Management, 14e
Chapter 1: Leading Edge Management
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Icebreaker
"Management is doing things right; leadership is doing the right things."
— Peter F. Drucker, acclaimed management consultant
• Reflect on the above statement, either individually or pairing up with
another student. Then think through the following questions:
− Are good managers good leaders? Are good leaders good
managers?
− Think about a situation in which you were a good manager or
leader. (Share this story with your student partner.)
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Learning Objectives (1 of 2)
• By the end of this chapter you should be able to:
1. Explain five management competencies and the trend
toward bosslessness in today’s world.
2. Define the four management functions and the type of
management activity associated with each.
3. Explain the difference between efficiency and effectiveness,
as well as their importance for organizational performance.
4. Describe technical, human, and conceptual skills and their
relevance for managers.
©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Learning Objectives (2 of 2)
• By the end of this chapter you should be able to:
5. Identify the personal challenges faced by new managers
and ways of overcoming them.
6. Define the management types and roles that managers
perform in organizations.
7. Explain the unique characteristics of the manager’s role in
nonprofit organizations.
©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Today’s Effective Managers . . .
(LO 1)
• Do more with less
• Engage employees’ hearts, minds, and energy
• See change as natural
• Inspire vision and cultural values that allow people to create a
collaborative and productive workplace
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Management Competencies for Today’s World
(LO 1)
• Management: Attainment of organizational goals in an effective and efficient
manner through planning, organizing, leading, and controlling organizational
resources
• Today’s effective manager is an enabler who helps people do and be their best
• Today’s best managers are “future-facing”
• Managers employ an empowering leadership style
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Rapid Environmental Shifts
(LO 1)
• Technology (e.g., social media & mobile apps)
• Move to knowledge/information-based economy
• Rise of artificial intelligence
• Global market forces
• Growing threat of cybercrime
• Shifting expectations
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1.1 Management Competencies
for Today’s World (LO 1)
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1.2 What Do Managers Do? (LO 2)
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1.3 The Process of Management
(LO 2)
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Polling Activity 1
If organizational performance indicates how well a manager is doing his or her
job, is it more important for a manager to focus on efficiency or effectiveness?
a. Efficiency is more important
b. Effectiveness is more important
c. Importance of efficiency and effectiveness depends on the manager’s role
and goals
d. Efficiency and effectiveness are equally important
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Organizational Performance
(LO 3)
• Organization: Social entity that is goal-directed and deliberately structured
• Organizational effectiveness: Degree to which the organization achieves a
stated goal
• Organizational efficiency: Refers to the amount of resources used to achieve
an organizational goal
• High performance: Attainment of organizational goals by using resources in an
efficient and effective manner
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Management Skills
(LO 4)
• Three categories of skills:
− Technical
− Human
− Conceptual
• The degree of the skills may vary, but all managers must possess the skills
• The application of management skills change as managers move up the
hierarchy
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Discussion Activity 1
• If you are a middle-level manager, your proficiency in which of the three
management skills is likely to contribute most to your success?
− Technical skills
− Human skills
− Conceptual skills
• How does your answer change, if at all, if you are a top manager? If you are a
line manager?
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Discussion Activity 1 Debrief
• If you are a middle-level manager, your proficiency in which of the three management
skills is likely to contribute most to your success?
− Because middle managers most likely focus on facilitation and coordination among people
and departments, these managers rely more on communication, or human skills.
• How does your answer change, if at all, if you are a top manager? If you are a line
manager?
− Human skills are increasingly important for managers at all levels and in all
types of organizations. Top managers are likely to depend on conceptual skills,
or their cognitive ability to see the organization as a whole system and the
relationships among its parts as much as they rely on communication. Line
managers definitely need human skills, but they are also close to a function that
depends on technical skills, or the mastery of methods, techniques, and
equipment involved in specific functions.
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1.4 Relationship of Skills to Management
(LO 4)
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1.5 Google’s Rules:
Top Ten Behaviors for Managers (LO 4)
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When Skills Fail
(LO 4)
• Management failures have been in the news
• Flaws and weaknesses are apparent during uncertain times
• People have become less willing to overlook mistakes
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1.6 Top Causes of Manager Failure
(LO 4)
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Polling Activity 2
You are a bright, hard-working, entry-level manager who fully intends to rise
through the ranks. Your performance evaluation gives you high marks for your
technical skills, but low marks when it comes to people skills. Which of the
following scenarios would you choose?
a. Improve people skills through behavioral classes and role playing
b. Focus on technical skills as the priority rather than improving people
skills
c. Learn people skills through modeling others’ excellent examples
d. Rethink your career path
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Making the Leap: Becoming a New Manager
(LO 5)
• Performers often become managers
• Becoming a manager transforms personal identity—how people think of
themselves
− Move from being a doer to a coordinator
• Many new managers expect more freedom to make changes
− However, successful managers build teams and networks
• Many make the transformation in a “trial by fire”
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1.7 Making the Leap from Individual
Performer to Manager (LO 5)
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Discussion Activity 2
• How do you feel about having management responsibilities in today’s world,
which is characterized by uncertainty, ambiguity, and sudden changes or threats
from the environment? Describe some skills and competencies that you think
are important to managers working in these conditions.
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Discussion Activity 2 Debrief
• How do you feel about having management responsibilities in today’s world,
which is characterized by uncertainty, ambiguity, and sudden changes or
threats from the environment? Describe some skills and competencies that
you think are important to managers working in these conditions.
− Even during high levels of uncertainty, ambiguity, and sudden changes, managers can
access useful information about alternative courses of action and their likely outcomes for
each decision they face.
− No matter the circumstances, managers must apply skills and competencies to benefit the
organization and its stakeholders. Ineffective communication skills and practices are the most
common causes of failure. Organizational performance and reputation suffer if managers do
not communicate effectively, including listening to employees and customers and showing
genuine care and concern.
− Quickly finding necessary information requires managers use both conceptual and technical
skills, but a high level of human skills contributes to relationships necessary to sustain the
manager in times of crisis. As managers attempt to sort out the uncertainties and threats they
face, the decision-making role becomes even more critical.
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Management Types: Vertical
(LO 6)
• First-level or supervisory managers: Responsible for production of goods
and services
• Middle managers: Responsible for business units and major departments
• Top managers: Responsible for the entire organization
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Management Types: Horizontal
(LO 6)
• General managers: Responsible for several departments that perform different
functions
• Functional managers: Responsible for departments that perform a single task
• Project managers: Responsible for temporary work projects involving people
from different functions and levels
• Line managers: Responsible for departments that perform a core function of
the organization
• Staff managers: Responsible for departments that support the organization’s
line departments with specialized advisory or support functions
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Manager Activities
(LO 6)
• Adventures in multitasking
− Activity characterized by variety, fragmentation, and brevity
− Less than nine minutes on most activities
− Managers shift gears quickly
• Life on speed dial
− Work at unrelenting pace
− Interrupted constantly
− Ad hoc meetings
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Time Management
(LO 6)
• Time management: Using techniques that enable you to get more done in less
time and with better results, be more relaxed, and have more time to enjoy your
work and your life
• Learning to manage time effectively is one of the greatest challenges new
managers face
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Manager Roles
(LO 6)
• Role: Set of expectations for a manager’s behavior
• Three categories of management roles
− Informational
− Interpersonal
− Decisional
• Management roles accomplish four functions
− Planning
− Organizing
− Leading
− Controlling
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1.8 Ten Manager Roles (LO 6)
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Knowledge Check 1
Which of the following set of manager roles would be considered decisional
roles?
a. Spokesperson, leader, and entrepreneur
b. Negotiator, figurehead, and liaison
c. Disseminator, monitor, and leader
d. Disturbance handler, entrepreneur, and resource allocator
©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Knowledge Check 1: Answer
Which of the following set of manager roles would be considered decisional
roles?
d. Disturbance handler, entrepreneur, and resource allocator
©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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1.9 Hierarchical Levels and Importance
of Leader and Liaison Roles (LO 6)
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Managing in Nonprofit Organizations
(LO 7)
• Nonprofits need management talent
• Apply the four functions of management to make social impact
• Generating social impact rather than profits is what makes nonprofits different
from other businesses
• Try to keep costs low
• Success—need to measure intangibles like “improve public health”
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Knowledge Check 2
Managers at a nonprofit organization would be least likely to be responsible for
which of the following management activities?
a. Generating profit
b. Generating social impact
c. Measuring costs
d. Measuring intangibles
©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Knowledge Check 2: Answer
Managers at a nonprofit organization would be least likely to be responsible for
which of the following management activities?
b. Generating social impact
©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
36
Summary (1 of 2)
• Now that the lesson has ended, you should have learned how to:
1. Explain five management competencies and the trend toward
bosslessness in today’s world.
2. Define the four management functions and the type of
management activity associated with each.
3. Explain the difference between efficiency and effectiveness, as
well as their importance for organizational performance.
4. Describe technical, human, and conceptual skills and their
relevance for managers.
©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
37
Summary (2 of 2)
• Now that the lesson has ended, you should have learned how to:
5. Identify the personal challenges faced by new managers and
ways of overcoming them.
6. Define the management types and roles that managers perform in
organizations.
7. Explain the unique characteristics of the manager’s role in
nonprofit organizations.
©2022 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
38