1-1 BBA 121 Principles of Management

1-2 Lecture 1 The Management Process Today

1-3 What is Management? Question?

1-4 Learning Objectives LO1-1 Describe what management is, why management is important, what managers do, and how managers utilize organizational resources efficiently and effectively to achieve organizational goals LO1-2 Distinguish among planning, organizing, leading, and controlling (the four principal managerial tasks), and explain how managers’ ability to handle each one can affect organizational performance LO1-3 Differentiate among three levels of management, and understand the tasks and responsibilities of managers at different levels in the organizational hierarchy

1-5 Learning Objectives LO1-4 Distinguish between three kinds of managerial skill, and explain why managers are divided into different departments LO1-5 Discuss some major changes in management practices today that have occurred as a result of globalization and the use of advanced information technology (IT) LO1-6 Discuss the principal challenges managers face in today’s increasingly competitive global environment

1-6 What is Management?  Management  The planning, organizing, leading, and controlling of human and other resources to achieve organizational goals effectively and efficiently

1-7 What is Management?  Organizations  Collections of people who work together and coordinate their actions to achieve a wide variety of goals

1-8 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

1-9 Achieving High Performance  Organizational Performance  A measure of how efficiently and effectively managers use organizational resources to satisfy customers and achieve organizational goals

1-10 Efficiency, Effectiveness, and Performance in an Organization

1-11 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 the organization achieves those goals.

1-12 Why study management? Question?

1-13 Why study management?  The more effective and efficient use an organization can make of resources, the greater the relative well-being of people  Almost all of us encounter managers because most people have jobs and bosses  Understanding management is one important path toward obtaining a satisfying career

1-14 Four Tasks of Management

1-15 Planning  Planning  Process of identifying and selecting appropriate goals and courses of action

1-16 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

1-17 Planning  Strategy  cluster of decisions about what goals to pursue, what actions to take, and how to use resources to achieve goals

1-18 Organizing  Organizing  Structuring working relationships in a way that allows organizational members to work together to achieve organizational goals

1-19 Organizing  Organizational Structure  A formal system of task and reporting relationships that coordinates and motivates organizational members so that they work together to achieve organizational goals

1-20 Leading  Leading  Articulating a clear vision and energizing and enabling organizational members so they understand the part they play in attaining organizational goals

1-21 Controlling  Controlling  Evaluating 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 regulate efficiency and effectiveness

1-22 Question? What is a group of people who work together and possess similar skills or use the same knowledge, tools, or techniques? A. Organization B. Department C. Team D. Presentation Group

1-23 Levels and Skills of Managers  Department  A group of people who work together and possess similar skills or use the same knowledge, tools, or techniques to perform their jobs

1-24 Levels of Management  First line managers  Responsible for the daily supervision of non- managerial employees  Middle managers  Supervise first-line managers and are responsible for finding the best way to use resources to achieve organizational goals

1-25 Levels of Management  Top managers  establish organizational goals, decide how departments should interact, and monitor the performance of middle managers

1-26 Levels of Managers

1-27 Relative Amount of Time That Managers Spend on the Four Managerial Tasks

1-28 Levels of Managers  Top-management team  A group composed of the CEO, the COO, and the vice presidents of the most important departments of a company.

1-29 Question? Which management skill is the ability to understand, alter, lead, and control the behavior of other individuals and groups? A. Conceptual B. Human C. Technical D. Technological

1-30 Managerial Skills  Conceptual skills  The ability to analyze and diagnose a situation and distinguish between cause and effect.  Human skills  The ability to understand, alter, lead, and control the behavior of other individuals and groups.  Technical skills  The job-specific knowledge and techniques required to perform an organizational role.

1-31 Question? What is the specific set of abilities that allows one manager to perform at a higher level than another manager? A. Skill-sets B. SKAs C. Competencies D. Skill traits

1-32 Technical Skills  Core competency  Specific set of skills, abilities, and experiences that allows one organization to outperform its competitors

1-33 Types and Levels of Managers

1-34 Challenges for Management in a Global Environment Rise of Global Organizations.Building a Competitive AdvantageMaintaining Ethical and Socially Responsible StandardsManaging a Diverse WorkforceUtilizing IT and E-Commerce