The document provides an overview of management fundamentals, detailing who managers are, their functions, classifications, and the significance of management in organizations. It outlines key managerial roles and essential skills, emphasizing efficiency and effectiveness in achieving organizational goals. Additionally, it discusses changes affecting management, the characteristics of organizations, and the universal need to study management for successful business operations.

1. Management
INTRODUCTION
Chapter
TO MANAGEMENT
1 AND
Presented by: Elbert M. Areja
ORGANIZATIONS
Masters in Management
February 22, 2012
1–1

2. LEARNING OUTCOMES
THE OUTLINE OF THIS REPORT
1.1 Who Are Managers?
• Explain how managers differ from non-
managerial employees.
• Describe how to classify managers in
organizations.
1.2 What Is Management?
• Define management.
• Explain why efficiency and effectiveness are
important to management.
1–2

3. LEARNING OUTCOMES
1.3 What Do Managers Do?
• Describe the four functions of management.
• Explain Mintzberg’s managerial roles.
• Describe Katz’s three essential managerial skills
and how the importance of these skills changes
depending on managerial level.
• Discuss the changes that are impacting
manager’s jobs.
• Explain why customer service and innovation are
important to the manager’s job.
1–3

4. LEARNING OUTCOMES
1.4 What Is An Organization?
• Explain the characteristics of an organization.
• Describe how today’s organizations are
structured.
1.5 Why Study Management?
• Discuss why it’s important to understand
management.
• Explain the universality of management concept.
• Describe the rewards and challenges of being a
manager.
1–4

5. WHO ARE MANAGERS?
 Manager
 Someone who coordinates and oversees the
work of other people so that organizational
goals can be accomplished.
1–5

6. CLASSIFYING MANAGERS
 First-line Managers
 Individuals who manage the work of non-managerial
employees.
 Middle Managers
 Individuals who manage the work of first-line
managers.
 Top Managers
 Individuals who are responsible for making
organization-wide decisions and establishing plans
and goals that affect the entire organization.
1–6

7. MANAGERIAL LEVELS
1–7

8. WOMEN IN MANAGERIAL POSITIONS AROUND
THE WORLD
Women in Women in Top
Management Manager’s Job
Australia 41.9 percent 3.0 percent
Canada 36.3 percent 4.2 percent
Germany 35.6 percent N/A
Japan 10.1 percent N/A
Philippines 57.8 percent N/A
United States 50.6 percent 2.6 percent
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9. WHAT IS MANAGEMENT?
 Management involves coordinating and
overseeing the work activities of others so
that their activities are completed
efficiently and effectively.
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10. MANAGEMENT: DEFINITION
 Acc to Harold Koontz: Management is the art
of getting things done through & with an formally
organized group
 Acc to Henry Fayol: To manage is to forecast
& plan, to organize, to compound, to co-ordinate
and to control
 PODSCORB:
-
Planning, Organizing, Directing, Staffing, Co
ntrolling, Co-ordinating, Reporting &
Budgeting

11. HENRY FAYOL (1841-1925)
 Was a french industrialist
 Given :
 Elements of Management-
Planning, Organizing, Commanding, Co-
ordination & Control
 Qualities of Manager:
Physical, Mental, Moral, General
Education, Special Knowledge & Experience
 Principles of Management

12. PRINCIPLES OF MANAGEMENT
 Division of work
 Authority & responsibilty
 Discipline
 Unity of command
 Unity of direction
 Subordinate of individual interest to group
interest
 Remuneration of personnel
 Centralization
 Scalar Chain

13. PRINCIPLES OF MANAGEMENT
 Order
 Equity
 Stability of tenure of personnel
 Initiative
 Espirit De Corps

14. FEATURES OF MANAGEMENT
 Art as well as Science
 Management is an activity
 Management is a continuous process
 Management achieving pre-determined
objectives
 Organized activities
 Management is a factor of production
 Management as a system
 Management is a discipline

15. FEATURES OF MANAGEMENT
 Management is a distinct entity
 Management aims at maximising profit
 Management is a purposeful activity
 Management is a profession
 Universal application
 Management is getting things done
 Management is needed at all levels

16. WHAT IS MANAGEMENT?
 Managerial Concerns
 Efficiency
 “Doing things right”
 Getting the most output
for the least inputs
 Effectiveness
 “Doing the right things”
 Attaining
organizational goals
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17. EFFECTIVENESS AND EFFICIENCY IN
MANAGEMENT
1–17

18. WHAT MANAGERS DO?
 Three Approaches to Defining What
Managers Do.
 Functions they perform.
 Roles they play.
 Skills they need.
1–18

19. WHAT MANAGERS DO?
 Functions Manager’s Perform
 Planning
 Defining goals, establishing strategies to achieve
goals, developing plans to integrate and coordinate
activities.
 Organizing
 Arrangingand structuring work to accomplish
organizational goals.
 Leading
 Working with and through people to accomplish goals.
 Controlling
 Monitoring, comparing, and correcting work.
1–19

20. MANAGEMENT FUNCTIONS
1–20

21. MANAGEMENT
FUNCTIONS
Management Functions:
planning, organizing,
leading, and controlling

22. DISTRIBUTION OF TIME PER ACTIVITY BY
ORGANIZATIONAL LEVEL
Source: Adapted from T. A. Mahoney, T. H. Jerdee, and S. J. Carroll,
“The Job(s) of Management,” Industrial Relations 4, No.2 (1965), p.103.

23. WHAT MANAGERS DO?
 Roles Manager’s Play
 Roles are specific actions or behaviors
expected of a manager.
 Mintzberg identified 10 roles grouped around
interpersonal relationships, the transfer of
information, and decision making.
1–23

24. WHAT MANAGERS DO?
 Management Roles
(Mintzberg)
 Interpersonal roles
 Figurehead, leader, liaison
 Informational roles
 Monitor,
disseminator, spok
esperson
 Decisional roles
 Entrepreneur, disturbance
handler, resource
allocator, negotiator
1–24

25. WHAT MANAGERS DO (MINTZBERG)
 Actions
 thoughtful thinking
 practical doing
1–25

26. Mintzberg’s Managerial Roles
 Interpersonal Roles
• Figurehead
• Leader
• Liaison
 Interpersonal Roles
• Monitor
• Disseminator
• Spokesperson
 Decisional Roles
• Entrepreneur
• Disturbance handler
• Resource allocator
• Negotiator
Adapted from Mintzberg, Henry,
The Nature of Managerial Work,
1st Edition, © 1980, pp. 93–94..
1–26

27. WHAT MANAGERS DO?
 Skills Managers Need
 Technical skills
 Knowledge and proficiency in a specific field
 Human skills
 The ability to work well with other people
 Conceptual skills
 The ability to think and conceptualize about abstract
and complex situations concerning the organization
1–27

28. SKILLS NEEDED AT DIFFERENT
MANAGEMENT LEVELS
1–28

29. CONCEPTUAL SKILLS
• Ability to use information to solve business
problems
• Identification of opportunities for innovation
• Recognition of problem areas and
implementation of solutions
• Selection of critical information from masses of
data
• Understanding of business uses of technology
• Understanding of organization’s business model
Source: Based on American Management Association Survey of Managerial Skills and
Competencies, March/April 2000, found on AMA Web site (www.ama.org), October 30, 2002.
1–29

30. COMMUNICATION SKILLS
• Ability to transform ideas into words and actions
• Credibility among colleagues, peers, and
subordinates
• Listening and asking questions
• Presentation skills; spoken format
• Presentation skills; written and/or graphic
formats
Source: Based on American Management Association Survey of Managerial Skills and
Competencies, March/April 2000, found on AMA Web site (www.ama.org), October 30, 2002.
1–30

31. EFFECTIVENESS SKILLS
• Contributing to corporate mission/departmental
objectives
• Customer focus
• Multitasking: working at multiple tasks in parallel
• Negotiating skills
• Project management
• Reviewing operations and implementing
improvements
Source: Based on American Management Association Survey of Managerial Skills and
Competencies, March/April 2000, found on AMA Web site (www.ama.org), October 30, 2002.
1–31

32. INTERPERSONAL SKILLS
• Coaching and mentoring skills
• Diversity skills: working with diverse people and
cultures
• Networking within the organization
• Networking outside the organization
• Working in teams; cooperation and commitment
Source: Based on American Management Association Survey of Managerial Skills and
Competencies, March/April 2000, found on AMA Web site (www.amanet.org), October 30, 2002.
1–32

33. MANAGEMENT SKILLS AND MANAGEMENT FUNCTION MATRIX
Exhibit 1.7
1–33

34. HOW THE MANAGER’S JOB IS
CHANGING
 The Increasing Importance of Customers
 Customers: the reason that organizations
exist
 Managing customer relationships is the
responsibility of all managers and employees.
 Consistent high quality customer service is
essential for survival.
 Innovation
 Doing things differently, exploring new
territory, and taking risks
 Managers should encourage employees to be
aware of and act on opportunities for innovation.
1–34

35. CHANGES
IMPACTING
THE MANAGER’S
JOB
1–35

36. WHAT IS AN ORGANIZATION?
 An Organization Defined
A deliberate arrangement of people to
accomplish some specific purpose (that
individuals independently could not accomplish
alone).
 Common Characteristics of Organizations
 Have a distinct purpose (goal)
 Composed of people
 Have a deliberate structure
1–36

37. CHARACTERISTICS OF ORGANIZATIONS

38. THE CHANGING ORGANIZATION
Exhibit 1.10
1–39

39. WHY STUDY MANAGEMENT?
 The Value of Studying Management
 The universality of management
 Good management is needed in all organizations.
 The reality of work
 Employees either manage or are managed.
 Rewards and challenges of being a manager
 Management offers challenging, exciting and creative
opportunities for meaningful and fulfilling work.
 Successful managers receive significant monetary rewards
for their efforts.
1–40

40. UNIVERSAL NEED FOR MANAGEMENT
1–41

41. REWARDS AND CHALLENGES OF
BEING A MANAGER
1–42