Managers Are No Longer Bosses Managers must practice the art of getting things done through organizational resources (e.g., workers, financial resources, information, and equipment). At one time, managers were called bosses, and their job was to tell people what to do and watch over them to be sure they did it.

Managers Are No Longer Bosses Today, progressive management is changing.

Managers Are No Longer Bosses Today’s managers are being educated to guide, train, support, motivate and coach employees rather than to tell them what to do. Managers realize that workers often know much more about technology than they do. Thus, most modern managers emphasize teamwork and cooperation rather than discipline and order giving.

Managers Are No Longer Bosses Managers in same high-tech firms and in progressive firms of all kinds are more friendly and generally treat employees partners rather than unruly workers; many even dress more casually than before.

Managers Are No Longer Bosses In the past, a worker would expect to work for the same company for many years, maybe even a lifetime. Similarly, companies would hire good people and keep them for a long time.

Managers Are No Longer Bosses Today, many companies don't hesitate to layoff employees, and employees don't hesitate to leave if their needs are not being met. Long term contracts between management and employees-and the accompanying trust-are often no longer there.

Managers Are No Longer Bosses This makes the management task more difficult because managers must earn the trust of their employees, which includes rewarding them and finding other ways to encourage them to stay in the firm.

Managers Are No Longer Bosses In general, management is experiencing a revolution. Managers in the future are likely to be working in teams, to be evaluated by those below them as well as those above, and to be assuming completely new roles in the firm.

Managers Are No Longer Bosses What this means for you and other graduates of tomorrow is that management will demand a new kind of person: a skilled communicator and team player as well as a planner, coordinator, organizer, and supervisor.

MANAGEMENT ATTAINMENT OF ORGANIZATIONAL GOALS THROUGH OTHER PEOPLE, EFFECTIVELY AND EFFICIENTLY, BY PLANNING, ORGANIZING, LEADING AND CONTROLLING THE ORGANIZATIONAL RESOURCES Management is the process of accomplishing an organization’s goals by working with and through people, utilizing the resources available to it.

MANAGEMENT EMBODIES FOUR IMPORTANT IDEAS; A TASK TO BE DONE PEOPLE WHO DO THE WORK EFFECTIVELY(ACHIEVING THE ENDS) AND EFFICIENTLY(WITH LEAST AMOUNT OF RESOURCES) UTILIZING FOUR MANAGERIAL FUNCTIONS(PLANNING, ORGANIZING, LEADING, CONTROLLING)

Functions of Management Well-known management consultant Peter Drucker says managers give direction to their organizations, provide leadership, and decide how to use organizational resources to accomplish goals.

Functions of Management Managers must also efficiently use organizational resources such as buildings, equipment, and supplies. Managers look at the "big picture,“ and their decisions make a major difference in organizations. In addition to those tasks, managers today must deal with conflict resolution, create trust in an atmosphere where trust has been badly shaken, and help create balance between work lives and family lives.

Prof. Dr. Rana ÖZEN KUTANİS The Evolution of Management Thougt Classical Management Neo Classical Management Modern Management Post-Modern Management Taylor Fayol Weber Mayo Mc Gregor Likert Contingenc y Approach System Approach Theory Z TQM New Management Techniques Economic s Human Environmen t Knowledg e 15

MAJOR CLASSIFICATION OF MANAGEMENT APPROACHES CLASSICAL APPROACH SCIENTIFIC MANAGEMENT BUREAUCRATIC MANAGEMENT ADMINISTRATIV E MANAGEMENT NEOCLASSICA L (BEHAVIORAL) APPROACH HAWTHORNE STUDIES MASLOW’S NEED HIERARCHY THEORY X AND THEORY Y QUANTITATIVE APPROACH MANAGEMENT SCIENCE OPERATIONS MANAGEMENT MANAGEMENT INFORMATION SYSTEM MODERN APPROACH THE SYSTEMS THEORY CONTINGENCY THEORY EMERGING APPROACHES

Functions of Management Management is the process used to accomplish organizational goals through (1) planning, (2) organizing, (3) leading, (4) controlling people and other organizational resources.

Management Process (1) planning, (2) organizing, (3) coordinating, (4) execution, (5) controlling.

MANAGERIAL FUNCTIONS PLANNING * GOALS, PLANS, DECISION MAKING ORGANIZING *DIVISION OF WORK, CHAIN OF COMMAND, DEPARTMENTALIZATION LEADING *LEADERSHIP, MOTIVATION, COMMUNICATION CONTROLLING *MANAGEMENT CONTROL SYSTEMS, FINANCIAL CONTROL SYSTEMS

Functions of Management- planning Planning includes anticipating trends and determining the best strategies and tactics to achieve organizational goals and objectives. One of those objectives is to please customers.

Functions of Management- planning The trend today is to have planning teams to help monitor the environment, find business opportunities, and watch for challenges. Planning is a key management function because the other functions often depend on having a good plan.

Functions of Management- planning Planning includes: Setting organizational goals. Developing strategies to reach those goals. Determining resources needed. Setting standards.

PLANNING DETERMINING THE ORGANIZATION’S OBJECTIVES (GOALS) AND ITS WAYS AND MEANS(PLANS) TO ACCOMPLISH THEM GOALS STRATEGIC GOALS TACTICAL GOALS OPERATIONAL GOALS PLANS STRATEGIC PLANS TACTICAL PLANS OPERATIONAL PLANS

TYPES OF PLANS ACCORDING TO TIME PERIOD ACCORDING TO THEIR USE IN THE ORGANIZATION ACCORDING TO THEIR PLACE IN THE ORGANIZATIONAL HIERARCHY LONG RANGE PLANS(>5 YEARS) MEDIUM RANGE PLANS(1-5 YEARS) SHORT RANGE PLANS(<1 YEAR) STANDING PLANS (POLICY, PROCEDURE, RULE) SINGLE-USE PLANS (PROGRAM,PROJECT, BUDGET) STRATEGIC PLANS (TOP MANAGEMENT) TACTICAL PLANS (MIDDLE MANAGEMENT) OPERATIONAL PLANS (FIRST-LINE MANAGERS )

FORMS OF PLANNING

Strategic planning Strategic planning determines the major goals of the organization. It provides the foundation for the policies, procedures, and strategies for obtaining and using resources to achieve those goals. In this definition, policies are broad guides to action, and strategies determine the best way to use resources,

Strategic planning At the sttategic planning stage, the company decides which customers to serve, what products or services to sell, and the geographic areas in which the firm will compete. Every firm faces unique challenges that will influence what the strategic plans must be. Today, making strategic plan is diffucult because changes occuring so fast.

TACTICAL PLANING Tactical planning, for example, involves setting annual budgets and deciding on other details and activities necessary to meet the strategic objectives.

TACTICAL PLANING Tactical planning is the process of developing detailed, short-term statements about what is to be done, who is to do it, and how it is to be done. Tactical planning is normally done by managers or teams of managers at lower levels of the organization, whereas strategic planning is done by the top managers of the firm.

TACTICAL PLANING If the strategic plan, for example, is to sell more trucks in the South, the tactical plan might be to fund more research of southern truck drivers' wants and needs, and to plan advertising to reach those people.

OPERATIONAL PLANNING Operational planning is the process of setting work standards and schedules necessary to implement the tactical objectives. Whereas strategic planning looks at the organization as a whole, operational planning focuses on specific supervisors, department managers, and individual employees.

OPERATIONAL PLANNING The operational plan is the department manager's tool for daily and weekly operations. An operational plan may include, say, the specific dates for certain truck parts to be completed and the quality specifications those parts must meet.

CONTINGENCY PLANNING Contingency planning is the process of preparing alternative courses of action that may be used if the primary plans don't achieve the organization's objectives.

CONTINGENCY PLANNING The economic and competitive environments change so rapidly that it's wise to have alternative plans of action ready in anticipation of such changes. For example, if an organization doesn't meet its sales goals by a certain date, the contingency plan may call for more advertising or a cut in prices at that time

CONTINGENCY PLANNING Crisis planning is a part of contingency planning that involves reacting to sudden changes in the environment. For example, trucking and airline firms had to do same crisis planning when gas prices soared in 2000.

DECISION MAKING PROGRAMMED DECISIONS ARE UTILIZED IN SITUATION THAT OCCUR OFTEN ENOUGH UNPROGRAMMED DECISIONS ARE MADE UNIQUELY IN UNSTRUCTURED, POORLY DEFINED SITUATIONS

ORGANIZING PROCESS OF GROUPING AND STRUCTURING ACTIVITIES, ASSIGNING DUTIES, COORDINATING THE EFFORTS IN ATTAINMENT OF ORGANIZATIONAL GOALS FUNDAMENTALS OF ORGANIZING SPECIALIZATION /DIVISION OF WORK CHAIN OF COMMAND AUTHORITY DELEGATION SPAN OF CONTROL FORMALIZATION CENTRALIZATION / DECENTRALIZATION

Functions of Management- organizing Organizing includes designing the structure of the organization and creating conditions and systems in which everyone and everything work together to achieve the organization's goals and objectives. Many of today's organizations are being designed around the customer. The idea is to design the firm so that everyone is working to please the customer at a profit.

Functions of Management- organizing Organizing includes: ◦ Allocating resources, assigning tasks, and establishing procedures for accomplishing goals. ◦ Preparing a structure (organization chart) showing lines of authority and responsibility. ◦ Recruiting, selecting, training, and developing employees. ◦ Placing employees where they will be most effective.

FACTORS AFFECTING THE ORGANIZATION STRUCTURE GOALS AND STRATEGY ENVIRONMENT TECHNOLOGY DEPARTMENTAL INTERDEPENDENCE

TYPES OF DEPARTMENTALIZATION TRADITIONAL FUNCTIONALDEPARTMENTALIZATION DIVISIONAL DEPARTMENTALIZATION MODERN MATRIX STRUCTURE CONTEMPORARY TEAM-BASED STRUCTURES NETWORK STRUCTURES

Functions of Management-leading Leading means creating a vision for the organization and communicating, guiding, training, coaching, and motivating others to work effectively to achieve organization's goals and objectives. The trend is to empower employees, giving them as much freedom as possible to become self- directed and self -motivated.

Functions of Management-leading Leading includes: ◦ Giving assignments ◦ Explaining routines (everyday task) ◦ Clarifying policies ◦ Providing feedback on performance.

LEADING USE OF INFLUENCE TO DIRECT AND MOTIVATE THE EMPLOYEES TO ACCOMPLISH THE ORGANIZATIONAL GOALS KEY VARIABLES OF LEADERSHIP LEADER TASK / GOAL FOLLOWERS SITUATION

THEORIES OF LEADERSHIP TRAIT THEORY OF LEADERSHIP BEHAVIORAL(STYLES) THEORIES OF LEADERSHIP *AUTHORITARIAN-DEMOCRATIC BEHAVIOR IN A CONTINUUM *TWO-DIMENSIONAL LEADERSHIP BEHAVIOR CONTINGENCY THEORIES OF LEADERSHIP

Functions of Management- controlling Controlling involves establishing clear standards to determine whether an organization is progressing toward its goals and objectives, rewarding people for doing a good job, and taking corrective action if they are not.

Functions of Management- controlling Controlling includes: ◦ Measuring results against corporate objectives. ◦ Monitoring performance relative to standards. ◦ Rewarding outstanding performance. ◦ Taking corrective action

CONTROLLING TO MEASURE PERFORMANCES AGAINST STANDARTS AND TAKE CORRECTIVE ACTIONS IF NECESSARY FORMS IN CONTROLLING FEED FORWARD CONTROL CONCURRENT CONTROL FEEDBACK CONTROL

STEPS IN FEEDBACK CONTROL * ESTABLISH STANDARTS * MEASURE ACTUAL PERFORMANCES * COMPARE ACTUAL PERFORMANCES AGAINST STANDARTS * TAKE CORRECTIVE ACTION IF NECESSARY

CONTROLLING IN ORGANIZATIONS MANAGEMENT CONTROL SYSTEMS RETURN ON INVESTMENT(ROI), MARKET SHARE ANALYSIS, CUSTOMER RELATIONS, GROWTH, PROFIT ETC. OPERATIONAL CONTROL SYSTEMS BREAK-EVEN ANALYSIS, PERT FINANCIAL CONTROL SYSTEMS BUDGETS, FINANCIAL ANALYSIS (LIQUIDITY,LEVERAGE,PROFITABILITY,ACTIVITY RATIO ANALYSIS)

CONTROLLING SYSTEMS BUREAUCRATIC CONTROL SYSTEMS ( USE OF RULES, POLICIES, HIERARCHY OF AUTHORITY, WRITTEN DOCUMENTS, REWARD SYSTEMS) DECENTRALIZED CONTROL SYSTEMS (CONCURRENT CONTROL TECHNIQUES ARE USED TO SOLVE PROBLEMS AS THEY HAPPEN) NEW APPROACHES : CLAN CONTROL TOTAL QUALITY MANAGEMENT(TQM)