Presentation on theme: "Understand the nature of business"— Presentation transcript:
1 Understand the nature of business 2.02 Understand the leadership and management.
2 ManagementManagement is the process of accomplishing the goals of an organization through the effective use of people and other resources.
3 5 Functions of Management PlanningOrganizingStaffingImplementingControlling
4 Planning The planning function involves… Analyzing information Setting goalsMaking decisions to accomplish the goals
5 Organizing The organizing function involves… Identifying the work & resources needed to achieve the goals of the business that have been set in the planning stage.
6 Staffing The staffing function includes the activities involved in… Obtaining the employeesTraining the employeesCompensating the employees
7 ImplementingThe implementing function involves directing and leading people in order to accomplish the goals set out in the planning stage.
8 ControllingThe controlling function is used to determine whether a business is accomplishing its goals that were set in the planning stage.
9 Levels of Management Top Management Mid-management Supervisors Management by others
10 Top Management Executives are top-level managers Responsible for the direction and the success of the business (controlling)Set long-term goals (planning)Held accountable for profitability & successExamples:CEO (Chief Executive OfficerPresident
11 Mid-Management Mid-managers are specialists Responsible for specific parts of the businessDevoted to the organizing, staffing, and implementing functionsExamplesMarketing ManagerInformation Technology ManagerCustomer Service Manager
12 Supervisors First level of management Responsible for the routine work of a group of employeesEvaluate the work of the employeesImplement the plans set forth by executives and mid-managers
13 Management by othersOther employees who are not managers, may serve as leaders for a group of employees
14 Management StylesThe management style is the way a manager treats and involves employeesTacticalStrategicMixed
15 Tactical Directive and controlling Manager makes the major decisions Stays in close contact with employees while they workTypically, use for inexperienced employees or during a crisis
16 Strategic Less directive with employees Involves team members with decision makingTypically, used with trusted and/or experienced employeesLimited direct supervision
17 Mixed Combination of both tactical and strategic Effective managers can use both styles in order to accommodate different types of employees
18 Leadership StylesLeadership is the ability to motivate individuals and groups to accomplish important goals.What type of traits should a leader possess?
20 Leadership Styles Autocratic Leader Democratic Leader Open or Laissez-faire leader
21 Autocratic LeaderUsed when a leader needs to give direct, clear, and precise orders and makes decisionsSituations to use style:During an emergencyTo direct the work of inexperienced employees
22 Democratic Leader One who includes employees in making decisions Situations to use style:To monitor quality of work of employeesTo direct the work of employees working as a team
23 Open/Laissez-faire Leader One who gives little or no direction to employeesSituation to use style:To monitor achievements and communicate regularly with employeesTo direct the work of experienced and trained employees
24 Human Resources Managers Human resources managers use the management process of managing employees to achieve the objectives of a business.
25 Human Resources Management Activities Planning, staffing, recruiting, & hiringManaging compensation and benefitsManaging performance of employees
26 Planning, Staffing, Recruiting, Hiring Classifying employeesPermanentLong term commitmentTemporaryHired for a specific time/jobFull Time30 or more hours per week (usually 40+ hours)Part TimeShort work week
27 Planning, Staffing, Recruiting, Hiring Planning and StaffingTelecommuting – involves performing some portion of or the entire job away from the businessFlextime – allows employees to choose the work hours and days they think will be most effective
28 Planning, Staffing, Recruiting, Hiring Planning & Job StaffingDetermining job requirements:The use of job analysis to determine all the duties for a particular jobRecruiting and hiring employeesThe application processReviewing applications/resumesInterviewing applicantsChecking references of applicantsMaking a job offer to applicants
29 Planning, Staffing, Recruiting, Hiring New employee orientationPaperworkTrainingMentor
30 Managing Compensation & Benefits Compensation methodTime Wage – Direct payment per hourSalary – Direct payment per week, bi-weekly, or monthlyCommission – Percentage of salesPiece Rate – Payment per unit producedBase plus incentive – Direct payment plus performance based payEmployee benefitsOther items given to employee for working. For example, health insurance, vacation time, sick time, dental insurance, vision insurance, 401k retirement, family leave, etc.
31 Managing performance of employees Employee evaluationObjective evaluations of employees’ quality of workPromotionAdvancement of an employee to a position with greater responsibilityTransferAssignment of the employee to a job in another area with similar responsibilityTerminationEnds employment relationship