1. “Companies fail when they become complacent and imagine that they will always be successful. So we are always challenging ourselves. Even the most successful companies must constantly reinvent themselves.
--Bill Gates Chairman and Chief Software Architect Microsoft

2. The Importance of Business Management

3. The Business World Today
Constant change!
Technology
Society
Environment
Competition
Diversity

4. What is Management?
The process of deciding how best to use a business’s resources to produce goods or provide services
Employees
Equipment
Money

5. What is Management? Auto industry managers
Assembly line: schedule work shifts, supervise assembly of vehicles
Engineering: develop new product features, enforce safety standards
General: plan for the future
All organizations need managers!

6. Levels of Management Senior management
Establishes the goal/objectives of the business
Decides how to use the company’s resources
Not involved in the day-to-day problems
Set the direction the company will follow
Chairperson of the company’s board of directors, CEO, COO, senior vice presidents

7. Levels of Management Middle management
Responsible for meeting the goals that senior management sets
Sets goals for specific areas of the business
Matches employees with tasks to reach goals
Department heads, district sales managers

8. Levels of Management Supervisory management
Make sure the day-to-day operations of the business run smoothly
Responsible for the people who physically produce the company's products or services
Forepersons, crew leaders, store managers

9. The Management Pyramid

10. The Management Process
Three ways to examine how management works:
Tasks performed
Planning, organizing, staffing, leading, controlling
Roles played (set of behaviors associated with a particular job)
Interpersonal, information-based, decision-making
Skills needed
Conceptual, human relations, technical

11. The Management Process
Planning
Decides company goals and the actions to meet them
Strategize how to maximize revenue and control costs
CEO sets a goal of increasing sales by 10% in the next year by developing a new software program

12. The Management Process
Organizing
Groups related activities together and assigns employees to perform them
A manager sets up a team of employees to restock an aisle in a supermarket

13. The Management Process
Staffing
Decides how many and what kind of people a business needs to meet its goals and then recruits, selects, and trains the right people
A restaurant manager interviews and trains servers
Typical day= total man hours/8 hour day=manpower
No overtime

14. The Management Process
Leading
Provides guidance employees need to perform their tasks
Keeping the lines of communication open
Holding regular staff meetings

15. The Management Process
Controlling
Measures how the business performs to ensure that financial goals are being met
Analyzing accounting records
Make changes if financial standards not being met
Establish a base for measurement, take action when that is not met

16. Relative Amount of Emphasis Placed on Each Function of Management

17. Management Roles Managers have authority within organizations
Managers take on different roles to best use their authority
Interpersonal roles
Information-related roles
Decision-making roles

18. Management Roles Interpersonal roles
A manager’s relationships with people
Providing leadership with the company
Interacting with others outside the organization
Senior managers spend much of their time on interpersonal roles
Represent the company in its relations with people outside the company, interacting with those people, and providing guidance and leadership to the organization
Determine a company’s culture
Sears, Roebuck and Co.

19. Management Roles Information-related roles Decision-making roles
Provide knowledge, news or advice to employees
Holding meetings
Finding ways of letting employees know about important business activities
Decision-making roles
Makes changes in policies, resolves conflicts, decides how to best use resources
Middle and supervisory managers spend more time resolving conflicts than senior managers

20. Management Skills Conceptual skills
Skills that help managers understand how different parts of a business relate to one another and to the business as a whole
Decision making, planning, and organizing

21. Management Skills Human relations skills
Skills managers need to understand and work well with people
Interviewing job applicants, forming partnerships with other businesses, resolving conflicts

22. Management Skills Technical skills
The specific abilities that people use to perform their jobs
Operating a word processing program, designing a brochure, training people to use a new budgeting system

23. Management Skills
All levels of management require a combination of conceptual, human relations, and technical skills
Conceptual skills most important at senior management level
Technical skills most important at lower levels
Human relations skills important at all levels

24. Principles of Management
A principle is a basic truth or law
Managers often use certain rules when deciding how to run their business
Most management principles are developed through observation and deduction

25. Principles of Management
Deduction is the process of drawing a general conclusion from specific examples
Observe that employees in 15 companies work more efficiently when their supervisors threaten them
Deduce/conclude that a pleasant work environment contributes to productivity

26. Women and Minorities in Management
In the last three decades, an increased number of women and minorities have joined the workforce
They’ve attained positions as managers in companies of all sizes
Women and minorities now serve as the CEOs of prestigious businesses

27. Women and Minorities in Management
White men still hold most senior management positions
Glass ceiling: the invisible barrier that prevents women and minorities from moving up in the world of business
Steadily becoming a window of opportunity!

28. Women and Minorities in Management
Workers and managers must be sensitive to challenges presented by a multicultural workplace
Religious holidays that are celebrated at different times throughout the year by Muslims, Christians, Jews and other religious groups