CHAPTER 1:

Managing
Effectively in a
Changing World
Prepared by: Dianna Joy R. Soriano
 1. Define what management is and explain the
difference between efficiency and effectiveness.
2. Describe the four functions of management.
3. Understand what managers at different
organizational levels do.
LEARNING 4. Define the skills needed to be an effective
OBJECTIVES manager.
5. Summarize the major challenges facing
managers today.
6. Recognize how successful managers achieve
competitive advantage.
 MANAGEMENT
1. Define what The attainment of organizational goals in an effective
and efficient manner through planning, organizing,
management leading and controlling organizational resources.
is and explain
the difference • To be effective is to achieve organizational
between goals.
• To be efficient is to achieve goals with minimal
efficiency and
waste of resources—that is, to make the best
effectiveness. possible use of money, time, materials, and
people.
 Select goals and ways to Assign
attain them. responsibility
for task
2. Describe the accomplishment
.
four functions of
management. PLANNING ORGANIZING

CONTROLLING LEADING

Monitor activities and make Use influence to

corrections motivate
employees.
2. Describe the
four functions of
PLANNING
management.
Helps You Deliver
Value
ORGANIZING
(Planning)

CONTROLLING LEADING
2. Describe the
PLANNING
four functions of Helps You
management. Deliver Value

(Planning) The management

function of
systematically
making decisions
about the goals and
activities that an
individual, a group,
a work unit, or the
overall organization
will pursue
2. Describe the
four functions of
ORGANIZING
management.
Resources Achieves
Goals
PLANNING
(Organizing)

CONTROLLING LEADING
2. Describe the
ORGANIZING
four functions of Resources
management. Achieves Goals

(Organizing)
The management
function of assembling
and coordinating human,
financial, physical,
informational, and other
resources needed to
achieve goals.
2. Describe the
four functions of PLANNING
ORGANIZING
management.

(Leading)
CONTROLLING LEADING
Mobilizes Your
People
2. Describe the the management
function that involves
four functions of the manager’s efforts to
stimulate high
management. performance by
employees

(Leading) LEADING
Mobilizes Your
People
2. Describe the
four functions of PLANNING
ORGANIZING
management.

CONTROLLING
LEADING
(Controlling) Means Learning
and Changing
2. Describe the The
management
four functions of function of
management. monitoring
performance
and making
needed
changes.

CONTROLLING
(Controlling) Means
Learning and
Changing
2. Describe the
four functions of
management.
 C

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Business Unit Head

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  Middle

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Nonmanagerial Employees
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 Three Roles That All Managers Perform
1. Interpersonal roles:
• Leader — Staffing, training, and motivating people to achieve organizational goals.
• Liaison — Maintaining a network of outside contacts and alliances that provide
3. Understand information and favors.
• Figurehead — Performing symbolic duties on behalf of the organization, like greeting
what important visitors and attending social events.
2. Informational roles:
managers at • Monitor — Seeking information to develop a thorough understanding of the
organization and its environment.
different • Disseminator — Sharing information between different people like employees and
managers; sometimes interpreting and integrating diverse perspectives.
organizational • Spokesperson — Communicating on behalf of the organization about plans, policies,
actions, and results.
levels do. 3. Decisional roles:
• Entrepreneur — Searching for new business opportunities and initiating new projects to
create change.
• Disturbance handler — Taking corrective action during crises or other conflicts.
• Resource allocator — Providing funding and other resources to units or people; includes
making major organizational decisions.
• Negotiator —Engaging in negotiations with parties inside and outside the organization.
3. Understand
what
managers at
different
organizational
levels do.
 Rate each of the following items based on what you think is the appropriate
emphasis for that task to your success as a new manager of a department.
First, read each item and check either High Priority or Low Priority.
Second, go through the list again and change answers as needed so that
four items are scored as High Priority and four are scored as Low Priority.
Let’s have an High Low
Tasks
assessment first! 1. Spend 50% or more of your time in the care and feeding of
Priority Priority

people.
2. Make sure people understand that you are in control of the
department.
3. Use lunches to meet and network with peers in other
departments.
4. Implement the changes you believe will improve department
performance.
Self-Test for New 5. Spend as much time as possible talking with and listening to
subordinates.
Managers:
6. Make sure jobs get out on time.
7. Reach out to your boss to discuss his expectations for you and
Manager Role and your department.
Reality 8. Make sure you set clear expectations and policies for your
department.
 SCORING: All 8 items in the list may be important, but the odd-numbered items are
considered more important than the even-numbered items for long term success as a new
manager. If you checked three or four of the odd-numbered items, consider yourself ready for
a management position. A successful new manager discovers that a lot of time has to be
spent in the care and feeding of people.
Let’s have an High Low
Tasks
assessment first! 1. Spend 50% or more of your time in the care and feeding of
Priority Priority

people. 
2. Make sure people understand that you are in control of the
department.
3. Use lunches to meet and network with peers in other
departments. 
4. Implement the changes you believe will improve department
performance.
Self-Test for New 5. Spend as much time as possible talking with and listening to
subordinates. 
Managers:
6. Make sure jobs get out on time.
7. Reach out to your boss to discuss his expectations for you and
Manager Role and your department. 
Reality 8. Make sure you set clear expectations and policies for your
department.
 MANAGERS NEED THREE BROAD SKILLS
1. Technical Skills
The ability to perform a specialized task involving a particular method or
process.
4. Define the 2. Conceptual and Decision Skills
Skills pertaining to the ability to identify and resolve problems for the
skills needed to benefit of the organization and its members.
be an effective 3. Interpersonal and Communication Skills
manager. People skills; the ability to lead, motivate, and communicate effectively
with others.
Emotional Intelligence (EQ)
EQ combines three skill sets:
Understanding yourself —including your strengths and limitations as a
manager.
Managing yourself —dealing with emotions, making good decisions,
seeking feedback, and exercising self-control.
Working effectively with others - listening, showing empathy, motivating,
and leading.
 MANAGERS NEED THREE BROAD SKILLS

4. Define the
skills needed to
be an effective
manager.
 WHAT IS IT LIKE TO BE A MANAGER?

MAJOR CHALLENGES FACING MANAGERS

5. Summarize
the major • Globalization.
challenges
facing managers • Technological change.
today. • The importance of knowledge and ideas.
• Collaboration across organizational
boundaries.
• Increasingly diverse labor force.
 SOURCES OF COMPETITIVE ADVANTAGE

1. Innovation Keeps You Ahead of Competitors

6. Recognize how Innovation is the introduction of new goods and
successful
services. Your firm must adapt to changes in
managers achieve
consumer demand and to new competitors.
competitive
advantage.
 SOURCES OF COMPETITIVE ADVANTAGE

2. Quality Must Continuously Improve

6. Recognize how In general, quality is the excellence of your
successful
product or service. The importance of quality and
managers achieve
the standards for acceptable quality have
competitive
increased dramatically.
advantage.
But then W. Edwards Deming, J. Quality can be measured in
M. Juran, and other quality gurus terms of:
convinced managers to take a more
• Product performance
complete approach to achieving
total quality. This includes several • Customer service
objectives: • Reliability
• Preventing defects before they • Conformance to standards
occur. • Durability
• Achieving zero defects in
• Aesthetics
manufacturing.
• Designing products for quality.
 SOURCES OF COMPETITIVE ADVANTAGE

3. Services Must Meet Customers’ Changing

6. Recognize how Needs
successful
In a competitive context, service means giving
managers achieve
customers what they want or need, when and
competitive
where they want it.
advantage.
 SOURCES OF COMPETITIVE ADVANTAGE

4. Do It Better and Faster

6. Recognize how Speed —rapid execution, response, and delivery
successful
of results—often separates the winners from the
managers achieve
losers.
competitive
advantage.
 SOURCES OF COMPETITIVE ADVANTAGE

5. Low Costs Help Increase Your

6. Recognize how Cost competitiveness, which means keeping
successful
costs low enough so the company can realize
managers achieve
profits and price its products (goods or services)
competitive
at levels that are attractive to consumers.
advantage.
 MANAGING CRISES AND UNEXPECTED EVENTS

Some of the most recent thinking on crisis

management suggests the importance of five
What to do when leadership skills:
everything fails? • Stay Calm
• Be Visible
• Put People Before Business
• Tell the Truth
• Know When to Get Back to Business
 Rate each of the following questions according to the following scale at the side

Let’s have an
assessment
again!
Management
Aptitude
Questionnaire

1 = I am never like this.

2 = I am rarely like this.
3 = I am sometimes like this.
4 = I am often like this
5 = I am always like this .