simplified processes at FedEx, but also allowed customers to project their shipping costs with accuracy.

Adapted from: Wetherbe, 1996

Activity 8.3

Compile a bulleted list of recommendations for involving all employees in an organisation in service excellence. You are encouraged to base your answer around a specific maritime industry organisation - preferably, your own organisation or one with which you are familiar.

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