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    McGraw-Hill/Irwin Copyright 2009 by The McGraw-Hill Companies, Inc. All rights reserved.

    Principle of

    ManagementCompeting in the New Era

    UNIVERSITY OF SOUTH EAST ASIA

    LECTURED BY LUNN PISIDTH, MTM, DBA Candidate

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    McGraw-Hill/Irwin Copyright 2009 by The McGraw-Hill Companies, Inc. All rights reserved.

    MANAGING and

    MANAGER

    Chapter 01

    LECTURED BY LUNN PISIDTH, MTM, DBA Candidate

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    Defining ManagementDefining Management

    Management

    The process of working with people andresources to accomplish organizational

    goals effectivelyand efficiently

    Effectiveness

    Achieving organizational goals

    Efficiency Achieving goals with minimal waste of

    money, time, materials, and people

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    The Functions of ManagementThe Functions of Management

    Planning Delivering strategic value

    Organizing Building a dynamicorganization

    Leading Mobilizing people

    Controlling Learning and changing

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    Performing all Four Functions ofPerforming all Four Functions of

    ManagementManagement A managers day is not neatly divided

    into the four functions

    Successful managers handle all four

    functions simultaneously

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    Management Levels and SkillsManagement Levels and Skills

    FirstFirst--lineline

    managersmanagers

    Top managersTop managers

    Middle managersMiddle managers

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    Management Levels and SkillsManagement Levels and Skills

    Top-level

    managers

    Senior executive responsible

    for the overall management of

    the organization

    Middle-level

    managers

    Located in the middle layers of

    the organizational hierarchy

    reporting to top-level managers

    Frontlinemanagers

    Supervise the operationalactivities of the organization;

    also called operational

    managers

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    Relative Emphasis Placed on Functionof Management at Each Level of

    Management

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    Differences Among Managers

    The Three Levels of Management

    Top managers

    CEO, president, or vice president

    Middle managers

    Sales manager, branch manager, or department head

    First-line managers

    Crew leader, supervisor, head nurse, or office manager

    Nonmanagement operative employees

    Workers in the organization who are supervised by first-

    line managers.

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    What Do Managers Do?What Do Managers Do?

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    Management Levels and SkillsManagement Levels and Skills

    Working leaders tend to engage in 10

    activities that fall into three categories

    or roles Interpersonal roles

    Informational roles

    Decisional roles

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    Definitions of Management Roles

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    Skill Type Needed by Manager LevelSkill Type Needed by Manager LevelSkill Type Needed by Manager LevelSkill Type Needed by Manager Level

    Top

    Managers

    Middle

    Managers

    LineManagers

    Conceptual Human Technical

    1-22

    1 - 14

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    Management Levels and SkillsManagement Levels and Skills

    Key Skill Definition

    Technical skill The ability to perform a specialized

    task involving a particular method or

    process

    Conceptual and

    decisional skills

    The ability to identify and resolve

    problems for the benefit of the

    organization and its members

    Interpersonal

    and

    communication

    skills

    People skills; the ability to lead,

    motivate, and communication

    effectively with others

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    Managing in the NewManaging in the New

    Competitive LandscapeCompetitive Landscape

    GlobalizationTechnological

    Change

    Knowledge

    Management

    Collaboration

    acrossBoundaries

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    GlobalizationGlobalization

    Strong demand for

    products/services

    Internet access

    across the globe

    Strong demand for

    talent

    Global marketplace

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    Technological ChangeTechnological Change

    The Internets impact on globalization

    Increased speed of communication

    The Internet as a marketplace

    Problems

    Stress when employees/supervisors do notset limits on being connected

    Lengthening of the workday due to constant

    access

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    Knowledge ManagementKnowledge Management

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    Growing need for good, new ideas

    generates demand forknowledge

    workers Managers cannot simply measure output of

    knowledge workers

    Managers should provide knowledge

    workers with interesting work to increasemotivation

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    Collaboration across BoundariesCollaboration across Boundaries

    People in different parts of the organization

    must collaborate with one another

    Collaboration also entails moving beyond

    the boundaries of the organization itself

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    Managing for CompetitiveManaging for Competitive

    AdvantageAdvantageKey Concept DefinitionInnovation The introduction of new

    goods and services

    Quality The excellence of your

    product

    Service Giving customers what they

    want or need, the way they

    want it

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    Managing for CompetitiveManaging for Competitive

    AdvantageAdvantageKey Concept DefinitionSpeed Fast and timely

    execution, response,

    and delivery of results

    Cost competitiveness Keeping costs low to

    achieve profits and offer

    prices attractive tocustomers

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    InnovationInnovation

    Managers must adapt toManagers must adapt to

    Changes in consumer demandChanges in consumer demand

    Changes in new competitorsChanges in new competitors

    Alternative product/service delivery can beAlternative product/service delivery can beas innovative as new products/servicesas innovative as new products/services

    themselvesthemselves

    Innovation is driven by globalizationInnovation is driven by globalization

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    QualityQuality

    Quality standards are increasing

    Total quality management

    Preventing defects before they occur

    Achieving zero defects in manufacturing

    Designing products for quality

    Goal: Continuous improvement in howthe company operates

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    ServiceService

    Continually meet customer needs toestablish mutually beneficial long-termrelationships

    Make it easy for customers to experiencea service or buy and use products

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    SpeedSpeed

    Speed involves rapidly

    Developing and getting products to market

    Responding to customer requests

    Speed combined with quality is ameasure of whether a company is

    operating efficiently

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    Cost CompetitivenessCost Competitiveness

    Managing costs requires efficiency

    Efficiency is accomplishing goals by usingresources wisely and minimizing waste

    Understanding all product/servicespecific costs is essential to managingfor cost competitiveness

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    Managing for CompetitiveManaging for Competitive

    AdvantageAdvantageKey Concept Definition

    Delivering all five Incorporating

    innovation, quality,service, speed, and

    cost competitiveness

    Although managers must make some trade-offs, managing for competitive advantage

    means successfully delivering a winning mix

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    You and Your CareerYou and Your Career

    Emotional intelligence

    Understanding yourself

    Managing yourself

    Dealing effectively with others

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    Understanding YourselfUnderstanding Yourself

    Realizing your strengths and limitationsRealizing your strengths and limitations

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    Managing YourselfManaging Yourself

    Dealing with your emotionsDealing with your emotions

    Making good decisionsMaking good decisions

    Seeking and using feedbackSeeking and using feedback

    Exercising selfExercising self--controlcontrol

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    Dealing Effectively with OthersDealing Effectively with Others

    Listening

    Showing empathy

    Motivating

    Leading

    Other similar traits

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    You and Your CareerYou and Your Career

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    You and Your CareerYou and Your Career

    Tips for Success

    Be both a specialist and a generalist

    Be self-reliant

    Be connected

    Actively manage your relationship with yourorganization

    Survive and thrive

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    You and Your CareerYou and Your Career

    Social capital

    Goodwill stemming from your socialrelationships

    Business decisions both inside and outsidethe organization involve networks of people

    Social capital leverages your goodwill tomake you and your organization moresuccessful

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    You and Your CareerYou and Your Career

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