Introduction

BMAN 10011: Fundamentals of Management

Dr. Masakatsu (Bob) Ono

masakatsu.ono@manchester.ac.uk
AMBS 7.012
 Course Content
• Aims:
− Basic knowledge of management
− Introduction to future management courses
• Structure:
− 10 two-hour lectures + 1 revision session
− Self-tests (no seminars)
 Course Content Available at
• Eddie Davies Library
• Blackwell’s Bookshop
• *eTextbook
• Reading:
− Smith (2011) Fundamentals of Management*
− Robbins, Decenzo, & Coulter (2013) Fundamentals of
Management
• Assessment:
− Mid-semester multiple choice test (10%)
• Practice test available
− Exam in January (90%)
• 3 sections
 Course Delivery
• Guest Lecturers:

− Dr. Raymond Obayi (TBC) ・ ・ ・ Operations

− Dr. Abbie Iveson ・ ・ ・ Marketing
− Dr. Imran Saqib ・ ・ ・ Human Resources
− Dr. Aseem Pahuja ・ ・ ・ IT
 Timetable
Lectures are scheduled on Thursdays 15.00-16.50h
WEEK DATE TOPIC LECTURER
WHAT IS MANAGEMENT?
1 29 September MO
Introduction: Definition & History of Management
2 6 October History of Management, Management Skills, Organisations MO
MANAGEMENT PROCESSES:
3 13 October
Planning MO
4 20 October Organising MO
5 27 October Staffing: Selection & Motivation MO
6 READING WEEK
Leadership
7 10 November MO
(Practice for Multiple Choice Test)
MANAGEMENT FUNCTIONS & ISSUES:
8 17 November Multiple Choice Test MO
Operations Functions (Asynchronous) TBC
Marketing Functions AI
9 24 November
IT Functions AP
CONTEMPORARY ISSUES: (Asynchronous)
10 1 December Diversity in Organisations MO
Business Ethics

HRM Functions IS
11 8 December
Positive Organisational Scholarship MO

12 15 December Revision Lecture MO

 Feedback
• Self-tests & Kahoot quizzes
− To provide opportunities for regular self-assessment
and feedback
• Mid-semester multiple-choice test
− A brief test as preparation
• Your input & opinions
− Mid-semester course feedback
− Course survey at the end
• Course Discussion Board on BlackBoard
• Exam preparation
− Revision session & feedback from the last year’s exam
TODAY’S LECTURE
- Defining Management
- Variations in Management
- Management Skills
 Defining Management
• A simple definition
− “using resources in an efficient and effective way so that
the end product is worth more than the initial resources”
INPUTS OUTPUTS
TRANSFORMATION
VALUE: X VALUE: X+Y

Means: Efficiency Ends: Effectiveness

• An integrated definition (Smith, 2011)

− ”the activity of getting other people to transform
resources so that the results add value to the
organization in terms of reaching its organisaional
goals”
 Why do we need management?
Advantages? Disadvantage?
Google’s Project Oxygen

Consumes
Enables big
working time
achievement
Expensive
Increases
efficiency &
Pursuit of selfish
reduces waste
goals
VARIETIES OF MANAGERS
 3 Ways to Distinguish Managers
• By ownership
− owner managers, entrepreneur, intraprenuers
• By levels/seniority
− first-line, middle, senior
• By relations to operations
− line, specialist, project, functional
 By Ownership
• Owner Managers
− Common form but often inefficient
− Mainly in small firms < 50 employees
− Some owners have neither the skills, training, or the
inclination to manage
− Many start as entrepreneurs
 Entrepreneurship
• Entrepreneurs
− Identifies a business opportunity & exploits it
− Small firms produce disproportionate number of
innovations
• 55% of all innovations; 95% of radical innovations
− 60-80% of small businesses fail within 5 years

• Intrapreneur
− Similar to entrepreneurs but work within
and for large organisations
 Entrepreneurship
• Five main tactics get started:

1. Start a new business

2. Buy-out existing business
3. Buy a franchise
4. Be incubated (by universities or large firms)
5. Be spun off
 Entrepreneurship
Two main sources of obtaining money:
• Debt Finance
− from a bank / wealthy individuals
− interest high due to the risk of failure
− no loss of ownership
• Equity Finance
− from a specialist bank / venture capitalists
− no debt repayments or interest + advice
− shared ownership
• …Crowdfunding?
 By Levels / Seniority
• First-Line
− Narrow range of responsibility with clear objectives –
ensuring operatives achieve targets
− Examples: junior managers, supervisor, team leader
• Middle
− Largely responsible for liaison & co-ordination
− Examples: department heads, district manager
• Senior/Top
− Make decisions about the direction of the organization
− Examples: president, Chief Executive Officer
 By Relation to Operations
• Line Manages
− Directly responsible for producing goods & services
− Often called ’production’ or ‘operations’ managers
• Specialist Managers
− Have line managers as their internal clients
− Provide enabling services or advice (e.g., HR & tech)
• Project Managers
− In charge of a team formed for a discrete development
− Interim managers used for a short period
MANAGEMENT SKILLS
 Management Skills
• Composition of skills differs by management
levels (Katz, 1974)
Amount of Skills

Conceptual,
Strategic & Political

Human / Interpersonal

Technical

First-Line Middle Senior

 Nature of Managerial Work
• 3 features of managerial work identified through
structured observation (Mintzberg, 1973)
− Brevity
− Variety
− Fragmentation
each bar represents a managerial
episode (average = 9min)
Managerial Tasks

A
B
C
D
E
F
…

Time of Day
Less than 10% of episodes last longer than an hour
 Managerial Roles
10 managerial roles identified under
3 broad categories (Mintzberg, 1973)

Interpersonal
• figurehead
• leader
• liaison

Decisional
Informational • entrepreneur
• monitor • disturbance
• disseminator handler
• spokesperson • resource allocator
• negotiator
 Managerial Motives
• Make up a little story about this photo:
− What has happened?
− What is happening to him now?
− What will happen later?
 Managerial Motives
• Leadership Motivation Profile (McClelland, 1971)

Need for Need for Power Need for Affiliation

Achievement o Desires control of o Demands blind
o Must win at any everyone & loyalty & harmony
cost everything o Does not tolerate
o Must be on top & o Exaggerates own
High

High

disagreement

High
receive credit position &
resources

o Fears failure o Dependent / o Remains aloof

o Avoids subordinate o Maintains social
Low

Low

responsibility

Low
o Minimizes own distance
position &
resources
nACH nPOW nAFF
 Managerial Competencies
1. Communication (written & oral: 97%)
2. Self-Management (control, discipline, resilience: 75%)
3. Organisational Ability (delegation, control, structure: 68%)
4. Influencing Skills (impact others, networking: 67%)
5. Teamwork (team membership & leadership: 60%)
6. Interpersonal Skills (relationship, dealing with others: 58%)
7. Analytical Skills (conceptual thinking, problem-solving: 58%)

(Bristow, 2001)
 Psychometric Profiles of Managers
• Intelligence (IQ) Tests
− Often measured as cognitive ability
− Average IQ by managerial levels
• first-line: 109
• middle: 119
• senior: 125
− Good predictors of managerial performance
• Personality Tests
− Complex and difficult to measure (e.g., issues with self-
reporting)
− Moderately good predictors of managerial performance
 Psychometric Profiles of Managers
• Short Personality Test (IPIP)
• Five Factor Model (FFM or Big Five)
of Personality Traits
the extent to which you prefer novelty vs.
? Openness
convention
the extent to which you prefer an organized, or a
Conscientiousness
flexible, approach in life
the extent to which you enjoy company, and seek
Extraversion
excitement and stimulation
the way you express your opinions and manage
Agreeableness
relationships
the way you cope with, and respond to, life’s
Neuroticism
demands
Personality Profiles by Occupation

Hu, Xiao, Nguyen, & Luo (2017)

 Reading & Self-Test
• Smith (2011)
− Chapter 1: Defining Management

• Self-test 1 posted on BlackBoard

− Answers are also available