Chapter 6: The Nature Of Management
Which leadership style is best utilized when employees are knowledgeable about the organization's process and managers benefit from seeking their input in decision making?
democratic
An effective way for encouraging employee empowerment is through ______.
teamwork
Democratic Style
make decisions with considering input from subordinates
Autocratic Style
makes decisions without consulting subordinates
Who performs tactical planning in an organization?
managers or teams of managers at the middle level
First-Line Management
supervise workers on the daily... - foreman - supervisor - office service manager
Production & Operations Managers
those who develop and administer the activities involved in transforming resources into good, services, and ideas ready for the marketplace
Financial Managers
those who focus on obtaining needed funds for the successful operation of an organization and using those funds to further organizational goals
Human Resources Managers
those who handle the staffing function and deal with employees in a formalized manner
Administrative Managers
those who manage an entire business or a major segment of a business; they are not specialists but coordinate the activities of specialized managers
First-Line Managers
those who supervise both workers and the daily operations of an organization
Decisions to add products, acquire companies, sell unprofitable business segments, and move into foreign markets are made by _____ managers.
top
Management Levels
- top - ceo - cfo - coo
Management
- a process designed to achieve an organization's objectives by using its resources effectively and efficiently in a changing environment - which discipline is the process of planning, organizing, leading, and controlling people and organizational resources in order to accomplish the goals of the organization?
Leading Types
- autocratic - democratic - free-rein
Organizing benefits the organization in which of the following ways?
- by establishing lines of authority - by helping to create synergy - by improving competitiveness - by speeding up decision making - by improving communication - by helping to avoid the duplication of resources
Which three functions are included in the STAFFING function of management? Multiple select question.
- compensation and benefits - motivating and training - recruiting and hiring
GM Car Company
- employees signed with labor union - bailout helped gm rise - filed for bankruptcy - international market - 2013 (first female CEO) - 2014 (78k recalls on faulty ignition) - 124 deaths - more than 30 million vehicles recalled - fix = $0.90 (failure to adapt quickly enough to changing demands)
Which of the following are important considerations when determining the best leadership style?
- have the employees been involved in decision making in the past? - how highly trained are the employees? - how quickly must the decision be made?
Staffing Steps
- hiring - retaining - downsizing
Which three activities are likely to be performed by first-line managers?
- implementing the plans of middle management - supervising daily company operations - supervising workers performance
The Strategic Planning Process
1- mission statement 2- identify core values guiding principles: - what is important to your company 3- swot analysis (internal: strengths vs weaknesses; external: opportunities vs threats) 4- establish goals & objectives (goals: major accomplishments that the company would like to achieve in the long term; objectives: short-term) smart: specific, measurable, attainable, relevant, time-bound
Decision Making Process
1. recognize and define the decision situation 2. develop options 3. analyze options 4. select the best option 5. implement the decision 6. monitor the consequences
Managers spend roughly ____ of their time working with others.
75 percent
______ is important because it establishes lines of authority and improves communication within an organization. Multiple choice question.
organizing
Resources
people, raw materials, equipment, money, and information
Operational Plans
- very short-term plans that specify what actions individuals, work groups, or departments need to accomplish in order to achieve the tactical plan and ultimately the strategic plan - ex: production quota
Directing Steps
- what managers can do to keep employees happy - motivating and leading employees - setting clear and fair expectations - assigning tasks and establishing deadlines - giving incentives and developing a rewards system
Controlling is the process of evaluating and correcting activities to keep the organization on course. Controlling involves which five activities? Multiple select question.
- identifying deviations in performance from the standards - measuring performance - investigating the causes of deviations - comparing performance relative to standards - taking corrective action when necessary
Jeff Weiner (LinkedIn CEO)
- management = telling them what to do - leadership = inspiring them to do it
Controlling Process (5)
- measuring and recording actual performance or results - comparing results against plans and standards - identifying deviations from the standards - investigating the causes of deviations - taking corrective action when needed
GM Changes
- new core values - new tech - unprofitable operations (shut down) - customer data
Human Relations Skills
- people skills: the ability to deal with people, both inside and outside the organization - those who can relate to others, communicate well with others, understand the needs of others, and show a true appreciation for others are generally more successful than managers who lack such skills
4 Primary Functions Of Management
- planning - organizing - staffing - directing - controlling
Steve is skilled at all of the following, but which are considered part of his human relations skill set?
- relate to others - understand others' needs - communicates well with others
Controlling: 5-Step Process
- set standard - measure actual performance - compare actual performance with new standards - determine the reasons for the variations - taking corrective action
Companies that practice employee empowerment use managers for ______.
- setting goals - guiding employees - making major decisions
Tactical Plans
- short-range plans designed to implement the activities and objectives specified in the strategic plan - 1 year or less
Plans (3)
- strategic (long-range goals) - tactical (short-term) - operational (very short-term)
3 General Types Of Plans
- tactical - operational - strategic
Managerial Skills
- technical - time-management - decision making - conceptual - interpersonal - communication - leadership
Planning
- the process of determining the organization's objectives and deciding how to accomplish them; the first function of management - what should be done, by whom, where, and when
Controlling
- the process of evaluating and correcting activities to keep the organization on course - comparing the plan to actual performance and taking corrective action
Strategic Plans
- those plans that establish the long-range objectives and overall strategy or course of action by which a firm fulfills its mission - determines the course of action that a firm will use to fulfill its overall strategy and mission
Well-Developed Mission Statement
- who are we? - who are our customers? - what is our operating philosophy (basic beliefs, values, ethics, etc)? - what are our core competencies and competitive advantages? - what are our responsibilities with respect to being a good steward of environmental, financial, and human resources?
Agenda
a calendar, containing both specific and vague items, that covers short-term goals and long-term objectives
Mantra
a commonly repeated word or phrase
Brainstorming
a technique in which group members spontaneously suggest ideas to solve a problem
Why is planning a key management function?
accomplishing the other functions depends heavily on having a good plan
Crisis Management
an element in planning that deals with potential disasters such as product tampering, oil spills, fire, earthquake, computer virus, or airplane crash
This type of leader is passionate about the goals and mission of the company, displays corporate values in the workplace, and forms long-term relationships with stakeholders.
authentic
A(n) ________ style of leadership is generally best for stimulating unskilled, unmotivated employees.
autocratic
______ leadership is a leadership style that involves making managerial decisions without consulting others.
autocratic
CEO
chief executive officer
CFO
chief financial officer
COO
chief operating officer
Steve is a new manager and is interested in developing his network in order to carry out his responsibilities at work. Which of the following are probably not a potential candidate for Steve's network?
competitors
A manager skilled at evaluating where the company will be in the future and thinking creatively to solve problem has good _____ skills.
conceptual
Skills that involve the ability to picture the organization as a whole and the relationship among its various parts are _____ skills.
conceptual
The process of evaluating and correcting activities to keep the organization on course is known as _____.
controlling
When performance is substandard, management must determine why and take appropriate actions to get the firm back on course. The ________ function helps managers assess the success of their plans.
controlling
______ is a management function that involves evaluating and correcting activities to keep the organization on course.
controlling
GM Problem Solving
culture shift... - customer focus - stakeholder relationships
Contingency Planning
deals with potential disasters such as product tampering, oil spills, fire, earthquake, computer virus, or even reputation crisis due to unethical or illegal conduct by one or more employees
What is the first step in the decision-making process?
define the decision situation
Both democratic _________ , Correct Unavailable and free-rein leaders could qualify as authentic leaders depending upon how they conduct themselves among stakeholders.
democratic
______ leadership is a leadership style that consists of managers and employees working together to make decisions.
democratic
______ leadership is a leadership style that consists of managers and employees working together to make decisions. Multiple choice question.
democratic
_____ is the part of management that involves motivating and leading employees to achieve organizational objectives.
directing
Maria manages a team of highly skilled computer programmers. For the most part, her employees are self-directed and need very little support from Maria. Maria is there to answer questions and provide resources, but otherwise leaves her team to do their work. Maria exhibits a _____ style of leadership.
free-rein
All of the following tasks are associated with the directing function of management, EXCEPT ______. 1. interacting with and encouraging employees 2. measuring results against corporate objectives 3. administering rewards and recognition 4. guiding and motivating employees
measuring results against corporate objectives
A ______ is an outline of the fundamental purpose and basic philosophy of an organization.
mission statement
Directing
motivating and leading employees to achieve organizational objectives
Which of the following best characterizes middle managers?
narrowly focused, spends the most time organizing
Joseph makes a point of spending time each week building relationships and sharing information with his colleagues. Joseph is involved with ____.
networking
Which of the following refers to the actions specific individuals, work groups, or departments need to accomplish in order to achieve the company's tactical plan? Multiple choice question.
operational planning
Managers are engaged in the ______ function of management when they review plans and determine what activities are necessary to implement them; then, divide the work into small units and assign it to specific individuals, groups, or departments.
organizing
The structuring of resources and activities to accomplish objectives in an efficient and effective manner describes the management function of ______.
organizing
The ______ function establishes goals and standards and the ______ function monitors performance to make sure the firm's activities are on target to meet its goals.
planning; controlling
Free-Rein Style
provide little or no direction to subordinates
The best way a company can encourage participative decision making is by ______.
providing employee and managerial training
Middle Management
responsible for tactical planning and controlling
Plans that establish the long-range objectives and overall strategy or course of action by which a firm fulfills its missions are referred to as ______ plans.
strategic
Since a ______ plan might address selling unprofitable segments of the business or entering international markets, it must take into account the organization's capabilities and changing business environment. Multiple choice question.
strategic
This type of plan may include plans to add products, purchase companies, sell unprofitable segments of the business, issue stock, and move into international markets.
strategic plan
_____ should be market-driven, matching customers' desire for value with operational capabilities, processes, and human resources. Multiple choice question.
strategic plans
In order for strategic, long-term, plans to become reality, organizations must develop _____ plans, which are designed to implement the objectives specified in the strategic plans.
tactical
Which of the following statements is TRUE regarding tactical plans? Multiple choice question.
tactical plans should be periodically reviewed and updated
Groupthink
team members go with the majority rather than what they think
Because each employee can bring in his or her own unique insights, ___________, Incorrect Unavailable often results in innovative ideas or decisions that would not have been reached by only one or two people.
teamwork
A manager with ______ expertise has skills that involve specialized knowledge and training needed to perform jobs that are related to particular areas of management.
technical
What skills are most needed by first-line managers and are least critical to top-level managers?
technical skills
Analytical Skills
the ability to identify relevant issues and recognize their importance, understand the relationships between them, and perceive the underlying causes of a situation
Leadership
the ability to influence employees to work toward organizational goals
Conceptual Skills
the ability to think in abstract terms and to see how parts fit together to form the whole
Networking
the building of relationships and sharing of information with colleagues who can help managers achieve the items on their agendas
Downsizing
the elimination of a significant number of employees from an organization
Staffing
the hiring of people to carry out the work of the organization
Top Managers
the president and other top executives of a business, such as the chief executive officer (CEO), chief financial officer (CFO), and chief operations officer (COO), who have overall responsibility for the organization
Technical Expertise
the specialized knowledge and training needed to perform jobs that are related to particular areas of management
Mission Statement
the statement of an organization's fundamental purpose and basic philosophy - part of planning - ex: "to inspire and nurture the human spirit - ob person, one cup, and one neighborhood at a time"
Organizing
the structure of resources and activities to accomplish objectives in an efficient and effective manner
Managers
those individuals in organizations who make decisions about the use of resources and who are concerned with planning, organizing, staffing, directing, and controlling the organization's activities to reach its objectives
Middle Managers
those members of an organization responsible for the tactical planning that implements the general guidelines established by top management
Information Technology (IT) Managers
those who are responsible for implementing, maintaining, and controlling technology applications in business, such as computer networks
Marketing Managers
those who are responsible for planning, pricing, and promoting products and making them available to customers
Employee Empowerment
when employees are provided with the ability to take on responsibilities and make decisions about their jobs
