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    Chapter 1

    INTRODUCTION

    TO MANAGEMENT

    AND

    ORGANIZATIONS 2003 Pearson Education Canada Inc.

    1.1

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    2003 Pearson Education Canada Inc.

    LEARNING OBJECTIVES

    You should be able to:

    Explain what a manager is and how the role of

    a manager has changed Define management

    Distinguish between efficiency andeffectiveness

    Describe the basic management functions andthe management process

    Identify the roles performed by managers

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    2003 Pearson Education Canada Inc.

    LEARNING OBJECTIVES

    (continued) You should be able to:

    Describe the skills managers need

    Explain what managers do using the systemsperspective

    Identify what managers do using thecontingency perspective

    Describe what an organization is and how theconcept of an organization has changed

    Explain the value of studying management

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    2003 Pearson Education Canada Inc.

    WHO ARE MANAGERS?

    Manager

    Someone who works with and through other

    people by coordinating their work activities in

    order to accomplish organizational goals

    Changing nature of organizations and work has

    blurred the clear lines of distinction between

    managers and non-managerial employees

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    2003 Pearson Education Canada Inc.

    WHO ARE MANAGERS?

    (continued) Managerial Titles

    F irst-line managers- manage the work of non-managerial individuals who are directly involved with theproduction or creation of the organizations products

    M iddle managers- all managers between the first-linelevel and the top level of the organization who managefirst line managers

    Top managers- responsible for making organization-wide decisions and establishing the plans and goals that

    affect the entire organization

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    ORGANIZATIONAL LEVELS (Exhibit 1.1)

    Non-managerial Employees

    Top

    Managers

    Middle

    Managers

    First-line

    Managers

    1.6 2003 Pearson Education Canada Inc.

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    2003 Pearson Education Canada Inc.

    WHAT IS MANAGEMENT? Management

    The process of coordinating work activities so

    that they are completed efficiently and

    effectively with and through other people Elements of definition

    Process- represents ongoing functions or

    primary activities engaged in by managersCoordinating- distinguishes a managerial

    position from a non-managerial one

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    2003 Pearson Education Canada Inc.

    WHAT IS MANAGEMENT?

    (continued) Management (continued)

    Elements of definition (continued)

    Ef f iciency- getting the most output from the leastamount of inputs

    doing things right concerned with means

    Effectiveness- completing activities so thatorganizational goals are attained

    doing the right things concerned with ends

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    EFFICIENCY AND EFFECTIVENESS IN

    MANAGEMENT (Exhibit 1.2)

    Management Strives For:

    Low resource waste (high efficiency)

    High goal attainment (high effectiveness)

    Resource

    Usage

    Efficiency (Means)

    Goal

    Attainment

    Effectiveness (Ends)

    Low Waste High Attainment

    1.9 2003 Pearson Education Canada Inc.

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    2003 Pearson Education Canada Inc.

    WHAT DO MANAGERS DO?

    Management Functions

    Planning- defining goals, establishing strategiesfor achieving those goals, and developing plans tointegrate and coordinate activities

    Organizing- determining what tasks are to bedone, who is to do them, how the tasks are to begrouped, who reports to whom, and wheredecisions are to be made

    Leading- motivating subordinates and influencingindividuals or teams

    Controlling- monitoring actual performanceagainst goals

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    2003 Pearson Education Canada Inc.

    WHAT DO MANAGERS DO?

    (continued)

    Management Process

    Management process

    Set of ongoing decisions and work activities in

    which managers engage as they plan, organize,

    lead, and control

    Managerial activities are usually done in a

    continuous manner

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    2003 Pearson Education Canada Inc.

    WHAT DO MANAGERS DO?

    (continued)

    Management Roles Specific categories of managerial behaviour

    I nterpersonal- involve people and duties that

    are ceremonial and symbolic in natureInformational- involve receiving, collecting,

    and disseminating information

    Decisional- revolve around making choices

    Emphasis that managers give to the various roles

    seems to change with their organizational level

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    MINTZBERGS MANAGERIAL ROLES(Exhibit 1.4)

    1.13 2003 Pearson Education Canada Inc.

    WHAT DO MANAGERS DO?

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    2003 Pearson Education Canada Inc.

    WHAT DO MANAGERS DO?

    (continued)

    Management SkillsTechnical- knowledge of and proficiency in a certain

    specialized field

    Human- ability to work well with other people both

    individually and in a groupConceptual- ability to think and to conceptualize about

    abstract and complex situations

    see the organization as a whole

    understand the relationships among subunits

    visualize how the organization fits into its broaderenvironment

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    SKILLS NEEDED AT DIFFERENT MANAGEMENT

    LEVELS (Exhibit 1.5)

    1.15 2003 Pearson Education Canada Inc.

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    2003 Pearson Education Canada Inc.

    WHAT DO MANAGERS DO?

    (continued)

    Managing Systems

    System- a set of interrelated and

    interdependent parts arranged in a manner thatproduces a unified whole

    Closed system- a system that is not influencedby and does not interact with its environment

    Open system- dramatically interact with theirenvironment

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    System

    THE ORGANIZATION AS AN OPEN SYSTEM (Exhibit 1.7)

    Transformation

    Employees workactivities

    Management

    activities

    Technology and

    operations methods

    OutputsInputs

    Raw materialsHuman resources

    Capital

    Technology

    Information

    Products and servicesFinancial results

    Information

    Human results

    Environment

    Environment

    Feedback

    1.17 2003 Pearson Education Canada Inc.

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    2003 Pearson Education Canada Inc.

    WHAT DO MANAGERS DO?

    (continued) Managing Systems (continued)

    Managers must

    coordinate various work activities

    ensure that interdependent parts work together

    recognize and understand the impact of

    various external factors

    Decisions and actions taken in one organizationalarea will affect other areas and vice versa

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    2003 Pearson Education Canada Inc.

    WHAT DO MANAGERS DO?

    (continued) Managing in Different and Changing

    Situations

    Contingency perspective- different ways

    of managing are required in differentorganizations and different circumstances

    No simple or universal rule for managers

    to follow Requires that managers actions be

    appropriate for the situation

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    POPULAR CONTINGENCY VARIABLES

    (Exhibit 1.8)

    1.20 2003 Pearson Education Canada Inc.

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    2003 Pearson Education Canada Inc.

    WHAT IS AN ORGANIZATION? Organization

    Deliberate arrangement of people to accomplish somespecific purpose

    Characteristics of an organization

    distinct purpose

    deliberate structure people

    Todays organizations have adopted:

    flexible work arrangements

    open communications

    greater responsiveness to changes

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    2003 Pearson Education Canada Inc.

    CHARACTERISTICS OF AN

    ORGANIZATION (Exhibit 1.9)

    Distinct Purpose

    People

    DeliberateStructure

    1.22

    THE CHANGING ORGANIZATION

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    THE CHANGING ORGANIZATION

    (Exhibit 1.10)

    1.23 2003 Pearson Education Canada Inc.

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    2003 Pearson Education Canada Inc.

    WHY STUDY MANAGEMENT?

    Universality of Management

    Management is needed

    in all types and sizes of organizations

    at all organizational levels

    in all work areas

    Management functions must beperformed in all organizations

    consequently, have vested interest inimproving management

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    UNIVERSAL NEED FOR MANAGEMENT

    (Exhibit 1.11)

    1.25 2003 Pearson Education Canada Inc.

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    2003 Pearson Education Canada Inc.

    WHY STUDY MANAGEMENT?

    (continued) The Reality of Work

    Most people have some managerial responsibilities

    Most people work for a manager

    Rewards of being a manager Create an environment that allows others to do their

    best work

    Provide opportunities to think creatively

    Help others find meaning and fulfillment Meet and work with a variety of people

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    2003 Pearson Education Canada Inc.

    WHY STUDY MANAGEMENT?

    (continued)

    Challenges of being a manager- Being a manager is hard work

    - Must deal with a variety of

    personalities

    - Must motivate workers in the face of

    uncertainty

    1.27