managing for business success 6-1 exploring business © 2009 flatworld knowledge
TRANSCRIPT
Managing For Business SuccessManaging For Business Success6-1
Exploring Business © 2009 FlatWorld Knowledge
Chapter ObjectivesChapter Objectives1.1. Identify functions of managementIdentify functions of management2.2. Understand how a company develops and implements Understand how a company develops and implements
strategic planstrategic plan3.3. Discuss options for organizing a business & create Discuss options for organizing a business & create
organizational chartorganizational chart4.4. Explain how managers direct and motivateExplain how managers direct and motivate5.5. Describe how managers monitor operations and assess Describe how managers monitor operations and assess
performanceperformance6.6. Describe skills to be a successful managerDescribe skills to be a successful manager
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Efficiency/Efficiency/EffectivenessEffectiveness
6-3
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ManagementManagement
• “…“…the process of planning, the process of planning, organizing, directing, and organizing, directing, and controlling resources to controlling resources to achieve specific goals.”achieve specific goals.”
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Functions of Functions of ManagementManagement
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PlanningPlanning•“…“…managers set goals managers set goals and determine the best and determine the best way to achieve them.”way to achieve them.”
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Strategic PlanStrategic Plan
1)1) Mission StatementMission Statement
2)2) Core Values/BeliefsCore Values/Beliefs
3)3) SWOTSWOT
4)4) Goals & ObjectivesGoals & Objectives
5)5) Tactical/Operational PlansTactical/Operational Plans
“…“…establishing an overall course of action.”establishing an overall course of action.”
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Mission Mission StatementStatement
•“…“…describes the purpose describes the purpose of your organization- the of your organization- the reason for its existence.”reason for its existence.”
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Core ValuesCore Values• “…“…fundamental beliefs about fundamental beliefs about what’s important and what is and what’s important and what is and
isn’t appropriate in conducting isn’t appropriate in conducting company activities.”company activities.”
“…“…link… to performance link… to performance evaluations and evaluations and compensation.”compensation.”
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SWOT AnalysisSWOT Analysis
SStrengthstrengthsWWeaknesseseaknessesOOpportunitiespportunitiesTThreatshreats
“…“…company’s fit with its environment.”company’s fit with its environment.”
Examine internal and external Examine internal and external forces that affect the company.forces that affect the company.
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Goals & ObjectivesGoals & Objectives Goals- Goals- majormajor accomplishments over long accomplishments over long
period of timeperiod of time Objectives- short-term performance Objectives- short-term performance
targets that direct efforts toward goaltargets that direct efforts toward goal OrganizationOrganization
• Number of goals/objectivesNumber of goals/objectives• Change over timeChange over time
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Types Of PlansTypes Of PlansStrategicStrategic Long-termLong-term Overall course of actionOverall course of action Established by upper-level managersEstablished by upper-level managers Implemented by managers at all levelsImplemented by managers at all levels
TacticalTactical Shorter termShorter term Specify activities/resources needed to implement strategic Specify activities/resources needed to implement strategic
plansplans
Operational- Detailed action steps taken to implement Operational- Detailed action steps taken to implement tactical plans and strategic plantactical plans and strategic plan
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Contingency vs. Contingency vs. CrisisCrisis
o Contingency Planning- Identify Contingency Planning- Identify aspects most likely to be adversely aspects most likely to be adversely affected by change, develop affected by change, develop alternative courses of alternative courses of actionaction
o Crisis Management- Create structure Crisis Management- Create structure to deal with emergenciesto deal with emergencies
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OrganizingOrganizing•“…“…allocates allocates resourcesresources (people, equipment, and (people, equipment, and
money) to achieve a money) to achieve a company’s plans.”company’s plans.”
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Levels of Levels of ManagersManagers
Top Managers- Responsible for health Top Managers- Responsible for health & performance& performance
Middle Managers- Oversee activities Middle Managers- Oversee activities of first-line managersof first-line managers
First-Line Managers- Supervise & First-Line Managers- Supervise & coordinate employeescoordinate employees
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Organizing:Organizing:Levels of ManagementLevels of Management
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Organizational Organizational StructureStructure
• “…“…arrangement of positions…arrangement of positions…most appropriate for your most appropriate for your
company at a specific point in company at a specific point in time.”time.”
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Structure Structure ActivitiesActivities
Job Specialization – Dividing tasks into jobsJob Specialization – Dividing tasks into jobs Identify activities to be performedIdentify activities to be performed Break activities into tasksBreak activities into tasks
Departmentalization- Grouping jobs into Departmentalization- Grouping jobs into meaningful unitsmeaningful units Functional- by skills/tasksFunctional- by skills/tasks Divisional- accountable for performance Divisional- accountable for performance
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Product Product DivisionDivision
Baked Baked GoodsGoods
PackagedPackagedMeatsMeats
Beverages.Beverages.Household Household
& Body-Care& Body-Care
Knitwear &Knitwear &OtherOther
ClothingClothing
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Customer Customer DivisionDivision
Personal-CarePersonal-Care&&
HygieneHygieneProductsProducts
PrescriptionPrescriptionDrugsDrugs
MedicalMedicalDevicesDevices
&&DiagnosticDiagnosticProductsProducts
4-20
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Process Process DivisionDivision
BowaterBowaterThunder BayThunder Bay
TreeTreeCuttingCutting
ChemicalChemicalProcessingProcessing
FinishingFinishing
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Geographical Geographical DivisionDivision
McDonald’sMcDonald’s
NortheastNortheast
SoutheastSoutheast
Great LakesGreat Lakes
MidwestMidwest
WestWest4-22
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Organization ChartOrganization Chart
•“…“…a diagram a diagram delineating the delineating the
interrelationships of interrelationships of positions...”positions...”
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Notes-4-YouNotes-4-You13-24
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DivisionalDivisionalOrganization ChartOrganization Chart
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Combined DivisionalCombined Divisionaland Functional Structureand Functional Structure
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Lines Of AuthorityLines Of Authority Chain of Command- Who reports to whomChain of Command- Who reports to whom
Unity of Command- One bossUnity of Command- One boss
Matrix Structure- Form teams to combine Matrix Structure- Form teams to combine skills on specific projectskills on specific project
Span of Control- Number of people Span of Control- Number of people reporting to a managerreporting to a manager
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Delegating Delegating AuthorityAuthority
Delegation- Entrusting work to Delegation- Entrusting work to subordinatessubordinates
Responsibility & AuthorityResponsibility & Authority
Centralization & DecentralizationCentralization & Decentralization
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DirectingDirecting•“…“…providing focus and providing focus and
direction to others and direction to others and motivating them to motivating them to
achieve organizational achieve organizational goals.”goals.”
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Leadership Leadership StylesStyles
AutocraticAutocratic
DemocraticDemocratic
Laissez-FaireLaissez-Faire
“…“…way of interacting with and influencing others.”way of interacting with and influencing others.”
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Theories ofTheories ofEffective LeadershipEffective Leadership
Transactional- Exercise authority Transactional- Exercise authority based rank in organizationbased rank in organization
Transformational- Mentor Transformational- Mentor /develop subordinates by /develop subordinates by stimulatingstimulating
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ControllingControlling•“…“…comparing actual to comparing actual to planned performance and planned performance and
taking necessary taking necessary corrective action…”corrective action…”
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Control ProcessControl Process6-33
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Managerial Managerial SkillsSkills
TechnicalTechnical InterpersonalInterpersonal
ConceptualConceptual
CommunicationCommunicationTime-Mgmt.Time-Mgmt.
Decision- Decision- MakingMaking
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How To Solve a ProblemHow To Solve a Problem6-35
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