Topic 1 mp_managers_and_management

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Copyright ©2013 Pearson Education 1-1

1Chapter

ManagersandManagement

Learning Outcomes

• Tell who managers are and where they work.• Define management.• Describe what managers do.• Explain why it’s important to study

management.• Describe the factors that are reshaping and

redefining management.

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Who Are Managers?Where Do They Work?

• Organization– A deliberate arrangement of people brought

together to accomplish a specific purpose

• Common Characteristics of Organizations– Goals– People – Structure

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How Are Managers Different from Nonmanagerial Employees?

• Nonmanagerial Employees – People who work directly on a job or task and

have no responsibility for overseeing the work of others

– Examples: Associates and Team Members

• Managers – Individuals in organizations who direct the

activities of others

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What Titles Do Managers Have?• Top Managers

– Make decisions about the direction of the organization

– Examples: President, Chief Executive Officer, Vice-President

• Middle Managers – Manage the activities of other managers – Examples: District Manager, Division Manager

• First-line Managers – Direct nonmanagerial employees– Examples: Supervisor, Team Leader

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What Is Management?

Management is the process of getting things done effectively and efficiently, with and through people.•Effectiveness

– “Doing the right things”: the tasks that help an organization reach its goals

•Efficiency – “Doing things right”: the efficient use of such

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What Do Managers Do?

In the functions approach proposed by French industrialist Henri Fayol, all managers perform certain activities or functions.

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Four Management Functions• Planning

– Defining the organizational purpose and ways to achieve it

• Organizing – Arranging and structuring work to accomplish

organizational goals• Leading

– Directing the work activities of others• Controlling

– Monitoring, comparing, and correcting work performance

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What Are Management Roles?

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What Skills Do Managers Need?• Conceptual Skills

– Used to analyze and diagnose complex situations• Interpersonal Skills

– Used to work with, understand, and motivate individuals and groups

• Technical Skills – Involve job-specific knowledge and techniques

required to perform tasks• Political Skills

– Used to build a power base and establish connections

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Is the Manager’s Job Universal?

The previous discussion describe management as a generic activity. In reality, a manager’s job varies with along several dimensions

• Level in the Organization– Top level managers do more planning than

supervisors

• Profit vs. Nonprofit– Management performance is measured on

different objectives

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Why Study Management?

• We all benefit from efficiently and effectively run businesses.

• Well-managed organizations prosper even in challenging economic times.

• After graduation, most students become managers or are managed.

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What Factors Are Reshaping and Redefining Management?

Today, managers must deal with:

– Changing workplaces– Ethical and trust issues– Global economic

uncertainties– Changing technologies

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Trader Joe’s success results from outstanding customer service.

Why Are Customers Important?

• Without customers, most organizations would cease to exist.

• Employee attitudes and behaviors play a big part in customer satisfaction.

• Managers must create a customer-responsive environment where employees are friendly, knowledgeable, and sensitive to customer needs.

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How Do Organizations Make the Customer King?

• Stew Leonard, CEO of the largest dairy business with stores in southern Connecticut and in New York, says it only has two rules in his business.

• Rule 1—the customer is always right.• Rule 2—if the customer is ever wrong,

reread Rule 1.

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How Do Organizations Make the Customer King?

• Managers are being influenced by the Stew Leonards of the world.

– Long-term success can be achieved only by satisfying the customer.

– Customers have more choices than ever before, and are therefore more difficult to please.

– Customers are demanding quicker service, higher quality, and more value for their money.

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Why Is Innovation Important?

• “Nothing is more risky than not innovating.”

• Innovation isn’t only important for high technology companies; it is essential in all types of organizations.

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