What is management? HW check – vocabulary p 13 Case study: Hand in your recommendations for different positions.

Management: Top / senior /upper management Middle management Lower management

Top management a) accountable to the ______ of directors (app______, superv____, adv_____, _____ssed by them) b) responsibilities 1 - consider the needs of the future, innovate = change/___________ management 2 - manage relations with stakeholders 3 - deal with major crises = c_____ management

Top management a) accountable to the board of directors (appointed, supervised, advised, dismissed by them) b) responsibilities 1 - consider the needs of the future, innovate = change/ innovation management 2 - manage relations with stakeholders 3 - deal with major crises = crisis management

People involved in corporate structure shareholders Management (What is management?) workforce

Management: Top / senior /upper management (Top Management exercise) Middle management Lower management

Workforce: employees /staff / personnel / human resources / labour senior staffvs.junior staff higher-positioned vs. lower-positioned superiorsvs.subordinates Mary is Kate’s superior. Kate is Mary’s subordinate.

Managers p___, organize, i________, measure & d_______ (P. Drucker, 1977)

Managers plan, organize, integrate, measure & develop (P. Drucker, 1977) Organize: -assign RESPONSIBILITIES & AUTHORITY - delegate RESPONSIBILITIES - ORGANIZATIONAL UNITS → MK, p 22, Vocabulary

Read Company structure (MK, p 22-23) and match ideas to paragraphs –Contemporary businesses are too complex for hierarchies –Disbanded as soon as project is finished –4 factors leading to flat hierarchies –Departments clash as they have different objectives –Direct communication among departments –Knowing who your superior is –Middle management replaced by IT systems → Comprehension → Vocabulary

HW: Summarize the text in note form! (MK 22-23) If you like, use the following headings: Hierarchical structure (don’t forget to define it) advantagesdisadvantages Functional structure (don’t forget to define it) advantages disadvantages Flattening hierarchies 4 reasons: Matrix management Teams

Vocabulary focus: DIVISION OF RESPONSIBLITIES What are you responsible for? What are you in charge of? What are your responsibilities?

CHAIN OF COMMAND AND LINE AUTHORITY Useful vocabulary: superiors & subordinates In how many ways can you ask: Who is your superior? = Who do you r_ _ _ _ _ to? Who are you res _ _ _ _ _ ble to? Who are you acc _ _ _ _ _ ble to? Who are you s _ _ _ _ _ _ _ _ _ _ to? Who do you r _ _ _ _ _ _ instructions from?

CHAIN OF COMMAND AND LINE AUTHORITY Useful vocabulary: superiors & subordinates In how many ways can you ask: Who is your superior? = Who do you report to? Who are you responsible to? Who are you accountable to? Who are you subordinated to? Who do you receive instructions from?

Who can appoint you? promote remove dismiss AND IF YOU ARE THE SUPERIOR... Who reports to you? Who is accountable to you? Who do you give instructions to?

DELEGATION Are responsibilities delegated? Centralised decision-making vs. Decentralised decision-making

ORGANIZATIONAL UNITS The companyconsists of… is composed of… is divided into… is made up of… contains... includes … …departments (function-based: production dept.),... divisions (product/market-based: Food division, Asian division),... sectors, sections, business units, arms…

COMPANY DEPARTMENTS PRODUCTION CUSTOMER SERVICE ADVERTISING LEGAL ACCOUNTS PERSONNEL (HR) MARKETING FINANCE PUBLIC RELATIONS (PR) RESEARCH & DEVELOPMENT (R&D) MAINTENANCE DISTRIBUTION QUALITY CONTROL INFORMATION TECHNOLOGY (IT) etc. …deals with …is in charge of …is responsible for

WHICH COMPANY DEPARTMENT IS IN CHARGE OF…? money paid, received, borrowed, or owed promoting, selling and distributing products or services of its company discovering new knowledge about products, to create new and improved products recruiting new staff & administrative aspects of the employees legal advice to other departments in the company actual construction and preparation of products → Reader, p 38

Would you rather work in a big or in a small company? Why? → MK p 25

HW Don’t forget to summarize the text on company structures RB, p 38