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Introduction to
Management Theory and
Practice
By: Handema M.
Managers and Organizations Managers work in Organizations
Organization
◦ A deliberate arrangement of people brought
together to accomplish some specific purpose.
Such us football teams.
Common Characteristics of Organizations
◦ Distinct purpose expressed in a goal or a set of
goals
◦ People working together to achieve the orgs goal
through a set of decisions and work activities.
◦ A deliberate systematic structure that define and
limits the behavior of its members 1-2
Copyright ©2011 Pearson Education
Characteristics of Organizations
1-3Copyright ©2011 Pearson
Education
Managerial and Non – managerial
Employees
Non – managerial Employees
◦ People who work directly on a job or task
and have no responsibility for overseeing the
work of others.
◦ Examples, associates, team members
Managers
◦ Individuals in organizations who direct and
oversee the activities of others.
◦ Managers do work directly on tasks such as
servicing some costumers.
1-4Copyright ©2011 Pearson
Education
5
Classification of Mgrs
Managers can be classified by:
◦ Degree of specialization
Horizontal classification
◦Organisational level.
Vertical classification
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Degree Of Specialisation
General Managers
◦ They have least amount of specialization
Functional Managers
◦ They have job duties in a particular functional
area of an organisation
Management Levels
Classification of Managers
Top Managers ◦ Responsible for making decisions about the direction of the
organization and establishing policies and philosophies that effect all organizational members .
◦ Examples; President, Chief Executive Officer, Vice-President
Middle Managers ( btw the lowest and top levels)◦ Manage the activities of other managers and non managerial
employees and translating the goals set by top managers to specific details that lower managers can understand.
◦ Examples; District Manager, Division Manager
First-line Managers ◦ Responsible for directing the day to day activities of non –
managerial employees
◦ Examples; Supervisor, Team Leader
1-8Copyright ©2011 Pearson
Education
Management Defined Management
◦ The process of working with and through others to
achieve organizational objectives in a changing
environment.
◦ It entails the effective and efficient use of limited
resources.
Effectiveness
◦ “Doing the right thing” It is concerned achieving stated
organizational objective
Efficiency
◦ “Doing things right”, and getting the most output from
the least amount of input( minimizing the cost).
Efficiency and Effectiveness
Nature of Management
Management can be viewed as:
1. A Discipline
2. A Process
3. An Art
4. A Career
5. As People
1
1
1
2
As a Discipline
◦ This implies that it is an accumulated body of knowledge
that can be learned by study.
It is a subject with principles, concepts and theories.
◦ The purpose of studying management is to understand
these principles, concepts and theories, and learn how to
apply them in the process of managing
As a Process
◦ It involves certain functions and work activities that
managers perform to achieve goals of an organisation
As an Art
◦ Successful managers are those born with appropriate
initiation, intelligence and personality, which they develop
through the practice of leadership.
Nature of Management
1
3
As a Career
◦ People who wish to have a career as a manager must
study the discipline of management as a means toward
practicing the process of management.
As people
◦ It refers to people who engage in the process of management.
Managers are the people primarily responsible for seeing that work gets done in an organisation.
◦ The perspective of management also refers to
The workers whom managers work with and manage in accomplishing an organisation's goals.
Nature of Management
Key Aspects of the
Management Process
1
5
Management is a social process that calls for
managers to interact well with others.
Shortcomings of “derailed” managers
Problems with interpersonal relationships
Failure to meet business objectives
Failure to build and lead a team
Inability to change and adapt during a
transition
Working with and through
others
1
6
Achieving Organisational
Objectives
Objectives are the desired end-results the
organisation strives to achieve.
They give purpose and direction to the
management process.
They serve later as yardsticks for
performance.
They may include:
◦ profitability, market share, productivity,
diversification
1
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Balancing Effectiveness and Efficiency
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Making the Most of Limited Resources
We live in a world of scarcity.
There is a lopsided use of resources.
Our planet is becoming increasingly crowded.
Managers are responsible for the efficient and
effective use of the basic factors of production–land,
labor, and capital.
1
9
Coping With a Changing
Environment
Major Sources of Change for Today’s Managers
◦ Globalization
◦ Environmentalism
◦ An ethical reawakening
◦ The Internet and the e-business revolution
◦ The evolution of product quality
The fix-it-in approach
The inspect-it-in approach
The build-it-in approach
The design-it-in approach
What Managers Do
Management
researchers have
developed three
approaches to
describe what
managers do:
functions , roles and
skills.
1-20Copyright ©2011 Pearson Education
2
1
What Managers Do
Managerial Functions
– General administrative duties that need to be
carried out in virtually all productive
organizations to achieve desired outcomes
Managerial Roles
– Specific categories of managerial behavior that
managers use to achieve desired outcomes
Managerial Skills
– Specific observable abilities that effective
managers exhibit
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2
Managerial Functions
2
3
Functions in the Management
Process cont’d1. Planning
◦ The primary management function concerned with the
formulation of future courses of action.
◦ Plans and the objectives on which they are based give purpose
and direction to the business enterprise.
2. Decision-Making
◦ Implies a choice from among two/more alternative courses of
action.
3. Organizing
◦ Includes determining what tasks to be done, who is to do them,
how the tasks are to be grouped, who reports to whom, and
where decisions are to be made
4. Staffing
◦ Recruiting, training and developing people who can contribute to
the organized effort.
2
4
Functions in the Management
Process cont’d
5. Communicating
◦ Managers are responsible for communicating to their
subordinates and employees the technical knowledge, instructions,
rules and information required to get the job done.
6. Motivating
◦ Gaining the commitment of their employees and helping them in their quest to satisfy their needs
◦ Providing meaningful work and valued rewards to individuals pursuing collective objectives.
7. Leading
◦ Inspiring subordinates by serving as role models and adapting their management style to the demands of the situation.
8. Controlling
◦ Comparing desired results with actual results and taking corrective action as needed.
Mintzberg’s Managerial Roles
1-25Copyright ©2011 Pearson
Education
Mintzberg’s Managerial Roles
1-26Copyright ©2011 Pearson
Education
Managerial Skills
Robert Katz and others describe four critical skills in managing
Conceptual Skills ◦ Used to analyze and diagnose complex situations, help
managers see how things fit together and facilitate making good decision.
Interpersonal Skills ◦ Working well with other people both individually and
groups , so managers must have good skills to communicate, motivate, mentor and delegate.
Technical Skills ◦ Based on specialized knowledge required for work
(lower and middle managers knowing of the job they are performing, top managers knowing of the industry and a general understanding of the org’s process and products.
Copyright ©2011 Pearson Education
Managerial Skills and
Management Levels
Merging Functions and Roles
Managers lose the right to do the following:
◦ Lose their temper.
◦ Be one of the gang.
◦ Bring personal problems to work.
◦ Vent frustrations and express opinions at work.
◦ Resist change.
◦ Pass the buck on tough assignments.
◦ Get even with adversaries.
◦ Play favorites.
◦ Put self-interests first.
◦ Ask others to do what they wouldn’t do.
◦ Expect to be immediately recognized and rewarded for
doing a good job.
Learning to Manage
By attending the school of “hard knocks”
◦ Making a big mistake
◦ Being overstretched by a difficult assignment
◦ Feeling threatened
◦ Being stuck in an impasse or dilemma
◦ Suffering an injustice at work
◦ Losing out to someone else
◦ Being personally attacked
Learning to Manage
The Honeymoon Study on how managers learn
to manage:
Future managers can learn to manage by
doing the following:
◦ Integrating management theory (i.e., formal
training and education) and managerial practice
(e.g., work-study and internships)
◦ Observing role models (e.g. successful practicing
managers).
◦ Learning from experiences in the school of hard
knocks
Future Managers and Management
Study of Management
The study of management is important
because of the following factors:
The universality of management
◦ The reality is that management is needed in all
types, sizes, level and areas of organizations.
The reality of work
◦ One is either a manager or being managed in
future career
Thank You…