Manufacturing Management 180

accountability

The state of being totally answerable for the satisfactory completion of a specific assignment. A project manager is typically accountable for the entire project.

authority

The power granted to individuals to make decisions for others to follow. Project managers have the authority to assign tasks to subordinates.

Behavior Theory

The belief that leadership consists of a certain set of behaviors that can be learned.

benchmarking

A method of situational analysis that compares the operations of one organization with the operations of another that is perceived to be more successful.

binding arbitration

The final step in a grievance process in which a neutral third party hears both sides of the case and makes a binding decision to resolve the dispute. Binding arbitration is a last resort in settling a labor dispute.

budgeting

Determining an estimated capital and labor cost for a project. A project manager will frequently have to make decisions about tasks in a project, based on their costs in relation to the budget.

business ethics

The obligation of an organization to maximize profits for stakeholders while maintaining social responsibility and upholding community values. Also called corporate ethics.

CBA

Collective Bargaining Agreement. An employment agreement negotiated by a union with the employer that defines the employment relationship for all employees. A collective bargaining agreement is often referred to as a contract.

centralized

When decision-making authority is not delegated and resides in one person, or a small number of persons, especially at higher levels of management. A line-and-staff organization is centralized.

codes of professional ethics

A particular profession's formal statement of ethical practice. The code of ethics provides guidance for professionals in situations where the law may not be clear.

collective bargaining

A negotiation process in which representatives of employees meet with employer representatives to discuss wages, benefits, and working conditions.

collective bargaining agreement

An employment agreement negotiated by a union with the employer that defines the employment relationship for all employees. A collective bargaining agreement is often referred to as a contract.

confidentiality agreement

An agreement not to reveal proprietary information. During an OSHA inspection, companies may ask the inspectors to sign a confidentiality agreement.

content theories

The idea that motivation is intrinsic and based on individual needs. Maslow's Hierarchy of Needs is an example of a content theory of motivation.

contingency theory

Contingency Theory of Leadership. The belief that the characteristics of a situation determine the appropriate leadership type. Also known as Situational Theory of Leadership.

control

Addressing variance between a project's actual status and its planned status at a given time to bring the two in line. If a project is behind schedule, the manager will act to control the variance and get the project back on schedule.

corporate ethics

The obligation of an organization to maximize profits for stakeholders while maintaining social responsibility and upholding community values. Also called business ethics.

cost variance

The difference between the earned value of the project and the actual cost of the project, abbreviated CV. The formula is CV = EV - AC

CPM

Critical Path Method. Creation of a network diagram of project tasks, showing which are dependent upon completion of prior tasks.

critical path

The longest-duration path along the critical path network diagram, showing estimated time to completion of the project.

Critical Path Method

CPM. Creation of a network diagram of project tasks, showing which are dependent upon completion of prior tasks.

CV

Cost variance. The difference between the earned value of the project and the actual cost of the project. The formula is CV = EV - AC

data-driven decision-making

The use of data and analytical models to determine organizational decisions. An outcome of operations research.

decentralized

Where decision-making authority is delegated among many people, especially at lower levels. The more important and far-reaching the decisions, the more decentralized the organization.

decision-tree

A normative model of decision-making that uses a tree-like chart to map decisions and their possible consequences. In this case, the consequences are different leadership approaches a manager can take with subordinates.

deliverable

The outcome, final product or objective of a project.

Delphi Method

A qualitative method of analysis that uses opinions from knowledgeable sources to come to consensus about future conditions.

deterministic

Having an outcome that can be predicted because all causes are known.

divisional organization

A departmentalized, hierarchical organization with mostly vertical information flow, also called product organizational design. Each division in the organization has nearly identical functional units.

due process

Procedures in a collective bargaining agreement, which must be followed, regarding all aspects of the employment relationship, especially discipline and termination.

earned value

EV. The amount of completed work in a project, usually expressed in terms of dollars or hours.

employee-centered leader

A leader practicing a work environment based on delegation, collaboration and teamwork.

environmental scan

An evaluation of the internal and external operations of an organization. Also known as situational analysis.

Equity Theory

A theory of motivation that states a worker will put forth effort based on a perceived ratio of effort-to-reward, especially when compared to other workers.

ethics

A set of values or a moral code.

EV

The amount of completed work in a project, usually expressed in terms of dollars or hours, abbreviation for Earned Value.

Expectancy Theory

A theory of motivation that states a worker will put forth effort toward achievement goals because the goals lead to rewards that have personal value.

exponential smoothing

A method to calculate demand using a mathematical "smoothing" constant. This requires less data, and is the most common method to forecast demand.

fishbone diagrams

A cause and effect chart that attempts to show every possible cause for each effect. Also called an Ishikawa diagram.

Five Forces Model

A method of situational analysis. An evaluation of the external influences on an organization: potential competitors, suppliers, customers, substitutes, and existing competitors.

forecasting

Predicting what a future condition should look like, based on research and analysis.

functional organization

A centralized, hierarchical organization with vertical information flow and authority relationships. Also called line-and-staff or bureaucratic organizational design.

Gantt Chart

A horizontal bar graph showing a planned duration for each project task, and the project as a whole. It is often used in conjunction with the Work Breakdown Structure.

general duty clause

Part of the OSHA act that requires employers to provide reasonable safety conditions even in the absence of a formal regulation.

goals

Specific, shorter-term (three to six months) statements of an organization's future direction.

grievance

An official complaint against an organization brought by an employee or union.

independent contractors

A person who provides goods or services to an organization under a contract or verbal agreement. They are not regular employees of an organization.

industrial relations

A term describing the employment relationship, also called labor relations.

Ishikawa diagram

A cause and effect chart that attempts to show every possible cause for each effect. Also called a "fishbone" diagram.

job-centered leader

A leader practicing close supervision and keeping a highly-structured work environment.

labor relations

A term describing the employment relationship, also called industrial relations.

leadership

The ability to influence others to accomplish common goals.

line and staff organization

A centralized, hierarchical organization with vertical information flow and authority relationships. Also called functional or bureaucratic organizational design.

matrix structure

A decentralized organization with both vertical and horizontal information flow and authority relationships.

MBA degree

Master's degree in Business Administration. An advanced degree based on core areas of business, such as accounting, finance, marketing, human resources, and operations management.

mediation

A technique for dispute resolution in which a neutral third party helps two sides find common agreement and compromise.

mission

An organization's statement of purpose, the reason for its existence.

monitoring

Collecting and reporting data on all aspects of a project (e.g., time, costs, milestones).

motivation

The desire to achieve specific goals or objectives.

moving average

A calculation of average demand over time, usually a number of weeks or months.

National Institute for Occupational Safety and Health

NIOSH. A federal research agency tasked with researching and developing workplace health and safety recommendations.

National Labor Relations Act

The National Labor Relations Act of 1935 that guarantees employees the right to collective bargaining for wages and working conditions. Also known as the Wagner Act, or NLRA.

National Labor Relations Board

The federal agency tasked with enforcing the provisions of the Wagner Act and other labor laws.

NIOSH

National Institute for Occupational Safety and Health. A federal research agency tasked with researching and developing workplace health and safety recommendations.

NLRA

The National Labor Relations Act of 1935 that guarantees employees the right to collective bargaining for wages and working conditions. Also known as the Wagner Act.

normative theory

A situational leadership theory that uses a decision-tree to determine appropriate leadership type.

objectives

Broad, long-term (usually up to five years) statements of an organization's future direction.

Occupational Safety and Health Administration

OSHA. The federal agency tasked with enforcing workplace health and safety regulations.

operations research

A discipline of collecting data and applying scientific and mathematical methods to decision-making.

organizational design

The process of creating an organizational structure by defining authority relationships, business processes and information flow.

OSHA

Occupational Safety and Health Administration. The federal agency tasked with enforcing workplace health and safety regulations.

Pareto Analysis

A statistical method of identifying the small number of tasks that have disproportionate effects on the overall project. The basis of the analysis is the idea that 20% of causes lead to 80% of effects.

path-goal theory

A situational leadership theory that uses the leader's own intuition and knowledge of employee characteristics to determine appropriate leadership type.

PERT

Program Evaluation and Review Technique. A kind of critical path analysis which accounts for variances in completion time for tasks and more accurately predicts project duration.

portfolio

A group or series of programs and/or projects.

process theories

The idea that motivation is extrinsic and based on rewards and the value of rewards.

product organization

A departmentalized, hierarchical organization with mostly vertical information flow, also called Divisional organizational design.

productivity

The ratio of earned value hours to the actual hours of the project.

professional ethics

A set of values or moral code based upon a particular profession's best practices.

professional licensure

A process of study and/or apprenticeship required before an individual is permitted to practice a particular profession.

program

A group or series of projects with related objectives.

Program Evaluation and Review Technique

PERT. A kind of critical path analysis which accounts for variances in completion time for tasks and more accurately predicts project duration.

project

All of the needed elements required to fulfill a particular organizational objective.

project management

The organization, planning and monitoring of all aspects of a project.

project manager

The person responsible for ensuring that all aspects of a project run to schedule and that outcomes are achieved.

project organizing

The process of allocating resources and scheduling tasks for successful completion of a project.

project planning

All of the managerial activity necessary to begin a project, including defining individual tasks and creating an organizational structure.

qualitative analysis

Subjective, opinion-based research. Qualitative analysis is often done with questionnaires or surveys.

quantitative analysis

Objective, data-based and mathematical research. Quantitative analysis uses statistical methodology to arrive at conclusions.

regression analysis

A quantitative method of analysis that establishes a relationship between a specific condition and some causal factor affecting the condition.

responsibility

The obligation incurred by individuals to effectively perform assignments in their roles in the formal organization.

schedule variance

SV. The difference between the earned value of the project and the planned value of the project. The formula is SV = EV - PV

scope

The range of tasks required for a project to achieve its outcomes.

SEP

Special Emphasis Program. OSHA inspection and enforcement strategies that focus on specific hazards or industries that pose particular risks to workers. Examples include lead and amputations due to hazardous machinery.

situational analysis

An evaluation of the internal and external operations of an organization. Also known as an environmental scan.

situational theory

Situational Theory of Leadership. The belief that the characteristics of a situation determine the appropriate leadership type, also known as Contingency Theory of Leadership.

Special Emphasis Program

OSHA inspection and enforcement strategies that focus on specific hazards or industries that pose particular risks to workers. Examples include lead and amputations due to hazardous machinery. Also known as SEP.

sponsor

Usually a high-level management figure within an organization who can provide resources, advocacy, and influence for projects.

staffing

Determining who in the organization will have a role in a project. Staffing a project is often done with the aid of an organization's Human Resources department.

stakeholder

Those who are affected by decisions made throughout a project's duration.

status reports

An analysis of the progress of a project based on measurements such as earned value and productivity.

strategic planning

Long-term planning for achieving an organization's objectives. Strategic plans typically cover three to five years, but may reach as far as 20 years.

SV

Schedule Variance. The difference between the earned value of the project and the planned value of the project. The formula is SV = EV - PV

SWOT analysis

A method of situational analysis, an evaluation of an organization's Strengths, Weaknesses, Opportunities, and Threats.

synergistic

An approach to work in which the combined effort is greater than individual efforts. Project teams work synergistically.

systems approach

A holistic approach to organizational design that emphasizes habits or practices over hierarchy and defined information flow.

team structures

A group of individuals with shared responsibility working toward a common goal. Team structures have become very common in project management.

Theory X

A supervision theory that assumes workers hate work and will avoid it whenever possible.

Theory Y

A supervision theory that assumes workers have a desire to be active and will find work satisfying.

Theory Z

A supervision theory based on empowerment of workers in the decision-making process. This theory grew out of collaboration between Japanese and American organizations and is a combination of supervision styles from each country.

time series analysis

A quantitative method of analysis that assumes what has occurred in the past will continue into the future.

Trait Theory

The belief that certain personal traits indicate leadership ability.

union shop

A workplace in which all employees are members of a union, or required to pay a fair share fee. Sometimes called a closed shop.

values

An organization's core beliefs, defining what is important to the organization.

vision

A description of an organization's desired future state.

Wagner Act

The National Labor Relations Act of 1935 that guarantees employees the right to collective bargaining for wages and working conditions.

WBS

Work Breakdown Structure. A hierachical chart listing all the tasks necessary for successful completion of a project.

weighted moving average

A calculation of average demand over time, with some extra weight given to certain time periods, such as one month out of three.

whistle-blowing

Reporting a willful violation of law, regulation or professional recommendation, especially if it may lead to injury or loss of life.

Work Breakdown Structure

WBS. A hierachical chart listing all the tasks necessary for successful completion of a project. It is often used in conjunction with a Gantt chart.

workplace democracy

A collaborative and problem-solving approach to conflict in the employment relationship. All employees are part of the decision-making process.