Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Management Is… 1 Effectiveness Efficiency Getting work done through others 1 1
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Efficiency and Effectiveness Efficiency – Getting work done with a minimum of effort, expense, or waste – Doings things right—most output for least input Effectiveness – Accomplishing tasks that help fulfill organizational objectives – Doing the right things 2
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Management Functions 3 Planning Organizing Leading Controlling Planning Organizing Leading Controlling Management Functions 2 2
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Planning Planning Determining organizational goals and a means for achieving them
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved What Really Works: Meta-Analysis 5 General Mental Ability 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% probability of success76% This statistic shows that an employee hired on the basis of a good score on a general mental ability test stands a 76 percent chance of being a better performer than someone picked at random from the pool of all job applicants. Meta-Analysis is a study of studies that shows what works and when.
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Organizing Deciding where decisions will be made Who will do what jobs and tasks Who will work for whom 6 2.2
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Leading 7 Motivating Inspiring LeadingLeading 2.3 For Anne Mulcahy, CEO of Xerox, the key to successful leadership is communicating with the company’s most important constituents: employees and customers.
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Controlling Controlling Monitoring progress toward goal achievement and taking corrective action when needed
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved The Control Process Set standards to achieve goals Compare actual performance to standards Make changes to return performance to standards
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Kinds of Managers Top Managers Middle Managers First-Line Managers Team Leaders
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Top Managers Chief Executive Officer (CEO) Chief Operating Officer (COO) Chief Financial Officer (CFO) Chief Information Officer (CIO)
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Responsibilities of Top Managers 12 Creating a context for change Developing commitment and ownership in employees Creating a positive organizational culture through language and action Monitoring their business environments 3.1
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Middle Managers Plant Manager Regional Manager Divisional Manager
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Responsibilities of Middle Managers Coordinate and link groups, departments, and divisions Monitor and manage the performance of subunits and managers who report to them Implement changes or strategies generated by top managers Plan and allocate resources to meet objectives
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved First-Line Managers Office Manager Shift Supervisor Department Manager
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Responsibilities of First-Line Managers Manage the performance of entry-level employees Encourage, monitor, and reward the performance of workers Teach entry-level employees how to do their jobs Make detailed schedules and operating plans
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Responsibilities of Team Leaders 17 Facilitate team performance Facilitate internal team relationships 3.4 Manage external relations
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Managerial Roles 18 H. Mintzberg, “The Manager’s Job: Folklore and Fact:.” Harvard Business Review, July-August Adapted from Exhibit InterpersonalInformationalDecisional Figurehead Leader Liaison Monitor Disseminator Spokesperson Entrepreneur Disturbance Handler Resource Allocator Negotiator
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Managerial Roles 19 Figurehead Leader Liaison Figurehead Leader Liaison Managers perform ceremonial duties Managers motivate and encourage workers to accomplish objectives Managers deal with people outside their units Managers perform ceremonial duties Managers motivate and encourage workers to accomplish objectives Managers deal with people outside their units 4.1 Interpersonal Roles
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Managerial Roles Monitor Disseminator Spokesperson Monitor Disseminator Spokesperson Managers scan their environment for information Managers share information with others in their company Managers share information with others outside their departments or companies Managers scan their environment for information Managers share information with others in their company Managers share information with others outside their departments or companies Informational Roles
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Managerial Roles 21 Entrepreneur Disturbance Handler Resource Allocator Negotiator Entrepreneur Disturbance Handler Resource Allocator Negotiator 4.3 Managers adapt to incremental change Managers respond to problems that demand immediate action Managers decide who gets what resources Managers negotiate schedules, projects, goals, outcomes, resources, and raises Managers adapt to incremental change Managers respond to problems that demand immediate action Managers decide who gets what resources Managers negotiate schedules, projects, goals, outcomes, resources, and raises Decisional Roles
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved What Companies Look for in Managers 22 Technical Skills Human Skills Conceptual Skills Conceptual Skills Motivation to Manage 5 5
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Managers’ Skills Skills Approach – Technical skills Knowledge and proficiency in a specific field – Human skills The ability to work well with other people – Conceptual skills The ability to think and conceptualize about abstract and complex situations concerning the organization 23
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved What Companies Look for in Managers Skills are more or less important at different levels of management:
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Mistakes Managers Make 25 Adapted from Exhibit 1.6 McCall & Lombardo, “What Makes a Top Executive?” Psychology Today, Feb Insensitive to others 2. Cold, aloof, arrogant 3. Betrayal of trust 4. Overly ambitious 5. Specific performance problems with the business 6. Overmanaging: unable to delegate or build a team 7. Unable to staff effectively 8. Unable to think strategically 9. Unable to adapt to boss with different style 10. Overdependent on advocate or mentor 6 6
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved The First Year Management Transition 26 Be the boss Formal authority Manage tasks Job is not managing people Be the boss Formal authority Manage tasks Job is not managing people Initial expecta- tions were wrong Fast pace Heavy workload Job is to be problem-solver and troubleshooter Initial expecta- tions were wrong Fast pace Heavy workload Job is to be problem-solver and troubleshooter No longer “doer” Communication, listening, positive reinforcement Learning to adapt and control stress Job is people development No longer “doer” Communication, listening, positive reinforcement Learning to adapt and control stress Job is people development Managers’ Initial Expectations After Six Months As a Manager After a Year As a Manager Adapted from Exhibit
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Competitive Advantage through People 27 Management Practices in Top Performing Companies Adapted from Exhibit Employment Security 2. Selective Hiring 3. Self-Managed Teams and Decentralization 4. High Wages Contingent on Organizational Performance 5. Training and Skill Development 6. Reduction of Status Differences 7. Sharing Information 8 8
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Competitive Advantage through People 28 Competitive Advantages of Well-Managed Companies Sales Revenues Profits Stock Market Returns Stock Market Returns Customer Satisfaction Web Link
Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved How The Manager’s Job Is Changing The Increasing Importance of Customers – Customers: the reason that organizations exist Managing customer relationships is the responsibility of all managers and employees. Consistent high quality customer service is essential for survival. Innovation – Doing things differently, exploring new territory, and taking risks Managers should encourage employees to be aware of and act on opportunities for innovation. 29