Introduction to Management

Functions of a Business
Expectations
● demonstrate an understanding of sound management practices in
business;
● describe the role of management in business;
● describe how different management styles (e.g., democratic, autocratic,
laissez-faire) can influence employee productivity (e.g., through their
effect on employee attitudes, work ethic);
What is a Manager?
Managers are the people in a business who other employees rely on for
support and assistance in their own jobs. Examples: group leader, section
manager, director, vice president, senior vice president, executive vice
president, or chief executive officer.

Managers have four fundamental functions:

● Leading
● Planning
● Organizing
● Controlling
What makes a good manager?
Characteristics of Effective Leaders
What makes one leader more effective than another? What are the traits of
effective leaders?

Shelley Kirkpatrick and Edwin A. Locke identified six traits they believed as
essential for success as a leader:
Leadership Traits
1. Drive → broad term which includes achievement, ambition, energy,
tenacity, and initiative.
2. Leadership Motivation → the desire to lead but not to seek power.
3. Honesty and Integrity → dealing with moral character.
4. Self-Confidence → associated with emotional stability.
5. Cognitive Ability → the person has the “know how” or ability to do the
job.
6. Knowledge of the Business → “knows and understands the business”.
What’s your preference?
A. Easygoing?
B. Strict?
C. Nice?
D. Indifferent?
Leadership Styles
In the business world, successful organizations hire and promote managers
who have strong leadership skills.

There are several styles of leadership.

No one style is the best style for all situations.

There are several different labels used to describe Leadership Styles, but we
will concentrate on five styles - autocratic, democratic, laissez-faire,
collaborative, and charismatic.
Autocratic
Characteristics:

● emphasizes task and results over people

● does not share authority
● acts unilaterally
● expects employees to follow orders without receiving explanation
Autocratic - Effective when...
● new, untrained employees do not know which tasks to perform or which
procedures to follow
● employees do not respond to any other leadership style
● there is limited time in which to make a decision
● a manager’s power is challenged by an employee
Democratic
● acts as a facilitator and resource person
● is committed to task and people
● encourages active participation in decision making, but maintains control
of group
● keeps staff informed
Democratic - Effective when...
● the leader wants employees to share in decision-making and
problem-solving duties
● there is a large or complex problem that requires lots of input to solve
● changes must be, or problems solved, that affect employees
● when leader has part of the information, and employees have other parts
Laissez-Faire
● is hands-off
● shows little concern for task
● lets employees make decisions
● sets few, if any, limits
● does not provide significant support, guidance, or feedback
Laissez-Faire - Effective when...
● employees are highly educated, experienced, and skilled
● employees take pride in their work and strive to do it successfully on their
own
● when the leader fully trusts and has confidence in employees
Collaborative
● is willing to take risks
● is eager to listen
● shares knowledge, power, and credit
● recognizes and respects differences
● seeks to engage employees in establishing the direction and vision
● acts as a role model and builds relationships
Collaborative - Effective when...
● leader wants to provide opportunities for employees to develop a high
sense of personal growth and job satisfaction
● when quality is more important than speed or productivity
Charismatic
● creates an inspiring and motivating sense of purpose
● listens and collects information/ideas
● makes people feel important and builds confidence
Charismatic - Effective when...
● the leader wants to take organization into new areas
● employees need inspiration
● extraordinary performance results are needed from the organization
Leadership Quiz
Follow this link to do a quiz on which leadership style you have.
Assign the following quotes to a leadership style:
“Management is doing things right; leadership is doing
the right things.”

Peter F. Drucker
A. Autocratic
B. Democratic
C. Laissez-faire
D. Collaborative
E. Charismatic
“Management is doing things right; leadership is doing
the right things.”

Peter F. Drucker
A. Autocratic
B. Democratic
C. Laissez-faire
D. Collaborative
E. Charismatic
“The best executive is the one who has sense enough to
pick good men to do what he wants done, and
self-restraint to keep from meddling with them while
they do it.”

Theodore Roosevelt
A. Autocratic
B. Democratic
C. Laissez-faire
D. Collaborative
E. Charismatic
“The best executive is the one who has sense enough to
pick good men to do what he wants done, and
self-restraint to keep from meddling with them while
they do it.”

Theodore Roosevelt
A. Autocratic
B. Democratic
C. Laissez-faire
D. Collaborative
E. Charismatic
“I suppose leadership at one time meant muscles; but
today it means getting along with people.”

Mahatma Gandhi
A. Autocratic
B. Democratic
C. Laissez-faire
D. Collaborative
E. Charismatic
“I suppose leadership at one time meant muscles; but
today it means getting along with people.”

Mahatma Gandhi
A. Autocratic
B. Democratic
C. Laissez-faire
D. Collaborative
E. Charismatic
“I start with the premise that the function of leadership
is to produce more leaders, not more followers.”

Ralph Nader
A. Autocratic
B. Democratic
C. Laissez-faire
D. Collaborative
E. Charismatic
“I start with the premise that the function of leadership
is to produce more leaders, not more followers.”

Ralph Nader
A. Autocratic
B. Democratic
C. Laissez-faire
D. Collaborative
E. Charismatic
“The manager asks how and when; the leader asks what
and why.”

Warren Bennis
A. Autocratic
B. Democratic
C. Laissez-faire
D. Collaborative
E. Charismatic
“The manager asks how and when; the leader asks what
and why.”

Warren Bennis
A. Autocratic
B. Democratic
C. Laissez-faire
D. Collaborative
E. Charismatic
Check Your Understanding...
What type of leader does not provide significant
support, guidance, or feedback to employees?
A. democratic
B. autocratic
C. laissez-faire
D. collaborative
E. charismatic
What type of leader does not provide significant
support, guidance, or feedback to employees?
A. democratic
B. autocratic
C. laissez-faire
D. collaborative
E. charismatic

ANSWER: C, laissez-faire
What type of leader expects employees to follow
orders without receiving an explanation?
A. democratic
B. autocratic
C. laissez-faire
D. collaborative
E. charismatic
What type of leader expects employees to follow
orders without receiving an explanation?
A. democratic
B. autocratic
C. laissez-faire
D. collaborative
E. charismatic

ANSWER: B, autocratic
What type of leader creates an inspiring and
motivating sense of purpose?
A. democratic
B. autocratic
C. laissez-faire
D. collaborative
E. charismatic
What type of leader creates an inspiring and
motivating sense of purpose?
A. democratic
B. autocratic
C. laissez-faire
D. collaborative
E. charismatic

ANSWER: E, charismatic
Assignment!