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University of Bahrain College of Business Administration Management & Marketing Department Essentials of Contemporary Management Jones/George Chapter One: The Management Process Today Dr. Mahmood AsadMGT230: Chapter11
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What is Management? Management is the planning, organizing, leading, and controlling of human and other resources to achieve organizational goals effectively and efficiently. Organizations are collections of people who work together and coordinate their actions to achieve a wide variety of goals and desired future outcomes. MGT230: Chapter12Dr. Mahmood Asad
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What is Management? Managers are the people responsible for supervising the use of an organization’s resources to meet its goals. Resources include people (employees & customers), skills, know-how, machinery, raw materials, computers and IT, patents, and financial capital. MGT230: Chapter13Dr. Mahmood Asad
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Achieving High Performance: A Manager’s Goal Organizational Performance is a measure of how efficiently and effectively managers use organizational resources to satisfy customers and achieve organizational goals. MGT230: Chapter14Dr. Mahmood Asad
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Achieving High Performance: A Manager’s Goal Efficiency is a measure of how productively resources are used to achieve a goal. – Minimize the amount of resources or time needed to produce goods and services. Effectiveness is a measure of the appropriateness of the goals an organization is pursuing and the degree to which the organization achieves those goals. – Choose appropriate goals and achieve them. MGT230: Chapter15Dr. Mahmood Asad
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Figure 1.1 Efficiency, effectiveness, and performance in an organization MGT230: Chapter16Dr. Mahmood Asad
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Why study management? 1.The more effective and efficient use an organization can make of resources, the greater the relative well-being of people. 2.Almost all of us encounter managers because most people have jobs and bosses. 3.Understanding management is one important path toward obtaining a satisfying career. MGT230: Chapter17Dr. Mahmood Asad
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Essential Managerial Tasks Managers perform four essential tasks: 1. Planning3. Leading 2. Organizing4. Controlling Managers at all levels and in all departments are responsible for performing these four tasks. MGT230: Chapter18Dr. Mahmood Asad
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Figure 1.2 Four tasks of management MGT230: Chapter19Dr. Mahmood Asad
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(1) Planning Planning is a process of identifying and selecting appropriate goals and courses of action by developing strategies for how to achieve high performance. The steps of planning are: 1.Deciding which goals to pursue 2.Deciding what strategies to adopt to attain goals 3.Deciding how to allocate organizational resources MGT230: Chapter110Dr. Mahmood Asad
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(1) Planning Strategy is a cluster of decisions about what goals to pursue, what actions to take, and how to use resources to achieve goals. MGT230: Chapter111Dr. Mahmood Asad
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(2) Organizing Organizing is structuring working relationships so organizational members interact and cooperate to achieve organizational goals. MGT230: Chapter112Dr. Mahmood Asad
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(2) Organizing The outcome of organizing is the creation of organizational structure. Organizational Structure is a formal system of task and reporting relationships that coordinates and motivates organizational members so that they work together to achieve organizational goals. MGT230: Chapter113Dr. Mahmood Asad
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(3) Leading Leading is articulating a clear vision and energizing and enabling organizational members so they understand the part they play in attaining organizational goals. Vision is a short, succinct, and inspiring statement of what the organization intended to become and the goals it is seeking to achieve – its desired future state. MGT230: Chapter114Dr. Mahmood Asad
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(4) Controlling Controlling is 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. MGT230: Chapter115Dr. Mahmood Asad
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Levels and Skills of Managers Department is a group of people who work together and possess similar skills or use the same knowledge, tools, or techniques to perform their jobs. Within each department are all three levels of management. MGT230: Chapter116Dr. Mahmood Asad
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Levels of Management First line managers (or supervisors) are responsible for the daily supervision of non- managerial employees. – At the base of the hierarchy – Work in all departments of an organization MGT230: Chapter117Dr. Mahmood Asad
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Levels of Management Middle managers supervise first-line managers and is responsible for finding the best way to use resources to achieve organizational goals. – Helping first-line managers – Evaluating organizational goals – Providing suggestions to top managers – Developing skills and know-how MGT230: Chapter118Dr. Mahmood Asad
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Levels of Management Top managers establish organizational goals, decide how departments should interact, and monitor the performance of middle managers. – Have cross-departmental responsibility – Responsible for the success or failure or an organization MGT230: Chapter119Dr. Mahmood Asad
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MGT230: Chapter120 Figure 1.3 Levels of managers Dr. Mahmood Asad
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Levels of Management Top-management team is a group composed of the CEO, COO, and the heads of the most important departments. The relative importance of the four principal managerial tasks depends on the manager’s position in the managerial hierarchy. MGT230: Chapter121Dr. Mahmood Asad
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MGT230: Chapter122 Figure 1.4 Relative amount of time that managers spend on the four managerial tasks Dr. Mahmood Asad
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Managerial Skills Conceptual skills are the ability to analyze and diagnose a situation and distinguish between cause and effect. – The skill of understanding the big picture is emphasized MGT230: Chapter123Dr. Mahmood Asad
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Managerial Skills Human skills are the ability to understand, alter, lead, and control the behavior of other individuals and groups. MGT230: Chapter124Dr. Mahmood Asad
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Managerial Skills Technical skills are the specific knowledge and techniques required to perform an organizational role. MGT230: Chapter125Dr. Mahmood Asad
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Managerial Skills Core competency is specific set of skills, abilities, and experiences that allows one organization to outperform its competitors. – Departmental skills that create a core competency give an organization a competitive advantage Effective managers need all three kinds of skills to help their organization perform more efficiently and effectively. MGT230: Chapter126Dr. Mahmood Asad
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MGT230: Chapter127 Figure 1.5 Types and levels of managers Dr. Mahmood Asad
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