Management & Leadership Chapter 7 Management & Leadership

7-1 Management Functions & Styles ROLES & WORK OF MANAGERS Who is a manager? Management – the process of accomplishing the goals of an organization through the effective use of people and other resources. Entrepreneur – develops the idea for a new business is a manager Executive – makes final decisions Supervisors – responsible for a small number of employees

7-1 Management Functions & Styles ROLES & WORK OF MANAGERS What do Managers Do? Planning – involves analyzing information, setting goals, and making decisions about what needs to be done. Organizing – means identifying and arranging the work and resources needed to achieve the goals that have been set. Staffing – includes all the activities involved in obtaining, preparing & compensating the people who work for a business.

7-1 Management Functions & Styles ROLES & WORK OF MANAGERS What do Managers Do? Implementing – is the effort to direct and lead people to accomplish the planned work of the organization. Controlling – determines to what extent the business is accomplishing the goals it set out reach in the planning stage.

7-1 Management Functions & Styles MANAGEMENT LEVELS Top Management Executives – top-level managers with responsibilities for the direction and success of the entire business. They set long-term direction and plans Held accountable for the profitability and success of the business Spend time planning and controlling activities Responsible for the work of all other managers

7-1 Management Functions & Styles MANAGEMENT LEVELS Middle Management Middle Manages – specialists with responsibilities for specific parts of a company’s operations Ex: Marketing and Human Resources Managers Works with company’s business plan (once approved) Time is devoted to organizing, staffing & implementing functions

7-1 Management Functions & Styles MANAGEMENT LEVELS Supervisors Supervisors– first level of management in a business Responsible for the day-to-day work of a small group of employees Spend their time implementing the plans of executives and middle managers Make sure that needed resources are available and used wisely

7-1 Management Functions & Styles MANAGEMENT STYLES Management Styles – the way a manager works with and involves employees. Tactical Management Strategic Management Mixed Management

7-1 Management Functions & Styles MANAGEMENT STYLES Tactical Management A style in which the manager is more directive and controlling The manager will make major decisions

7-1 Management Functions & Styles MANAGEMENT STYLES Strategic Management A style in which managers are more collaborative and involve employees in decision making The manager expects the employees to work without direct supervision and will seek their input on important decisions

7-1 Management Functions & Styles MANAGEMENT STYLES Mixed Management The combined use of tactical and strategic WHEN? Some employees will become frustrated because they feel their managers do not trust them Some managers believe they need to be directive and controlling in order to make sure that work was completed

7-1 Management Functions & Styles CHOOSING A MANAGEMENT STYLE Be a tactical manager when… Be a strategic manager when… Working with part-time or temporary employees Employees are skilled and experienced Working with employees who lack motivation for a new task The work is routine with few new challenges Working under tight time pressures Employees are doing work they enjoy Assigning a new task for which employees are not experienced The manager wants to improve group relationships Employees prefer not to be involved in decision-making Employees are willing to take responsibility for planning their work

7-2 Leadership What is Leadership? Need for Leadership The cost of hiring, training, and paying employees is usually one of the largest expenses for a business. Leadership – the ability to motivate individuals and groups to accomplish important goals.

7-2 Leadership Understanding Cooperation Initiative Honesty What is Leadership? Leadership Characteristics Understanding Cooperation Initiative Honesty Dependability Courage Judgement Communication Objectivity Intelligence Confidence Stability

7-2 Leadership What is Leadership? Preparing to Be a Leader Study Leadership Participate in organizations & activities Practice leadership at work Observe leaders Work with a mentor Do a self-analysis and ask for feedback

Importance of Human Relations 7-2 Leadership Importance of Human Relations Human Relations – the way people get along with each other Human Relations Skills Self-understanding Understanding others Communication Team building Developing job satisfaction

Importance of Human Relations 7-2 Leadership Importance of Human Relations Human Relations Skills Self-understanding To be able to meet the expectations of others, leaders must their own strengths and weaknesses. Study how you get along with others Recognize the ways you communicate and work with others individually and in groups Recognize how you make decisions (learn which were effective and which were not)

Importance of Human Relations 7-2 Leadership Importance of Human Relations Human Relations Skills Understanding Others Recognize similarities and differences to help develop a stronger team Get to know each person’s skills and abilities as well as strengths and weaknesses Don’t treat everyone alike, attempt to involve each person in the way this is most beneficial to the business

Importance of Human Relations 7-2 Leadership Importance of Human Relations Human Relations Skills Communication Formal or informal – Formal (approved ways for information to move between managers, employees, customers) Informal (unofficial ways that information moves through an organization) Internal or external – Internal (occurs between managers, employees & work groups) External ( occurs between people inside the organization and people outside the organization – customers, suppliers, other businesses)

Importance of Human Relations 7-2 Leadership Importance of Human Relations Human Relations Skills Communication Vertical or horizontal – Vertical (between manager and employee) Horizontal (employee to employee or manager to manager) Oral or written – Oral (spoken directly or using technology) Written (notes, letters, reports, text or graphics)

Importance of Human Relations 7-2 Leadership Importance of Human Relations Human Relations Skills Team Building The combined skills of the people in an effective team are greater than that of individuals working alone. If there are problems in the team and members cannot get along, the team will not be effective.

Importance of Human Relations 7-2 Leadership Importance of Human Relations Human Relations Skills Developing Job Satisfaction Managers can influence how employees feel about their jobs on a daily basis Sources of dissatisfaction: assignments employees don’t like, difficult working conditions, ineffective communication, lack of recognition Employees appreciate it when a manager pays attention to the needs and concerns of individual employees

7-2 Leadership Influencing People Kinds of Influence Influence – enables a person to affect the actions of others Kinds of Influence Position Influence – the ability to get others to accomplish tasks because of the position the leader holds Reward Influence – results from the leader’s ability to give or withhold rewards (wages or benefits) Expert Influence – when group members recognize and appreciate a leader’s expertise in a specific area Identity Influence – stems from the personal trust and respect members have for the leader

7-2 Leadership Influencing People Formal and Informal Influence Formal Influence – power based on a leader’s position within the formal structure of an organization Informal Influence – power resulting from the personal characteristics of a leader rather than the formal structure of an organization

Importance of Ethical Behavior 7-3 Ethical Management Importance of Ethical Behavior What is Ethical Behavior Ethical Business practices – ensure that appropriate standards of conduct are maintained by everyone who is part of a business and with anyone affected by the business.

Importance of Ethical Behavior 7-3 Ethical Management Importance of Ethical Behavior What is Ethical Behavior Ethical behavior is made up of two parts: the decisions and actions of individuals and groups and the results of those actions.

Importance of Ethical Behavior 7-3 Ethical Management Importance of Ethical Behavior What is Ethical Behavior Is it lawful? Is it consistent with company values and policies? Is it not intended to harm some so that others can benefit? If the actions and results become public, will the company be embarrassed?

Importance of Ethical Behavior 7-3 Ethical Management Importance of Ethical Behavior What is Ethical Behavior Is it lawful? Is it consistent with company values and policies? Is it not intended to harm some so that others can benefit? If the actions and results become public, will the company be embarrassed?

Increasing Ethical Behavior Through Leadership 7-3 Ethical Management Increasing Ethical Behavior Through Leadership Preparing the Organization Core values – the important principles that will guide decisions and actions in the company. https://www.google.com/about/company/philosophy/

Increasing Ethical Behavior Through Leadership 7-3 Ethical Management Increasing Ethical Behavior Through Leadership Modeling Ethical Behavior If employees read the core values of a company but do not see managers living up to those values, it will be clear that ethics are not important.