Global Challenges in Management Joe Markert, Instructor Rutgers Business School Management & Global Business Dept.

A Thought for Today One person’s “simple” is another person’s “huh?” – ask questions.

Trends that affect Management Globalization Migration Product life cycle changes Technology World economy

Forces Social Business requirements Technical

Managing Effectively: Three Critical Challenges GLOBALISM TECHNOLOGY This slide is based on Exhibit 1.1 (see page 7 of the textbook) and is intended to lead to discussion of some of the many challenges faced by manager in this newest century. Of course many of the challenges have been around for some time, but there are some unique ones for this century, including terrorism, which for managers in the United States is a new and present danger. In addition, one might ask what technology issues face managers, since many of the “old” technologies, such as the use of computers might be less of a challenge today than just a few years ago. Management Challenges for the 21st Century CHANGE Adapted from Exhibit 1-1: Critical Management Challenges for the 21st Century

VIDEO Shift Happens video

So What Do People Do When Global Competition Comes? Hide; keep head down Resist Sabatoge Rarely embrace it unless the power shifts toward them

Global Management Perspective #1: The Human Factor Effective managers must be adept at Assessing other people’s capabilities Matching people’s capabilities with appropriate responsibilities Motivating people The second perspective, described in the text on pages 14-16, closes in on the importance of people to any organized effort. Hence managers must be good with people, understanding their abilities, needs and other attributes. You might elicit from students how the “best manager they have worked for” differs from the worst in terms of how they interact with employees and other persons such as customers and suppliers. What makes a good or a bad manager in terms of handling people?

Global Management Perspective #2: Managing Paradoxes Management requires simultaneously mastering multiple and potentially conflicting situations Integration and fragmentation Consistency & Flexibility Reflection & Action Global Perspective and Local Understanding The third perspective, found in the text from pages 17-21, gets students to realize that the manager’s “space” is complex with lots of things going on at the same time. Somewhere in the process, a good manager will understand priorities, and how one thing will affect another. Although it might seem like managers are simply reacting to that environment in a random manner (the squeaky wheel gets the grease), that is usually not the case. Somewhere in the apparent chaos, a good manager understands the connections between events and will know where and how to react to those events.

What Skills Do Global Managers Need? Interpersonal skills Sensitivity Persuasiveness Empathy Technical skills Specialized knowledge (Including when and how to use the skills) This exhibit summarizes discussion of the three sets of skills discussed in chapter one, as essential to good managerial performance. The exhibit has been modified for presentation, and is animated to permit point-by-point discussion. I like to stress to students that too often managers over-rely on interpersonal skills. However, careers in management depend heavily on the managers technical skills, and especially on the managers conceptual skills. That is also seen in Exhibit 1.6, which follows this slide. Conceptual skills Logical reasoning Judgment Analytical abilities

Functions of Management Functions of Management Planning Leading Controlling Organizing Use influence to motivate employees Select goals and ways to attain them Assign responsibility for task accomplishment Monitor activities and make corrections

Global Functions of Management Global Functions of Management Planning Leading Resources Controlling Organizing Performance Human Financial Raw Materials Technological Information Attain goals Products Services Efficiency Effectiveness Use influence to motivate employees Select goals and ways to attain them Assign responsibility for task accomplishment Monitor activities and make corrections Exhibit 1.1

Managing In The New Era Internet Globalization New Era Management Knowledge Management Collaboration Across “Boundaries”

Managing For Competitive Advantage Best managers and companies deliver on 4 things: Cost Competitiveness Innovation Competitive Advantage Speed Quality

QUESTIONS?