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– 9781442533622/Robbins et al/Management: The Essentials

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Topic 1

Managers and

Management:

Contemporary and

Historical Perspectives

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Learning Outcomes

This chapter will:

 Explain who managers are and where they work

 Define management

 Describe what managers do

 Explain why it‟s important to study management

 Describe the factors that are reshaping and redefining

management

– 9781442533622/Robbins et al/Management: The Essentials

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Who Are Managers?

Where Do They Work?

Organisation

 A deliberate arrangement of people brought together to

accomplish a specific purpose

Common Characteristics of Organisations

 Distinct purpose

 People working together

 A deliberate systematic structure

– 9781442533622/Robbins et al/Management: The Essentials

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– 9781442533622/Robbins et al/Management: The Essentials

Three Characteristics of

Organisations

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The Operations System

– 9781442533622/Robbins et al/Management: The Essentials

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How Are Managers Different from

Nonmanagerial Employees?

Nonmanagerial Employees

 People who work directly on a job or task and have no

responsibility for overseeing the work of others.

 Examples: sales and service staff

Managers

 Individuals who direct the activities of others in

organisations.

– 9781442533622/Robbins et al/Management: The Essentials

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What Titles Do Managers Have?

Top Managers

 Responsible for making decisions about the direction of the

organisation.

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

Middle Managers

 Manage the activities of other managers.

 Examples; District Manager, Division Manager

First-Line Managers  Responsible for directing nonmanagerial employees

 Examples: Supervisor, Team Leader

– 9781442533622/Robbins et al/Management: The Essentials

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Management Levels

– 9781442533622/Robbins et al/Management: The Essentials

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What Is Management?

Management

 The process of getting things done effectively and efficiently,

with and through people

Effectiveness

 “Doing the right things”, doing those tasks that help an

organisation reach its goals

Efficiency

 Concerned with the means, efficient use of resources like

people, money, and equipment (“Doing things right”)

– 9781442533622/Robbins et al/Management: The Essentials

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Efficiency and Effectiveness

– 9781442533622/Robbins et al/Management: The Essentials

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What Do Managers Do?

The Functions Approach

 In the functions approach proposed by French

industrialist Henri Fayol (1916), all managers perform

four management activities

 These activities are relevant to all managers, in all

fields and industries

 Originally Fayol proposed five functions/activities – plan,

organise, command, coordinate and control

– 9781442533622/Robbins et al/Management: The Essentials

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Four Management Functions

Planning

 Defining the organisational purpose and ways to achieve it

Organising

 Arranging and structuring work to accomplish organisational

goals

Leading

 Directing the work activities of others

Controlling

 Monitoring, comparing, and correcting work performance

– 9781442533622/Robbins et al/Management: The Essentials

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Four Management Functions (cont.)

– 9781442533622/Robbins et al/Management: The Essentials

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What Are Management Roles?

Henry Mintzberg (1973) observed that a

manager‟s job can be described by ten roles

performed by managers in three general

categories

Interpersonal Roles

 Figurehead, Leader, and Liaison

Informational Roles

 Monitor, Disseminator and Spokesperson

Decisional roles

 Entrepreneur, Disturbance Handler, Resource Allocator and

Negotiator

– 9781442533622/Robbins et al/Management: The Essentials

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Mintzberg’s Managerial Roles

– 9781442533622/Robbins et al/Management: The Essentials

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What Characteristics Do

Managers Need? Robert Katz (1974) and others describe four

critical skills in managing

Conceptual Skills

 Used to analyse complex situations

Interpersonal Skills

 Used to communicate, motivate, mentor and delegate

Technical Skills

 Based on specialised knowledge required for work

Political Skills

 Used to build a power base and establish connections

– 9781442533622/Robbins et al/Management: The Essentials

Skills Needed at Different

Management Levels

Robbins, Bergman, Stagg & Coulter 2009 p15

DO NOT REMOVE THIS NOTICE. Reproduced and communicated on behalf of the University of South Australia pursuant to Part VB of the copyright Act 1968 (the Act) or with permission of the

copyright owner on (DATE) Any further reproduction or communication of this material by you may be the subject of copyright protection under the Act. DO NOT REMOVE THIS NOTICE.

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Is The Manager’s Job

Universal?

In reality, a manager‟s job varies with along several

dimensions

Level in the Organisation

 Top level managers do more planning than supervisors

Size of the Organisation

 Small businesses (up to 19 employees) require an emphasis in

the management role of spokesperson

 In large firms (over 200 employees), managers are mostly

resource allocators.

– 9781442533622/Robbins et al/Management: The Essentials

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Management Activities by

Organisational Level

– 9781442533622/Robbins et al/Management: The Essentials

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Managerial Roles and Business Size

– 9781442533622/Robbins et al/Management: The Essentials

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Is The Manager’s Job

Universal? (cont.)

Profit versus Nonprofit

 Management performance is measured on different objectives

National Borders

 These concepts work best in English-speaking countries and

may need to be modified in other global environments

– 9781442533622/Robbins et al/Management: The Essentials

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– 9781442533622/Robbins et al/Management: The Essentials

Why Study Management?

Formal study of management

 Management is about influencing humans

 In order to successfully influence people‟s

behaviour, managers must first understand it

 Formally studying management provides a „toolkit‟

of perspectives and approaches from which you

can draw to manage in different situations

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– 9781442533622/Robbins et al/Management: The Essentials

What Can Management Science

Learn From Other Fields?

Psychology

 The science that seeks to

measure, explain and

sometimes change the

behaviour of humans

Sociology

 The study of people in

relationship to their fellow

human beings

Anthropology

 The study of social societies

which helps us learn about

humans and their activities

Economics

 Provides us with an

understanding of the

changing economy and

competition in a global

context

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What Factors Are Reshaping

and Redefining Management?

In today’s world, managers must deal with

 Changing workplaces

 Ethical and trust issues

 Global economic uncertainties

 Changing technologies

– 9781442533622/Robbins et al/Management: The Essentials

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Why Are Customers Important

to the Manager’s Job?

 Without customers, most organisations would cease to exist

 Today we‟re discovering that employee attitudes and

behaviours play a big part in customer satisfaction

 Managers must create a customer responsive where

employees are friendly, knowledgeable, responsive to

customer needs

– 9781442533622/Robbins et al/Management: The Essentials

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– 9781442533622/Robbins et al/Management: The Essentials

Why Is Innovation Important

to the Manager’s Job?

 “Nothing is more risky than

not innovating”

 Innovation isn‟t just

important for high

technology companies but

essential in all types of

organisations

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Review Questions

 What is an organisation and why are managers important to

an organisation‟s success?

 Are all effective organisations also efficient? Discuss. If

you had to choose between being effective or being

efficient, which one would you say is more important? Why?

 Is your course instructor a manager? Discuss in terms of

planning, organising, leading and controlling. Also discuss

using Mintzberg‟s managerial roles approach.

– 9781442533622/Robbins et al/Management: The Essentials

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Review Questions (cont.)

 Is there one best „style‟ of management? Why or why not?

 How would managing in profit-oriented business be different

to managing in a not-for-profit organisation?

 Why is it important that all managers, even those who don‟t

deal directly with customers, understand the importance of

customers to their organisation?

– 9781442533622/Robbins et al/Management: The Essentials

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A Brief History of

Management’s Roots

– 9781442533622/Robbins et al/Management: The Essentials

History Module

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– 9781442533622/Robbins et al/Management: The Essentials

Early Management

 Management has been

practiced for a long time

 Organised endeavours directed

by people responsible for

planning, organising, leading

and controlling have existed for

thousands of years

– 9781442533622/Robbins et al/Management: The Essentials

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Classical Approaches

Scientific Management

 Frederick W. Taylor (1911)

described scientific management

as a method of scientifically

finding the “one best way to do a

job”

Psychology in management

 In 1914, Lillian Gilbreth published

The Psychology of Management,

her doctoral thesis applying

psychology to the workplace

– 9781442533622/Robbins et al/Management: The Essentials

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Other Classic Approaches

General Administrative Theory

 focused on what constituted

good management (1916-1947)

 Max Weber (1948) (pictured)

described the bureaucracy as

an ideal rational form of

organisation

 Henri Fayol (1916) identified five

management functions and 14

management principles

– 9781442533622/Robbins et al/Management: The Essentials

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Behavioural Approaches

Early management writers included:

 Robert Owen (1927), was concerned about deplorable working conditions

 Hugo Munsterberg (1913), a pioneer in the field of industrial psychology

 Mary Parker Follett (1924) recognized that organisations could

be viewed from both individual and group behaviour

– 9781442533622/Robbins et al/Management: The Essentials

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The Hawthorne Studies

Conducted at the Western

Electric Company

Works these studies:

 Provided new insights into

individual and group behaviour

in the behaviour of people at

work

 Concluded that group

pressures can significantly

impact individual productivity (1924-1932)

– 9781442533622/Robbins et al/Management: The Essentials

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Quantitative Approaches

Quantitative Approach

 Used quantitative techniques to improve decision

making

 Evolved from mathematical and statistical solutions

developed for military problems during World War II

 Has three main branches: management science,

operations management and management information

systems.

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Contemporary Approaches

Focus on learning and adaptation

 1950s - W. Edwards Deming and Joseph M. Duran„s ideas

became the basis for total quality management (TQM)

 1960s - The contingency approach (or situational

approach) says that organisations, employees and

situations are different and require different ways of

managing.

 1980s-present – Examining the impact of information

technology on how managers do their work

– 9781442533622/Robbins et al/Management: The Essentials

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How to Choose?

With so many ideas about management to

choose from, how do we know which are the

best ones to use?

 Option 1: by developing a clear and detailed understanding

of the circumstances we face, we can determine the

approach which is most suitable and likely to be effective.

 Option 2: use evidence-based management, which is the

making of decisions based on hard facts about which ideas

really work.

– 9781442533622/Robbins et al/Management: The Essentials