4. Learning outcomes
At the end of this chapter, the learner will able
able to:
Define management terms
Explain managerial roles and functions
Explain the features of management
Discuss the challenges facing management
today
5. Overview of the Lecture
Definition of terms
Managerial Roles and Functions.
Features of Management
Managerial Skills
Levels of Management
Universality of Management
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6. Definitions
Management is:
The process of achieving organisational
goals by engaging in the four major functions
of planning, organising, leading and
controlling. (Bartol et al,. 2001).
The capacity to create a work environment in
such a way that each person is uniquely
motivated to achieve the organisational goals
and feels recognised for so doing. (Carlopio
et al, 2004)
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7. Definition…Cont’d
Management is about coping with
complexity. Dealing with planning and
budgeting, organising and staffing, and
controlling and problem solving. (Kotter,
2003).
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8. Definition…Cont’d
Organizations: People working together and
coordinating their actions to achieve specific
goals.
Goal: A desired future condition that the
organization seeks to achieve.
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9. Definition…Cont’d
Resources are organizational assets and
include:
People,
Machinery,
Raw materials,
Information, skills,
Financial capital.
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10. Definition…Cont’d
Managers are the people responsible for
supervising the use of an organization’s
resources to meet its goals.
11. Organizational Performance
Measures how efficiently and effectively
managers use resources to satisfy customers
and achieve goals.
Efficiency: A measure of how well
resources are used to achieve a goal.
Usually, managers must try to minimize
the input of resources to attain the same
goal.
12. Performance cont’d
Effectiveness: A measure of the appropriateness
of the goals chosen (are these the right
goals?), and the degree to which they are
achieved.
Organizations are more effective when
managers choose the correct goals and
then achieve them
13. Henri Fayol was the first to describe the four
managerial functions when he was the CEO of a
large mining company in the later 1800’s.
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Managerial Functions
14. Managerial Functions
cont’d
Fayol noted managers at all levels, operating in
a for profit or not for profit organization, must
perform each of the functions of:
Planning,
organizing,
leading,
controlling.
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15. Four Functions of Management
Figure 1.2 Planning
Choose Goals
Organizing
Working together
Leading
Coordinate
Controlling
Monitor & measure
1-8
16. Planning
Planning is the process used by managers to
identify and select appropriate goals and
courses of action for an organization.
3 steps to good planning :
1. Which goals should be pursued?
2. How should the goal be attained?
3. How should resources be allocated?
17. Planning cont’d
The planning function determines how
effective and efficient the organization is and
determines the strategy of the organization.
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18. Organizing
In organizing, managers create the structure of
working relationships between organizational
members that best allows them to work
together and achieve goals.
Managers will group people into departments
according to the tasks performed.
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19. Organizing cont’d
Managers will also lay out lines of authority
and responsibility for members.
An organizational structure is the outcome of
organizing. This structure coordinates and
motivates employees so that they work
together to achieve goals.
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20. Leading
In leading, managers determine direction,
state a clear vision for employees to follow,
and help employees understand the role they
play in attaining goals.
Leadership involves a manager using power,
influence, vision, persuasion, and
communication skills.
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21. Leading cont’d
The outcome of the leading function is a high
level of motivation and commitment from
employees to the organization.
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22. Controlling
In controlling, managers evaluate how well the
organization is achieving its goals and takes
corrective action to improve performance.
Managers will monitor individuals,
departments, and the organization to
determine if desired performance has been
reached.
Managers will also take action to increase
performance as required.
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23. Controlling cont’d
The outcome of the controlling function is the
accurate measurement of performance and
regulation of efficiency and effectiveness.
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24. Management Levels
Organizations often have 3 levels of managers:
First-line Managers: responsible for day-to-
day operation. They supervise the people
performing the activities required to make
the good or service.
Middle Managers: Supervise first-line
managers. They are also responsible to find
the best way to use departmental resources
to achieve goals.
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25. Management Levels
Top Managers:
Responsible for the performance of all
departments.
Have cross-departmental responsibility.
They establish organizational goals and
monitor middle managers.
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27. Managerial Roles
Described by Mintzberg.
A role is a set of specific tasks a person
performs because of the position they hold.
Roles are directed inside as well as
outside the organization.
There are 3 broad role categories:
Interpersonal
Informational
Decisional
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28. Interpersonal Roles
Roles managers assume to coordinate and
interact with employees and provide
direction to the organization.
Figurehead role: symbolizes the
organization and what it is trying to achieve.
Leader role: train, counsel, mentor and
encourage high employee performance.
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29. Interpersonal Roles
Liaison role: link and coordinate people inside
and outside the organization to help achieve
goals.
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30. Decisional Roles
Associated with the methods managers
use to plan strategy and utilize resources
to achieve goals.
Entrepreneur role: deciding upon new
projects or programs to initiate and invest.
Disturbance handler role: assume
responsibility for handling an unexpected
event or crisis.
31. Decisional Roles
Resource allocator role: assign resources
between functions and divisions, set budgets
of lower managers.
Negotiator role: seeks to negotiate
solutions between other managers, unions,
customers, or shareholders.
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32. Informational
Associated with the tasks needed to
obtain and transmit information for
management of the organization.
Monitor role: analyzes information from
both the internal and external environment.
Disseminator role: manager transmits
information to influence attitudes and
behavior of employees.
Spokesperson role: use of information to
positively influence the way people in and
out of the organization respond to it.
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33. Managerial Skills
There are three skill sets that managers need
to perform effectively.
1. Conceptual skills: the ability to analyze
and diagnose a situation and find the cause
and effect.
2. Human skills: the ability to understand,
alter, lead, and control people’s behavior.
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34. Managerial Skills cont’d
Technical skills: the job-specific knowledge
required to perform a task. Common examples
include marketing, accounting, and
manufacturing.
All three skills are enhanced through formal
training, reading, and practice.
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35. Skill Type Needed by Manager Level
Top
Managers
Middle
Managers
Line
Managers
Conceptual Human Technical
Figure 1.5
1-22
36. Nature of Management
Management is getting things done: A
manager does not do any operating work
himself but gets it done through others. He
must motivate the subordinates for the
accomplishment of the task assigned to them.
Management is an activity: Management is a
process of organized activity. It is concerned
with the efficient use of resources like men,
money and materials in the organization.
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37. Nature of Management
Management is a group activity:
Management cannot exist independent of the
group or organization it manages.
Management is a universal activity:
Management is a universal phenomenon.
However, management principles are not
universally applicable but are modified to suit
the given situation and the type of
organisation.
38. Nature of Management
Management is purposeful: Management is
a goal oriented activity. It is concerned with
the accomplishment of goals through its
various functions like planning, organizing,
staffing, directing, and controlling.
Management is a process: Management is a
process which involves planning, organizing,
directing and controlling the efforts of human
resources in the use of material resources.
39. Nature of Management
Management is an integrating process:
Management integrates men, machines and
materials for performing various operations
and accomplishing the stated goals
40. Nature of Management
Management is intangible: Management is
abstract and cannot be seen with the eyes. It
is evidenced by the quality of the organization
and the results. Thus, feeling of management
is result-oriented.
Management is a profession: Management
is a profession because some of its established
principles are being applied in practice.
41. Nature of Management
Management is a science and an art:
Management has developed certain
principles and laws which have wide
applications. So it is treated as a science.
It is also an art, because it is concerned
with the application of knowledge for the
solution of organizational problems.
Management is dynamic: Management
is dynamic because it adapts itself to the
social changes and introduces innovation in
methodology.
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42. Nature of Management
Management involves decision-making:
Management process involves decision-
making at various levels for getting things
done by others.
It involves selecting the most appropriate
alternative out of the several.
Management applies economic
principles. Management is the art of
applying the economic principles that
underline the control of men and materials in
the organization.
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43. Management is concerned with
direction and control:
Management is concerned with the direction
and control of the various activities.
It deals particularly with the active direction of
the human effort.
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Nature of Management
44. Evolution Evolution Of
Management
The development of management
thought has been evolutionary in
nature under the following four
parts:
Pre-Scientific Management Era
(Before 1880)
Classical Management Era (1880-
1930)
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46. Management Challenges
Increasing number of global organizations.
Building competitive advantage through
superior efficiency, quality, innovation, and
responsiveness.
Increasing performance while remaining
ethical managers.
Managing an increasingly diverse work force.
Using new technologies.
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