CHAPTER 1:
INTRODUCTION TO
MANAGEMENT AND
ORGANIZATIONS
DAI LE
L EA R N I N G O UT L I N E
Follow this Learning Outline as you read and study this chapter.
Who Are Managers?
• Explain how managers differ from non-managerial
employees.
• Describe how to classify managers in organizations.
What Is Management?
• Define management.
• Explain why efficiency and effectiveness are important to
management.
1–2
L EA R N I N G O UT L I N E
Follow this Learning Outline as you read and study this chapter.
What Do Managers Do?
• Describe the four functions of management.
• Explain Mintzberg’s managerial roles.
• Describe Katz’s three essential managerial skills and how
the importance of these skills changes depending on
managerial level.
• Discuss the changes that are impacting managers’ jobs.
• Explain why customer service and innovation are
important to the manager’s job.
1–3
L EA R N I N G O UT L I N E
Follow this Learning Outline as you read and study this chapter.
What Is An Organization?
• Describe the characteristics of an organization.
• Explain how the concept of an organization is changing.
Why Study Management?
• Explain the universality of management concept.
• Discuss why an understanding of management is
important.
• Describe the rewards and challenges of being a manager.
1–4
Who Are Managers?
• Manager
Someone who coordinates and oversees the work of
other people so that organizational goals can be
accomplished.
1–5
Classifying
Managers
• First-line Managers
• Individuals who manage the work of
non-managerial employees.
• Middle Managers
• Individuals who manage the
work of first-line managers.
• Top Managers
• Individuals who are responsible for
making organization-wide decisions
and establishing plans and goals that
affect the entire organization.
1–6
Exhibit 1–1 Managerial Levels
1–7
What Is
Management?
• Managerial Concerns
• Efficiency
• “Doing things right”
• Getting the most output
for the least inputs
• Effectiveness
• “Doing the right things”
• Attaining organizational
goals
1–
8
Exhibit 1–2 Effectiveness and Efficiency in Management
1–9
What Do Managers Do?
• Functional Approach
• Planning
• Defining goals, establishing strategies to achieve goals,
developing plans to integrate and coordinate activities.
• Organizing
• Arranging and structuring work to accomplish organizational goals.
• Leading
• Working with and through people to accomplish goals.
• Controlling
• Monitoring, comparing, and correcting work.
1–10
Management Functions (Henry)
1–11
What Do
Managers Do?
(cont’d)
• Management Roles Approach
(Mintzberg)
• Interpersonal roles
• Figurehead, leader
• Informational roles
• Monitor, spokesperson
• Decisional roles
• Disturbance handler, resource
allocator, negotiator
1–12
What Managers Actually Do (Mintzberg)
Interaction
• with others
• with the organization
• with the external context of the
organization
Reflection
• thoughtful thinking
Action
• practical doing
1–13
What Do Managers Do? (cont’d)
• Skills Approach(Robert L. Katz)
• Technical skills
• Knowledge and proficiency in a specific field
• Human skills
• The ability to work well with other people
• Conceptual skills
• The ability to think and conceptualize about abstract and
complex situations concerning the organization
1–14
Exhibit 1–5 Skills Needed at Different Management Levels
1–15
Exhibit 1–6 Conceptual Skills
Using Using information to solve business problems
Identifying Identifying of opportunities for innovation
Recognizing Recognizing problem areas and implementing solutions
Selecting Selecting critical information from masses of data
Understanding Understanding of business uses of technology
Understanding Understanding of organization’s business model
Source: Based on American Management Association Survey of Managerial Skills and
Competencies, March/April 2000, found on AMA Web site ([Link]), October 30, 2002.
1–16
Exhibit 1–6 Communication Skills
Ability to transform ideas into words and actions
Credibility among colleagues, peers, and subordinates
Listening and asking questions
Presentation skills; spoken format
Presentation skills; written and/or graphic formats
Source: Based on American Management Association Survey of Managerial Skills and
Competencies, March/April 2000, found on AMA Web site ([Link]), October 30, 2002.
1–17
Exhibit 1–6 Effectiveness Skills
Contributing to corporate mission/departmental objectives
Customer focus
Multitasking: working at multiple tasks in parallel
Negotiating skills
Project management
Reviewing operations and implementing improvements
Source: Based on American Management Association Survey of Managerial Skills and
Competencies, March/April 2000, found on AMA Web site ([Link]), October 30, 2002.
1–18
Exhibit 1–6 Effectiveness Skills (cont’d)
Setting and maintaining performance standards internally and
externally
Setting priorities for attention and activity
Time management
Source: Based on American Management Association Survey of Managerial Skills and
Competencies, March/April 2000, found on AMA Web site ([Link]), October 30, 2002.
1–19
Exhibit 1–6 Interpersonal Skills (cont’d)
Coaching and mentoring skills
Diversity skills: working with diverse people and cultures
Networking within the organization
Networking outside the organization
Working in teams; cooperation and commitment
Source: Based on American Management Association Survey of Managerial Skills and
Competencies, March/April 2000, found on AMA Web site ([Link]), October 30, 2002.
1–20
Exhibit 1–7 Management Skills and Management Function Matrix
1–21
The Increasing Importance
of Customers
• Customers: the reason that
organizations exist
Managing customer
How The relationships is the responsibility
of all managers and employees.
Manager’s Consistent high quality customer
Job Is service is essential for survival.
Changing
Innovation
• Doing things differently, exploring
new territory, and taking risks
Managers should encourage
employees to be aware of and
act on opportunities for
innovation. 1–
22
Exhibit 1–8
Changes Impacting
the Manager’s Job
1–23
An Organization Defined
• A deliberate arrangement of people to
accomplish some specific purpose
(that individuals independently could
not accomplish alone).
What Is An
Organization?
Common Characteristics of Organizations
• Have a distinct purpose (goal)
• Composed of people
• Have a deliberate structure
1–
24
Exhibit 1–9 Characteristics of Organizations
1–25
Exhibit 1–10 The Changing Organization
1–26
• The Value of Studying Management
The universality of management
• Good management is needed in all
organizations.
The reality of work
• Employees either manage or are
Why Study managed.
Management? Rewards and challenges of being a
manager
• Management offers challenging,
exciting and creative opportunities
for meaningful and fulfilling work.
• Successful managers receive significant
monetary rewards for their efforts.
1–27
Exhibit 1–11 Universal Need for Management
1–28
Home Work
• Is your Course Instructor a manager. Explain in
terms of functions, roles and skills possessed by
a manager.
1–29
Exhibit 1–12 Rewards and Challenges of Being A Manager
1–30
Terms to Know
• manager • management roles
• first-line managers • interpersonal roles
• middle managers • informational roles
• top managers • decisional roles
• management • technical skills
• efficiency • human skills
• effectiveness • conceptual skills
• planning • organization
• organizing • universality of
• leading management
• controlling
1–31