Transcript Chapter One - University of Mississippi

Mgmt 371
Chapter One
Managing and the Manager’s Job
Much of the slide content was created by Dr, Charlie Cook, Houghton Mifflin, Co.©
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What is Management?
 A set of activities directed at
an organization’s resources
with the aim of achieving
organizational goals in an
efficient and effective manner.
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What is Management?
 Management Activities (a.k.a.
the four [five] functions of
management)





Planning and decision
making
Organizing
Leading (aka. Directing)
Controlling
Staffing
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Organizational Resources
 Human resources
 Managerial talent and labor
 Financial resources
 Capital investments to support
ongoing and long-term operations
 Physical resources
 Raw materials; office and
production facilities, and equipment
 Informationresources
 Usable data, information linkages
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Table 1.1: Examples of Resources
Used by Organizations
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Figure 1.1: Management
in Organizations
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The Basic Purpose of Management
EFFICIENTLY
Using resources wisely and
in a cost-effective way
And
EFFECTIVELY
Making the right decisions and
successfully implementing them
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What is a Manager?
 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.
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The Manager’s Job
 Plan:
 A manager cannot operate effectively unless he or she
has long range plans.
 Organize
 When there is more than one employee needed to
carry out a plan, then organization is needed.
 Control
 Develop a method to know how well employees are
performing to determine what has been and what still
must be done.
 Lead
 Direct employees to ensure their efforts are directed to
achieving organizational goals.
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Figure 1.2: The
Management Process
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The Management Process
 Planning and Decision Making:
Determining Courses of Action

Setting objectives and determining the best
means of achieving them.

Decision making entails selecting a viable
course of actions from a set of alternatives.
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The Management Process
 Organizing:
Coordinating Activities and Resources

Determining how human, physical, fiscal and
information resources will be used to accomplish
objectives.

Establishing scalar chains for command &
control, e.g.
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The Management Process
 Leading (a.k.a. Directing):
Motivating and Managing People

Getting subordinates to act in a goal directed
manner.

Developing reward systems.

Knowing when to discipline or terminate under
performing employees.

Setting a proper example.
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The Management Process
 Controlling:
Monitoring and Evaluating Activities

Comparing actual results with intended result
(objectives).

Knowing the cause(s) for deviations.

Taking corrective action.
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Classifying of Managers by Level
 Top Managers
 are the small group of executives who manage the
overall organization. They create the organization’s
goals, overall strategy, and operating policies.
 Technically the two levels of a large organization.
 Middle Managers
 are primarily responsible for implementing the policies
and plans of top managers.
 They also supervise and coordinate the activities of
lower level managers.
 First-Line Managers
 supervise and coordinate the activities of operating
employees.
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Classifying Managers by Area
 Marketing Managers
 work in areas related to getting consumers and clients
to buy the organization’s products or services—new
product development, promotion, and distribution.
 Financial Managers
 deal primarily with an organization’s financial
resources—accounting, cash management, and
investments.
 Operations Managers
 are involved with systems that create products and
services—production control, inventory, quality control,
plant layout, site selection.
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Classifying Managers
by Area (cont’d)
 Human Resource Managers
 are involved in human resource activities.
 Administrative Managers
 are generalists familiar with all functional areas of
management and are not associated with any
particular management specialty.
 Other Kinds of Managers
 hold specialized managerial positions (e.g., public
relations managers) directly related to the needs of the
organization.
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Figure 1.3: Kinds of Managers by
Level and Area
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Managerial Roles (Mintzberg)
 Interpersonal Roles involve dealing
with other people.
Figurehead
 Leader
 Liaison

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Managerial Roles (Mintzberg)
 Informational Roles, as the name
implies, involve the processing of
information.
Monitor
 Disseminator
 Spokesperson

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Managerial Roles (Mintzberg)
 Decisional Roles are managerial roles
primarily related to making decisions.
 Entrepreneur
 Disturbance handler
 Resource allocator
 Negotiator
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Table 1.2: Ten Basic Managerial
Roles
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Managerial Skills
 Technical
 Must understand how the organization’s produce or
service is provided.
 Interpersonal (a.k.a. people skills)
 The ability to communicate with, understand and
motivate people.
 Conceptual
 The ability to think in the abstract, to understand the
overall workings of a firrm and how it is affected by its
environment.
 Diagnostic
 The ability to define a problem and develop an
appropriate response.
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Managerial Skills (cont’d)
 Communication
 To convey ideas and information effectively to others
and to receive ideas and information effectively from
others.
 Decision-Making
 To recognize and define problems and opportunities
and then to select an appropriate course of action to
solve the problems and capitalize on the opportunities.
 Time-Management
 To prioritize work, to work efficiently, and to delegate
appropriately.
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Management: Science or Art?
 The Science of Management
 Assumes that problems can be approached using
rational, logical, objective, and systematic ways.
 Requires the use of technical, diagnostic, and decisionmaking skills and techniques to solve problems.
 Art of Management
 Making decisions and solving problems using a blend
of intuition, experience, instinct, and personal insights.
 Using conceptual, communication, interpersonal, and
time-management skills to accomplish the tasks
associated with managerial activities.
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Figure 1.4: Sources of
Management Skills
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Managing in Organizations
 For-Profit Organizations

Large businesses

Industrial firms, commercial banks, insurance
firms, retailers, transportation firms, utilities,
communication firms, service organizations
Small businesses and start-up businesses
 International management
 Not-for-Profit Organizations
 Governmental organizations—local, state, and federal
 Educational organizations—public and private schools,
colleges, and universities
 Healthcare facilities—public hospitals and HMOs
 Nontraditional settings—community, social, spiritual
groups

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