Chapter 1

Managers and Management

Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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LEARNING OUTLINE
Follow this Learning Outline as you read and study this chapter

Who Are Managers? Explain how managers differ from nonmanagerial employees Discuss how to classify managers in organizations. What Is Management? Define management Explain why efficiency and effectiveness are important to management
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Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

LEARNING OUTLINE (contd)

Follow this Learning Outline as you read and study this chapter

What Do Managers Do?

Describe the four functions of management Explain Mintzbergs managerial roles Describe Katzs three essential managerial skills and how the importance of these skills changes depending on managerial level

Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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LEARNING OUTLINE (contd)

Follow this Learning Outline as you read and study this chapter

What Is an Organization?
Describe the characteristics of an organization

Explain how the concept of an organization is changing The Challenges Managers Face Describe the current trends and issues facing managers
Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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LEARNING OUTLINE (contd)

Follow this Learning Outline as you read and study this chapter

What Is Corporate Social Responsibility?

Contrast the classical and socio-economic views of social responsibility Discuss the role that stakeholders play in the four approaches to social responsibility The relationship between corporate social responsibility and economic performance

Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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LEARNING OUTLINE (contd)

Follow this Learning Outline as you read and study this chapter

Understanding workforce diversity

Accommodating diverse members in the organization

Why Study Management? Explain the universality of management concept Discuss why an understanding of management is important even if you dont plan to be a manager

Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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Who Are Managers?

Manager
Someone who works with and through other people by coordinating their work activities in order to accomplish organizational goals

Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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Types of Managers
First-line Managers
Are at the lowest level of management and manage the work of nonmanagerial employees

Middle Managers
Manage the work of first-line managers

Top Managers
Are responsible for making organization-wide decisions and establishing plans and goals that affect the entire organization
Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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Exhibit 1.1 Managerial Levels

Top Managers Middle Managers First-Line Managers Nonmanagerial Employees
Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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What Do Managers Do?

Functional Approach
Planning
Defining goals, establishing strategies to achieve goals, developing plans to integrate and coordinate activities

Organizing
Arranging work to accomplish organizational goals

Leading
Working with and through people to accomplish goals

Controlling
Monitoring, comparing, and correcting the work
Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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Exhibit 1.2 Management Functions

Planning Defining goals, establishing strategy, and developing subplans to coordinate activities Organizing Determining what needs to be done, how it will be done, and who is to do it Leading Directing and motivating all involved parties and resolving conflicts Controlling

Lead to
Monitoring activities to ensure that they are accomplished as planned Achieving the organizations stated purpose

Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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Distribution of Managers Time

Controlling

Leading

Organizing

First-level Middle level Top level

Planning 0 20 40 60

What Is Management?
Managerial Concerns
Efficiency
Doing things right Getting the most output for the least input

Effectiveness
Doing the right things Attaining organizational goals

Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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Efficiency and Effectiveness

Means Efficiency Ends Effectiveness

Goals

Goal Attainment

Resource Usage

Low Waste

High Attainment

FOM 1.9

Mintzbergs Managerial Roles

Interpersonal Informational Decisional

What Do Managers Do? (contd

Mintzbergs Management Roles Approach (Exhibit 1.3)
Interpersonal roles
Figurehead, leader, liaison

Informational roles
Monitor, disseminator, spokesperson

Decisional roles
Entrepreneur, disturbance handler, resource allocator, negotiator
Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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The Roles That Managers Play

Small Firms Importance Large Firms

Spokesperson

High

Resource Allocator

Entrepreneur Figurehead Leader

Moderate

Liaison, Monitor Disturbance Handler Negotiator

Disseminator
Low

Entrepreneur

What Do Managers Do? (contd)

Skills Approach
Technical skills
Knowledge and proficiency in a specific field

Human skills
The ability to work well with other people

Conceptual skills
The ability to think and conceptualize about abstract and complex situations concerning the organization
Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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Exhibit 1.4 Skills Needed at Different Management Levels

Top Managers Middle Managers Lower-level Managers Importance
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Conceptual Skills Human Skills Technical Skills

Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

General Management Skills

CONCEPTUAL INTERPERSONAL

TECHNICAL

POLITICAL

Conceptual Skills
Mental ability to analyze and diagnose complex situations Allow Managers to see how things fit

Interpersonal Skills
Ability to work with, understand, mentor and motivate others Both individually and as a group Many managers fail in this

Technical Skills
Ability to apply specialized knowledge or expertise Engineer, accountant, etc

Political Skills
Ability to enhance one position, build a power base, and establish the right connection

Specific Management Skills

These explain 50% of a managers effectiveness 1. Controlling the organizations environment and resources 2. Organizing and coordinating 3. Handling information 4. Providing for growth and development of staff 5. Motivating staff and handling conflicts 6. Strategic problem-solving

Management Competencies
Initiate and implement change Monitor, maintain and improve performance Monitor and control resources Secure effective resource allocation Recruit and select staff
(continued)

Management Competencies (continued)

Develop teams, individuals, and self Plan, allocate, and evaluate work Create, maintain, and enhance relationships Seek, evaluate, and organize information Exchange information to solve problems

What Is An Organization?
An Organization Defined
A deliberate arrangement of people to accomplish some specific purpose

Common Characteristics of Organizations

Have a distinct purpose (goal) Are composed of people Have a deliberate structure
Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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Exhibit 1.5 Characteristics of Organizations

Distinct Purpose People Deliberate Structure

Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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Exhibit 1.6 The Changing Organization

Traditional
Stable Inflexible Job-focused Work is defined by job positions Individual-oriented Permanent jobs Command-oriented Managers always make decisions Rule-oriented Relatively homogeneous workforce Workdays defined as 9 to 5 Hierarchical relationships Work at organizational facility during specific hours

New Organization
Dynamic Flexible Skills-focused Work is defined in terms of tasks to be done Team-oriented Temporary jobs Involvement-oriented Employees participate in decision making Customer-oriented Diverse workforce Workdays have no time boundaries Lateral and networked relationships Work anywhere, anytime
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Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

Sizes and Types of Organizations

Managers and employees work in a variety of sizes of organizations Large organizations represent only 3% of the organizations in Vietnam Managers and employees work in a variety of organizations, and the type of organization has an impact on what managers can do Publicly held organizations Privately held organizations Public sector organizations Crown Corporations Subsidiaries of foreign organizations (e.g., Sears, Safeway, General Motors, and Ford Motor Company)

Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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Managers and the Changing World Environment

Management is no longer constrained by national borders Managers need to understand what is going on in the world Managers need to take into consideration different economic, political, legal and cultural systems in other countries

Major Environmental Changes Affecting Managers

Technology E-commerce E-business Knowledge workers

Management from a Global Perspective

Globalization--doing business on a world-wide scale Managers need to be sensitive to issues in other countries Managers also need to be aware of different cultures in Vietnam

Importance of Managers in the Marketplace

Good managers can help an organization perform successfully Poor managers can do the reverse Managers tend to earn more as their responsibilities and accountabilities increase

Challenges Managers Face

Ethics
Increased emphasis on ethics education in university and college curriculums Increased creation and use of codes of ethics by businesses

Corporate Social Responsibility

Pursuing long-term goals that are good for society
Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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Corporate Social Responsibility

The Classical View
Maximize profits for the benefit of the stockholders Doing social good unjustifiably increases costs

Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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What Is Social Responsibility? (contd)

The Socio-economic View
Management should also protect and improve societys welfare Corporations are responsible not only to stockholders Firms have a moral responsibility to larger society to do the right thing
Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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Exhibit 1.7 Approaches to Social Responsibility

Obstructionist Approach Disregard for social responsibility

Defensive Approach Minimal commitment to social responsibility

Accommodative Approach Moderate commitment to social responsibility

Proactive Approach Strong commitment to social responsibility

No Social Responsibility

High Social Responsibility

Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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Workforce Diversity
Workforce diversity
Refers to employees in organizations who are heterogeneous in terms of gender, race, ethnicity, or other characteristics
A global issue Canada recognizes and celebrates differences Managers must make organizations more accommodating

Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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Why Study Management?

The Value of Studying Management
The universality of management
Good management is needed in all organizations

The reality of work

Employees either manage or are managed

Self-employment
Management is also important in running your own business
Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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Exhibit 1.8 Universal Need for Management

All Sizes of Organizations Small Large

All Organizational Areas Manufacturing Marketing Human Resources Accounting Information Systems etc.

Management Is Needed in...

All Types of Organizations Profit Not-for-Profit

All Organization Levels Bottom Top

Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Fundamentals of Management, Fifth Canadian Edition Copyright 2008 Pearson Education Canada

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