1. part Chapter © 2009 The McGraw-Hill Companies, Inc. All rights reserved. 1 McGraw-Hill Management Function and Styles 1 Chapter 6

2. © 2009 The McGraw-Hill Companies, Inc. All rights reserved. 2 McGraw-Hill 1.Define management. 2.Explain the four functions of management. 3.Understand the use of three tools: SMART, SWOT, and PEST analysis. 4.Understand the basics of organizational structure. 5.Describe various management styles and know when they are appropriate. 6.Explain the challenges for management in the new century. Learning Objectives

3. © 2009 The McGraw-Hill Companies, Inc. All rights reserved. 3 McGraw-Hill Definition Appointed position Functions of Management Plan Organize Lead Control What is Management?

4. © 2009 The McGraw-Hill Companies, Inc. All rights reserved. 4 McGraw-Hill Vision Mission Statement Writing a Mission Statement Address specific components Involve all members Goals and objectives –SMART objectives Planning

5. © 2009 The McGraw-Hill Companies, Inc. All rights reserved. 5 McGraw-Hill SWOT and PEST S.W.O.T. Analysis (strengths, weaknesses, opportunities, and threats) –Develop better goals Micro- versus macro-environment P.E.S.T. Analysis (political, economic, social, and technological) Forms of Planning –Strategic, Tactical, Operational, and Contingency Planning

6. © 2009 The McGraw-Hill Companies, Inc. All rights reserved. 6 McGraw-Hill Organization chart Span of control Levels of management –Top management –Middle management –Supervisory/First-line management Organizing

7. © 2009 The McGraw-Hill Companies, Inc. All rights reserved. 7 McGraw-Hill Organizing Tasks and Skills at Different Management Levels Categories of skills –Technical, Human, and Conceptual Organizational structure –Line-and-staff –Matrix Departmentalization –Functional, Product, Customer, Geographic, Process, Hybrid Staffing

8. © 2009 The McGraw-Hill Companies, Inc. All rights reserved. 8 McGraw-Hill Leading The four keys to leadership: 1.Communicate a vision and rally others around that vision. 2.Establish company values. 3.Promote corporate ethics. 4.Embrace change.

9. © 2009 The McGraw-Hill Companies, Inc. All rights reserved. 9 McGraw-Hill Controlling Five steps of controlling: 1.Establishing clear performance standards. 2.Monitoring and recording actual performance. 3.Comparing results against plans and standards. 4.Communicating results and deviations to the employees involved. 5.Taking corrective action when needed and providing positive feedback.

10. © 2009 The McGraw-Hill Companies, Inc. All rights reserved. 10 McGraw-Hill Tasks vary greatly with the type of industry Managers establish the ethical framework Work-life balance Total Quality Management (TQM) What Else do Managers do?

11. © 2009 The McGraw-Hill Companies, Inc. All rights reserved. 11 McGraw-Hill Management Styles Autocratic leadership –Works best with sports teams Participative leadership –High employee job satisfaction Free-rein Leadership –Used when job is well known

12. © 2009 The McGraw-Hill Companies, Inc. All rights reserved. 12 McGraw-Hill Management Styles Theory X – McGregor Average person dislikes and will avoid work Manager is highly involved and closely watches people Theory Y – McGregor Most people like work and are committed More relaxed managerial atmosphere Theory Z – Ouchi Combines Japanese and American styles Focus on trust and intimacy within the group

13. © 2009 The McGraw-Hill Companies, Inc. All rights reserved. 13 McGraw-Hill Management Challenges Unique challenges Constant change Global marketplace Acceleration of technological change Increased diversity Downsizing or Rightsizing