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Management and
Managers
Management: The art of getting things done
through people in the organization
• Managers give organizations a sense of
purpose and direction
• Managers create new ways of producing and
distributing goods and services
• Managers change how the world works through
their actions
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Nature of Management

1. Management is getting things done:

• A manager does not do any operating work
himself but gets it done through others
• He must motivate the subordinates for the
accomplishment of the task assigned to
them.
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Nature of Management

2. Management is an activity:
• Management is a process of organized
activity.
• It is concerned with the efficient use of
resources like men, money and materials
in the organisation
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Nature of Management

3. Management is a group activity:

• Management cannot exist
independent of the group or
organisation it manages
4. Management is a universal
activity:
• Management is a universal
phenomenon
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Nature of Management

5. Management is purposeful:
• Management is a goal oriented activity
6.Management is a process:
• involves planning, organizing,
directing and controlling the efforts of
human resources in the use of
material resources
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Nature of Management

6. Management is an integrating
process:
• Management integrates men,
machines and materials for performing
various operations and accomplishing
the stated goals
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Nature of Management

7. Management is intangible:
• Management is abstract and cannot
be seen with the eyes
8. Management is a profession:
• because some of its established
principles are being applied in practice
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Nature of Management

10.Management is a science and an

art:
• because it is concerned with the
application of knowledge for the
solution of organisational problems.
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Nature of Management

11. Management is dynamic:

• because it adapts itself to the social
changes and introduces innovation in
methodology.
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Nature of Management

12. Management involves decision-

making:
• Management process involves
decision-making at various levels for
getting things done by others
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Nature of Management

13. Management applies economic

principles.
• Management is the art of applying the
economic principles that underline the
control of men and materials in the
organisation
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Nature of Management

14. Management is concerned with

direction and control:
• Management is concerned with the
direction and control of the various
activities.
• deals particularly with the active
direction of the human effort.
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Functions of
Management
Planning &
Strategizing

Controlling Organizing

Leading &
Developing
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Planning &
Strategizing
• Planning – a formal process whereby managers
choose goals, identify actions, allocate
responsibility for implementing actions,
measuring the success of actions, and revising
plans
• Planning is used to develop overall strategies
• A strategy is an action that managers take to
attain the goals
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Planning &
Strategizing

• Planning goes beyond strategy development to

include the regulation of a wide variety of
organizational activities
• Strategizing – the process of thinking through
on a continual basis what strategies an
organization should pursue to attain its goals
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The process of planning involves

the following activities
1. Laying down objectives
2. Developing planning premises
3. Searching alternative courses of action
4. Evaluation of various alternatives and
formulation of a plan
5. Formulating policies and procedure
6. Preparing schedules, programmes and
budgets.
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Organizing

Organizing involves deciding:

• Who will perform the task?
• Where will decisions be made?
• Who reports to whom?
• How will different parts of the organization
fit together to accomplish the common
goal?
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Dividing the enterprize into subunits

and deciding how much decision
making authority to give each
subunit
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The process of organising thus involves

the following activities:

1. Identifying the activities involved in

achieving the objectives
2. Grouping the activities into a logical pattern
3. Assigning the activities to employees
4. Delegating authority and fixing responsibility
5. Coordinating the authority-responsibility
relationships of various activities.
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Controlling

• The process of monitoring

performance against goals,
intervening when goals are not met,
and taking corrective action
• First step – Drafting plans
• Important aspect is creating
incentives that align employees’ and
organization’s interests
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Benefits & Incentives

1. Performance Bonuses
2. Health Benefits
3. Performance-based Time Off
4. Education and Learning
5. Recognition and Awards
6. Retirement Planning and 401(k)
7. Promotion
8. Child Care and Elder Care Assistance
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The process of controlling thus involves

the following:
1. Determination of standards for measuring work
performance
2. Measurement of actual performance
3. Comparing actual performance with the standard
4. Finding variance between the actual and the
standard and the reasons for the same
5. taking corrective action to ensure attainment of
objective
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Leading & Developing

• Leading – is the process of motivating, influencing,

and directing others in the organization to work
productively in pursuit of organization goals.

• Developing employees – the task of hiring, training,

mentoring, and rewarding employees in an
organization, including other managers.
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Leading and developing employees lead to

skilled leaders who:
• Drive strategic thinking (strategizing) deep
within the organization while articulating their
own vision for the organization.
• Have a plan for their organization and push
others to develop plans.
• Proactively structure the organization to
implement their chosen strategy
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• Exercise control with a deft hand, never seeming

too overbearing or demanding, while at the same
time never taking their eyes off the ball.
• Put the right kinds of incentives in place.
• Get the best out of people by persuading them
that a task is worthy of their effort.
• Build a high-quality team of other managers and
employees through which they can work to get
things done
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Without skilled leaders strategy may

fail. The organization may become
bureaucratic; control may be lost;
employees will lack incentives and
motivation; and the organization may
suffer insufficient human capital
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Directing thus involves

1. issuing instructions (or

communication) to subordinates
2. Guiding
3. Motivating
4. supervising them.
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Exercise 5 per group. Output be presented in class

Suppose you are working in a _____ company as a

project leader, how can you use the 4 functions of
management in your environment.
a. Specify and describe the nature of your company
b. Describe the nature of your job as project leader
c. Specify and describe a particular project to be
implemented
d. Show how you could apply/use the four functions of
management.
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America’s Best Leaders

• Steve Jobs, Apple, Pixar

• Alan Mulally, Boeing Commercial
Airplanes
• Terry Semel, Yahoo!
• A.G. Lafley, Procter & Gamble
• Kim Shin Bae, SK Telecom

Source: Best of 2005, Business Week, December 19, 2005

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Question

• Are the functions of

management only for
managers in
organizations or can they
apply to you as a student
as well? Explain.
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Types of Managers

General
Managers

Functional
Managers

Frontline
Managers
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Question

• Dr. John Alexander is the Chair of the Management

Department at Global University with their main campus in
New York, USA. The President of the university is Dr. Kim
Kerry. John can be described as a ________ manager whereas
Kim is a _______ manager.
a. general; functional
b. frontline; general
c. functional; frontline
d. general; frontline
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Multi-divisional
Management Hierarchy
CEO
Corporate-level
general managers Division Division Division Division

R&D Production Marketing Sales

Team

Team
Business-level
general managers
Team
Functional
managers
Frontline
managers
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LEVELS OF MANAGEMENT

Top management

Middle
management

Lower
management
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Corporate-Level General
Managers
• The CEO (Chief Executive Officer)
• Formulate strategies that span business
• Decide how the enterprise should be
organized into different divisions
• Sign off on major strategic initiatives
proposed by the heads of divisions
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Corporate-Level General Managers

• Manage relationships with the people who own

the company

• Top Management Team:

- CFO (Chief Financial Officer)
- COO (Chief Operating Officer)
- CTO (Chief Technology Officer)
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The role of the top management

Top management lays down the objectives

and broad policies of the enterprise.
It issues necessary instructions for
preparation of department budgets,
procedures, schedules etc.
It prepares strategic plans & policies for the
enterprise.
It appoints the executive for middle level i.e.
departmental managers. e
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The role of the top management

It controls & coordinates the activities of all

the departments.
It is also responsible for maintaining a
contact with the outside world.
It provides guidance and direction.
The top management is also responsible
towards the shareholders for the
performance of the enterprise.
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Business-Level General
Managers
• Head different divisions
• Report directly to the CEO
• Translate the overall strategic vision for the
corporation into concrete strategies and plans
for their units
• Organize and control operations and activities
within their division
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Functional Managers
• Responsible for specific business functions that
constitute a company or one of its divisions
- Purchasing
- Marketing
- Production
- R&D
• Major Strategic Role:
- to develop functional strategies and draft plans in their
areas that help fulfill the strategic objectives set by
business- and corporate-level general managers
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Functional Managers

• Provide most of the information that makes it

possible for business- and corporate-level
general managers to formulate realistic and
attainable strategies
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Their role can be emphasized as:

:
execute the plans of the organization in
accordance with the policies and directives
of the top management.
make plans for the sub-units of the
organization.
participate in employment & training of
lower level management.
interpret and explain policies from top level
management to lower level.
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Their role can be emphasized as:

responsible for coordinating the activities

within the division or department.
sends important reports and other
important data to top level management.
evaluate performance of junior managers.
responsible for inspiring lower level
managers towards better performance.
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Frontline Managers

• Manage employees who themselves are not

managers
• Critical to maintaining the performance of an
organization
• In some cases they can influence the destiny of
an entire organization
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Their activities include:

Assigning of jobs and tasks to various

workers.
They guide and instruct workers for day to
day activities.
They are responsible for the quality as well
as quantity of production.
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Their activities include:

responsibility of maintaining good relation

in the organization.
communicate workers problems,
suggestions, and recommendatory appeals
etc to the higher level and higher level
goals and objectives to the workers.
help to solve the grievances of the workers
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Their activities include:

They supervise & guide the sub-ordinates.

They are responsible for providing training
to the workers.
They arrange necessary materials,
machines, tools etc for getting the things
done.
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Their activities include:

They prepare periodical reports about the

performance of the workers.
They ensure discipline in the enterprise.
 They motivate workers.
They are the image builders of the
enterprise because they are in direct
contact with the workers.
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Becoming a Manager

• From Specialist to Manager

- Journey begins when people are
successful at a specialist task that they
were hired to do
- Management skills = technical skills
- Need to be able to get things done
through other people
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Becoming a Manager

• Mastering the Job

- Tends to be a large difference between
expectations and reality
- Workload is tremendous
- Biggest challenge within the first year =
“People challenges”
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Management Roles
Interpersonal roles
Leader
Figurehead Liaison

Negotiator Managerial Monitor

Resource roles
Allocator Disseminator
Disturbance
handler Spokesperson
Entrepreneur Informational
Decisional roles
roles
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Interpersonal Roles

“Managers get things done through their

network of interpersonal relationships” –
Linda Hill
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Interpersonal Roles

• Roles that involve interacting with other people

inside and outside the organization
• Management jobs are people-intensive
• Interpersonal roles:
- Figureheads: Greet visitors, Represent the company at
community events, Serve as spokespeople, and Function as
emissaries for the organization
- Leader: Influence, motivate, and direct others as well as
strategize, plan, organize, control, and develop
- Liaison: Connect with people outside their immediate unit
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Informational Roles

• Collecting, Processing and

Disseminating
• Roles: Monitor,
disseminator, and
spokesperson
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Informational Roles

• Monitors
- Scan the environment both inside and outside the
organization
- Can rely on both formal and informal channels to collect
the information required for effective monitoring
• Dissemination
- Regularly inform staff about the company’s direction
- Specific technical issues
• Spokesperson
- Deliver specific information to individuals and groups
outside the organization
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Decisional Roles

“Whatever managers do, they do through

making decisions” – Peter Drucker
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Decisional Roles

• Whereas interpersonal roles deal with people and

informational roles deal with knowledge, decisional roles
deal with action
• Decisional roles:
- Entrepreneur: Managers must make sure their organizations
innovate, change, develop, and adopt
- Disturbance handler: Addressing unanticipated problems as
they arise and resolving them expeditiously
- Resource allocator: How best to allocate scarce resources
- Negotiator: Negotiation is continual for managers
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Alan Mulalley, CEO

Boeing Commercial Airplanes
• Decisional Roles:
1. After September 11 attacks, Mulalley had to
renegotiate delivery of some 500 airplanes
2. Cut jet production by more than half
3. Fire 27,000 workers
4. During the downturn, he focused on cutting waste
and streamlining his airplane production lines
5. He then bet the company’s future on a set of new
technologies that are now turning Boeing’s super
efficient 787 Dreamliner into the hottest-selling
new jetliner in history
Source: Best of 2005, Business Week, December 19, 2005
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Management
Competencies

Motivational
Preferences

Skills Includes Values

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Managerial Skills

- the ability to see

Conceptual
the “big picture”
Skills

Mastery of Technical
specific Skills
equipment/field or
tech procedure
Communicate, persuade, Human
manage
Skills
conflict, motivate, coach, negotiate,
and lead
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Managerial Values

• Enacted Values Guide behavior

• Espoused Values What people say is
important to them
• Shared Values Common by
several people
• Ethical Values
Society expects to
follow
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Managerial Motivation

Desire to Compete
Desire to Exercise Power
Desire to be Distinct
Desire to Take Action
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EXAMPLE

Managerial Roles
1. Interpersonal Roles
A. Figurehead - *Reason/Explanation
- Specific Situation
Managerial Competencies
2. Managerial skills
C. Human Skills - *Reason/Explanation
-Specific Situation