1. 140 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Florida Gulf Coast University Contemporary Management Concepts Fall - 2003 Tuesday, Thursday 12:30 - 1:30 pm Reed Hall - Room 249 Dr. Jerry Schoenfeld

2. Pamela S. Lewis Stephen H. Goodman Patricia M. Fandt Slides Prepared by Zulema Seguel © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. CHAPTER 1 Management and Managers: Yesterday, Today and Tomorrow

3. 340 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Learning Objectives slide 1 of 2 1.Describe the terms management and leadership, as well as the relationship between the two concepts. 2.Define the concept of management within an organizational context and as a process. 3.Identify the roles played by managers. 4.Discuss the scope of responsibilities of functional and general managers. 5.Describe the three levels of managers in terms of the skills they need and the activities in which they are involved.

4. 440 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Learning Objectives slide 2 of 2 6.Describe the underlying forces of the new economy. 7.Describe the environmental trends that are affecting the way organizations operate and the way managers do their jobs. 8.Identify and discuss the organizational changes that are affecting managers’ jobs. 9.Describe the manager of tomorrow in terms of the managerial style, leadership capabilities, and skills sets that will be necessary for success.

5. 540 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. The art of getting things done through people. Management: The Classic Definition – – Mary Parker Follet

6. 640 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. The process of administering and coordinating resources effectively, efficiently, and in an effort to achieve the goals of the organization. Management: A Broader Definition

7. 740 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Effectiveness vs. Efficiency Effectiveness –Effectiveness is achieved when the organization pursues appropriate goals. This means “doing the right thing.” Efficiency –Efficiency is achieved by using the fewest inputs (e.g., people and money) to generate a given output. This means “doing things right.” The end result of effective and efficient management is organizational success.

8. 840 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Management Theory It is critical for managers to be able to lead people through the fast pace of change Leadership is about: –Coping with complexity and, more importantly, –Coping with change As change becomes more dynamic and rapid – so managers at all levels must hone their leadership skills. Therefore, leaders are managers… and managers are leaders.

9. 940 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. What Is An Organization? An organization is a group of individuals who work together toward common goals.

10. 1040 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. What Do All Organizations Have in Common? They are made up of people, and The efforts of these people must be coordinated if the organization is to accomplish its goals.

11. 1140 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. The Four Functions of Management slide 1 of 4

12. 1240 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Planning And Organizing Planning –Setting goals and defining the actions necessary to achieve those goals. Organizing –The process of determining the tasks to be done, who will do them, and how those tasks will be managed and coordinated.

13. 1340 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Leading The capacity to lead the members of work groups toward the accomplishment of organizational goals. Requires a number of skill sets including: –Understanding individual/group behavior dynamics –The ability to motivate employees –Be effective communicators –Able to envision future and share that vision –3C’s Leadership Model

14. 1440 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Controlling Monitoring the performance of the organization and the progress in implementing strategic and operational plans. Identifying deviations between planned and actual results. Taking corrective action Ensuring that the organization is moving toward the achievement of its goals.

15. 1540 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Managers Managers are the people who plan, organize, lead, and control the activities of the organization so that its goals can be achieved.

16. 1640 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Interpersonal Roles –The manager’s responsibility for managing relationships with organizational members and other constituents: Figurehead Leader Liaison Mintzberg’s Managerial Roles slide 1 of 3

17. 1740 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Informational Roles –The manager’s responsibility for gathering and disseminating information to the stakeholders of the organization: Monitor Disseminator Spokesperson Mintzberg’s Managerial Roles slide 2 of 3

18. 1840 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Decisional Roles –The manager’s responsibility for processing information and reaching conclusions: Entrepreneur Disturbance handler Resource allocator Negotiator Mintzberg’s Managerial Roles slide 3 of 3

19. 1940 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Scope of Responsibility Functional Managers –Managers who are responsible for managing a work unit that is grouped based on the function served. General Managers –Managers who are responsible for managing several different departments that are responsible for different tasks.

20. 2040 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Chief Executive General Parts Inc. Plant Manager Service Manager Account Manager Payroll Manager A functional manager is a manager responsible for a work group segmented by function. VP of Production VP of Finance Functional Manager

21. 2140 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. General Manager Supermarket, Inc. Produce Manager Bakery Manager Grocery Manager General Manager A general manager is a manager responsible for several different work groups segmented by task.

22. 2240 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Top-level Managers Middle Managers First-line Managers Operational Employees Levels of Management

23. 2340 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Management Skills Technical Skills –The ability to utilize the knowledge of tools, techniques, and procedures that are specific to a particular field. Human Skills –The ability to work effectively with one’s own work group as well as others within the organization. Conceptual Skills –The ability to process a tremendous amount of information about the internal/external environment of the organization and determine implications of that information.

24. 2440 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Skills Needed at Different Levels of Management Technical First-line Management Human Conceptual Technical Middle Management Human Conceptual Technical Top-Level Management Human Conceptual

25. 2540 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Environmental Trends Advances in information technology Globalization of the marketplace Increasing predominance of entrepreneurial firms The growing importance of intellectual capital

26. 2640 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Hyperchange A condition of rapid, dramatic, complex, and unpredictable changes that has a significant effect on the ways in which organizations are managed.

27. 2740 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Advances in Information Technology Today, there are three central themes of change in information technology. –The Internet and other forms of globally connected networks –Electronic commerce –Mobile computing

28. 2840 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Globalization of the Marketplace Most organizations today are involved, in some way, in the international business environment Even the smallest business can reach a global marketplace with relative ease The international business arena holds unique managerial challenges in terms of complexity and a broader set of environmental forces.

29. 2940 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Increasing Predominance of Entrepreneurial Firms Entrepreneurial firms are responsible for a disproportionate number of new products, services, and process. Entrepreneurial activities place pressure on large, bureaucratic firms to be made innovative and proactive. Entrepreneurship provides opportunities for minorities and others who may face barriers in traditional corporate environments.

30. 3040 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. The Growing Importance of Intellectual Capital Intellectual capital encompasses the sum and synergy of an organization’s knowledge, experience, relationships, processes, discoveries, innovations, market presence and community influence. The three major categories of intellectual capital are: –Structural Capital –Customer Capital –Human Capital

31. 3140 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Organizational Changes A new model of leadership From hierarchy to collaborative work relationships Increasing diversity in the workplace A new organizational model

32. 3240 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Increasing Diversity in the Workplace Diversity is the heterogeneity of the population and work force. The challenge of diversity for today’s business and managers –Organizational success requires a strong organizational culture and group cohesiveness –Achieving this may be more difficult when the workplace includes people with different backgrounds, from different nations, or with different cultural frames of reference.

33. 3340 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. From Hierarchy to Collaborative Work Relationships Cross-functional Teams –Teams comprised of individuals from different functional areas of the organization Self Managed Teams –Groups of employees who work together toward the development of strategy for their work unit and the achievement of established goals and objectives.

34. 3440 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. A New Model of Leadership The 3C’s Model of Leadership

35. 3540 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. The 3C’s Model of Leadership Competence –Refers to having the requisite business acumen and skills to be effective as a leader. Character –Refers to the leadership values and behaviors that elicit trust, commitment and followership. Community –Refers to the need to be aware of things beyond oneself and even beyond one’s team and organization.

36. 3640 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. The New Manager/Leader Profile Managers will no longer think of themselves as “the boss,” but will view themselves as sponsors, team leaders, or internal consultants. Today’s leaders can no longer wield control from the top of the pyramid; nor can they control the action from the sidelines. Leaders must empower individual employees to do whatever is necessary to achieve goals… and make sure that employees have the resources to get the job done.

37. 3740 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Competencies of Tomorrow’s Managers The great communicator The individual coach The team player The technology master The problem solver The foreign ambassador The change agent The lifelong learner

38. 3840 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Implications for Future Leaders slide 1 of 2 Keep abreast of changing conditions that affect the organization. Develop and understanding of the major environmental trends that are affecting organizations across the globe. Be flexible and adaptable to organizational changes, as well as proactive in initiating change when appropriate. Understand the changing role of the manager within the corporate structure.

39. 3940 © Copyright ©2004 by South-Western, a division of Thomson Learning. All rights reserved. Implications for Future Leaders slide 2 of 2 Make the most of your education and develop the skills and competencies necessary for managerial success. Focus on excellence and quality in everything you do. Take every opportunity to enhance your leadership skills.