Chapter 1 Fundamental Mgt
Chapter 1 Fundamental Mgt
1–1
Lecture Processes
1. Attendance: 10%
2. Midterm: 20 %
3. Assignment 30%
✓ Quizzes 4 (10%)
✓ Homework 4 (10%)
✓ Assignment 2 (10%)
4. Final Exam: 40%
1–2
Students’ Orientation
• Name:……….
• Hometown:………..
• Job:……….
• Favorite:……….
• Goal:………..
• Why did you choose BBA at IU?
1–3
Part 1: Introduction
Chapter 1
Managers
and
Management
Organizations
• Organization
➢ A systematic arrangement of people brought together
to accomplish some specific purpose; applies to all
organizations—for-profit as well as not-for-profit
organizations.
➢ Where managers work (manage)
• Common characteristics
➢ Goals
➢ Structure
➢ People
1–5
Common Characteristics of Organizations
EXHIBIT 1.1
1–6
People Differences
• Operatives
➢ People who work directly on a job or task and have
no responsibility for overseeing the work of others
• Managers
➢ Individuals in an organization who direct the activities
of others
1–7
Organizational Levels
EXHIBIT 1.2
1–8
Identifying Managers
• First-line managers
➢ Supervisors responsible for directing the day-to-day
activities of operative employees
• Middle managers
➢ Individuals at levels of management between the first-
line manager and top management
• Top managers
➢ Individuals who are responsible for making decisions
about the direction of the organization and
establishing policies that affect all organizational
members
1–9
Management Defined
• Management
➢ The process of getting things done, effectively and
efficiently, through and with other people
➢ Efficiency
❖ Means doing the thing correctly; refers to the
relationship between inputs and outputs; seeks to
minimize resource costs
➢ Effectiveness
❖ Means doing the right things; goal attainment
1–10
Efficiency and Effectiveness
EXHIBIT 1.3
1–11
Management
Process
Activities
Management process:
planning, organizing,
leading, and controlling EXHIBIT 1.4
1–12
Management Process
• Planning
➢ Includes defining goals, establishing strategy, and
developing plans to coordinate activities
• Organizing
➢ Includes determining what tasks
to be done, who is to do them,
how the tasks are to be
grouped, who reports to
whom, and where
decisions are to be made
1–13
Management Process
• Leading
➢ Includes motivating employees, directing the activities
of others, selecting the most effective communication
channel, and resolving conflicts
• Controlling
➢ The process of monitoring performance,
comparing it with goals, and
correcting any significant
deviations
1–14
Mintzberg’s Managerial Roles
EXHIBIT 1.5
1–15
Is The Manager’s Job Universal?
• Level in the organization
➢ Do managers manage differently based on where they are in the
organization?
• Profit versus not-for-profit
➢ Is managing in a commercial enterprise different than managing
in a non-commercial organization?
• Size of organization
➢ Does the size of an organization affect how managers function in
the organization?
• Management concepts and national borders
➢ Is management the same in all economic, cultural, social and
political systems?
1–16
Distribution of Time per Activity by
Organizational Level
Source: Adapted from J. G. P. Paolillo, “The Manager’s Self Assessments of Managerial Roles: EXHIBIT 1.7
Small vs. Large Firms,” American Journals of Small Business, January–March 1984, pp.61–62.
1–18
General Skills for Managers
• Conceptual skills
➢ A manager’s mental ability to coordinate all of the
organization’s interests and activities
• Interpersonal skills
➢ A manager’s ability to work with, understand, mentor, and
motivate others, both individually and in groups
• Technical skills
➢ A manager’s ability to use the tools, procedures, and
techniques of a specialized field
• Political skills
➢ A manager’s ability to build a power base and establish the
right connections
1–19
Specific Skills for Managers
• Behaviors related to a manager’s effectiveness:
➢ Controlling the organization’s environment and its
resources.
➢ Organizing and coordinating.
➢ Handling information.
➢ Providing for growth and development.
➢ Motivating employees and handling conflicts.
➢ Strategic problem solving.
➢The End
1–20