Management Key Concepts §Organizations: People working together and coordinating their actions to achieve specific goals.Organizations §Goal: A desired future condition that the organization seeks to achieve.Goal §Management: The process of using organizational resources to achieve the organization’s goals by... l Planning, Organizing, Leading, and Controlling
Characteristics of Organization §Each organization has a distinct purpose. §Each organization is composed of people. §All organizations develop a systematic structure that defines and limits the behavior of its members.
Organizational Type in China (1998) §State Owned Enterprise § Collective Owned Enterprise §Joint-stock Limited Partnership §Private Enterprise §Sole Proprietorship §Limited Dividend Corporation §Joint-stock Company Limited
Comparison in Tax & Number §Comparison in Number §Comparison in Tax
Different Organizational Goal §Stated Objectives: Official statements of what an organization says-and what it wants various publics to believe-are its objectives. §Real Objectives: Objectives that an organization actually pursues,as defined by the actions of its members. §An organization`s stated objectives are often quite irrelevant to it`s real objectives.
Additional Key Concepts §Resources are organizational assets and include: People, Machinery, Raw materials, Information, skills, Financial capital. §Managers are the people responsible for supervising the use of an organization’s resources to meet its goals with performance.performance
Organizational Performance §Measures how efficiently and effectively managers use resources to satisfy customers and achieve goals. l Efficiency: A measure of how well resources are used to achieve a goal. l Effectiveness: A measure of the appropriateness of the goals chosen (are these the right goals?), and the degree to which they are achieved.
Managerial Functions of Henri Fayol §He was the first to describe the five managerial functions : (19th century) Planning, organizing, coordinating, commanding controlling Fayol noted managers at all levels, operating in a for profit or not for profit organization, must perform each of the functions.
§In 20th century 70s, Harold·Koontz & Cyril O`ponnel simplified to four functions. §Planning, §organizing, §leading, §controlling Managerial Functions of Harold·Koontz
Figure 1.2 1 Planning Planning Choose Goals 2 Organizing Organizing Working together 3 Leading Leading Coordinate 4Controlling Monitor & measure 1-8 Management Circle (process)
Planning Planning is the process used by managers to identify and select appropriate goals and courses of action for an organization. 3 steps to good planning : 1. Which goals should be pursued? 2. How should the goal be attained? 3. How should resources be allocated?
Organizing §In organizing, managers create the structure of working relationships between organizational members that best allows them to work together and achieve goals. §An organizational structure is the outcome of organizing. This structure coordinates and motivates employees so that they work together to achieve goals.
Leading §In leading, managers determine direction, state a clear vision for employees to follow, and help employees understand the role they play in attaining goals. §The outcome of the leading function is a high level of motivation and commitment from employees to the organization.
Controlling §In controlling, managers evaluate how well the organization is achieving its goals and takes corrective action to improve performance. §The outcome of the controlling function is the accurate measurement of performance and regulation of efficiency and effectiveness.
Top Managers Top Managers Middle Managers Middle Managers First-line Managers First-line ManagersNon-management Management levels
First-line Managers Responsible for day-to-day operation. They supervise the people performing the activities required to make the good or service.
Middle Managers Supervise first-line managers. They are also responsible to find the best way to use departmental resources to achieve goals.
Top Managers §Responsible for the performance of all departments and have cross- departmental responsibility. They establish organizational goals and monitor middle managers
Managerial Roles §Described by Mintzberg. §Roles are directed inside as well as outside the organization. §There are 3 broad role categories: 1. InterpersonalInterpersonal 2. Informational Informational 3. DecisionalDecisional
Interpersonal Roles §Roles managers assume to coordinate and interact with employees and provide direction to the organization. l Figurehead role: l Leader role l Liaison role:
Informational Roles §Associated with the tasks needed to obtain and transmit information for management of the organization. l Monitor role: l Disseminator role: l Spokesperson role:
Decisional Roles §Associated with the methods managers use to plan strategy and utilize resources to achieve goals. l Entrepreneur role: l Disturbance handler role: l Resource allocator role: l Negotiator role
Managerial Skills There are three skill sets that managers need to perform effectively. 1. Conceptual skills: 2. Human skills: 3. Technical skills All three skills are enhanced through formal training, reading, and practice.
Skill Type Needed by Manager Level Top Managers Middle Managers Line Managers Conceptual Human Technical Figure 1.5
§Globalize §Empowerment and Teams §Total Quality Management §Downsizing §Contingent WorkersContingent Workers §Stimulating Innovation and Change §The Bimodal Work ForceThe Bimodal Work Force §Ethics Management Trends
Management Challenges §Increasing number of global organizations. §Building competitive advantage through superior efficiency, quality, innovation, and responsiveness. §Increasing performance while remaining ethical managers. §Managing an increasingly diverse work force. §Using new technologies.
Efficient & achievable manager Traditional managing 32% Traditional managing 13% Communication 29% Communication 28% HRM 20% HRM 11% Social activites 19% 48% Social activites Social activites 11% Traditional managing 19% Communication 44% HRM 26% Average achievable efficient