CHAPTER 1: INTRO TO MANAGEMENT Triple Bottom Line (TBL)

- Focus on maximizing financial

The WHY of Management: performance via sustainable
1. Develop conceptual skills development (triple bottom line
- Complements technical refers to financial, social, and
and social skills ecological well-being)
2. Helps us understand - Dominant approach over the
managers past twenty years
3. Improves our understanding of
the role management plays in
society
- Including first-line,
middle, and top
management
4. Helps enhance organizational
performance
- including value creation
(offerings; contribution)
and value capture
(earnings)
5. Fosters self-understanding

WHY learn management? Social and Ecological Thought (SET)

Three Management Approaches:
1. Financial Bottom Line (FBL)
2. Triple Bottom Line (TBL)
3. Social and Ecological Through
(SET) Management
- Focus on socio-ecological
well-being ahead of
maximizing financial
- Poised to become the
dominant approach in the
future (esp among Millennials)

Financial Bottom Line (FBL)

- Focuses on maximizing org’s
financial performance
- The dominant approach in the
past century
WHY learn the three approaches?
1. Increases critical thinking
skills
- Key to the difference
between education vs
training
2. Improve ethical thinking skills
- No approach to
management is
value-neutral. Learning
multiple approaches
compels and enables us
to think about our own
values, and how we will
put them into practice
during our career
3. Has benefits similar to
becoming multilingual
- Enhances cultural
empathy,
open-mindedness, and
tolerance of ambiguity,
and improves
understanding of the
particular approach to
management that you
prefer
The WHAT of Management:
MANAGEMENT is the process of
planning, organizing, leading, and
controlling human and other
resources toward the effective
achievement of organizational goals
ORGANIZATION is a goal-directed,
deliberately- structured group of
people working together to provide
specific goods and services
WHAT do managers do?
Henri Fayol
(1841-1925)
Perform four
management
functions
Henry Mintzberg
(1939 , 83)
Play ten managerial
roles
Managerial roles
1. Entrepreneur
2. Negotiator
3. Disseminator
4. Resource Allocator
5. Liaison
6. Leader
7. Spokesperson
8. Figurehead
9. Monitor
10. Crisis Handler
Value-Based Management Education
“We expect Lasallian business
students to adhere to this code of
ethics within and beyond our
management courses.”
CHAPTER 2: FINANCIAL WELL-BEING
 Documental Capitalism (Liberal
The main motive of capitalism is to Market Economies)
make profit ● Top-down decisions
● Act quickly
Two varieties of Capitalism:
1. Documental Capitalism
● Greater financial rewards to
- Emphasizes detailed written managers when firm earn
contracts, public financial larger profits
reports, management rights,
and short-term maximization Relational Capitalism
of financial performance. (Coordinated Market Economies)
- Prevailing in countries in the Continuity of membership (less job
US, Canada, UK, and Australia hopping)
● Developing interpersonal
2. Relational Capitalism
relationships with managers
- Emphasizes relational
in other organizations
contracts, long-term
reputation and financial firm ● Attentive to the needs of all
performance, employee rights, stakeholders
and the needs of all ● Increase attention to
stakeholder groups socio-ecological issues
- Found in countries like Japan, ● TBL and SET
Germany, France, Finland, and
Italy Economics refer to how goods
and services are produced,
Differences between
distributed, and consumed
DOCUMENTATIONAL and
RELATIONAL capitalism:
Two varieties of Economics:
Measure Documental Relational
1. Acquisitive Economics
- Refers to the management
Employment Greater job Lower
mobility (from unemploymen
of property and wealth in
one org to t such a way that the
another)
short-term monetary value
Innovation More radical More for owners is maximized
innovations incremental
fine-tuning - Individuals and
Income Greater Greater organizations are strongly
equality
Employee
chance to get
very rich
income
equality
motivated to optimize their
protection short-term self-interests
Employee Greater Greater
2. Sustenance Economics
protection freedom for employee - Refers to managing property
managers to protection
hire and fire and wealth to increase the
employees
long-term overall well-being
 of owners, members, and
other stakeholders
- Sustenance economics
emphasizes
community-oriented values,
long-term
multi-generational
concerns, and stewardship
Simplified Models of the Economy
1. Simple Economy
- People contributed to their
clan by performing tasks
(e.g. hunting, gathering,
childcare) and then
everyone in the clan shared
the resulting benefits (e.g.
everyone had food, social
contracts, and security)
- Everyone had a personal
connection to the goods
and services produced in
the can
2. Simple Monetized Economy
Three key outcomes to measure
success in economic well-being
- People now “sold” their labor
for money (wages), typically
wording to produce goods
and services they would not
personally use
- People had gained
additional freedom and
more choice, and there was
an opportunity for greater
financial inequality than
there has been in the clan
economy
3. Simple Corporate Economy
- The increased emphasis on
maximizing the financial
well-being of owners
contributed to a
self-fulfilling assumption
that everyone was financially
self-interested
- Financial Benefits
1. Jobs
- Opportunities to get paid by
an organization in return for
 doing work that produces
goods and services
2. Goods and Services
- Humankind needs goods
and services in order to
survive
3. Profits
- The word profit is used here
in its most general sense,
namely to indicate that
there is a “proper fit” (pro-fit)
between the goods and
services an organization
produces (value creation)
and the financial resources
it is able to earn because of
it (value capture)

Managing Well-Being in High-Income Countries

Performance in FBL TBL SET
High-Income
Countries

Jobs Increase the no. Creating good Creating jobs for

of jobs created jobs all walks of life
that pay a living
wage

Goods and Maximize Sustainable Promote goods

Services productivity development and services
that provide
more well-being
with fewer
resources

Profits Maximize profits Maximize profits Maximize

genuine process
indicator (GPI)

Managing Well-Being from a Global Perspective

Global FBL TBL SET
Perspective

Jobs Creating jobs for Creating good Creating jobs

the poor jobs for the poor that pay a living
wage

Goods and Free Sustainable Fair trade that

Services trade/Global development benefits the
GDP poor

Profits Free flow of Empowering the Profits

money/IMF base pyramid associated with
 socially
responsible
investing

Entrepreneurs Maximize profits Maximize profits Achieve financial

even if it raises via lowering vialbility and
socio-ecological socio-ecological socio-ecological
costs costs well-being
CHAPTER 4: ECOLOGICAL Four key factors regarding
WELL-BEING managing ecological well-beig

Ecological well-being is evident 1. Approach to well-being

when the Earth’s natural systems FBL TBL SET
are functioning in a way that
sustains and enhances the Unawareness Listen to Proactive
consumers
flourishing of life Obstructionist Stakeholder-centric
Use resources
Minimalist/lega efficiently Place-based
The natural environment is l organizing
Protective/legal (PBO)
composed of all living and
non-living things that have not
been created by human 2. Energy
technology/activity FBL TBL SET
Ignore issues on Respond to the Take initiatives
Ecological Footprint climate change market
- The amount of the earth;s Treat natural
Undermine
natural resources that are Reduce cost via environment as
change efforts
eco-efficiencies stakeholders
required to sustain a Adhere to letter
of the law Lobby for Reduce
particular lifestyle or activity carbon tax consumerism

3. Food Systems
4.
FBL TBL SET
Ignore Create new Work with
food-related industries ecological
issues activists
Train workers
Refuse access to
concentrated to minimize Connect with
animal feeding waste organic
operations locavores
(CAFOs) Lobby for
favorable laws Slowfood
Promote large movement;
scale-farming De-commodify
food

5. Human Health
FBL TBL SET
Ignore Introduce Promote active
health-related healthier living
issues products
Offer healthier
Hide
embarrassing Become more foods
efficient at
information providing Precautionary
healthier principle
Lobby/follow options
letter of law
Work to create
favorable
health
standards

5.* Entrepreneurship
Opportunities

FBL TBL SET

Fossil Fuels Trends to ear Soil enhancing
industry less meat agricultural
practices
Reduce
greenhouse
gasses (GHG)
energy
CHAPTER 5: SOCIAL WELL-BEING - Success and advancements

Three key dimensions of social 3. Calling Orientation

well-being - meaningful contribution to
the world
1. Meaningful work
Meaning of Life SUMMARY:
a. Source: Transcendent
vs. Materialistic
b. Focus: Holistic vs.
Individualistic

2. Relationships
- Instrumental
- Non-instrumental

3. Peace and Socal Justice

- Working conditions

Three Management Approaches

1. Financial Bottom Line (FBL)

- Focuses on materialism
- Profit maximization

2. Triple Bottom Line (TBL)

- Sustainable development
- Tries to find solutions that
will benefit all

3. Social and Ecological

Thought (SET) Management
- Enhancing socio-ecological
well-being ahead of
maximizing profit

Personal Well-Being and Work

Orientation

1. Job Orientation
- Financial rewards
2. Career Orientation