Marketing Manager Course - Chapter 1

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McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Chapter 1 Management and Its Evolution McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Learning Objectives After reading this chapter, you should be able to: Understand the roles played by individuals, teams, and managers in carrying out company activities. Practice the four major functions of management Recognize the interpersonal, informational, and decisional roles played by top level managers. Apply the general skills needed to carry out managerial responsibilities. Integrate the major elements from the various perspectives of management theory. McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. The performance of organizations depends to a large extent on how their resources are allocated and their ability to adapt to changing conditions. Successful organizations know how to manage people and resources efficiently to accomplish organizational goals and to keep those goals in tune with changes in the external environment. McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Management in the New Millennium A firm can be efficient by making the best use of people, money, physical plant, and technology. It is ineffective if its goals do not provide a sustained competitive advantage. A firm with excellent goals would fail if it hired the wrong people, lost key contributors, relied on outdated technology, and made poor investment decisions. McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Levels of management Strategic Managers Tactical Managers Operational Managers McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Strategic Managers The firm’s senior executives with overall responsibility for the firm. Developing the company’s goals Focus on long-term issues Emphasize the growth and overall effectiveness of the organization Concerned primarily with the interaction between the organization and its external environment. McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Tactical Managers Responsible for translating the general goals and plans developed by strategic managers into specific objectives and activities. Shorter time horizon Coordination of resources These are middle managers McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Operational Managers Lower-level managers who supervise the operations of the organization. Directly involved with non-management employees Implementing the specific plans developed with tactical managers. This is a critical role to the organization. Operational managers are the link between management and non- management staff McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Management Functions Planning Organizing Leading Controlling McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Planning The management function that assesses the management environment to set future objectives and map out activities necessary to achieve those objectives. To be effective, the objectives of individuals, teams, and management should be coordinated to support the firm’s mission. McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Organizing The management function that determines how the firm’s human, financial, physical, informational, and technical resources are arranged and coordinated to perform tasks to achieve desired goals. The deployment of resources to achieve strategic goals. McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Leading The management function that energizes people to contribute their best individually and in cooperation with other people. This involves: Clearly communicating organizational goals Inspiring and motivating employees Providing an example for others to follow Guiding others Creating conditions that encourage management of diversity McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Controlling The management function that measures performance, compares it to objectives, implements necessary changes, and monitors progress. Many of these issues involve feedback or identifying potential problems and taking corrective action. McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Management as a set of roles Day-to-day management activities are routine, orderly, and rational. These include: Interpersonal roles - communication with superiors, peers, subordinates, and people from outside the organization. Information Roles - obtaining, interpreting, and giving out information. Decisional Roles - choosing among competing alternatives. McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Management as a set of skills The four basic management functions require a set of skills to be carried out properly. Because most managerial tasks are unique, ambiguous, and situation-specific, there is seldom one best way to approach them. McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Management as a set of skills Four major categories of skills will help you become a good manager: Strategic Skills - the ability to see “the big picture”, focus on key objectives without getting mired in details, and having a sense what is happening inside and outside the company. Task-Related Skills - the ability to define the best approach to accomplish personal and organizational objectives. They include consideration of all resources, including time, organizational structure, financial resources, and people. They also involve the ability to prioritize, remain flexible to make necessary changes, and ensure that value is being created McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Management as a set of skills People-Related Skills - getting work done through others and with others. Include the ability to delegate tasks, share information, resolve conflicts, be a team player, and work with people from very different backgrounds Self-Awareness Skills - Being aware of your personal characteristics can help you adapt to others and can help you understand why you react to them the way you do. These skills can help you to avoid rushed judgments, appreciate the nuances of particular situations, size up opportunities, capitalize on your personal strengths, and avoid situations in which you are likely to fail. McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Skills for Managerial Success Strategic Skills Task Skills Environmental assessment Setting and prioritizing scanning objectives Strategy formulation Developing plan of action and implementation Mapping strategic intent and Responding in a flexible defining mission manner Strategy implementation Creating value Human resource congruency Working through the organizational structure Allocating human resources Managing time efficiently McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved. Skills for Managerial Success (continued) People Skills Self-Awareness Skills Delegating Personal adaptability Influencing Understanding personal biases Motivating Internal locus of control Handling conflict Win-win negotiating Networking Communicating Verbal Nonverbal Listening Cross-cultural management Heterogeneous teamwork McGraw-Hill © 2004 The McGraw-Hill Companies, Inc. All rights reserved.