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Chapter. Management, Leadership, and Employee Empowerment. 7. 7- 1. Management. What is it?. The process used to accomplish organizational goals through planning , organizing , leading and controlling people and other organizational resources. WHAT IS MANAGEMENT?. 7- 3.
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Chapter Management, Leadership, and Employee Empowerment 7 7-1
Management What is it?
The process used to accomplish organizational goals through planning, organizing, leading and controlling people and other organizational resources. WHAT IS MANAGEMENT? 7-3
Management In simple terms…
Management Getting the work done through other people…
Management …without making them mad.
The process used to accomplish organizational goals through planning, organizing, leading and controlling people and other organizational resources. WHAT IS MANAGEMENT? 7-7
Process Of Management Management Planning Organizing Leading Controlling Resources Employees Financial Products Location Information Achievement of Goals & Objectives Feedback
New Management Approaches- Why? • Global Competition • Business Scandals • Constant Change • Better Educated Workers • Increasing Workplace Diversity
Management Functions • Planning • Organizing • Leading • Controlling
Anticipating future trends and determining the best strategies and tactics to achieve organizational objectives Key management function because other functions depend heavily on having a good plan Planning
Mission Why Organization Exists, Its Purpose Create Mission
Outline of the fundamental purposes of the organization Should address: Organization’s self-concept Company philosophy and goals Long-term survival Customer needs Social responsibility Nature of company’s product or service Mission Statement
Solano Community College Solano Community College prepares a diverse student population to participate successfully in today’s local and global Communities.
Star Trek Enterprise 2-22
Goals -- The broad, long-term accomplishments an organization wishes to attain. Objectives -- Specific, short-term statements detailing how to achieve the organization’s goals. Setting Goals & Objectives
Questions of Planning • What is the situation now? • Where do we want to go? • How can we get to our goal from here?
PLANNING ANSWERS FUNDAMENTAL QUESTIONS • What Is The Situation Now? • SWOT Analysis -- Analyzes the organization’s Strengths, Weaknesses, Opportunities and Threats. • How Can We Get To Our Goal From Here? • Strategic Planning • Tactical Planning • Operational Planning • Contingency Planning
SWOT AnalysisA Continuous Process What is the situation now?
SWOT Analysis Potential Internal STRENGTHS Potential Internal WEAKNESSES Potential External OPPORTUNITIES Potential External THREATS
SWOT MATRIX 7-28
Ben & Jerry’s: a SWOT analysis to get it growing again Slide 2-34
Planning Types How can we get to our goal from here?
Planning Types • Strategic Planning • Tactical Planning • Operational Planning • Contingency Planning
Planning Types • Strategic Planning -- Done by top management and determines the major goals of the organization and the policies, procedures, strategies and resources it will need to achieve them. • Tactical Planning -- The process of developing detailed, short-term statements about what is to be done, who is to do it and how.
Planning Types • Operational Planning -- The process of setting work standards and schedules necessary to implement the company’s tactical objectives. • Contingency Planning -- The process of preparing alternative courses of action the firm can use if its primary plans don’t work out.
Management PlanningLevels & Time Spans Top Mgmt. MiddleMgmt. Lower Level Mgmt. Time 2 Years + 1 Year, Quarter Days, Weeks Strategic Tactical Operational
DECISION MAKING • Decision Making -- Choosing among two or more alternatives
Define the situation. • Describe and collect needed information. • Develop alternatives. • Develop agreement among those involved. • Decide which alternative is best. • Do what is indicated. • Determine whether the decision was a good one and follow up. RATIONAL DECISION-MAKING MODEL 7-37
Keep global business issues in mind and be a citizen of the world. • Identify and manage risks before they grow. • Change strategies and models with the times. • Skillfully manage relationships with governments as government involvement rises. WHAT MAKES a GREAT CEODecision Making Skills of Top CEOs Source: Fortune, June 13, 2011. 7-38
Organizing Creating a Unified System
Designing structure of the organization and creating conditions and systems in which everyone and everything work together to achieve organization’s goals and objectives Create Corporate Hierarchy Generate Organization Chart Organizing
MANAGEMENT LEVELS • Top Management -- The highest level, consists of the president and other key company executives who develop strategic plans. • Middle Management -- Includes general managers, division managers, and branch and plant managers who are responsible for tactical planning and controlling. • Supervisory Management -- Those directly responsible for supervising workers and evaluating daily performance.
Management Pyramid CEO, Comptroller, Vice Pres. Top Sales Mgrs Plant Mgrs. Mid-Level Supervisors Foremen Front Line/Supervisory
MANAGEMENT LEVELS • Chief Executive Officer (CEO) • Introduces change into an organization. • Chief Operating Officer (COO) • Implements CEO’s changes. • Chief Financial Officer (CFO) • Obtains funds, plans budgets, collects funds, etc. • Chief Information Officer (CIO) • Gets the right information to the right people so decisions can be made.
Management Skills • Technical Skills -- The ability to perform tasks in a specific discipline or department. • Human Relations Skills -- Skills that involve communication and motivation; they enable managers to work through and with people. • Conceptual Skills -- Skills that involve the ability to picture the organization as a whole and the relationship among its various parts.
Saying “thank you” has led to happier employees and greater profits for companies. • Whom should a manager thank? • Interns- Doing lots of work for little money, they are the future of the company and industry. • Lawyers- Many do pro bono work, even for nonprofit companies. • The Little People - Mailroom, repair, and cleaning staff keep the office running day-to-day. THANK YOUThe Most Basic Human Relations Skill Source: Fast Company, November 2010. 7-48
Visual devices that show relationships among people and divide the organization’s work; they also show who reports to whom. ORGANIZATIONAL CHARTS 7-50
Organizing • SBU’s • Cross-Functional Self-Managed Teams • Diversity • Heterogeneous vs. Homogeneous • Staffing • Recruit and Retain
Recruiting, hiring, motivating and retaining the best people available to accomplish the company’s objectives. STAFFING • Recruiting good employees is critical. • Many people are not willing to work at companies unless they are treated well with fair pay. 7-52
Leading Providing Continuous Vision & Values (Previously known as Directing)
Creating a vision for the organization and guiding, training, coaching, and motivating others to work effectively to achieve the organization’s goals Leading
Leadership Styles • Autocratic • Participative (Democratic) • Free-rein
Autocratic Making managerial decisions without consulting others.
Participative (Democratic) Leader Managers and employees work together to make decisions.