Management 1 - 4

Managers and the Management
Process

CHAPTER 1

What does it mean to be a manager?

 Organizations have different levels and different
types of managers

 Accountability is a cornerstone of managerial
performance

 Effective managers help each other achieve high
performance
 Managers must meet multiple changing expectations

What do Managers do and What Skills do They
Use?

 Managerial work is often intense and demanding
 Managers plan, organize, lead and control

 Managers enact informational, interpersonal and
decisional roles

 Managers pursue action agendas and engage in
networking
 Managers use a variety of technical, human and
conceptual skills

Six “Must Have” Managerial Skills

* Teamwork. Able to work eff ectively as team member and leader; strong on team contributions,
leadership, confl ict management, negotiation, consensus building

* Self-Management. Able to evaluate self, modify behavior, and meet obligations;
strong on ethical reasoning, personal fl exibility, tolerance for ambiguity, performance
Responsibility

* Leadership .Able to infl uence and support others to perform complex and ambiguous
tasks; strong on diversity awareness, project management, strategic action

* Critical Th inking. Able to gather and analyze information for problem solving; strong
on information analysis and interpretation, creativity and innovation, judgment, and
decision making

* Professionalism .Able to sustain a positive impression and instill confi dence in others;
strong on personal presence, initiative, and career management

* Communication .Able to express self well in communication with others; strong on
writing, oral presentation, giving and receiving feedback, technology utilization

What are some important career issues in the new workplace?

 Globalization and job migration are the changing
world of work
 Failures of ethics and corporate governance are
troublesome
 Diversity and discrimination are continuing social
priorities
 Intellectual, capital and self-management skills are
essential for career success

Management Learning

CHAPTER 2

What are the lessons of classical management approaches?

 Taylor‟ s Scientific Management sought efficiency in
job performance
 Weber‟s bureaucratic organization is supposed to be
efficient and fair
 Fayol‟s administrative principles describe
managerial duties and practices

Weber

 Table 2.1 Characteristics of an Ideal Bureaucracy
 Clear Division of Labor Jobs are well defi ned, and workers
become highly skilled at performing them.
 Clear Hierarchy of Authority Authority and responsibility are
well defined, and each position reports to a higher-level one.
 Formal Rules and Procedures Written guidelines describe
expected behavior and decisions in jobs; written files are kept
for the historical record.
 Impersonality Rules and procedures are impartially and
uniformly applied; no one gets preferential treatment.
 Careers Based on Merit Workers are selected and promoted
on ability and performance; managers are career employees of
the organization.

The 14 Management Principles from Henri Fayol (1841-1925)

 Division of Work. Specialization allows the individual to build up experience, and to
continuously improve his skills.
 Authority. The right to issue commands, along with which must go the balanced responsibility
for its function.
 Discipline. Employees must obey, but this is two-sided: employees will only obey orders if
management play their part by providing good leadership.
 Unity of Command. Each worker should have only one boss with no other conflicting lines of
command.
 Unity of Direction. People engaged in the same kind of activities must have the same
objectives in a single plan.
 Subordination of individual interest (to the general interest). Management must see that
the goals of the firms are always paramount.
 Remuneration. Payment is an important motivator although by analyzing a number of
possibilities, Fayol points out that there is no such thing as a perfect system.
 Centralization (or Decentralization). This is a matter of degree depending on the condition of
the business and the quality of its personnel.

 Scalar chain (Line of Authority). Scalar chain refers to the number
of levels in the hierarchy from the ultimate authority to the lowest
level in the organization.
 Order. Both material order and social order are necessary.
 Equity. Treating employees well is important to achieve equity.
 Stability of Tenure of Personnel. Employees work better if job
security and career progress are assured to them.
 Initiative. Allowing all personnel to show their initiative in some
way is a source of strength for the organization. Even though it may
well involve a sacrifice of „personal vanity‟ on the part of many
managers.
 Esprit de Corps. Management must foster the morale of its
employees.

What are the contributions of Behavioral Management
Approaches?

 Follett viewed organizations as communities of
cooperative action. making every employee an
owner in the business would create feelings of
collective responsibility.
 The Hawthorne studies focused attention on the
human side of organizations
 Maslow described a hierarchy of human needs with
self-actualization on top

 McGregor believed managerial assumptions create
self-fulfilling prophecies
 Argyris suggests that workers treated as adults will
be more productive

What are the foundations of Modern Management Thinking?

 Managers use quantitative analysis and tools to solve
complex problems
 Organizations are open systems that interact with
their environments
 Contingency thinking holds that there is no one best
way to manage

 Quality management focuses attention on
continuous improvement
 Evidence-based management seeks hard facts about
what really works

Ethics and Social Responsibility

CHAPTER 3

How do Ethics and Ethical Behavior Play out in the
Workplace?

 Ethical behavior is values driven
 What is considered ethical; varies among moral
reasoning approaches

 What is considered Ethical can vary across cultures
 Ethical dilemmas arise as tests of personal ethics and
values
 People have tendencies to rationalize unethical
behaviors

How can we maintain high standards of ethical
conduct?

 Personal character and moral development influence
ethical decision making
 Training in ethical decision making can improve
ethical conduct
 Protection of whistleblowers can encourage ethical
conduct

 Managers as positive role models can inspire ethical
conduct
 Formal codes of ethics set standards for ethical
conduct

What should we know about the social responsibilities of organizations?

 Social responsibility is an organization's obligation to
best serve society
 Scholars argue cases for and against corporate social
responsibility

 Social responsibility audits measure the social
performance of organizations

 Sustainability is an important social responsibility
goal
 Social business and social entrepreneurship point
the way in social responsibility

Managers as Decision Makers

CHAPTER 4

 Problem A: A real estate developer wants to control costs and
finish building a new apartment complex on time. Quantitative
approach: Network models like the Gantt chart pictured
nearby break large tasks into smaller components to track
completion of many different activities on the required
timetables.
 Problem B:An oil exploration company is worried about
future
petroleum reserves in various parts of the world. Quantitative
approach: Mathematical forecasting helps make future
projections for reserve sizes and depletion rates that are
useful in the planning process.

 Problem C: A big box retailer is trying to deal with
pressures on profi t margins by minimizing costs of
inventories while never being “out of stock” for
customers. Quantitative approach: Inventory analysis
helps control inventories by mathematically
determining how much to automatically
order and when.
 Problem D: A grocery store is getting complaints from
customers that waiting times are too long for checkouts
during certain times of the day. Quantitative approach:
Queuing theory helps allocate service personnel and
workstations based on alternative workload demands
and in a way that minimizes both customer waiting times
and costs of service workers.

How do managers use information to solve problems?

 Managers deal with problems posing threats and
offering opportunities
 Managers can be problem avoiders, problems solvers
or problem seekers
 Managers make programmed and nonprogrammed
decisions when solving problems
 Managers can use systematic and intuitive thinking
 Managers make decisions under conditions of
certainty, risk and uncertainty

What are five steps in the decision-making process?

 Step 1 is to identify and define the problem
 Step 2 is to generate and evaluate alternative
courses of action
 Step 3 is to decide on a preferred course of
action
 Step 4 is to implement the decision
 Step 5 is to evaluate results
 Ethical reasoning is important at all steps in
decision making

What are some issues in managerial decision making?

 Personal factors help drive creativity in decision
making
 Group decision making has both advantages and
disadvantages
 Judgmental heuristics and other biases and traps
may cause decision-making errors
 Managers must be prepared for crisis decision-
making

Management 1 - 4

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Management 1 - 4