Organizing: Managers arrange resources and tasks in a structured way to ensure efficient w, Summaries of Business

Download Organizing: Managers arrange resources and tasks in a structured way to ensure efficient w and more Summaries Business in PDF only on Docsity! UNIT 1. MANAGEMENT LEARNING OBJECTIVES After you have read and studied this unit, you should be able to • Explain the five functions of management. • Discuss what makes a good manager. • Explain the differences between a manager and a leader. KEY TERMS Management: The process used to accomplish organizational goals through planning, organizing, leading, and controlling people and other organizational resources. Manager: An individual who is in charge of a certain group off tasks, or a certain area or department of a business. Chief Executive Officer: The most senior manager responsible for the overall performance and success of a company. Planning: A management function that includes anticipating trends and determining the best strategies and tactics to achieve organizational goals and objectives. Organizing: A management function that includes designing the structure of the organization and creating conditions and systems in which everyone and everything work together to achieve the organization’s goals and objectives. Leading: Creating a vision for the organization and guiding, training, coaching, and motivating others to work effectively to achieve the organization’s goals and objectives. Controlling: A management function that involves establishing clear standards to determine whether or not an organization is progressing toward its goals and objectives, rewarding people for doing a good job, and taking corrective action if they are not. LEAD- IN - Which business leaders do you admire for their managerial skills? What are these skills? - Do managers have a good reputation in your country? Or are they made fun of in jokes, cartoons, and television series? If so, why do you think this is? - Which of the famous managers below do you find the most interesting and impressive? Elon Reeve Musk is a business magnate and investor. He is the founder, CEO, and Chief Engineer at SpaceX; angel investor, CEO, and product architect of Tesla, Inc.; founder of The Boring Company; and co-founder of Neuralink and OpenAI. With an estimated net worth of around US$262 billion as of September 10, 2022, Musk is the wealthiest person in the world according to both the Bloomberg Billionaires Index and Forbes' real-time billionaires list. Mark Elliot Zuckerberg is an American business magnate, internet entrepreneur, and philanthropist. He is known for co-founding the social media website Facebook and its parent company Meta Platforms (formerly Facebook, Inc.), of which he is the chairman, chief executive officer, and controlling shareholder. Timothy Donald Cook is an American business executive and engineer who has been the chief executive officer of Apple Inc. since 2011. Cook previously served as the company's chief operating officer under its co- founder Steve Jobs. Cook joined Apple in March 1998 as a senior vice president for worldwide operations, and then served as the executive vice president for worldwide sales and operations. He was made the chief executive on August 24, 2011. Mary Teresa Barra is an American businesswoman who has been the chair and chief executive officer of General Motors since January 15, 2014. She is the first female CEO of a 'Big Three' automaker In December 2013, GM named her to succeed Daniel Akerson as CEO. Prior to being named CEO, Barra was executive vice president of global product development, purchasing, and supply chain. READING 1 THE DIFFERENCE BETWEEN A MANAGER AND A LEADER What is a manager? A manager is a person in an organization who is responsible for carrying out the four functions of management, including planning, organizing, leading and controlling. You will notice that one of the functions is leadership, so you might ask yourself if it would be safe to assume that all managers are leaders. Theoretically, yes - all managers would be leaders if they effectively carry out their leadership responsibilities to communicate, motivate, inspire and encourage employees towards a higher level of productivity. However, not all managers are leaders simply because not all managers can do all of those items just listed. An employee will follow the directions of a manager for how to perform a job because they have to, but an employee will voluntarily follow the directions of a leader because they believe in who they are as a person, what they stand for and for the manner in which they are inspired by their leader. A manager becomes a manager by virtue of their position, and subordinates will follow the manager because of his or her job description and title. Because managers are responsible for carrying out the four functions of management, their primary concern is to accomplish organizational goals. Managers get paid to get things done in organizations. As such, the manager is accountable for themselves as well as the behavior and performance of his or her employees. A manager has the authority and power to hire, promote, discipline and fire employees based on those behaviors and performance. Management is about efficiency and getting results though systems, processes, procedures, controls and structure. Many people think that this is all managers do! In fact, the task of management is more concerned with guiding, leading and supervising people than just telling them what to do - although this may be important too. Managers have to make sure that all supervisors and workers are keeping to targets and deadlines. Instructions and guidance must be provided by managers and it is also their responsibility to make sure that the tasks are carried out by people below them in the organization. Controlling This is a never-ending task of management. Managers must try to measure and evaluate the work of all individuals and groups to make sure that they are on target. There is little point in planning and organizing if managers then fail to check that the original aims are being met. If it seems that certain groups are failing to do what is expected of them, then managers may have to take some corrective action. This is not necessarily disciplining staff - although that might be important. There might be reasons for poor performance other than inefficient workers - it is the manager's job to find out why targets are not being met and then to correct the problem. Do you now have a clearer idea of what managers do? Management is not easy to define, but the list of tasks above helps to demonstrate the varied and important work that good managers should be doing. From studying the list of points above, it should also become clear why management is necessary to any organization. Without clear and effective management, a business is going to lack a sense of control and direction, coordination between departments, leading to wastage of effort » control of employees, organization of resources, leading to low output and sales. In short, without management to take the business forward, the business will drift and eventually fail. 1. Read the text and complete the following notes about the role of a manager. A manager has responsibility for resources and decision making. The role of managers includes: Planning Setting (1) ………………… and (2) ……………. for the organization. E.g. to increase market share by 2%. Organizing Managing people and (3) ……………….. effectively towards achieving the aims of the organization Making sure staff do not perform overlapping (4) ………………………. Coordinating (5) …………….. people and departments together so that they (6) ………………. towards (7) ………………… aims. Commanding Managers are more like to (8) …………….., lead and supervise people than just tell them what to do . Controlling Checking that the (9) ………………………. are being met and appraising (10) ……………. CASE STUDY 1 Naomi is a student at a sixth form college. She recently took part in a work shadowing exercise to find out what it is like to be a manager. Work shadowing means that a student follows a manager for a day or more to experience the work that they do. Naomi 'shadowed' Sabrina Choolun, who is the manager of the sportswear section in Suresave plc, a large department store. Naomi kept the following diary for one day. 08:30 Attended meeting with other departmental heads and Chief Executive to agree targets for the next two years. Departmental heads told to plan their own strategy to meet these goals. 09:15 Two staff members failed to turn up for work. Sabrina asked other staff to cover these absences by working longer shifts today 10:00 Meeting with Sales Manager from big sports manufacturer. Sabrina discussed the range of goods she may purchase next year to meet the store’s targets. 11:00 New member of staff did not cope well with awkward customer. When customer had gone, Sabrina reminded the shop assistant of the correct procedure that should be followed. Asked worker always follow company policy in these matters 14:30 Computer printouts of individual staff sales figures were studied. One worker in particular has failed to meet sales targets and it was agreed with him that further product training was necessary. 16:00 Email received from Sabrina’s line manager. There was a problem with another department selling clothing including sports clothes. It was now possible for customers to find the same goods in the store in two departments at different prices! Sabrina needed to meet with the other departmental manager to agree on a common policy. For each of the tasks that Sabrina carried out, identify whether it was concerned with: planning, organizing, coordinating, commanding or controlling. CASE STUDY 2 Umeel is retiring after 25 years of managing his own restaurant. It is a very successful business. He employs 25 trained staff and needs to recruit a new manager. After advertising the job, he must decide between two applicants. He has gathered the following information about them: On the basis of this information, which person would you choose for the manager’s job? Justify your answer. VOCABULARY EXERCISE 1. Match up the following words and definitions. 1 consultant 2 crisis 3 innovation 4 objective (noun) 5 promotion 6 public sector 7 strategy 8 subordinate A. a plan for achieving success B. a new idea or method C. a person with a less important position in an organization D. a person who provides expert advice to a company E. a situation of danger or difficulty F. something you plan to do or achieve G. the section of the economy under government control H. when someone is raised to a higher or more important position EXERCISE 2. Use the word combinations below to complete the sentences. allocate resources deal with crises make decisions perform tasks measure performance set objectives supervise subordinates 1. After an organization has ……………., it has to make sure that it achieves them. 2. Managers have to find the best way to ……………... all the human, physical and capital available to them. 3. Some people ………………. better on their own while others work better in teams. 4. Managers ……………… the work of their ……………… and try to develop their abilities. 5. Managers …………… the ……………. of their staff to see whether they are reaching their targets. 6. Top managers have to be prepared to ……………. if they occur and then have to ……………. quick ………………… EXERCISE 3. Complete the text using these verbs. analyze improve select communicate measure train contribute commercialize understand form risk work out What is management? You want me to explain what management is? Well, I guess I can manage that! Actually, management as we (1) …………… it today is a fairly recent idea. Most economists in the eighteenth and nineteenth centuries, for example, wrote about factors of production such as land, labor and capital, and about supply and demand, as if these were impersonal and objective economic forces which left no room for human action. An exception was Jean-Baptiste Say, who invented the term “entrepreneur”, the person who sees opportunities to (2) ……………. resources in more productive ways. Entrepreneurs are people who are alert to so-far undiscovered profit opportunities. They perceive opportunities to (3) …………………… new technologies and products that will serve the market better than it is currently being served by their competitors. They are happy to (4) …………….