Presentation on theme: "WEEK 2: MANAGEMENT AND MANAGERS BUSN 107 – Özge Can."— Presentation transcript:
WEEK 2: MANAGEMENT AND MANAGERS BUSN 107 – Özge Can
Why Study Management? Managers decide how to allocate society’s most valuable resources We encounter managers as we have jobs and bosses Understanding management is one important path toward obtaining a satisfying career
Organizations Collections of people who work together and coordinate their actions to achieve a wide variety of goals What is Management?
Managers The people responsible for supervising the use of an organization’s resources to meet its goals Resources include people, skills, know-how, machinery, raw materials, computers and IT, and financial capital What is Management?
Management The planning, organizing, leading and controlling of human and other resources to achieve organizational goals in an efficient and effective way What is Management?
When you think of a manager, what kind of person comes to your mind? How do you imagine the manager of: Super-market chain IT firm University Museum Charity
Organizational Performance Efficiency A measure of how well or productively resources are used to achieve a goal Effectiveness A measure of the appropriateness of the goals an organization is pursuing and the degree to which they are achieved.
Planning Planning Process of identifying and selecting appropriate goals and courses of action Analyzing current situations, anticipating the future, determining objectives, deciding in what types of activities the company will engage
Planning Steps in the Planning Process: 1. Deciding which goals to pursue 2. Deciding what strategies to adopt to attain those goals 3. Deciding how to allocate organizational resources Strategy: Outcome of planning. Cluster of decisions about what goals to pursue, what actions to take, and how to use resources to achieve goals
Organizing Organizing Structuring working relationships so organizational members interact and cooperate to achieve organizational goals Specifying job responsibilities, grouping jobs into work units, marshaling and allocating resources
Organizing Organizational Structure: Formal system of tasks and reporting relationships that coordinates and motivates organizational members so that they work together to achieve organizational goals
Leading Leading Articulating a clear vision and energizing and enabling organizational members so they understand the part they play in attaining organizational goals Stimulating people to be high performers
Controlling Controlling Evaluating (monitoring) how well an organization is achieving its goals and taking action to maintain or improve performance The outcome of the control process is the ability to measure performance accurately and making needed changes
In-Class Exercise: Management Functions: http://www.mhhe.com/business/management/buildy ourmanagementskills/updated_flash/topic18b/quiz. html http://www.mhhe.com/business/management/buildy ourmanagementskills/updated_flash/topic18b/quiz. html
Groups of Managers According to type of skills = Departments A group of people who work together and possess similar skills and knowledge E.g. engineering, marketing, sales According to level or rank in organization’s hierarchy = Levels of Management Top, middle and first-line managers
Levels of Management Top-level managers Senior executives responsible for the overall management and effectiveness of the organization CEO and top management team Middle-level managers Managers located in the middle layers of the organizational hierarchy, reporting to top-level executives First-line (front-line) managers Lower-level managers who supervise the operational activities of the organization => supervisors
Relative Amount of Time That Managers Spend on the Four Managerial Tasks:
Managerial Skills Conceptual Skills – The ability to analyze and diagnose a situation and distinguish between cause and effect. – Skills pertaining to the ability to identify and resolve problems for the benefit of the organization and its members
Managerial Skills Human (Interpersonal) Skills – The ability to understand, alter, lead, and control the behavior of other individuals and groups – People skills; the ability to lead, motivate, and communicate effectively with others
Managerial Skills Technical Skills – The specific knowledge and techniques required to perform an organizational role – The ability to perform a specialized task involving a particular method or process
Major Challenges for Management in Today’s Environment Globalization; global organizations; global crisis Technological change: Internet and IT Knowledge management Collaboration across boundaries & diversity Maintaining ethical and socially responsible standards Building competitive advantage
Competitive Advantage Competitive advantage – Ability of one organization to outperform other organizations because it produces desired goods or services more efficiently and effectively than they do – Core Competency => The specific set of skills, knowledge and experience that allows an organization to outperform its competitors
Competitive Advantage Innovation The introduction of new goods and services or developing better ways to produce or provide them Innovation might not be the product itself, but how it is delivered Quality The excellence of your product (goods or services) Attractiveness, lack of defects, reliability, and long-term dependability
Competitive Advantage Service (Responsiveness to Customers) The speed and dependability with which an organization delivers what customers want Speed/ Flexibility Fast and timely execution, response, and delivery of results
Competitive Advantage Efficiency (Cost Competitiveness) Keeping costs low to achieve profits and be able to offer prices that are attractive to consumers.
Can you think about an organization that you believe is high-performing? What are the reasons of its high performance?
Assignment -1 (Due: 18 Oct 2012) Opening a New Restaurant You and your partners have decided to open a large, full- service restaurant in your local community; it will be open from 7 a.m. to 9 p.m. to serve breakfast, lunch, and dinner. Each of you is investing 30,000 TL in the venture, and together you have secured a bank loan for 100,000 TL more to begin operations. You and your partners have little experience in managing a restaurant beyond serving meals or eating in restaurants, and you now face the task of deciding how you will manage the restaurant and what your respective roles will be.
Assignment Questions: 1. Decide what each partner’s managerial role in the restaurant will be. For example, who will be responsible for the necessary departments and specific activities? Very briefly, decsribe your management hierarchy (management levels). 2. Which building blocks of competitive advantage do you need to establish to help your restaurant succeed? What criteria will you use to evaluate how successful you are managing the restaurant?
Assignment Questions: 3. Discuss the most important issues that must be made about (a) planning, (b) organizing, (c) leading, and (d) controlling, to allow you or your partners to utilize organizational resources effectively and build a competitive advantage. 4. For each managerial task (planning, organizing, leading, controlling), think about possible issues/problems to solve, and command on how you can deal with them.
Next Week: Read: Appendix A - History of Management Thought