The document provides an overview of management concepts including the definition of management as planning, organizing, leading, and controlling resources to achieve goals. It discusses the four main tasks of management as planning, organizing, leading, and controlling. It also describes different management levels, skills, and how management practices are changing with trends like outsourcing, empowerment, and globalization. Building competitive advantage and crisis management in a global environment are highlighted as key challenges for modern management.

1. The
Management
Process Today
Chapter One
McGraw-Hill/Irwin Copyright © 2011 by the McGraw-Hill Companies, Inc. All rights reserved.

2. What is Management?
• Management
– The planning, organizing, leading, and
controlling of human and other resources to
achieve organizational goals effectively and
efficiently
1-2

3. What is Management?
• Organizations
– Collections of people who work together and coordinate
their actions to achieve a wide variety of goals
1-3

4. What is Management?
• Managers
– The people responsible for supervising the use of
an organization’s resources to meet its goals
– Resources include people, skills, know-how,
machinery, raw materials, computers and IT,
and financial capital
1-4

5. Achieving High Performance
• Organizational Performance
– A measure of how efficiently and effectively
managers use organizational resources to satisfy
customers and achieve goals
1-5

6. Efficiency, Effectiveness, and
Performance in an Organization
Figure 1.1 1-6

7. Organizational Performance
• Efficiency • Effectiveness
– A measure of how well – A measure of the
or productively appropriateness of the
resources are used to goals an organization is
achieve a goal pursuing and the degree
to which they are
achieved.
1-7

8. Why study management?
• The more effective and efficient use an organization
can make of resources, the greater the relative well-
being of people
• Almost all of us encounter managers because most
people have jobs and bosses
• Understanding management is one important path
toward obtaining a satisfying career
1-8

9. Four Tasks of Management
Figure 1.2 1-9

10. Planning
• Planning
– Process of identifying and selecting appropriate
goals and courses of action
1-10

11. Organizing
• Organizing
– structuring working relationships so organizational
members interact and cooperate to achieve
organizational goals.
1-11

12. Leading
• Leading
– Articulating a clear vision and energizing and
enabling organizational members so they
understand the part they play in attaining
organizational goals
1-12

13. Controlling
• Controlling
– Evaluating how well an organization is achieving
its goals and taking action to maintain or improve
performance
• The outcome of the control process is the ability to
measure performance accurately and regulate
efficiency and effectiveness
1-13

14. Levels and Skills of Managers
• Department
– A group of people who work together and
possess similar skills or use the same knowledge,
tools, or techniques to perform their jobs
1-14

15. Levels of Management
• First line managers
– Responsible for the daily supervision of non-
managerial employees
• Middle managers
– Supervise first-line managers and are responsible
for finding the best way to use resources to
achieve organizational goals
1-15

16. Levels of Management
• Top managers
– establish organizational goals, decide how
departments should interact, and monitor the
performance of middle managers
1-16

17. Levels of Managers
Figure 1.3 1-17

18. Relative Amount of Time That Managers Spend
on the Four Managerial Tasks
Figure 1.4 1-18

19. Levels of Managers
• Top-management team
– group composed of the CEO, COO, and the heads
of the most important departments
1-19

20. Managerial Skills
• Conceptual skills
– The ability to analyze and diagnose a situation and
distinguish between cause and effect.
• Human skills
– The ability to understand, alter, lead, and control the
behavior of other individuals and groups.
• Technical skills
– The specific knowledge and techniques required to
perform an organizational role.
1-20

21. Technical Skills
• Core competency
– Specific set of skills, abilities, and experiences that
allows one organization to outperform its
competitors
1-21

22. Types and Levels of Managers
Figure 1.5 1-22

23. Recent Changes in Management Practices
• Restructuring
– downsizing an organization by eliminating the jobs
of large numbers of top, middle, or first-line
managers and non-managerial employees
1-23

24. Recent Changes in Management Practices
• Outsourcing
– contracting with another company, usually in a
low cost country abroad, to perform an activity
the company previously performed itself
• Increases efficiency because it lowers operating
costs, freeing up money and resources that can be
used in more effective ways
1-24

25. Empowerment and Self-Managed
Teams
• Empowerment
– Expansion of employees’ knowledge, tasks, and decision-
making responsibilities
1-25

26. Empowerment and Self-Managed Teams
• Self-managed team
– a group of employees with the responsibility for
organizing, controlling, and supervising their own
activities and for monitoring the quality of the
goods and services they provide
1-26

27. Challenges for Management in
a Global Environment
• Rise of Global • Managing a Diverse
Organizations. Workforce
• Building a Competitive • Utilizing IT and E-
Advantage Commerce
• Maintaining Ethical and • Practicing Global Crisis
Socially Responsible Management
Standards
1-27

28. Challenges for Management in
a Global Environment
• Global organizations
– organizations that operate and compete in more
than one country
1-28

29. Building Competitive Advantage
• Competitive advantage
– Ability of one organization to outperform other
organizations because it produces desired goods
or services more efficiently and effectively than
they do
1-29

30. Building Blocks of Competitive
Advantage
Figure 1.6 1-30

31. Building a Competitive Advantage
• Innovation
– process of creating new or improved goods and
services or developing better ways to produce or
provide them
1-31

32. Practicing Global Crisis Management
Crisis management involves making important
choices about how to:
2. Create teams to facilitate rapid decision making
and communication
3. Establish the organizational chain of command
4. Recruit and select the right people
5. Develop bargaining and negotiating strategies to
manage conflicts
1-32