m a n a g e m e n t 2e
Hitt/Black/Porter
Chapter 1:
The Nature of Management
PowerPoint slides by
Susan A. Peterson, Scottsdale Community College
Learning Objectives
After studying this chapter, you should be able to:
Define the term management
Explain the major challenges with which managers
must deal
Describe how historical research on management
has contributed to the current practice of
management
Identify and discuss the primary managerial
functions
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Learning Objectives
Explain the three general roles involved in
managerial work and the specific roles within
each
Explore and describe the three dimensions of
managerial jobs
Discuss the primary skills required to be an
effective manager
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What is Management?
Management is a process that
involves:
Assembling and using sets
of resources
Acting in a goal-directed
manner to accomplish tasks
Activities carried out in an
organizational setting
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Managerial Challenges
Managing
Change
Managing
Entrepreneurially
Managerial
Challenges
Managing
Resources
Managing
Strategically
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Managerial Challenges: Managing Change
Managing change:
Is the most persistent,
pervasive and powerful
challenge for managers
Requires managers to gain
employee acceptance
Two causes of change:
Technology
Globalization
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Managerial Challenges: Managing
Resources
Managers must manage
resources, including:
Financial capital
Human resources
Physical resources
Technology
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Managerial Challenges: Managing
Strategically
Managers must:
Develop strategies to
achieve the
organization’s goals
Implement the strategies
effectively by managing
human resources
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Managerial Challenges: Managing
Entrepreneurially
Managing
entrepreneurially
involves:
Searching for new
opportunities
Identifying new ideas
for new markets
Emphasizing actions to
take advantage of
uncertainty
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Historical Approaches to Management
Ancient China and art of
warfare
Ancient Egypt and
building of pyramids
Roman Empire and
building of roads and
viaducts
Industrial Revolution
and modern
management
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What Managers Do
Managerial activities differ
by:
The functions managers
serve
The roles in which
managers operate
The dimensions of each
manager’s job
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Managerial Functions
Managing
Organizing
Controlling
Planning
Directing
Adapted from Exhibit 1.1
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Planning
Planning involves:
Estimating future conditions
and circumstances
Making decisions based on
these estimations about
what work is to be done:
- By the manager
- By all of those for whom
she or he is responsible
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Organizing
Organizing involves paying
attention to:
The structure of
relationships among
positions
The people occupying
those positions
Linking that structure to the
overall strategic direction
of the organization
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Directing
Directing is the process of
influencing other people to
attain organizational
objectives:
Motivating others
Interacting effectively in
group and team situations
Communicating in support
of others’ efforts
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Controlling
Regulating the work of those
for whom a manager is
responsible, including:
Setting standards of
performance in advance
Monitoring ongoing
(real-time) performance
Assessing a completed
performance
Results of the control process
(evaluation) are fed back to
the planning process
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Managerial Roles
Interpersonal
Roles
Figurehead
Leader
Liaison
Figurehead: attending ceremonial activities
Leader: influencing or directing others
Liaison: contacting others outside the formal chain
of command
Adapted from Exhibit 1.2
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Managerial Roles
Informational
Roles
Monitor
Disseminator
Spokesperson
Monitor: seeking information to be aware of crucial
developments
Disseminator: receiving and sending information
Spokesperson: representing the views of the unit for
which he/she is responsible
Adapted from Exhibit 1.2
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Managerial Roles
Decisional
Roles
Entrepreneur
Disturbancehandler
Resourceallocator
Negotiator
Entrepreneur: exploring new opportunities
Disturbance-handler: acting as a judge or problem
solver in conflicts among employees
Resource-allocator: deciding how resources will be
distributed
Negotiator: making accommodations with other units
Adapted from Exhibit 1.2
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Managerial Job Dimensions
Demands
Activities or duties that
must be carried out
Standards or levels of
minimum performance
that must be met
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Managerial Job Dimensions
Demands
Factors that limit the
response of the manager:
Time
Budgets
Constraints
Technology
Attitudes of subordinates
Legal regulations
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Managerial Job Dimensions
Discretionary behavior
Demands
How work is to be done
How much work is to be
done
Constraints
Choices
Who will do the work
What initiatives will be
undertaken from almost
infinite possibilities
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Two Managerial Jobs
Job A:
Project Team Manager
Demands
Job B:
Fast Foods Restaurant
Manager
Develop new product with
strong market appeal
Maintain attractive
appearance of restaurant
Hold formal weekly
progress meeting with
boss
Keep employee costs as
low as possible
Frequent travel to other
company sites
Meet standards for speed of
service
Adapted from Exhibit 1.3
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Two Managerial Jobs
Job A:
Project Team Manager
Constraints
12 month deadline for
product development
Project budget limit of $1
million
No choice in selecting
team members
Job B:
Fast Foods Restaurant
Manager
Most employees have
limited formal education
Few monetary incentives to
reward outstanding
performance
Federal and state health
and safety regulations
Adapted from Exhibit 1.3
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Two Managerial Jobs
Job A:
Project Team Manager
Choices
The organizational
structure of the project
team
Sequencing of project
tasks
Budget allocation
Job B:
Fast Foods Restaurant
Manager
Selection of employee to
promote to supervisor
Scheduling of shifts and
assignments
Local advertising
promotions
Adapted from Exhibit 1.3
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What Skills Do Managers Need?
TECHNICAL SKILLS
Specialized knowledge
(Including when and how to use the skills)
INTERPERSONAL SKILLS
Sensitivity, persuasiveness, empathy
CONCEPTUAL SKILLS
Logical reasoning, judgment,
analytical abilities
Adapted from Exhibit 1.4
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Importance of Managerial Skills at
Different Organizational Levels
Importance
High
Interpersonal skills
Technical skills
Conceptual skills
Low
Entry-Level
Managers
Mid-Level
Managers
Top-Level
Managers
Adapted from Exhibit 1.5
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Who Succeeds? Who Doesn’t?
Potential leaders share
traits early on:
Those who don’t quite
make it:
Those who succeed:
Bright, with outstanding
track records
Have been successful,
but generally only in
one area or type of job.
Have diverse track
records, demonstrated
ability in many different
situations, and a breadth
of knowledge of the
business or industry.
Have survived stressful
situations
Often described as moody
or volatile. May be able to
keep their temper with
superiors during crises
but are hostile toward
peers and subordinates.
Maintain composure in
stressful situations, are
predictable during
crises, are regarded as
calm and confident.
Adapted from Exhibit 1.6
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Who Succeeds? Who Doesn’t?
Potential leaders share
traits early on:
Those who don’t quite
make it:
Those who succeed:
Have a few flaws
Cover up problems while
trying to fix them. If the
problem can’t be hidden,
they tend to go on the
defensive and even
blame someone else for
it.
Make a few mistakes, but
when they do, they admit
to them and handle them
with poise and grace.
Ambitious and oriented
toward problem solving
Micromanage a position,
may staff with the
incorrect people or
neglect the talents they
have, depend on a single
mentor.
Keep their minds
focused on the next
position, develop
competent successors,
seek advice from many
sources.
Adapted from Exhibit 1.6
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Who Succeeds? Who Doesn’t?
Potential leaders share
traits early on:
Good people skills
Those who don’t quite
make it:
May be viewed as
charming but political or
direct but tactless, cold,
and arrogant. People
don’t like to work with
them
Those who succeed:
Can get along well with
different types of people,
are outspoken without
being offensive, are
viewed as direct and
diplomatic.
Adapted from Exhibit 1.6
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