ch.1 basic
DESCRIPTION
A major part of a management course.TRANSCRIPT
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1. ho are Managers !
Q1: Explain How Managers Difer From Non-Managerial Employees.
- Managers :Coordinate and o"ersee the #or$ of other people so that organizationalgoals can %e accomplished.
- Non-Managerial Employees :or$ directl& on a 'o% or tas$ and ha"e no onereporting to them.
Q2: Describe how o classi!y managers in organi"aions.
- Traditionally Structured Organizations :(a"e )rst*line+ middle+ and topmanagers.
- In other more loosely confgured organizations, -he managers ma& not %e asreadil& identi)a%le+ although someone must ful)ll that rule.
e"els Of Management ,
0. hat is Management !
Q1: De#ne Managemen.
Management in"ol"es coordinating and o"erseeing the ecient and e2ecti"e
completion of others3 #or$ acti"ities.
Chapter ! "
Introduction to Management and
Organizations
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Q2: Explain why e$ciency an% Efeci&eness are imporan omanagemen.
# E$ciency :Means doing things right. E%ecti&eness :Means doing theright things.
52ecti"eness and 5cienc& in Management ,
6. hat managers do !
Q1: Describe he !o'r !'ncions o! managemen.
The Four Functions Of Management are :'( )lanning, 7e)ning goals+ esta%lishing strategies and de"eloping plans.
*( Organizing, Arranging and 8tructuring #or$.
C( +eading, or$ing #ith and through people.
,( Controlling, Monitoring+ Comparing and Correcting or$ Performance.
Management 9unctions ,
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Q2: Explain Min"berg(s managerial roles.
Mintzbergs Managerial Roles Include :
'( Interpersonal, hich in"ol"es people and other ceremonial/s&m%olic duties: )gurehead+ leader+ and liaison;.
*( Inormational , hich in"ol"e collecting+ recei"ing and disseminating information: Monitor+ disseminator+ and spo$esperson ;.
C( ,ecisional, #hich in"ol"es ma$ing choice : 5ntrepreneur+ distur%ance hander+resource allocator + and negotiator;.
Mintz%erg3s Managerial
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-he 7ictionar& Of -his PartNo. ord -ranslation
! 'ccomplish =>?@
. 'rrange B?@ / DE@
3 Ceremonial FGHJKL
/ Compare H@0 Confgured @QRD
1 Coordinate ST?@
2 Correcting UQV@ / WXV@
,ecisional 4oles Y@LEGL LZ[\L
5 ,istur6ance 7andler ]H^LE_`G bGH
!8 ,isseminating ?@ / E?@
!! ,isseminator H / EH
!. E%ecti&eness YjkHGL
!3 E$ciency HRGL
!/ Ensure qJ@ / @!0 Entrepreneur [H@EGL / [HGL
!1 Esta6lish v?@
!2 9igurehead = / Qw
! 9ulfll FxQ@ / =>?@
!5 9unctions yH{Z
.8 oal 'ttainment |}GL SjXD
.! Identifa6le |E~ / =j
.. Inormational 4oles YjDHQkGL LZ[\L
.3 Interpersonal 4oles YjkHJGL LZ[\L
./ +eader H.0 +eading [Hj
.1 +iaison wZ YkK
.2 +oosely Y@EX^ / Sjk R^
. Manager E@GL
.5 Management L[L
38 Managerial 4oles Y@L[L LZ[\
3! Monitoring YLEGL
3. Negotiator ZHGL
33 Non-Managerial
Employees
: @E@GL Ej ; j{QGL
3/ Organization YB?GL
30 O&ersee LE@
31 4eadily YGQ}T^
32 4esource 'llocator [LQGL Q
3 Setting oals |L\L `Z
35 Spo;es )erson H^ XJGL
/8 Stated )urposes Y?kGL |L\L / LE\L
/! Strategies Yj>jDLEJL _
/. Stri&e `H?@ / WxHR@
/3 Structure H?GL / Rj}GL
// Structured F? / B?/0 Sym6olic ,uties Y@=EGL ]HLQGL
/1 Traditionally H@jkD
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* 7escri%e atz3s three essential managerial s$ills and ho# the importance of theses$ills changes depending on managerial le"el.* 7iscuss the changes that are impacting manager3s 'o%s.* 5plain #h& customer ser"ice and inno"ation are important to the manager3s 'o%.
atz3s managerial s$ills include technical : 'o%*speci)c+ $no#ledge and techniues ;+human: a%ilit& to #or$ #ell #ith people ;+ and conceptual : a%ilit& to thin$ andconceptualize ;. -echnical s$ills are most important for lo#er*le"el managers+ #hileconceptual s$ills are most important for top managers. (uman 8$ills are euall&important for all managers.
-he changes facing manager3s 'o%s include technolog& : digitalization ;+ increasedsecurit& threats+ increased emphasis on ethics and increased competiti"eness.
Managers must %e concerned #ith customer ser"ice %ecause emplo&ee attitudes and%eha"iors pla& a %ig role in customer satisfaction. Managers must also %e concerned#ith inno"ation %ecause it is important for organizations to %e competiti"e.
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* 8$ills Needed at 7i2erent Managerial e"els ,
Important Managerial 8$ills ,
* 7elegating 52ecti"el& : ma$ing sure or$ gets done right ;.* eing an e2ecti"e Communicator.* -hin$ing Criticall&.* Managing or$ oad/time.* Identif&ing clear roles for emplo&ees.* Creating an 5n"ironment of openness+ trust and challenge.
Changes A2ecting a Manager3s o% ,
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hat Is An Organization!
* 5plain the characteristics of an organization.* 7escri%e ho# toda&3s organizations are structured.
An Organization has three characteristics , A distincti"e purpose+ composed of people+and a deli%erate structure. Man& of toda&3s Organizations are more open+ ei%le+ andresponsi"e to changes than organizations once #ere.
* Characteristics of Organizations ,
h& 8tud& Management!
* 7iscuss #h& it3s important to understand management.* 5plain the uni"ersalit& of management concept.* 7escri%e the re#ards and challenges of %eing a manager.
It3s Important to stud& management for three reasons , :1; -he ni"ersit& ofManagement+ #hich refers to the fact that managers are needed in all t&pes and sizesof organizations+ at all organizational le"els and #or$ areas+ and in all glo%allocations :0; -he realit& of or$ that is+ &ou #ill either manage or %e managed and :6; -he a#areness that there are signi)cant re#ards
: such as creating #or$ en"ironment to help people #or$ to the %est of their a%ilities+supporting and encouraging others+ helping others )nd meaning and ful)llment in#or$+ etc. ; and challenges :such as it3s hard #or$+ ma& more clerical than managerialties+ ha"e to deal #ith a "ariet& of personalities+ etc.; in %eing a manager.
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ni"ersal Need for Management ,
*
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1. hat is 9inance !
* 9inance ,can %e de)ned as the science and art of managing mone&.
* Managerial 9inance ,is concerned #ith the duties of the )nancialmanager #or$ing in a %usiness.
- The Key Financial decisions facing the nancial manager of anybusiness rm are :
!- Capital *udgeting ,ecisions :
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Corporate Organization ,
0. oal of the )rm
A. Maimize 8hareholder ealth,ecision 4ule 9or Managers : = Only ta;e actions that are e>pected to increase the
share price(?
YjGHGL ZGL j H
Y?@=GL / @QJGL E@FGHGL LEGL
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. Maimize Pro)t !
hich In!estment is "referred #
# )roft ma>imization may not lead to the highest possi6le share price or at leastthree reasons :
1. -iming is importantthe receipt of funds sooner rather than later is preferred.0. Pro)ts do not necessaril& result in cash o#s a"aila%le to stoc$holders.6. Pro)t maimization fails to account for ris$.
C. hat a%out 8ta$eholders !
# Sta;eholders :are groups such as emplo&ees+ customers+ suppliers+ creditors+o#ners+ and others #ho ha"e a direct economic lin$ to the )rm.
A )rm #ith a sa)ehol%er !oc'sconsciousl& a"oids actions that #ould pro"edetrimental to sta$eholders. -he goal is not to maimize sta$eholder #ell*%eing %ut topreser"e it.
8uch a "ie# is considered to %e sociall& responsi%le.
6. Managerial 9inance 9unction
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No# contrast the di2erences in performance under the accounting method : accrual%asis ; "ersus the )nancial "ie# : cash asis ; ,
$ Finance and accounting also di%er &ith res'ect to decision-ma(ing :
Accountants de"ote most of their attention to the collecion an% presenaion o!#nancial %aa.
9inancial Managers e"aluate the accounting statements+ de"elop additional data+and ma)e %ecisionson the %asis of their assessment of the associated returns andris$s.
4. o"ernance and Agenc& Corporate o"ernance ,# Corporate o&ernance :refers to the rules+ processes+ and la#s %& #hichcompanies are operated+ controlled+ and regulated.
nli$e indi"idual in"estors+ institutional in"estors often monitor and directl&inuence a )rm3s corporate go"ernance %& eerting pressure on management to
perform or communicating their concerns to the )rm3s %oard.- ' )rincipal-'gent 4elationship :is an arrangement in #hich an agent actson the %ehalf of a principal. 9or 5ample + 8hareholders of a compan& : principals ;elect management : agents ; to act on their %ehalf.
- 'gency )ro6lem :arise #hen managers place personal goals ahead of thegoals of shareholders.
- 'gency Costs :arise from agenc& pro%lems that are %orne %& shareholders andrepresent a loss of shareholder #ealth.
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