01 managers and management

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PowerPoint Presentation by Charlie CookThe University of West Alabama

PowerPoint Presentation by Charlie CookThe University of West Alabama

Fundamentals of ManagementFundamentals of ManagementSixth EditionSixth Edition

Robbins and DeCenzowith contributions from Henry MoonRobbins and DeCenzowith contributions from Henry Moon

C H A P T E R

1C H A P T E R

1Part I: IntroductionPart I: Introduction

2008 Prentice Hall, Inc. All rights reserved. 2008 Prentice Hall, Inc.

All rights reserved.

Managers and ManagementManagers and Management


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2008 Prentice Hall, Inc. All rights reserved. 12

L E A R N I N G O U T C O M E S

1 . Describe the difference between managers andoperative employees.

2. Explain what is meant by the term management.

3. Differentiate between efficiency and effectiveness.4. Describe the four primary processes of management.

5. Classify the three levels of managers and identify theprimary responsibility of each group.

6. Summarize the essential roles performed bymanagers.

7. Discuss whether the managers job is generic.

After reading this chapter, you will be able to:


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Who Are Managers AndWho Are Managers AndWhere Do They Work?Where Do They Work?

OrganizationOrganization A systematic arrangement of people brought A systematic arrangement of people broughttogether to accomplish some specific purpose;together to accomplish some specific purpose;applies to all organizations.applies to all organizations.Where managers work (manage).Where managers work (manage).

Common Characteristics of OrganizationsCommon Characteristics of OrganizationsDistinct purpose and goalsDistinct purpose and goalsPeoplePeopleSystematic structureSystematic structure


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EXHIBIT 11 Common Characteristics of Organizations


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People DifferencesPeople Differences

OperativesOperativesPeople who work directly on a job or task and havePeople who work directly on a job or task and haveno responsibility for overseeing the work of others.no responsibility for overseeing the work of others.

ManagersManagersIndividuals in an organization who direct theIndividuals in an organization who direct theactivities of others.activities of others.


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EXHIBIT 12 Organizational Levels


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Identifying ManagersIdentifying Managers

FirstFirst--line Managersline ManagersSupervisors responsible for directing the daySupervisors responsible for directing the day- -toto--daydayactivities of operative employeesactivities of operative employees

Middle ManagersMiddle ManagersIndividuals at levels of management between theIndividuals at levels of management between thefirstfirst--line manager and top managementline manager and top management

Top ManagersTop ManagersIndividuals who are responsible for making decisionsIndividuals who are responsible for making decisionsabout the direction of the organization andabout the direction of the organization andestablishing policies that affect all organizationalestablishing policies that affect all organizationalmembersmembers


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How Do We Define Management?How Do We Define Management?

ManagementManagementThe process of getting things done,The process of getting things done, effectively and effectively and efficiently efficiently , through and with other people, through and with other peopleEfficiencyEfficiency

Doing the thing correctly; refers to the relationship betweenDoing the thing correctly; refers to the relationship betweeninputs and outputs; seeks to minimize resource costsinputs and outputs; seeks to minimize resource costs

EffectivenessEffectivenessDoing the right things; goal attainmentDoing the right things; goal attainment


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EXHIBIT 13 Efficiency and Effectiveness


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EXHIBIT 14 Management Process Activities


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Management Processes (contd)Management Processes (contd)

L eadingL eadingIncludes motivating employees, directing theIncludes motivating employees, directing theactivities of others, selecting the most effectiveactivities of others, selecting the most effectivecommunication channel, and resolving conflictscommunication channel, and resolving conflicts

ControllingControllingThe process of monitoring performance,The process of monitoring performance,comparing it with goals, andcomparing it with goals, andcorrecting any significantcorrecting any significantdeviationsdeviations


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EXHIBIT 15 Mintzbergs Managerial Roles

InterpersonalFigurehead Leader Liaison

InformationalMonitor Disseminator Spokesperson

Decisional

Entrepreneur Disturbance handler Resource allocator Negotiator

Sour ce: The Nat ur e o f Manage r ial W ork (paperback) by H. Mintzberg. Table 2, pp. 9293.

Reprinted by permission of Pearson Education Inc., Upper Saddle River, NJ.


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Is The Managers Job Universal?Is The Managers Job Universal?

L evel in the OrganizationL evel in the OrganizationDo managers manage differently based on whereDo managers manage differently based on wherethey are in the organization?they are in the organization?

Profit versus NotProfit versus Not- -for for--profitprofit

Is managing in a commercial enterprise differentIs managing in a commercial enterprise differentthan managing in a nonthan managing in a non- -commercial organization?commercial organization?

Size of OrganizationSize of OrganizationDoes the size of an organization affect howDoes the size of an organization affect howmanagers function in the organization?managers function in the organization?


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EXHIBIT 16 Distribution of Time per Activity by Organizational Level

Sour ce: Adapted from T. A. Mahoney, T. H. Jerdee, and S. J. Carroll,

The Job(s) of Management.I nd

ust r ial Relati

on

s 4, no. 2 (

1965), p.

103.


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EXHIBIT 17 Importance of Managerial Rolesin Small and Large Businesses

Sour ce: Adapted from J. G. P. Paolillo, The Managers Self- Assessments of Managerial Roles: Small vs. L arge Firms,

Am e r ican J our nal o f S m all B us ine ss (JanuaryMarch 1 984) pp. 6 1 62.


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Is The Managers Job Universal? (contd)Is The Managers Job Universal? (contd)

Management Concepts and National BordersManagement Concepts and National BordersIs management the same in all economic, cultural,Is management the same in all economic, cultural,social and political systems?social and political systems?

Making Decisions and Dealing with ChangeMaking Decisions and Dealing with Change

Do managers all make decisions and deal withDo managers all make decisions and deal withchange in the same ways?change in the same ways?


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General Skills for ManagersGeneral Skills for Managers

Conceptual

Skills

Political

skills

Interpersonal

skills

Technical

skills

Skills of SuccessfulManagers


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Steps in MentoringSteps in Mentoring

1 . Communicate honestly and openly with your protg.

2. Encourage honest and open communication fromyour protg.

3. Treat the relationship with the protg as alearning opportunity.

4. Take the time to get to know your protg.


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Specific Skills for ManagersSpecific Skills for Managers

Behaviors related to a managersBehaviors related to a managers effectivene sseffectivene ss ::Controlling the organizations environment and itsControlling the organizations environment and itsresources.resources.

Organizing and coordinating.Organizing and coordinating.

Handling information.Handling information.

Providing for growth and development.Providing for growth and development.

Motivating employees and handling conflicts.Motivating employees and handling conflicts.

Strategic problem solving.Strategic problem solving.


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EXHIBIT 18 Standards Overview of Managerial Competencies

Management Competencies

A cluster of knowledge, skills,and attitudes related toeffective managerialperformance.


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How Much Importance Does TheHow Much Importance Does TheMarketplace Put On Managers?Marketplace Put On Managers?

Good (effective) managerial skills are a scarceGood (effective) managerial skills are a scarcecommodity.commodity.

Managerial compensation packages are oneManagerial compensation packages are one

measure of the value that organizations place onmeasure of the value that organizations place onmanagers.managers.Management compensation reflects the marketManagement compensation reflects the marketforces of supply and demand.forces of supply and demand.

Management superstars, like superstar athletes inManagement superstars, like superstar athletes inprofessional sports, are wooed with signing bonuses,professional sports, are wooed with signing bonuses,interestinterest- -free loans, performance incentive packages, andfree loans, performance incentive packages, andguaranteed contracts.guaranteed contracts.


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Why Study Management?Why Study Management?

We all have a vested interest in improving theWe all have a vested interest in improving theway organizations are managed.way organizations are managed.Better organizations are, in part, the result of goodBetter organizations are, in part, the result of goodmanagement.management.

You will eventually either manage or beYou will eventually either manage or bemanaged.managed.

Gaining an understanding of the managementGaining an understanding of the managementprocess provides the foundation for developingprocess provides the foundation for developing

management skills and insight into the behavior of management skills and insight into the behavior of individuals and the organizations.individuals and the organizations.


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How Does Management RelateHow Does Management RelateTo Other Disciplines?To Other Disciplines?

Sociology

PsychologyPolitical Science

Economics Philosophy

Anthropology

Management


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History Module

History ModuleTHE HISTORICA L ROOTS OF CONTEMPORARY

MANAGEMENT PRACTICESTHE HISTORICA L ROOTS OF CONTEMPORARYMANAGEMENT PRACTICES


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The PreThe Pre- -modern Eramodern Era

Ancient Massive Construction Projects Ancient Massive Construction ProjectsEgyptian pyramidsEgyptian pyramidsGreat Wall of ChinaGreat Wall of China

Michelangelo, the Manager.Michelangelo, the Manager.


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Adam Smiths Contribution Adam Smiths ContributionTo The Field Of ManagementTo The Field Of Management

Wrote the Wealth of Nations ( 1 776)Wrote the Wealth of Nations ( 1 776) Advocated the economic advantages that Advocated the economic advantages thatorganizations and society would reap from theorganizations and society would reap from the

division of labor:division of labor:Increased productivity by increasing each workersIncreased productivity by increasing each workersskill and dexterity.skill and dexterity.Time saved that is commonly lost in changingTime saved that is commonly lost in changing

tasks.tasks.The creation of labor The creation of labor- -saving inventions andsaving inventions andmachinery.machinery.


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The Industrial Revolutions InfluenceThe Industrial Revolutions InfluenceOn Management PracticesOn Management Practices

Industrial RevolutionIndustrial RevolutionMachine power began to substitute for human power Machine power began to substitute for human power

L ead to mass production of economical goodsL ead to mass production of economical goods

Improved and less costly transportation systemsImproved and less costly transportation systemsbecame availablebecame available

Created larger markets for goods.Created larger markets for goods.L arger organizations developed to serve larger L arger organizations developed to serve larger

marketsmarketsCreated the need for formalized management practices.Created the need for formalized management practices.


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Classical ContributionsClassical Contributions

Classical ApproachClassical ApproachThe term used to describe the hypotheses of theThe term used to describe the hypotheses of thescientific management theorists and the generalscientific management theorists and the generaladministrative theorists.administrative theorists.

Scientific management theoristsScientific management theorists Fredrick W. Taylor, Frank and Lillian Gilbreth, Fredrick W. Taylor, Frank and Lillian Gilbreth,and Henry Gantt and Henry Gantt

General administrative theoristsGeneral administrative theorists

Henri Fayol and Max Weber Henri Fayol and Max Weber


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Scientific ManagementScientific Management

Frederick W. Taylor Frederick W. Taylor The Principles of Scientific Management ( 1 911 )The Principles of Scientific Management ( 1 911 )

Advocated the use of the scientific method to define the one Advocated the use of the scientific method to define the onebest way for a job to be donebest way for a job to be done

Believed that increased efficiency could be achievedBelieved that increased efficiency could be achievedby selecting the right people for the job and trainingby selecting the right people for the job and trainingthem to do it precisely in the one best way.them to do it precisely in the one best way.

To motivate workers, he favored incentive wageTo motivate workers, he favored incentive wageplans.plans.

Separated managerial work from operative work.Separated managerial work from operative work.


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EXHIBIT HM1 Taylors Four Principles of Management

1 . Develop a science for each element of an individualswork, which replaces the old rule-of thumb method.

2. Scientifically select and then train, teach, and develop theworker. (Previously, workers chose their own work andtrained themselves as best they could.)

3. Heartily cooperate with the workers so as to ensure thatall work is done in accordance with the principles of thescience that has been developed.

4. Divide work and responsibility almost equally between

management and workers. Management takes over allwork for which it is better fitted than the workers.(Previously, almost all the work and the greater part of theresponsibility were thrown upon the workers.)


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Scientific Management ContributorsScientific Management Contributors

Frank and L illian GilbrethFrank and L illian GilbrethBricklaying efficiency improvementsBricklaying efficiency improvementsTime and motion studies (Time and motion studies ( the rb lig sthe rb lig s ))

Henry GanttHenry GanttIncentive compensation systemsIncentive compensation systemsGantt chart for scheduling work operationsGantt chart for scheduling work operations


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General Administrative TheoryGeneral Administrative Theory

General Administrative TheoristsGeneral Administrative TheoristsDeveloped general theories of what managers doDeveloped general theories of what managers doand what constitutes good management practiceand what constitutes good management practice

Henri Fayol (France)Henri Fayol (France)

Fourteen Principles of Management: Fundamental or Fourteen Principles of Management: Fundamental or universal principles of management practiceuniversal principles of management practice

Max Weber (Germany)Max Weber (Germany)Bureaucracy: Ideal type of organization characterized byBureaucracy: Ideal type of organization characterized bydivision of labor, a clearly defined hierarchy, detailed rulesdivision of labor, a clearly defined hierarchy, detailed rulesand regulations, and impersonal relationshipsand regulations, and impersonal relationships


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EXHIBIT HM2 Fayols Fourteen Principles of Management

1. Division of Work

2. Authority

3. Discipline

4. Unity of Command5. Unity of Direction

6. Subordination of Individual Interests tothe General Interest

7. Remuneration

8. Centralization

9. Scalar Chain

10. Order

11. Equity12. Stability of Tenure

of Personnel

13. Initiative

14. Esprit de Corps


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EXHIBIT HM3 Webers Ideal Bureaucracy

1. Division of Labor

2. Authority Hierarchy

3. Formal Selection4. Formal Rules and Regulations

5. Impersonality

6. Career Orientation


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Human Resources ApproachHuman Resources Approach

Robert OwenRobert OwenScottish businessman and reformer who advocatedScottish businessman and reformer who advocatedfor better treatment of workers.for better treatment of workers.Claimed that a concern for employees was profitableClaimed that a concern for employees was profitablefor management and would relieve human misery.for management and would relieve human misery.

Hugo MunsterbergHugo MunsterbergCreated the field of industrial psychologyCreated the field of industrial psychology thethescientific study of individuals at work to maximizescientific study of individuals at work to maximizetheir productivity and adjustment.their productivity and adjustment.

Psychology and Industrial Efficiency ( 1 91 3)Psychology and Industrial Efficiency ( 1 91 3)


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Hawthorne StudiesHawthorne Studies

A series of studies done during the1

920s and A series of studies done during the1

920s and1 930s that provided new insights into group1 930s that provided new insights into groupnorms and behaviorsnorms and behaviors

Hawthorne effectHawthorne effect

Social norms or standards of the group are theSocial norms or standards of the group are thekey determinants of individual work behavior.key determinants of individual work behavior.

Changed the prevalent view of the time thatChanged the prevalent view of the time thatpeople were no different than machines.people were no different than machines.


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The Quantitative ApproachThe Quantitative Approach

Operations Research (Management Science)Operations Research (Management Science)Evolved out of the development of mathematical andEvolved out of the development of mathematical andstatistical solutions to military problems during Worldstatistical solutions to military problems during WorldWar II.War II.Involves the use of statistics, optimization models,Involves the use of statistics, optimization models,information models, and computer simulations toinformation models, and computer simulations toimprove management decision making for planningimprove management decision making for planningand control.and control.


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Social Events That ShapedSocial Events That ShapedManagement ApproachesManagement Approaches

Classical ApproachClassical ApproachThe desire for increased efficiency of labor intensiveThe desire for increased efficiency of labor intensiveoperationsoperations

Human Resources ApproachHuman Resources ApproachThe backlash to the overly mechanistic view of The backlash to the overly mechanistic view of employees held by the classicists.employees held by the classicists.The Great Depression.The Great Depression.

The Quantitative ApproachesThe Quantitative ApproachesWorld War II armament productionWorld War II armament production


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What is the Process Approach?What is the Process Approach?

Management Theory Jungle (Harold Koontz)Management Theory Jungle (Harold Koontz)The diversity of approaches to the study of The diversity of approaches to the study of managementmanagement functions, quantitative emphasis,functions, quantitative emphasis,human relations approacheshuman relations approaches each offer somethingeach offer somethingto management theory, but many are onlyto management theory, but many are onlymanagerial tools.managerial tools.

Process ApproachProcess ApproachPlanning, leading, and controlling activities arePlanning, leading, and controlling activities arecircular and continuous functions of management.circular and continuous functions of management.


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The Systems ApproachThe Systems Approach

Defines a system as a set of interrelated andDefines a system as a set of interrelated andinterdependent parts arranged in a manner thatinterdependent parts arranged in a manner thatproduces a unified wholeproduces a unified whole

Closed system :Closed system : a system that is not influenced bya system that is not influenced by

and does not interact with its environmentand does not interact with its environmentOpen system:Open system: a system that dynamically interactsa system that dynamically interactswith its environmentwith its environment

Stakeholders:Stakeholders: any group that is affected byany group that is affected by

organizational decisions and policiesorganizational decisions and policies


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EXHIBIT HM4 The Organization and Its Environment


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The Contingency ApproachThe Contingency Approach

The Contingency ApproachThe Contingency ApproachReplaces more simplistic systems and integratesReplaces more simplistic systems and integratesmuch of management theory.much of management theory.

Four Contingency VariablesFour Contingency Variables

Organization size (coordination)Organization size (coordination)Routineness of task technology (task complexityRoutineness of task technology (task complexitydictates structure)dictates structure)Environmental uncertainty (change management)Environmental uncertainty (change management)

Individual differences (managerial styles ,Individual differences (managerial styles ,motivational techniques, and job design)motivational techniques, and job design)

Exhibit HM-5


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EXHIBIT HM5 Four Popular Contingency Variables

Organization Size

Routineness of Task TechnologyEnvironmental Uncertainty

Individual Differences

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