Leadership Chapter 1 - Introduction

Leadership is a highly sought-after and highly valued commodity. In the 15 years since the first edition of this book was published, the public has become increasingly captivated by the idea of leadership. People continue to ask themselves and others what makes good leaders. As individuals, they seek more information on how to become effective leaders. As a result, bookstore shelves are filled with popular books about leaders and advice on how to be a leader. Many people believe that leadership is a way to improve their personal, social, and professional lives.

Corporations seek those with leadership ability because they believe they bring special assets to their organizations and, ultimately, improve the bottom line. Academic institutions throughout the country have responded by providing programs in leadership studies. In addition, leadership has gained the attention of researchers worldwide. A review of the scholarly studies on leadership shows that there is a wide variety of different theoretical approaches to explain the complexities of the leadership process (e.g., Bass, 1990; Bryman, 1992; Bryman, Collinson, Grint, Jack- son & Uhl-Bien, 2011; Day & Antonakis, 2012; Gardner, 1990; Hickman, 2009; Mumford, 2006; Rost, 1991). Some researchers conceptualize leadership as a trait or as a behavior, whereas others view leadership from an information-processing perspective or relational standpoint. Leadership has been studied using both qualitative and quantitative methods in many contexts, including small groups, therapeutic groups, and large organizations. Collectively, the research findings on leadership from all of these areas provide a picture of a process that is far more sophisticated and complex than the often simplistic view presented in some of the popular books on leadership.

This book treats leadership as a complex process having multiple dimensions. Based on the research literature, this text provides an in-depth description and application of many different approaches to leadership. Our emphasis is on how theory can inform the practice of leadership. In this book, we describe each theory and then explain how the theory can be used in real situations.

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Green  = Ziddu

Yellow = Ubuntu One

Leadership Chapter 2 - Traits Approach

Of interest to scholars throughout the 20th century, the trait approach was one of the first systematic attempts to study leadership. In the early 20th century, leadership traits were studied to determine what made certain people great leaders. The theories that were developed were called “great man” theories because they focused on identifying the innate qualities and characteristics possessed by great social, political, and military leaders (e.g., Catherine the Great, Mohandas Gandhi, Indira Gandhi, Abraham Lincoln, Joan of Arc, and Napoleon Bonaparte). It was believed that people were born with these traits, and that only the “great” people possessed them. During this time, research concentrated on determining the specific traits that clearly differentiated leaders from followers (Bass, 1990; Jago, 1982).

In the mid-20th century, the trait approach was challenged by research that questioned the universality of leadership traits. In a major review, Stogdill (1948) suggested that no consistent set of traits differentiated leaders from nonleaders across a variety of situations. An individual with leadership traits who was a leader in one situation might not be a leader in another situation. Rather than being a quality that individuals possess, leadership was reconceptualized as a relationship between people in a social situation. Personal factors related to leadership continued to be important, but researchers contended that these factors were to be consid-ered as relative to the requirements of the situation.

The trait approach has generated much interest among researchers for its explanation of how traits influence leadership (Bryman, 1992). For example, an analysis of much of the previous trait research by Lord, DeVader, and Alliger (1986) found that personality traits were strongly associated with individuals’ perceptions of leadership. Similarly, Kirkpatrick and Locke (1991) went so far as to claim that effective leaders are actually distinct types of people in several key respects.

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Supplement to Chapter 5 – Decision Theory

LEARNING OBJECTIVES
After completing this supplement, you should be able to:
1. Describe the different environments under which operations decisions are made.
2. Describe and use techniques that apply to decisions making under uncertainty.
3. Describe and use the expected-value approach.
4. Construct a decisions tree and use it to analyze problem.
5. Compute the expected value of perfect information.
6. Conduct sensitivity analysis on a simple decisions problem.

SUPPLEMENT OUTLINE
Introduction
Causes of Poor Decisions
Decisions Environments
Decisions Making under Certainty
Decisions Making under Uncertainty
Decisions Making under Risk
Decisions Trees
Expected Value of Perfect Information (EVPI)
Sensitivity Analysis
Summary
Key Terms
Solved Problems
Discussion and Review Questions
Problems
Selected Bibliography and Further Reading

INTRODUCTION

Decision Theory represents a general approach to decisions making. It is suitable for a wide range of operations management decisions. Among of them are capacity planning, product and service design, equipment selection, and localization planning. Decisions that lend themselves to a decision theory approach tend to be characterized by these elements:

1. A set of possible future conditions that will have a bearing on the result of the decision.
2. A list of alternatives for the manager to choose from.
3. A known payoff for each alternative under each possible future condition.

To use this approach, a decision maker would employ this process:
1. Identify the possible future conditions (e.g., demand will be low, or high; the competitor will or will not introduce a new product). These are called states of nature.
2. Develop a list of possible alternatives, one of which may be to do nothing.
3. Determine or estimate the payoff associated with each alternative for every possible future condition.
4. If possible, estimate the likelihood of each possible future condition.
5. Evaluate alternatives according to some decision criterion (e.g., maximize expected profit), and select the best alternative.

The information for a decisions is often summarized in a payoff table, which shows the expected payoffs for each alternative under the various possible states of nature. These table are helpful in choosing among alternatives because they facilitate comparison of alternatives. Consider the following payoff table, which illustrates a capacity planning problem.

POSSIBLE FUTURE DEMAND

Alternatives                      Low     Medium   High
Small facility                     $10*    $10          $10
Medium facility                   7          12            12
Large facility                     (4)           2            16
*Present value with millions

The payoffs are shown in the body of the table. In this instance, the payoffs are in terms of present values, which represent equivalent current dollar values of expected future income less costs. This is a convenient measure because it places all alternatives on a comparable basis. If a small facility is built, the payoff will be the same for all three possibles states of nature. For a medium facility, low demand will have a present value of $70 million, where seas both moderate and high demand will have present values of a $12 million. A large facility will have a loss $4 million if demand is low, a present value of $12 million if demand is moderate, and a present value of $16 million if demand is high.

The problem for the decisions maker is to select one of the alternatives, taking the present value into account.
Evaluation of the alternatives differs according to the degree of certainty associated with the possible future conditions.

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Green  = Ziddu

Yellow = Ubuntu One

Supplement for Chapter 4 - Reliability

Keandalan merupakan ukuran kemampuan suatu produk, layanan, bagian, atau sistem untuk melakukan fungsi yang dituju pada suatu set atau kondisi  yang ditentukan. Pada dasarnya, keandalan adalah probabilitas.

Misalkan sebuah item memiliki keandalan .90. Ini berarti bahwa ia memiliki probabilitas 90 persen berfungsi seperti yang di inginkan. Kemungkinan akan gagal adalah 1-0,90 = .10, atau 10 persen. Karenanya, diharapkan, rata-rata, 1 dari setiap 10 item tersebut akan gagal atau, setara, bahwa item akan gagal, rata-rata, sekali dalam setiap 10 percobaan. Demikian pula, keandalan dari 0,985 menyiratkan kegagalan 15 per 1.000 bagian dari percobaan.

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Chapter 5 - Strategy Capacity Planning for Products and Services

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