1. Management, 7e Schermerhorn
Prepared by
Michael K. McCuddy
Valparaiso University
John Wiley & Sons, Inc

2. Overview of the New Economy
Competitive global economy has created opportunities as well as uncertainties.
Companies with a future are:
Committed to people
Have high performance expectations
Provide supportive environments.
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3. Challenges of working in the new economy
Intellectual capital …
People are the foundation of organizational performance.
Intellectual capital is the collective brainpower of a workforce and can create value.
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4. What are the challenges of working in the new economy?
Globalization …
Boundaries of the world are disappearing.
Globalization: worldwide interdependence of resource flows, markets, and business competition
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5. Challenges of working in the new economy
Technology:
Driving demand for knowledge workers to utilize technology
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6. Challenges of working in the new economy
Diversity …
Changing demographics making workforce increasingly diverse.
Diverse workforce challenges and offers opportunities to employers.
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7. Challenges of working in the new economy
Diversity bias can occur in the workplace through:
Prejudice
Discrimination
Glass ceiling effect
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8. Challenges of working in the new economy
Ethical expectations for businesses:
Protection of:
Natural environment.
Consumers through product safety and fair practices.
Human rights, including employment policies and practices.
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9. Challenges of working in the new economy
Workplace pressures involving ethics toward human capital:
Equal employment opportunity
Equity in compensation and benefits
Privacy and due process
Freedom from sexual harassment
Job security
Occupational health and safety
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10. What are the challenges of working in the new economy?
Careers …
Core workers, contract workers, and part-time workers.
Ensure your skills are portable and of current value.
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11. What are organizations like in the new workplace?
Critical skills for success in the new workplace …
Mastery
Contacts
Entrepreneurship
Comfortable with technology
Marketing
Passion for renewal
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12. What are organizations like in the new workplace?
Collection of people working together to achieve a common purpose.
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13. What are organizations like in the new workplace?
Organizations as systems
Composed of interrelated parts that function together to achieve a common purpose.
Organizations:
Interact with their environments.
Transform resource inputs into product outputs (goods and services).
Get feedback from the environment (how well it is meeting needs of customers and society (RIM, BP)
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14. What are organizations like in the new workplace?
Organizational performance
“Value-added” - important for organizations.
Occurs when an organization adds value to the original cost of resource inputs.
Leads to profit
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15. What are organizations like in the new workplace?
Organizational performance
Productivity
Measure of quantity and quality of work performance with resource utilization taken into account.
Performance effectiveness
Measure of task output or goal accomplishment.
Performance efficiency
Measure of resource costs associated with goal accomplishment.
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16. Who are managers and what do they do?
Importance of human resources and managers …
High performing organizations treat people as strategic assets.
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17. Who are managers and what do they do?
Manager - directly supports and helps activate the work efforts and performance of others.
The people who managers help do the real work.
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18. Who are managers and what do they do?
Levels of management
Top managers—responsible for performance of an organization as a whole or a large division.
Middle managers—report to top managers while being in charge of large departments or divisions.
Team leaders / supervisors—in charge of small work group of non-managerial workers.
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19. Who are managers and what do they do?
Managerial performance and accountability
Managers set conditions through which individuals and groups contribute to achieving organizational goals.
Accountability - requirement of one person to answer to another and show results achieved
Effective managers fulfill performance accountability while helping others to achieve high performance outcomes and experience satisfaction in their work.
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20. Who are managers and what do they do?
Quality of work life (QWL)
Indicator of overall quality of human experiences at work.
QWL indicators:
Fair pay
Safe working conditions
Opportunities to learn and use new skills
Room to grow and progress in a career
Protection of individual rights
Pride in work itself and in the organization
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21. Who are managers and what do they do?
High performing managers …
Build working relationships with others.
Help others develop their skills.
Foster teamwork.
Create a work environment that is performance-driven and provides satisfaction for workers.
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22. What is the management process?
Management is the process of planning, organizing, leading, and controlling the use of resources to accomplish performance goals.
All managers are responsible for the four functions.
The functions are carried on continually.
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23. What is the management process?
Functions of management …
Planning
The process of setting objectives and determining what actions should be taken to accomplish them.
Organizing
The process of assigning tasks, allocating resources, and arranging the coordinated activities of individuals and groups to implement plans.
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24. What is the management process?
Functions of management …
Leading
The process of encouraging people to work hard and direct their efforts to fulfill plans and accomplish objectives.
Controlling
The process of measuring work performance, comparing results to objectives, and taking corrective action as needed.
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25. What is the management process?
Managerial activities and roles …
Informational roles
Involve giving, receiving, and analyzing of information.
Interpersonal roles
Involve interactions with persons inside and outside the work unit.
Decisional roles
Involve using information to make decisions in order to solve problems or address opportunities.
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26. What is the management process?
Characteristics of managerial work …
Managers work long hours.
Managers work at an intense pace.
Managers work at fragmented and varied tasks.
Managers work with many communication media.
Managers work largely through interpersonal relationships.
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27. What is the management process?
Managerial agendas and networks …
Agenda setting
Development of action priorities for their jobs.
Include goals and plans that span long and short time frames.
Networking
Process of building and maintaining positive relationships with people whose help may be needed to implement one’s work agendas.
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28. How do you learn the essential managerial skills and competencies?
Skill—the ability to translate knowledge into action that results in desired performance.
Technical skill—the ability to apply a special proficiency or expertise to perform particular tasks.
Human skill—the ability to work well in cooperation with others.
Conceptual skill—the ability to think critically and analytically to solve complex problems.
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29. How do you learn the essential managerial skills and competencies?
Managerial competency …
A skill-based capability that contributes to high performance in a management job.
Managerial competencies are implicit in:
Planning, organizing, leading, and controlling.
Informational, interpersonal, and decisional roles.
Agenda setting and networking.
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30. How do you learn the essential managerial skills and competencies?
Competencies for managerial success:
Communication
Teamwork
Self-management
Leadership
Critical thinking
Professionalism
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