1ChapterManagers
and
Management

Why Study Management?Diagram: Universal Need for ManagementThe reality that management is needed

in all types and sizes of organizations

at allorganizational levels

in all organizational areas

in all organizations, regardless of location

Why are Managers Important?Organizations need their managerial skills and abilities more than ever in these uncertain, complex, and chaotic times.

Managerial skills and abilities are critical in getting things done.

The quality of the employee/supervisor relationship is the most important variable in productivity and loyalty.

Who Are Managers?Manager

Someone who coordinates and oversees the work of other people so that organizational goals can be accomplished.

How Are Managers Different from Nonmanagerial Employees?Nonmanagerial 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 the activities of others.

Classifying ManagersFirst-line Managers - Individuals who manage the work of non-managerial employees.

Middle Managers - Individuals who manage the work of first-line managers.

Top Managers - Individuals who are responsible for making organization-wide decisions and establishing plans and goals that affect the entire organization.

Exhibit: Levels of ManagementTop managers have titles such as executive vice president, chief operating officer, and chief who are responsible for making organization-wide decisions and establishing the plans and goals that affect the entire organization.

Middle Managers with titles such as regional manager, project leader, or division manager

shift manager is an example of a first-line manager.

Where Do Managers Work?Organization A deliberate arrangement of people brought together to accomplish a specific purpose (that individuals independently could not accomplish alone).

Common Characteristics
of Organizations

Have A Distinct PurposeAre Composed Of PeopleHave A Deliberate StructureHave a distinct purpose (goal)

Are composed of people

Have a deliberate structure

What Is Management?Management

The process of getting things done effectively and efficiently, with and through people

Effectiveness Doing the right things

doing those tasks that help an organization reach its goals

Efficiency Doing things right

Getting the most output for the least inputs

Efficiency Concerned with the means, efficient use of resources like people, money, and equipment

Diagram: Efficiency and Effectiveness in ManagementManagement strives forLow resource waste (high efficiency)

high goal attainment (high effectiveness)

Management Functionslanning - Defining goals, establishing strategies to achieve goals, and developing plans to integrate and coordinate activities.

rganizing - Arranging and structuring work to accomplish organizational goals.

eading - Working with and through people to accomplish goals.

ontrolling - Monitoring, comparing, and correcting work.

POLC

Planning Organizing Leading Controlling

Defining goals, establishing strategy, and developing plans to coordinate activitiesDetermining what needs to be done, how it will be done, and who is to do itMotivating, leading and any other actions involved in dealing with peopleMonitoring activities to ensure that they are accomplished as planned

Achieving the organizations stated purposes

Lead toDiagram: Four Functions of Management

Diagram: management activities by organizational levelWhile the importance of managerial roles varies depending on a managers position within an organization, the differences are of degree and emphasis, not of function. As managers move up the organization, for example, they spend less time supervising and more time planning. All managers, however, make decisions and plan, lead, organize, and control. But the amount of time they give to each activity is not necessarily constant. In addition, the content of the managerial activities changes with the managers level. When measuring managerial performance in business, profit (the bottom line) is an unambiguous criterion. Even though not-for-profit organizations need money to survive, however, their managers do not live and die to maximize profits. Given this difference, managers working in profit and not-for-profit organizations must perform similar functions: planning, organizing, leading, and controlling.

Management RolesRoles are specific actions or behaviors expected of a manager.

Henry Mintzberg observed that a managers job can be described by ten roles performed by managers in three general categories

interpersonal relationships

the transfer of information

decision making.

Interpersonal roles

Figurehead

Leader

Liaison

Informational rolesMonitor

Disseminator

Spokesperson

Decisional rolesEntrepreneur

Disturbance handler

Resource allocator

negotiator

Mintzbergs Managerial Roles

Skills Managers NeedTechnical skills

Knowledge and proficiency in a specific field

Human skillsThe ability to work well with other people

Conceptual skillsThe ability to think and conceptualize about abstract and complex situations concerning the organization

Political SkillsUsed to build a power base and establish connections

The Importance Of CustomersThe reason that organizations exist

Employee attitudes and behaviors play a big part in customer satisfaction

Managers must create a customer responsiveness where employees are friendly, knowledgeable, responsive to customer needs

Without customers most organizations would cease to existManaging customer relationships is the responsibility of all managers and employees.Consistent high quality customer service is essential for survival.

The Importance Of InnovationNothing is more risky than not innovating

Doing things differently, exploring new territory, and taking risks.

Managers should encourage employees to be aware of and act on opportunities for innovation.

The Importance of SustainabilitySustainability -

a companys ability to achieve its business goals and increase long-term shareholder value by integrating economic, environmental, and social opportunities into its business strategies.

Shifting organizational boundariesVirtual workplacesMore mobile workforceFlexible work arrangementsEmpowered employeesWork life-personal life balance

Redefined valuesRebuilding trustIncreased accountability

Customer serviceInnovationGlobalizationEfficiency/productivity

Risk managementUncertainty over the future energy sources/pricesRestructured workplaceDiscrimination concernsGlobalization concernsEmployee assistanceUncertainty over economic climate

Changes Facing Managers

TUTORIAL

1. An individual who works with and through other people by coordinating their work activities in order to accomplish organizational goals is ________.

A) an assembly line workerB) a laborerC) a managerD) a salespersonAnswer: C

2. ________ have titles such as executive vice president, chief operating officer, and chief executive officer.

A) Team leadersB) Middle managersC) First-line managersD) Top managersAnswer: D

3. Whereas ________ is concerned with the means of getting things done, ________ is concerned with the ends, or attainment of organizational goals.

A) effectiveness; efficiencyB) efficiency; effectivenessC) effectiveness; effabilityD) efficiency; experienceAnswer: B

4. Today, the basic management functions have been condensed to ________.

A) planning, organizing, commanding, and coordinatingB) planning, organizing, coordinating, and controllingC) planning, organizing, commanding, and controllingD) planning, organizing, leading, and controllingAnswer: D

5. The process of monitoring, comparing, and correcting is called ________.

A) controllingB) planningC) leadingD) organizingAnswer: A

6. The ________ roles involve collecting, receiving, and disseminating information, according to Mintzberg's managerial roles.

A) interpersonalB) informationalC) technicalD) decisionalAnswer: B

7. Which of the following is an example of a decisional role according to Mintzberg?

A) monitorB) entrepreneurC) figureheadD) disseminatorAnswer B

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