INTRODUCTION TO BUSINESS

1. INTRODUCTION TO BUSINESS SubarjoJoyosumarto SE, MA, Ph.D 1 September 2016 Meeting 8: Managing the Business Enterprise (Chapter 6)

2. RENCANA MEETING 8 - 14 • Chapter 6, Managing the Business Enterprise • Overview of meeting 8 • Chapter 14, Producing Goods and Services • Overview of meeting 9 • Chapter 11, Developing and Pricing Products • Overview of meeting 10 • Chapter 13, Promoting Products • Overview of meeting 11 • Chapter 8, Human Resources and Labor Relations • Overview of meeting 12 • Chapter 3, Business Ethically and Responsibility • Overview of meeting 8-13 • Final Exam

3. MANAGING THE BUSINESS ENTERPRISE

4. MANAGEMENT • planning, • organizing, • distributing, and • controlling , of Is the process of : an organization’s resources: • financial, • physical, • human, and • information to achieve its goals. MANAGERS Oversee the use of these resources in their respective firms.

5. PLANNING Management process of determining what an organization needs to do and how best to get it done. PLANNING has 3 mean components: • determines firm’s goal, • develop a comprehensive strategy, • design tactical and operational plans for implementing the strategy

6. ORGANIZING Management process of determining how best to analize an organization’s resources and activities into a coherent structure DIRECTING Management process of guiding and motivating employees to meet an organization objectives CONTROLLING Management process of monitoring an organization’s performance to ensure that it is meeting its goals

7. TYPE OF MANAGERS • LEVEL: • Top • Middle • First-line • AREA: • Human resource • Operation • Marketing • Information • Financial • Other • SKILLS: • Technical • Human relation • Conceptual • Decision making • Time management

8. LEVEL OF MANAGEMENT TOP MANAGER Responsible for firm’s overall performance and effectiveness MIDDLE MANAGER Responsible for implementing the strategies, policies and decisions made by top managers FIRST-LINE MANAGER Responsible for supervising the work of employees

9. AREAS OF MANAGEMENT • HUMAN RESOURCES • hire, train, evaluate performances, • compensation • OPERATING • systems by which a firm produces goods and services • MARKETING • development of pricing, promotion, and distribution of products (4P) • INFORMATION • design and emplacement to gather, organize and distribute information • FINANCIAL • responsible for planning and overseeing accounting function and financial process

10. MANAGEMENT SKILLS • TECHNICAL SKILLS • performs specialized tasks • HUMAN RELATION SKILLS • understanding and getting along with people • CONCEPTUAL SKILLS • abilities to think in the abstract, disguise and analyze different situations, and see beyond the present situation • DECISION MAKING SKILLS • abilities to define problems and selecting the best course of actions • TIME MANAGEMENT SKILLS • skills associated with the productive use of time

11. MANAGER SET GOALS AND FORMULATING STRATEGIES GOAL objective that business hopes and places to achieve STRATEGY Broad set of organization plans for implementing the decisions made for achieving organization goals

12. HIERARCHY FOR STRATEGY CORPORATE STRATEGY Strategy for determine the firms' overall attitude toward growth and the way it will manage its business or product lines CORPORATE STRATEGY BUSINESS STRATEGY FUNCTIONAL STRATEGY BUSINESS STRATEGY Strategy, at the business-unit or product-line level, focusing on a firm’s competitive position FUNCTIONAL STRATEGY Strategy by which massages in specific areas decide how best to achieve corporate goals through productivity

13. STRATEGY FORMULATION Analyze the organization 1 Match the organization and its environment Set Strategic goals Formulate strategy 2 3 Analyze the environment

14. QUESTION FOR DISCUSSION • Which of these activities is not part of the management process? a) Planning; b) Organizing; c) Coordinating; d) Directing; e) Controlling • TRUE/FALSE in general, there are three basic levels of management in most organization. • Which of the following is a basic area of management? a) Human resources; b) Operations; c) Marketing; d) Finance e) All of these areas of management • The ability to think in the abstract reflects which of the following managerial skills? a) technical skills; b) human relations skills; c) conceptual skills; d) decision-making skills; e) time management skills. • Identify and explain the three basic steps in strategy formulation • Relate the five basic management skills to the four activities in the management process • Select any group of which you are a member (your family, or a club or organization). Explain how planning, organizing, directing, and controlling are practiced in that group. • Identify managers by level and area at your school • In what kind of company would the technical skills of top managers be more important than human relations

15. Thank You