MANAGEMENT S. Robbins & M.

Coulter
Chapter 1 - Introduction to Management and Organizations

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L E A R N I N G O U T L I N E
Follow this Learning Outline as you read and study this chapter.

Who Are Managers?

Explain how managers differ from non-managerial employees.
Describe how to classify managers in organizations.

What Is Management?
Define management. Explain why efficiency and effectiveness are important to management.

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L E A R N I N G O U T L I N E (contd)
Follow this Learning Outline as you read and study this chapter.

What Do Managers Do?

Describe the four functions of management.
Explain Mintzbergs managerial roles. Describe Katzs three essential managerial skills and how the importance of these skills changes depending on managerial level. Discuss the changes that are impacting managers jobs. Explain why customer service and innovation are important to the managers job.

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L E A R N I N G O U T L I N E (contd)
Follow this Learning Outline as you read and study this chapter.

What Is An Organization?
Describe the characteristics of an organization.
Explain how the concept of an organization is changing.

Why Study Management?

Explain the universality of management concept.
Discuss why an understanding of management is important. Describe the rewards and challenges of being a manager.

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Who Are Managers?

Manager
Someone who coordinates and oversees the work of other people so that organizational goals can be accomplished. Issue of long term Vs medium term Vs short term goals Are all managers leaders? A leader is someone who inspires/motivates/influences others to meet specific objectives while a manager focuses on the routine of planning, implementation and control

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Classifying Managers (3 levels)

First-line Managers Responsible for supervising the work of non-management employees
Individuals who manage the work of non-managerial employees.

Middle Managers Just below top management

Individuals who manage the work of first-line managers. Implement strategies, policies and decisions across the team as directed by top management

Top Managers
Individuals who are responsible for making organization-wide decisions and establishing plans and goals that affect the entire organization. Essentially report to the board of directors and stockholders for a firms overall effectiveness and performance (CEOs/COOs/Presidents etc.)

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What Is Management? Management involves coordinating and overseeing the work activities of others so that their activities are completed efficiently and effectively.
Managerial Concerns Efficiency Doing things right Getting the most output for the least inputs Effectiveness Doing the right things Attaining organizational goals
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Exhibit 12 Effectiveness and Efficiency in Management

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What Do Managers Do?

In early 20th century Henri Fayol one of the fathers of classical management theory identified 5 functions of management. These have been modified over the years and today most managers condense the functions to 4

Functional Approach
1. Planning

Defining goals, establishing strategies to achieve goals, loping developing plans to integrate and coordinate activities.

2. Organizing

Arranging and structuring work to accomplish organizational goals. Fitting the organizations resources and activities into a coherent structure
Efforts aimed at attracting, recruiting, training, developing, retaining and working with and through people to accomplish organizational goals. Monitoring, comparing, and correcting work.
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3. Leading/Directing (Encompasses staffing)

4. Controlling

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Exhibit 13

Management Functions
Properly coordinated the execution of these functions lead to achieving the organizations stated purposes Controlling Monitoring actual activities Leading/Directing Attracting and recruiting Measuring performance

Planning

Defining goals
Est. strategy Dev plans to Organizing coordinate activities Determining what needs to be done How it will be done
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Developing and maintaining Continue current activities an effective workforce or adjusting for Motivating correction Leading Any other actions involved in dealing with people
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Who will do it

The Control Function

Exhibit 14

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What Do Managers Do Another Approach

The Management Roles Approach (Mintzberg)
Dr. Henry Mintzberg is among the most distinguished contemporary management authors and is recognized for his expertise, innovation and dynamism worldwide. Written a number of acclaimed books. Said that what managers do can be best described by the roles they play. He identified 10 roles which have been fitted into 3 categories 1. Interpersonal roles

Figurehead, leader, liaison Monitor, disseminator, spokesperson Disturbance handler, resource allocator, negotiator, entrepreneur
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2. Informational roles 3. Decisional roles

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What Managers Actually Do (Mintzberg)

Mintzberg also proposed that as a manager plays the various roles they end up doing a lot of interacting, reflecting and activity implementation

Interaction
with others with the organization with the external context of the organization

Reflection
thoughtful thinking

Action
practical doing

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The Skills Managers Require

Skills Approach
Technical skills

Knowledge and proficiency in a specific field The ability to work well with other people The ability to think and conceptualize about abstract and complex situations concerning the organization

Human skills

Conceptual skills

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Exhibit 15 Skills Needed at Different Management Levels As a managers job is varied and complex they need a mix of skills to cope. One approach stresses the following 3 skills

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Exhibit 16 Conceptual Skills

Using information to make decisions and solve business problems

Identifying of opportunities for innovation

Recognizing problem areas and implementing solutions

Selecting critical information from masses of data

Understanding of business uses of technology

Understanding of organizations business model

Source: Based on American Management Association Survey of Managerial Skills and Competencies, March/April 2000, found on AMA Web site (www.ama.org), October 30, 2002.

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Exhibit 17 Human Skills

Ability to communicate well - transform ideas into words and actions

Working well with the individual and/or the group; cooperation and commitment Motivating and leading Credibility among colleagues, peers, and subordinates Coaching and mentoring skills Diversity skills: working with diverse people and cultures Networking inside and outside the organization
Source: Based on American Management Association Survey of Managerial Skills and Competencies, March/April 2000, found on AMA Web site (www.ama.org), October 30, 2002.

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Exhibit 18 Technical Skills

Strong knowledge in specialized fields Project management

Reviewing operations and implementing improvements

Source: Based on American Management Association Survey of Managerial Skills and Competencies, March/April 2000, found on AMA Web site (www.ama.org), October 30, 2002.

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How The Managers Job Is Changing

Two of the main changes impacting the managers job: T
w o

1. The Increasing Importance of Customers

o Customers: the reason that organizations exist

Managing customer relationships is the responsibility of all managers and employees. h Consistent high quality customer service is essential for t survival.

e 2. Innovation m a Doing things i taking risks n

differently, exploring new territory, and

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Managers should encourage employees to be aware of and cact on opportunities for innovation.
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What Is An Organization?
An Organization Defined
A deliberate arrangement of people to accomplish some specific purpose (that individuals independently could not accomplish alone).

Common Characteristics of Organizations

Have a distinct purpose (goal) Composed of people Have a deliberate structure (some are open and flexible while others are rigidly defined)

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Why Study Management?

The Value of Studying Management
The universality of management

Good management is needed in all organizations.

The reality of work

Employees either manage or are managed.

Rewards and challenges of being a manager

Management offers challenging, exciting and creative opportunities for meaningful and fulfilling work. Successful managers receive significant monetary rewards for their efforts.

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Terms to Know
manager first-line managers middle managers top managers management efficiency effectiveness planning organizing leading controlling management roles interpersonal roles informational roles decisional roles technical skills human skills conceptual skills organization universality of management

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