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CHAPTER SIX
Introduction to Management
LEARNING OUTCOMES
In this chapter, you will learn to:
ORGANIZATION
CORE ELEMENTS OF AN
ORGANIZATION
MANAGERS IN ORGANIZATIONS
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 organization reach its goals
Efficiency
Concerned with the means, efficient use of
resources like people, money, and equipment
Copyright 2011 Pearson Education, Inc.
Publishing as Prentice Hall.
MANAGEMENT PROCESS
MANAGEMENT FUNCTIONS
Planning
Planning involves setting appropriate and
clear goals and objectives, and establishing
appropriate strategies to accomplish them.
Areas of Management
Operations Managers
responsible for production, inventory, and quality
control
Marketing Managers
responsible for getting products from producers to
consumers.
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Information Managers
design and implement systems to gather, organize,
and distribute information
Financial Managers
plan and oversee accounting functions and
financial resources
Conceptual Skills
Used to analyze complex situations
Interpersonal Skills
Used to communicate, motivate, mentor and delegate
Technical Skills
Based on specialized knowledge required for work
Political Skills
Used to build a power base and establish connections
Copyright 2011 Pearson Education, Inc.
Publishing as Prentice Hall.
MANAGEMENT SKILLS AT
DIFFERENT MANAGERIAL LEVELS
RELATIONSHIP BETWEEN
EFFICIENCY, EFFECTIVENESS
AND PERFORMANCE
MANAGERIAL ROLES
Interpersonal Roles
Interpersonal roles are primarily concerned with relationships
with other people. The three roles under interpersonal roles
are figurehead, leader, and liaison.
Informational Roles
Managers obtain information and must communicate
information to people inside and outside the organization. The
three informational roles are monitor, disseminator and
spokesperson.
Decisional Roles
Decisional roles require managers to plan strategy and utilize
resources. There are four decision roles: entrepreneur,
disturbance handler, resource allocator, and negotiator.
BUSINESS MANAGEMENT: A Malaysian Perspective (Second Edition)
Oxford Fajar Sdn. Bhd. (008974-T), 2012
ORGANIZATIONAL STRUCTURE
Tall
Organizational
Structure
characteristic of
centralized
companies with
multiple layers of
management
Span of Control
FUNCTIONAL STRUCTURE
PRODUCT STRUCTURE
GEOGRAPHICAL STRUCTURE
CUSTOMER STRUCTURE
MATRIX STRUCTURE
MOTIVATING EMPLOYEES
Physiological needs
Physiological needs are the most basic human needs such as
food, shelter, clothing and water.
Safety needs
These are the basic needs for a safety and security.
Belongingness needs
Relate to the desire for social interaction, relationships and
friendship with others.
MOTIVATORHYGIENE THEORY
Motivating factors
Factors that are related to the nature of the work itself
(autonomy, responsibility, personal growth, appreciation
and recognition).
Motivator factors are sources of job satisfaction.
Hygiene factors
Factors relating to the context of the job.
When hygiene needs are not met, employees become
dissatisfied.
Satisfying hygiene needs will lead to no dissatisfaction,
but will not necessarily make employees satisfied.
BUSINESS MANAGEMENT: A Malaysian Perspective (Second Edition)
Oxford Fajar Sdn. Bhd. (008974-T), 2012
MOTIVATORHYGIENE THEORY
(cont.)
EXPECTANCY THEORY
1. Expectancy
The degree of expectation that exerting an amount of
effort will lead to certain performance.
2. Instrumentality
The degree to which an individual believes that
performance will lead to attaining desired outcomes.
3. Valence
The attractiveness of outcomes as the result of effort
and performance.
BUSINESS MANAGEMENT: A Malaysian Perspective (Second Edition)
Oxford Fajar Sdn. Bhd. (008974-T), 2012
Questions
1) Hewlett-Packard decides to move toward a more
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3) Steve motivates employees by rewarding them with
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5) Which level of management sets general policies,
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11) Doreen Madison has been tracking product sales for McCoy
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58) Which of the following helps explain why some people do
not work as hard as they can when their salaries are based
purely on seniority?
A) two-factor theory
B) Maslow's hierarchy of human needs
C) scientific management
D) expectancy theory
E) Theory X and Theory Y
Answer: D
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