Management tenth edition

Stephen P. Robbins Mary Coulter

Chapter Introduction to
1 Management
and
Organizations
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Learning Outcomes
Follow this Learning Outline as you read and study
this chapter.
1.1 Who Are Managers?
• Explain how managers differ from non-managerial
employees.
• Describe how to classify managers in organizations.
1.2 What Is Management?
• Define management.
• Explain why efficiency and effectiveness are important
to management.

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 Learning Outcomes
1.3 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 manager’s
jobs.
• Explain why customer service and innovation are
important to the manager’s job.
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 Learning Outcomes
1.4 What Is An Organization?
• Explain the characteristics of an organization.
• Describe how today’s organizations are structured.
1.5 Why Study Management?
• Discuss why it’s important to understand
management.
• Explain the universality of management concept.
• Describe the rewards and challenges of being a
manager.

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 Who Are Managers?
• Manager
 Someone who coordinates and oversees the work of
other people so that organizational goals can be
accomplished.

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 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.

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 Exhibit 1–1 Women in Managerial Positions Around
the World

Women in Women in Top

Management Manager’s Job

Australia 41.9 percent 3.0 percent

Canada 36.3 percent 4.2 percent
Germany 35.6 percent N/A
Japan 10.1 percent N/A
Philippines 57.8 percent N/A
United States 50.6 percent 2.6 percent

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 Exhibit 1–2 Managerial Levels

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 What Is Management?

• Management involves coordinating and

overseeing the work activities of others so that
their activities are completed efficiently and
effectively.

• Getting the things done through others (Stewart)

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 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

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Exhibit 1–3 Effectiveness and Efficiency in
Management

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 What Managers Do?
• Three Approaches to Defining What Managers
Do.
 Functions they perform.
 Roles they play.
 Skills they need.

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 What Managers Do?
• Functions Manager’s Perform (Henry Fayol 1845 –
1925)
 He was French Industrialist who put forward the
concept of “Universality of Management Principles”

 He proposed management performs five functions:

Planning, Organizing, Commanding, Coordinating
and Controlling

POCCC

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 What Managers Do?
• Functions Manager’s Perform (Henry Fayol 1845 –
1925)
 Planning
 Defining goals, establishing strategies to achieve goals,
developing plans to integrate and coordinate activities.
 Organizing
 Arranging and structuring work to accomplish organizational
goals.
 Commanding/Leading
 Working with and through people to accomplish goals.
 Controlling
 Monitoring, comparing, and correcting work.

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 Exhibit 1–4 Management Functions

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 What Managers Do?
Roles Manager’s Play (Henry Mintzberg)
 Henry Mintzberg, a management researcher.

 Did a study of a relatively small sample of US

corporations to see how senior managers actually
spend their time.

 He suggested three types of managerial role.

– Interpersonal
– Informational
– Decisional

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 What Managers Do?
• Management Roles
(Mintzberg)
 Interpersonal roles

1. Figurehead
2. Leader (hiring, firing, training of
staff, motivating employees and
reconciling individual needs)
3. Liaison (meeting with peers,
and making contacts outside
the vertical chain of
command)
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 What Managers Do?
• Management Roles
(Mintzberg)
 Informational roles
1. Monitor (To monitor the
environment, Access to all
staff, Many external contacts)
2. Spokesperson (To provide
information to interested
parties)
3. Disseminator
(To disseminate the
information to sub- ordinates)

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 What Managers Do?
• Management Roles
(Mintzberg)
 Decisional Roles
1. Entrepreneur (To initiate small
scale projects to help org to
react to a changed
environment)
2. Disturbance Handler
3. Resource Allocator
4. Negotiator

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 What Managers Do (Mintzberg)

• Actions
 thoughtful thinking
 practical doing

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 Exhibit 1.5 Mintzberg’s Managerial Roles
• Interpersonal Roles
• Figurehead
• Leader
• Liaison
• Informational Roles
• Monitor
• Disseminator
• Spokesperson
• Decisional Roles
• Entrepreneur
• Disturbance handler
• Resource allocator
• Negotiator
Adapted from Mintzberg, Henry,
The Nature of Managerial Work,
1st Edition, © 1980, pp. 93–94..
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 What Managers Do?

• Skills Managers Need

 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

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 Exhibit 1–6 Skills Needed at Different
Management Levels

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 How The Manager’s Job Is
Changing
• The Increasing Importance of Customers
 Customers: the reason that business exist
 Managing customer relationships is the responsibility of all
managers and employees.
 Consistent high quality customer service is essential for
survival.
• Innovation
 Doing things differently, exploring new territory, and
taking risks
 “Nothing is more risky than not innovating.”
 Managers should encourage employees to be aware of and
act on opportunities for innovation.
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 How The Manager’s Job Is
Changing
• Security Threats
 corporate ethics scandals, global economic and
political uncertainties, and technological
advancements.
advancements
• Technology available to Managers today.
 Face to face contact is replaced by emails/text
messages.
 To achieve the competitive advantage in service
oriented economy, high quality service is the basis.
 Managers re-discovering the importance of customer-
responsive organization.
organization
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 How Changes affecting
managers jobs
• Changing Technology

Impact:
• Shifting organization boundaries (restructuring, M&As, MNCs)
• Virtual Workplaces (Telecommunication, internet…..)
• Flexible work arrangements. (Flextime, compressed work weeks)
• More mobile workforces.
• Empowered employees
• Work life – personal life balance (Job satisfaction)

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 How Changes affecting
managers jobs
• Changing the Security Threats

Impact:
• Risk Management
• Restructuring workplaces
• Discrimination concerns
• Globalization concerns
• Uncertainty over future energy sources/prices

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 How Changes affecting
managers jobs
• Increase Emphasized on Organizational and
Managerial Ethics

Impact:
• Redefined values
• Redefined trust
• Increased accountability

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 How Changes affecting
managers jobs
• Increased Competitiveness

Impact:
• Customer Service
• Globalization
• Innovation
• Efficiency

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Exhibit 1–8
Changes
Affecting a
Manager’s Job

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 What Is An Organization?
• An Organization Defined
 A social arrangement which pursue collective goals,
which controls its own performance and which has a
boundary separating it from its environment.

• Common Characteristics of Organizations

 Have a distinct purpose (goal)
 Composed of people
 Have a deliberate structure

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 Exhibit 1–9 Characteristics of Organizations

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 Principles of Organizations
• Principles of Organization suggested by Henry
Fayol.

1.Division of work
2.Authority and responsibility
3.Discipline (strength of any organization)
4.Unity of Command (orders from one boss only)
5.Unity of Direction
6.Subordination of Individual Interest (avoid conflict of interest)
7.Remuneration
8.Scalar Chain

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 Why Study Management?
• 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 managed.
 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.

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 Exhibit 1–10 Universal Need for Management

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 Exhibit 1–11 Rewards and Challenges of
Being A Manager

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 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
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