UNIT 1

Introduction to Management

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Management
Fifteenth Edition, Global Edition

Chapter 1

Managers and You in the

Workplace

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Learning Objectives
1.1 Tell who managers are and where they work.
1.2 Explain why managers are important to organizations.
1.3 Describe the functions, roles, and skills of managers.
1.4 Describe the factors that are reshaping and redefining
the manager’s job.
1.5 Explain the value of studying management.
1.6 Describe the benefits of the Employability Skills Matrix
(ESM).

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Who Is a Manager?
Manager: someone who coordinates and oversees the work
of other people so that organizational goals can be
accomplished

 However, managers may have additional work duties not related to

coordinating the work of others.

Managers can be classified by their level in the organization,

particularly in traditionally structured organizations—those
shaped like a pyramid

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Exhibit 1.1 Levels of Management

Exhibit 1.1 shows that in traditionally structured organizations, managers can be classified
as first-line, middle, or top.

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Classifying Managers
• First-Line Managers: manage the work of non-managerial
employees
– First-line managers may be called supervisors or even
shift managers, district managers, department
managers, or office managers. are typically involved
with producing the organization’s products or servicing
the organization’s customers.
• Middle Managers: manage the work of first-line managers
– They may have titles such as regional manager, project
leader, store manager, or division manager.

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Classifying Managers
• Top Managers: responsible for making organization-wide
decisions and establishing plans and goals that affect the
entire organization. These individuals typically have titles
such as executive vice president, president, managing
director, chief operating officer, or chief executive.

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Where Do Managers Work?
• Organization: a deliberate arrangement of people to
accomplish some specific purpose.

Organizations share three common characteristics

(1) each has a distinct purpose;
(2) each is composed of people; and
(3) each develops some deliberate structure so members
can do their work

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Exhibit 1.2 Characteristics of Organizations

Exhibit 1.2 shows the three common characteristics of organizations: distinct purpose,
deliberate structure, and people.

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Where Do Managers Work?
Organization

• Although these three characteristics are important in

defining what an organization is, the concept of an
organization is changing.
• These changes include: flexible work arrangements,
employee work teams, open communication systems, and
supplier alliances.
• Organizations are becoming more open, flexible, and
responsive to changes

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Why Are Managers Important?
• Organizations need their managerial skills and abilities
now more than ever
• Managers are critical to getting things done
• Managers do matter to organizations

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Exhibit 1.3 Managers Make a Difference

Exhibit 1.3 shows data on why managers are important. Managers that are not engaged
cost organizations billions of dollars through employee turnover.

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What Do Managers Do?
• Management involves coordinating and overseeing the
work activities of others so that their activities are
completed efficiently and effectively.

• Coordinating and overseeing the work of others is what

distinguishes a managerial position from a nonmanagerial
one.

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Efficiency and Effectiveness

• Efficiency: doing things right

– getting the most output from the least amount of input

• Effectiveness: doing the right things

– attaining organizational goals

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Exhibit 1.4 Efficiency and Effectiveness in
Management

Exhibit 1.4 shows that whereas efficiency is concerned with the means of getting things
done, effectiveness is concerned with the ends, or attainment of organizational goals.
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Management Functions
• Henri Fayol, a French industrialist in the early 1900s,
proposed that managers perform five management
functions
• Planning: Defining goals, establishing strategies to
achieve goals, and developing plans to integrate and
coordinate activities
• Organizing: Arranging and structuring work to accomplish
organizational goals
• Leading: Working with and through people to accomplish
goals
• Controlling: Monitoring, comparing, and correcting work

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Exhibit 1.5 Four Functions of Management

In practice, managing is not always performed in a sequence as outlined

above. Since these four management functions are integrated into the
activities of managers throughout the workday, they should be viewed as an
ongoing process.

Exhibit 1.5 shows the four functions used to describe a manager’s work: planning,
organizing, leading, and controlling.

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Mintzberg’s Managerial Roles and a
Contemporary Model of Managing
• Henry Mintzberg, a management researcher, conducted a
precise study of managers at work. He concluded that
managers perform 10 different roles, which are highly
interrelated
• Roles: specific actions or behaviors expected of and
exhibited by a manager
• Mintzberg identified 10 roles grouped around interpersonal
relationships, the transfer of information, and decision
making

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Types of Roles
• Interpersonal
– Figurehead, leader, liaison
• Informational
– Monitor, disseminator, spokesperson
• Decisional
– Entrepreneur, disturbance handler, resource allocator,
negotiator

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Exhibit 1.6 Mintzberg’s Managerial Roles

Exhibit 1.6 shows the managerial roles identified by Mintzberg.

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Management Skills
• Managers need certain skills to perform the challenging
duties and activities associated with being a manager.
Robert L. Katz found through his research that managers
need three essential skills.

• Technical skills
– Knowledge and proficiency in a specific field
• Human skills
– The ability to work well with other people
• Conceptual skills
– The ability to think and conceptualize about abstract
and complex situations concerning the organization
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Exhibit 1.7 Skills Needed at Different
Managerial Levels

Exhibit 1.7 shows the relationships of conceptual, human, and technical skills to managerial
levels.

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Challenges Facing Managers Today and into
the Future
• Focus on technology
• Focus on disruptive innovation
• Focus on social media
• Focus on ethics
• Focus on political uncertainty
• Focus on the customer

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Focus on Technology
• Managers must get employees on board with new
technology
• Managers must oversee the social interactions and
challenges involved in using collaborative technologies

 Cloud computing, social media, and robotics are all

changing how things get done in the workplace.
Managers need to get employees on board with new
technology and ensure that they are comfortable with
it, can use it, and understand how it improves their
lives

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Focus on Disruptive Innovation
• One of the most critical challenges facing managers today
is dealing with disruptive innovation

• Disruptive innovation involves new products, processes,

or services that radically change the rules of the game.

 A problem for organizations is working to get all employees

involved in the innovation process. Managers can respond to
this need by creating a “team close,” a time when all employees
are scheduled to close the store and leave together. This helps
create an attitude of working together and commitment

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Focus on Social Media
• Social media: forms of electronic communication through
which users create online communities to share ideas,
information, personal messages, and other content

 In some cases, social media can enhance customer relationships, help

better manage customers, and tap into talent. But, managers need to
remember that social media is a tool that needs to be managed to be
beneficial.

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Focus on Ethics
• We commonly see unethical business practices in the
news
• Examples include pharmaceutical firms raising drug prices
by 500% or someone turning in fake receipts for expenses
• Organizational survival depends on building trust with
customers, clients, suppliers, employees, and other
stakeholders

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Focus on Political Uncertainty
• In the past, major democratic nations like the US,
Canada, and the UK have been relatively stable politically
• In the last 10 years these countries have shifted to greater
political uncertainty
• Brexit and the USMCA are examples of that shift
• Some states, such as California, have placed additional
regulations on business

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Focus on the Customer
• Without customers, most organizations would cease to
exist

• Managing customer relationships is the responsibility of all

managers and employees

• Consistent, high-quality customer service is essential

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The Universality of Management
• The reality that management is needed in all types and
sizes of organizations, at all organizational levels, in all
organizational areas, and in organizations no matter where
located

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Exhibit 1.8 Universal Need for Management

Exhibit 1.8 shows that management is universally needed in all types of, and throughout all
areas of, organizations.
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The Reality of Work
• When you begin your career, you will either manage or be
managed

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Rewards of Being a Manager
• Responsible for creating a productive work environment
• Recognition and status in your organization and in the
community
• Attractive compensation in the form of salaries, bonuses,
and stock options

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