INTRO TO

MANAGEMENT
INSTRUCTOR: TRAN THANH TU
 TABLE OF CONTENTS

01 02 03

MANAGEMENT MANAGEMENT MANAGEMENT

INTRODUCTION ECOSYSTEM FRAMEWORK

04 05

MANAGEMENT MANAGEMENT
DECISION MAKING PLANNING

04
06 05
07

ORGANIZATIONAL CULTURE CHANGE MANAGEMENT

02
MANAGEMENT
ECOSYSTEM
MANAGEMENT- ECOSYSTEM

1. Management – Environment
Factors Affecting Management
- Macro Environment (Outer Environment)
- Micro Environment (Inner Environment)
2. Management – Organization
3. Management – Leadership Styles
 MANAGEMENT– FACTORS AFFECTING MANAGEMENT

• There are numerous factors that affect

an organization or the management.
• Managers can monitor these factors/
environments through boundary
spanning – a process of gathering
information about developments that
could impact the future of the
organization.
 MANAGEMENT– FACTORS AFFECTING MANAGEMENT

Following types of factor/environment affect management:

• Macro-economic factors
• Micro-economic factors
 MANAGEMENT– FACTORS AFFECTING MANAGEMENT

1. Macro-economic factors
Factors that indirectly impact the organization, its operation and working condition
is known as the outer environment or macro environment. These external factors
cannot be controlled by the organization.
 MANAGEMENT– FACTORS AFFECTING MANAGEMENT

1. Macro-economic factors
 MANAGEMENT– FACTORS AFFECTING MANAGEMENT

1. Macro-economic factors
MANAGEMENT– FACTORS AFFECTING MANAGEMENT
 MANAGEMENT– FACTORS AFFECTING MANAGEMENT

1. Traditional Economic System

• The traditional economic system is the most traditional and ancient types of
economies in the world. These areas tend to be rural, second- or third-world, and
closely tied to the land, usually through farming.
• In general, in a traditional economic system, a surplus would be rare. Each
member of a traditional economy has a more specific and pronounced role, and
these societies tend to be very close-knit and socially satisfied.
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1. Traditional Economic System

 MANAGEMENT– FACTORS AFFECTING MANAGEMENT

2. Command Economic System

• In a Command Economic System, a large part of the economic system is

controlled by a centralized power.
• This capability also means that the government usually owns all the critical
industries like utilities, aviation, and railroad.
• Most command economies tend to focus on the most valuable resources like oil.
 MANAGEMENT– FACTORS AFFECTING MANAGEMENT

2. Command Economic System

 MANAGEMENT– FACTORS AFFECTING MANAGEMENT

Advantages of Command Economic Systems

• The government can mobilize resources on a massive scale.
• It can provide jobs for almost all of the citizens.
• The government can focus on the good of society rather than an individual.
This focus could lead to more efficient use of resources.
 MANAGEMENT– FACTORS AFFECTING MANAGEMENT

Disadvantages of Command Economic Systems

• It is hard for central planners to provide for everyone’s needs.

• This challenge forces the government to ration because it cannot calculate
demand since it sets prices.
• There is a lack of innovation since there is no need to take any risk.
• Workers are also forced to pursue jobs the government deems fit.
 MANAGEMENT– FACTORS AFFECTING MANAGEMENT

3. Market Economic System

In a free-market economy, firms and households act in self-interest to determine
how resources get allocated, what goods get produced and who buys the goods. This
is opposite to how a command economy works, where the central government gets
to keep the profits.
In this type of economy, there is a separation between the government and the
market. This separation prevents the government from becoming too powerful and
keeps their interests aligned with that of the markets.
 MANAGEMENT– FACTORS AFFECTING MANAGEMENT

3. Market Economic System

 MANAGEMENT– FACTORS AFFECTING MANAGEMENT

Advantages of a Free Market Economy

• Consumers pay the highest price they want to, and businesses only produce
profitable goods and services. There is a lot of incentive for entrepreneurship.
• This competition for resources leads to the most efficient use of the factors of
production since businesses are very competitive.
• Businesses invest heavily in research and development. There is an incentive for
constant innovation as companies compete to provide better products for
consumers.
 MANAGEMENT– FACTORS AFFECTING MANAGEMENT

Disadvantages of a Free Market Economy

• Businesses often will not care for the disadvantaged like the elderly or disabled. This
lack of focus on societal benefit leads to higher income inequality.
• Since the market is driven solely by self-interest, economic needs have a priority
over social and human needs like providing healthcare for the poor. Consumers can
also be exploited by monopolies.
 MANAGEMENT– FACTORS AFFECTING MANAGEMENT

4. Mixed Economic System

A mixed economy is a combination of different types of economic systems. This
economic system is a cross between a market economy and command economy. In the
most common types of mixed economies, the market is more or less free of
government ownership except for a few key areas like transportation or sensitive
industries like defense and railroad.
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4. Mixed Economic System

However, the government is also usually involved in the regulation of private

businesses. The idea behind a mixed economy was to use the best of both worlds –
incorporate policies that are socialist and capitalist.
To a certain extent, most countries have a mixed economic system. For example, India
and France are mixed economies.
 MANAGEMENT– FACTORS AFFECTING MANAGEMENT

Advantages of Mixed Economies

• There is less government intervention than a command economy. This results in
private businesses that can run more efficiently and cut costs down than a
government entity might.
• The government can intervene to correct market failures.
• Governments can create safety net programs like healthcare or social security.
• In a mixed economy, governments can use taxation policies to redistribute
income and reduce inequality.
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Disadvantages of Mixed Economies

• There are criticisms from both sides arguing that sometimes there is too much
government intervention, and sometimes there isn’t enough.
• A common problem is that the state run industries are often subsidized by the
government and run into large debts because they are uncompetitive.
MANAGEMENT– FACTORS AFFECTING MANAGEMENT

SOCIO – CULTURAL ENVIRONMENT

https://www.youtube.com/watch?v=hbsmmXeywM8&ab
_channel=HiroVlog
 MANAGEMENT– FACTORS AFFECTING MANAGEMENT

2. Micro-economic factors
These are the factors within an
organization that can be
controlled and affect the
immediate area of an
organization’s operations.
MANAGEMENT– FACTORS AFFECTING MANAGEMENT
2. MANAGEMENT - MANAGEMENT ORGANIZATION
 2. MANAGEMENT - MANAGEMENT ORGANIZATION

- Organization is a group of individuals who work together

toward common goals.
- Administration is above management, and exercises control
over the finance and licensing of an organization.
 MANAGEMENT - MANAGEMENT ORGANIZATION

Mission, Vision & Core values

• Mission and vision are both foundations of an organization’s purpose. These are the
objectives of the organization that are communicated in writing. Mission and vision
are statements from the organization that bring out what an organization is set for,
what is its purpose, its value, and its future.
 MANAGEMENT - MANAGEMENT ORGANIZATION

Mission and Vision

• A Mission Statement defines the company's goals, ethics, culture, and norms for
decision- making. They are often longer than vision statements. Sometimes mission
statements also include a summation of the firm’s values. Values are the beliefs of
an individual or group, and in this case the organization, in which they are
emotionally invested.
 MANAGEMENT - MANAGEMENT ORGANIZATION

Mission and Vision

• A vision statement can be short or long. The length of the vision statement can be
telling about the company. A vision statement describes the company’s purpose,
what the company is striving for, and what it wants to achieve.
Core values
Core values are the basic beliefs that define employees' success in an organization.
 MANAGEMENT - MANAGEMENT ORGANIZATION

Organizational Culture

Organizational culture is an organization's believes and values that represent its

personality. Just as each person has a distinct personality, so does each organization.
The culture of an organization distinguishes it from others and shapes the actions of its
members.
MANAGEMENT - MANAGEMENT ORGANIZATION
 MANAGEMENT
LEADERSHIP STYLES
 LEADERSHIP
Leadership is the ability to motivate individuals and groups to
accomplish important goals. When a manager can get individual
employees and groups to work well together to accomplish objectives
➔ He/sheSATURN
is an effective leader
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LEADERSHIP
 STITUATIONAL
LEADERSHIP

The most effective leaders are those that are able to adapt their style to
the situation and look at cues such as the type of task, the nature of the
group, and other factors that might contribute to getting the job done.
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LEADERSHIP
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SATURN
REVERSE THINKING: TURNING YOUR IDEAS UPSIDE DOWN

Reverse thinking means solving a problem using an approach different

from the traditional one. Sometimes, difficult problems might be solved
in a surprising way if reverse thinking is adopted. Reverse thinking means
SATURN
looking at the problem from the opposite way around.
REVERSE THINKING: TURNING YOUR IDEAS UPSIDE DOWN
Key steps to utilizing reverse thinking are:
1.Clearly identify the challenge or problem. Write it down in the reverse, changing a
positive statement into a negative one or giving a negative problem a positive outcome.
2.Brainstorm what the problem or challenge is not. Question what can cause the challenge
or problem and what can be achieved from its opposite.
SATURN
3.Review the new information and determine if there is an added perspective. Are there
new ideas to solve the reversed problem or challenge?
4.Flip the results! Evaluate the solutions and determine whether or not the added
perspective gives an answer to the original problem or challenge.