BADM1103F07Ch07

1/45Management2/45Management•Managers•Guide•Train•Support•Motivate•Coach3/45Management (cont.)•Teamwork•Long-term contracts between management and employees no longer exist •Leaders are younger, and they tend to move from one company to another •The new manager needs to be a skilled communicator and team player as well as a planner, coordinator, organizer, and supervisor 4/45Functions of Managers•Give direction to their organizations •Provide leadership •Decide how to use organizational resources to accomplish goals 5/45Management (cont.)•Management•The process used to accomplish organizational goalsplanningorganizingleadingcontrolling6/45Management (cont.)•Planning•Anticipating future trends and determining the best strategies and tactics to achieve organizational goals and objectives •Planning teams•Planning –key management function7/45Management (cont.)•Organizing•Designing the structure of the organization•Creating conditions and systems in which everyone and everything work together to achieve the organization’s goals and objectives 8/45Management (cont.)•Leading•Creating a vision for the organizationguidingtrainingcoachingmotivating •Empowering9/45Management (cont.)•Controlling•Establishing clear standards to determine if an organization is progressing toward its goals and objectives•Rewarding people for doing a good job•Taking corrective action if they are not10/45Management (cont.)•Planning•The setting of the organizational vision, goals, and objectives •Visionencompassing explanation of why the organization exists and where it is trying to head; it is more than a goal 11/45Management (cont.)•Mission statement•An outline of the fundamental purposes of the organization 12/45Management (cont.)•Mission statement•The organization’s self-concept •Company philosophy and goals •Long-term survival•Customer needs •Social responsibility •Nature of the company’s product or service 13/45Management (cont.)•Goals•broad, long-term accomplishments an organization wishes to attain 14/45Management (cont.)•Objectives•Specific, short-term statements detailing how to achieve the organizational goals 15/45Management (cont.)•Planning answers:•What is the situation now and where do we want to go? •How can we get there from here? 16/45Management (cont.)•SWOT analysis•Strengths•WeaknessesInternal to the firm•Opportunities•Threats17/45SWOT18/45Management (cont.)•Strategic planning•The process of determinninthe major goals of the organizationthe policies and strategies needed for obtaining and using resources to achieve those goals•Foundation for the policies, procedures, and strategies to achieve goals 19/45Management (cont.)•Tactical planning•The process of developing detailed, short-term statements about what is to be done, who is to do it, and how it is to be done Setting annual budgets20/45Management (cont.)•Operational planning•The process of setting of work standards and schedules necessary to implement the company’s tactical objectives •The department manager’s tool for daily operations 21/45Management (cont.)•Contingency planning•The process of preparing alternative courses of action that may be used if the primary plans don’t achieve the organization’s objectives •Crisis planninga part of contingency planning, involves reacting to sudden changes in the environment 22/45Management (cont.)•Decision making•Finding the best alternative•Stepsdefine the problem describe and collect needed information develop agreement among those involved begin implementation determine whether the decision was a good one and follow up 23/45Management (cont.)•Problem solving•The process of solving the everyday problems that occur; it is less formal than the decision-making process and calls for quicker action •Brainstorming24/45Organization•Organizational chart•A visual device that shows the relationship and divides the organization’s work•It shows who is accountable for the completion of specific work and who reports to whom 25/45Organization (cont.)•Levels of management•Top managementhighest level of management, consisting of the president and other key company executives who develop STRATEGIC PLANS Chief Executive Officer (CEO), Chief Operating Officer (COO), Chief Financial Officer (CFO), and Chief Knowledge Officer (CKO) 26/45Organization (cont.)•Middle management•Includes general managers, division managers, and branch and plant managersresponsible for TACTICAL PLANNING and CONTROLLING27/45Organization (cont.)•Supervisory management•Directly responsible for supervising workers and evaluating their daily performance 28/4529/45Tasks and Skills•Managers are usually are not trained to be managers—they are workers with specific skills who are promoted 30/45Tasks and Skills (cont.)•Technical skills•The ability to perform tasks in a specific discipline (such as selling a product) or department (such as marketing) •Human relations skillscommunication and motivation; they enable managers to work through and with people 31/45Tasks and Skills (cont.)•Conceptual skills•The ability to picture the organization as a whole and the relationships among its various parts 32/45Tasks and Skills (cont.)•By level•First-levelless conceptual skill and more technical and human relations skills •Top-levelfew technical skills and greater human relations and conceptual skills 33/45Management (cont.)•Staffing•The management function that includes hiring, motivating, and retaining the best people available to accomplish the company’s objectives •Firms with the most innovative and creative workers can develop quickly and successfully 34/45Management (cont.)•Leadership•Creating vision for others to follow •Establishing corporate values and ethics •Transforming the way the organization does businessimprove its effectiveness and efficiency 35/45Management (cont.)•Management•Caring out the leadership’s vision •Leaders must lead by doing; they must •Communicate a vision and rally others around that vision •Establish corporate values •Promote corporate ethics •Embrace change36/45Management (cont.)•Leadership styles•Autocratic leadershipmaking managerial decisions without consulting others; it is effective in emergencies and when dealing with unskilled workers •Participative (Democratic) Leadershipmanagers and employees working together to make decisions 37/45Management (cont.)•Free-rein Leadershipmanagers setting objectives and employees being relatively free to do whatever it takes to accomplish those objectives engineers or other professionals 38/45Management (cont.)•Empowering workers •Traditional organizations giving assignments, explaining routines, clarifying policies, and providing feedback on performance39/45Management (cont.)•Progressive Leaders•Less likely to give specific instructions to employees•Empower employees to make decisions on their own •Managers often resist empowerment because they are often reluctant to give up power •Enablinggiving workers the education and tools they need to make decisions 40/45Management (cont.)•Knowledge Management•Finding the right information•Keeping the information in a readily accessible place•Making the information known to everyone in the firm 41/45Management (cont.)•Control Function •Provides the feedback that lets managers adjust to any deviations from plans42/45Management (cont.)•Steps in controlling•Establishing clear performance standards •Monitoring and recording actual performance •Comparing results against plans and standards43/45Management (cont.)•Communicating results and deviations to the employees involved •Taking corrective action when needed•Providing positive feedback for work well done 44/45Management (cont.)•Setting standards •Problematic•StandardsSPECIFICATTAINABLEMEASURABLE45/45Management (cont.)•Measuring success•Customer-oriented firmCustomer Satisfaction•External customers•Internal customersDelighting customers