Preparing and Planning to Manage Back to Table of Contents

Preparing and Planning to Manage


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Preparing and Planning to Manage Preparing and Planning to Manage

2

Chapter 14

Preparing and Preparing and Planning to ManagePlanning to Manage

Entrepreneur or Manager?Entrepreneur or Manager?

Management Styles and SkillsManagement Styles and Skills

14.1

14.2


3

Discuss the difference between the entrepreneurial role and the management role of a new business owner.

Identify the key management functions.

List and explain the key elements in a positive business climate.

Section 14.1 Entrepreneur or Manager?

14.1


4

To be successful in a new business, an entrepreneur must perform management functions and establish a positive working climate.


14.1


5

manager

planning

strategic plans

tactical plans

operational plans

organizing

directing


14.1

controlling

quality control program

climate

image

team building

communication


6

Managers, Leadership, and Teamwork

Each person in a business is a valuable resource.

Everyone works together toward a common goal.



7

Entrepreneur and Manager

Once you open your business, you wear two hats: that of an entrepreneur and that of a manager.

manager a person who is responsible for directing and controlling the work and personnel of a business, or a particular department within a business



8

Performing Management Functions

When managers are managing, they use a series of activities called management functions to achieve their objectives.


planning

directing

organizing

controlling


9

Planning

The first step in managing is planning, determining your business’s objectives and how you are going to reach them.

planning the act of setting goals, developing strategies, and outlining tasks and timelines to meet those goals



10

Planning

The three levels of planning are:


strategic plans

tactical plans

operational plans


11

Planning

Strategic plans are long-term plans that don not usually include a specific target date.

strategic plans long-range objectives based on long-term goals used to map out a business for three to five years



12

Planning

Tactical plans are medium-range plans that help ensure that you accomplish specific objectives to meet your plans.

tactical plans midrange objectives that focus on a period of one year or less, built on specific objectives with target dates



13

Planning

Operational plans are short-term plans that bring tactical plans to life.

operational plans short-term objectives that help achieve tactical plans, including policies, rules and regulations, and budgets for day-to-day operations



14

Organizing

Organizing people, equipment, materials, and other resources is an essential part of managing.

organizing the grouping of resources in combinations that will help you reach your objectives



15

Directing

Directing the efforts of your people and resources will help your company accomplish its planned objectives.

directing the process of guiding and supervising employees, often one-on-one, while they work



16

Controlling

The final step in managing, controlling, helps you take corrective action if things are not working out as planned.

controlling the process of comparing expected results (objectives) with actual performance



17

Controlling

A quality control program can prevent problems.

quality control program a set of measures built into the production process to make sure that products or services meet certain standards and performance requirements



18

Establishing a Positive Climate

The climate that exists in a new business is linked to the tone the manager sets.

climate the prevailing atmosphere or attitude in a business



19

Establishing a Positive Climate

The three elements of a positive business climate are:


image

team building

communication


20

Image

To begin building a positive business climate, strengthen your company’s image with customers and in the community.

image the mental picture and feelings people have when thinking about a business or its products or services



21

Team Building

Team building contributes to a positive climate by allowing employees to pursue common goals.

team building the act of encouraging teamwork through activities designed to foster respect, trust, cooperation, camaraderie, and communication among employees



22

Communication

Effective staff communication takes place in an atmosphere of respect and trust.

communication the process of exchanging information



23

1. Discuss the difference between the entrepreneurial role and the management

role of a new business owner.


In the entrepreneurial role, the emphasis is on starting the business. The management role focuses on growing and expanding the business and involves coordinating the people, processes, and resources.

14.1


24

2. Identify the key management functions.


The key management functions are planning, organizing, directing, and controlling.

14.1


25

3. List and explain the key elements in a positive business climate.


The key elements in a positive business climate are image (the mental picture and feelings people have when they think about the business), team building (activities designed to encourage teamwork), and communication (the process of exchanging information).

14.1


26

Name the three basic management styles.

List the skills needed for managing.

Explain the principles of management excellence.

Section 14.2 Management Styles and Skills

14.2


27

To manage successfully and excel in leadership situations, you must establish a management style and draw on a specific set of skills.


14.2


28

situational management

human relations

nonverbal communication

networking


14.2

time management

conceptual skills

cooperative advertising

advertising agency


29

Adopting a Management Style

Management style is the manner in which you approach your management responsibilities.



30


The three styles of management are:


power-oriented

routine-oriented

achievement-oriented


31


Good managers use situational management as a supplement to their basic approach.

situational management the style of adapting the management approach to particular circumstances



32

Developing Management Skills

To manage activities successfully, you must draw on a specific set of skills.

These skills can be gained through education and training and improved with practice and experience.


Developing Management Skills

Section 14.2 Management Styles and Skills 33

human relations

communication

networking

math

problem solving and decision making

technical

time management

conceptual

Fundamental Management Skills


34

Human Relations

Human relations skills, considered the most important of the management skills, are tied closely to communication skills.

human relations the study of how people relate to each other



35

Communication

Nonverbal communication is one of the communication skills essential to effective planning, organizing, directing, and controlling.

nonverbal communication communication not involving words, transmitted through actions and behaviors, such as facial expressions, gestures, posture, and eye contact



36

Networking

You can use business networking to discuss mutual opportunities, solve problems, and share or maximize resources.

networking the process of building and maintaining informal relationships with people whose friendship could bring business opportunities



37

Time Management

Time management can help managers because at any given time, managers may have several objectives to accomplish.

time management the process of allocating time effectively



38

Time Management

Time management techniques include:


Set and prioritize goals.

Delegate work when possible.

Plan to spend specific blocks of time on specific activities.

Schedule activities on a planning calendar.

Schedule most important work for times you do your best work.

Group activities for most efficient use of time.

Handle or eliminate interruptions.


39

Conceptual Skills

As a small business owner/manager, your conceptual skills enable you to appreciate how day-to-day decisions affect your business’s future.

conceptual skills skills that enable a manager to understand concepts, ideas, and principles


Principles of Management Excellence

Section 14.2 Management Styles and Skills 40

Take action.

Listen to customers.

Encourage employees to act independently

Stress respect.

Keep operations under control.

Instill commitment to values and objectives.

Keep organization simple, flexible, efficient.

Keep business focused on what it does best.


41

1. Name the three basic management styles


The three basic management styles are power-oriented, routine-oriented, and achievement-oriented.

14.2


42

2. List the skills needed for managing.


The skills needed for managing are human relations, communication, networking, math, problem solving and decision making, technical, time management, and conceptual.

14.2


43

3. Explain the principles of management excellence.


The principles of management excellence are take action rather than overanalyze plans; listen to customers and put yourself in their shoes; encourage employees to act independently, be innovative, and treat the business as if it were their own; stress respect for the individual; instill commitment to values and objectives by staying in touch with employees; keep the business focused on what it does best; keep the organization simple, flexible, and efficient and do not overstaff; and keep operations under control and keep an eye on detail.

14.2


44Section 14.2 Management Styles and Skills 44

Technology has made it easier for businesses to have workers who work out of the office.

Virtual office can help a company save money as workers telecommute, have e-meetings, and use instant messaging.

Managing aVirtual Workforce



Tech Termse-meeting

a meeting that takes place online or via a telephone conference call

groupware

software designed to be used by more than one person at more than one location



Tech Termsinstant messaging

a software application that allows real-time communication between two or more people through a network

telecommute

to work outside an office on a computer linked to the workplace via a modem



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