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viii | preface management 3e

Gomez-Mejia | Balkin | Cardy:

Ask your incoming students


what management is, and theyll talk about the kind
of management they know from their own (limited)
work experience. Managers assign people their hours,
give raises or promotions, tell people what job to do
the manager, in other words, is the boss.

In most other work settings, however, management


means something far more important and complex. In
addition to people, managers also manage performance,
processes, relationships, and more increasingly in
todays world, deal with the pressure and flux of
constant change. This, coupled with the fact that
workplaces have steadily become less hierarchical and
more team- and group-driven, means the traditional
responsibilities of the manager have gradually been
dispersed throughout the organization. Students
preparing to work in todays business environment may
not start in a corner office with an assistant, but they
still need to think like managers and understand the
strategic goals of the organization.

Management prepares your students to join a new kind


of workplace, one where management is everyones
business.

In order to prepare your students


for a rapidly changing workplace,
Management seeks to go beyond the
scope of other management textbooks
in our approach and our content. It does
this in three key aspects:

gom2743x_FM(viii-xxiii).indd 2 8/24/06 1:16:42 PM


management 3e preface | ix

Management Is
Everyones Business

Beyond the ordinary.


Your students start the course thinking of managers as little more than traditional bosses.
Management helps your students to move beyond this perception by offering coverage and
exercises that emphasize the multifaceted nature of modern management. In particular, the
Management Close-Up boxed feature offers unique perspectives. Each close-up has a theme of
either Ethics, Customer Focus, and/or Dealing With Change to illustrate contemporary issues
that managers and organizations confront that go beyond merely being the boss.

Beyond theory.
Nothing as complex as management can be understood merely by reading the theory. While
Management is careful to ground students in the relevant theories, it gives your students
numerous opportunities to apply their learning to real-world management situations. Strategically
placed throughout the chapter, the Learning Objective Check-Ins or LOC-Ins help students apply
information that theyve just read by asking scenario-based multiple choice questions based on a
Learning Objective at the beginning of the chapter. Answers for the LOC-Ins can be found in the
Instructors Manual online within the Instructor Resources at www.mhhe.com/gomez3e. More
than 40 interactive exercises can be found online highlighted with a Web site icon throughout
the bookput your students in the managers chair to deal with important and complex issues.
Sixteen The Entrepreneurial Manager videos give your students insight into such entrepreneurs
as Todd McFarlane, famed for his comic books, Major League Baseball figurines, and movies such
as Spawn; or Jim McCann of 1800 Flowers.com and his path to success; or how companies like
Joe to Go, New Belgium Brewery, and Cirque Du Soleil began, and reached their current success.
Additionally, the end-of-chapter material provides a variety of exercises, including mini-cases,
collaborative learning exercises, Internet exercises, and skill-building exercises.

Beyond your expectations.


Weve worked hard to make the Management textbook package more comprehensive, more useful,
and more flexible than any other on the market. Our ancillaries will open whole new avenues
of teaching for you - from our impressive range of video cases and our Managers Hot Seat
videos which put real managers in the hot seat of a sticky management issue to a Test Bank that
incorporates AACSB guidelines with questions tagged to corresponding goals.

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x | preface management 3e

is full of innovative chapter features to make


studying productive and hassle-free. The following
Management pages show the kind of engaging, helpful
pedagogical features that make up Managements
powerful approach.

LOC-In
NEW! Learning Objective 1 Learning Objective Check-In
The next sections of the c
scribe the critical aspects of mo
ment jobs. Figure 1.1 above s
these aspects, namely, the ability
Check-Ins or LOC-Ins
Gen-Art is a custom framing and art service boutique that is considering
expansion into the surrounding regional market. The 20-person basic managerial functions (pla
company has highly decentralized job authority and decision making. strategizing, organizing, leading
Instead of strict functional areas, the firm uses a team-based approach to trolling) and the ability to perf
satisfying client needs. Gen-Art avoids many levels of management in
favor of a barebones approach to structure, with executives, project
managerial roles (interpersonal
tional, and decisional). While the
In response to the need for better assessment of learning managers, and teams of technical staff. Ginny and Mercedes are two
managers at Gen-Art. portance of each aspect may
objective goals, these scenario-based multiple choice 1. Ginny is the Vice President of Operations at Gen-Art. She helps
make decisions regarding growth, goals, and longer-term issues.
instance, strategic managers may
volved in planning and strategizi
questions occur within each chapter and directly correspond Ginny is a ______.
a. strategic manager
operational managers), those cap
ing well on each of these job aspec
to a Learning Objective specified at the beginning of the b. operational manager
c. front-line manager
likely to have a successful manag
and be promoted to more respon
chapter. Each question is designed to assess the application d. tactical manager
2. As one of the project managers for Gen-Art, Mercedes operates at the tions over time.
______ level. She is the direct link between the executive level of the firm
of the Learning Objective, with answers found in the and the technical staff she oversees.
a. strategic The Four Management Func
Instructors Manual. Professors can choose to share the b. controlling management
c. tactical More than once the question has b
answers with their students by either posting to an online d. bureaucratic management What do managers do? Or per
precisely, What should they do?
course-delivery site, or by printing and distributing.

Video: The
video: THE ENTREPRENEURIAL MANAGER NEW! Entrepreneurial
The McFarlane Summary
Companies What do comics, sports, monsters, toys, and rockn roll have in common? They all have benefited
from the creative artistry of Todd McFarlane. He is responsible for the most successful comic books
in history. He has produced a hit movie, directed music videos for Korn and Pearl Jam, won Gram-
Manager
mys and Emmys, and runs one of the most successful toy companies in the world. He has licenses
ranging from Shrek, Austin Powers, and The Beatles to Major League Baseball, the National Foot-
ball League, and the NBA. McFarlane also owns part of the Edmonton Oilers hockey team.
McFarlane grew up playing baseball, and wanted to become a major league center fielder.
Many students upon graduation will begin their career with
He knew that was a long-shot, and that dream did not materialize for him. He developed an in-
terest in comics late in high school. He wondered if he could make money drawing superheroes. smaller businesses, or perhaps even starting a business
He was self-taught through high school and college, and decided to send off samples to people
in the business. He faced 300 rejection letters before finally getting a freelance job with Marvel of their own. These boxes consist of a summary and
Comics. They happened to be the biggest name in the industry. McFarlane worked his way up
through the ranks, doing increasingly challenging characters with great success. By 1990, he was discussion questions for videos found on the Online Learning
the highest paid comic book artist in the industry. McFarlanes success came with a downside,
however. He was unsatisfied because he lacked ownership of the characters he was producing.
He was also frustrated over creative differences. So he quit, started his own company, and took
Center (www.mhhe.com/gomez3e) that pertain to an
six other artists with him.
d l k l l f l i h h
entrepreneur or a successful small business and management
concepts that relate to the chapter.

Managers Notebook EIGHT STEPS TO SOUND ETHICAL DECIS I ON MAKI NG


IN BUSINESS
3.2
These features supplement chapter content with a practicing managers 1. Gather the facts. Avoid jumping to conclusions without having the facts available to
you. Consider the following questions: How did the situation occur? Are there

managers perspective. Managers Notebooks provide motebook historical facts I should know? Are there facts concerning the current situation I
should know?

valuable insider tips to dealing with common situations and 2. Define the ethical issues. Identify the ethical values at stake in this problem. Sometimes
two important values are in conflict. For example, the right to privacy may conflict with the
right to expect a safe workplace. Is there a code of ethics that suggests which values have
are an ideal jumping-off point for classroom discussion. the highest priority?
3. Identify the affected parties. Start with the parties directly affected by the outcome of the
decision. Next, think broadly and include other parties who may also be affected, such as
employees in other units, people in the community, or customers. How would your
decision affect all these parties?
4. Identify the consequences. Think about the consequences for all the parties that you have
identified. What is the probability of each different consequence for each party? Do you
see any highly negative consequences that must be avoided? What are the short-term and
long-term consequences of the decision?
5. Identify your obligations. Identify the obligations you feel and the reasons for each. For
example, did you make a promise to another employee that you could be in jeopardy of
breaking? Is your duty at odds with keeping your word to this person? Can you justify
making an exception for this decision? Since we each enact numerous roles (as employee,
leader, parent, spouse, volunteer, etc.), we are bound to have role conflicts that force us
to favor one role over another for a given situation. It is important to be aware of all our
obligations when considering a decision.
6. Consider your character and integrity. How would others judge your character and integrity
if they knew all the facts about the decision that you were about to make? Would you feel
good about disclosing your decision to a newspaper that would be read by the members
of your community? If you would be ashamed of disclosing your decision to others,
perhaps you should rethink your decision so that you feel more comfortable with it when
scrutinized by others.
h k l b l h h b

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management 3e preface | xi

Pedagogy
To help students look up-close at the issues
real managers deal with, Management
Management Close-Ups includes Management Close-Up boxes.
Ethics, Customer Focus, or Dealing With
Change subtitle these boxes and highlight
2.1 MANAGEMENT CLOSE-UP aspects of management particularly
important today.
Global Is Local in a New World Order of Business

THEME: DEALING WITH CHANGE A group of IBM The Internet creates possibilities far beyond the phone or
computer pro-
grammers at Tsinghua University in Beijing writes software us-
private data networks that used to be the backbone of inter-
national business. The Web is inexpensive and open to cus-
Dealing With Change
ing Java technology. At the end of each day, the work is sent via
the Internet to an IBM facility in Seattle, where programmers
tomers and suppliers worldwide, not just to the companys
workers. Says Irving Wladawsky-Berger, head of IBMs Internet New technology or new CEOs, globalization and
build on it during their workday. Then, the Seattle program- division, The difference between Peoria and Romania on the
mers send the working files another 5,222 miles to the Insti- Web is not very large. the information economy, regulatory changes: all
tute of Computer Science in Belarus and Software House Group In 2006, MCI was the worlds largest provider of confer-
in Latvia, which work on it and send it east to Indias Tata
Group. The Tata Group sends the software back to Tsinghua by
encing services, according to Telespan publishing. Its products
include audio, video and Web conferencing, and related ser-
of these factors constantly conspire to reshape
morning in Beijing. The cycle continues until the project is
done. We call it Java Around the Clock, says John Patrick, vice
vices, which help organizations worldwide to meet more pro-
ductively without the time and costs associated with business
the contemporary business workplace or a
president of Internet technology for IBM. Its like weve cre-
ated a 48-hour day through the Internet.
travel. This enables companies such as Boeing, which has a
multiyear agreement with MCI, to create an efficient virtual
particular organization. The successful manager
Communications technology has transformed the world
into a single work place. As in the IBM programming cycle,
collaboration environment.
The cost of doing business globally has also diminished needs to be able to anticipate and adapt to
workers collaborate in different locations using a computer thanks to technology. Eastman Chemical found the cost of
network in ways they never could before. Caterpillars global three or four managers in the United States is the same as the change, and these boxes illustrate how a
engineers in different countries simultaneously collaborate cost of stationing one U.S. manager abroad; its U.S.-based
on tractor designs with a 3-D model over a computer network. managers can now use communication technology to manage particular change can impact the successful
ParaGraph International, a software company started by a by long distances. Of the companys 1,500 employees who
Russian, Stepan Pachikov, links product development in work outside the United States, only 130 are Americans. functioning of a firm.

1.1 MANAGEMENT CLOSE-UP Customer Focus


In todays hyper-competitive world, relationships
How Outsourcing Is Transforming Whole Industries and Changing the Way We Work
and trust are increasingly important. For the
THEME: CUSTOMER FOCUS In theory, it is becom- from IT infrastructure and human resources to management
ing possible to buy, off
the shelf, practically any function you need to run a company.
of its offices from Cincinnati to Moscow.
Cost savings aside, many companies believe that out-
manager, everyone is a customer, whether they
Want to start a budget airline but dont want to invest in a huge
back office? Accentures Navitaire unit can manage reserva-
sourcing improves customer service. Five years ago, Penske
Truck Leasing, a joint venture between GE and Penske Corp.,
are internal or external. Within their organizations,
tions, plan routes, assign crew, and calculate optimal prices
for each seat. Have a cool new telecom or medical device but
paid $768 million for trucker Rollins Thick Leasing Corp. just
in time for the recession. Customer service, spread among
managers rely on maintaining good relationships
lack market researchers? For about $5,000, analytics outfits
such as New Delhibased Evalueserve Inc. will, within a day,
four U.S. call centers, was inconsistent. I realized our busi-
ness needed a transformation, says CFO Frank Cocuzza. He with managers and employees in other
assemble a team of Indian patent attorneys, engineers, and began by shifting a few dozen data-processing jobs to GEs
business analysts, start mining global databases, and call huge Mexican and Indian call centers, now called Genpact. departments to get things done. Just as important
dozens of U.S. experts and wholesalers to provide an inde- He then hired Genpact to help restructure most of his back of-
pendent appraisal. fice. That relationship now spans 30 processes involved in are relationships with external customers, potential
Want to quickly market a new mutual fund or insurance leasing 216,000 trucks and providing logistical services for
policy? IT services providers such as Indias Tata Consultancy
Services Ltd. are building software platforms that furnish every
customers.
Now, if a Penske truck is held up at a weigh station be-
partnerships, and alliances. The Customer Focus
business process needed and secure all regulatory approvals.
A sister company, Tata Technologies, boasts 2,000 Indian en-
cause it lacks a certain permit, for example, the driver calls an
800 number. Genpact staff in India obtains the document
boxes offer real-world examples of how
gineers and recently bought 700-employee Incat International
PLC, a Novi, Michigan, auto- and aerospace-engineering firm.
over the Web. The weigh station is notified electronically, and
the truck is back on the road within 30 minutes. Before,
relationships play crucial roles in the success of
Tata Technologies can now handle everything from turning a Penske thought it did well if it accomplished that in two
conceptual design into detailed specs for interiors, chassis, hours. And when a driver finishes his job, his entire log, in- organizations.

Ethics
1.2 MANAGEMENT CLOSE-UP Ethical conduct in business has become an
increasingly public issue. Whether the issue is
The New Ethics Enforcers
recognizing the importance of stakeholders,
THEME: ETHICS With rock music
pounding and
lasers painting a brilliant light show on giant screens behind
a regulatory issue, or issues with employees,
him, Patrick J. Gnazzo restlessly paced the broad stage at the
Venetians convention center in Las Vegas. Because he is the
ethical behavior and policies cut across all
new chief compliance officer at Computer Associates Interna-
tional Inc. (CA), Gnazzos presentation was one of the main
management issues. Nearly every chapter of
events just before CA World, the companys annual sales ex-
travaganza. Striding before 1,200 CA staffers, the blustery 59- Management includes these special illustrations
year-old former chief trial attorney for the U.S. Navy took a page
from tent revivalists, leading a call-and-response chant: What of how ethics and trust play an important role in
happens at CA World, Gnazzo shouted, as the crowd echoed
his words, can make us great. Winding up his talk, he ex-
horted: Dont lie, dont cheat, dont steal!
all aspects of business.
CA staffers can thank the Justice Department for Pat
Gnazzo. To avoid a criminal trial over alleged accounting fraud,
CA accepted a deferred prosecution agreement in late 2004
that required it to set aside $225 million for shareholders and
impose a variety of reforms, including hiring an internal cop to
prevent future chicanery. Patrick J. Gnazzo is the first compliance officer
The job went to Jesuit-trained Gnazzo, who once consid- at Computer Associates International Inc.,
ered the priesthood but instead opted for the law. At the $3.5- charged with preventing fraud at the firm. He

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xii | preface management 3e

End-of-chapter exercises
and applications
Focusing on the Future
NEW! Focusing on the Future: Using Management Theory in Daily Life
Falling at the end of the chapter but before
the Summary, Focusing on the Future boxes Managing in a Global Environment
Bruce Humphrys serves in a general manager capacity for a nonprofit technical organization. As
give students a glimpse of how they will use the the Executive Director of Compatible Technology International (CTI), he must encourage his em-

skills they are acquiring from the text in their future ployeesa group of volunteer engineers, food scientists, and techniciansto create food pro-
cessing tools that can be used in underdeveloped nations all over the world. To create products

careers. A day in the life snapshots from five types of managers that will be used, rather than abandoned, Bruce has to take into consideration the general busi-
ness environment, legal systems, the countrys economic environment, and cultural environ-

- accounting/finance, operations/general, human resources, ments. Take the case of the breadfruit dryer, for instance.
One of Bruces senior food scientists, George Ewing, saw a need to give people in Haiti a way

marketing/communications, and entrepreneurs - show students to dry breadfruit. Fresh, breadfruit is a vegetable similar to squash. It has a very short shelf-life;
fruit lasts only a day or so after being harvested. But when breadfruit is dried, it can be turned

how working managers use the theories discussed in the text into a flour which keeps well and enriches both the islanders diet and their economy. Fortu-
nately, Ewing met Camille George, a professor at the University of St. Thomas in St. Paul, Min-

to solve real-world problems. The author of the feature, Carol nesota, at a political lunch. She had the expertise in heat transfer technology to help him create
a simple breadfruit drying machine.

Moore, California State University Hayward, interviewed real-life


managers, including: Roxana Carbajal - HR Director, Embassy
Suites; Mary Molacavage - Lab Associate, Biotech organization; managers What Are Your Ethical Beliefs?

Barbara DeLong - HR Director, telecommunications industry; checkup 3.1 Instructions: Answer the following questions as honestly as you can. Circle the number between
1 and 5 that best represents your own beliefs about business.
Mary Kelley - CEO, Sleep Garden; Mark Hasting - Group Vice Strongly Strongly
Disagree Agree
President, Target Corporation; Brendan Geary - Director of Human 1. Financial gain is all that counts in business. 1 2 3 4 5
2. Ethical standards must sometimes be 1 2 3 4 5
Resources, Panalpinia Corporation; David Moore - Pastor, New compromised in business practice.
3. The more financially successful the 1 2 3 4 5
Summit Presbyterian Church. businessperson, the more unethical the
behavior.
4. Moral values are irrelevant in business. 1 2 3 4 5
5. The business world has its own rules. 1 2 3 4 5
6. Businesspersons care only about making 1 2 3 4 5

Skill Building Exercises profits.


7. Business is like a gameone plays to win.
8. In business, people will do anything to further
1
1
2
2
3
3
4
4
5
5
their own interest.
9. Competition forces business managers to 1 2 3 4 5
Most chapters now include skill-building exercises that summarize resort to shady practices.
10. The profit motive pressures managers to 1 2 3 4 5
management skills crucial to workplace effectiveness. Managers i h i hi l

Check-Up exercises provide students a fun and interesting way


to practice and refine those skills, and are found with the End-of- individual/ Enterprise Resource Planning: An Example of Organizational Change
collaborative Being the champion of a change, or a change agent, isnt always easy. Enterprise Resource Plan-
Chapter material. learning ning (ERP), software that integrates information from accounting, manufacturing, distribution,
and human resource departments, can give management a unified view of these processes in
case 4.1 an organization. Unfortunately, the ERP software began gaining a reputation for being difficult
to implement and often failing. The majority of these failures were attributed to software per-
formance problems, but the reality was that in most of these situations the failure was due to
inadequate attention to change. In other words, technology was not usually the problem; rather
it was a lack of management recognition of ERP as an organizational change. An ERP system

Individual/Collaborative Learning can add administrative tasks that may not seem needed, but without an overall understanding
of the system, workers may not complete these tasks. Further, an ERP implementation may re-
quire a change in roles and increased technical expertise. The implementation of an ERP sys-
tem at SI Corporation, a small manufacturer of industrial textiles, is an example of an ERP

Case/Exercises success story. SI expected the implementation of ERP to have a serious impact on its organiza-
tional culture.
After deciding to implement an ERP system, SI management created the position of
change management leader with the responsibility of managing the human element of the
implementation. The person hired for this new job, Patrick Keebler, started by assessing the en-
vironment for potential problem areas. He considered the levels of workers computer skills
Each chapter includes an in-class exercise designed to be and whether there were areas with a history of resistance to change. Keebler developed a
change management strategy that focused on communication and training. As Keebler stated,
completed in teams. Teams read the case and then recommend a if you unilaterally announce that youve launched a new system, youll get a lot of push back,
but if you share your strategy and why its important early on, people will embrace it.
course of action for the issue or problem presented in the exercise.

management Starbucks Gambles that Encouraging Its Coffee Suppliers to Act Socially
Responsible Is Good for Business
minicase 3.1
Management Mini-Cases Starbucks, the fast growing coffee retailer with over $4 billion in annual sales, places a high pri-
ority on corporate social responsibility. It gives all its employees who work over 20 hours per
week health insurance benefits and stock options. It strives to give back to the communities that
it does business in by supporting local schools, literacy programs, and environmental activi-
ties. One of its newest social resonsibility initiatives is to cultivate and reward environmentally

These popular exercises have been completely revamped for and socially responsible coffee suppliers, a practice it calls sustainable sourcing. Company ex-
ecutives reason that making sustainable sourcing an important cornerstone of its global growth
strategy will help build the Starbucks brand. The impetus for Starbucks to start a program of
the 3rd edition. At least half of the cases have been replaced by social responsibility with coffee growers originally had been a way to respond to critics from
the fair trade movementwhich advocates fair payments to farmers in developing
newer ones, and many have been expanded to provide a more nationsthat had accused Starbucks of underpaying coffee growers, a claim Starbucks denied
after it opened its books to them to prove that was not the case.
comprehensive approach to the issue. Each chapter has two There were sound economic reasons for the initiative as well. With an annual growth rate
of 20 percent Starbucks executives wanted to make sure that the future supply of coffee would
Management Mini-Cases. be predictable and reliable for its customers. If the supply of the specialty coffee beans that Star-
bucks uses were disrupted, its growth plans and quality of its coffee would be at risk. To pro-
tect its coffee supply, Starbucks realized it had to identify and nurture partners that could meet
its quality standards and keep up with increasing demand. At the same time, to protect its
brand, the company needed to be certain that its suppliers shared its commitment to corporate
citizenship. Therefore in 2001 the company launched its preferred supplier program to attract
and reward farmers committed to socially and environmentally responsible farming. The com-

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management 3e preface | xiii

Video Cases

A Unique Use of Video


The Entrepreneurial Manager
video: THE ENTREPRENEURIAL MANAGER Nearly every chapter contains 2 possible video teaching oppor-
Cirque du Soleil Summary tunities. The first, The Entrepreneurial Manager feature is
Guy Laliberte started as a street performer, with the dream to take his group of jugglers, fire-
eaters, stilt-walkers, and clowns on a world tour to have fun and entertain people. He had no idea located within the chapter. This feature contains a summary
that he was embarking on a journey that would revive the traditional circus and reinvent live en-
tertainment, making him one of the most successful people in international business. Today, and discussion questions that pertain to an entrepreneur or a
Cirque du Soleil has numerous shows playing worldwide. The troupe who originally formed
Cirque in 1984 had to locate in a warmer climate, because performing under a tent in Canada successful small business and relevant management concepts.
year-round was not an option. So, they decided to go to Los Angeles in 1987, and were given the
opportunity to do the opening show at the Los Angeles Arts Festival.
Guy hit the road around the same time that businesses around the world began moving
These videos can be found on the Online Learning Center
toward globalization, taking regional businesses into the international markets. With the Cold
War over, and trade barriers all over the world dropping for the first time in history, companies
(OLC) for student viewing outside the class, or on the Instructor
like Cirque found it much easier to penetrate new markets. The show was fortunately a press and
public success immediately.
DVD for viewing inside the classroom.
Cirque is not without significant challenges, however, that relate directly to globalization.
First, Cirque must search the globe for specific talents in its shows. Cirque also looks to the
Olympics to find talent. They do not approach an athlete until they are sure it is the athletes last
Olympics which is an ethic the company upholds out of respect to the athletes and to their coun
End of Chapter Video
The second opportunity offers a stimulating mix of topical
China Brands video summary reinforcement and real-world insight to help students master the
Summary most challenging management topics, with segments such as
Today, Japan leads the electronics market, with Korea a safe second. But the worlds most pop-
ulous country, China, is showing significant potential to explode in the electronics market. the Government vs. Google, Privacy in the Workplace, and
China is also making headway by marketing TsingTao beer as a global brand. Chinas brands
are currently becoming successful by marketing to their billion and a half population at home. Economic Rebuilding in New Orleans. The videos can be found
Xerox and Sony are already manufacturing within China, but its the nations own brands that
are showing the potential to become global giants in the years ahead. One day China could
have some of the worlds most popular brands.
on the Instructor DVD-Rom, with summaries and discussion
There has been a total quality management revolution in China, and Haier, a refriger-
ator manufacturer, is leading the way. The Chinese are placing an emphasis on the quality of
questions for the students found at the end of each chapter.
their products; the next step, according to Berntt Schmidt of Columbia Business School, is to fo-
cus on building brands. Lenovo is the number one selling PC in China, is well known through-
out Asia, and plans to launch internationally during its sponsorship of the 2008 Olympics in
Beijing. In addition to these, SVA is a popular Chinese television manufacturer that has shelf
space in Wal-Mart, Target, Sears, and other retail stores in the United States.
Finally, Managers Hot Seat Videos are video-based
Discussion Questions cases used to present stimulating, real-world management
1. A company cannot succeed without applying as part of its strategy the technologies
that have evolved (and continue to evolve), offering better products and better produc- situations in the classroom. Focusing on tough issues and
tion techniques. How has China used technology to improve its position for success in
the global economy? sensitive topics, the scenarios include:
2. New entrants into an industry compete with established companies that control the
current market share. What are some barriers to entry for Chinese companies looking
to expand in the electronics industry? The beverage industry? How might these firms
overcome such barriers?
3. Customers purchase products and services and thus give brands legitimacy. Customers
Negotiation amidst
can influence pricing, quality, and service they demand from a company. How does
China have an edge concerning its current customer base in China? cultural differences

Group dynamics

Conflict management

Personal disclosure

Working in teams

HR issues

The Managers Hot Seat collection can now be found online at


http://www.mhhe.com/MHS. You can also access it though
the texts Online Learning Center (www.mhhe.com/gomez3e).
Please check with your Sales Representative on how your
students can receive access to this resource.

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xiv | preface management 3e

Whats NEW! in
Chapter 1 Motors, brand new critical
thinking questions, and brand
shift including Delphi Automobile,
graduates of China, and
affects foreign firms, providing
new example of Wal-Mart (2006).
New discussion of how new answers to critical thinking illustrations of how several Update on the situation of
environmental changes are likely questions posed earlier. countries are attracting executive Mexican economy (2006) and
to influence future careers. All of the Management Close Ups talent from Microsoft, etc. how it affects American firms
New discussion of how internal/ were replaced with brand new Relatedly, discussion of the doing business there.
external customers are affected ones, 2006 vintage. These include globalization of labor markets by Update on the situation of Chinas
by globalization. a customer driven close providing brand new (2005-2006) economy (2006) and how it
New discussion of how up on global outsourcing, examples of international hires affects American firms doing
globalization complicates ethical an ethics close up concerning by Japanese and Chinese firms business there. See also new
decision making, bringing in ethics enforcers, and an (such as Sony, Nissan, etc.). example of Motorolas
recent examples of Yahoo, emergent trends close Recent (2005-2006 vintage) investments in China (2005).
Google, Microsoft and Cisco in up concerning the use of new trends in economic unions around Updates on the situation of Indias
China. technologies in organizational the world, including challenges to economy (2006), particularly the
New discussion of how control systems. European Union (due to enormous growth of software
organizations are appointing Brand new skill building exercise failure to ratify constitution in industry and its effect on
ethics officers which are given a on what college students expect 2005 as per Insert 60-1), updates American firms.
lot of power and who report organizations to offer them in the on NAFTA; and brand new (2006) New (2006) examples of global
directly to CEO. future and how this affects economic union agreement strategic alliances between GM-
New discussion on what their career/employer choice. (similar to NAFTA) between Daewoo and Texas Instrument-
successful managers at any level Three brand new figures have US and five Central American/ Compel Communication.
have in common. been added to clarify materials Caribbean countries. Discussion of new trends in
New discussion on important role and break up text: New (2006) example of expatriate assignments using
emerging technologies exert on Figure 1.1 on key aspects of successful joint venture between 2005 survey data.
control systems. managerial success. MCI and Boeing for virtual Update on cost of living overseas
New tie-ins of managerial roles to Figure 1.2 on origins of key collaboration on global scale. for cities like London, Paris or
subsequent chapters (before we management perspectives New (2006) example of cultural Tokyo.
only had it for management overtime. problems when Arab Satellite TV Discussion of new initiative on
functions). Figure 1.3 on the Modular decided to introduce The global social responsibility and
Added discussion of why classical Organization. Simpsons to Arab viewers. ethics (starting in 2006) called
management insights are still All of the management MiniCases New (2005) example of political Joint Initiative on Corporate
valuable today and are not a thing and Collaborative Learning intervention using the case of Accountability and Worker Rights
of the past. Exercises have been replaced Chirac and other French by Nike, GAP, Adidas, etc., to
Brand new section on emergent with new ones, 2006 vintage. officials to prevent Hewlett monitor foreign suppliers
cutting-edge perspectives and These include one on ethics, one Packard from laying off workers for abuses.
issues to the study of on effective use of organizational in France. Two new Management Close Ups.
management for 2000-2020. culture to achieve success, and Several new (2005-2006) These include IKEA (customer
These include the Modular one on the 2006 National examples of how practices that focus) and use of hotlines in
Organization and the Academy report concerning the are perfectly legal in USA Europe.
Intangible Organization. global brain race. (such as sales volume linked Three new mini-cases and
Brand new and extensive One brand new section of rebates) may be illegal overseas. collaborative learning cases.
response to critical thinking chapter has been written on New (2005) example of how
questions posed for new emergent organizational forms. political events affect stability of Chapter 3
vignette. currency such as the Paris
Brand new (2006 vintage) Chapter 2 riots resulting in a 10% drop in Update of Levi Strauss opening
introductory vignette on the value of euro overnight. vignette which explains how Levi
management problems Brand new (2005-2006 vintage) Updates on recent upturn of Strauss acted as a good
suffered by Ford and General examples of effects of global Japanese economy and how it corporate citizen by donating

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management 3e preface | xv

the 3rd edition


$3.4 million in clothing to relief Business. Case about Starbucks in 2005; and b) General Motors this figure came from a
efforts for Hurricane Katrina giving preferential business to discounts which resulted in suggestion by one of
victims in 2005. farmers in third world countries multibillion dollar losses yet failed the reviewers of this chapter.
New table (table 3.1) which who use sustainable to increase GMs market share. Description of decision tree
provides categories of selected environmental farming practices, Brand new example of Katrina analysis which is used for
ethical issues in business which protect the scarce land and how unforeseen events affect analyzing alternatives to
developed from an idea by one of that can grow coffee beans. planning. decisions is provided in the text.
the reviewers. Brand new example of excellent Two new sections in the text that
New graphic figure 3.1 which Chapter 4 long-term product planning by describe the use of intuition in
compares ethics approaches and Apple (2006) with ideas decision making and the
a new section in the text which New Managers Checkup (The conceived as far back as 1987. escalation of commitment
explains how these approaches checkup makes change real by Brand new discussion of ethical concept are provided in the
to ethics compare across some asking the student to consider lapses in planning with several section of the chapter that
criteria. proactively addressing change at company examples during 2005- describes the Limits to Rational
Explantion of the whistleblower a personal and workgroup level.) 2006. Decision Making. The idea for
provision of the recently enacted New figures added (figs. 4.2, 4.3, Two brand new (2005-2006 this addition came from
Sarbanes-Oxley law that protects 4.7) that summarize the text and vintage) Management Close Ups suggestions by reviewers of this
individuals who inform on should help guide the students have been added. One on chapter.
executives who are suspected of reading comprehension. planning for what if and one on A new section is added to the
performing financial malfeasance. Update of opening vignette about bottoms up planning at several text: Personal Decision Making
A new example of social SAS. organizations. Styles which describes four
responsibility problems this New research cited Two Management Mini-Cases are different decision making styles:
example describes the difficulties demonstrating the importance of brand new (2005-2006 vintage). directive, analytical, conceptual
Merck the pharmaceutical firm congruence in values for post- One brand new Ethical Checklist and behavioral. The text
faces when its drug Vioxx was merger financial performance. has been added. describes the context that is best
recalled from the market in 2004. Limitation to Lewins three-step suited to use each of these
New examples of firms acting model noted. This addition was
Chapter 6 styles. The idea for this addition
socially responsible to the suggested by a reviewer. came from a suggestion from one
community Home Depot (Lewins model does not apply Information providing background of the reviewers of this chapter.
example of building playgrounds when change is dynamic and on the meaning of risk is New Management Minicase 6.2.
in communities; Nike example of ongoing.) expanded. Mercks Decision to Withdraw its
raising funds for cancer research; New example concerning Vioxx Drug from the Market.
Starbucks example of sponsoring Chapter 5 decision making in crisis This case discusses the concept
literacy programs and giving to situations is provided from Wal- of bounded awareness in decision
Brand new example of successful Marts use of its Emergency
seriously ill children. making, where cognitive blinders
long range planning by GE (2006) Operations Center in the wake of
New example of a social activist may prevent a decision maker
in China. 2005 Hurricane Katrina to
group Rainforest Action from sensing or using important
Brand new update on the distribute bottled water and food
Network (RAN) put economic information in the decision
situation of Kodak (2006) and to the stricken area along the Gulf
pressure on Citibank to stop making process. In the case of
how its past planning efforts have Coast that arrived days ahead of
lending money to logging, mining Merck, this error in ignoring
largely failed. the federal government relief
and oil-drilling projects that critical information had tragic
Brand new example of Genentech efforts.
destroy rain forests. consequences both for the
as an excellent planner of Figure 6.3 is new and provides a
New Management Minicase 3.1 company and the customers who
innovation activities (2006). decision tree analysis which
Starbucks Gambles that were mislead in using a pain
Brand new examples of illustrates how managers
Encouraging its Coffee relieving drug that could increase
unanticipated results after careful can systematically evaluate
Suppliers to Act Socially the likelihood of heart attacks and
planning: a) Blockbusters bad alternatives in the decision
Responsible is Good for strokes to users. Sadly,
plan to drop the never late fee making process. The idea for
continued

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xvi | preface management 3e

Whats NEW! in
evidence of these medical risks
were available in research that
Update (2006) on situation of
Boeings capacity to adsorb and
it tried to compete against
established airlines.
Chapter 8
Merck had undertaken four years capitalize on new technologies by Brand new (2006) report of firms New figures added (figs. 8.1 &
before it decided to withdraw the referring to commercial satellite that create the most patents 8.2) that graphically summarize
drug from the market. consumers. around the world including the text.
Brand new (2006) examples of specific examples. New Managers Checkup.
Chapter 7 the impact of demographic Brand new (2006) example of (Checkup asks student to take
changes on business, including how Volkswagen has successfully the perspective of the customer
Updated situation (2006) of what Cochlear Ltd. and condo used benchmark analysis. as a means to drive innovation.)
is happening to Fords new developers. Brand new (2006) example of New Management Minicase on
strategy for 2006-2010, and how Brand new discussion of the highly successful single product outsourcing innovation.
it has evolved from impact of politics on firms firm, RIM and the Blackberry. New management minicase on
prior unsuccessful strategies. discretion, including example of Brand new (2006) examples of high tech fabrics. (The case asks
Updated situation (2006) of Maryland Legislatures decision risk faced by single product firms. students to consider
American Express portfolio of in 2006 to require companies Brand new (2006) example of entrepreneurial opportunities
products targeted to specific such as Wal-Mart to provide product differentiation, referring in this developing area and to
customer groups. health insurance to employees. to United Airlines conscious consider whether the blendings of
Updated situation to what is Update of situation of Microsoft decision not to compete on price technology and fabric are
happening to GM (2006) and (2006) concerning antitrust cases for passengers but on amenities. inventions or innovations.)
problems with recent GM against it. Brand new (2006) example of Example added of entrepreneur
strategies. Brand new discussion of intense competition between who is now president of a virtual
Brand new (2006) example of McDonalds attempt (2006) to Blockbuster Inc. and Netflix, Inc. reality company.
strategic imitation referring to change its image of junk food Updated (2006) information on Updated revenue and
introduction of organic products in France as well as U.S.A. the aftermath of Sarbanes-Oxley, employment level reported
by supermarket chains (such as Brand new story of how a reborn and how it has affected in Management Close-Up of Dell
Frys and Safeway) putting a dent AT&T (2006) plans to move corporations. Computer.
on the market niche of Whole aggressively into TV, web, and New discussion on how what Management Close-Up of E-ink
Foods. wireless services. This is a great may be good for some updated to include receipt of
Updated situation with Total, top recent example of adaptation. stakeholders may be damaging to 2005 Best of Small Tech award.
selling toothpaste in US. Brand new story (2006) of other stakeholders, including Updates on statistics including
Brand new discussion of how pressures that relative newcomer brand new example of hospitals. number of new businesses,
several emerging countries are Google is putting on Yahoo, Five brand new figures were number of jobs created by new
becoming first world in their surpassing it on advertising sales. added as a map to guide students start-ups, and business
innovation capabilities. Brand new (2006) examples of through what is a difficult and ownership levels for minorities
Brand new example of strategic alliances and their comprehensive chapter. and females.
competitive pressures, using as reasons, including Sony and All Management Close Ups boxes The concepts of innovation and
an illustration how Wal- Koreas Samsung. were replaced with 2005-2006 invention are now differentiated
Mart in 2006 is putting a big dent Update of the situation of Kodak examples. (with the Segway people mover
on earnings of Best Buy and (2006) as it tried to move from All Management Mini-Cases and being more of an invention while
Circuit City by offering half price film to digital. Also, brand new Collaborative Learning Case are the simple disposable diaper is
warranties (which represent half (2006) example of the impact of brand new, replacing prior ones. more of an innovation).
of Best Buy and Circuit City technology by discussing how Brand new SWOT analysis Skill Increasing importance of
earnings). musical downloads has greatly Building Box created, replacing innovation is discussed. The
Brand new example of how even depressed CD sales. old SWOT analysis Skill Building inclusion of imagination to
Wal-Mart is vulnerable to attack, Brand new (2006) example of risk Exercise. measure leaders at GE is cited
in this case by Google (2006 of price wars, describing what and the customer-driven
vintage story). happened to Independence Air as innovation process at Procter &

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management 3e preface | xvii

the 3rd edition


Gamble is discussed. 9.1 that examines how Microsoft semiskilled jobs by Hispanics. targeting Hispanics, saving labor
Googles formula for managing decided to re-organize itself in Discussion of recent survey costs by penalizing older workers,
to maintain an innovative culture 2005 in order to increase its (2006) revealing that Asian and how women are making
is cited. ability to make entrepreneurial Americans still feel like forever inroads in what used to be all
decisions and respond to foreigners. male occupations, in this case
Chapter 9 competitors moves. New figures on income of Asian firefighters.
American households being much All of the Management Mini-
A paragraph description of the
Chapter 10 higher than that of whites. Cases and Collaborative Learning
conglomerate form of product Recognition that some Exercises have been replaced
based divisional structure is New example of effective use of organizations are starting to with new ones, 2005-2006
added to the text. orientation and training at Baptist provide assistance for parents of vintage. The skill building
A new figure (figure 9.6) HealthCare. children with disabilities. exercise on how to deal with
that provides a schematic of the New discussion of how incentives New data on international stereotypes has been completely
conglomerate based organization can help strategic objectives but migrants coming to USA as replaced.
structure. often raise potential ethical well as Western Europe. Two brand new figures have been
A new section in the text about issues, including examples from New discussion of how Hispanics added to summarize material and
the strategic factor of technology 2005-2006. are not staying in segregated break text, Figure 11.2 and Figure
and how it influences ALL Management Close Ups were areas by dispersing throughout 11.3.
organization design. A typology replaced with 2005-2006 vintage the country. One brand new section of chapter
of different technologies that stories and new firms. New discussion on health care has been written for
affect organization design is ALL Management Mini-Cases debate (2006), as it pertains to undocumented workers.
given. The idea for this new and Individual/Collaborative older employees. One brand new figure (Figure
section was provided by one of Learning Cases were replaced Updated discussion of religious 11.6) has been added containing
the reviewers of an earlier edition with 2005-2006 vintage stories tolerance and conflict, referring to 2006 recommendations by
of the text. and new. Paris riots in 2005 and the Society for Human Resource
A new figure that illustrates widespread protests by Muslim Management on diversity training.
the strategic factors that Chapter 11 believers in 2006 in response to
influence organization design.
The idea for this new figure came Discussion (2006) vintage of
what they see as insensitivity to Chapter 12
their faith.
from a reviewer. why occupational segregation is Figure added (per reviewer
Totally brand new section on
A new figure that shows how still important for women. comment) that graphically depicts
undocumented workers (with
organization structures can vary Discussion of new research goal setting process.
many 2005-2006 brand new
from mechanistic to organic on appearing in Academy of Figure added that portrays
references).
a continuum. The idea for this Management Journal (2005) cascading goals.
Brand new discussion (2006)
new figure came from a reviewer. showing that power distance New management minicase
of women entering occupations
A new example of acquisitions affects the benefits of team on the motivational impact of
previously reserved for men.
made by Oracle in 2004 and heterogeneity internationally. recognition.
Updated data (2006 vintage) on
2005 that spent over $15 Discussion of why CEOs believe New Managers Checkup
professional women who drop
billion to buy PeopleSoft and diversity is important, including - applies expectancy model to
from labor force.
Siebel Systems software 2006 quotation by CEO of assessing students motivation to
Brand new discussion (2006) of
companies. PriceWaterhouse Coopers, LLP. manage.
issues that should be considered
An update of the Sara Lee Update (2006) of why many New internet exercise focused on
in diversity training.
Management close up that blacks believe there is still racial goal setting.
Tie back to the IBMs opening
indicates how Sara Lee continues discrimination in the corporate Recent (05) survey finding
vignette in the conclusions
to re-organize its structure in world and a more recent regarding importance of intrinsic
All of the Management Close
2005. phenomena of African-Americans factors to career satisfaction and
Ups were replaced with brand
A new Management Mini-case feeling displaced in unskilled/ retention.
new ones. These include banks
continued

gom2743x_FM(viii-xxiii).indd 11 8/24/06 1:19:16 PM


xviii | preface management 3e

Whats NEW!

Applied implications of equity environment, while another text that describes the formation to consumer e-commerce
theory for managing workers approach focuses on building the of cliques which are informal strategies used at big box stores
are now discussed (per reviewer soft skills of employees. social groups which can disrupt such as Target, Lowes and Wal-
suggestion). A new Internet exercise has the flow of communication unless Mart.
been added (Internet exercise this problem is recognized as a New Management Minicase 18.1
Chapter 13 14.1). The exercise asks the communication barrier and that examines Online Knowledge
students to visit the Taco Bell positive steps taken by managers Sharing at Xerox - an extended
New Managers Notebook added website and view how teamwork to deal with this situation. illustration of a knowledge
on practical leadership skills. skills are deeply embedded in A new Minicase 15.1 is provided sharing system and how it
Opening vignette revised and the career path of all the that explains the trend of the provides better service to
updated. (It now focuses on positions at Taco Bell. As one use of employee blogs as customers.
Nissan and the leadership of advances along the career path unofficial communication New Management Minicase
Carlos Ghosn.) one can observe that different channels where employees 18.2 that examines Dun and
team behaviors become more can share their candid feelings Bradstreet Use E-Commerce to
Chapter 14 prominent in performing the and attitudes about the company Sell Financial Services and how
expected role related to the job. without worrying about the use of e-commerce provides
There is a new opening vignette
management retribution for valuable marketing information
on rapid-response teams that
save lives at Tenet Healthcare
Chapter 15 expressing their true feelings. that can be used to improve
The case explores both current products and services
Corporation. New critical thinking A new opening vignette: Call opportunities and threats that and suggest ideas for new ones.
questions and new Concluding center jobs are outsourced to should be of concern to New Managers Checkup 18.1
Thoughts that answer the critical the home thanks to broadband managers concerning the use of - examines the ethical use of the
thinking questions at the end of communications technology. employee blogs. corporate computer. Individuals
the chapter have been provided. New critical thinking questions who score high on this self-
A new figure (Figure 14.2)
has been added that provides
for the vignette and new
Chapter 17 assessment are likely to have
Concluding Thoughts are written developed good ethical judgment
diagrams that illustrate the three to correspond to the new opening Management Close-Up of within the context of using the
major types of interdependence: vignette feature for chap. 15. a shortage for a new drug was corporate computer.
pooled, sequential, and reciprocal A new figure 15.2 is provided updated with 06 info.
interdependence. that visually shows organizational Discussion of Kanban system
New content has been added communication patterns including expanded and updated.
that enriches the section downward, upward and horizontal
on conflict management. The
difference between task conflict
communication. Chapter 18
New text content concerning
and relationship conflict is electronic communication as New content on Knowledge
explained that contributes to pertains to e-mail is provided Management Systems (KMS)
the understanding of functional that discusses the use of smilies used for storing and retrieving
and dysfunctional conflict. or emoticons that are symbols organizational knowledge.
The idea for this new content was that represent different emotions New content on Customer
provided by reviewers of the text. and used at the end of text Relationship Management (CRM)
A new Management Minicase sentences to clarify the emotional systems that maintain data about
14.1 has been added. This content of a message. customers and all their
minicase looks at different A new figure 15.4 that provides interactions with an organization.
approaches that companies illustrations of smilies that are A new Figure 18.2 that provides a
use to encourage teamwork and used as symbols for emotions in diagram of a Customer
collaborative behavior among the email messages. Relationship Management system
employees. One approach New content about informal (CRM).
focuses on changing the reward communication is added to the Additional examples of business

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management 3e preface | xix

Supplements
Instructor Supplements other External Environment, Communication, Diversity, Group
Dynamics, Individual Dynamics, Production, and IT. Previous
Instructors Resource CD-ROM
designations aligning questions with Learning Objectives,
ISBN 0073027472 boxes and features still exist as well.
Allowing instructors to create a customized multimedia
presentation, this all-in-one resource incorporates the
Computerized Test Bank, PowerPoint Slides, Instructors
PowerPoint slides
Resource Guide, downloaded figures from the text, and links Organized in an outline format, and containing additional
to the Online Learning Center. material, the powerpoint presentation slides number 20-
25 per chapter. All of the above can also be found in the
Instructor Resources section of the OLC.
Instructors Resource Guide and Video
Manual
To help with organizing your classroom presentation, this
DVD format Videos
supplement contains extensive chapter-by-chapter lecture ISBN 0073027502
outline notes, chapter overviews, tips for teaching difficult Three sets of video are available with this text. One DVD
topics, and highlighted key terms. It also includes embedded package provides you with two set of video (1) End of Chapter
powerpoint slide notations, alternative examples for difficult video: Each chapter has a corresponding video that ties in with
topics, answers to the box questions and end-of-chapter chapter topics, supplemented with notes and information in the
material, and a guide to using the videos. Instructors Resource Guide. (2) The Entrepreneurial Manager
video: In text video cases are supported with video to connect
chapter concepts to how theyve been applied successfully in
Group and Video Resource Manual: An
entrepreneurial ventures and small businesses. Students are able
Instructors Guide to an Active Classroom
to access the videos on the Online Learning Center.
(in print 0073044342 or online at
The third set, the Managers Hot Seat collection of video
www.mhhe.com/mobmanual ) materials are linked to from within this texts Online Learning
This manual created for instructors contains everything needed Center www.mhhe.com/gomez3e and available at
to successfully integrate activities into the classroom. It includes http://www.mhhe.com/MHS.
a menu of items to use as teaching tools in class. All of our
self-assessment exercises, Test Your Knowledge quizzes, group
exercises, and Managers Hot Seat exercises are located in this
Student Supplements
one manual along with teaching notes and PowerPoint slides to Online Learning Center (OLC)
use in class. Group exercises include everything you would need More and more students are studying online. Thats why
to use the exercise in class handouts, figures, etc. we offer an Online Learning Center (OLC) that follows
Management chapter by chapter. It doesnt require any
building or maintenance on your part. Its ready to go the
This manual is organized into 25 topics like ethics, decision-
moment you and your students type in the URL.
making, change and leadership for easy inclusion in your lecture.
A matrix is included at the front of the manual that references As your students study, they can refer to the OLC Website for
each resource by topic. Students access all of the exercises and such benefits as:
self-assessments on their textbooks website. The Managers Internet-based activities
Hot Seat exercises are located online at www.mhhe.com/MHS
Self-grading quizzes
Learning objectives
Test Bank Videos and video quizzes
Weve aligned our Testbank with Blooms Taxonomy and new
AACSB guidelines, tagging each question according to the
applicable knowledge and skills areas. AACSB categories
include Global, Ethics and Social Responsibility, Legal and

gom2743x_FM(viii-xxiii).indd 13 8/24/06 1:19:40 PM


xx | preface management 3e

Reviewers
We are very grateful to Kelly 1st Edition Reviewers Kristin Backhaus, State University
Charles Beavin, Miami-Dade CollegeNew Paltz
Lowery, Sponsoring Editor, Community College Mark Bagshaw, Marietta College
Gunther S. Boroschek, University of Kevin Baker, Roanoke College
and John Biernat, Editorial MassachusettsBoston Mark Baker, Illinois State University
Ken Dunegan, Cleveland State John Bedient, Albion College
Director, at McGraw-Hill/Irwin University James Bell, SouthweSt Texas State
for their continuing commit- Janice M. Feldbauer, Austin University
Community College Toni Bell, Williston State College
ment to our book and making William Jedlicka, Harper College Richard Benedetto, Merrimack College
Jon Kalinowski, Mankato State Ellen Benowitz, Mercer Co
it a reality. We also appreci- University Community College
Joan Keeley, Washington State Dan Benson, Kutztown University of
ate the efforts of Christine University Pennsylvania
Stephen T. Margulis, Grand Valley
Scheid, Senior Developmental State University
Bill Bergman, California State
UniversityChico
Editor; Susanne Riedell, J. L. Morrow, Jr., Mississippi State Sharon Berner, Manhattan Christian
University College
Senior Project Manager; Nga T. Nguyen, Temple University Danielle Beu, Louisiana Tech
Carl L. Swanson, University of North University
Debra Sylvester, Production Texas Wesley Bitters, Utah Valley State
James R. Terborg, University of CollegeOrem
Supervisor; Adam Rooke, Oregon Don Boyer, Jefferson College
Kenneth R. Thompson, DePaul
Senior Designer; Jeremy Bill Brown, Montana State
University UniversityBozeman
Chesharek, photo research Walter Wheatley, University of West James Browne, University of Southern
Florida Colorado
coordinator. Rochelle Brunson, Alvin Community
2nd Edition Reviewers College
Dave Adams, Manhattanville College Diane Caggiano, Fitchburg State
Cheryl Adkins, Longwood University College
Baltasar Allende, Sul Ross State Elizabeth Cameron, Alma College
UniversityAlpine Anthony Cantarella, Murray State
Joseph Anderson, Northern Arizona University
University James Carlson, Manatee Community
Allen Amason, University of Georgia CollegeBradenton
M Ruhul Amin, Bloomsburg Nancy Carr, Community College of
University of Pennsylvania Philadelphia
Michael Avery, Northwestern College Lesley Casula, Lord Fairfax
Barry Axe, Florida Atlantic Community College
UniversityBoca Raton Denise Chachere, St. Louis University
Harold Babson, Columbus State Aruna Chandra, Indiana State
Community College UniversityTerre Haute
Richard Bacha, Pennsylvania State Bruce Charnov, Hofstra University
UniversityYork

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management 3e preface | xxi

Walter Childs, Pennsylvania State Monique Forte, Stetson University David Herzog, St. Louis Community
UniversityAbington Mark Fox, Indiana UniversitySouth CollegeFlors Valley
Jack Chirch, Hampton University Bend James Hess, Ivy Tech State CollegeFort
Janet Ciccarelli, Herkimer County William Fox, Brenau University Wayne
Community CollegeHerkimer Jennifer Frazier, James Madison Dorothy Hetmer-Hinds, Trinity Valley
Tony Cioffi, Lorain County Community University Community College
College Pat Fuller, Brevard Community College Bob Hoerber, Westminster College
Alfred Colonies, Community College of Titusville David Holloman, Victor Valley College
Rhode IslandFlanagan Richard Gayer, Antelope Valley College John Howery, Lindsey Wilson College
Dennis Conley, University of Nebraska Peter Georgelas, Bridgewater State College Fred Hughes, Faulkner University
Lincoln Carmine Gibaldi, St. John's University Alvin Hwang, Pace University
Suzanne Crampton, Grand Valley State Jamaica Lynn Isvik, Upper Iowa UniveFayette
University Carol Gilmore, University of Maine Joe Izzo, AldersonBroaddus College
Barbara Dalby, University of Mary Catherine Giunta, Seton Hill College Elizabeth Jackson, Keystone College
Hardin Baylor
Norma Givens, Fort Valley State Donna Jarrell, WeSt Virginia State
David Danforth, Bethel College University College
Ajay Das, Bernard M. Baruch College Connie Golden, Lakeland Community Tom Jay, Flathead Valley Community
Miles Davis, Shenandoah University College CollegeKalispell
Dave Day, Columbia CollegeColumbia Luis Gonzalez, Bloomfield College Velma Jesser, Lane Community College
Gita De Souza, Pennsylvania State Hugh Graham, Loras College Jack Johnson, Cosumnes River College
UniversityDelaware Campus Wesley Green, Lindsey Wilson College Sharon Johnson, Cedarville University
Tom Deckelman, Owens Community Mark Grimes, Georgia Southwestern State Jordan Kaplan, Long Island University
College University Brooklyn
Paul Dellinger, Western Piedmont Allison Grindle, Messiah College Joseph Kavanaugh, Sam Houston State
Community College
Douglas Guthe, University of North University
Kate Demarest, Carroll Community CarolinaChapel Hill George Kelley, Erie Community College
College
Dave Hall, Saginaw Valley State City CampusBuffalo
Mike Drafke, College of Dupage University Claire Kent, Mary Baldwin College
Sally Dresdow, University of Wisconsin Robert Hanna, California State Sara Kiser, Alabama State University
Green Bay UniversityNorthridge Judith Kizzie, Clinton Community College
Linda Duncan, Arkansas State Roberta Hanson, Metro State College of
UniversityNewport Tom Knapke, Wright State University
Denver Celina
Wendy Eager, Eastern Washington James Harbin, Texas A & M University
University Margareta Knopik, College of St. Mary
Texarkana
Ellen Fagenson Eland, George Mason Dennis Kovach, Community College
Bob Hatfield, Morehead State University Allegheny City NPittsburgh
University
Carolyn Hatton, Cincinnati State Tech & Kenneth Kovach, University of
Ray Eldridge, FreedHardeman Community College
University MarylandCollege Park
Ellis Hayes, Wingate University Subodh Kulkarni, Howard University
Elizabeth Evans, Concordia University
Brad Hays, North Central State College Doug Laher, Whitworth College
Steve Farner, Bellevue University Ot112
Judson Faurer, Metro State College of Lowell Lamberton, Central Oregon
Samuel Hazen, Tarleton State University Community College
Denver
Jeff Hefel, St. Mary's University Patrick Langan, Wartburg College
Lou Firenze, Northwood University
Gary Hensel, Mc Henry County College John Leblanc, Cedarville University
Paul Fisher, Rogue Community College
James Herbert, Kennesaw State Martin Lecker, Rockland Community
David Foote, Middle Tennessee State University
University College
Ronald Herrick, Mesa Community College

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xxii | preface management 3e

Reviewers
Robert Leonard, Lebanon Valley College Mark Moore, St. Cloud State Carl Poch, Northern Illinois University
Andrea Licari, St. John's University University Brian Porter, Hope College
Jamaica Bill Morgan, Felician College Larry Potter, University of Maine
Benyamin Lichtenstein, University of Jaideep Motwani, Grand Valley State Presque Isle
Hartford University Paula Potter, Western Kentucky
Meilee Lin, State University College Peter Moutsatson, Montcalm University
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Tom List, Finlandia University Carolyn Mueller, Stetson University Michael Provitera, St. Peters College
Paul Lister, Eureka College David Murphy, Madisonville Richard Raspen, Wilkes University
Woody Liswood, Sierra Nevada College Community College Nancy Ray-Mitchell, McLennan
Thomas Lloyd, Westmoreland Tom Murphy, Ozarks Technical Community College
Community CollegeYoungwood Community College Doug Reed, University of Pittsburg
Bruce Locker, Southwestern Oregon Brian Murray, University of Dallas Johnstown
Community College Robert Nale, Coastal Carolina Bob Reese, Illinois Valley Community
Victor Lopez, SUNYDelhi University College
Tom Loughman, Columbus State Maria Nathan, Lynchburg College Erella Regev, Montclair State
University Chris Neck, Virginia Polytechnic University
Richard Lowery, Bowie State Institute Clint Relyea, Arkansas State
University Albert Novak, St. Vincent College UniversityState University
Barbara Luck, Jackson Community John O'Brian, Adams State College Danny Rhodes, Anderson College
College Ronald O'Neal, Camden County Shelton Rhodes, Bowie State University
William Lyke, Webster University College Rick Ringer, Illinois State University
375 Mssq/Mse David Olson, California State Orlando Roybal, Northern New Mexico
Cheryl Macon, Butler County UniversityBakersfield Community CollegeEspaol
Community College Floyd Ormsbee, State University Terry Rumker, Ashland University
Zam Malik, Governors State University CollegePotsdam Cyndy Ruszkowski, Illinois State
Joseph Manno, Montgomery College Pam Pack, Pikeville College University
Rockville Ranjna Patel, Bethune Cookman Tracey Ryan, Longwood University
Santo Marabella, Moravian College College James Salvucci, Curry College
Michel Marette, Northern Virginia John Paxton, Wayne State College Hindy Schachter, New Jersey Institute
Community CollegeLoudon Campus Michael Pepper, Transylvania of Technology
Jackie Mayfield, Texas A & M University Rebecca Schaupp, Fairmont State
University International Nicholas Peppes, St. Louis Community College
Martha Mc Creery, Rend Lake College CollegeForest Park Gerald Schoenfeld, Florida Gulf Coast
Loretta McAdam, Seminole Community Donna Perkins, University of University
CollegeSanford WisconsinPlatteville Shirley Schooley, Birmingham Southern
Tom McFarland, Mt. San Antonio Sheila Petcavage, Cuyahoga College
College Community College WesternParma Greg Schultz, Carroll College
Michael Messina, Gannon Barbara Petzall, Maryville University Marian Schultz, The University of
UniversityErie Jim Pfister, St. Petersburg College West Florida
Stuart Milne, Georgia Institute of Clearwater Michael Schultz, Menlo College
Technology Eustace Phillip, Emmanuel College Connie Schwass, West Shore
Barbara Minsky, Troy State Jeff Phillips, Thomas College Community College
UniversityDothan Allayne Pizzolato, Nicholls State Mark Seabright, Western Oregon
Carol Moore, California State University University
University Hayward

gom2743x_FM(viii-xxiii).indd 16 8/24/06 1:20:15 PM


management 3e preface | xxiii

Pat Setlik, William Rainey Harper Barry Vanhook, Arizona State Ray Zagorski, Kenai Peninsula
College UniversityTempe Community College
Richard Shapiro, Cuyahoga Community Gina Vega, Merrimack College Austin Zekeri, Lane College
CollegeMetroCleveland Roger Volkema, American University Jason Zimmerman, South Dakota State
Paul Shibelski, Trinity College Cheryl Waddington, Wayne State University
Ted Shore, Kennesaw State University College
Marion Sillah, South Carolina State Betty Wanielista, Valencia Community 3rd Edition Reviewers
University CollegeEast Campus Randall G. Sleeth, Virginia
Cynthia Simerly, Lakeland Community Gary Ward, Reedley Community Commonwealth University
College College Peggy Brewer, Eastern Kentucky
Roy Simerly, East Carolina University William Ward, Susquehanna University
Richard Slovacek, North Central University Michael Buckley, University of
College John Washbush, University of Oklahoma
James Smith, Rocky Mountain College WisconsinWhitewater Kevin Carlson, Virginia Tech
Nellie Smith, Rust College Harry Waters, California State University
Paul Smith, Mars Hill College UniversityHayward Bruce Charnov, Hofstra University
Andrea Smith-Hunter, Siena College William Waxman, Edison Community Shirley Fedorovich, Embry-Riddle
College University
R. Spear, University of Idaho
Mark Weber, University of Minn/3 Peter Hulten, Texas Weslyan
Vernon Stauble, California State
150 Carsmgmt University
Polytechnic UniversityPomona
Steve Welch, West Chester University Edward Johnson, University of North
Jeff Strom, Va Western Community
of Pennsylvania Florida
College
Richard Wertz, Concordia University Jeffrey Podoshen, Franklin and
Mary Kay Sullivan, Maryville College
Kenneth Wheeler, University of Texas Marshall College
Harry Sweet, University of Mary
Arlinton Roy Iraggi, New York City College of
Hardin Baylor
David White, Southwest Missouri State Technology
James Swenson, Minnesota State
UniversityWest Plains Kelly Ottman, University of
University Moorhead
Kathleen White, Macmurray College Wisconsin-Milwaukee
Sarina Swindell, Tarleton State
University Sam White, University of Colorado Sheila Petcavage, Cuyahoga
Colorado Springs Community College
Patricia Tadlock, Horry Georgetown
Tech Col Ellen Whitener, University of Xiang Yi, Western Illinois University
VirginiaCharlottesville Chad Higgins, University of
Robert Tansky, St. Clair County
Community College Timothy Wiedman, Thomas Nelson Washington
Community College Dennis Brode, Sinclair Community
Virginia Taylor, William Paterson
University Dave Wilderman, Wabash Valley College
College Geoffrey Love, University of Illinois
Ira Teich, Yeshiva University
Ethlyn Williams, University of South
Frank Titlow, St. Petersburg College
Florida
Ricardo Trujillo, Red Rocks Community
Kathy Wilson, North Carolina
College
Wesleyan College
Richard Tyler, Anne Arundel
Laura Wolfe, Louisiana State
Community CollegeArnold
UniversityBaton Rouge
Anthony Urbaniak, Northern State
Colette Wolfson, Ivy Tech State
University
CollegeSouth Bend
Matthew Valle, Elon University
Michael Yahr, Robert Morris College

gom2743x_FM(viii-xxiii).indd 17 8/24/06 1:20:26 PM