Night 1
Session I
An Overview of
Management and Leadership
A Rapidly Changing World
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Change is accelerating
Power shifting from sellers to buyers
The power of the Internet
Unlimited substitution over competition
Leadership and management domain is worldwide now
Knowledge age
New world
Management
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The process of achieving organizational goals by
engaging in the four major functions of planning,
organizing, leading, and controlling.
It characterizes the process of planning, leading, and
directing all or part of an organization, through the
deployment or manipulation of resources.
Leadership
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Leadership is the ability to influence others towards the
achievement of goals
Leadership and Management
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Leadership may sound like another name for management, but the terms
are generally viewed as distinct.
Management aims to give consistency and order to organizations;
leadership seeks to provide constructive and adaptive change.
Management is directed toward coordinating activities in order to get the
job done; leadership is concerned with the process of developing mutual
purposes.
Management relies more on a one-way authority relationship, while
leadership relies more on a multidirectional influence relationship.
“Managers are people who do things right and leaders are people who do
the right things.”
Effectiveness vs. Efficiency
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Effectiveness – the ability to choose appropriate goals
and achieve them.
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Efficiency – the ability to make the best use of available
resources in the process of achieving goals.
Effectiveness vs. Efficiency
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Effectiveness – Ability to achieve stated goals or
objectives, judged in terms of both output and impact.
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Efficiency – producing the desired result with the least
waste
Three Competences of Leadership
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Diagnosing
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Adapting
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Understanding the situation you are trying to influence
Altering your behavior and the other resources you have
available to meet the contingencies of the situation
Communicating
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Interacting with others in a way that people can easily
understand and accept
The Need for Management Skills
Managerial
Skills and
Hiring
Managerial
Skills and
Life Success
The Need for
Management Skills
Managerial
Skills in the
New Work
Environment
The 16 Basic Skills Employees Need
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Knowing How to Learn
Reading
Writing
Mathematics
Listening
Oral Communication
Problem Solving
Creative Thinking
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Self-Confidence
Motivational Goal Setting
Personal and Career Development
Interpersonal Skills
Negotiation
Teamwork
Organizational Effectiveness
Leadership
Ranking of HR Managers’ Perceptions of Criteria for
Evaluating Business Graduates
Criterion
Mean
Oral Communication Skills
4.6
Listening Skills
4.5
Resume
4.4
Interpersonal Communication Skills
4.3
Problem-Solving Skills
4.2
Work Experience
3.7
College Attended
3.1
Contacts within the Organization
2.2
BLS Prediction
The Bureau of Labor Statistics predicted that the average
22-year-old college graduate in the year 2000 would have
more than eight different employers before he or she
reaches the age of 32; that is a change of employers every
15 months.
Managerial Skills in the New Work Environment
Growth in
Management Positions
Hiring for the
Second Job
Self-Managed
Work Teams
Entrepreneurship
Demand for
Managerial
Skills
Downsizing and
Delayering
Job Enrichment
and Empowerment
Managerial Skills Sets
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Technical skills include knowledge about methods, processes, and
techniques needed to carry out some specialized activity as well as
the ability to use tools and equipment related to the activity.
Human skills deal with human behavior and interpersonal processes,
communication, cooperation, and social sensitivity.
Conceptual skills include analytical ability, creativity, efficiency in
problem solving, and ability to recognize opportunities and potential
problems.
Thus, the typology distinguishes between abilities to deal with
things, people, and ideas and concepts.
Management Skills Needed for Success by
Organizational Level
Top-Level Managers
Conceptual
Middle-Level
Managers
Conceptual
Human
Human
Technical
Technical
First-Level Managers
Conceptual
Human
Technical
Attitudes toward Management - 1
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I will only need management skills if I get a job as a
manager or supervisor in an organization
Management skills will not be an important determinant
of my long-term career success
Management skills are something that people have or
don’t have
Once you become a manager, your job becomes easier
because you are telling other people to do things rather
than having to do them yourself
Attitude toward Management - 2
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A person who demonstrates outstanding performance in
an entry-level job will almost always be an outstanding
manager as well
Management is basically just a bunch of common sense
ideas I already know anyway
Managers need to develop the big picture perspective of
their work units and organizations in order to be
effective
Attitude toward Management - 3
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The study of management is really only relevant to
business students who are majoring in management
Soft management skills, such as managing teams,
communication skills, and leadership, are among the
most important things needed for a person to be
successful
Poor management is responsible for a large percentage
of company failures or bankruptcies
What makes an Effective Manager?
Managerial Education
Managerial Experience
Is Management an Art or a
Science?
Fundamentals of Motivation
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Motivation comes from the Latin movere, “to move”
Motivation requires:
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*Initiation (arousal to initiate behavior toward a goal)
*Inclination (direction to properly focus that behavior)
*Industriousness (persistence to ultimately attain the goal)
The motivation “toolkit” contains:
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content or need theories to help us understand what people want
process theories to understand the motivation process
The Relationship of Motivation
to Performance
Ability
Motivation
Performance
Situation
Understanding Employee Needs
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A need is something that people require.
Satisfaction is the condition of need fulfillment
Motivation is the attempt to satisfy a need.
The Need Satisfaction Process
Need
Deficiency
Goal
Attainment or
Frustration
Search for
Potential NeedSatisfying
Goal
Attempt to
Attain Goal
Perception of
Potential NeedSatisfying
Goal
Theories Of Motivation
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Need (or Content) Theories
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Maslow’s Need Hierarchy
Alderfer’s ERG Theory
McClelland’s Manifest Needs
Process Theories
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Learning Theory
Goal Setting Theory
Equity Theory
Expectancy Theory
Need Theories of Motivation
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Maslow’s Hierarchy of Needs – Abraham Maslow
Alderfer’s ERG Theory – Clayton Alderfer
McClelland’s Manifest Needs – David McClelland
Herzberg’s Motivation-Hygiene Theory – Fredrick
Herzberg
Maslow’s Needs
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Physiological: the need for food, sleep, water, air, and sex
Security: the need for safety, family, stability, and economic security
Social or affiliation: the need to belong, to interact with others, to
have friends, and to love and be loved
Esteem: the need for respect and recognition of others
Self-actualization: the need to realize one’s potential, to grow, to be
creative, and to accomplish
Maslow’s Need Hierarchy
SelfActualization
Satisfaction
Progression
Esteem
Social
Security
Physiological
Maslow’s Hierarchy of Needs
Maslow’s Hypotheses
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Needs cluster into five sets
Needs at the lowest unsatisfied level are most salient
A satisfied need is not a motivator
There is a hierarchy of successive prepotency -- once
needs at a given level are satisfied, those at the next
higher level become most important
Maslow’s Hierarchy of Needs
Criticisms
overly simplistic
 ignores the intensity of
needs
 ordering of needs may
not be consistent across cultures
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Evidence Concerning Maslow’s
Need Hierarchy
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People do have a variety of needs which vary in levels of satisfaction
and importance.
Satisfaction of lower level needs is generally necessary before higher
level needs become more important.
Other than this, people don’t move up the hierarchy in any predictable
fashion.
It appears that people have two or three distinct sets of needs, not five.
For higher level needs, satisfaction and importance are positively
related.
Alderfer’s Sets of Needs (ERG)
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Existence -- all forms of material and physical desires
(Physiological and Safety needs)
Relatedness -- all needs involving relationships with
significant other persons (Social needs)
Growth -- All needs involving a person making creative
and productive efforts on the self and the environment
(Esteem and Self-Actualization needs)
Alderfer’s ERG Theory
Growth
Needs
Satisfaction
Progression
Relatedness
Needs
Existence
Needs
Frustration
Regression
Differences Between Maslow’s Need Hierarchy
and Alderfer’s ERG Theory
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Alderfer collapses Maslow’s five levels into three
Alderfer says growth need strength is positively related
to growth need satisfaction
Alderfer sees a hierarchy only in terms of increasing
abstractness
Alderfer recognizes frustration regression as well as
satisfaction progression
McClelland’s Manifest Needs
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Need for Achievement: The need to do well no matter
what goal is pursued.
Need for Affiliation: The desire to establish and maintain
friendly and warm relations with other people.
Need for Power: The desire to control other people, to
influence their behavior, and to be responsible for them.
Characteristics of Individuals with
Strong Need for Achievement
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Desire to attain goals.
Desire for personal responsibility.
Desire for quick feedback on performance.
Herzberg’s Motivation-Hygiene factors
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Motivators: The job itself (affect willingness)
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Achievement, Recognition for accomplishment, Challenging
work, Increased responsibility, and Growth and development
Hygiene factors: The environment (affect ability)
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Policies and administration, Supervisions, Working
conditions, Interpersonal relations, and Money, status, and
security
The Bottom Line: Need Theories
Assess
Employee
Needs
Identify the Most
Active Needs
of Employees
Evaluate
the Plan
Implement
Strategies
Develop Specific
Strategies to
Satisfy Active
Employee Needs
What rewards are important to you?
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What rewards do you consider to be most important?
Have these rewards changed much over the past several
years?
To what extent are these rewards present/lacking in the
current position? What is your organization's philosophy
regarding rewards?