2. Management Control
• Why Management
– If not you, who?
• What is Management?
• What Needs to be Done?
• Who Will do It?
• Framework for Management
Decision Making
5. 4 Key Management Activities
• Planning
– Setting goals, developing work maps, showing how these
goals can be accomplished
• Organizing
– Bringing together resources, determining effective ways of
accomplishing goals, integrating resources
• Directing
– Ensuring that work functions are performed, identifying who
will do given tasks and motivating people to do them
• Controlling
– Feedback of results, follow-ups, making adjustments where
needed
6. Top Management Work
• Technical Skill
– Ability to use knowledge, methods, techniques, and
equipment necessary for the performance of tasks
• Human Skill
– Ability and judgment in working with and through people
including and understanding of motivation and effective
leadership
• Conceptual Skill
– Ability to understand the complexities of the overall
organization and how the various parts fit together, interact
and contribute to or inhibit the organizations effective
operation
7. Who Will Do The Work?
• Problems:
– One-man-band syndrome
• One person ends up doing everything
• Ineffective way to run a business
– Fire Fighting
• All attention is devoted to the biggest
problem at the time
• May fail to allocate time to the performance
of other important functions
8. Motivating Employees
• Theory X
– Tell employees what to do
– Punish for work not done
• Theory Y
– Involve employees in
designing their work
– Reward for work
accomplished
9. Management By Exception
MBE:
• Routine decisions and actions are
handled through policy guidelines
• Only exceptions, deviations, or
emergencies are routed up through
the management hierarchy
11. Step #1: Identify Goals
Examples:
• I want to achieve $_______ in sales over the next
five years.
• I want to develop _______ new products during
the next operating period.
• I want to add _______ new customers over the
next 18 months.
• I want to penetrate the _______ market.
12. Step #2: Develop Work Plans
• Select the best route for arriving at your goal
– What are you going to do?
– What must you do to get there?
– What specifically needs to happen before the
goals can be accomplished?
• Specific Plan
– Ex. Add a new salesperson
• Recruit à Select à Hire à Orient à Train à Adds to
your objective
13. Step #3: Anticipate Problems
• Proactive vs. Reactive
– Anticipating problems gives you the opportunity
to prepare
• Contingency Planning
– Decide what will be done if it does not work out
– Also plan what will be done if the business grows
too fast
14. 3 Problems With Business Success
1. Compression of Time
2. Compression of People
3. Compression of Money
15. Step #4: Establish Evaluation Criteria
• Communication between management and
employees
• Follow up on what has been done
• Review what still needs to be done
16. Organizational Mapping
• Functional/Task approach
– Map out tasks
– Assign time to tasks
– Map out staff
– Assign tasks to staff
– Compare total task time to total staff
time
