Managers and

You in the
Workplace

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Explain why managers are important to
organizations.
Tell who managers are and where they work.
Describe the functions, roles, and skills of
managers.
Describe the factors that are reshaping and
redefining the manager’s job.
Explain the value of studying management.

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 Why Are Managers Important?
• Organizations need their managerial skills
and abilities more than ever in these
uncertain, complex, and chaotic times.
• Managerial skills and abilities are critical in
getting things done.
• The quality of the employee/supervisor
relationship is the most important variable
in productivity and loyalty.

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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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 Exhibit 1-1
Levels of Management

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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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 Where Do Managers Work?

• Organization - A deliberate arrangement

of people assembled to accomplish some
specific purpose (that individuals
independently could not accomplish
alone).
• Common Characteristics of Organizations
– Have a distinct purpose (goal)
– Are composed of people
– Have a deliberate structure
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 What Do Managers Do?

• Management involves coordinating and

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

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 Effectiveness and Efficiency

• Efficiency • Effectiveness
• “Doing things – “Doing the right
right” things”
• Getting the most – Attaining
output for the organizational
least inputs goals

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The Four Management Functions
• Planning - Defining goals, establishing
strategies to achieve goals, and 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.

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 Management Roles

• Roles are specific actions or behaviors

expected of a manager.
• Mintzberg identified 10 roles grouped
around interpersonal relationships, the
transfer of information, and decision
making.

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 Three Types of Roles

• Interpersonal roles
– Figurehead, leader, liaison
• Informational roles
– Monitor, disseminator, spokesperson
• Decisional roles
– Entrepreneur, disturbance handler, resource
allocator, negotiator

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 Skills Managers Need

• Katz’s managerial skills include

• 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
Managerial Levels

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 Why Study Management?

• Universality of Management
– The reality that management is needed
• in all types and sizes of organizations
• at all organizational levels
• in all organizational areas
• in all organizations, regardless of location

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 Exhibit 1-9
Universal Need for Management

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 Management
History
Module

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Describe some early management examples.
Explain the various theories in the classical
approach.
Discuss the development and uses of the
behavioral approach.
Describe the quantitative approach.
Explain the various theories in the contemporary
approach.

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 Development of Management Theories

Historical Management Theories

Background

Gen.
Scientific Quantitative Systems Contingency
Administrative OB
Mgt Approach Approach Approach
Theorists

Early advocates
Early examples of mgt

Adam Smith Hawthorn studies

Industrial revolution

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 Early Management

• Organizations Have Existed for

Thousands of Years

• Ancient Management - Egypt (pyramids)

and China (Great Wall)
− testifies to the existence of early
management practice

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 Early Management

• Adam Smith The Wealth of Nations in

1776
– Division of labor (job specialization) - the
breakdown of jobs into narrow and repetitive
tasks.
• Industrial Revolution
– Substituted machine power for human labor
– Created large organizations in need of
management

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 Scientific Management

• Fredrick Winslow Taylor

– The “father” of scientific management
− Published “Principles of Scientific Management” –
1911
− The theory of scientific management
• Using scientific methods to define the “one best
way” for a job to be done:
− Putting the right person on the job with the
correct tools and equipment
− Having a standardized method of doing the job
− Providing an economic incentive to the worker

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 Scientific Management

Taylor’s Four Principles of Management

1. Develop a science for each element of an individual’s

work, which will replace the old rule-of-thumb method.
2. Scientifically select and then train, teach, and develop
the worker.
3. Heartily cooperate with the workers so as to ensure that
all work is done in accordance with the principles of the
science that has been developed.
4. Divide work and responsibility almost equally between
management and workers. Management takes over all
work for which it is better fitted than the workers.

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 Scientific Management

• How do today’s managers use scientific

management?
− Use time and motion studies to increase productivity
− Hire the best qualified employees
− Design incentive system based on output

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 General Administrative Theory

• General administrative theory - an approach to

management that focuses on describing what managers
do and what constitutes good management practice
− Concerned with making the overall organization more
effective
− Developed theories of what constituted good
management practice
• Proposed a universal set of management
functions
• Published principles of management
− Fundamental, teachable rules of management

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 Henri Fayol

• Principles of
management
Fundamental rules of
management that could be
applied in all organizational
situations and taught in
schools

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 Exhibit MH-3 Fayol’s
14 Principles of Management

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 Exhibit MH-3 Fayol’s
14 Principles of Management (cont.)

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 General Administrative Theory (cont.)

Max Weber’s Bureaucracy

−Developed a theory of authority, structures and
relations
−Bureaucracy – ideal type of organization
• Division of labor
• Clearly defined hierarchy
• Detailed rules and regulations
• Impersonal relationships
−Emphasized rationality, predictability,
impersonality, technical competence, and
authoritarianism

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 Exhibit MH-4
Characteristics of Weber’s Bureaucracy

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 Behavioral Approach

• Organizational Behavior
− Study of the actions of people at work
− Early advocates
• Late 1800s and early 1900s
• Believed that people were the most important
asset of the organization
• Ideas provided the basis for a variety of human
resource management programs
− Employee selection
− Employee motivation

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 The Hawthorne Studies

• Hawthorne Studies - a series of studies during the 1920s and

1930s that provided new insights into individual and group
behavior
− Productivity experiments conducted at Western Electric from
1927 to 1932
− Experimental findings
• Productivity unexpectedly increased under imposed
adverse working conditions
• The effect of incentive plans was less than expected
− Research conclusion
• Social norms, group standards and attitudes more
strongly influence individual output and work behavior
than do monetary incentives
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 The Quantitative Approach

• Quantitative approach -
the use of quantitative
techniques to improve
decision making
• Also called operations
research or management
science
• Evolved from mathematical
and statistical methods
developed to solve WWII
military logistics and quality
control problems.
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What Exactly does Quantitative Approach
do?
• Focuses on improving managerial decision making by
applying statistics, optimization models, information
models, computer simulations, and other quantitative
techniques to management activities.
▪ Linear programming, for instance, is a technique that
managers use to improve resource allocation decisions.
▪ Work scheduling can be more efficient as a result of
Critical-Path Scheduling Analysis.
▪ The economic order quantity model helps managers
determine optimum inventory levels.
• Each of these is an example of quantitative techniques
being applied to improve managerial decision making.

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 Total Quality Management (TQM)

• Total quality
management (TQM) - a
philosophy of
management that is
driven by continuous
improvement and
responsiveness to
customer needs and
expectations
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 Contemporary Approaches
• The Systems Approach
• System Defined
− A set of inter-related and inter-dependent parts
arranged in a manner that produces a unified whole
− Provides a more general and broader picture of what
managers do than the other perspectives provide
• Basic types of systems
− Closed system, not influenced by and do not interact
with their environment
− Open system, dynamically interact with their
environments by taking in inputs and transforming them
into outputs that are distributed into their environments
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Organization as an Open System

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 Systems Approach and Management

• How does the systems approach contribute to our

understanding of management?
– Researchers envisioned an organization as made up of
“interdependent factors, including individuals, groups, attitudes,
motives, formal structure, interactions, goals, status, and
authority.” What this means is that as managers coordinate work
activities in the various parts of the organization, they ensure
that all these parts are working together so the organization’s
goals can be achieved. For example, the systems approach
recognizes that, no matter how efficient the production
department, the marketing department must anticipate changes
in customer tastes and work with the product development
department in creating products customers want—or the
organization’s overall performance will suffer.

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 The Systems Approach and Managers

• Coordination of the organization’s parts is essential for proper

functioning of the entire organization
• Decisions and actions taken in one area of the organization will
have an effect in other areas of the organization
• Organizations are not self-contained and, therefore, must adapt to
changes in their external environment

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 Contemporary Approaches

• The Contingency Approach

– Also sometimes called the situational approach.
– There is no one universally applicable set of
management principles (rules) by which to manage
organizations.
– Organizations are individually different, face different
situations (contingency variables), and require different
ways of managing.

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 Popular Contingency Variables
• Organization size
– As size increases, so do the problems of coordination.
• Routineness of task technology
– Routine technologies require organizational structures, leadership
styles, and control systems that differ from those required by
customized or non-routine technologies.
• Environmental uncertainty
– What works best in a stable and predictable environment may be
totally inappropriate in a rapidly changing and unpredictable
environment.
• Individual differences
– Individuals differ in terms of their desire for growth, autonomy,
tolerance of ambiguity, and expectations.

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