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2 Introduction to Management

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    INTRODUCTION TO

    CONCEPTS

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    At the conclusion of this lesson, the YOU should be able to:

    • Acqui e and a!!l" #ana$e#ent conce!t in the %o & en'i on#ent(

    )ea nin$ Outco#es

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    Work *in #ana$e#ent+ is an acti'it" that! oduces 'alue fo othe !eo!le(

    -AT IS OR./

    The need for work to be done well enough that people, organizations, and societyas a whole may prosper is what makes the study of “managers” and “management”

    so meaningful.

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    -AT IS 0ANA1E0ENT/

    Management is the ! ocess of !lannin$,leadin$, and cont ollin$ the use of esou ces

    to acco#!lish !e fo #ance $oals(

    Henry Mintzberg (management theorist ! "t is the manager who determines whether our socialinstitutions ser#e us well or whether they s$uander our talents and resources.

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    • 0ana$e#ent 5 &no%in$ %hat "ou %ant to do 3 doit in the best and chea!est %a" *Ta"lo +

    • 0ana$e#ent 3 ! ocess consistin$ of !lannin$,o $ani2in$, actuatin$ and cont ollin$ b" usin$

    !eo!le and esou ces *Te "+

    DE6INITION

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    • 7ette cont ol of financial, !h"sical, and hu#an esou ces

    • I#! o'ed custo#e elations

    • Sho te de'elo!#ent ti#es

    • )o%e costs

    • -i$he qualit" and inc eased eliabilit"

    • -i$he ! ofit #a $ins

    • I#! o'ed ! oducti'it"

    • 7ette inte nal coo dination

    • -i$he %o &e #o ale *less st ess+

    Ad'anta$es of Usin$ 6o #al P o8ect 0ana$e#ent

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    • Plannin$, o $ani2in$, leadin$ and cont ollin$• Plannin$, o $ani2in$, co##andin$, coo dinatin$ and cont ollin$

    • Plannin$, o $ani2in$, staffin$, di ectin$, coo dinatin$, e!o tin$ anbud$etin$

    • Decision #a&in$, o $ani2in$, staffin$, !lannin$, cont ollin$,co##unicatin$ and di ectin$

    • Plannin$, o $ani2in$, staffin$, di ectin$ and cont ollin$

    0ANA1E0ENT 6UNCTIONS

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    -AT IS 0ANA1E0ENT/

    “The art of getting things done through people”

    90( P( 6ollett, quoted in Daft ;;

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    • A manager is a !e son in an o $ani2ation %ho is es!onsible fo %o & !e fo #ance of one o #o e othe !e sons(

    • So#eone %hose ! i#a " es!onsibilit" is to ca " out the#ana$e#ent ! ocess

    • So#eone %ho !lans and #a&es decisions, o $ani2es, leads, and

    cont ols hu#an, financial, !h"sical, and info #ationesou ces91 iffin, >??

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    -AT IS 0ANA1ER4S @O7/

    • “The Manager’s job can be broadlydefned as deciding what shouldbe done and getting other peopleto do it.”

    3 [Rosemary Stewart quoted in Mullins 1999]

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    -AT DO 0ANA1ERS DO/• Effecti'e #ana$e s utili2e o $ani2ational esou ces in %a"s that esult in the

    follo%in$:

    3 -i$h !e fo #ance outco#es• Pe fo #ance effecti'eness• Pe fo #ance efficienc"

    3 -i$h le'els of satisfaction a#on$ !eo!le doin$ the %o &• ualit" of %o & life

    Pe fo #ance effecti'eness 3 out!ut #easu e of tas& o $oal acco#!lish#ent

    Pe fo #ance efficienc" 3 a #easu e of the esou ce cost associated %ith $oal acco#!lish#ent

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    hat Do e 0ean 7"B• Effecti'eness/

    3 The de$ ee to %hich $oals a e achie'ed

    3 0a&in$ the i$ht decisions and successfull" i#!le#entin$ the#

    3 Doin$ the i$ht thin$s in the i$ht %a" at thei$ht ti#es

    • Efficienc"/

    3 Usin$ #ini#al esou ces to ! oduce the desi ed 'olu#e of out!ut

    3 Usin$ esou ces %isel" and in a cost5effecti'e %a"

    3 O!e atin$ in such a %a" that esou ces a e not %asted

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    Pe fo #ance Effecti'eness and Pe fo #ance EfficiencEfective but not

    e cient:Some resourceswasted

    Neither efectivenor e cient:

    Goa s notachieved!resources wastedin the "rocess

    E cient but notefective: Nowasted resources#but $oa s notachieved

    Efective and

    e cient : Goa sachieved andresources weuti i%ed! area o&hi$h "er&ormance

    'i$h

    Good(oor

    (oor

    Goal

    attainment

    Resource

    Utili ation

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    • Adequate and fai !a" fo a 8ob %ell done• Safe and health" %o &in$ conditions

    • O!!o tunit" to lea n and use ne% s&ills

    • Roo# to $ o% and ! o$ ess in a ca ee

    • P otection of indi'idual i$hts

    • P ide in the %o & itself and the o $ani2ation

    A hi$h qualit" of %o & life offe s such thin$s as:

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    .e" Conce!ts of 0ana$e#ent

    The four functions of management • Plannin$• O $ani2in$• )eadin$• Cont ollin$So#eti#es a fifth is added:• Staffin$

    Attain#ent of o $ani2ational $oals in an effecti'e efficient #anne

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    6ou 6unctions Defined• Plannin$

    3 Settin$ an o $ani2ation4s $oals and selectin$ a cou se of actionf o# a set of alte nati'es to achie'e the# 91 iffin >???? 3 Dete #inin$ the co#!osition of %o & $ ou!s and the %a" in %hich

    %o & and acti'ities a e to be coo dinated

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    6ou 6unctions Defined

    • )eadin$ 3 The set of ! ocesses used to $et o $ani2ational #e#be s to %o &

    to$ethe to ad'ance the inte ests of the o $ani2ation 91 iffin >??< 3 0oti'atin$ and co##unicatin$ %ith the o $ani2ation4s hu#an

    esou ces to ensu e $oals a e attained

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    6ou 6unctions Defined

    • Cont ollin$ 3 0onito in$ o $ani2ational ! o$ ess to%a ds $oals 91 iffin >??

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    0ana$e#ent )e'els *t"!ical+

    +1!"UR#$% &dapted 'rom Thomas (. )onoma and *oseph #. +awler, “#hutes and +adders% Growing the General Manager,” !loan Management Re-iew !pring /0102, 34564.

    7#8"

    #T"

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    DE6INITION 6OR 0ANA1E0ENT )E E)• 6i st line 0ana$e s

    di ectl" es!onsible fo da"5to5da" o!e ationssu!e 'ise and coo dinate the acti'ities of o!e atin$ e#!lo"ees

    • 0iddle 0ana$e s

    %o & in the #iddle le'els of the o $ani2ation

    es!onsible fo sections o de!a t#ents

    su!e 'ise and coo dinate the acti'ities of

    fi st5line #ana$e s

    • To! *o Senio + 0ana$e s

    usuall" fo # a tea#

    #ana$e the o $ani2ation4s o'e all $oals, st ate$", and o!e atin$ !olicies

    es!onsible fo the enti e ente ! ise

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    0ANA1E0ENT S.I))• 0ana$e#ent s&ills equi ed b" #ana$e#ent le'els

    -o" .ana$ers

    .idd e .ana$ers

    /irst0 ine .ana$ers

    Non0mana$ers2(ersonne 3

    -o" .ana$ers

    .idd e .ana$ers

    /irst0 ine .ana$ers

    Non0mana$ers2(ersonne 3

    #onceptual s9ill

    :eoples9ill

    Technicals9ill

    bi ity tothin5 # to

    inte$rate andto $ive

    direction sothat ob6ectivesare achieved

    bi ity tocommunicate

    with understandand motivate

    both individua sand $rou"s

    S5i necessaryto accom" ish

    the s"eci7c5ind o& wor5 in

    anor$ani%ation

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    0ana$e s b" A ea

    • 0a &etin$ 0ana$e s 3 o & in a eas elated to $ettin$ consu#e s and clients to bu" the o $ani2at

    ! oducts o se 'ices

    • 6inancial 0ana$e s 3 Deal ! i#a il" %ith an o $ani2ation4s financial esou ces

    • O!e ations 0ana$e s

    3 Conce ned %ith c eatin$ and #ana$in$ the s"ste#s that c eate o $ani2ation! oducts and se 'ices

    3 0a" be IT #ana$e s in IT businesses *but e'enthen a e ! i#a il" focused on ! oduction+ 91 iffin >??

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    0ana$e b" A ea

    • -u#an Resou ce 0ana$e s 3 -u#an esou ce !lannin$, ec uitin$ and selection, t ainin$ and

    de'elo!#ent, desi$nin$ co#!ensation and benefit s"ste#s, fo #ulatin$!e fo #ance a!! aisal s"ste#s

    • Ad#inist ati'e 0ana$e s 3 1ene alists fa#ilia %ith all functional a eas of #ana$e#ent and %ho a e

    not associated %ith an" !a ticula #ana$e#ent s!ecialt"

    • Othe .inds of 0ana$e s 3 S!eciali2ed #ana$e ial !ositions di ectl" elated to the needs of the

    o $ani2ation 3 0a" include IT #ana$e#ent

    91 iffin >??

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    Cha acte istics of 0ana$e#ent

    • 0ana$e ial acti'ities in'ol'e 3 'a iet" 3 f a$#entation 3 b e'it" 3 la $e 'olu#e of %o & !e fo #ed quic&l"

    • To illust ate: 3 6i st line #ana$e s in an indust ial fi # #a" a'e a$e o'e F?? incidents a

    da" 9-and" ;;F= 3 In a stud" of ?? #ana$e s o'e fou %ee&s, each of the# had on

    a'e a$e onl" nine !e iods of half an hou %ithout inte u!tion 9Rose#a "Ste%a t=

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    6unda#ental 0ana$e#ent S&ills

    • Technical 3 S&ills necessa " to acco#!lish o unde stand the s!ecific &ind of %o &

    bein$ done in an o $ani2ation

    • Inte !e sonal 3 Abilit" to co##unicate %ith, unde stand, and #oti'ate both indi'iduals

    and $ ou!s

    • Conce!tual 3 Abilit" to thin& in the abst act and to see the o $ani2ation as a co#!lete

    unit and to inte$ ate and $i'e di ection to its di'e se acti'ities so thatob8ecti'es a e achie'e

    91 iffin >??

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    6unda#ental 0ana$e#ent S&ills

    • Dia$nostic 3 Abilit" to 'isuali2e the #ost a!! o! iate es!onse to a situation

    • Co##unication 3 Abilities both to con'e" ideas and info #ation effecti'el" to othe s and

    to ecei'e ideas and info #ation effecti'el" f o# othe s

    • Decision50a&in$ 3 Abilit" to eco$ni2e and define ! oble#s and o!!o tunities co ectl" an

    then to select an a!! o! iate cou se of action to sol'e the ! oble#s andca!itali2e on o!!o tunities

    91 i

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    6unda#ental 0ana$e#ent S&ills• Ti#e50ana$e#ent

    3 Abilit" to ! io iti2e %o &, to %o & efficientl", and to dele$ate a!! o! 91

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    0ana$e#ent @o&es• A sales e!, an ad#inist ation cle & and the #ana$e a e %al&in$ to lunch %hen the

    find an antique oil la#!( The" ub it and a 1enie co#es out in a !uff of s#o&e( The1enie sa"s, GI usuall" onl" $ ant th ee %ishes,so IHll $i'e each of "ou one %ish each(GG0e fi st 0e fi st G sa"s the ad#in cle &( GI %ant to be in the 7aha#as, d i'in$ as!eedboat, %ithout a ca e in the %o ld(GPoof SheHs $one(In astonish#ent, G0e ne t 0e ne t G sa"s the sales e!( GI %ant to be in -a%aii, elon the beach %ith #" !e sonal #asseuse, an endless su!!l" of Pina Coladas and the

    lo'e of #" life(GPoof -eHs $one( GO., "ouH e u!,G the 1enie sa"s to the #ana$e (The #ana$e sa"s, GI %ant those t%o bac& in the office afte lunch(G

    •Moral of the story:

    Al%a"s let "ou boss ha'e the fi st sa"(

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    -han5 ou


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