Management of Organization

Chapter 1

Managers and Management

in Today’s Workplace

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Learning Objectives
1.1 Tell who managers are and where they work.
1.2 Define management.
1.3 Describe what managers do.
1.4 Explain why it’s important to study management.
1.5 Describe the factors that are reshaping and redefining
management.

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Learning Objectives 1.1
Tell who managers are and where they work.

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Who Are Managers? Where Do They
Work?
Organization
• A deliberate arrangement of people brought together to
accomplish some specific purpose. Such as, university
football teams, global companies, and clinics.
Common Characteristics of Organizations
1.Goals, which express the distinct purpose of a
particular organization.
2. People, who make decisions and engage in work
activities to reach the organization’s goals, and
3. A deliberate structure, which systematically defines
and limits its members’ behavior.
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What Three Characteristics Do All
Organizations Share?
Exhibit 1-1 Three Characteristics of Organizations

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How Are Managers Different from
Nonmanagerial Employees?
Nonmanagerial Employees
• Work directly on tasks
• Not responsible for overseeing others’ work
• They may be called associates, team members, or
contributors.
Managers
• Direct and oversee the activities of others
• May have work directly on tasks or duties not related to
overseeing others, such as servicing some costumers.
• A manager’s job isn’t about personal achievement—it’s
about helping others do their work.
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What Titles Do Managers Have? (1 of 2)
Exhibit 1-2 Management Levels

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What Titles Do Managers Have? (2 of 2)
• Top Managers
• who make decisions about the direction of the
organization and establish policies and philosophies that
affect all organizational members.
• Titles include: president, vice president, managing
director, or chief executive officer.
Middle Managers (fall btw the lowest and highest levels of the org)
• They often manage other managers and sometimes
nonmanagerial employees, and are responsible for
translating the goals set by top managers into specific
detailed tasks that lower-level managers oversee.
• Titles include: unit chief, division manager, or project
leader.
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What Titles Do Managers Have? (2 of 2)
First-line Managers (Directing nonmanagerial employees)
•
responsible for directing the day-to-day activities of
nonmanagerial employees.
•
Titles include: supervisor, shift manager, coaches or unit
coordinator.
Team Leaders Manage activities of a work team
special category of lower-level managers that have
become more common as organizations have moved to
using employee work teams to do work. They typically
report to a first-line manager.

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Learning Objective 1.2
Define management.

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What Is Management? (1 of 2)
Management
• The process of getting things done effectively and
efficiently, with and through people.
• Efficiency and effectiveness have to do with the work
being done and how it’s being done.

•
Efficiency How we are doing things
1) “Doing things right” or “in a right way”.
2) getting the most output from the least amount of
input( minimizing the costs).

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What Is Management? (1 of 2)
•
Effectiveness What we are doing
1)“Doing the right thing”
2) Doing those work tasks that help the org to reach it
2) goals.

3) Efficiency is concerned with the means of getting things

done while effectiveness is concerned with the ends.

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What Is Management? (2 of 2)
Exhibit 1-3 Efficiency and Effectiveness

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What Is Management? (2 of 2)
It’s easier to be effective if you ignore efficiency.
•
Poor management is often due to:
•
1) Both inefficiency and ineffectiveness
•
2) OR effectiveness achieved without regard for efficiency.

•
Good management is concerned with both attaining goals
(effectiveness) and doing so as efficiently as possible.

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Learning Objective 1.3
Describe what managers do.

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What Do Managers Do?
Ways to Look at What Managers Do
Management researchers have developed three
approaches or ways to describe what managers do:
1) 4 Functions Approach
2) Management Roles Approach
3) Skills and Competencies

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1) Four Functions Approach
•
This approach was first proposed by French Industrialist
Henri Fayol.
1. Planning
2. Includes defining goals, establishing strategy, and
developing plans to coordinate activities.
3. Organizing
4. Includes determining which tasks need to be done and by
whom, how tasks are to be grouped, who reports to whom,
and who will make decisions.
5. Leading
6. Includes motivating employees, selecting the most effective
communication channel, and resolving conflicts.
7. Controlling
8. Includes monitoring performance, comparing it with goals,
and correcting any significant deviations. Ex evaluation
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1) Four Functions Approach
• Planning Exhibit 1-4 Four Management Functions
• Organizing
• Leading
• Controlling

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2) Management Roles Approach

1. Interpersonal relationships:
Figurehead, leader, and liaison.
2. Informational transfer:
Monitor, disseminator, and spokesperson.
3. Decision-making:
Entrepreneur, disturbance handler, resource allocator,
and negotiator

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2) Management Roles Approach
Exhibit 1-5 Mintzberg’s Managerial Roles

Source: Based on Mintzberg, Henry, The Nature of Managerial Work, 1st edition, © 1973

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Which Approach Takes the Prize?
Functions
Roles

Both approaches seem to do a good job of describing what

managers do. But, the functions approach wins! Its simplicity
in describing what managers do make it continually popular.

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3) Skills and Competencies
• Another way to describe what managers do is by looking at the skills they
need for managing. Management researcher Robert L. Katz and others
describe four critical skills:
• Conceptual Skills
– Used to analyze and diagnose complex situations, help managers see how
things fit together and facilitate making good decision.
• Interpersonal Skills
– working well with other people both individually and groups , so managers
must have good skills to communicate, motivate, mentor and delegate.
• Technical Skills
– Based on specialized knowledge required for work (lower and middle
managers knowing of the job they are performing, top managers knowing of
the industry and a general understanding of the org’s process and products.
• Political Skills
– Used to build a power base and establish connections.

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3) Skills and Competencies

•
Analyze and diagnose Working well with others

Possessing expert job knowledge Political adeptness

Source: Simon/Fotolia

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Is the Manager’s Job Universal?
• All manager plan, organize, lead, and control but how they
do them and how much they do them vary according to
several factors:

• 1) Level in the Organization

• 2) Profit vs. Not-for-profit
• 3) Size of the Organization
• 4) Management Concepts and National Borders

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Is the Manager’s Job Universal?
•
1) Level in the Organization
•
All managers regardless of level, make decisions and plan,
lead, organize, and control. But the amount of time a
manager gives to each activity is not necessarily the same.
Also, the content of the managerial activities also
changes with the manager’s level. The figure illustrates this
variability.

•
The differences are of degree and emphasis but not of
activity. Copyright © 2020, 2017, 2015 Pearson Education, Inc. All Rights Reserved
Is the Manager’s Job Universal?
• Level in the Organization
Exhibit 1-6 Management Activities by Organizational Level

Source: Based on T. A. Mahoney, T. H. Jerdee, and S. J. Carroll, “The Job(s) of

Management,” Industrial Relations 4, no. 2 (1965), p. 103
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Is the Manager’s Job Universal?
• 2) Profit vs. Not-for-profit:
• Manager’s job are the same in both profit and non profit
org. All of them make decisions, set goals, and motivate
their employees.
• The only difference is in the (performance measurement):

• Profit organizations measure their performance by the

amount of profit they achieve.
• There are no specific measurement to measure the
success of non-profit organization that make performance
measurement more difficult.
• The financial side is still important in non- profit org

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Is the Manager’s Job Universal?
3) Size of the Organization
managerial roles in small and large businesses differ.
• small business is an independent business having fewer than 500
employees that doesn’t necessarily engage in any new or innovative
practices and has relatively little impact on its industry.
• The most important role of a small business manager is that of
spokesperson, performing externally in meeting with customers,
arranging financing with bankers, searching for new opportunities, and
stimulating change.
• The actions of a manager in a large organization, however, are
directed internally, deciding which organizational units get which and
how much of the available resources.
• Managers in both small and large organizations perform essentially the
same activities, but how they go about those activities and the proportion
of time they spend on each are different.
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Is the Manager’s Job Universal?
• Size of the Organization
Exhibit 1-7 Managerial Roles in Small and Large Businesses

Source: Based on J. G. P. Paolillo, “The Manager’s Self-Assessments of Managerial

Roles: Small vs. Large Firms,” American Journal of Small Business, January–March 1984,
pp. 61–62
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Is the Manager’s Job Universal?

• 4) Management Concepts and National

Borders
• It is not a good idea to make the manager and
management concept universal because each country is
greatly differ in its economic, political, social, and cultural
environment.

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Learning Objective 1.4
Explain why it’s important to study management.

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Why Study Management? (1 of 2)
We all have a vested interest in improving how
organizations are managed.
1) Because we interact with managers every day of our
lives and an understanding of management offers insights
into many organizational aspects and why organizations no
longer exist, and which companies continue to prosper
during challenging economic times.
2) Most people will either manage or be managed. Studying
management provides knowledge about manager skills and
responsibilities, how organizations function, and how people
behave in the workplace. Even if you are not a manager,
you still have some managerial responsibilities.

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Learning Objectives 1.5
Describe the factors that are reshaping and redefining
management.

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What Factors are Reshaping and
Redefining Management
Welcome to the New World of Management!
• Managers today are dealing with changing workplaces, a
changing workforce, global economic and political
uncertainties, and changing technology.
• We will now look at four specific changes that are
increasingly important to organizations and managers
everywhere:
• customers, innovation, social media, and sustainability.

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Why Are Customers Important to the
Manager’s Job?
Organizations depend on their customers to exist in the
marketplace. Organizations are now discovering that
employee attitudes and behaviors play a big role in
customer satisfaction.
Managers are recognizing that delivering consistent high-
quality customer service is essential for survival and
success in today’s competitive environment.
They recognize that employees are an essential part of
creating a customer-responsive organization where
employees are friendly, polite, accessible, knowledgeable,
prompt in responding to customer needs, and willing to do
what’s necessary to please the customer.
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Why Is Innovation Important to the
Manager’s Job?
“Nothing is more risky than not innovating.”
Innovation means: doing things differently, and taking risks.
In today’s challenging environment, innovation is critical
and managers need to understand what, when, where, how,
and why innovation can be encouraged throughout an
organization.
Managers need to be personally innovative and to
encourage their employees to be innovative.

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Importance of Social Media to the
Manager’s Job
Social media ( Forms of electronic communication through
which users create communities to share ideas, information,
personal messages, and other content).
• More than a billion people use social media platforms like
Facebook, Twitter, YouTube, LinkedIn, etc. Managers need to
understand and manage the power of social media, because
employees use them for both personal and work purposes.
• More and more businesses are turning to social media not
just as a way to connect with customers but also as a way to
manage their human resources and tap into their innovation
and talent.
• Managers need to remember that social media is a tool that
needs to be managed to be beneficial.
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Importance of Sustainability to the
Manger’s Job
Sustainability
– A company’s ability to achieve its business goals and
increase long-term shareholder value by integrating
economic, environmental, and social opportunities into
its business strategies.
– This means not just managing efficiently and effectively,
but also responding strategically to environmental and
societal challenges.

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Copyright

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