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What Is Management?What Is Management?What Is Management?What Is Management?

• ManagementManagementThe planning, organizing, leading, and controlling The planning, organizing, leading, and controlling

of human and other resources to achieve of human and other resources to achieve organizational goals effectively and efficiently.organizational goals effectively and efficiently.

• ManagersManagersThe people responsible for supervising the use of The people responsible for supervising the use of

an organization’s resources to meet its goals.an organization’s resources to meet its goals.

• Resources are organizational assetsResources are organizational assetsPeoplePeople SkillsSkills KnowledgeKnowledge

InformationInformationRaw materialsRaw materials MachineryMachinery Financial capitalFinancial capital

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Efficiency, Effectiveness, and Performance in an Efficiency, Effectiveness, and Performance in an OrganizationOrganization

Efficiency, Effectiveness, and Performance in an Efficiency, Effectiveness, and Performance in an OrganizationOrganization

Figure 1.1

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Four Functions of ManagementFour Functions of ManagementFour Functions of ManagementFour Functions of Management

Figure 1.2

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Types of ManagersTypes of ManagersTypes of ManagersTypes of Managers

• Levels of ManagementLevels of ManagementFirst-line managersFirst-line managers

• Responsible for day-to-day operations. Supervise people Responsible for day-to-day operations. Supervise people performing activities required to make the good or service. performing activities required to make the good or service.

Middle managersMiddle managers

• Supervise first-line managers. Are responsible to find the Supervise first-line managers. Are responsible to find the best way to use departmental resources to achieve goals.best way to use departmental resources to achieve goals.

Top managersTop managers

• Responsible for the performance of all departments and Responsible for the performance of all departments and have cross-departmental responsibility.have cross-departmental responsibility.

• Establish organizational goals and monitor middle Establish organizational goals and monitor middle managers. managers.

• Form top management team along with the CEO and COO.Form top management team along with the CEO and COO.

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Levels of ManagementLevels of ManagementLevels of ManagementLevels of Management

Figure 1.3

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IT and Managerial Roles and SkillsIT and Managerial Roles and SkillsIT and Managerial Roles and SkillsIT and Managerial Roles and Skills

• Information Technology (IT) is increasingly Information Technology (IT) is increasingly used to help managers adopt a cross-used to help managers adopt a cross-departmental view of their organization.departmental view of their organization.

• Managerial RoleManagerial RoleThe set of specific tasks that a person is The set of specific tasks that a person is

expected to perform because of the position expected to perform because of the position he or she holds in the organization.he or she holds in the organization.

• Roles are defined into three role categories Roles are defined into three role categories (as identified by Mintzberg):(as identified by Mintzberg):InterpersonalInterpersonal Informational Informational

DecisionalDecisional

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Decisional RolesDecisional RolesDecisional RolesDecisional Roles

• Roles associated with methods managers use in Roles associated with methods managers use in planning strategy and utilizing resources:planning strategy and utilizing resources:EntrepreneurEntrepreneur——deciding which new projects or deciding which new projects or

programs to initiate and to invest resources in. programs to initiate and to invest resources in. Disturbance handlerDisturbance handler—managing —managing an an

unexpected event or crisis.unexpected event or crisis.Resource allocatorResource allocator——assigning resources assigning resources

between functions and divisions, setting the between functions and divisions, setting the budgets of lower managers.budgets of lower managers.

NegotiatorNegotiator—reaching agreements—reaching agreements between between other managers, unions, customers, or other managers, unions, customers, or shareholders.shareholders.

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Informational RolesInformational RolesInformational RolesInformational Roles

• Roles associated with the tasks needed to Roles associated with the tasks needed to obtain and transmit information in the process obtain and transmit information in the process of managing the organization:of managing the organization:MonitorMonitor——analyzing information from both analyzing information from both

the internal and external environment.the internal and external environment.DisseminatorDisseminator——transmitting information to transmitting information to

influence the attitudes and behavior of influence the attitudes and behavior of employees.employees.

SpokespersonSpokesperson——using information to using information to positively influence the way people in and positively influence the way people in and out of the organization respond to it.out of the organization respond to it.

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Interpersonal RolesInterpersonal RolesInterpersonal RolesInterpersonal Roles

• Roles that managers assume to provide Roles that managers assume to provide direction and supervision to both employees direction and supervision to both employees and the organization as a whole:and the organization as a whole:FigureheadFigurehead——symbolizing the organization’s symbolizing the organization’s

mission and what it is seeking to achieve.mission and what it is seeking to achieve.LeaderLeader——training, counseling, and mentoring training, counseling, and mentoring

high employee performance.high employee performance.LiaisonLiaison—linking and coordinating the —linking and coordinating the

activities of activities of people and groups both inside people and groups both inside and outside the organization.and outside the organization.

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Managerial SkillsManagerial SkillsManagerial SkillsManagerial Skills

• Conceptual SkillsConceptual SkillsThe ability to analyze and diagnose a The ability to analyze and diagnose a

situation and distinguish between cause and situation and distinguish between cause and effect.effect.

• Human SkillsHuman SkillsThe ability to understand, alter, lead, and The ability to understand, alter, lead, and

control the behavior of other individuals and control the behavior of other individuals and groups.groups.

• Technical SkillsTechnical SkillsThe specific knowledge and techniques The specific knowledge and techniques

required to perform an organizational role.required to perform an organizational role.

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Challenges for Management Challenges for Management in a Global Environmentin a Global Environment

Challenges for Management Challenges for Management in a Global Environmentin a Global Environment

• Increasing Number of Global Organizations.Increasing Number of Global Organizations.

• Building a Competitive Advantage.Building a Competitive Advantage.

• Maintaining Ethical Standards.Maintaining Ethical Standards.

• Managing a Diverse Workforce.Managing a Diverse Workforce.

• Utilizing Information Technology and E-Utilizing Information Technology and E-commerce.commerce.