chp.1 Managment
chp.1 Managment
chp.1 Managment
and
Managing
McGraw-Hill/Irwin Copyright © 2011 by The McGraw-Hill Companies, Inc. All rights reserved.
Learning Objectives
1. Describe what management is, why management is
important, what managers do, and how managers utilize
organizational resources efficiently and effectively to achieve
organizational goals
2. Distinguish among planning, organizing, leading, and
controlling (the four principal managerial tasks), and explain
how managers’ ability to handle each one affects
organizational performance
3. Differentiate among three levels of management, and
understand the tasks and responsibilities of managers at
different levels in the organizational hierarchy
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Learning Objectives
4. Distinguish between three kinds of managerial skill, and
explain why managers are divided into different
departments to perform their tasks more efficiently and
effectively.
5. Discuss some major changes in management practices
today that have occurred as a result of globalization and
the use of advanced information technology (IT).
6. Discuss the principal challenges managers face in
today’s increasingly competitive global environment
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What is Management?
All managers work in organizations
Organizations
└ collections of people who work together and
coordinate their actions to achieve a wide variety
of goals or desired future outcomes
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What is Management?
Managers
└ The people
responsible for
supervising the use of
an organization’s
resources to meet its
goals
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What is Management?
Management
└ The planning, organizing, leading, and controlling
of human and other resources to achieve
organizational goals effectively and efficiently
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What is Management?
Resources
└ include people, skills, know-how and experience,
machinery, raw materials,
computers and IT, patents, financial capital, and
loyal customers and employees
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Efficiency, Effectiveness, and
Performance in an Organization
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Organizational Performance
Efficiency
└ A measure of how well or how productively
resources are used to achieve a goal
Effectiveness
└ A measure of the appropriateness of the goals an
organization is pursuing and the degree to which
they are achieved.
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Why Study Management?
1. The more efficient and effective use of scarce
resources that organizations make of those
resources, the greater the relative well-being
and prosperity of people in that society
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Why Study Management?
2. Helps people deal with their bosses and
coworkers
3. Opens a path to a well-paying job and a
satisfying
career
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Four Tasks of Management
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Figure 1.2
Steps in the Planning Process
1. Deciding which goals the organization will
pursue
2. Deciding what courses of action to adopt to
attain those goals
3. Deciding how to allocate organizational
resources
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Organizing
Involves grouping people into departments
according to the kinds of job-specific tasks
they perform
Managers lay out lines of authority and
responsibility
Decide how best to organize resources,
particularly human resources
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Organizing
Organizational structure
└ A formal system of task and reporting
relationships that coordinates and motivates
members so that they work together to achieve
organizational goals
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Leading
Leadership involves using power, personality,
and influence, persuasion, and
communication skills
It revolves around encouraging all employees
to perform at a high level
Outcome of leadership is highly motivated and
committed workforce
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Example- Coach Saban
Coach Nick Saban of the University of Alabama leads by
convincing his players and coaches to buy into his
process
• “Come to work. Get to work.
• Grind it out on every play, every day, in the right way.
• Finish. Finish your preparation, your practice, your job.
• Focus on the process, not the results. If you do, the results will
take care of themselves.”
The result for 2009-10 was a
national championship
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Controlling
The outcome of the control process is the
ability to measure performance accurately and
regulate organizational efficiency and
effectiveness
Managers must decide which goals to
measure
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Areas of Managers
Department
└ A group of managers and employees who work
together and possess
similar skills
or use the same
knowledge, tools,
or techniques
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Levels of Managers
Figure 1.3
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Levels of Management
First-line managers
└ responsible for the daily supervision of the
nonmanagerial employees
Middle managers
└ Supervises first-line managers
└ responsible for finding the best way to use
resources to achieve organizational goals
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Levels of Management
Top managers
└ responsible for the performance of all
departments
└ establish organizational goals
└ decide how different departments should interact
└ monitor how well middle managers utilize
resources to achieve goals
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Relative Amount of Time That Managers
Spend on the Four Managerial Functions
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Building Competitive Advantage
Competitive Advantage
└ ability of one organization to outperform other
organizations because it produces desired
goods or services more efficiently and
effectively than its competitors
Innovation
└ The process of creating new or improved goods
and services or developing better ways to
produce or provide them.
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Building Blocks of Competitive Advantage
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Turnaround Management
Turnaround management
└ creation of a new vision for a struggling
company using a new approach to planning and
organizing to make better use of a company’s
resources to allow it to survive, and eventually
prosper
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Maintaining Ethical and Socially Responsible
Standards
Managers are under considerable pressure
to make the best use of resources
Too much pressure may induce managers to
behave unethically, and even illegally
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Managing a Diverse Workforce
To create a highly trained and motivated
workforce managers must establish HRM
procedures that are legal, fair and do not
discriminate against organizational members
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Global Crisis Management
May be the result of:
Natural causes
Manmade causes
International terrorism
Geopolitical conflicts
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Thanks
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