CHP 1 The Management Process
CHP 1 The Management Process
Technology …
Globalization …
the worldwide interdependence of resource
flows, product markets, and business
competition that characterize our
economy
Ethics
Code of moral principles that set standards
of conduct of what is good and right
Diversity …
Careers …
Organizations consist of three types of
workers, sometimes referred to as a
shamrock organization:
Organization
A collection of people working together to
achieve a common purpose
Organizations provide useful goods and/or
services that return value to society and
satisfy customer needs
Organizational performance
“Value creation” is a very important notion
for organizations
Value is created when an organization’s
operations adds value to the original cost
of resource inputs
When value creation occurs:
Businesses earn a profit
Nonprofit organizations add wealth to society
Organizational performance
Manager
Directly supports, activates and is
responsible for the work of others
The people who managers help are the ones
whose tasks represent the real work of the
organization
Levels of management
Board of directors make sure the
organization is run right
Top managers are responsible for
performance of an organization as a whole or
for one of its larger parts
Middle managers oversee large departments
or divisions
Team leaders supervise non-managerial
workers
Management 11e Chapter 1 26
Figure 1.3 Management levels in a typical business and non-profit
organizations
Corporate Governance
Board of directors hold top management
responsible for organizational performance
Functions of management …
Planning
The process of setting objectives and determining
what actions should be taken to accomplish them
Organizing
The process of assigning tasks, allocating
resources, and arranging the coordinated
activities of individuals and groups to implement
plans
Functions of management …
Leading
The process of arousing people’s enthusiasm to
work hard and direct their efforts to fulfill plans
and accomplish objectives
Controlling
The process of measuring work performance,
comparing results to objectives, and taking
corrective action as needed
Learning
The change in a behavior
that results from experience
Lifelong learning
The process of
continuously learning from
daily experiences and
opportunities
2. You are a bright, hardworking entry-level manager who fully intends to rise up
through the ranks. Your performance evaluation gives you high marks for your
technical skills but low marks when it comes to people skills. Do you think people
skills can be learned, or do you need to rethink your career path? If people skills
can be learned, how would you go about it?
3. Discuss some of the ways organizations and jobs changed over the past ten
years. What changes do you anticipate over the next ten years? How might these
changes affect the manager’s job and the skills a manager needs to be
successful?