Emerging horizons of management in the changing environment

BY Arvind Kumar and Pranav Kumar Ojha MBA 1st Semester MONIRBA , University of Allahabad

EMERGING -means newly formed or just coming into prominence.

HORIZONS- mean a line at which the earth and the sun appear to meet\ just imminent or apparent

Why to study?

• Uncertainty of environment

• Competitive edge.

• Better services to consumers.

Points to be Covered under the topic, “Emerging horizons of management in the

changing environment” Developments in the Field of Management Contemporary Management Theory Contemporary Management Challenges Challenge of International Management Management Challenges in the international/ Global Economy Focus of Attention For Future Managers Challenges in The Management Arena Issues involved in Future Managment Qualities Of The Future Managers

Contemporary Management Theory Theory z-• American style of Management (Type A)• Japanese style of Management(Type B) Excellence Movement Theory-• Getting things done on Time• Staying Close to The Customer• Promoting Autonomy And Entrepreneurship• Maximizing Productivity through People• Using A Hands on Approach to Managing• Doing What The Company Knows Best• Maintaining A simple, lean, Organizational Structure• Promoting both Centralization and Decentralization simultaneously

CONTEMPORARY MANAGEMENT CHALLENGES

• Globalization• Quality And Productivity• Ownership• Environment• Strategy Formulation• Ethics and Social Responsibility• Workforce Diversity• Change• Empowerment• Information Technology

CHALLENGES OF INTERNATIONAL MANAGEMENT

1. Economic Environment2. Political and Legal Environment3. Cultural Environment

1.Economic Environment

• The Economic System of A country• The Demand and Preferences of A

consumers• The System of Ownership(Private or Public)• Availability of Natural resources (oil,

Iron ,coal ,natural gas)• Infrastructural Facilities(Roads, schools,

hospitals, transport, communication system etc.)

2.Political and Legal Environment

• Political stability.• Incentives(reduced interest on loans, tax

subsidies, market protection etc.) to attract foreign business.

• Reduced international trade barriers imposed on international trade( in the form of tariffs, quotas, export restraint agreement and by-national laws).

3. Cultural Environment• Value systems• The social and Ethical beliefs• Understanding and interpretation of

various symbols and different languages spoken by people of different cultures

Management Challenges in the international/ Global Economy

1.Planning2.Organizing3.Staffing4.Directing5.Controlling

1.Planning

(A) At domestic level Local market conditions The technological factors The growth of products and markets The strength and weaknesses of domestic and foreign competitors

(B) At the international level Economic, political and legal stability of an economy The availability of required technology and finance The ease of formation of business enterprise or their strategic

alliances Understanding of environmental circumstances

2.organizing Reorientation of organizing ability Project or Matrix Organizing Structure Managing organizational structure and

design Managing people Managing change Enough authority to local managers in each

country

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(3) Staffing-Selection of competent employeeReduction in training and developmental expenditure

(4) Directing-Understanding the cultural factors of indivusalsVariance in motivational factors and communication

across cultureUse of democratic style of leadership with the people

of same communityNon- financial motivationTwo way communication techniques.

5.Controlling

Operation managementProductivityQualityTechnologyInformation systems Concern for distances, time zones and cultural

differences in case of international management

Focus of Attention For Future Managers

System theory Development of organizational structures-

1. The ever-changing environment2. Its increasing size and complexities3. The changing needs of its employees4. Multiple goals to be mutually satisfied rather than satisfying a single goal

Increased emphasis on human behaviors-

o Job analysiso Transaction analysiso Management by Objectiveso Management by exceptionIncreased attention on

Management of change

Changes in The Management Arena

Changes in knowledge , information and techniques.Changes in scope of Management.Changes in the issues and problems facing managers.Change in the Environment-

(a)Demographic change(b)Pollution(c)Depletion of resources

Issues involved in future management

Increased Employee Participation

Increased Social Consideration

Increased Technological Developments

Increase in International Business-

Managers should be able to analyze-(a) Potential of foreign buyers to buy the company’s products(b) The Political climate of the Host country(c) The capital requirements to set up the business in the foreign country

Qualities of the future managers He, besides being a specialist in his area of specialization,

must also posses requisite knowledge about other areas of management.

Without emphasizing on a single goal, he must maintain a balance among the multiple organizational goals keeping in the mind the impact of the various environmental changes.

Various managerial skills should be possessed by managers at all levels

Manager’s vision should be clear, he must be able to absorb future information, distribute it throughout the organization , make and implement the decisions based on this information.

a

• According to Adrien Furnham,a professor of Psychology at the University college of London,

“ Good managers in the 21st century should understand

conditions and human needs.”• They should realize that frequently the

heart rules the head and should know what this means for an organization.

THANKS TO

SIR AND

ALL THE LISTENERS