Chapter 1: Management and Organizations

8/14/2019 Chapter 1: Management and Organizations

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Chapter 1:

Management andOrganizations

Chapter 1:

Management andOrganizations


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Learning ObjectivesLearning Objectives

After studying this chapter, you should be able to:

Define the term management

Explain the major challenges with which managersmust deal

Describe how historical research on management

has contributed to the current practice of

management

Identify and discuss the primary managerial

functions

After studying this chapter, you should be able to:

Define the term management

Explain the major challenges with which managersmust deal

Describe how historical research on management

has contributed to the current practice of

managementIdentify and discuss the primary managerial

functions


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Learning ObjectivesLearning Objectives

Explain the three general roles involved in

managerial work and the specific roles within

each

Explore and describe the three dimensions of

managerial jobs

Discuss the primary skills required to be an

effective manager

Explain the three general roles involved in

managerial work and the specific roles within

each

Explore and describe the three dimensions of

managerial jobs

Discuss the primary skills required to be an

effective manager


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What is Management?What is Management?

Management is a process thatinvolves:

Assembling and using setsof resources

Acting in a goal-directedmanner to accomplish tasks

Activities carried out in anorganizational setting

Management is a process thatinvolves:

Assembling and using setsof resources

Acting in a goal-directedmanner to accomplish tasks

Activities carried out in anorganizational setting


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Managerial ChallengesManagerial Challenges

Managing

Entrepreneurially

Managing

Strategically

Managing

Resources

Managing

Change

Managerial

Challenges


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Managerial Challenges: Managing ChangeManagerial Challenges: Managing Change

Managing change:

Is the most persistent,pervasive and powerfulchallenge for managers

Requires managers to gainemployee acceptance

Two causes of change:

Technology

Globalization

Managing change:

Is the most persistent,pervasive and powerfulchallenge for managers

Requires managers to gainemployee acceptance

Two causes of change:

Technology

Globalization


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Managerial Challenges: Managing

Resources


Resources

Managers must manage

resources, including:Financial capital

Human resources

Physical resources

Technology

Managers must manage

resources, including:Financial capital

Human resources

Physical resources

Technology


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Strategically


Strategically

Managers must:

Develop strategies to

achieve the

organizations goals

Implement the strategies

effectively by managing

human resources

Managers must:

Develop strategies to

achieve the

organizations goals

Implement the strategies

effectively by managing

human resources


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Entrepreneurially


Entrepreneurially

Managingentrepreneuriallyinvolves:

Searching for newopportunities

Identifying new ideasfor new markets

Emphasizing actions totake advantage ofuncertainty

Managingentrepreneuriallyinvolves:

Searching for newopportunities

Identifying new ideasfor new markets

Emphasizing actions totake advantage ofuncertainty


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Historical Approaches to ManagementHistorical Approaches to Management

Ancient China and art of

warfare

Ancient Egypt and

building of pyramidsRoman Empire and

building of roads and

viaducts

Industrial Revolutionand modern

management

Ancient China and art of

warfare

Ancient Egypt and

building of pyramidsRoman Empire and

building of roads and

viaducts

Industrial Revolutionand modern

management


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What Managers DoWhat Managers Do

Managerial activities differ

by:

The functions managersserve

The roles in which

managers operate

The dimensions of each

managers job

Managerial activities differ

by:

The functions managersserve

The roles in which

managers operate

The dimensions of eachmanagers job


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Managerial FunctionsManagerial Functions

PlanningPlanning

Or

ga

nizin

g

Or

ga

nizin

g

DirectingDirecting

Con

tro

lling

Con

tro

lling

ManagingManaging

Adapted from Exhibit 1.1


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PlanningPlanning

Planning involves:

Estimating future conditions

and circumstances

Making decisions based on

these estimations about

what work is to be done:

- By the manager- By all of those for whom

she or he is responsible

Planning involves:

Estimating future conditions

and circumstances

Making decisions based on

these estimations about

what work is to be done:

- By the manager- By all of those for whom

she or he is responsible


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OrganizingOrganizing

Organizing involves paying

attention to:

The structure of

relationships amongpositions

The people occupying

those positions

Linking that structure tothe overall strategic

direction of the

organization

Organizing involves paying

attention to:

The structure of

relationships amongpositions

The people occupying

those positions

Linking that structure tothe overall strategic

direction of the

organization


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DirectingDirecting

Directing is the process of

influencing other people to

attain organizational

objectives:Motivating others

Interacting effectively in

group and team situations

Communicating in support

of others efforts

Directing is the process of

influencing other people to

attain organizational

objectives:Motivating others

Interacting effectively in

group and team situations

Communicating in support

of others efforts


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ControllingControlling

Regulating the work of those forwhom a manager is responsible,including:

Setting standards of performance

in advanceMonitoring ongoing (real time)performance

Assessing a completedperformance

Results of the control process(evaluation) are fed back to theplanning process

Regulating the work of those forwhom a manager is responsible,including:

Setting standards of performance

in advanceMonitoring ongoing (real time)performance

Assessing a completedperformance

Results of the control process(evaluation) are fed back to theplanning process


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Managerial RolesManagerial Roles

Interpersonal

Roles

Interpersonal

Roles FigureheadFigurehead LeaderLeader LiaisonLiaison


Figurehead: attending ceremonial activities

Leader: influencing or directing others

Liaison: contacting others outside the formal chain

of command

Figurehead: attending ceremonial activities

Leader: influencing or directing others

Liaison: contacting others outside the formal chain

of command


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Informational

Roles

Informational

Roles MonitorMonitor DisseminatorDisseminator SpokespersonSpokesperson


Monitor: seeking information to be aware of crucialdevelopments

Disseminator: receiving and sending information

Spokesperson: representing the views of the unit forwhich he/she is responsible

Monitor: seeking information to be aware of crucialdevelopments

Disseminator: receiving and sending information

Spokesperson: representing the views of the unit forwhich he/she is responsible


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Decisional

Roles

Decisional

Roles EntrepreneurEntrepreneurDisturbance-

handler

Disturbance-

handlerResource-

allocator

Resource-

allocatorNegotiatorNegotiator


Entrepreneur: exploring new opportunities

Disturbance-handler: acting as a judge or problem solverin conflicts among employees

Resource-allocator: deciding how resources will bedistributed

Negotiator: making accommodations with other units

Entrepreneur: exploring new opportunities

Disturbance-handler: acting as a judge or problem solverin conflicts among employees

Resource-allocator: deciding how resources will bedistributed

Negotiator: making accommodations with other units


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Managerial Job DimensionsManagerial Job Dimensions

Activities or duties that

must be carried out

Standards or levels ofminimum performance

that must be met

Activities or duties that

must be carried out

Standards or levels ofminimum performance

that must be met

DemandsDemands


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Factors that limit the

response of the manager:

TimeBudgets

Technology

Attitudes of subordinates

Legal regulations

Factors that limit the

response of the manager:

TimeBudgets

Technology

Attitudes of subordinates

Legal regulations

DemandsDemands

ConstraintsConstraints


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Discretionary behavior

How work is to be done

How much work is to bedone

Who will do the work

What initiatives will be

undertaken from almost

infinite possibilities

Discretionary behavior

How work is to be done

How much work is to bedone

Who will do the work

What initiatives will be

undertaken from almost

infinite possibilities

DemandsDemands

ConstraintsConstraints

ChoicesChoices


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Job A:

Project Team Manager

Job B:

Fast Foods RestaurantManager

Demands Develop new product with

strong market appealHold formal weekly progressmeeting with boss

Frequent travel to othercompany sites

Maintain attractive appearance

of restaurantKeep employee costs as low aspossible

Meet standards for speed ofservice

Two Managerial JobsTwo Managerial Jobs



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Job A:


Job B:


Constraints 12 month deadline for product

developmentProject budget limit of $1million

No choice in selecting teammembers

Most employees have limited

formal educationFew monetary incentives toreward outstandingperformance

Federal and state health andsafety regulations




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Job A:


Job B:


Choices The organizational structure of

the project teamSequencing of project tasks

Budget allocation

Selection of employee to

promote to supervisorScheduling of shifts andassignments

Local advertising promotions




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What Skills Do Managers Need?What Skills Do Managers Need?

TECHNICAL SKILLS

Specialized knowledge

(Including when and how to use the skills)

TECHNICAL SKILLS

Specialized knowledge

(Including when and how to use the skills)

INTERPERSONAL SKILLS

Sensitivity, persuasiveness, empathy

INTERPERSONAL SKILLS

Sensitivity, persuasiveness, empathy

CONCEPTUAL SKILLS

Logical reasoning, judgment,

analytical abilities

CONCEPTUAL SKILLS

Logical reasoning, judgment,

analytical abilities



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Impo

rtan

ce

Importance of Managerial Skills at

Different Organizational Levels

Importance of Managerial Skills at

Different Organizational Levels

HighHigh

Low

Interpersonal skills

Technical skills

Conceptual skills


Entry-Level

Managers

Mid-Level

Managers

Top-Level

Managers


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Who Succeeds? Who Doesnt?Who Succeeds? Who Doesnt?

Potential leaders share

traits early on:


traits early on:

Have survived stressful

situations

Have survived stressful

situations

Often described as moody

or volatile. May be able tokeep their temper with

superiors during crises

but are hostile toward

peers and subordinates.

Often described as moody

or volatile. May be able tokeep their temper with

superiors during crises

but are hostile toward

peers and subordinates.

Maintain composure in

stressful situations, arepredictable during

crises, are regarded as

calm and confident.

Maintain composure in

stressful situations, arepredictable during

crises, are regarded as

calm and confident.

Bright, with outstanding

track records

Bright, with outstanding

track records

Have been successful,

but generally only in

one area or type of job.

Have been successful,

but generally only in

one area or type of job.

Have diverse track

records, demonstrated

ability in many differentsituations, and a breadth

of knowledge of the

business or industry.

Have diverse track

records, demonstrated

ability in many differentsituations, and a breadth

of knowledge of the

business or industry.

Those who dont quite

make it:


make it:

Those who succeed:Those who succeed:



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traits early on:


traits early on:

Ambitious and oriented

toward problem solving

Ambitious and oriented

toward problem solving

Micromanage a position,

may staff with theincorrect people or

neglect the talents they

have, depend on a single

mentor.

Micromanage a position,

may staff with theincorrect people or

neglect the talents they

have, depend on a single

mentor.

Keep their minds

focused on the nextposition, develop

competent successors,

seek advice from many

sources.

Keep their minds

focused on the nextposition, develop

competent successors,

seek advice from many

sources.

Have a few flawsHave a few flaws Cover up problems while

trying to fix them. If the

problem cant be hidden,they tend to go on the

defensive and even

blame someone else for

it.

Cover up problems while

trying to fix them. If the

problem cant be hidden,they tend to go on the

defensive and even

blame someone else for

it.

Make a few mistakes, but

when they do, they admit

to them and handle themwith poise and grace.

Make a few mistakes, but

when they do, they admit

to them and handle themwith poise and grace.


make it:


make it:




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traits early on:


traits early on:

Good people skillsGood people skills May be viewed as

charming but political or

direct but tactless, cold,and arrogant. People

dont like to work with

them

May be viewed as

charming but political or

direct but tactless, cold,and arrogant. People

dont like to work with

them

Can get along well with

different types of people,

are outspoken withoutbeing offensive, are

viewed as direct and

diplomatic.

Can get along well with

different types of people,

are outspoken withoutbeing offensive, are

viewed as direct and

diplomatic.


make it:


make it:



Documents

Chapter 1: Management and Organizations