Understand the nature of
business
2.02 Understand the leadership and
management.
Management

Management is the process of accomplishing
the goals of an organization through the
effective use of people and other resources.
5 Functions of Management
Planning
Organizing
Staffing
Implementing
Controlling
Planning
 The
planning function
involves…
 Analyzing information
 Setting goals
 Making decisions to
accomplish the goals
Organizing
 The
organizing function involves…
 Identifying the work & resources
needed to achieve the goals of the
 business that have been set in the
planning stage.
Staffing
 The
staffing function includes
the activities involved in…
 Obtaining (hiring)the
employees
 Training the employees
 Compensating (paying) the
employees
Implementing
 The
implementing function
involves directing and leading people
in order to accomplish the goals set
out in the planning stage.
Controlling
The
controlling function is used
to determine whether a business
is accomplishing its goals that
were set in the planning stage.
Can you answer this question?
Josie reviewed survey results of a completed
project and set goals for the new project. This
is and example of which function of
management?
 Staffing
 Planning
 Organizing
Setting goals(key words) is part of planning!

Levels of Management
Top
Management
Mid-management
Supervisors
Management by
others
Top Management
Executives are top-level managers
 Responsible for the direction and the
success of the business (controlling)
 Set long-term goals (planning)
 Held accountable for profitability &
success
 Examples:

CEO (Chief Executive Officer
 President

Mid-Management
Mid-managers are specialists
 Responsible for specific parts of the business
 Devoted to the organizing, staffing, and
implementing functions
 Examples

Marketing Manager
 Information Technology Manager
 Customer Service Manager

Supervisors
First level of management
 Responsible for the routine work of a group
of employees
 Evaluate the work of the employees
 Implement the plans set forth by executives
and mid-managers

Management by others
 Other
employees who are not
managers, may serve as leaders for a
group of employees
Duplin County Schools
Top to Bottom


Top Management
Dr. Obasohan
 Mid Management – Just a few
 Tarla Smith – Career and Technical
 Phillip Middleton – Federal Programs
• Supervisors
• Michael Holton – Principal
Management Styles
 The
management style is the way a
manager treats and involves
employees
Tactical
 Strategic
 Mixed

Tactical
 Directive
and controlling
 Manager makes the major
decisions
 Stays in close contact with
employees while they work
 Typically, use for
inexperienced employees or
during a crisis
Strategic
 Less
directive with employees
 Involves team members with decision
making
 Typically, used with trusted and/or
experienced employees
 Limited direct supervision
Mixed
 Combination
of both tactical and
strategic
 Effective managers can use both
styles in order to accommodate
different types of employees
Can you answer this question?
Thomas approves for his employees to attend
regional meetings so that he knows exactly
when they are off site. (out of the building)
This is an example of which style of
Management?
 Varied
 Strategic
 Tactical

Can you answer this question?

Bonita allowed her employees to plan an
addition to her Salon. This is an example of
which style of management?
Mixed
 Strategic
 Tactical

Leadership Styles
 Leadership
is the ability to motivate
individuals and groups to accomplish
important goals.
 What type of traits should a leader
possess?
Leadership Traits
Intelligence
 Judgment
 Objectivity
 Initiative
 Dependability
 Understanding
 Cooperation
 Honesty
 Courage
 Confidence
 Stability

Leadership Styles
Autocratic
Leader
Democratic Leader
Open or Laissez-faire leader
Autocratic Leader


Used when a leader needs to give
direct, clear, and precise orders and
makes decisions
Situations to use style:


During an emergency
To direct the work of inexperienced
employees
Democratic Leader
 One
who includes employees in making
decisions
 Situations to use style:
To monitor quality of work of employees
 To direct the work of employees working
as a team

Open/Laissez-faire Leader
 One
who gives little or no direction to
employees
 Situation to use style:
To monitor achievements and communicate
regularly with employees
 To direct the work of experienced and
trained employees

Can you answer this question?
Henry checks his email for tasks assigned by
his boss regularly. He very seldom sees his
boss. This is an example of which style of
leadership?
 Autocratic
 Democratic
 Laissez-faire

Human Resources Managers
 Human
resources managers use the
management process of managing
employees to achieve the objectives
of a business.
Human Resources Management Activities



Planning, staffing, recruiting, & hiring
Managing compensation and benefits
Managing performance of employees
Planning, Staffing, Recruiting, Hiring

Planning & Staffing

Classifying employees

Permanent


Temporary


Hired for a specific time/job
Full Time


Long term commitment
30 or more hours per week (usually 40+ hours)
Part Time

Short work week
Planning, Staffing, Recruiting, Hiring
 Planning

Determining job requirements:


& Job Staffing
The use of job analysis to determine all the duties for
a particular job
Recruiting and hiring employees

The application process




Reviewing applications/resumes
Interviewing applicants
Checking references of applicants
Making a job offer to applicants
Planning, Staffing, Recruiting, Hiring

Recruiting & Hiring

New employee orientation



Paperwork
Training
Mentor
Managing Compensation & Benefits
What is an incentive?
An incentive motivates effort. It can be fear of
punishment or an expectation of a reward.

What is a bonus?
Incentive pay based on producing above
expectations.

Managing Compensation & Benefits

Compensation method






Time Wage – Direct payment per hour
Salary – Direct payment per week, bi-weekly, or
monthly
Commission – Percentage of sales
Piece Rate – Payment per unit produced
Base plus incentive – Direct payment plus
performance based pay
Employee benefits

Other items given to employee for working. For
example, health insurance, vacation time, sick time,
dental insurance, etc.
Managing performance of employees

Employee evaluation


Promotion


Advancement of an employee to a position with
greater responsibility
Transfer


Objective evaluations of employees’ quality of work
Assignment of the employee to a job in another area
with similar responsibility
Termination

Ends employment relationship