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Overview of Management
Dr.T.Mangaleswaran
Senior Lecturer
Vavuniya Campus
Learning Outcomes
• Explain the meaning of management
• Understand organization and its performance
• Explain the Managers and their types
• Summarize the essential roles of managers
• Describe the essential skills for managers
• Describe the process of management
• Discuss some major changes in management
• Discuss the principal challenges managers face
12/26/14 2Contemporary Management
What is Management?
• Management is the process of working with people
and resources to accomplish organizational goals.
• Management is the attainment of organizational
goals in an effective and efficient manner through
planning, organizing, leading and controlling
organizational resources. (Daft,2012)
• Organizational resources include men(human
beings), money, machines and materials.
12/26/14 3Contemporary Management
What is Management? Cont…
• Management is the art of getting things done through other people.
Mary Parker Follet (1868-1933)
• Management is the art of getting things done through and with people in
formally organized group. (Koontz)
• Management is the process of planning, organizing, commanding,
coordinating and controlling. (Fayol,1930)
• Management is the process of planning, organizing, leading and
controlling, the efforts of organization members and of using all other
organizational resources to achieve organizational goals.
(Stoner and Freeman,2009)
12/26/14 4Contemporary Management
Management?
• Hence, Management can be broadly defined
as a process of planning, organizing, leading
and controlling the limited resources
efficiently and effectively to achieve
predetermined goals and objectives in an ever
changing business environment.
• The ultimate aim of management is to
enhance the organizational productivity and
performance.
12/26/14 5Contemporary Management
Characteristics of Management
• Management is a distinct process.
• Management is an organized activity
• Management aims at the accomplishment of
predetermined objectives.
• Management is both a science and an art.
• Management is a group activity
• Management principles are universal in nature
• Management integrates human and other
resources.
12/26/14 6Contemporary Management
Why Study Management?
1. To maximize the utilization of scarce resources
2. To face the increasing competition for inputs and
outputs
3. To enhance the quality of the products and services
4. To adopt/plan for the changes in the business
environment
5. Helps people deal with their bosses and coworkers
6. Opens a path to a well-paying job and a satisfying
career
7. Management offers challenging, exciting and creative
opportunities for meaningful and fulfilling work.
1-712/26/14 Contemporary Management
What is an Organization?
• A group of people who work together in a
structured way for a shared purpose
(Cambridge Advanced Learners Dictionary)
• An organization is a two or more people who
work together in a structured way to achieve
a specific goal or set of goals.
(Stoner and Freeman,2009)
• An organization is a deliberate arrangement of
people to accomplish some specific purpose.
(Robbins and Coulter, 2007)
12/26/14 8Contemporary Management
Contemporary Management 9
What is an Organization? Cont..
• An Organization is
– An arrangement of people and resources to accomplish
some specific purpose
• An organization can be any structured body such as
department, business, company in private or public
sector or nonprofit association.
• Common Characteristics of Organizations
– Have a distinct purpose (goal)
– Composed of people
– Have a deliberate structure
12/26/14
Contemporary Management 1–10
The Changing Organization
12/26/14
Organizational Performance
• A measure of how efficiently and effectively
managers use available resources to satisfy
customers and achieve organizational goals
• Efficiency
– A measure of how well or how productively
resources are used to achieve a goal
• Effectiveness
– A measure of the appropriateness of the goals an
organization is pursuing and the degree to which
they are achieved.
1-1112/26/14 Contemporary Management
1-12
Figure 1.112/26/14 Contemporary Management
Efficiency and Effectiveness
Contemporary Management 1312/26/14
1-14
Who is responsible for supervising the use of
an organization’s resources to meet its goals?
A. Team leader
B. Manager
C. President
D. Resource allocator
12/26/14 Contemporary Management
Manager/s
• Managers
– The people responsible
for supervising the use
of an organization’s
resources to meet its
goals.
1-1512/26/14 Contemporary Management
Manager/s
• The people responsible for directing the
efforts aimed at helping organizations achieve
their goals. (Stoner, Freeman and Gilbert, 2008)
• Someone who coordinates and oversees the
work of other people so that organizational
goals can be accomplished. (Robbins and Coulter, 2012)
• Someone whose primary responsibility is to
carry out the management process. (Griffin,2012)
12/26/14 16Contemporary Management
Types of Managers
• The Level of Authority (Levels of Managers)
1) First line managers
2) Middle managers
3) Top managers
• Scope of the Activities
1) Functional managers
2) General managers
• Responsibility of the Activities
1) Line managers
2) Staff managers
12/26/14 17Contemporary Management
Level of Managers
12/26/14 18Contemporary Management
1-19
Time that Managers Spend on the Managerial Functions
Figure 1.412/26/14 Contemporary Management
Scope of Activities
12/26/14 20Contemporary Management
Manager’s Roles
• Mintzberg
1) Interpersonal role
2) Informational role
3) Decisional role
12/26/14 21Contemporary Management
Decisional Roles
• Roles associated with methods managers use in
planning strategy and utilizing resources
1) Entrepreneur—deciding which new projects or programs
to initiate and to invest resources in.
2) Disturbance handler—managing an unexpected event or
crisis.
3) Resource allocator—assigning resources between
functions and divisions, setting the budgets of lower
managers.
4) Negotiator—reaching agreements between other
managers, unions, customers, or shareholders.
1-2212/26/14 Contemporary Management
Interpersonal Roles
• Roles that managers assume to provide direction and
supervision to both employees and the organization
as a whole
1) Figurehead—symbolizing the organization’s mission and
what it is seeking to achieve.
2) Leader—training, counseling, and mentoring high
employee performance.
3) Liaison—linking and coordinating the activities of people
and groups both inside and outside the organization.
1-2312/26/14 Contemporary Management
Informational Roles
• Roles associated with the tasks needed to obtain and
transmit information in the process of managing the
organization.
1) Monitor—analyzing information from both the internal
and external environment.
2) Disseminator—transmitting information to influence the
attitudes and behavior of employees.
3) Spokesperson—using information to positively influence
the way people in and out of the organization respond to
it.
1-2412/26/14 Contemporary Management
Managerial Roles
12/26/14 25Contemporary Management
Discussion
• Try to view some real-life situations from the
management perspectives – what are the
relevant management issues /problems you
faced? Who is playing the manager’s role?
How is he/she perform? What would be your
suggestions/solutions?
12/26/14 26Contemporary Management
Managerial Skills
• Technical skills
• Human skills
• Conceptual skills
1-2712/26/14 Contemporary Management
Technical Skills
• A persons’ knowledge and ability to make effective use of any
process or technique constitutes his technical skills.
• Example: Engineer, Accountant, Data entry operator, Lawyer,
Doctor etc.
12/26/14 28Contemporary Management
Human Skills
• An individuals’ ability to cooperate with other members of
the organization and work effectively in teams.
• Example: Interpersonal relationships, solving people’s
problem and acceptance of other employees.
12/26/14 29Contemporary Management
Conceptual Skills
“Ability of an
individual to analyze
complex situations
and to rationally
process and interpret
available
information”.
Example: Idea generation and analytical
process of information.
12/26/14 30Contemporary Management
Contemporary Management 31
What Makes a Good/Not-so-good Manager?
Technical Skills
• Professional,
• Goodwill, willing to share
his knowledge
Human Skills
• Good coordinator
• Gain People’s support
• Charming
• Friendly
• Nice
Conceptual Skills
• Ability to think
• Logical
• Fast mover
• Chance/ Risk Taker
• Lack of Knowledge
• Not Organized
• Difficult to find, always not in
the office
• Talking but not working
• Highly paid
• Not presentable
• Careless
• Not communicate with Team
members
• Not care about group
members
Good Manager Not-so-good Manager
12/26/14
1-32
Skill Types Needed
Figure 1.512/26/14 Contemporary Management
Mistakes Managers Make
6 Adapted from Exhibit 1.5
McCall & Lombardo, “What Makes a Top Executive?” Psychology Today, Feb 1983
1. Insensitive to others1. Insensitive to others
2. Arrogant (over confidence)2. Arrogant (over confidence)
3. Betrayal (disloyalty) of trust3. Betrayal (disloyalty) of trust
4. Overly (excessively) ambitions4. Overly (excessively) ambitions
5. Specific performance problems with the business5. Specific performance problems with the business
6. Overmanaging: unable to delegate or build a team6. Overmanaging: unable to delegate or build a team
7. Unable to staff effectively7. Unable to staff effectively
8. Unable to think strategically8. Unable to think strategically
9. Unable to adapt to boss with different style9. Unable to adapt to boss with different style
10. Overdependent on advocate or mentor10. Overdependent on advocate or mentor
12/26/14 33Contemporary Management
What make managers successful?
• Hard work
• Smart work
• Patience
• Out of box thinking
• Reading and acquiring knowledge
• Ethical consciousness (awareness)
• Collaborative relationship
• Perseverance (firmness)
12/26/14 34Contemporary Management
Contemporary Management 1–35
Rewards and Challenges of Being A Manager
12/26/14
Contemporary Management 1–36
How the Manager’s Job is Changing?
• The increasing importance of Customers
– Customers: the reason that organizations exist
• Managing customer relationships is the responsibility
of all managers and employees.
• Consistent high quality customer service is essential for
survival.
• Innovation
– Doing things differently, exploring new territory, and
taking risks
• Managers should encourage employees to be aware of
and act on opportunities for innovation.
12/26/14
Contemporary Management 1–37
Changes Impacting the Manager’s Job
12/26/14
Functions or Process of Management
1-38
Figure 1.212/26/14 Contemporary Management
Planning
• Process of identifying and selecting
appropriate organizational goals and courses
of action.
• Planning is determining the objectives and
formulating the methods to achieve them. It is
more simply said than done. A job well
planned is half done.
1-3912/26/14 Contemporary Management
• During planning one needs to ask oneself the
following:
• What am I trying to accomplish i.e. what is my
objective?
• What resources do I have and do I need to
accomplish the same?
• What are the methods and means to achieve the
objectives?
• Is this the optimal path?
Planning cont…
12/26/14 40Contemporary Management
1-41
Steps in the Planning Process
• Deciding which goals the organization will
pursue
• Deciding what courses of action to adopt
to attain those goals
• Deciding how to allocate organizational
resources
12/26/14 Contemporary Management
1-42
Planning cont..
• Complex, difficult activity
• Strategy to adopt is not always immediately
clear
• Done under
uncertainty
12/26/14 Contemporary Management
1-43
Organizing
Organizing is assembling and coordinating the
human, financial, physical, informational,
and other resources needed to achieve
goals
12/26/14 Contemporary Management
1-44
Organizing cont…
• Involves grouping people into departments
according to the kinds of job-specific tasks
they perform
• Managers lay out lines of authority and
responsibility
• Decide how to coordinate organizational
resources
12/26/14 Contemporary Management
1-45
Leading
• Leading is stimulating people to be high
performers. It is directing, motivating and
communicating with employees.
• Articulating a clear organizational vision for
its members to accomplish, and energize and
enable employees so that everyone
understands the part they play in achieving
organizational goals
12/26/14 Contemporary Management
• Provides positive and dynamic leadership
• Provides maximum opportunities
• Provides proper motivation of personnel
• Ability to command people
Directing/Leading
12/26/14 46Contemporary Management
Controlling
• Controlling is the management function of
monitoring progress and making changes.
• Steps in the Control Process
1) Establish Standards of Performance
2) Measure Actual Performance
3) Compare Performance to Standards:
4) Take Corrective Action
12/26/14 47Contemporary Management
1-48
Discussion Question
• What are the biggest challenge for
management in a Global Environment?
A. Building a Competitive Advantage
B. Maintaining Ethical Standards
C. Managing a Diverse Workforce
D. Global Crisis Management
12/26/14 Contemporary Management
1-49
Challenges for Management in
a Global Environment
• Rise of Global Organizations.
• Building a Competitive Advantage
• Maintaining Ethical Standards
• Managing a Diverse Workforce
• Utilizing Information Technology and
Technologies
• Global Crisis Management
12/26/14 Contemporary Management
1-50
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 its competitors
12/26/14 Contemporary Management
1-51
Building Blocks of Competitive Advantage
Figure 1.612/26/14 Contemporary Management
1-52
Building Competitive Advantage
• Increasing efficiency
– Reduce the quantity of resources used to
produce goods or services
• Increasing Quality
– Improve the skills and abilities of the workforce
– Introduce total quality management
12/26/14 Contemporary Management
1-53
Building Competitive Advantage
• Increasing speed, flexibility, and innovation
– How fast a firm can bring new products to
market
– How easily a firm can change or alter the way
they perform their activities
• Innovation
– Process of creating new or improved goods and
services that customers want
– Developing better ways to produce or provide
goods and services
12/26/14 Contemporary Management
1-54
Maintaining Ethical and Socially
Responsible Standards
• Managers are under considerable pressure
to make the best use of resources
• Too much pressure may induce managers to
behave unethically, and even illegally
12/26/14 Contemporary Management
1-55
Managing a Diverse Workforce
• To create a highly trained and motivated
workforce managers must establish HRM
procedures that are legal, fair and do not
discriminate against organizational
members
12/26/14 Contemporary Management
1-56
Global Crisis Management
May be the result of:
• Natural causes
• Manmade causes
• International terrorism
• Geopolitical conflicts
12/26/14 Contemporary Management
1-57
Some Management Aspects
• Core Competency: Specific set of departmental skills,
abilities, knowledge and experience that allows one
organization to outperform its competitors
• Restructuring: Involves simplifying, shrinking, or
downsizing an organization’s operations to lower operating
costs
• Outsourcing: Contracting with another company, to
perform a work activity the company previously performed
itself
• Empowerment: Involves giving employees more authority
and responsibility over the way they perform their work
activities
12/26/14 Contemporary Management
Thank you
• Question and Discussion
12/26/14 58Contemporary Management

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Overview of management

  • 2. Learning Outcomes • Explain the meaning of management • Understand organization and its performance • Explain the Managers and their types • Summarize the essential roles of managers • Describe the essential skills for managers • Describe the process of management • Discuss some major changes in management • Discuss the principal challenges managers face 12/26/14 2Contemporary Management
  • 3. What is Management? • Management is the process of working with people and resources to accomplish organizational goals. • Management is the attainment of organizational goals in an effective and efficient manner through planning, organizing, leading and controlling organizational resources. (Daft,2012) • Organizational resources include men(human beings), money, machines and materials. 12/26/14 3Contemporary Management
  • 4. What is Management? Cont… • Management is the art of getting things done through other people. Mary Parker Follet (1868-1933) • Management is the art of getting things done through and with people in formally organized group. (Koontz) • Management is the process of planning, organizing, commanding, coordinating and controlling. (Fayol,1930) • Management is the process of planning, organizing, leading and controlling, the efforts of organization members and of using all other organizational resources to achieve organizational goals. (Stoner and Freeman,2009) 12/26/14 4Contemporary Management
  • 5. Management? • Hence, Management can be broadly defined as a process of planning, organizing, leading and controlling the limited resources efficiently and effectively to achieve predetermined goals and objectives in an ever changing business environment. • The ultimate aim of management is to enhance the organizational productivity and performance. 12/26/14 5Contemporary Management
  • 6. Characteristics of Management • Management is a distinct process. • Management is an organized activity • Management aims at the accomplishment of predetermined objectives. • Management is both a science and an art. • Management is a group activity • Management principles are universal in nature • Management integrates human and other resources. 12/26/14 6Contemporary Management
  • 7. Why Study Management? 1. To maximize the utilization of scarce resources 2. To face the increasing competition for inputs and outputs 3. To enhance the quality of the products and services 4. To adopt/plan for the changes in the business environment 5. Helps people deal with their bosses and coworkers 6. Opens a path to a well-paying job and a satisfying career 7. Management offers challenging, exciting and creative opportunities for meaningful and fulfilling work. 1-712/26/14 Contemporary Management
  • 8. What is an Organization? • A group of people who work together in a structured way for a shared purpose (Cambridge Advanced Learners Dictionary) • An organization is a two or more people who work together in a structured way to achieve a specific goal or set of goals. (Stoner and Freeman,2009) • An organization is a deliberate arrangement of people to accomplish some specific purpose. (Robbins and Coulter, 2007) 12/26/14 8Contemporary Management
  • 9. Contemporary Management 9 What is an Organization? Cont.. • An Organization is – An arrangement of people and resources to accomplish some specific purpose • An organization can be any structured body such as department, business, company in private or public sector or nonprofit association. • Common Characteristics of Organizations – Have a distinct purpose (goal) – Composed of people – Have a deliberate structure 12/26/14
  • 10. Contemporary Management 1–10 The Changing Organization 12/26/14
  • 11. Organizational Performance • A measure of how efficiently and effectively managers use available resources to satisfy customers and achieve organizational goals • Efficiency – A measure of how well or how productively resources are used to achieve a goal • Effectiveness – A measure of the appropriateness of the goals an organization is pursuing and the degree to which they are achieved. 1-1112/26/14 Contemporary Management
  • 14. 1-14 Who is responsible for supervising the use of an organization’s resources to meet its goals? A. Team leader B. Manager C. President D. Resource allocator 12/26/14 Contemporary Management
  • 15. Manager/s • Managers – The people responsible for supervising the use of an organization’s resources to meet its goals. 1-1512/26/14 Contemporary Management
  • 16. Manager/s • The people responsible for directing the efforts aimed at helping organizations achieve their goals. (Stoner, Freeman and Gilbert, 2008) • Someone who coordinates and oversees the work of other people so that organizational goals can be accomplished. (Robbins and Coulter, 2012) • Someone whose primary responsibility is to carry out the management process. (Griffin,2012) 12/26/14 16Contemporary Management
  • 17. Types of Managers • The Level of Authority (Levels of Managers) 1) First line managers 2) Middle managers 3) Top managers • Scope of the Activities 1) Functional managers 2) General managers • Responsibility of the Activities 1) Line managers 2) Staff managers 12/26/14 17Contemporary Management
  • 18. Level of Managers 12/26/14 18Contemporary Management
  • 19. 1-19 Time that Managers Spend on the Managerial Functions Figure 1.412/26/14 Contemporary Management
  • 20. Scope of Activities 12/26/14 20Contemporary Management
  • 21. Manager’s Roles • Mintzberg 1) Interpersonal role 2) Informational role 3) Decisional role 12/26/14 21Contemporary Management
  • 22. Decisional Roles • Roles associated with methods managers use in planning strategy and utilizing resources 1) Entrepreneur—deciding which new projects or programs to initiate and to invest resources in. 2) Disturbance handler—managing an unexpected event or crisis. 3) Resource allocator—assigning resources between functions and divisions, setting the budgets of lower managers. 4) Negotiator—reaching agreements between other managers, unions, customers, or shareholders. 1-2212/26/14 Contemporary Management
  • 23. Interpersonal Roles • Roles that managers assume to provide direction and supervision to both employees and the organization as a whole 1) Figurehead—symbolizing the organization’s mission and what it is seeking to achieve. 2) Leader—training, counseling, and mentoring high employee performance. 3) Liaison—linking and coordinating the activities of people and groups both inside and outside the organization. 1-2312/26/14 Contemporary Management
  • 24. Informational Roles • Roles associated with the tasks needed to obtain and transmit information in the process of managing the organization. 1) Monitor—analyzing information from both the internal and external environment. 2) Disseminator—transmitting information to influence the attitudes and behavior of employees. 3) Spokesperson—using information to positively influence the way people in and out of the organization respond to it. 1-2412/26/14 Contemporary Management
  • 26. Discussion • Try to view some real-life situations from the management perspectives – what are the relevant management issues /problems you faced? Who is playing the manager’s role? How is he/she perform? What would be your suggestions/solutions? 12/26/14 26Contemporary Management
  • 27. Managerial Skills • Technical skills • Human skills • Conceptual skills 1-2712/26/14 Contemporary Management
  • 28. Technical Skills • A persons’ knowledge and ability to make effective use of any process or technique constitutes his technical skills. • Example: Engineer, Accountant, Data entry operator, Lawyer, Doctor etc. 12/26/14 28Contemporary Management
  • 29. Human Skills • An individuals’ ability to cooperate with other members of the organization and work effectively in teams. • Example: Interpersonal relationships, solving people’s problem and acceptance of other employees. 12/26/14 29Contemporary Management
  • 30. Conceptual Skills “Ability of an individual to analyze complex situations and to rationally process and interpret available information”. Example: Idea generation and analytical process of information. 12/26/14 30Contemporary Management
  • 31. Contemporary Management 31 What Makes a Good/Not-so-good Manager? Technical Skills • Professional, • Goodwill, willing to share his knowledge Human Skills • Good coordinator • Gain People’s support • Charming • Friendly • Nice Conceptual Skills • Ability to think • Logical • Fast mover • Chance/ Risk Taker • Lack of Knowledge • Not Organized • Difficult to find, always not in the office • Talking but not working • Highly paid • Not presentable • Careless • Not communicate with Team members • Not care about group members Good Manager Not-so-good Manager 12/26/14
  • 32. 1-32 Skill Types Needed Figure 1.512/26/14 Contemporary Management
  • 33. Mistakes Managers Make 6 Adapted from Exhibit 1.5 McCall & Lombardo, “What Makes a Top Executive?” Psychology Today, Feb 1983 1. Insensitive to others1. Insensitive to others 2. Arrogant (over confidence)2. Arrogant (over confidence) 3. Betrayal (disloyalty) of trust3. Betrayal (disloyalty) of trust 4. Overly (excessively) ambitions4. Overly (excessively) ambitions 5. Specific performance problems with the business5. Specific performance problems with the business 6. Overmanaging: unable to delegate or build a team6. Overmanaging: unable to delegate or build a team 7. Unable to staff effectively7. Unable to staff effectively 8. Unable to think strategically8. Unable to think strategically 9. Unable to adapt to boss with different style9. Unable to adapt to boss with different style 10. Overdependent on advocate or mentor10. Overdependent on advocate or mentor 12/26/14 33Contemporary Management
  • 34. What make managers successful? • Hard work • Smart work • Patience • Out of box thinking • Reading and acquiring knowledge • Ethical consciousness (awareness) • Collaborative relationship • Perseverance (firmness) 12/26/14 34Contemporary Management
  • 35. Contemporary Management 1–35 Rewards and Challenges of Being A Manager 12/26/14
  • 36. Contemporary Management 1–36 How the Manager’s Job is Changing? • The increasing importance of Customers – Customers: the reason that organizations exist • Managing customer relationships is the responsibility of all managers and employees. • Consistent high quality customer service is essential for survival. • Innovation – Doing things differently, exploring new territory, and taking risks • Managers should encourage employees to be aware of and act on opportunities for innovation. 12/26/14
  • 37. Contemporary Management 1–37 Changes Impacting the Manager’s Job 12/26/14
  • 38. Functions or Process of Management 1-38 Figure 1.212/26/14 Contemporary Management
  • 39. Planning • Process of identifying and selecting appropriate organizational goals and courses of action. • Planning is determining the objectives and formulating the methods to achieve them. It is more simply said than done. A job well planned is half done. 1-3912/26/14 Contemporary Management
  • 40. • During planning one needs to ask oneself the following: • What am I trying to accomplish i.e. what is my objective? • What resources do I have and do I need to accomplish the same? • What are the methods and means to achieve the objectives? • Is this the optimal path? Planning cont… 12/26/14 40Contemporary Management
  • 41. 1-41 Steps in the Planning Process • Deciding which goals the organization will pursue • Deciding what courses of action to adopt to attain those goals • Deciding how to allocate organizational resources 12/26/14 Contemporary Management
  • 42. 1-42 Planning cont.. • Complex, difficult activity • Strategy to adopt is not always immediately clear • Done under uncertainty 12/26/14 Contemporary Management
  • 43. 1-43 Organizing Organizing is assembling and coordinating the human, financial, physical, informational, and other resources needed to achieve goals 12/26/14 Contemporary Management
  • 44. 1-44 Organizing cont… • Involves grouping people into departments according to the kinds of job-specific tasks they perform • Managers lay out lines of authority and responsibility • Decide how to coordinate organizational resources 12/26/14 Contemporary Management
  • 45. 1-45 Leading • Leading is stimulating people to be high performers. It is directing, motivating and communicating with employees. • Articulating a clear organizational vision for its members to accomplish, and energize and enable employees so that everyone understands the part they play in achieving organizational goals 12/26/14 Contemporary Management
  • 46. • Provides positive and dynamic leadership • Provides maximum opportunities • Provides proper motivation of personnel • Ability to command people Directing/Leading 12/26/14 46Contemporary Management
  • 47. Controlling • Controlling is the management function of monitoring progress and making changes. • Steps in the Control Process 1) Establish Standards of Performance 2) Measure Actual Performance 3) Compare Performance to Standards: 4) Take Corrective Action 12/26/14 47Contemporary Management
  • 48. 1-48 Discussion Question • What are the biggest challenge for management in a Global Environment? A. Building a Competitive Advantage B. Maintaining Ethical Standards C. Managing a Diverse Workforce D. Global Crisis Management 12/26/14 Contemporary Management
  • 49. 1-49 Challenges for Management in a Global Environment • Rise of Global Organizations. • Building a Competitive Advantage • Maintaining Ethical Standards • Managing a Diverse Workforce • Utilizing Information Technology and Technologies • Global Crisis Management 12/26/14 Contemporary Management
  • 50. 1-50 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 its competitors 12/26/14 Contemporary Management
  • 51. 1-51 Building Blocks of Competitive Advantage Figure 1.612/26/14 Contemporary Management
  • 52. 1-52 Building Competitive Advantage • Increasing efficiency – Reduce the quantity of resources used to produce goods or services • Increasing Quality – Improve the skills and abilities of the workforce – Introduce total quality management 12/26/14 Contemporary Management
  • 53. 1-53 Building Competitive Advantage • Increasing speed, flexibility, and innovation – How fast a firm can bring new products to market – How easily a firm can change or alter the way they perform their activities • Innovation – Process of creating new or improved goods and services that customers want – Developing better ways to produce or provide goods and services 12/26/14 Contemporary Management
  • 54. 1-54 Maintaining Ethical and Socially Responsible Standards • Managers are under considerable pressure to make the best use of resources • Too much pressure may induce managers to behave unethically, and even illegally 12/26/14 Contemporary Management
  • 55. 1-55 Managing a Diverse Workforce • To create a highly trained and motivated workforce managers must establish HRM procedures that are legal, fair and do not discriminate against organizational members 12/26/14 Contemporary Management
  • 56. 1-56 Global Crisis Management May be the result of: • Natural causes • Manmade causes • International terrorism • Geopolitical conflicts 12/26/14 Contemporary Management
  • 57. 1-57 Some Management Aspects • Core Competency: Specific set of departmental skills, abilities, knowledge and experience that allows one organization to outperform its competitors • Restructuring: Involves simplifying, shrinking, or downsizing an organization’s operations to lower operating costs • Outsourcing: Contracting with another company, to perform a work activity the company previously performed itself • Empowerment: Involves giving employees more authority and responsibility over the way they perform their work activities 12/26/14 Contemporary Management
  • 58. Thank you • Question and Discussion 12/26/14 58Contemporary Management

Notas do Editor

  1. The correct answer is “B” Manager. See next slide
  2. Exhibit 1.5 lists the top 10 mistakes managers make. These mistakes make the difference between “arrivers” and “derailers.” Both groups were very similar and had enjoyed past success. The biggest difference between the two were how they managed people. Arrivers were much more effective in their interpersonal skills than were derailers. Use this fact to reinforce the importance of being able to manage people rather than just processes, when it comes to management effectiveness.
  3. There is no one correct answer. It will depend on the firm and it’s industry. Some firms need to spend more time with ethics, others with building a competitive advantage, etc. Students should be prepared to discuss based on an industry they are familiar with.
  4. Increasing efficiency Reduce the quantity of resources used to produce goods or services Increasing Quality Improve the skills and abilities of the workforce Introduce total quality management Increasing speed, flexibility, and innovation How fast a firm can bring new products to market How easily a firm can change or alter the way they perform their activities Innovation Process of creating new or improved goods and services that customers want Developing better ways to produce or provide goods and services