Principles of Principles of ManagementManagement

MGT 301MGT 301

Muhammad Jameel Muhammad Jameel QaziQazi

Management: A Competency Base Management: A Competency Base ApproachApproach

Chapter 1Chapter 1

Managing in a Dynamic Managing in a Dynamic EnvironmentEnvironment

Learning ObjectivesLearning Objectives Define Managers And Management.Define Managers And Management. Explain What Managers Do.Explain What Managers Do. Describe The Competencies Used In Describe The Competencies Used In

Managerial Work And Assess Your Managerial Work And Assess Your Current Competency Levels.Current Competency Levels.

Introductory Concepts: What AreManagerial Competencies?

Competency – a combination of knowledge, skills, behaviors, and attitudes that contribute to personal effectiveness

Managerial Competencies – sets of knowledge, skill, behaviors, and attitudes that a person needs to be effective in a wide range of positions and various types of organizations

Why are Managerial Competencies Important?

You need to use your strengths to do your best You need to know your weaknesses You need developmental experiences at work to become

successful leaders and address your weakness You probably like to be challenged with new learning

opportunities Organizations do not want to waste human resources Globalization deregulation, restructuring, and new

competitors add to the complexity of running a business

A Model of Managerial A Model of Managerial CompetenciesCompetencies(adapted from Figure 1.1)(adapted from Figure 1.1)

TeamworkCompetency

GlobalAwareness

Competency

StrategicAction

Competency

Planning andAdministration

Competency

Self-ManagementCompetency

CommunicationCompetency

A Model of Managerial A Model of Managerial CompetenciesCompetencies(adapted from Figure 1.1)(adapted from Figure 1.1)

TeamworkCompetency

GlobalAwareness

Competency

StrategicAction

Competency

Planning andAdministration

Competency

Self-ManagementCompetency

CommunicationCompetency

ManagerialEffectiveness

What Is An Organization?

A formal and coordinated group of people who function to achieve particular goals

These goals cannot be achieved by individuals acting alone

An organization has a structure, discussed in depth in Chapter 11

Characteristics of an Characteristics of an OrganizationOrganization

An organization has a structure.An organization has a structure.

An organization consists of a group of An organization consists of a group of people striving to reach goals that people striving to reach goals that individuals acting alone could not individuals acting alone could not achieve.achieve.

ManagementManagementOrganizationOrganizationTwo or more people who work together in a structured Two or more people who work together in a structured way to achieve a specific goal or set of goals.way to achieve a specific goal or set of goals.

GoalsGoalsPurpose that an organization strives to achieve; Purpose that an organization strives to achieve; organizations often have more than one goals, goals are organizations often have more than one goals, goals are fundamental elements of organization. fundamental elements of organization.

The Role of ManagementThe Role of ManagementTo guide the organizations towards goal To guide the organizations towards goal accomplishmentaccomplishment

- People responsible for - People responsible for directing the efforts aimed directing the efforts aimed at helping organizations at helping organizations achieve their goals. achieve their goals.

- A person who plans, - A person who plans, organizes, directs and organizes, directs and controls the allocation of controls the allocation of human, material, financial, human, material, financial, and information resources and information resources in pursuit of the in pursuit of the organization’s goals.organization’s goals.

ManagementManagement ManagementManagement refers to the tasks and activities refers to the tasks and activities

involved in directing an organization or one of involved in directing an organization or one of its units: planning, organizing, leading, and its units: planning, organizing, leading, and controlling.controlling.

The process of reaching organizational goals by The process of reaching organizational goals by working with and through people and other working with and through people and other organizational resources.organizational resources.

Functional Managers: A manager responsible for just one organizational activity such as accounting, human resources, sales, finance, marketing, or production Focus on technical areas of expertise

Use communication, planning and administration, teamwork and self-management competencies to get work done

Function: A classification referring to a group of similar activities in an organization like marketing or operations.marketing or operations.

General Managers: responsible for the operations of more complex units—for example, a company or division

Oversee work of functional managers Responsible for all the activities of the unit Need to acquire strategic and multicultural

competencies to guide organization

(cont’d)

Many Other types of managers

Basic Managerial FunctionsBasic Managerial Functions (adapted from Figure 1.2)(adapted from Figure 1.2)

Organizing

Planning

Controlling

Leading

Management Process and Goal Management Process and Goal AttainmentAttainment

Management and Management and Organizational ResourcesOrganizational Resources

Planning Planning involves tasks involves tasks that must be performed to that must be performed to attain organizational goals, attain organizational goals, outlining how the tasks outlining how the tasks must be performed, and must be performed, and indicating when they indicating when they should be performed.should be performed.

Planning

Determining organizational goals and means to reach them

Managers plan for three reasons1. Establish an overall direction for the

organization’s future2. Identify and commit resources to achieving

goals3. Decide which tasks must be done to reach

those goals

Discussed in depth in Chapter 7 & 8

Organizing means assigning the planned tasks to Organizing means assigning the planned tasks to various individuals or groups within the various individuals or groups within the organization and cresting a mechanism to put plans organization and cresting a mechanism to put plans into action. into action.

Organizing

Process of deciding where decisions will be made, who will perform what jobs and tasks, and who will report to whom in the company

Includes creating departments and job descriptions

Leading (Leading (InfluencingInfluencing) means guiding the activities ) means guiding the activities of the organization members in appropriate of the organization members in appropriate directions. Objective is to improve productivity.directions. Objective is to improve productivity.

Leading

Getting others to perform the necessary tasks by motivating them to achieve the organization’s goals

Crucial element in all functions

Discussed throughout the book and in depth in Chapter 15—Dynamics of Leadership

1. Gather information that measures recent performance1. Gather information that measures recent performance2. Compare present performance to pre-established standards2. Compare present performance to pre-established standards3. Determine modifications to meet pre-established standards3. Determine modifications to meet pre-established standards

Controlling

Process by which a person, group, ororganization consciously monitors performance and takes correctiveaction

Discussed in depth in Chapter 10

Basic Levels of ManagementBasic Levels of Management (adapted from Figure 1.3)(adapted from Figure 1.3)

Top Managers

Middle Managers

First-Line Managers

Nonmanagers

Top Managers

Responsible for providing the overall direction of an organization

Develop goals and strategies for entire organization Spend most of their time planning and leading Communicate with key stakeholders—stockholders,

unions, governmental agencies, etc., company policies

Use of multicultural and strategic action competencies to lead firm is crucial

Levels of ManagementLevels of Management First-line Managers:First-line Managers: have direct responsibility for have direct responsibility for

producing goods or services producing goods or services Foreman, supervisors, Foreman, supervisors, clerical supervisorsclerical supervisors

Middle Managers:Middle Managers: Coordinate employee activitiesCoordinate employee activities Determine which goods or services to provideDetermine which goods or services to provide Decide how to market goods or services to customersDecide how to market goods or services to customersAssistant Manager, Manager (Section Head)Assistant Manager, Manager (Section Head)

Top Managers:Top Managers: provide the overall direction of an organization Chief Executive Officer, President, Vice President

First-line Managers

Directly responsible for production of goods or services Employees who report to first-line managers do the

organization’s work Spend little time with top managers in large organizations Technical expertise is important Rely on planning and administration, self-management,

teamwork, and communication competencies to get work done

Middle Managers

Responsible for setting objectives that are consistent with top management’s goals and translating them into specific goals and plans for first-line managers to implement

Responsible for coordinating activities of first-line managers

Establish target dates for products/services to be delivered Need to coordinate with others for resources Ability to develop others is important Rely on communication, teamwork, and planning and

administration competencies to achieve goals

Management Level and SkillsManagement Level and Skills

Introductory Concepts: What AreManagerial Competencies?

Competency – a combination of knowledge, skills, behaviors, and attitudes that contribute to personal effectiveness

Managerial Competencies – sets of knowledge, skill, behaviors, and attitudes that a person needs to be effective in a wide range of positions and various types of organizations

Six Core Managerial Competencies:What It Takes to Be a Great Manager

Communication Competency

Planning and Administration Competency

Teamwork Competency

Strategic Action Competency

Multicultural Competency

Self-Management Competency

Communication Competency

Ability to effectively transfer and exchange information that leads to understanding between yourself and others

Informal Communication Used to build social networks and good

interpersonal relations

Formal CommunicationUsed to announce major events/decisions/

activities and keep individuals up to date

NegotiationUsed to settle disputes, obtain resources,

and exercise influence

Deciding what tasks need to be done, determining how they can be done, allocating resources to enable them to be done, and then monitoring progress to ensure that they are done

Information gathering, analysis, and problem solving from employees and customers

Planning and organizing projects with agreedupon completion dates

Time management Budgeting and financial management

Accomplishing tasks through small groups ofpeople who are collectively responsible andwhose job requires coordination

Designing teams properly involves havingpeople participate in setting goals

Creating a supportive team environment gets people committed to the team’s goals

Managing team dynamics involves settlingconflicts, sharing team success, and assign tasksthat use team members’ strengths

Strategic Action Competency

Understanding the overall mission and values of the organization and ensuring that employees’ actions match with them

Understanding how departments or divisions of the organization are interrelated

Taking key strategic actions to position the firm for success, especially in relation to concern of stakeholders

Leapfrogging competitors

Snapshot

“Sony must sell off businesses that don’t fit its core strategy of fusing gadgets with films, music, and game software. That means selling off its businesses in its Sony Financial Holdings, which are very profitable.”

Howard Stringer, CEO, Sony

Understanding, appreciating and responding to diverse political, cultural, and economic issues across and within nations

Cultural knowledge and understanding of the events in at least a few other cultures

Cultural openness and sensitivity to how others think, act, and feel

Respectful of social etiquette variations

Accepting of language differences

Multicultural CompetencyMulticultural Competency

Self-Management Competency

Developing yourself and taking responsibility

Integrity and ethical conduct

Personal drive and resilience

Balancing work and life issues

Self-awareness and personal development activities

Snapshot

“My strengths and weaknesses haven’t changed a lot in 51 years. The important thing is to recognize the things you don’t do well and build a team that reflects what you know the company needs.”

Anne Mulcahy, CEO, Xerox

Self-Management Competency

Learning Framework for Managing

Part I: Overview of ManagementPart II: Managing the Environment

Part III: Planning and ControlPart IV: Organizing

Part V; Leading