FUNDAMENTAL OF SPORT MANAGEMENT

SPS 170
1

Chapter one (1.2)

Introduction
 Who is a Manager?
2

A manager is a person in an organization

who is responsible for the work or
performance of one or more than one
person

Someone who coordinates and oversees

the work of other people so that
organizational goals can be accomplished.
 MEASURING MANAGERIAL PERFORMANCE
3

A manager’s performance can be

measured by looking at two criteria.
 Performance efficiency
 Performance effectiveness
 Performance Efficiency
4

 Is defined as the ability to do the things right. An efficient

manager is a manager who can achieve outputs or results as
expected. Managers who able to utilize and minimize the cost
of resources such as staff, finance, equipment as well as raw
materials are also considered efficient
 Performance Effectiveness
5
 Is defines as choosing the right goals. For example, if the
demand in the market for cars is for small, compact and
economical cars, but the manager choose to produce and
manufacture big, luxury and expensive cars, the manager
is considered to be in ineffective
 Good Managers vs. Poor Manager
6

The Good Managers The Poor Managers

Integrity Have a limited viewpoint

Industriousness Unable to understand others
Ability to get along with Do not work well with others
people Do not assume responsibility
Business knowledge Lack integrity
Intelligence Lack ability to change
Leadership ability Too strong desire to be
Education popular
Sound judgment
Ability to communicate
Flexibility
 MANAGEMENT FUNCTION WORK AS A SYSYTEM
7
 Managers need the ability to understand an
organization/department as a whole and the
relationships among its parts.
 As businesses compete in the global marketplace,
creative analysis and judgment—critical thinking—are
needed to resolve conflict and solve problems.
Ex: Ads needs to understand the need to integrate
students, playing fields, and transportation all within an
assigned budget. They need to view the entire system
and balance all of the needs of the people involved.
 1.7 TYPES OF MANAGERS
8

The four functions that you have learnt earlier must be

performed in all organizations. But not all managers’
jobs are the same.

 Managers are responsible for different department,

work at different levels in hierarchy, and they should
meet different requirement for achieving high
performance.
Cont…
9

In any organization, managers can be classified in two

ways:
1.By their level in an organization (also called strategic,
tactical and operational ,management) are top, middle
and first-line management.
2.By range of organizational activities for which they are
responsible- so called general managers & functional.
·
How managers differ – Lussier textbook (pg 12-14)
How Are Managers Different from Operative Employees
10

 Organizational members fit into two categories: operatives

and managers:-
 Operatives

 People who work directly on a job or task and have no

responsibility for overseeing the work of others.
 Managers

 Individuals in an organization who direct the activities of

others.

 The distinction between operatives and managers is that

managers have employees who report directly to them.
MANAGERIAL LEVELS
11

Managers
Cont…
12

First–Line Manager/Lower Level Manager

 They are responsible for putting into operation the plans of
higher and middle management.
 First-line managers or first level managers are the lowest level
of management and manage the work of nonmanagerial
individuals (operatives) who are directly involved with the
production or creation of the organization’s products; they do
not supervise others managers
 First-line managers are often called supervisors, but may also be
called coach, assistance coach, event manager, line managers,
office managers.
 Supervisors responsible for directing the day-to-day activities of
operative employees
Cont…
13

Middle Managers
 Middle managers include all levels of management between the first-
line level and the top level of the organization.
 Middle managers direct the activities of lower-level managers and
sometimes also those of operating employees.
 Middle managers’ principal responsibilities are to direct the activities
that implement their organizations’ policies and to balance the demands
of their superiors with the capacity of their subordinates.
 They are responsible for translating the goals set by top management
into specific details.
 These managers manage the work of first-line managers and may have
titles such as general manager, athletic director, department head,
project leader, branch manager
Cont…
14

Top Managers
 A comparative small group of executives, the top
management is responsible for the overall management of
the organization and responsible for making decisions
about the direction of the organization
 They establish operating for the overall management of the
organization. They establishing policies that affect all
organizational members and guides the organization’s
interactions with its environment.
 These individuals typically have titles such as executive
vice president, president, managing director, chief
operating officer, chief executive officer, or chairman of the
board.
 HOW MANAGERS DIFFER
15

A. The Three Levels of Management.

 The three levels are top, middle, and first-line
management. They are also called strategic,
tactical, and operational management.
 It is important to point out that students do not often
graduate directly into top management positions.
Most graduates have to work their way up the
ladder. Graduates need to learn the steps involved
in managing a sporting event before they can be
the event manager in charge.
Cont…
16

B. Types of Managers.
o There are three types of managers; general, functional, and
project managers.
o Top managers and some middle managers are usually general
managers that supervise many different departments.
o That is why the GM (general manager) of a professional sport
team has broad responsibilities and is often considered a top
manager. He is responsible for many different facets of the
entire team.
o Functional managers are only responsible for their specific
area, while, project managers are responsible for the specific
project they are currently managing.
Cont…
17

C. Management Skills.
o All managers need technical skills, people and
communication skills, and conceptual and decision
skills.
o The need for this skills varies by level of
management.
o Top managers use conceptual and people skills more
often then lower level managers.
o Middle managers need to balance conceptual,
technical, and people skills.
o Whereas, first-line managers need to emphasize
technical and people skills.
 General Skills for Managers
18
C. Management Skills.

o Conceptual skills
o A manager’s mental ability to coordinate all of the organization’s
interests and activities (abstract ideas/ systematic thinking/ critical
thinking)

o Human skills
o A manager’s ability to work with, understand, mentor, and motivate
others, both individually and in groups

o Technical skills
 A manager’s knowledge & ability to use the tools, procedures, and
techniques of a specialized field (knowledge of accounting, use
spreadsheet software)
Skills Needed at Different Management Levels
19
Cont…
20

D. Management Functions.
o Every manager plans, organizes, leads and controls. However, the
time spent on each function varies by level of management.
 The differences are of degree and emphasis but not of activity.
 As managers move up, they do more planning and less direct overseeing of others.

o Top managers emphasize planning and organizing functions – it is

their job to plot the course for the future.
o Middle managers again need to balance all four functions –
planning, organizing, leading, and controlling.
o First-line managers work with the regular employees and need to be
a good leader and yet maintain controls. They spend more time
leading and controlling.
21

Management
functions
planning,
organizing,
leading, and
controlling
 Cont…
22

E. Managing Large Businesses and Small Businesses.

o Small business—any independently owned and operated profit-seeking
enterprise that has fewer than 500 employees.
o Managing a small business is different from that of managing a large one.
o Small business managers tend to work in an environment that is less formal
in its planning, have informal structures, tend to be less sophisticated in their
control systems, and ask managers to be more like a spokesperson instead
of just a resource allocator. A small business manager is more likely to be a
generalist.
o In a large organization, the manager’s most important job is deciding which
organizational units get what available resources and how much of them. The
large firm’s manager’s job is more structured and formal than in small firms.
Cont…
23

F. Managing For-Profit and Nonprofits.

o Managers must perform the same functions in both profit and non-
profit organizations. The only difference is profit organizations look
to make a profit.
o Making a profit for the ―owners‖ of not-for-profit organizations is not the
primary focus. There are distinctions, but the two are far more alike
than they are different
o The manager’s job is mostly the same in both profit and not-for-profit
organizations. All managers make decisions, set objectives, create
workable organization structures, hire and motivate employees etc
o Many sport organizations are non-profit. The State Sports Associations
are non-profit sport organizations that is a good example to use
throughout the course.
 1.8 Management Roles
24

 In the late 1960s, Henry Mintzberg provided

empirical insights into the manager’s job.

 Henry Mintzberg undertook a careful study of five

chief executives at work.
 Mintzberg found that the managers he studied engaged
in a large number of varied, unpatterned, and short-
duration activities.
 There was little time for reflective thinking.

 Half of these managers’ activities lasted less than nine

minutes
 1.8 Management Roles
25

 Mintzberg provided a categorization scheme for defining

what managers do on the basis of actual managers on
the job—Mintzberg’s managerial roles .

 Mintzberg concluded that managers perform ten different

but highly interrelated roles.

 They are grouped under three primary headings.

i. Interpersonal relationships.
ii. The transfer of information.
iii. Decision making.
 1.8 Management Roles
26

 The roles of managers undertake to accomplish the

management function including interpersonal,
informational, and decisional.
 Managers play the interpersonal role when they act as
figureheads, leader, and liaison.
 Managers play the informational role when they act as
monitors, disseminators, and spokespersons
 Managers play the decisional role when they act as
entrepreneurs, disturbance handlers, resource
allocators, and negotiators
Cont…
27
 1.9 Management Process
28

In order for manager to effectively manager an

organization, he or she must perform management
functions. Management is a process that contains
several functions.

Management functions comprise of the activities of

planning, organizing, leading and controlling.
 MANAGEMENT PROCESS
Planning
29

Achieving the
organization’s
Controlling Organizing
stated goal
and purpose

Leading

•Goals and objectives are both tools for accomplishing what you want to achieve.
•Goals are long term and objectives are usually accomplished in the short or medium term.
•Goals and objectives are often used interchangeably, but the main difference comes in their
level of concreteness. Objectives are very concrete, whereas goals are less structured.
Cont…
30

1. Planning
Planning is typically the starting point in the
management process.
 Planning is the process of setting objectives
and determining in advance exactly how the
objectives will be met.
Includes defining goals, establishing strategy
and developing plans to coordinate activities.
Cont…
31

2. Organizing
 Arranging and structuring work to accomplish
organizational goals.
 Determine what tasks are to be done, who is to do them,
how the tasks are to be grouped, who reports to whom and
where decisions are to be made.
Cont…
32

3. Leading
Includes motivating subordinates, directing the
activities of others, selecting the most effective
communication channels, and resolving conflicts
among members.
Cont…
33

4. Controlling
Monitoring, comparing, and correcting work.
To ensure that things are going as they should, a
manager must monitor the organization’s
performance, comparing it with goals, and
correcting any significant deviations
 1.10 THE SPORT INDUSTRY ENVIRONMENT
34

 Two factors were affected management/ organization

performance
1. Internal environment
2. External environment
 THE INTERNAL ENVIRONMENT
35

 Internal environment are the factors that affect an

organization’s performance from within it
boundaries.
 Called internal factors because organization has
control over them
 Five component of the internal environment
1. Management
2. Mission
3. Resources
4. Systems Process
5. Structure
 Management
36

The internal environment includes the factors within its

boundaries that affect its performance.
It is management’s job to analyze factors such as the
mission, available resources, the overall system of
organization, and the how the company is structured
and organized.
Successful sport companies like Nike assess their
internal structure. Unsuccessful sport organizations,
like Starter, did not do a good enough job assess their
true internal strengths.
 Mission
37

 The mission of an organization is the reason or purpose for

its existence.
 Developing the mission is the responsibility of top
management.
 The major reason business is fail is that management
doesn’t look ahead.
 A mission also defined as the ends the organization strives
to attain.
 Missions should relevant to all stakeholders.
 Stakeholders are people whose interests are affected by
organizational behavior such as employees, shareholders,
customers, suppliers, the government.
 Resources
38

Organizations need resources to accomplish their

mission.
Organizational resources include human, financial,
physical and informational resources.
Financially, managers need to decide how large a
budget each division, product, area of the company will
receive.
 The Systems Process
39

The systems process is the method used to transform

inputs into outputs.
A good manager will have knowledge about the
internal processes of the organization. Additionally, the
manager will understand how the parts work to make a
holistic, well-function system.
 Structure
40

An organization’s structure is the way in which it groups

its resources to accomplish its mission.
The structure may be organized as departments.
Each department affects the organizations as a whole
and each department affects every other department.
Structure can either prohibit or help in building a solid
organization. Managers need to analyze what internal
structure best fits the external environment.
 THE EXTERNAL ENVIRONMENT
41

External environment are the factors that affect an

organization’s performance from outside its
boundaries.
Although managers can control the organization's
internal environment, their influence over what
happens outside the organization is limited.
Components of the external environment
42

A. The Customers
B. The Competition
C. Suppliers
D. The Workforce
E. Shareholders
F. Society
G. Technology
H. The Economy
I. Government
J. Chaos in the External Environment and
Interactive Management
How factors in the external environment Affect the
internal business environment?
43

A. Customers - have a major effect on the

performance of organizations. They are the ones
who purchase its product and services. Without
customers, organizations cannot exist.

B. Competitors’ - Organizations must compete with

their competitions for customers. An important
aspect of the competition is pricing. When a
competitor lowers prices, firms often have to match
them to keep customers.
Cont…
44

C. Suppliers- The resources of organizations often come from

outside the firm. Poor quality inputs from suppliers result in
poor quality outputs without customer value.

D. The workforce - Without a qualified workforce, products

and services will have little or no customer value.

E. Shareholders – are the owners of corporation because

they have purchased a “share” (stock) in the corporation.
They can have a significant influence on management.
 Cont…
45

F. Society - pressures business to perform or not perform

certain activities, such as pollution control.

G. Technology -The business must develop new

technologies, or at least keep up with them, to provide
customer value. New technology creates new
opportunity for some companies and new threat for
others.
 Cont…
46

H. Economic – Organizations have no control over economic

growth, inflation, interest rate or foreign exchange rates,
yet this factors have direct impact on performance.

I. Governments - set the rules and regulations that

business must adhere to.

J. Chaos in the external environment and interactive

management – External environment changes at an
incredibility fast pace and is often chaotic. So managers
need to adapt quickly to a constantly changing
environment.