05 Bmom5203 T1
05 Bmom5203 T1
05 Bmom5203 T1
1 Management
LEARNING OUTCOMES
By the end of this topic, you should be able to:
1. Discuss the importance of management and its new landscape;
2. Explain how the functions of management are evolving in todayÊs
business environment;
3. Compare how the nature of management varies at different
organisational levels; and
4. Define the skills and roles of a manager.
INTRODUCTION
A key to achieving success is to assemble a strong and stable management team.
-Vivek Wadhwa (2013)
The challenge today, in order to manage effectively, is to identify the best talent
to hold a managerial position, whereby the main criteria is the ability to integrate
technology in managing people and resources.
ACTIVITY 1.1
1. Identify the number of Baby Boomers, Generation X and Generation Y
who are holding managerial positions within your company.
2. Evaluate which generation of employees is the most preferred by
managers, and which generation is the least preferred by managers.
Explain your answer.
Hence, in view of the new business landscape, you must analyse the new rules
and regulations of your business transactions, revisit situations where your
businesses are operating and make changes in order to be more competitive.
(a) Globalisation
Globalisation has taken place and most managers today have to manage
employees from different nationalities, cultures and values. This creates
challenges and the ability of managers to communicate and manage their
employees effectively will contribute to company profitability. When the
diversity is well-managed, the organisation will be able to produce
products and services that will capture new markets or might be able to
develop unique products and services to capture one single international
market or products and services that can be accepted by all, irrespective of
their differences.
ACTIVITY 1.2
1. Discuss how your company can be more competitive by utilising the
latest technologies available in the market.
2. Discuss the advantages and disadvantages of social media in the
business environment.
(a) Innovation
This refers to how well you manage your resources in order to be more
efficient and effective. For example, you might have limited space in your
office. Instead of having a normal boardroom meeting, you might opt to
have the meeting via Skype or WhatsApp group meeting or discussion.
This will ensure that all information can be disseminated more timely and
easily as well as allowing more interaction with all staff. Moreover, their
responses in the discussion will be recorded and can be given some
weightage to their year-end performance.
(b) Quality
The quality of your products and services is crucial to the success of your
business. Hence, having quality employees and quality raw materials are
becoming a must rather than an option in order to be more competitive. High
quality employees refers to those who are usually creative and innovative,
and able to serve and generate more profit for the company. Therefore the
ability to retain quality employees and suppliers is becoming critical for
business in order to gain competitive advantage in the marketplace.
(c) Service
The ability to provide quality services to customers and being able to
provide extra services to customers will be an added competitive
advantage. Nowadays, customers always want more value for their money.
Therefore in managing the employees and resources, managers should be
able to think of extra services that can be provided to customers. For
example, updating current information about products and services via e-
mail, SMS, or whatsApp messages to customers. With these value-added
services the business may be able to have a more competitive advantage
over its competitors.
(d) Speed
TodayÊs customers demand for faster information, products and services
than before. Hence, the ability of organisations to deliver their products and
services faster than their competitors can be an added competitive
advantage. In the project management triangle, customers who want
quality product and faster availability or delivery must be willing to pay
higher prices. Hence, the ability to deliver faster and with high quality
products and services will allow the organisation to charge a higher price
and improve its profitability, thus gaining more competitive advantage.
In short, if you are able to deliver all five elements mentioned above, you may
gain competitive advantage over your competitors and be a market leader.
However, if you cannot deliver all five, you should strive to deliver at least one
or two of the five elements.
ACTIVITY 1.3
Identify which element of competitive advantage is the most important
to your organisation. Explain your answer.
(a) Planning
As a manager, one of the main tasks is planning, whereby you should
always plan all your resources well in order to ensure that your department
is able to synchronise with organisational goals and objectives. The
planning usually takes place at the end of the year, and the plans are
communicated to the employees early the following year. In addition to the
yearly plan, whenever there is a major shift or change in the organisationÊs
direction, you might want to re-think and re-model the planning to serve
your organisation better.
(b) Organising
Another important function of a manager involves organising resources to
ensure that each and every resource is utilised efficiently and effectively in
meeting organisational goals and objectives.
(c) Leading
A manager is also required to lead his/her subordinates. As a manager, you
should be able to lead your subordinates and mobilise your staff efficiently
and effectively towards meeting organisational goals and objectives.
(d) Controlling
As a manager, you are responsible for controlling the resources, including
the human resources (for example, your staff). You should identify the
skills that they are lacking as well as the learning exposure needed in order
to mould or transform them to be ready to take on new challenges in the
business environment. Once you have received a fresh graduate, the main
challenges you might face is actually to expose them to the real business
environment that are totally different from their school years. The ability of
the managers to control the environment will lead towards the achievement
of the organisational goals and objectives.
As a manager, you have to perform all four management functions well. The
inability to perform these four management functions well will lead towards
inefficiency and ineffectiveness of the organisation in meeting its goals and
objectives.
ACTIVITY 1.4
In your opinion, which one of the functions of management
(planning/organising/leading/controlling) is considered the most
critical function for managers? Explain your answer.
Usually the frontline managerÊs tasks are predictable and can be emulated by
others easily. The tasks of the frontline managers are tedious and are easily
replaceable if they are found to be inefficient or ineffective. In addition, as leaders
they are also responsible to motivate, train and identify new staffing for the
department in order to ensure that the operation of the business is not disrupted.
The challenges that may be faced by most frontline managers are over
possessiveness, overburdened or burnout. Hence, it is the responsibility of the
top management to ensure that these frontline managers are given sufficient
moral and motivational support, appreciation, and training in order to upgrade
their managerial skills.
The informational and decisional roles for frontline managers, middle managers
and top level managers are the same, although they are used in different
contexts. Usually if you are a frontline manager your informational and
decisional roles will be used to handle routine and day-to-day operational
activities to enhance organisational performance.
Effective frontline managers are usually viewed as potential leaders in the future
and are highly valuable to the organisationÊs future success, because all the key
activities including knowledge, experiences, skills and techniques are within
their fingertips. Losing them may well be a huge loss for the business operation
as they may use their skills and experiences to develop and enhance the
competitorÊs business operation. Table 1.1 summarises the roles and key activities
of frontline managers.
Table 1.1: Frontline Managers
Description
Roles The roles start from operational implementers to aggressive entrepreneurs.
Key Activities 1. To create and pursue new growth opportunities for the business.
2. To attract and develop resources.
3. To manage continuous improvement within the department.
The other key activities for middle level managers involve developing
individuals and supporting their activities in the organisation, linking diverse
knowledge and skills across departments or units and managing the tension
between achieving short-term and long-term goals of the organisation.
As middle level managers, you should know more about the activities at the
operational levels and also the direction the organisation is heading to. Therefore,
the direction given by the top level managers must be clearly communicated by
middle level managers to the frontline managers in order to ensure efficiency and
effectiveness of the organisationÊs activities. Table 1.2 summarises the roles and
key activities of middle level managers.
Description
Roles The roles shifted from administrative controllers to supportive
coaches.
Key Activities 1. To develop individuals and support their activities.
2. To link diverse knowledge and skills across units.
3. To manage the tension between short-term purpose and long-
term goals of the organisation.
If you are a top level manager, your tasks will be more challenging as you are
now less concerned about allocating resources but are more focused on being
institutional leaders. The role of an institutional leader is to lead the organisation
towards achieving the vision and mission of the organisation.
Hence, your key activities will be to establish performance standards for the
organisation, create norms and values for your organisation as well as to create
corporate purpose and ambition for the organisation. That might involve branding
or re-branding, changing your corporate image or upgrading facilities.You might
also want to expand business operations to other parts of the world.
As a top level manager, you also perform interpersonal roles where you have to
be the figurehead, leader and liaison. Top level managers still perform the
symbolic duties representing the organisation in ceremonies, social events and
legal matters. In your leadership role, you must plan how to motivate your staff,
identifying relevant training to enhance their skills and rebuild their attitude in
the organisation. In addition, top level managers are also responsible to maintain
a strong relationship with external parties such as government agencies,
ministries, suppliers, customers as well as competitors.
Top level managers also have informational roles and decisional roles. Although
similar to frontline managers and middle level managers, the context or situation
will be at a higher level.
On most ocassions top level managers will be tasked to speak on behalf of the
organisation on corporate matters during press conferences or meetings with
potential clients or partners. They will usually monitor the flow of confidential
information in the organisation and disseminate information on any new or
changes in policies and procedures in the organisation.
As a top level manager, you are likely to only make critical decisions for the
organisation, those which involve approval for new business opportunities or
initiating a new project. You will need to handle conflicts amongst your
managers especially the middle level managers so as to avoid disrupting the
main business activities. As a top level manager, you are also responsible to
allocate budget diligently to each department to ensure smooth running of the
business operation. In addition, you will also be involved in negotiating with
your major clients, major suppliers, government agencies and other institutions
in order to ensure that your organisation is in a favourable position to take
advantage of the situation that may arise. Table 1.3 summarises the roles and key
activities of top level managers.
Table 1.3: Top Level Managers
Description
Roles The roles shifted from resource allocators to institutional leaders.
Key Activities 1. To establish high performance standards.
2. To institutionalise a set of norms and values to support cooperation
and trust.
3. To create an overarching corporate purpose and ambition.
ACTIVITY 1.5
Do you agree that all top managers were once frontline managers?
Discuss.
Description
Interpersonal 1. Figurehead: to perform symbolic duties in ceremonies, social events
roles and legal matters.
2. Leader: to plan for motivating staffs, training of staffs and staffing.
3. Liaison: to maintain relationship with external parties.
Informational 1. Spokesperson: to speak on behalf of the organisation on plans,
roles policies, actions and results.
2. Monitor: to seek and receive information to develop a thorough
understanding of the organisation and its environment, serving as the
„nerve centre‰ of communication.
3. Disseminator: to transmit information from source to source, and to
interpret and integrate diverse perspectives.
Decisional 1. Entrepreneur: to search for new business opportunities and initiate
roles new projects to create change.
2. Disturbance handler: to take corrective action during crises or other
conflicts.
3. Resource allocator: to provide funding and other resources to units or
people, including making or approving organisational decisions.
4. Negotiator: to engage in negotiations with parties outside the
organisation as well as inside such as resource exchanges.
However, if you are focusing too much as a specialist, you might ignore
other employees within your team. This might demotivate them from
contributing to your organisational performance and causing detrimental
consequenses to the whole business operation. While it is important to
understand and know the tasks required of a specialist, you also need to be
a generalist in order to take into consideration every employeeÊs concern
and job function.
(b) Be Self-reliant
As a manager, you should be self-reliant and learn to trust your instincts
and judgements. You should take precaution not to focus more on your
employeeÊs opinion and ignore your own judgement because by doing so,
you are allowing your employeeÊs opinion to influence your judgement.
This might lead to favouritism, prejudice, conflicts and ultimately fire up
office politics.
(c) Be Connected
The ability to be connected to all your employees will improve overall
company performance. As a manager, you should not work in silo and in
your own world. You should have meetings and allow all employees to
know more about the organisationÊs direction and expectations. By being
connected you may gain employee trust and be able to motivate them better.
ACTIVITY 1.6
Discuss the skills and roles of managers in your workplace. Are they
similar or different from what has been discussed earlier? Elaborate
your answer.
SELF-CHECK 1.1
The qualities that would make for successful managers include the
following:
− Self-reliant;
Lim, G. S., Chua, S. B., Skulkerewathana, U., & Daft, R. L. (2015). New era of
Management in a globalized world: An Asian perspective. Singapore:
Cengage Learning Asia.
Robbins, S. P., & Coulter, M. (2014). Management (12th ed.). Harlow, England:
Pearson Education Limited.
Wadhwa, V. (2013). Corruption in business and the importance of ethics. The
Wall Street Journal. Retrieved from http://blogs.wsj.com/accelerators/2013/
06/28/weekend-read-corruption-in-business-and-the-importance-of-ethics/