introduction to management theory and practice

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Introduction to Management Theory and Practice By: Handema M.

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Page 1: Introduction to Management Theory and Practice

Introduction to

Management Theory and

Practice

By: Handema M.

Page 2: Introduction to Management Theory and Practice

Managers and Organizations Managers work in Organizations

Organization

◦ A deliberate arrangement of people brought

together to accomplish some specific purpose.

Such us football teams.

Common Characteristics of Organizations

◦ Distinct purpose expressed in a goal or a set of

goals

◦ People working together to achieve the orgs goal

through a set of decisions and work activities.

◦ A deliberate systematic structure that define and

limits the behavior of its members 1-2

Copyright ©2011 Pearson Education

Page 3: Introduction to Management Theory and Practice

Characteristics of Organizations

1-3Copyright ©2011 Pearson

Education

Page 4: Introduction to Management Theory and Practice

Managerial and Non – managerial

Employees

Non – managerial Employees

◦ People who work directly on a job or task

and have no responsibility for overseeing the

work of others.

◦ Examples, associates, team members

Managers

◦ Individuals in organizations who direct and

oversee the activities of others.

◦ Managers do work directly on tasks such as

servicing some costumers.

1-4Copyright ©2011 Pearson

Education

Page 5: Introduction to Management Theory and Practice

5

Classification of Mgrs

Managers can be classified by:

◦ Degree of specialization

Horizontal classification

◦Organisational level.

Vertical classification

Page 6: Introduction to Management Theory and Practice

6

Degree Of Specialisation

General Managers

◦ They have least amount of specialization

Functional Managers

◦ They have job duties in a particular functional

area of an organisation

Page 7: Introduction to Management Theory and Practice

Management Levels

Page 8: Introduction to Management Theory and Practice

Classification of Managers

Top Managers ◦ Responsible for making decisions about the direction of the

organization and establishing policies and philosophies that effect all organizational members .

◦ Examples; President, Chief Executive Officer, Vice-President

Middle Managers ( btw the lowest and top levels)◦ Manage the activities of other managers and non managerial

employees and translating the goals set by top managers to specific details that lower managers can understand.

◦ Examples; District Manager, Division Manager

First-line Managers ◦ Responsible for directing the day to day activities of non –

managerial employees

◦ Examples; Supervisor, Team Leader

1-8Copyright ©2011 Pearson

Education

Page 9: Introduction to Management Theory and Practice

Management Defined Management

◦ The process of working with and through others to

achieve organizational objectives in a changing

environment.

◦ It entails the effective and efficient use of limited

resources.

Effectiveness

◦ “Doing the right thing” It is concerned achieving stated

organizational objective

Efficiency

◦ “Doing things right”, and getting the most output from

the least amount of input( minimizing the cost).

Page 10: Introduction to Management Theory and Practice

Efficiency and Effectiveness

Page 11: Introduction to Management Theory and Practice

Nature of Management

Management can be viewed as:

1. A Discipline

2. A Process

3. An Art

4. A Career

5. As People

1

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Page 12: Introduction to Management Theory and Practice

1

2

As a Discipline

◦ This implies that it is an accumulated body of knowledge

that can be learned by study.

It is a subject with principles, concepts and theories.

◦ The purpose of studying management is to understand

these principles, concepts and theories, and learn how to

apply them in the process of managing

As a Process

◦ It involves certain functions and work activities that

managers perform to achieve goals of an organisation

As an Art

◦ Successful managers are those born with appropriate

initiation, intelligence and personality, which they develop

through the practice of leadership.

Nature of Management

Page 13: Introduction to Management Theory and Practice

1

3

As a Career

◦ People who wish to have a career as a manager must

study the discipline of management as a means toward

practicing the process of management.

As people

◦ It refers to people who engage in the process of management.

Managers are the people primarily responsible for seeing that work gets done in an organisation.

◦ The perspective of management also refers to

The workers whom managers work with and manage in accomplishing an organisation's goals.

Nature of Management

Page 14: Introduction to Management Theory and Practice

Key Aspects of the

Management Process

Page 15: Introduction to Management Theory and Practice

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5

Management is a social process that calls for

managers to interact well with others.

Shortcomings of “derailed” managers

Problems with interpersonal relationships

Failure to meet business objectives

Failure to build and lead a team

Inability to change and adapt during a

transition

Working with and through

others

Page 16: Introduction to Management Theory and Practice

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Achieving Organisational

Objectives

Objectives are the desired end-results the

organisation strives to achieve.

They give purpose and direction to the

management process.

They serve later as yardsticks for

performance.

They may include:

◦ profitability, market share, productivity,

diversification

Page 17: Introduction to Management Theory and Practice

1

7

Balancing Effectiveness and Efficiency

Page 18: Introduction to Management Theory and Practice

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Making the Most of Limited Resources

We live in a world of scarcity.

There is a lopsided use of resources.

Our planet is becoming increasingly crowded.

Managers are responsible for the efficient and

effective use of the basic factors of production–land,

labor, and capital.

Page 19: Introduction to Management Theory and Practice

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Coping With a Changing

Environment

Major Sources of Change for Today’s Managers

◦ Globalization

◦ Environmentalism

◦ An ethical reawakening

◦ The Internet and the e-business revolution

◦ The evolution of product quality

The fix-it-in approach

The inspect-it-in approach

The build-it-in approach

The design-it-in approach

Page 20: Introduction to Management Theory and Practice

What Managers Do

Management

researchers have

developed three

approaches to

describe what

managers do:

functions , roles and

skills.

1-20Copyright ©2011 Pearson Education

Page 21: Introduction to Management Theory and Practice

2

1

What Managers Do

Managerial Functions

– General administrative duties that need to be

carried out in virtually all productive

organizations to achieve desired outcomes

Managerial Roles

– Specific categories of managerial behavior that

managers use to achieve desired outcomes

Managerial Skills

– Specific observable abilities that effective

managers exhibit

Page 22: Introduction to Management Theory and Practice

2

2

Managerial Functions

Page 23: Introduction to Management Theory and Practice

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3

Functions in the Management

Process cont’d1. Planning

◦ The primary management function concerned with the

formulation of future courses of action.

◦ Plans and the objectives on which they are based give purpose

and direction to the business enterprise.

2. Decision-Making

◦ Implies a choice from among two/more alternative courses of

action.

3. Organizing

◦ Includes determining what tasks to be done, who is to do them,

how the tasks are to be grouped, who reports to whom, and

where decisions are to be made

4. Staffing

◦ Recruiting, training and developing people who can contribute to

the organized effort.

Page 24: Introduction to Management Theory and Practice

2

4

Functions in the Management

Process cont’d

5. Communicating

◦ Managers are responsible for communicating to their

subordinates and employees the technical knowledge, instructions,

rules and information required to get the job done.

6. Motivating

◦ Gaining the commitment of their employees and helping them in their quest to satisfy their needs

◦ Providing meaningful work and valued rewards to individuals pursuing collective objectives.

7. Leading

◦ Inspiring subordinates by serving as role models and adapting their management style to the demands of the situation.

8. Controlling

◦ Comparing desired results with actual results and taking corrective action as needed.

Page 25: Introduction to Management Theory and Practice

Mintzberg’s Managerial Roles

1-25Copyright ©2011 Pearson

Education

Page 26: Introduction to Management Theory and Practice

Mintzberg’s Managerial Roles

1-26Copyright ©2011 Pearson

Education

Page 27: Introduction to Management Theory and Practice

Managerial Skills

Robert Katz and others describe four critical skills in managing

Conceptual Skills ◦ Used to analyze and diagnose complex situations, help

managers see how things fit together and facilitate making good decision.

Interpersonal Skills ◦ Working well with other people both individually and

groups , so managers must have good skills to communicate, motivate, mentor and delegate.

Technical Skills ◦ Based on specialized knowledge required for work

(lower and middle managers knowing of the job they are performing, top managers knowing of the industry and a general understanding of the org’s process and products.

Copyright ©2011 Pearson Education

Page 28: Introduction to Management Theory and Practice

Managerial Skills and

Management Levels

Page 29: Introduction to Management Theory and Practice

Merging Functions and Roles

Managers lose the right to do the following:

◦ Lose their temper.

◦ Be one of the gang.

◦ Bring personal problems to work.

◦ Vent frustrations and express opinions at work.

◦ Resist change.

◦ Pass the buck on tough assignments.

◦ Get even with adversaries.

◦ Play favorites.

◦ Put self-interests first.

◦ Ask others to do what they wouldn’t do.

◦ Expect to be immediately recognized and rewarded for

doing a good job.

Page 30: Introduction to Management Theory and Practice

Learning to Manage

By attending the school of “hard knocks”

◦ Making a big mistake

◦ Being overstretched by a difficult assignment

◦ Feeling threatened

◦ Being stuck in an impasse or dilemma

◦ Suffering an injustice at work

◦ Losing out to someone else

◦ Being personally attacked

Page 31: Introduction to Management Theory and Practice

Learning to Manage

The Honeymoon Study on how managers learn

to manage:

Page 32: Introduction to Management Theory and Practice

Future managers can learn to manage by

doing the following:

◦ Integrating management theory (i.e., formal

training and education) and managerial practice

(e.g., work-study and internships)

◦ Observing role models (e.g. successful practicing

managers).

◦ Learning from experiences in the school of hard

knocks

Future Managers and Management

Page 33: Introduction to Management Theory and Practice

Study of Management

The study of management is important

because of the following factors:

The universality of management

◦ The reality is that management is needed in all

types, sizes, level and areas of organizations.

The reality of work

◦ One is either a manager or being managed in

future career

Page 34: Introduction to Management Theory and Practice

Thank You…