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Management: Principles and Practices

11e
Ricky W. Griffin

CHAPTER 1

Managing and the Managers


Job
PART 1

An Introduction to Management

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted in a
license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

PowerPoint
PowerPoint Presentation
Presentation by
by Charlie
Charlie Cook
Cook
The
The University
University of
of West
West Alabama
Alabama

Learning Objectives
1. Describe the nature of management, define management and
managers, and characterize their importance to contemporary
organizations.
2. Identify and briefly explain the four basic management functions in
organizations.
3. Describe the kinds of managers found at different levels and in
different areas of the organization.
4. Identify the basic managerial roles that managers play and the skills
they need to be successful.
5. Discuss the science and the art of management, describe how
people become managers, and summarize the scope of
management in organizations.
6. Characterize the new workplace that is emerging in organizations
today.
2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

12

What is an Organization?
A group of people working together
in a structured and coordinated
fashion to achieve a set of goals.

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

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Types of Organizational Resources


Organizational
Resources

Physical
Resources

Human
Resources

Information
Resources

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Financial
Resources

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Organizational Resources
Human resources
Managerial talent and labor

Financial resources
Capital investments to support

ongoing and long-term operations

Physical resources
Raw materials; office and production

facilities, and equipment

Information resources
Usable data, information linkages
2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

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1.1 Examples of Resources Used by Organizations


Human
Resources

Financial
Resources

Physical
Resources

Information
Resources

Royal Dutch/
Shell Group

Drilling
platform
workers
Corporate
executives

Profits
Stockholder
investments

Refineries
Office buildings

Sales forecasts
OPEC
proclamations

Michigan State
University

Faculty
Administrative
staff

Alumni
contributions
Government
grants

Computers
Campus facilities

Research reports
Government
publications

New York City

Police officers
Municipal
employees

Tax revenue
Government
grants

Sanitation
equipment
Municipal
buildings

Economic
forecasts
Crime statistics

Susans Corner
Grocery Store

Grocery clerks
Bookkeeper

Profits
Owner
investment

Building
Display shelving

Price lists from


suppliers
Newspaper ads
for competitors

Organization

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

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What is Management?
A set of activities
planning and decision making, organizing,

leading, and controlling


directed at an organizations resources
human, financial, physical, and information

with the aim of achieving organizational goals


in an efficient and effective manner.

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

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1.1 Management in Organizations

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

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The Basic Purpose of Management

EFFICIENTLY
Using resources wisely
and in a cost-effective
way
And

EFFECTIVELY
Making the right decisions and
successfully implementing them
2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

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What is a Manager?
Someone whose primary responsibility is to carry
out the management process.
Plans and makes decisions, organizes, leads, and

controls human, financial, physical, and information


resources.

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

110

The Managers Job


Plan:
A manager cannot operate effectively unless he or she

has long range plans.

Organize
When there is more than one employee needed to

carry out a plan, then organization is needed.

Control
Develop a method to know how well employees are

performing to determine what has been and what still


must be done.

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

111

1.2 The Management Process

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

112

The Management Process


Planning and Decision Making:
Determining goals and courses of action
Organizing:
Coordinating activities and resources
Leading:
Motivating and managing people
Controlling:
Monitoring and evaluating activities

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

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1.3 Kinds of Managers by Level and Area

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

114

Kinds of Managers by Level


Top Managers
are the small group of executives who manage the

overall organization. They create the organizations


goals, overall strategy, and operating policies.

Middle Managers
are primarily responsible for implementing the policies

and plans of top managers. They also supervise and


coordinate the activities of lower level managers.

First-Line Managers
supervise and coordinate the activities of operating

employees.
2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

115

Kinds of Managers by Area

Marketing
Managers

Financial
Managers

Human Resources
Managers

Kinds of
Managers
by Area

Operations
Managers

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

Administrative
Managers

Specialist
Managers

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Kinds of Managers by Area


Marketing Managers
work in areas related to getting consumers and clients

to buy the organizations products or servicesnew


product development, promotion, and distribution.

Financial Managers
deal primarily with an organizations financial

resourcesaccounting, cash management, and


investments.

Operations Managers
are involved with systems that create products and

servicesproduction control, inventory, quality


control, plant layout, site selection.
2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

117

Kinds of Managers by Area (contd)


Human Resources Managers
are involved in human resource activities.

Administrative Managers
are generalists familiar with all functional areas of

management and are not associated with any


particular management specialty.

Other Kinds of Managers


hold specialized managerial positions (e.g., public

relations managers) directly related to the needs of


the organization.

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

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Basic Managerial Roles and Skills


Regardless of level or area, all managers must
play certain roles and exhibit specific skills in
order to be successful.
Managers:
Do certain things.
Meet certain needs.
Have certain responsibilities.

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

119

Lights, Roll Camera, Manage !!!

Interpersonal
Roles

Informational
Roles

Managerial
Roles

Decisional
Roles

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

120

Managerial Roles (Mintzberg)


Interpersonal Roles
Figurehead, leader, and liaison roles involve dealing

with other people.

Informational Roles
Monitor, disseminator, and spokesperson roles involve

the processing of information.

Decisional Roles
Entrepreneur, disturbance handler, resource allocator,

and negotiator are managerial roles primarily related


to making decisions.

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

121

1.2 Ten Basic Managerial Roles


Category

Role

Sample Activities

Interpersonal

Figurehead

Attending ribbon-cutting ceremony for new plant

Leader

Encouraging employees to improve productivity

Liaison

Coordinating activities of two project groups

Monitor

Scanning industry reports to stay abreast of


developments

Disseminator

Sending memos outlining new organizational initiatives

Spokesperson

Making a speech to discuss growth plans

Entrepreneur

Developing new ideas for innovation

Disturbance
handler

Resolving conflict between two subordinates

Resource
allocator

Reviewing and revising budget requests

Negotiator

Reaching agreement with a key supplier or labor union

Informational

Decisional

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

122

What Skills Do Managers Need?


Technical

Conceptual

Interpersonal

Fundamental
Management
Skills

Diagnostic

Decision
Making

Communication

Time
Management

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

123

Managerial Skills
Technical
To accomplish or understand the specific kind of work

being done in an organization.

Interpersonal
To communicate with, understand, and motivate both

individuals and groups.

Conceptual
To think in the abstract.

Diagnostic
To visualize the appropriate response to a situation.

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

124

Managerial Skills (contd)


Communication
To convey ideas and information effectively to others

and to receive the same effectively from others.

Decision-Making
To recognize and define problems and opportunities

and then to select an appropriate course of action to


solve problems and capitalize on opportunities.

Time-Management
To prioritize work, to work efficiently, and to delegate

appropriately.

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

125

Management: Science or Art?


The Science of Management
Assumes that problems can be approached using rational,

logical, objective, and systematic ways.


Requires the use of technical, diagnostic, and decision-making

skills and techniques to solve problems.

The Art of Management


Making decisions and solving problems using a blend of intuition,

experience, instinct, and personal insights.


Using conceptual, communication, interpersonal, and time-

management skills to accomplish the tasks associated with


managerial activities.

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

126

Management Challenge Question


What do you say to your boss when your boss
wants you to make the numbers fit the
forecast?
A. What do you want the numbers to be?
B. Which numbers are right? which are wrong?
C. No problem. If anyone asks, Ill say that I deferred

to your judgment and am using your numbers.


D. What are the consequences if I refuse to do that?

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

127

1.4 Sources of Management Skills

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

128

The Scope of Management


For-Profit Organizations
Large businesses

Industrial firms, commercial banks, insurance firms, retailers,


transportation firms, utilities, communication firms, service
organizations

Small businesses and start-up businesses


International management

Not-for-Profit Organizations
Governmental organizationslocal, state, and federal
Educational organizationspublic and private schools, colleges,

and universities
Healthcare facilitiespublic hospitals and HMOs
Nontraditional settingscommunity, social, spiritual groups
2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

129

Youre the Manager


The Situation:
The group manager that you replacing has remained on job for a

short time to train you, however he did not actively involve you in
daily operations. He departs permanently after todays meeting.
Morale is low because the group manager has been running a

one-person show with no significant delegation or participation


by other employees.
The overall performance of the group appears to be far below its

current capabilities.

What will you do first?


After that, what will you do next?

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

130

organization
management
effective
efficient
manager
decision making
organizing
leading
controlling
levels of management
areas of management

interpersonal roles
informational roles
decisional roles
technical skills
interpersonal skills
conceptual skills
diagnostic skills
communication skills
decision-making skills
time-management skills

2013 Cengage Learning. All rights reserved. May not be copied, scanned, or duplicated, in whole or in part, except for use as permitted
in a license distributed with a certain product or service or otherwise on a password-protected website for classroom use.

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