MGMT 8 1 Management Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. LEARNING OUTCOMES 1 Describe what management is 2 Explain the four functions of management 3 Describe different kinds of managers 4 Explain the major roles and subroles that managers perform in their jobs 5 Explain what companies look for in managers Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 2 LEARNING OUTCOMES 6 Discuss the top mistakes that managers make in their jobs 7 Describe the transition that employees go through when they are promoted to management 8 Explain how and why companies can create competitive advantage through people Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 3 Management Is… Getting work done through others Efficiently Effectively 4 Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 4 Management • Getting work done through others • Efficiency: Getting work done with minimum effort, expense, or waste • Effectiveness: Accomplishing tasks that help fulfil organizational objectives Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 5 The Four Functions of Management © 2015 Cengage Learning 1-1 Management Functions • Planning • determining organizational goals and a means for achieving them • Organizing • deciding where decisions will be made, who will do what jobs and tasks, and who will work for whom in the company 1-2 © 2015 Cengage Learning Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 7 Management Functions • Leading • inspiring and motivating workers to work hard to achieve organizational goals • Controlling • monitoring progress toward goal achievement and taking corrective action when progress isn’t being made 1-2 © 2015 Cengage Learning Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 8 The Control Process Set standards to achieve goals Make changes to return performance to standards Compare actual performance to standards 2.4 9 Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 9 What the Four Kinds of Managers Do © 2015 Cengage Learning 1-3 Kinds of Managers • Top managers: Executives responsible for the overall direction of the organization • • • • Chief executive officer (CEO) Chief operating officer (COO) Chief financial officer (CFO) Chief information officer (CIO) Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 11 Kinds of Managers • Middle managers • Responsible for: • Setting objectives consistent with top management’s goals • Planning and implementing subunit strategies for achieving the objectives • Plant manager, regional manager, or divisional manager Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 12 Kinds of Managers • First-line managers • Train and supervise the performance of nonmanagerial employees who are responsible for producing a company’s goods and services • Responsibilities - Monitoring, teaching, and short-term planning • Office manager, shift supervisor, or department manager Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 13 Kinds of Managers • Team leaders: Managers responsible for facilitating team activities toward goal accomplishment • Help team members: • Plan and schedule work • Learn to solve problems • Work effectively with each other Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 14 Mintzberg’s Managerial Roles © 2015 Cengage Learning 1-4 Managerial Roles • Interpersonal • Figurehead: Managers perform ceremonial duties(welcome visitors, speak at opening of new facilities, support local charities) • Leader: Managers motivate and encourage workers to accomplish organizational objectives • Liaison: Managers deal with people outside their units Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 16 Managerial Roles • Informational • Monitor: Managers scan their environment for information • Disseminator: Managers share the collected information with their subordinates and others in the company • Spokesperson: Managers share information with people outside their departments or companies Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 17 Managerial Roles • Decisional • Entrepreneur: Managers adapt themselves, their subordinates, and their units to change • Disturbance handler: Managers respond to pressures and problems that demand immediate attention and action • Resource allocator: Managers decide who gets what resources and in what amounts • Negotiator: Managers negotiate schedules, projects, resources, and employee raises Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 18 Skills Companies are Looking For Technical skills • Specialized procedures, techniques, and knowledge required to get the job done Human skills • Ability to work well with others Conceptual skills • Ability to: • See the organization as a whole, understand how the different parts affect each other • Recognize how the company fits into or is affected by its environment Motivation to manage • Assessment of how enthusiastic employees are about managing the work of others Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 19 Management Skills © 2015 Cengage Learning 1-5 Exhibit 1.5 Top Ten Mistakes Managers Make Source: M. W. McCall, Jr., and M. M. Lombardo, “What Makes a Top Executive?” Psychology Today, February 1983, 26–31. Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 21 Stages in the Transition to Management © 2015 Cengage Learning 1-7 Competitive Advantage through People • Stanford University professor contends that what separates top-performing companies from their competitors is the way they treat their work forces-in other words their management. • Managers in top-performing companies develop workforces that a smarter, better, trained, more motivated, and more committed than their competitor’s workforces. 23 Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 23 Competitive Advantage Through People • Employment security • Employees can innovate and increase the profitability of an organization without the fear of losing their job • Selective hiring • Companies need to hire the best talent due to the presence of employment security • Self-managed teams • Produce high productivity through increased employee commitment and creativity Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 24 Competitive Advantage Through People • Decentralization • Allows employees closest to problems, production, and clients to make timely decisions • High wages contingent on organizational performance • High remuneration helps an organization attract talented employees and retain existing employees • High wages indicates the organization values its employees Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 25 Competitive Advantage Through People • Training and skill development • Companies need to invest resources in the training employees to ensure skill development • Reduction of status differences • Leads to employees concentrating on work related issues rather than biases and prejudices of the management • Sharing information • Helps employees participate in the decision making process Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 26 SUMMARY • Functions of management are planning, organizing, controlling, and leading • Kinds of managers are top, middle, firstline, and team leaders • Roles played by managers include interpersonal, informational, and decisional • Technical, human, and conceptual skills are essential for managers Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 27 KEY TERMS • • • • • • • • • Management Efficiency Effectiveness Planning Organizing Leading Controlling Top managers Middle managers • • • • • • • • • First-line managers Team leaders Figurehead role Leader role Liaison role Monitor role Disseminator role Spokesperson role Entrepreneur role Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 28 KEY TERMS • • • • • • • Disturbance handler role Resource allocator role Negotiator role Technical skills Human skills Conceptual skills Motivation to manage Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8 | CH1 29 Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly acce ssible website, in whole or in part. MGMT8| CH1 30