Nama: Navis Al Rizky

Nim : A031191019

Chapter 7

Managing effectively

A. Identify the levels of management

1) Levels of Management :

a. Top (high-level) management includes positions such as president, chief executive

officer (who commonly also serves as president), chief financial officer, and vice-

president. These managers make decisions regarding the firm’s long-run objectives

(such as three to five years ahead).

b. Middle management is often responsible for the firm’s short-term decisions, as

these managers are closer to the production process. Middle managers resolve

problems and devise new methods to improve performance. Middle management

includes positions such as regional manager and plant manager.

c. Supervisory (first-line) management is usually highly involved with the employees

who engage in the day-to-day production process. Supervisors deal with problems

such as worker absenteeism and customer complaints. Supervisory management

includes positions such as account manager and office manager.

2) Responsibilities among Managers :

a. Top Management:

o Set new plan to expand production and increase sales,

o Communicate those plans to all managers.

 b. Middle and Top Managers :

o Determine how many new employees to hire.

o Determine how to charge lower prices to increase sales.

o Determine how to increase advertising to increase sales.

o Determine how to obtain funds to finance the expansion.

c. Supervisory Managers :

o Provide job assignments to the new employees who are hired.

o Set time schedules for new employees who are hired.

B. Identify the key functions of managers.

1) Planning The planning function represents the preparation of a firm for future

business conditions. As the first step in the planning process, the firm establishes its

mission statement, which describes its primary goal.

a. Strategic Plan The strategic plan identifies the firm’s main business focus over a

long-term period. The strategic plan is more detailed than the mission statement

and describes in general terms how the firm’s mission is to be achieved

b. Tactical Planning High-level and middle managers also engage in tactical

planning, or smaller-scale plans (over one or two years) that are consistent with

the firm’s strategic (long-term) plan. Tactical planning normally focuses on a

short-term period, such as the next year or so. To develop their tactical plan,

managers of AT&T and other firms assess economic conditions, the general

demand for various products, the level of competition among firms producing

those products, and changes in technology.

 c. Operational Planning Another formof planning, called operational planning,

establishes the methods to be used in the near future (such as the next year) to

achieve the tactical plans.

d. ContingencyPlanning Some of a firm’s plansmay not be finalized until specific

business conditions are known. For this reason, firms use contingency planning;

that is, they develop alternative plans for various possible business conditions.

The plan to be implemented is contingent on the business conditions that occur.

2) Organizing function involves the organization of employees and other resources in a

manner that is consistent with the firm’s goals. Once a firm’s goals are established

(from the planning function), resources are obtained and organized to achieve those

goals. The organizing function occurs continuously throughout the life of the firm.

This function is especially important for firms that frequently restructure their

operations.

3) leading function is the process of influencing the habits of others to achieve a

common goal. It may include the communication of job assignments to employees

and possibly the methods of completing those assignments. The leading function

involves not only instructions on how to complete a task but also incentives to

complete it correctly and quickly.

4) controlling function involves the monitoring and evaluation of tasks. To evaluate

tasks, managers should measure performance in comparison with the standards and

expectations they set.

C. Describe the skills that managers need

 1) Conceptual Skills, Managers with conceptual skills have the ability to understand

the relationships among the various tasks of a firm. They see how all the pieces fit

together. Conceptual skills are commonly used by the top-level and middle-level

managers who are not directly involved in the production assembly process.

2) Interpersonal Skills, interpersonal skills the skills necessary to communicate with

customers and employees.

3) Technical Skills, Managers need technical skills to understand the types of tasks that

they manage. Managers who are closer to the actual production process use their

technical skills more frequently than high-level managers.

4) Decision Making Skills, Managers need decision-making skills so that they can use

existing information to determine how the firm’s resources should be allocated. The

types of decisions made by managers vary with the position. Stages Involved in

Making a Decision are : Identify the possible decisions, Gather information on all

possible decisions, Estimate costs and benefits of each possible decision, Make a

decision and implement it, and the lasts is Periodically evaluate the previous decision

to determine whether it should be changed.

D. Describe methods that managers can use to utilize their time effectively.

1) Set the Right Priority , One of the main reasons for time management problems is that

managers forget their role. so a manager must choose which priority will have the

least impact.

2) Schedule Long Time Intervals for Large Tasks, Managers may be able to complete

large tasks efficiently by scheduling large intervals (blocks) of time to focus on those

tasks. The best strategy for a task that requires less than one day of work may be to
 focus completely on that task until it is done. Short appointments that must be kept

during a given day and are unrelated to the large task should be consolidated so that

they do not continually break up the time allocated to the large task.

3) Minimize Interruptions, Virtually all managers are interrupted during the normal

working day. Some problems may require immediate attention, but others can be put

off until later. Managers should stay focused on the task at hand and avoid

unscheduled interruptions (except for emergencies).

4) Set Short Term Goals A, common problem for managers is meeting deadlines,

especially on large ones Duty. Managers must set short-term goals so they can budge

big mission. managers need to do this so that the process of completing tasks is more

organized.

5) Delegate Some Tasks to Employees Managers have only so much time to complete

the tasks they are assigned. If they can delegate some authority to their employees,

they will have more time to be creative. By delegating, managers may even increase

the job satisfaction of employees who prefer extra responsibility. However, managers

should delegate only those tasks that employees can handle.