INTRODUCTION

to the
FIELD OF MANAGEMENT

Prof. TEO MACABIOG

 INTRODUCTION TO MANAGEMENT

• Definition of Management
• Levels of the Management Hierarchy
• Types of Managers
• Management Functions
• Skills and Roles of the Manager
• Approaches in the Study of Management
• Changes & Challenges in Management
 Organization & Management
• Managing is one of the most important
human activities.
• Organizations are important . They
provide the means for individuals,
groups & societies to meet their needs
– provide useful goods or services.
 Importance of Management
As society has come to rely increasingly
on group effort and as many organized
groups have become large, the task of
managers has been rising in importance.

“The success of an organization starts

with an effective and efficient quality
management”
 Importance of Management
• Poor management is one of the major
reasons so many organizations of various
sizes fail.
• In our increasingly complex and rapidly
changing world, the need for intelligent
management is greater than before.
• A continuous learning and solid grounding in
management to successfully guide
organizations is a challenge posed to us.
“The only choice for an institution is between
management and mismanagement…Whether
it is being done right or not will determine
largely whether the enterprise will survive
and prosper or decline and ultimately fail”
Peter Drucker
HENCE, UNDERSTANDING and PRACTICE of
MANAGEMENT of ORGANIZATIONS IS VERY
IMPORTANT.
What is management?
Management – is the process of
designing and maintaining an
environment in which individuals, working
together in group,efficiently accomplish
selected aims (Koontz, 1990).

Management – is the process of

achieving organizational goals by
engaging in the four major functions of
planning, organizing, leading, and
controlling (Bartol and Martin, 1999).
Management – is the task of planning,
organizing, leading, and controlling the
use of resources in order to achieve some
performance objectives (Body, 2002).

Management – is the attainment of

organizational goals in an effective and
efficient manner through planning,
organizing, leading, and controlling
organizational resources (Daft, 2005).
 Management
• Management is the process of working with
people and resources to accomplish
organizational goals (Bateman and Snell, 2007).

• Management is the planning, organizing, leading,

and controlling of human and other resources to
achieve organizational goals efficiently and
effectively (Jones and George, 2008).
 THE PROCESS OF MANAGEMENT (Daft, 2005)

PLANNING
RESOURCES - Decision making PERFORMANCE
Human Attain goals
Financial Products
Raw materials CONTROLLING ORGANIZING Services
Technological Efficiency
information Effectiveness

LEADING
. Communicating
. Motivating

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 Resources of the
Organization
• Manpower – personnel
• Money – finances
• Materials – supplies, chairs
• Machine – tools, equipment
• Methods – techniques
• Moment – time
• Space
• Information
• Corporate values / culture
( see “bidding” )
 Efficiency and Effectiveness
• Efficiency – least use of resources
in the process of achieving goals.
• Effectiveness – the degree to
which an organization achieves a
stated goal.
• Process- series of actions or operations
(planning, organizing, leading, controlling)
conducing to an end.
• Goal – the end toward which effort is
directed
• Environment of management – dynamic
and constantly changing
A god definition of management contains:

1. Managerial process

2. Incorporation of the human element

3. Statement of the goal/objective

4. Resources of the organization

5. Environment – changing and dynamic

6. Efficiency and effectiveness

 Management Functions
(Daft, 2005)

• Planning – is defining goals for future

organizational performance and deciding on the
tasks and use of resources needed to attain
them.

• Organizing – involves the assignment of tasks,

the grouping of tasks into departments, and the
assignment of authority and allocation of
resources across the organization.
• Leading – involves the use of influence to
motivate employees to achieve organizational
goals. (It includes communicating with others
and motivating organizational members.)

• Controlling – is concerned with monitoring

employees’ activities, keeping the
organization on track toward its goals, and
making corrections as needed.
 Levels of the Management Hierarchy
(Daft, 2005)

• Operational Level – is concerned with day to day

supervision of specific production processes.
(supervisory or first line mgt.)
• Coordinative Level – is responsible for implementing
the overall strategies and policies defined by top
managers (middle mgt.)
• Strategic Level – is concerned with long-term
strategic considerations, with setting long-term
organizational goals and determining how resources
and activities will be controlled. (top mgt.)
Types of Managers (Schermerhorn,2006)

1. By level in the organization:

a. first line managers – direct operating
employees. Ex. Foreman, supervisors

b.middle managers – direct and

coordinate the activities of other
managers ex. Department manager,
Regional Director

c. top manager – responsible for the over

all management of the organization. Ex.
President,CEO, EVP, VP
2. By the range of organizational activities
for which they are responsible:

a. functional manager – responsible for

only one organizational activity, such as
marketing, accounting, personnel.

b. General manager – oversees a

complex unit and he is responsible for all
the activities of that unit/organization.
 Skills of the manager:
(Dubrin, 2003)
1.Technical skill
2.Conceptual skill
3.Diagnostic skill
4.Political skill
5.Human relations skill
Managerial skills: (Dubrin, 2003)
• Technical skill – proficiency in a
specific activity that involves
methods, processes, procedures or
techniques and in working with tools.
Example: planning, making budgets,
teaching methods, computer skills
“Students are not failing because of
the curriculum. Students can learn
any subject matter when they are
taught with methods and
approaches responsive to their
learning styles and strengths.”
Dr. Rita Dunn,Ed.D
Director of International Learning Styles
 How to draw a dog.

What is your technique in

drawing a dog?
2. Conceptual skill – ability to see the
organization as a whole and the
relationship among its parts.

3. Diagnostic skill – ability to

investigate and then to decide on
and implement a solution.
Diagnostic skill -Counting Squares
• Quickly count the total
number of squares
seen and report that
number orally
4. Political skill – ability to
build a power base and
enhance one’s position. It
includes establishing the right
connections and impressing
the right people.
5. Human relations skill – ability to work
effectively as a team member and to
build cooperative effort in the unit. It
includes the ability to motivate,
facilitate, coordinate, lead,
communicate and resolve conflicts.
HR skill: What is a Team?
• A team is a small number of
people with complementary skills
who are committed to a common
purpose, performance goals, and
approach for which they hold
themselves mutually accountable.
[Katzenbach and Smith, 1994]
 HR skill – teamwork

“Coming together is a
beginning;

Keeping together is progress;

Working together is
SUCCESS” Henry Ford
Roles of the Manager
(Schermerhorn, 2006)

A. Interpersonal roles –how a manager interacts

with other people.

1. Figure head – as a symbol of legal authority,

performing ceremonial duties (e.g. signing
documents and receiving visitors)

2. Leader – motivating subordinates to get the

job done properly.

3. Liaison – serving as a link in a horizontal and

vertical chain of communication.
B. Informational Roles-how a manager exchanges
and manages information.

4. Nerve Center – serving as a focal point for

information. Seeking/receiving information to
develop thorough understanding of the org.

5. Disseminator – transmitting selected

information to subordinates

6. Spokesperson – transmitting selected

information to outsiders. Speaking on behalf
of the org. about plans, policies, actions.
C. Decisional Roles-How a manager uses information
in decision making.

7. Entrepreneur – designing and initiating changes

within the organization, identification of new
opportunities & development of these into new
products, services or methods.
8. Disturbance Handler – taking corrective action in
nonroutine situations

9. Resource Allocator – deciding exactly who

should get resources
10. Negotiator – participating in negotiating sessions
with other parties to make sure the organization's
interests are adequately represented
Approaches to the Study of Management
(Martinez, 1983)

• Traditional/Process – analyzes the management

process, establishes its conceptual framework,
identifies its principles and builds a theory
of management from them

• Empirical – analyzes management by a study of

experience from which generalizations are
drawn. It is case method of teaching.
• Human Behavior – concentrates on the human
aspect of management and the principle that
when people work together to accomplish
group objectives, people should
understand people.

• Social System – looks upon management as

a system of cultural interrelationships.

•Operations Research – looks at management as

a system of mathematical model and processes.
 Recent Changes in Mgt Practices
(Jones and George, 2008)
• To increase efficiency and effectiveness:

1.Restructuring organizations and

outsourcing specific organizational
activities to reduce the number of
employees on the payroll and make more
productive use of the remaining workforce.
 Restructuring and Outsourcing
Restructuring – involves simplifying,
shrinking, or downsizing an
organization’s operations to lower
operating costs.
• Outsourcing – is contracting with another
company or person (service provider that
specialize in a type of work) to do a
particular function. Typically, the function
being outsourced is considered non-core
to the business. Outsourcing can avoid
costs- production/labor cost, high energy
cost, high taxes & contributes to
effectiveness.
 Some Changes in Mgt Practices
2. Empowering lower-level employees and
moving to self-managed teams.

Empowerment – involves giving employees

more authority and responsibility over the
way they perform their work activities.
 Empowerment and Self-managed
Teams

• Self-managed team – a group of

employees who assume responsibility for
organizing, controlling, and supervising
their own activities and monitoring the
quality of the goods and services rhey
provide.
 Challenges for Management in a
Global Environment
(Jones and George, 2008)

1. Building competitive advantage

Competitive advantage is the ability of one
organization to outperform other
organizations because it produces
desired goods or services more
efficiently and effectively than its
competitors.
 Core Competence
• Core competence is something a firm
does especially well relative to its
competitors. It is the unique
skills/knowledge a firm posses that give it
an edge over competitors.
Honda – small engine design and
manufacturing
FedEx – logistics and customer service
 Competitive advantage
Building blocks of competitive advantage:
a. Efficiency … outsourcing, cross training
b. Quality…TQM, QC
c. Innovation…speed, flexibility
d. Responsiveness to customers, empower
 Challenges for Management
2. Maintaining ethical and socially
responsible standards.

Social responsibility – obligations a

company has toward the people and
groups affected by its activities – such as
employees, customers, or the
communities in which it operates.
 Challenges for Management
3. Managing a diverse workforce

Today, the age, gender, race, ethnicity,

religion, sexual preference, and socio-
economic makeup of the workforce
present new challenges for managers –
treat human resources in a fair and
equitable manner.
 Challenges for Management
4. Utilizing IT and E-commerce

-efficient utilization of new information

technology like computer-controlled
manufacturing and Web-based IT etc. that
can held the firm build a competitive
advantage
 Managing Technology-driven
Workplace
• Much business takes place by
digital processes over a computer
network rather than in physical
space:
1. E – business
2. E - commerce
• E-business refers to the work an
organization does by using
electronic linkages (including the
internet with customers, partners,
suppliers, employees & other key
constituents.
 
• E-commerce is a narrower term
referring to business exchanges or
transactions that occur
electronically. It replaces or
enhances the exchange of money
and products with the exchange of
data and information from one
computer to another.
 Types of E-commerce
• Business to Consumer – selling products
and services Online. Ex. Amazon.com
• Business to Business – electronic
transactions between organizations.
• Consumer to Consumer – Internet-based
business (Web-based intermediaries) act as
intermediary between & among consumers.

Ex. eBay.
 Challenges for Management
5. Practicing global crisis management

a. Natural causes – tsunamis, hurricanes

b. Man-made – global warming, pollution
c. Geopolitical tensions – regions protect
their own economic and political interests
 Management Paradox:
(1) Managers keep everything running
efficiently and profitably, while at the
same time, (2) change everything.
It is no longer enough just to learn how to
measure and control things. Success
accrues to those who learn how to
initiate change and create organizations
that can change quickly. (Daft, 2005)
 Managers mindset:
• To see change as the nature of things
• To create vision and cultural values that allow
people to create a truly collaborative workplace
• To engage whole employees- emphasize human
touch, involve employees’ hearts & minds as
well as their bodies.
• To keep pace with ever advancing technology
• To do more with less
Reminder:
Managing is an indispensable human
activity.
Let us learn how to manage organizations
successfully.
Happy managing!
 List of References
• Bartol, K. and D. Martin. (1995). Management: a Pacific Rim Focus.
USA: McGraw-Hill, Inc.
• Bateman, T. and S. A. Snell. (2007). Management: Leading and
Collaborating in a Competitive World. NewYor: McGraw-Hill.
• Boddy, D. (2002). Management: An Introduction. New York: Prentice
Hall.
• Daft, R. (2005). Management. USA: South-Western.
• Dubrin, A. (2003).Essentials of Management. USA: South-Western.
• Jones, G. R. and J. M. George. (2008). Contemporary Management.
New York: McGraw-Hill.
• Schermerhorn, J. (2006). Management. USA: John Wiley & Sons,
Inc.
Thank you!
and
Good Day!