Chapter 1
Management in the 21st Century
Learning Objectives




Define management
Describe a manager’s four major tasks
Describe sustaining as a balanced approach to management
Correlate managers’ tasks with the organizational roles that
they play
 Compare and contrast different types of organizations,
managers, and the decisions they make
 Explain the purpose of organizational values, mission, and
vision
 Demonstrate how focusing on skills and strengths leads to
success as a manager
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Introduction
 Critical thinking (p. 4)
• Ability to diagnose situations and predict patterns of
behavior
• Results in better decision making
 mitigates biases
 enlarges perspectives on a situation
• Seven steps involved in critical thinking
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Seven Steps to Changing Behavior
with Critical Thinking (p. 5)
Figure 1.1
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What Is Management?
 Management (p. 6)
• Process of working with people and distributing an
organization’s resources to achieve goals efficiently
and effectively
• Managers must
ensure that the
organization meets
four success
factors Figure 1.2
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What Do Managers Do? (p. 7)
 Every company needs managers
• Managers are always busy
• Managerial activities fall into two categories
 Focused on people
 Focused on technical matters
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How Is Management Both Art and
Science? (p. 8)
Peoplefocused
activities
Technicallyfocused
activities
Figure 1.3
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How Do Managers Make a Difference?
(p. 8)
 Managers’ bottom line defined by the “3 P’s”
• People – invest in the well-being of employees and
provide interesting and rewarding jobs that offer the
opportunity to be productive
• Profit – ensure that the company is financially healthy
• Planet – protect and support the environment, causes,
and communities
 Corporate social responsibility (p. 9)
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The Four Management Functions
(p. 10)
 Planning - setting goals for the future, designing
appropriate strategies, and deciding the actions and
resources needed to achieve success
 Organizing - orchestrating people, actions, resources, and
decisions to achieve goals
 Leading - motivating and communicating with people to
achieve goals
 Controlling - monitoring activities, measuring results and
comparing them with goals, and correcting performance
when necessary
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Management Functions: Traditional
View vs. Today’s Approach (p. 10)
Figure 1.4
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Sustaining: A Balanced Approach
to Management
 Sustaining (p. 13)
• Balanced approach that involves seeing, analyzing,
and designing systems to achieve long-term
organizational, community, and environmental health
Figure 1.5
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Management Roles (p. 14)
 Interpersonal roles – building relationships with
coworkers and acting as a public symbol for the people
they represent
 Informational roles – require managers to gather,
assess, and communicate information in support of the
organization’s values, mission, vision, and goals
 Decisional roles – making judgments and decisions
based on available information and analysis of the
situation
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Managers at Work
 Organization (p. 15)
• An entity formed and structured to achieve goals
• Organizations differ in size in the U.S.
Figure 1.6
Figure 1.6
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Managers at Work (cont.)
 Organization (cont.)
• Differ in terms of the number of paid employees in U.S.
Figure 1.7
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Managers at Work (cont.)
 Start- up company – newly formed organization, with
limited or no operational history (p. 15)
 Multinational corporation –operations in multiple
countries that design, develop, and sell products and
services all over the world (p. 16)
 Growth company – increases its annual revenue faster
than its competitors
 Non-profit organization – required by IRS to reinvest all
profits back into the organization
 Student organization – group formed to further engage
students in the college experience
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Managers at Work (cont.)
 Types of managers (p. 17)
• Top managers – set the organization’s direction and
make decisions that impact everybody
• Middle managers – report to top management and
direct the work of first-line managers
 Responsible for divisions or departments
• First-line managers – direct daily activities for
producing goods and services
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Values, Mission, and Vision (p. 17)
 Philosophical statements and beliefs managers use to
allocate resources, provide consistent feedback to
employees, make decisions, and foster organizational
culture
 Values - beliefs that shape employee and organizational
behaviors (p. 18)
 Mission - organization’s central purpose intended to
generate value in the marketplace (for-profit) or
community (non-profit)
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Values, Mission, and Vision (cont.)
 Vision - description of an optimal future one to ten years
from now (p. 19)
Figure 1.8
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Management: A Balanced
Approach to the 21st Century 1e
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Successful Management (p. 20)
 To be successful, managers must demonstrate
both:
• Effectiveness – level to which people or
organizations achieve agreed-upon goals
• Efficiency – using the smallest amount of resources
to achieve the greatest output
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Successful Management (cont.)
 Skills - degree to which a person can effectively and
efficiently complete a task, interaction, or process (p. 20)
• Conceptual skills – ability to think through complex
systems and problems (p. 21)
• Technical skills – ability to perform job-specific tasks
• Relational skills – ability to collaborate and
communicate
 Strengths - skills in which a manager demonstrates
greatest aptitude
 Positive psychology (p. 22)
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Successful Management (cont.)
 Skills required by types of managers
Figure 1.12
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Copyright
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