Fundamentals of Management Lecture, chapter 1

BBS

1. Fundamentals of Core Concepts & Applications Griffin Eighth Edition MANAGEMENT . Chapter 1 Managing and the Manager’s Job

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5. 6 Table 1.1

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7. 8 Management in Organizations Inputs from the environment • Human resources • Financial resources • Physical resources • Information resources Planning and decision making Leading Organizing Controlling Goals attained • Efficiently • Effectively Figure 1.1

8. 8 Basic Purpose of Management EFFICIENTLY Using resources wisely and in a cost-effective way EFFECTIVELY Making the right decisions and successfully implementing them And

9. 9 Efficiency versus Effectiveness Source: Van Fleet, David D., Contemporary Management , Second Edition. Copyright © 1991 by Houghton Mifflin Company. Used with permissions. Figure 1.2

10. 10 The Management Process (cont’d) Planning and Decision Making Setting an organization’s goals and selecting a course of action from a set of alternatives to achieve them. Organizing Determining how activities and resources are grouped. Leading The set of processes used to get organizational members to work together to advance the interests of the organization. Controlling Monitoring organizational progress towards goals.

11. 11 The Management Process Organizing Determining how best to group activities and resources Controlling Monitoring and correcting ongoing activities to facilitate goal attainment Planning and Decision Making Setting the organiza- tion ’ s goals and deciding how best to achieve them Leading Motivating members of the organization to work in the best interests of the organization Figure 1.3

12. 12 What is a Manager? According to Ricky W . Griffin : Someone whose primary responsibility is to carry out the management process. Someone who plans and makes decisions, organizes, leads, and controls human, financial, physical, and information resources.

13. 13 Kinds of Managers by Level and Area Marketing Administration Other Human resources Operations Finance Middle managers Areas of Management Levels of Management First-line managers Top managers Figure 1.4

14. 14 Kinds of Managers by Level Top Managers The relatively small group of executives who manage the organization’s overall goals, strategy, and operating policies. Middle Managers Largest group of managers in organizations who are primarily responsible for implementing the policies and plans of top managers. They supervise and coordinate the activities of lower-level managers. First-Line Managers Managers who supervise and coordinate the activities of operating employees.

15. 15 Kinds of Managers by Area Marketing Managers Work in areas related to getting consumers and clients to buy the organization’s products or services. Financial Managers Deal primarily with an organization’s financial resources. Operations Managers Concerned with creating and managing the systems that create organization’s products and services.

16. 16 Kinds of Managers by Area (cont’d) Human Resource Managers Involved in human resource planning, recruiting and selection, training and development, designing compensation and benefit systems, formulating performance appraisal systems. Administrative Managers Generalists who are familiar with all functional areas of management and who are not associated with any particular management specialty.

17. Interpersonal Informational Decisional Figurehead Leader Liaison Monitor Disseminator Spokesperson Entrepreneur Disturbance-handler Resource-allocator Negotiator Managerial Roles 17 Figure 1.5

18. 18 Represent the organization or department in legal, social, ceremonial, or symbolic activities Generally considered a top management function However, leaders throughout the organization can perform this role Includes: Signing official documents Entertaining clients and official visitors Speaking engagements (formal and informal) Presiding at meetings and ceremonies Interpersonal: Figurehead Role

19. 19 Pervades all managerial behavior Influences how leaders perform other roles Includes: Hiring and training Giving instructions and coaching Evaluating performance Interpersonal: Leader Role

20. 20 Interacting with people outside the organizational unit Includes: Networking Developing relationships Gaining information and favors Serving on committees Attending professional meetings Keeping in touch with other people and organizations Interpersonal: Liaison Role

21. 21 Gathers information Analyzes the information to discover problems and opportunities Includes: Reading memos, reports, and publications Talking to others Attending meetings Observing competitors Informational: Monitor Role

22. 22 Sends information to others Information passed via: Oral means Telephone or voice mail One-on-one discussions Meetings Written media E-mail Printed documents Handwritten notes Informational: Disseminator Role

23. 23 Provides information to people outside the organizational unit Examples: Meeting with the boss to discuss performance Meeting with the budget officer to discuss the unit budget Answering letters Reporting information to the government Informational: Spokesperson Role

24. 24 Innovative Initiation of improvements Examples: Developing new or improved products and services Developing new ways to process products and services Purchasing new equipment Decisional: Entrepreneur Role

25. 25 Takes corrective action during crisis or conflict situations Involves reactions to unexpected events Leaders typically give this role priority Examples: A union strike Equipment breakdown Needed material not arriving on time Tight schedules Decisional: Disturbance-Handler Role

26. 26 Involves scheduling, requesting authorization, and performing budgeting activities Examples: Deciding what is done now, later, or not at all Setting priorities and time management Allocating raises, overtime, and bonuses Scheduling employee, equipment, and material use Decisional: Resource-Allocator Role

27. 27 Represents their organizational unit in transactions without set boundaries Examples: Setting pay and benefits for a new professional employee or manager Reaching agreement on a labor union contract Contracting with customers or suppliers Decisional: Negotiator Role

28. 28 Table 1.2

29. 29 Skills and the Manager Figure 1.6

30. 30 Fundamental Management Skills Technical Skills necessary to accomplish or understand the specific kind of work being done in an organization. Interpersonal The ability to communicate with, understand, and motivate both individuals and groups. Conceptual The manager’s ability to think in the abstract. Diagnostic The manager’s ability to visualize the most appropriate response to a situation.

31. 31 Fundamental Management Skills (cont’d) Communication The manager’s abilities both to convey ideas and information effectively to others and to receive ideas and information effectively from others. Decision-Making The manager’s ability to recognize and define problems and opportunities correctly and then to select an appropriate course of action to solve the problems and capitalize on opportunities. Time-Management The manager’s ability to prioritize work, to work efficiently, and to delegate appropriately.

32. 32 Fundamental Management Skills Management Skill Mixes at Different Organizational Levels Figure 1.7

33. 33 Management: Science or Art? The Science of Management Assumes that problems can be approached using rational, logical, objective, and systematic ways. Requires technical, diagnostic, and decision-making skills and techniques to solve problems. The Art of Management Decisions are made and problems solved using a blend of intuition, experience, instinct, and personal insights. Requires conceptual, communication, interpersonal, and time-management skills to accomplish the tasks associated with managerial activities.

34. 34 Figure 1.8