Managing and Performin g Chapter One McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved.
May 10, 2015
Managing and
Performing
Chapter One
McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved.
Learning Objectives
LO 1 Summarize the major challenges of managing in the new competitive landscape.
LO 2 Describe the sources of competitive advantage for a company.
LO 3 Explain how the functions of management are evolving in today’s business environment.
LO 4 Compare how the nature of management varies at different organizational levels.
LO 5 Define the skills you need to be an effective manager.
LO 6 Discuss the principles that will help you manage your career.
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Globalization
Today’s enterprises are global, with offices and production facilities in countries all over the world
Means that a company’s talent can come from anywhere
Internet makes globalization inevitable
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Technological Change: The Internet
MarketplaceMeans for manufacturing goods and
services Distribution channelAn information service
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Technological Change: The Internet
Drives down costs and speeds up globalization.
Improves efficiency of decision making. Facilitates design of new products, from
pharmaceuticals to financial services
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Knowledge Management
Knowledge management Practices aimed at
discovering and harnessing an organization’s intellectual resources
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Knowledge Management
Knowledge workers Workers whose primary contributions are
ideas and problem-solving expertise
Knowledge managers find these human assets, help people collaborate and learn, help people generate new ideas, and harness those ideas into successful innovations.
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Knowledge Management
Knowledge management is about finding, unlocking, sharing, and altogether capitalizing on the most precious resources of an organization: people’s expertise, skills, wisdom, and relationships.
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Collaboration across “Boundaries”
Requires productive communications among different departments, divisions, or other subunits of the organization
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Collaboration across “Boundaries”
Companies today must motivate and capitalize on the ideas of people outside the organization e.g. its consultants, ad agencies, and suppliers
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Managing for Competitive Advantage
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Question
___________ is the fast and timely execution, response, and delivery of results.
A.Innovation
B.Quality
C.Speed
D.Service
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Managing for Competitive Advantage
Innovation the introduction of new goods and services
A firm must: adapt to changes in consumer demands and
to new competitors. be ready with new ways to communicate with
customers and deliver the products to them.
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Managing for Competitive Advantage
Quality The excellence of your product (goods or
services) Historically, quality referred to attractiveness,
lack of defects, reliability, and long-term dependability
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Managing for Competitive Advantage
Today quality is about preventing defects and having continuous improvement in how the firm operates
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Managing for Competitive Advantage
Service giving customers what they want or need,
when they want it focused on continually meeting the needs of
customers to establish mutually beneficial long-term relationships.
Speed Fast and timely execution, response, and
delivery of results.
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Managing for Competitive Advantage
Cost competitiveness Keeping costs low to
achieve profits and be able to offer prices that are attractive to consumers.
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Managing for Competitive Advantage
Sustainability The effort to minimize the use of resources,
especially those that are polluting and nonrenewable.
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The Functions of Management
Management The process of working with people and
resources to accomplish organizational goals Efficiently, effectively
1-19
Question
____________ is monitoring performance and making needed changes.
A.Planning
B.Organizing
C.Leading
D.Controlling
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The Functions of Management
Planning Systematically making decisions about the
goals and activities that an individual, a group, a work unit, or the overall organization will pursue
analyzing current situations, anticipating the future, determining objectives, deciding in what types of activities the company will engage
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The Functions of Management
Organizing assembling and coordinating the human,
financial, physical, informational, and other resources needed to achieve goals
specifying job responsibilities, grouping jobs into work units, marshaling and allocating resources,
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The Functions of Management
Leading stimulating people to be high performers
Controlling monitoring performance and making needed
changes.
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Performing All Four Management Functions
A typical day for a manager is not neatly divided into the four functions
Days are busy and fractionated, and spent dealing with interruptions, meetings, and firefighting
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Performing All Four Management Functions
Good managers devote adequate attention and resources to all four management functions.
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Management Levels and Skills
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Management Levels and Skills
Top-level managers Senior executives responsible for the overall
management and effectiveness of the organization.
Middle-level managers Managers located in the middle layers of the
organizational hierarchy, reporting to top-level executives.
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Management Levels and Skills
Frontline managers Lower-level
managers who supervise the operational activities of the organization
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Transformation of Management Roles and Activities
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Table 1.1
Managerial Roles: WhatManagers Do
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Table 1.2
Question
Which management skill is the ability to lead, motivate, and communicate effectively with others?
A.Technical
B.Conceptual
C.Decision
D.Interpersonal
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Management Skills
Technical skill The ability to
perform a specialized task involving a particular method or process
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Management Skills
Conceptual and decision skills Skills pertaining to the ability to identify and
resolve problems for the benefit of the organization and its members.
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Management Skills
Interpersonal and communication skills People skills; the ability to lead, motivate,
and communicate effectively with others.
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You and Your Career
Emotional intelligence The skills of
understanding yourself, managing yourself, and dealing effectively with others.
Social capital Goodwill stemming
from your social relationships
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You and Your Career
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Two Relationships: Which Will You Choose?
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Figure 1.1
Managerial Action Is YourOpportunity to Contribute
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Figure 1.2
Common Practices of Successful Executives
They ask “What needs to be done?” rather than “What do I want to do?”
They write an action plan. They don’t just think, they do, based on a sound, ethical plan.
They take responsibility for decisions.They focus on opportunities rather than
problems.
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Video Case: AFLAC and Dan Amos
Why does AFLAC CEO, Dan Amos, want shareholders to vote on his compensation package?
What are the consequences of paying an underperforming CEO an exorbitant severance package?
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