Chapter 5 Managing and Organizing Business
Understanding Management <ul><li>Managing and Organizing Business </li></ul><ul><ul><li>Key Concepts </li></ul></ul><ul><u...
Exercise Team Skill Assessment <ul><li>Your college has announced that it will have a team competition (teams of 5 persons...
Exercise (cont’d) Team Skill Assessment <ul><li>Consider both specific technical skills and human relations skills such as...
The Management Process <ul><li>Planning  </li></ul><ul><ul><li>Mission Statement </li></ul></ul><ul><ul><li>Strategic Goal...
The Management Process <ul><li>Planning (cont’d) </li></ul><ul><ul><li>Strategy Implementation </li></ul></ul><ul><ul><ul>...
Strategic Analysis:  Whirlpool Goes to China
Discussion Question <ul><li>If you were the chief executive of a television station with the strategic goal of becoming #1...
The Management Process <ul><li>Planning (cont’d) </li></ul><ul><ul><li>Special Planning Elements </li></ul></ul><ul><ul><u...
Think About It <ul><li>What contingencies would you plan for if you were the president of the United States or the governo...
When a Crisis Strikes <ul><li>Here are some crisis communications tips from Capstone Communications in Chico, California <...
The Management Process (cont’d) <ul><li>Organizing </li></ul><ul><ul><li>Organizations and Organizational Structure </li><...
Organizational Chart:  Small Local Public Library Source: Telephone interview, reference librarian, College Station, Texas...
The Management Process <ul><li>Organizing </li></ul><ul><ul><li>Job Specialization (cont’d) </li></ul></ul><ul><ul><ul><li...
Methods of Departmentalization
Methods of Departmentalization (cont’d)
Think About It <ul><li>Draft a quick organization chart for your current or most recent job. Was the chain of command clea...
The Management Process <ul><li>Organizing (cont’d) </li></ul><ul><ul><li>Delegation </li></ul></ul><ul><ul><ul><li>Authori...
Centralized and Decentralized Organizations
Span of Control
The Management Process <ul><li>Organizing (cont’d) </li></ul><ul><ul><li>Line, Staff, and Committee Authority </li></ul></...
Functional Organizational Structure
The Management Process <ul><li>Organizing </li></ul><ul><ul><li>Different Forms of Organizational Structure  (cont’d) </li...
Possible Divisional Organizational Structure: Coca-Cola Corporation
The Management Process <ul><li>Organizing </li></ul><ul><ul><li>Different Forms of Organizational Structure  (cont’d) </li...
Possible Matrix Organizational Structure: Pfizer Corporation
The Management Process <ul><li>Organizing </li></ul><ul><ul><li>Different Forms of Organizational Structure  (cont’d) </li...
Network Organizational Structure
The Management Process (cont’d) <ul><li>Directing </li></ul><ul><li>Controlling </li></ul><ul><ul><li>Six sigma initiative...
Airline Lost Luggage and Control Standards  (per year, 1 million pieces of baggage handled)
Evolution of Six Sigma from  Generation I to Generation III Source: Harry, Mikel J.,  Mechanical Engineering , Nov. 2004, ...
Kinds of Managers <ul><li>Levels of Management </li></ul><ul><ul><li>Top Managers </li></ul></ul><ul><ul><li>Middle Manage...
Kinds of Managers (cont’d) <ul><li>Areas of Management </li></ul><ul><ul><li>Human Resource Managers </li></ul></ul><ul><u...
Management Skills <ul><li>Technical Skills </li></ul><ul><li>Conceptual Skills </li></ul><ul><li>Human Relations Skills </...
Go to the Web <ul><li>CEOExpress ( http://www.ceoexpress.com ) tries to help managers be more productive by organizing the...
Careers in Management <ul><li>Wide Range of Managerial Careers Available </li></ul><ul><li>Occupational Outlook Surveys </...
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Chapter 5 - Managing and Organizing Business

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Chapter 5 - Managing and Organizing Business

  1. 1. Chapter 5 Managing and Organizing Business
  2. 2. Understanding Management <ul><li>Managing and Organizing Business </li></ul><ul><ul><li>Key Concepts </li></ul></ul><ul><ul><ul><li>Management </li></ul></ul></ul><ul><ul><ul><li>Managers </li></ul></ul></ul>
  3. 3. Exercise Team Skill Assessment <ul><li>Your college has announced that it will have a team competition (teams of 5 persons) among all students and the prize will be a year’s free tuition. It is allowing students to vote on the specific nature of the competition. The choices are basketball, volleyball, a Jeopardy-style knowledge game, a scavenger hunt, or combined sports relay (running, swimming, jumping, climbing, and throwing). You wish to make your recommendation based on the skill set of your team members. </li></ul>
  4. 4. Exercise (cont’d) Team Skill Assessment <ul><li>Consider both specific technical skills and human relations skills such as leadership, coolness under pressure, etc. Then make a recommendation. </li></ul>5. 4. 3. 2. 1. Human Relations Skills Technical skills Team Member
  5. 5. The Management Process <ul><li>Planning </li></ul><ul><ul><li>Mission Statement </li></ul></ul><ul><ul><li>Strategic Goals </li></ul></ul><ul><ul><li>Strategy Formulation </li></ul></ul><ul><ul><ul><li>Environmental analysis </li></ul></ul></ul><ul><ul><ul><li>Organizational analysis </li></ul></ul></ul>
  6. 6. The Management Process <ul><li>Planning (cont’d) </li></ul><ul><ul><li>Strategy Implementation </li></ul></ul><ul><ul><ul><li>Tactical plans </li></ul></ul></ul><ul><ul><ul><li>Operational plans </li></ul></ul></ul>
  7. 7. Strategic Analysis: Whirlpool Goes to China
  8. 8. Discussion Question <ul><li>If you were the chief executive of a television station with the strategic goal of becoming #1 in your market, what type of strategy would you formulate to achieve this goal? Why? How would you implement the strategy? </li></ul>
  9. 9. The Management Process <ul><li>Planning (cont’d) </li></ul><ul><ul><li>Special Planning Elements </li></ul></ul><ul><ul><ul><li>Succession Planning </li></ul></ul></ul><ul><ul><ul><li>Innovation Planning </li></ul></ul></ul><ul><ul><ul><li>Contingency and Crisis Planning </li></ul></ul></ul>
  10. 10. Think About It <ul><li>What contingencies would you plan for if you were the president of the United States or the governor of your state? </li></ul>
  11. 11. When a Crisis Strikes <ul><li>Here are some crisis communications tips from Capstone Communications in Chico, California </li></ul><ul><ul><li>Identify a Spokesperson </li></ul></ul><ul><ul><li>Be Factual </li></ul></ul><ul><ul><li>Tell All the Bad News at Once </li></ul></ul><ul><ul><li>Emphasize the Positive </li></ul></ul><ul><ul><li>Don't Avoid the Media or Employees </li></ul></ul><ul><ul><li>Don't Lose Your Cool </li></ul></ul><ul><ul><li>Issue Press Releases at the Same Time As Employee Announcements </li></ul></ul>Source: Britnell, Alan, Profit , Nov. 2003, Vol. 22, Issue 5, p. 77.
  12. 12. The Management Process (cont’d) <ul><li>Organizing </li></ul><ul><ul><li>Organizations and Organizational Structure </li></ul></ul><ul><ul><li>Chain of Command </li></ul></ul><ul><ul><ul><li>Organization chart </li></ul></ul></ul><ul><ul><li>Job Specialization </li></ul></ul>
  13. 13. Organizational Chart: Small Local Public Library Source: Telephone interview, reference librarian, College Station, Texas, Public Library, March 21, 2003 .
  14. 14. The Management Process <ul><li>Organizing </li></ul><ul><ul><li>Job Specialization (cont’d) </li></ul></ul><ul><ul><ul><li>Job rotation </li></ul></ul></ul><ul><ul><li>Departmentalization </li></ul></ul>
  15. 15. Methods of Departmentalization
  16. 16. Methods of Departmentalization (cont’d)
  17. 17. Think About It <ul><li>Draft a quick organization chart for your current or most recent job. Was the chain of command clear and well understood by each employee? </li></ul>
  18. 18. The Management Process <ul><li>Organizing (cont’d) </li></ul><ul><ul><li>Delegation </li></ul></ul><ul><ul><ul><li>Authority and Responsibility </li></ul></ul></ul><ul><ul><ul><li>Centralization Versus Decentralization </li></ul></ul></ul><ul><ul><ul><li>Span of Control </li></ul></ul></ul>
  19. 19. Centralized and Decentralized Organizations
  20. 20. Span of Control
  21. 21. The Management Process <ul><li>Organizing (cont’d) </li></ul><ul><ul><li>Line, Staff, and Committee Authority </li></ul></ul><ul><ul><li>Different Forms of Organizational Structure </li></ul></ul><ul><ul><ul><li>Functional Organizational Structure </li></ul></ul></ul>
  22. 22. Functional Organizational Structure
  23. 23. The Management Process <ul><li>Organizing </li></ul><ul><ul><li>Different Forms of Organizational Structure (cont’d) </li></ul></ul><ul><ul><ul><li>Divisional Organizational Structure </li></ul></ul></ul>
  24. 24. Possible Divisional Organizational Structure: Coca-Cola Corporation
  25. 25. The Management Process <ul><li>Organizing </li></ul><ul><ul><li>Different Forms of Organizational Structure (cont’d) </li></ul></ul><ul><ul><ul><li>Matrix Organizational Structure </li></ul></ul></ul>
  26. 26. Possible Matrix Organizational Structure: Pfizer Corporation
  27. 27. The Management Process <ul><li>Organizing </li></ul><ul><ul><li>Different Forms of Organizational Structure (cont’d) </li></ul></ul><ul><ul><ul><li>Network Organizational Structure </li></ul></ul></ul>
  28. 28. Network Organizational Structure
  29. 29. The Management Process (cont’d) <ul><li>Directing </li></ul><ul><li>Controlling </li></ul><ul><ul><li>Six sigma initiatives </li></ul></ul>
  30. 30. Airline Lost Luggage and Control Standards (per year, 1 million pieces of baggage handled)
  31. 31. Evolution of Six Sigma from Generation I to Generation III Source: Harry, Mikel J., Mechanical Engineering , Nov. 2004, Vol. 126, Issue 11, Special Section p. 8. Emphasizes both customer and provider Emphasizes customer Emphasizes provider White Belts Green Belts Black Belts Used in small, medium, and large-scale industrial and commercial businesses Used in large-scale industrial and commercial businesses Used in large-scale industrial organizations Focuses on value Focuses on cost Focuses on defect Generation III Generation II Generation I
  32. 32. Kinds of Managers <ul><li>Levels of Management </li></ul><ul><ul><li>Top Managers </li></ul></ul><ul><ul><li>Middle Managers </li></ul></ul><ul><ul><li>First-Line Managers </li></ul></ul>
  33. 33. Kinds of Managers (cont’d) <ul><li>Areas of Management </li></ul><ul><ul><li>Human Resource Managers </li></ul></ul><ul><ul><li>Marketing Managers </li></ul></ul><ul><ul><li>Financial Managers </li></ul></ul><ul><ul><li>Operations Managers </li></ul></ul><ul><ul><li>Information Managers </li></ul></ul><ul><ul><li>General Managers </li></ul></ul>
  34. 34. Management Skills <ul><li>Technical Skills </li></ul><ul><li>Conceptual Skills </li></ul><ul><li>Human Relations Skills </li></ul><ul><li>International Skills </li></ul>
  35. 35. Go to the Web <ul><li>CEOExpress ( http://www.ceoexpress.com ) tries to help managers be more productive by organizing the best resources on the web. The site screens and organizes links to other valuable sites. </li></ul>
  36. 36. Careers in Management <ul><li>Wide Range of Managerial Careers Available </li></ul><ul><li>Occupational Outlook Surveys </li></ul>
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