©2007 Prentice Hall 12-1 Management Functions and Skills Chapter 12

Chapter 12 Objectives After studying this chapter, you will be able to: Define the four basic management functions Outline the strategic planning process Explain the purpose of a mission statement Discuss the benefits of SWOT analysis Explain the importance of setting long-term goals and objectives ©2007 Prentice Hall 12-2

Chapter 12 Objectives, cont. Cite three common leadership styles and explain why no one style is best Identify and explain four important types of managerial skills Summarize the six steps involved in the decision-making process ©2007 Prentice Hall 12-3

Managerial Functions ©2007 Prentice Hall 12-4 Planning Controlling Organizing Leading

Managerial Roles ©2007 Prentice Hall 12-5 Interpersonal Informational Decisional

Planning ©2007 Prentice Hall 12-6 Develop Strategies For Success Develop Strategies For Success Set Goals and Objectives Set Goals and Objectives Develop Action Plans Develop Action Plans

Strategic Plans ©2007 Prentice Hall 12-7 Market Standing Innovation Human Resources Financial Resources Physical Resources Productivity Social Responsibility Financial Performance

Strategic Planning Process ©2007 Prentice Hall Goals and Objectives 4. Competitive Analysis 1. Clarity of Vision 3. Forecasting 2. Mission Statement 6. Action Plans

Develop a Clear Vision ©2007 Prentice Hall 12-9 Development Execution Modification Communication

Vision to Mission Statement ©2007 Prentice Hall ObjectivesGoalsPhilosophies Product or Service Primary Market Survival, Growth, Profitability Managerial Philosophy Level of Quality Social Responsibility

SWOT ©2007 Prentice Hall StrengthsWeaknesses OpportunitiesThreats

Forecasts ©2007 Prentice Hall QualitativeForecastingQualitativeForecastingQuantitativeForecastingQuantitativeForecasting StatisticalComputationsStatisticalComputationsIntuitiveJudgmentsIntuitiveJudgmentsConsumerResearchConsumerResearchHistoricalDataHistoricalData

Competitive Analysis ©2007 Prentice Hall Differentiation Cost Leadership Focus

Company Goals / Objectives ©2007 Prentice Hall Sets Standards Boosts Motivation Guides Activity Clarifies Expectations Broad, Long-Range Target or Aim Broad, Long-Range Target or Aim Goals ObjectivesObjectives Specific, Short-Range Target or Aim Specific, Short-Range Target or Aim

Action Plans ©2007 Prentice Hall Tactical Operational

Crisis Planning ©2007 Prentice Hall Contingency Plans Open Communication Corporate Power Struggles Environmental Accidents Operational Breakdowns Product Failures

Organizing ©2007 Prentice Hall Employee Activities Facilities and Equipment Decision Making Supervision Resource Distribution

The Management Pyramid ©2007 Prentice Hall First-line Managers Middle Managers TopManagers

Leading ©2007 Prentice Hall Influencing Motivating Obtaining Corporate Goals Obtaining Corporate Goals

Are You a Leader? Can you listen? Can you communicate? Can you lead by example? Are you dedicated to the organization’s success above your own? Do you know what makes other people tick? Do you manage yourself well? ©2007 Prentice Hall 12-20

Are You a Leader? Are you willing to accept responsibility? Can you face reality? Can you solve problems but stay focused on opportunities? Are you willing to trust your employees? ©2007 Prentice Hall 12-21

©2007 Prentice Hall Leadership Skills Emotional Quotient (EQ) Self-Awareness Self-Regulation Motivation Empathy Social Skills

Leadership Styles ©2007 Prentice Hall Autocratic Contingency Democratic Laissez-faire

Types of Leaders ©2007 Prentice Hall TransactionalTransformational Meeting Established Goals Clarifying Organizational Roles Securing Correct Resources Inspiring Employees Finding Creative Solutions Promoting Success

Leadership Functions ©2007 Prentice Hall CoachingMentoring Meeting with employees Meeting with employees Discussing problems Discussing problems Offering suggestions Offering suggestions Encouraging solutions Encouraging solutions Guiding employees Guiding employees Explaining office politics Explaining office politics Serving as role models Serving as role models Providing valuable advice Providing valuable advice

Managing Change ©2007 Prentice Hall Present Situation Process of Change New Situation Identify What Needs to Change Identify Forces For and Against Change Select the Best Approach Reinforce and Monitor Behavior

Organizational Culture ©2007 Prentice Hall EmployeeInteractionsEmployeeInteractionsCommunicationPatternsCommunicationPatternsBusinessConductBusinessConduct Attitudes About Work Attitudes AppropriateAttireAppropriateAttire

The Controlling Function ©2007 Prentice Hall Monitoring Progress Resetting The Course Correcting Deviations

The Control Cycle ©2007 Prentice Hall Set Strategic Goals Goals 4. Adequate No Action 4. Adequate No Action 3. Compare To Standard 3. Compare To Standard 4. Inadequate Take Action 4. Inadequate Take Action 1. Set Standards Standards 2. Measure Performance Performance ReevaluateStandardsReevaluateStandardsCorrectPerformanceCorrectPerformance

TQM ©2007 Prentice Hall Employee Involvement Benchmarking Customer Focus Continuous Improvement

©2007 Prentice Hall ManagementSkills The Five Basics Interpersonal Technical Administrative Conceptual Decision-Making