logo image

GEB1101:M3-C6:Understanding the Management Process

Define what management is.
Management is the process of coordinating people and other resources to achieve an organization’s goals. Managers are concerned with four types of resources—material, human, financial, and informational.
Describe the four basic management functions: Planning, organizing, leading and motivating, and controlling.

Managers perform four basic functions, which do not occur according to a rigid, preset timetable. At any time, managers may engage in a number of functions simultaneously. However, each function tends to lead naturally to the next.

Managers engage in planning—determining where the firm should be going and how best to get there. One method of planning that can be used is SWOT analysis, which identifies and evaluates a firm’s strengths, weaknesses, opportunities, and threats.
Three types of plans, from the broadest to the most specific, are strategic, tactical, and operational.

Managers also organize resources and activities to accomplish results in an efficient and effective manner, and they lead and motivate others to work in the best interests of the organization.

In addition, managers control ongoing activities to keep the organization on course.

There are three steps in the control function: setting standards, measuring actual performance, and taking corrective action.

Distinguish among the various kinds of managers in terms of both level and area of management.
Managers—or management positions—may be classified from two different perspectives. From the perspective of level within the organization, there are top managers, who control the organization as a whole, middle managers, who implement strategies and major policies, and first-line managers, who supervise the activities of operating employees. From the viewpoint of area of management, managers most often deal with the areas of finance, operations, marketing, human resources, and administration.
Identify the key management skills of successful managers.
Managers need a variety of skills in order to run a successful and efficient business. Conceptual skills are used to think in abstract terms or see the “big picture.” Analytic skills are used to identify problems correctly, generate reasonable alternatives, and select the “best” alternatives to solve problems. Interpersonal skills are used to deal effectively with other people, both inside and outside an organization. Technical skills are needed to accomplish a specialized activity, whether they are used to actually do the task or to train and assist employees. Communication skills are used to speak, listen, and write effectively.
Explain the different types of leadership.
Managers’ effectiveness often depends on their styles of leadership—that is, their ability to influence others, either formally or informally. Autocratic leaders are very task oriented; they tell their employees exactly what is expected from them and give them specific instructions on how to do their assigned tasks. Participative leaders consult their employees before making decisions and can be classified into three groups: consultative, consensus, and democratic. Entrepreneurial leaders are different depending on their personalities, but they are generally enthusiastic and passionate about their work and tend to take the initiative.
Discuss the steps in the managerial decision-making process.
Decision making, an integral part of a manager’s work, is the process of developing a set of possible alternative solutions to a problem and choosing one alternative from among the set. Managerial decision making involves four steps: Managers must accurately identify problems, generate several possible solutions, choose the solution that will be most effective under the circumstances, and implement and evaluate the chosen course of action.
Describe how organizations benefit from total quality management.
Total quality management (TQM) is the coordination of efforts directed at improving customer satisfaction, increasing employee participation, strengthening supplier partnerships, and facilitating an organizational atmosphere of continuous quality improvement. Another tool used for TQM is benchmarking, which involves comparing and evaluating the products, processes, or management practices of another organization that is superior in some way in order to improve quality. The five basic steps in benchmarking are identifying objectives, forming a benchmarking team, collecting data, analyzing data, and acting on the results. To have an effective TQM program, top management must make a strong, sustained commitment to the effort and must be able to coordinate all the program’s elements so that they work in harmony. Benefits of TQM include lower operating costs, higher return on sales and on investment, and an improved ability to use premium pricing rather than competitive pricing.
administrative manager
a manager who is not associated with any specific functional area but who provides overall administrative guidance and leadership
analytic skills
the ability to identify problems correctly, generate reasonable alternatives, and select the “best” alternatives to solve problems
autocratic leadership
task-oriented leadership style in which workers are told what to do and how to accomplish it without having a say in the decision-making process
benchmarking
a process used to evaluate the products, processes, or management practices of another organization that is superior in some way in order to improve quality
communication skills
the ability to speak, listen, and write effectively
conceptual skills
the ability to think in abstract terms
contingency plan
a plan that outlines alternative courses of action that may be taken if an organization’s other plans are disrupted or become ineffective
controlling
the process of evaluating and regulating ongoing activities to ensure that goals are achieved
core competencies
approaches and processes that a company performs well that may give it an advantage over its competitors
decision making
the act of choosing one alternative from a set of alternatives
directing
the combined processes of leading and motivating
entrepreneurial leadership
personality-based leadership style in which the manager seeks to inspire workers with a vision of what can be accomplished to benefit all stakeholders
financial manager
a manager who is primarily responsible for an organization’s financial resources
first-line manager
a manager who coordinates and supervises the activities of operating employees
goal
an end result that an organization is expected to achieve over a one- to ten-year period
human resources manager
a person charged with managing an organization’s human resources programs
interpersonal skills
the ability to deal effectively with other people
leadership
the ability to influence others
leading
the process of influencing people to work toward a common goal
management
the process of coordinating people and other resources to achieve the goals of an organization
marketing manager
a manager who is responsible for facilitating the exchange of products between an organization and its customers or clients
middle manager
a manager who implements the strategy and major policies developed by top management
mission
a statement of the basic purpose that makes an organization different from others
motivating
the process of providing reasons for people to work in the best interests of an organization
objective
a specific statement detailing what an organization intends to accomplish over a shorter period of time
operational plan
a type of plan designed to implement tactical plans
Operations Manager
a manager who manages the systems that convert resources into goods and services
Organizing
the grouping of resources and activities to accomplish some end result in an efficient and effective manner
participative leadership
leadership style in which all members of a team are involved in identifying essential goals and developing strategies to reach those goals
Plan
an outline of the actions by which an organization intends to accomplish its goals and objectives
Planning
establishing organizational goals and deciding how to accomplish them
Problem
the discrepancy between an actual condition and a desired condition
Strategic Plan
an organization’s broadest plan, developed as a guide for major policy setting and decision making
Strategic Planning Process
the establishment of an organization’s major goals and objectives and the allocation of resources to achieve them
SWOT Analysis
the identification and evaluation of a firm’s strengths, weaknesses, opportunities, and threats
Tactical Plan
a smaller scale plan developed to implement a strategy
Technical Skills
specific skills needed to accomplish a specialized activity
Top Manager
an upper-level executive who guides and controls the overall fortunes of an organization
Total Quality Management (TQM)
the coordination of efforts directed at improving customer satisfaction, increasing employee participation, strengthening supplier partnerships, and facilitating an organizational atmosphere of continuous quality improvement
The material resources of a writer may be a computer, books for research, software programs, and a printer.
True or False
True
A goal is an end result that an organization is expected to achieve in six months to two years.
True or False
False
The only person in an organization that really needs goals is the CEO or President.
True or False
False
A tactical plan is smaller in scale than a strategic plan.
True or False
True
Consensus leaders seek input from many workers in the organization, possibly all workers, with their support helping form her opinion.
True or False
True
It is actually possible to view a problem as an opportunity for a company.
True or False
True
The word “satisfice” means to find the optimal solution to an issue or problem.
True or False
False
All U.S. companies have some type of TQM program.
True or False
False
Participative leadership is quite rare in the 2000s.
True or False
False
Entrepreneurial leadership is personality dependent.
True or False
True
Which of the following is not considered one of the four standard organizational resources?
a. Technological
b. Informational
c. Material
d. Human
e. Financial
a. Technological
Which of the following is often considered the “first” management function?
a. Planning
b. Prioritizing
c. Motivating
d. Organizing
e. Leading
a. Planning
Most often, an operational plan is for
a. 8-10 years.
b. 20 years.
c. 5-6 years.
d. 1 year or less.
e. 10 years.
d. 1 year or less.
In a SWOT analysis, which factors exist independently and externally of the firm?
a. Threats and weaknesses
b. Strengths and opportunities
c. Weaknesses and threats
d. Strengths and threats
e. Opportunities and threats
e. Opportunities and threats
Considering alternative plans of action is to develop a(n) ________ plan.
a. operational
b. tactical
c. long-term
d. strategic
e. contingency
e. contingency
Management functions occur according to a rigid, preset timetable
False
As managers carry out their functions, the first step is to control, the second to organize, and the third to plan.
False
An organization’s mission is the means by which it fulfills its purpose.
True
SWOT analysis is the identification and evaluation of a firm’s strengths and weaknesses and external opportunities
False
Operational plans aimed at increasing sales would include specific advertising activities.
True
Measuring actual performance is the first step in the control process.
False
Top managers rely on technical skills more than managers at other levels.
False
A democratic leader makes all the decisions and tells subordinates what to do.
False
Brainstorming is a common technique used to generate alternatives in solving problems.
True
Implementation of a decision requires time, planning, preparation of personnel, and evaluation of results.
True

The process of developing a set of goals and committing an organization to them is called

organizing.
planning.
motivating.
controlling.
directing.

planning

Grouping resources and activities to accomplish some goal is called

motivating.
directing.
leading.
planning.
organizing.

organizing

Acme Houseware established a goal to increase its sales by in the next year. To ensure that the firm reaches its goal, the sales reports are monitored on a weekly basis. When sales show a slight decline, the sales manager takes actions to correct the problem. Which management function is the manager using?

Leading
Controlling
Directing
Organizing
Planning

Controlling

Who is responsible for developing a firm’s mission?

Top managers
First-level managers
Operations managers
Middle managers
Supervisors

Top managers

The chief executive officer of Southwest Airlines provides the company with leadership and overall guidance and is responsible for developing its mission and establishing its goals. Which area of management is being used?

Human resources
Operations
Financial
Administrative
Marketing

Administrative

This manager is responsible for facilitating the exchange of products between an organization and its customers or clients.

Human resources manager
Marketing manager
Operations manager
Financial manager
Administrative manager

Marketing manager

These types of skills allow a manager to see the “big picture” and understand how the various parts of an organization or idea can fit together.

Interpersonal skills
Conceptual skills
Technical skills
Communication skills
Analytical skills

Conceptual skills

Because a large part of the manager’s day is spent conversing with others, it is important for the managers to have

conceptual skills.
analytical skills.
technical skills.
communication skills.
interpersonal skills

communication skills.

Which leadership style is task-oriented, driven, charismatic, and enthusiastic?

Autocratic leadership
Participative leadership
Entrepreneurial leadership
Democratic leadership

Entrepreneurial leadership

Which of the following statements is correct about TQM?

Top management must make a strong commitment to a TQM program by treating quality improvement as a top priority.
Employees should be aware of TQM movement, not necessarily involved in it.
Managers need to ask for input occasionally in order to practice TQM.
The top administration should appear to be interested in TQM.
In order for TQM to function effectively, you need a lot of resources.

Top management must make a strong commitment to a TQM program by treating quality improvement as a top priority.
What Is Management?

The process of coordinating people and other resources to achieve the goals of an organization

1. Material resources
The tangible physical resources an organization uses

2. Human resources
The people who staff an organization and use the other resources to achieve the goals of the organization

3. Financial resources
The funds an organization uses to meet its obligations to investors and creditors

4. Information resources
The information about external business environmental conditions that a firm uses to its competitive advantage

The Four Main Resources of Management

Managers coordinate an organization’s resources to achieve the goals of the organization.

Management =
Material Resources +
Human Resources +
Financial Resources +
Informational Resources

Management –> Organizational Goals

The Management Process
The Management Process

Note that Managment is not a step-by-step procedure but a process with a feedback loop that represents a flow.

1. Planning
2. Organizing
3. Leading & Motivating
4. Controlling

Review & Modify, and restart at 1. Planning

Planning
1. Planning
Establishing organizational goals and deciding how to accomplish them2. Mission
A statement of the basic purpose that makes an organization different from others

3. Strategic planning
The process of establishing an organization’s major goals and objectives and allocating the resources to achieve them.

4. Establishing goals and objectives
• Goal – An end result that an organization is expected to achieve over a one-to ten-year period
• Objective – A specific statement detailing what an organization intends to accomplish over a shorter period of time
• Properly set goals are –
Set at every level in the organization
Consistent (supportive) with each other
Optimized (balanced) to reduce conflicts between goals

5. SWOT analysis
The identification and evaluation of a firm’s
Strengths, Weaknesses, Opportunities, Threats

6. Core competencies
Approaches and processes that a company performs well and may give it an advantage over its competitors

7. Types of plans
• Plan – An outline of the actions by which an organization intends to accomplish its goals and objectives
• Strategic plan – An organization’s broadest plan, a guide for major policy setting and decision making
• Tactical plan – A smaller-scale plan to implement a strategy
• Operational plan – A plan to implement a tactical plan
• Contingency plan – A plan of alternative courses of action if the organization’s other plans are disrupted or become ineffective

Elements and Examples of SWOT Analysis:
STRENGTHS
Efficient distribution channels
Employee education and experience
Protected patents
Core Competencies
Excellent facilities/equipment
Proven Management
Economies of Scale
Cost Advantages
Elements and Examples of SWOT Analysis:
WEAKNESS
High Turnover
Lack of Strategic direction
Obsolete production facilities
Labor Grievances
Lack of managerial depth
Negative public image
Elements and Examples of SWOT Analysis:
OPPORTUNITIES
New markets opening up
New technologies
Increased demand for new products
Potential strategic alliances
More favorable trade regulations in desirable foreign markets
Competitor complacency
Elements and Examples of SWOT Analysis:
THREATS
Entry of lower-cost foreign competitors
Unfavorable changes in buyer needs and tastes
Rising sales of substitute products
Slowing market growth
Costly regulatory requirements
Vulnerability to business cycle changes
Sole sourcing
Organizing the Enterprise
1. Organizing
The grouping of resources and activities to accomplish some end result in an efficient and effective manner2. Leading and motivating
• Leading
Influencing people to work toward a common goal
• Motivating
Providing reasons for people to work in the best interests of an organization
• Directing
The combined processes of leading and motivating

5Controlling Ongoing Activities
1. Controlling
Evaluating and regulating ongoing activities to ensure that goals are achieved.2. Control Function

Setting Standards
Measuring Actual Performance
Taking Corrective action

Kinds of Managers

The coordinated effort of all three levels of managers is required to implement the goals of any company

1. Top Manager
2. Middle Manager
3.First-Line Manager

Kinds of Managers:
Levels of management

1. Top manager—guides and controls the overall fortunes of an organization

2. Middle manager—implements the strategy and major policies developed by top management

3. First-line manager—coordinates and supervises the activities of operating employees

Areas of Management Specialization
1. Finance
Responsible for an organization’s financial resources2. Operations
Manage the systems that convert resources into goods and services

3. Marketing
Responsible for facilitating the exchange of products between an organization and its customers or clients

4. Human Resources
Manage an organization’s human resources programs

5. Administration
Not associated with any specific functional area; provide overall administrative guidance and leadership

6. Other (e.g. R&D)
Other areas may have to be added, depending on the nature of the firm and the industry

Areas of Management Specialization
Areas of Management Specialization
The ability to influence others
Leadership vs Management1. Analytic skills
Ability to identify problems, generate alternative solutions, and select the best solution

2. Interpersonal skills
Ability to deal effectively with other people

3. Technical skills
Needed to accomplish a specialized activity

4. Communication Skills
Ability to speak, listen, and write effectively

5. Conceptual Skills
Ability to think in abstract terms

Leadership
1. Formal leadership
Legitimate power of position is the basis for authority2. Informal leadership
Not recognized formally by the organization authority

3. Autocratic
Task-oriented style; workers are told what to do and how to do it, they have no say in the decision making process

4. Participative
All members of a team are involved in identifying essential goals and developing strategies to reach those goals

5. Entrepreneurial
Personality-based, the manager seeks to inspire workers with a vision of what can be accomplished to benefit all stakeholders

Which Leadership Style Is Best?

Matching style to the situation

Effective leadership depends on
• Interaction among the employees
• Characteristics of the work situation
• The manager’s personality

Managerial Decision Making

The act of choosing one alternative from among a set of alternatives

Major steps in the managerial decision-making process

Managers require a systematic method of solving problems in a variety of situations.
1. Identify the problem or opportunity
2. Generating alternatives
3. Selecting an alternative
4. Implementing and evaluating the solution

Managerial Decision Making:
Identify the problem or opportunity
A. Problem
The discrepancy between an actual condition and a desired conditionB. Opportunity
A “positive” problem

C. Problem-solving impediments
Preconceptions about the problem
Focusing on unimportant matters while overlooking significant issues
Analyzing symptoms rather than causes
Failing to look ahead

Managerial Decision Making:
Generating alternatives
A. Brainstorming
Encouraging participants to come up with new ideasB. “Blast! then refine”
Reevaluating objectives, modifying them if necessary, and devising a new solution to a recurring problem

C. Trial and error

Managerial Decision Making:
Selecting an alternative
Satisficing
Choosing an alternative that is not the best possible solution, but one that adequately solves the problem
Managerial Decision Making:
Implementing and evaluating the solution

A. Requires time, planning, preparation of personnel, and evaluation of the results

B. An effective decision removes the difference between the actual condition and the desired condition

C. If a problem still exists, managers may
-Decide to give the chosen alternative more time
-Adopt a different alternative
-Start the process all over again

Managing Total Quality
A. Total Quality Management (TQM)
The coordination of efforts directed at
-Improving customer satisfaction
-Increasing employee participation
-Strengthening supplier partnerships
-Facilitating an organizational atmosphere of continuous quality improvementB. Benchmarking
Evaluating another organization that is superior in order to improve quality

C. Issues crucial to TQM
•Top management commitment
•Coordination of efforts

________ leaders discuss issues with workers in the organization but retain final power and authority.
a. Autocratic
b. Consultative
c. Entrepreneurial
d. Democratic
e. Consensus
b. Consultative
TQM stands for Total Quality Marginality.
a. True
b. False
b. False
________ leadership is very task-oriented with decisions independently made.
a. Participative
b. Entrepreneurial
c. Autocratic
d. Formal
e. Informal
c. Autocratic
A human resource manager is charged with managing the programs that bring and train people in the company.
a. True
b. False
a. True
Formal leaders in an organization have informal power.
a. True
b. False
b. False
Final decisions are usually influenced by a number of different considerations.
a. True
b. False
a. True
Planning is an important management function.
a. True
b. False
a. True
Of the following steps, which is not a step involved in managerial decision making?
a. Identifying threats
b. Selecting an alternative
c. Generating alternatives
d. Identifying a problem or opportunity
e. Implementing and evaluating a solution
a. Identifying threats
Lower operating costs is a financial benefit of many TQM programs.
a. True
b. False
a. True
Whose mission statement begins as “to inspire and nurture the human spirit. . . .”?
a. Toyota
b. McDonalds
c. Starbucks
d. Nordstrom
c. Starbucks
Who is responsible for the strategic planning of a company?
a. Line workers
b. Stockholders
c. Top management
d. Mid-management
e. The Board of Directors
A problem in a company can actually be considered as a “positive” problem.
a. True
b. False
a. True
When a company gathers knowledge about the competitors of the firm, they are leveraging their informational resource.
a. True
b. False
a. True
________ skills most help managers see the “big picture”.
a. Interpersonal
b. Communication
c. Technical
d. Conceptual
d. Conceptual
Implementation of the proper decision should require little time, planning, or preparation.
a. True
b. False
b. False
SWOT stands for strengths, weaknesses, opportunities, and threats.
a. True
b. False
a. True

Need essay sample on "GEB1101:M3-C6:Understanding the Management Process"? We will write a custom essay sample specifically for you for only .90/page

Can’t wait to take that assignment burden offyour shoulders?

Let us know what it is and we will show you how it can be done!
×
Sorry, but copying text is forbidden on this website. If you need this or any other sample, please register
Signup & Access Essays

Already on Businessays? Login here

No, thanks. I prefer suffering on my own
Sorry, but copying text is forbidden on this website. If you need this or any other sample register now and get a free access to all papers, carefully proofread and edited by our experts.
Sign in / Sign up
No, thanks. I prefer suffering on my own
Not quite the topic you need?
We would be happy to write it
Join and witness the magic
Service Open At All Times
|
Complete Buyer Protection
|
Plagiarism-Free Writing

Emily from Businessays

Hi there, would you like to get such a paper? How about receiving a customized one? Check it out https://goo.gl/chNgQy