1. Introduction to Management
The Importance of Business Management
Entrepreneurship

2. Bellringer: write a sentence for each term (10 minutes)
Management
Senior management
Middle management
Supervisory management
Role
Conceptual skills
Human relations skills
Technical skills
Principle
Glass ceiling

3. Bellringer (5 minutes)
Write a paragraph explaining how a police officer who directs traffic may be like a manager.

4. Homework
Complete the Student Assessment Packet by the end of Chapter 1. (75 points)

5. What is management?
The process of deciding how best to use a business’s resources to produce goods or provide services

6. Supervisory Management
Levels of Management
Senior Management
Middle Management
Supervisory Management
Highest level
Establishes goals or objectives
Decides what actions are necessary to meet goals
Decides how to use company resources
Chairperson of board, COO, CEO, senior VPs
Not involved in day-to-day problems
Set the direction
Responsible for meeting goals senior management sets
Department heads, district managers
Sets goals for specific areas of the business
Lowest level
Make sure day-to-day operations of business run smoothly
In charge of the people
Forepersons, crew leaders, store managers

7. The Management Pyramid
Top Management
Middle Management
Supervisory Management
Have students to write in the positions for each level

8. The Management Process
Several ways to examine how management works
1 way: divide the tasks managers perform into categories
2nd way: look at the roles different types of managers play in a company
A role is a set of behaviors associated with a particular job.
3rd way: look at the skills managers need to do their jobs

9. Management Tasks
Planning
Organizing
Staffing
Leading
Controlling

10. Planning
A manager decides on company goals and the actions the company must take to meet them.
Ex: CEO who sets a goal of increasing sales by 10 percent in the next year by developing a new software program

11. Organizing
A manager groups related activities together and assigns employees to perform them.
Ex: Manager sets up a team of employees to restock an aisle in a supermarket

12. Staffing
A manager decides how many and what kind of people a business needs to meet its goals and then recruits, selects, and trains the right people.
Ex: Restaurant manager’s staffing duties (interviewing/training)

13. Leading
A manager provides the guidance employees need to perform their tasks.
Ex: holding regular staff meetings (keeping communication open)

14. Controlling
A manager measures how the business performs to ensure that financial goals are being met
Ex: analyzing accounting records and to make changes if financial standards are not being met

15. Which level spends most of its time controlling?
Shade in the chart according to how much time is spent performing the tasks according to the management level
Planning
Organizing
Staffing
Leading
Controlling
Top Management
Middle Management
Supervisory Management
Which level spends most of its time controlling?

16. Management Roles
Interpersonal
Information-Related
Decision-Making

17. Interpersonal Roles
Figurehead: serves as official representative of the organization or unit
Relationship Builder: interacts with peers and with people outside the organization to gain information
Leader: guides and motivates staff and acts as a positive influence in the workplace

18. Information-Related Roles
Monitor: receives and collects information
Communicator: distributes information within the organization
Spokesperson: distributes information outside the organization

19. Decision-Making Roles
Entrepreneur: initiates change
Disturbance Handler: decides how conflicts between subordinates should be resolved and steps in when a subordinate suddenly leaves or an important customer is lost
Resource Director: decides how the organization will use its resources
Negotiator: decides to negotiate major contracts with other organizations or individuals

20. Which management level spends more time on . . .
Resolving conflicts?
Representing the company in its relations with people outside the company?
Determining a company’s culture (way of thinking and acting)?
In 1992, when new management took over Sears, morale was low. Senior Mgmt made almost all decisions, employees felt powerless. New CEO created an open atmosphere (town meetings) and empowered managers at all levels with freedom to make decisions.

21. Management Skills
Conceptual
Human relations
Technical

22. Conceptual Skills
Help managers understand how different parts of a business relate to one another and to the business as a whole
Ex: decision making, planning, and organizing

23. Human Relations Skills
Needed to understand and work well with people
Ex: interviewing job applicants, forming partnerships with other businesses, resolving conflicts

24. Technical Skills
Specific abilities that people use to perform their jobs
Ex: operating a word processing program, designing a brochure, training people to use a new budgeting system

25. Let’s Write!
Which skills would a manager need to develop a company advertisement? Elaborate.

26. Principles of Management
A basic truth or law.
Because controlled management experiments are so difficult to carry out, most management principles are developed through observation and deduction.
Deduction: process of drawing a general conclusion from specific examples

27. Principles of Management
Example A researcher may observe that employees in 15 companies work more efficiently when supervisor treats them well. Deduction A pleasant work environment contributes to productivity. This conclusion might then become a management principle.

28. Management Principles
More likely to change than physical principles
Likely to be interpreted differently by different people
Guides to action rather than rigid laws
Followed most of the time

29. Principles change.
“All employees need to arrive at work at the same time.”
Now Flexible schedules or “flex time” or work at home
“People who work in offices need to dress a certain way.”
Now Many allow casual dress

30. Women and Minorities in Management
Problems women and minorities have had winning promotions to senior management positions gave rise to the term glass ceiling.
Invisible barrier that prevents women and minorities from moving up in the world of business

31. Class Discussion
Why do you think there has been a glass ceiling for women and minorities in business management?

32. Lights, Camera, Action!
Video: Sheryl-Sandberg

33. Research Assignment (70 points)
On the Internet, research a female or minority CEO.
At the top of the document provide their photo with their name right above it.
Underneath the photo, provide the company, when the person started the position, their background in the field, and contributions to the company thus far.
Site your source in the footer of your document.

34. Small Group Assessment Activity
Imagine you manage a small, retail business and are looking for a new salesperson. What qualities would you look for and what questions would you ask in an interview?
Explain if a person who does a job well but has poor “people” skills would make a good manager.

35. FACT AND IDEA REVIEW
For Dots!

36. Small Group Assessment Activity
Should a manager fire a well-liked employee who is not performing well or keep the employee in order not to upset the other workers? Explain.
You spend 20% of an 8-hour day planning, 7.5% organizing, 7.5% staffing, 50% lading, and 15% controlling. How much time do you spend on each management function?

37. Case Analysis
TechCo, a software company, tried letting some employees “telecommute,” or work at home. The company’s experience was not a good one, so senior management disallowed telecommuting. Janet Jefferon, team leader for a new software, broke her leg. She can work, but needs to remain home for two weeks. Management does not want to change its policy, but Janet is the product expert. What should TechCo do? If Janet telecommutes, will management be breaking a principle? Explain your answer.

38. Bellringer: write a sentence for each term (10 minutes)
Professional manager
Entrepreneur
Small business

39. What Is an Entrepreneur?
Professional Manager
Entrepreneurs
Paid to perform management functions within a company
Do not own the business
Ex: senior, middle, and supervisory managers
Launch and run their own businesses
Much riskier than being a professional manager
Tend to be more independent than managers
May have less formal education
Start with an idea for creating or modifying a product/service they believe in

40. Entrepreneurs . . .
Some are sole proprietors: run their businesses single handedly
Ex: medicine, dentistry, accounting, store owners
Some are partnerships: one or more partners may supply the money while another runs the business
Some choose to incorporate (or become a corporation) to avoid being held personally liable for financial losses.
Some choose to own franchises

41. Entrepreneurs in Large and Medium-Sized Businesses
Dell Inc. CEO and Founder Michael Dell
Entrepreneurship within a large or medium-sized company is sometimes called intrapreneurship.
Intrapreneurs take risks, but not with their own investments

42. The Importance of Small Businesses
A small business is a company that is independently owned and operated.
The Small Business Administration (SBA), the government agency that lends money to small businesses, considers a business small if it has fewer than 100 employees.
More than 99% of businesses in US are small businesses
Employ millions of workers and sell billions of dollars of products and services

43. The Importance of Small Businesses
Tend to produce more innovations than larger businesses
Intel, Apple, Microsoft began small

44. FACT AND IDEA REVIEW
For Dots!

45. 3 O’Clock Appointment: Critical Thinking (5 minutes)
Why are entrepreneurs important to the economy? What would happen if no one wanted to be an entrepreneur?
How do companies benefit when managers think more like entrepreneurs?

46. Case Analysis
Craftings is a medium-size furniture distribution company specializing in children’s bedroom sets. The firm has done well in the last ten years, but recently senior managers have noticed that sales have not been increasing. The managers believe that the problem boils down to too many firms selling the same kind of furniture? What can Craftings do to increase sales?