Business Management
The Scope of Management
 What is management?
 What are the specific tasks and
responsibilities of management?
What is Management?
DEFINITION
 Ensuring that the
business works
 Making sure people
want your products
TASKS /
RESPONSIBILITIES
 Quality
 Pricing
 Customer’s needs
 Making sure business is  Imports
/ exports
running well – prices,
profit, customer service  Marketing
 Process – multiple steps  Need for product
& keeps going
Today’s Objectives
 Describe management roles, functions,
and skills.
What is Management?
 List a word that comes to mind when you hear the
word “management”.
Four Functions of Management
Planning
Organizing
Implementing
Controlling
Planning
Analyzing
information and
making
decisions about
what needs to
be done
Organizing
 Determining how
plans can be
accomplished most
effectively
 Arranging
resources to
complete work
 Includes staffing
Implementing
 Carrying out the
plans
 Helping employees
to work effectively
 More day-to-day
management
activities
Controlling
 Evaluating
results to
determine if the
company’s
objectives have
been
accomplished as
planned
Which of the four functions did you
see in your article?
Management Skills
 What are the skills used to efficiently
channel resources and resolve
conflict?
 What types of skills do you think
managers should have?
Skills Managers Need
 Communication Skills
 Human Relations
Skills
 Teamwork Skills
 Problem-Solving Skills
 Organizational Skills
Summary
What is management?
What are the Functions of
Management?
It is the responsibility of the business owner
& managers to define the goals of the
company and shape its purpose. Consider
the vision & mission statements of some of
today’s biggest companies.
Business Management
Last Class . . .
 Describe management roles, functions,
and skills
Today’s Objectives
 Identify benefits and limitations of a
variety of leadership and management
styles.
 Analyze leadership & management styles
in a variety of business situations.
 Compare self-assessment of personal
traits.
Think About It…
 What makes a good manager?
 Are managers & leaders the same thing?
 Think of a good manager/leader you have
worked with. What were some of their
attributes that made them good?
What’s the difference?
Management
 The skills used to
efficiently channel
resources and resolve
conflict.
Leadership
 The skills that
motivate others to
accomplish common
goals.
How do you become a leader?
 Let’s consider leadership theories . . .
 Someone may become a leader by:
 Authority
 Power
 Charisma
Authority
 This type of leader has
been given the right to
achieve the objectives
or goals of an
organization.
 This leader’s power is
obtained via
appointment.
 Managers are the
appointed leaders of a
business.
Power
 This type of leader has
extensive knowledge or
expertise in the field.
 This leader’s power is
derived from respect.
 Experts in finance, for
example, are the
respected leaders of
their field.
Charisma
 This type of leader is
able to bring others
together and motivate
them, usually for a
cause.
 This leader’s power is
derived from emotion.
 Many successful
activities earned the
spotlight because of
their charisma.
Regardless of how someone obtained
their leadership, each leader
demonstrates characteristics of a
leadership style.
What’s your style? Take the survey!
Leadership Styles Survey
 All leadership styles are good – one is not
more important or better than another.
 It is important to understand leadership
styles in order to be able to work with all
personality types effectively.
 In your group, come up with 3 attributes
of your group’s leadership style and a
famous person who might share the
same style.
Autocratic
 Characterized by giving
clear and precise directions
as to what is to be done.
 Considered “classic”
leadership.
 Managers retain as much
power and decision-making
as possible.
Using Autocratic Leadership
Most Effective When . . .
Should Not Use When . . .
 New, untrained staff
 Staff becomes tense,
 Detailed orders and
fearful, or resentful
 Staff expects their
opinions to be heard
 Low staff morale or
productivity
 High turnover and
absenteeism
instructions
 Limited time to make a
decision
 Manager’s power is
challenged by staff
Democratic
 Characterized by
encouraging workers to
share their ideas
 Allows employees to
make some decisions or
give input
 Keeps staff informed
about everything that
affects their work
Using Democratic Leadership
Most Effective When . . .
Should Not Use When . . .
 Want to provide
 Not enough time to get




opportunities for staff to
develop
Want to encourage job
satisfaction
Large, complex problems
Changes must be made or
problems solved that
affect the staff
Want to encourage team
building and participation
everyone’s input
 Easier or more costeffective for the manager
to make the decision
 Can’t afford mistakes
 Staff safety is a critical
concern
Open
 Also known as Laissez-
Faire leadership
 Characterized by giving
little or no direction to
the employees
 Employees are trusted
to make decisions and
resolve problems on
their own.
Using Open Leadership
Most Effective When . . .
Should Not Use When . . .
 Staff is highly skilled,
 Staff feels insecure that
experience, and educated
 Staff have pride in their
work and the drive to be
successful
 Outside experts or
consultants are used
 Staff is trustworthy
the manager is not
accessible
 Manager cannot provide
regular feedback
 Manager is unable to
thank staff
 Manager does not
understand his/her own
responsibilities
Leadership Style Variations
Situational
 A good leader changes
intuitively between
styles according to the
people they work with
and the current situation
at hand.
 Select a style that best
fits the circumstances of
the moment!
Given the four situations on your worksheet, decide which
style of leadership (autocratic, democratic, or open) would be
most effective.
Summary
Management vs. Leadership
Leadership Theories
How does someone become a
leader?
Leadership Styles