Management involves using a business's resources efficiently to produce goods and services. The management process includes planning goals and actions, organizing employee roles, staffing the business, leading employees, and controlling performance. Managers take on interpersonal, information, and decision-making roles. They need conceptual skills to understand the business, human relations skills to work with people, and technical skills for specific job duties. Effective management requires balancing these roles and skills at different levels of the organization.

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

2. 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

3. The Management Process
• Planning
– Decides company goals
and the actions to meet
them
– CEO sets a goal of
increasing sales by 10%
in the next year by
developing a new
software program

4. 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

5. 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

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

7. 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

8. 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

9. 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.

10. Management Roles
• Information-related 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

11. 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

12. 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

13. 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

14. 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