Chapter Three: The Manager and

Business Research
Zabihullah Islami Economist
 importance of business research for
business Manager?
• The importance of business research for
business managers is that they can find out
problems even it is big or small on daily basis.
• So, by solving these problems the managers
can make a good and a right decision for their
organization.
 CONT’S
• In business research is generally and basically
used for to resolve problems issues in, or
matched among the areas of accounting,
finance, management and marketing so by,
keeping in view these areas the managers can
make a good budget control system, practices
and procedures which are frequently examined
in accounting.
 CONT’S
• Through a business research a business manager can
know about the inventory cost methods, depreciation,
time series quarterly earnings transfer pricing cash
recovery rates, and taxation which is commonly used in
finance department of the organization.

• Management research can provide the manager the

study of employee attitudes such as job satisfaction,
loyalty, and organization commitment and behaviors
such as performance, absenteeism, and turnover, and
human resource management.
 CONT’S
• It is also indicates the managers about the impact
of changing demographics on management
practices, production operation management,
strategy formulation and information system.
• Marketing research can guide the managers issues
related to product images, advertising, sales
promotion, distribution, packing, pricing, after
sale services, consumer preferences and new
product development.
 CONT’S
• Business research also plays an importance role
that it is also enable business managers to apply
techniques and procedure to illuminate the
problem and contributes their greater
understanding to generate solutions.
• Business research shows the managers a complete
image of a company that on which situation the
company is going on either it may be weak or
strong so, the manager can take correct and better
action in time.
 CONT’S
• Business research also gives the manager
experiences about organizations works, such how
to make effective decision, how to implement the
goals and objectives, and how to communicates
with their co-workers etc.
• So research is one the important aspect for every
organization through which a business managers
can find the problems and they can solved them
with a proper and accurate manner.
 Should the Manager know Research
Open discussion
• What Research should the Manager
Understand?
Open discussion
 Research and the Manager.
• A common experience of all organizations is
that the managers thereof encounter problems
big and small on a daily basis, which they have
to solve by making the right decisions. In
business, research is usually primarily
conducted to resolve problematic issues in, or
interrelated among, the areas of accounting,
finance, management, and marketing.
 CONT’S
problematic issues in, or interrelated among, the
areas of accounting, finance, management, and
marketing. In Accounting, budget control
systems, practices, and procedures are frequently
examined. Inventory costing methods,
accelerated depreciation, time-series behavior of
quarterly earnings, transfer pricing, cash
recovery rates, and taxation methods are some of
the other areas that are researched.
 CONT’S
In Finance, the operations of financial institutions,
optimum financial ratios, mergers and acquisitions,
leveraged buyouts, intercorporate financing, yields on
mortgages, the behavior of the stock exchange, and the
like, become the focus of investigation.

Management research could encompass the study of

employee attitudes and behaviors, human resources
management, the impact of changing demographics on
management practices, production operations
management, strategy formulation, information systems,
and the like.
 CONT’S
Marketing research could address issues
pertaining to product image, advertising, sales
pro- motion, distribution, packaging, pricing,
after-sales service, consumer prefer- ences, new
product development, and other marketing
aspects.
 The Manager Research Relationship
• During their careers, it often becomes
necessary for managers to deal with
consultants. Many academicians also have
their students do research projects for the class
and several organizations allow access to
them, asking only that a copy of the research
project be made available to them.
 CONT’S
• Some professors interested in publishing the
results of basic research also approach
organizations and are afforded the facilities to
conduct research. If the research has been done
scientifically, then the results of the study
would be beneficial to the manager, who
would have obtained useful information
without paying for it.
 CONT’S
• By being able to point out the relevant
variables integral to what is of concern to the
researchers doing basic research, and by
helping them with useful insights, the manager
stands to benefit a great deal. When the
manager is knowledgeable about research, then
the interactions between the manager and the
researcher become more
meaningful,purposeful, and beneficial both to
the organization and the researcher alike.
 CONT’S
• organizations also hire outside research agencies
to identify and solve problems for them. In such a
case, the manager must not only inter- act
effectively with the research team, but must also
explicitly delineate the roles for the researchers
and the management.
• The manager has to inform the researchers what
types of information could be provided to them,
and more important, which of their records would
not be made available to them.
 CONT’S
• Managers who are very knowledgeable about research
can more easily foresee what information the
researchers might require, and if certain documents
containing such information cannot be made available,
they can inform the research team about this at the
outset.
• It is vexing for researchers to discover at a late stage
that the company will not let them have certain
information. If they know the constraints right from the
beginning, the researchers might be able to identify
alternate ways of tackling the problems and to design
the research in such a way as to provide the needed
answers.
 The Manager and the Internal
Researchers.
• Some organizations have their own consulting
or research department, which might be called
the Management Services Department, the
Organization and Methods Department, R & D
(research and development department), or by
some other name.
 CONT’S
• This department serves as the internal
consultant to subunits of the organization that
face certain problems and seek help. Such a
unit within the organization, if it exists, would
be useful in several ways, and enlisting its help
might be advantageous under some
circumstances, but not in others.
 CONT’S
• The manager often has to decide whether to
use internal or external researchers. To reach a
decision, the manager should be aware of the
strengths and weaknesses of both, and weigh
the advantages and disadvantages of using
either, based on the needs of the situation.