Fundamentals of

MANAGEMENT
Core Concepts & Applications
Griffin
Eighth Edition

Chapter 1
Understanding the Manager’s Job

PowerPoint Presentation by : Md. Reaz Uddin

 Chapter Outline
• An Introduction to Management
– Definition of Management
– Kind of Managers
– Basic Management Functions
– Fundamental Management Skills
– Management Process
– Roles of Managers
– Challenges for Management

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 Learning Objectives
• After studying this chapter, you should be able
to:
– Define management, describe the kinds of managers
found in organizations, and briefly explain the four
basic management functions.
– Justify the importance of history and theory to
management and explain the evolution of
management thought.
– Discuss contemporary management issues and
challenges.

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 What is Management?
• Management is the process of working with and through
others to achieve organizational objectives in a changing
environment. Central to this process is the effective and
efficient use of limited resources.
• Key Components of this Definition:
– Working with and through others
– Achieving organizational objectives
– Balancing efficiency and effectiveness
– Making the most of the limited resources
– Coping with a changing environment

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 Management
A set of activities
planning and decision making, organizing, leading, and
controlling
directed at an organization’s resources
human, financial, physical, and information
with the aim of achieving organizational goals
in an efficient and effective
manner.

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Basic Purpose of Management

EFFICIENTLY
Using resources wisely and
in a cost-effective way
And

EFFECTIVELY
Making the right decisions and
successfully implementing them

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 Efficiency
versus
Effectiveness

Source: Van Fleet, David D., Contemporary Management, Second

Edition. Copyright © 1991 by Houghton Mifflin Company. Used with
permissions.

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Efficiency, Effectiveness and Performance in Organization
Low Efficiency and
High Effectiveness
Managers choose right goal,
do a poor job
Result: Products that
customers want but too
expensive to buy
Low Efficiency and
Low Effectiveness
Managers chooses
inappropriate goals but
makes poor use of resources
Result: A low quality product
that customers do not wants
High Efficiency and
High Effectiveness
Managers chooses right goals,
makes good use of resources
Result: A product that
customer wants and price
they can afford
High Efficiency and
Low Effectiveness
Managers chooses
inappropriate goals but
makes good use of resources
Result: A High quality
product but customers do not
wants
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 What is a Manager?
• Someone whose primary responsibility is to
carry out the management process.
• Someone who plans and makes decisions,
organizes, leads, and controls
human, financial, physical,
and information resources.

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Kinds of Managers by Level and Area

Levels of Management

Top managers

Middle managers

First-line managers

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Figure 1.1
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 Kinds of Managers by Level
• Top Managers
– The relatively small group of executives who manage the
organization’s overall goals, strategy, and operating
policies.
• Middle Managers
– Largest group of managers in organizations who are
primarily responsible for implementing the policies and
plans of top managers. They supervise and coordinate
the activities of lower-level managers.
• First-Line Managers
– Managers who supervise and coordinate the activities of
operating employees.

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 Kinds of Managers by Area
• Marketing Managers
– Work in areas related to getting consumers and clients
to buy the organization’s products or services.
• Financial Managers
– Deal primarily with an organization’s financial
resources.
• Operations Managers
– Concerned with creating and managing the systems
that create organization’s products and services.

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 Kinds of Managers by Area (cont’d)
• Human Resource Managers
– Involved in human resource planning, recruiting and
selection, training and development, designing
compensation and benefit systems, formulating
performance appraisal systems.
• Administrative Managers
– Generalists who are familiar with all functional areas of
management and who are not associated with any
particular management specialty.
• Other Kinds of Managers
– Specialized managerial positions directly related to the
needs of the organization.

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 Management in Organizations

Planning
and decision Organizing
making
Inputs from the environment
• Human resources Goals attained
• Financial resources • Efficiently
• Physical resources • Effectively
• Information resources

Controlling Leading

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 The Management Process

Planning and
Decision Making Organizing
Determining how
Setting the organiza-
best to group
tion’s goals and
activities and
deciding how best
resources
to achieve them

Controlling Leading
Monitoring Motivating members
and correcting of the organization
ongoing activities to work in the best
to facilitate goal interests of the
attainment organization

Figure 1.2
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 The Management Process (cont’d)
• Planning and Decision Making
– Setting an organization’s goals and selecting a course
of action from a set of alternatives to achieve them.
• Organizing
– Determining how activities and resources are grouped.
It presents a structure of working relationship that
allows organizational members to interact and
cooperate to achieve organizational goals.

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 The Management Process (cont’d)
• Leading
– The set of processes used to get organizational
members to work together to advance the interests of
the organization.
• Controlling
– Monitoring organizational progress towards goals.

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Skills and the
Manager

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 Fundamental Management Skills
• Technical
– Skills necessary to accomplish or understand the
specific kind of work being done in an organization.
• Interpersonal
– The ability to communicate with, understand, and
motivate both individuals and groups.
• Conceptual
– The manager’s ability to think in the abstract.
• Diagnostic
– The manager’s ability to visualize the most appropriate
response to a situation.

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 Fundamental Management Skills (cont’d)
• Communication
– The manager’s abilities both to convey ideas and
information effectively to others and to receive ideas and
information effectively from others.
• Decision-Making
– The manager’s ability to recognize and define problems
and opportunities correctly and then to select an
appropriate course of action to solve the problems and
capitalize on opportunities.
• Time-Management
– The manager’s ability to prioritize work, to work
efficiently, and to delegate appropriately.

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 Fundamental Management Skills
• Management Skill Mixes at Different
Organizational Levels

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 Key Managerial Roles (Munsterberg)

Source: Van Fleet, David D., Contemporary Management, Second Edition. Copyright © 1991 by Houghton Mifflin Company. Used with permissions.

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 Key Managerial Roles (Munsterberg)
• Interpersonal Roles – The roles of figurehead, leader,
and liaison, which involve dealing with other people.

• Informational Roles- The roles of monitor, disseminator,

and spokesperson, which involve the processing the
information.

• Decisional Roles- The Roles of entrepreneur,

disturbance handler, resource allocator, and negotiator,
which relate primary to making decisions.

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Challenges for Management in a Global Environment

• Building Competitive Advantage

– Efficiency
– Innovation
– Quality
– Responsiveness to Customers
• Managing Ethical Standard
• Managing Diverse Workforce
• Utilizing Information Technology and E-
Commerce

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