©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 14 Management, Motivation, and Leadership: Bringing Business to Life Discuss the role of management and its importance to organizational success Explain key theories and current practices of motivation Outline the categories of business planning and explain strategic planning Discuss the organizing function of management Explain the role of managerial leadership and the key leadership styles Describe the management control process

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. 3 Figuring out where to go and how to get there Planning Determining a structure for both individuals and the organization Organizing Directing and motivating people to achieve organizational goals Leading Monitoring performance and making adjustments as needed Controlling Management: Responsibilities and Skills Involved

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Management: Responsibilities and Skills Involved Top management: Sets the overall direction of the firm Middle management: Manages the managers First-line management: Manages the people who do the work 4

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Management: Responsibilities and Skills Involved 5 Expertise in a specific functional area or department Technical skills Ability to work with and through other people in a range of different relationships Human skills Ability to grasp a big-picture view of the overall organization and the relationship between its various parts Conceptual skills

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Exhibit Maslow’s Hierarchy of Needs and the Workplace 6

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Exhibit Theory X and Theory Y 7

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Motivation: How does it work? 8 Workers can use a range of different skills Skill variety Workers complete tasks with clear beginnings and endings Task identity Workers understand the impact of the task on others Task significance Workers have freedom and authority regarding their jobs Autonomy Workers receive clear, frequent information about their performance Feedback

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Motivation: How does it work? ￭ Expectancy theory: Relationship among individual effort, individual performance, and individual reward ￭ Equity theory: Perceptions of fairness directly affect worker motivation 9

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Planning: An Overview Vision for the company, define long-term objectives and priorities, determine broad action steps, and allocate resources Strategic planning Applying the strategic plan to specific areas of responsibility Tactical planning Applying the tactical plans to daily, weekly, and monthly operations Operational planning For unexpected events Contingency planning 10

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Exhibit Managerial Planning 11

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Strategic Planning Steps ￭ Defining the mission of the organization  Mission: Organization’s purpose, values, and core goals providing the framework for all other plans ￭ Evaluating the competitive position  SWOT analysis: Evaluates where the organization stands relative to competition Strengths, weaknesses, opportunities, and threats 12

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Strategic Planning Steps ￭ Setting goals  Strategic goals: Represent concrete benchmarks that managers can use to measure performance in key areas ￭ Creating strategies  Strategies: Plans that help the organization achieve goals by fitting the firm and the environment 13

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Strategic Planning Steps ￭ Implementing strategies  Should happen through tactical planning ￭ Evaluating results and incorporating lessons learned  Continual process  Should happen at all levels 14

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Organizing: Creating Logical Structure in a Firm ￭ Organization chart: Helps employees understand how they and their jobs fit within the broader organization ￭ Degree of centralization: Relates directly to the source of power and control ￭ Span of control: Number of people a manager supervises 15

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Organizing: Creating Logical Structure in a Firm ￭ Departmentalization: Breaking workers into logical groups  Functional  Product  Customer  Geographical  Process 16

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Organization Models 17 Clear, simple chain of command from top to bottom Line organization Benefits of a line organization without all the drawbacks Line managers: Supervise the functions that contribute directly to profitability Staff managers: Supervise the functions that provide advice and assistance to the line departments Line-and-staff organization Build on the line-and-staff approach by adding a lot more flexibility Encourages team work Flexible and innovative Matrix organizations

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Leadership: Being Direct and Bureaucratic ￭ Autocratic leaders  Hoard decision-making powers and issue orders without consulting their followers ￭ Democratic leaders  Share power with followers but make final decisions 18

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Leadership: Being Direct and Bureaucratic ￭ Free-rein leaders  Set objectives for their followers but give them freedom to choose how they accomplish those goals 19

Reality TV Video Slide 20 ©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. s/14wemeanbusiness.html

© iStockphoto.com / DNY59 ©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. ￭ How do The Sensitive Baker’s three operational issues relate to the managerial functions of planning, organizing, leading, and controlling organizational resources? ￭ The text states that “standout managers motivate others to reach for their best selves.” Does the fact that Bill Rancic believes that some of The Sensitive Baker’s employees are slackers and have an attitude problem indicate that Sandee is a poor manager? ￭ How do the broad leader activities of directing and inspiring relate to the three operational issues identified by Bill Rancic? 21

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Controlling ￭ Monitoring performance of the firm and making improvements when necessary ￭ Control process  Establishes clear performance standards Specific and measurable Realistic but challenging Tied to a time frame 22

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Controlling  Measures actual performance against standards Should happen before the end of the time frame attached to the goal  Takes corrective action if necessary 23

©2015 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part. Discuss the role of management and its importance to organizational success Explain key theories and current practices of motivation Outline the categories of business planning and explain strategic planning Discuss the organizing function of management Explain the role of managerial leadership and the key leadership styles Describe the management control process