Introduction to Management

Instructor: Syed M. Zubair Azam

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Topics to be explored
1. What Management is? What its benefits are? 2. Seven challenges to being an exceptional manager 3. What managers do? 4. Pyramid Power: Levels and areas of Management

5. Roles managers must play successfully

6. The skills exceptional managers need www.Twitter.com/syedzubairazam
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Management Defined
the pursuit of organizational goals efficiently and effectively (Konicki & Williams, 2011).

Getting work done from others (Follet, M. P)

The Process of Planning, organizing, leading

and controlling the organizational resources to

meet/fulfill organizational goals effectively and efficiently.
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What is a Process?
Output of Activity 1 Is Input of activity 2 Output of Activity 2 Is Input of activity 3

Activity 1

Task 1 Task 2

Activity 2

Task 1 Task 2

Activity 3

Task 1 Task 2

Process: combination of different activities arranged in a sequence. Activity: Sequential or Random or concurrent Combination of different Tasks. Task: a single work being performed.
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What are organizational resources?

Financial resources Physical resources Human resources Informational resources

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Example of Resources
Organization ADNOC Human Resources Drilling platform, Workers, Corporate Executives Faculty Administrative Staff Police officers Municipal employees Financial Resources Profits Stockholder investments Alumni contributions Government grants Tax revenue Government grants Physical Resources Refineries Office buildings Computers Campus facilities Sanitation equipment Municipal buildings Information Resources Sales forecasts OPEC Proclamations Research reports Government publications Economic forecasts Crime statistics

SZABIST

Dubai City

Carrefour

Grocery clerks Bookkeeper

Profits Owner investment

Building Display shelving

Price lists from suppliers Newspaper ads for competitors

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Organizational Goals
Short-term goals Long-term goals Goals necessary to achieve in order to be called successful; (The Bottom-Line)
Profitability Customer retention Employee Happiness Culture of continuous Improvement Integrity
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Efficiency vs. Effectiveness

Effectiveness is simply meeting the ends or goals the organization is trying to achieve. Efficiency is the means (Resources) of attaining the organizations goals. It is simply achieving the goals by using the minimum level of Means or resources.

Effective organizations achieve results, make the right decisions, and successfully carry them out so that the goals are achieved

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Efficient organizations use resources like people, money, and raw materials wisely and cost effectively 8

What Managers Do: The Four Principal Functions

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Figure: The Management Process

Star Managers

The scarcest, most valuable resource in business is no longer financial capital It's talent.

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ORGANIZATIONS VALUE MANAGERS

Good managers create value through the multiplier effect where their influence on the organization is multiplied beyond what could be achieved by someone acting alone The rewards of being an exceptional manager typically include good salaries and many benefits. The CEO of Chesapeake Energy earned $112 million (including a $77 million bonus) in 2008
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Financial Rewards
1. Elon Musk (Tesla Motors --- $78.2 million) 2. Larry Ellison (Oracle -- $77 million)

Source: http://business.time.com/2013/12/04/business/slide/top-10-highestpaid-ceos/
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Rewards of Management
you can benefit from management by; and

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Six Challenges To Being A Star Manager

To be a star manager, you need to 1. manage for competitive advantage 2. manage for diversity in race, ethnicity, gender, and so on 3. manage for the effects of globalization 4. manage for the effects of information technology 5. manage to maintain ethical standards 6. manage for the achievement of your own happiness and lifetime goals
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CHALLENGE # 1: MANAGING FOR COMPETITIVE ADVANTAGESTAYING AHEAD OF RIVALS

Competitive Advantage is the ability of an organization to produce goods or services more efficiently than competitors do, thereby outperforming them
Dependability Speed Flexibility

Quality

Competitive Advantage

Cost
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CHALLENGE # 2: MANAGING FOR DIVERSITYTHE FUTURE WONT RESEMBLE THE PAST

In the future, managers will be challenged to maximize the contributions of employees that are diverse in gender, age, race, and ethnicity.

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CHALLENGE #3: MANAGING FOR GLOBALIZATION THE EXPANDING MANAGEMENT UNIVERSE

Managing for globalization is a complex, ongoing challenge. It is important for managers to understand how cultural differences affect an organization. In Japan it is considered rude to look directly in the eye for more than a few seconds, and in Greece the hand-waving gesture commonly used in America for goodbye is considered an insult.
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CHALLENGE # 4: MANAGING FOR INFORMATION TECHNOLOGY 77 % of fortune Global companies have Twitter Account. 34 % of High-Tech companies have reduced their

traditional advertising budget to fund digital marketing Initiatives. Companies that generate 1000 FB likes also receive nearly 1400 website visits a day. 800 Million active YouTube users 74 % of brand marketers saw an increase in website traffic after investing just 6 Hours per week in social media. 52 % of Marketers gained customer via Facebook & 35 % via Twitter
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Social Media Statistics

Adults spend 15

hours per week on

Internet

1 Miliion

Twitter accounts created each day

1 Million

New Blogs come online every month

56 % HR
Professionals use Social Networking sites to source candidates

965 Million
Facebook users worldwide

165 Million

14.4 Million
People used Social media to Find a Job

active Twitter Accounts

500 Million
active Mobile Users

55 % have access
over Mobile Web

CHALLENGE #5: MANAGING FOR ETHICAL STANDARDS

Pressure to meet sales, production, and other targets can create ethical dilemmas for managers .

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Business ethics should be taught to Professionals

Instructor: S. M. Zubair Azam

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Business ethics should be taught to Professionals

Deloitte survey of Teens

71 % are prepared to make ethical decisions 38 % feel that sometimes it is necessary to cheat, lie, plagiarize or violence to SUCCEED. 25 % say it is fair to cheat in exams and tests. 69 % agree that ethical people are more successful
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CHALLENGE # 6: MANAGING FOR YOUR OWN HAPPINESS AND LIFE GOALS

Managers need to consider whether meeting the organizations challenges is also personally fulfilling

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Power Pyramids: Levels and Areas of Management

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Power Pyramid: Levels of Management

Top managers make long-term decisions about the overall direction of the organization and establish the objectives, policies, and strategies for it Middle managers implement the policies and plans of the top managers above them and supervise and coordinate the activities of the firstline managers below them First line managers make short-term operating decisions, directing the daily tasks of nonmanagerial personnel
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Power Pyramid: Areas of Management

Functional managers are responsible for just one organizational activity for example Director of Finance general managers are responsible for several organizational activities like Executive Vice President

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Managerial Roles
Henry Mintzberg, in 1960, observed 5 Chief Executives for 1 week. "There was no break in the pace of activity during office hours, The mail (average of 36 pieces per day), telephone calls (average of five per day), and meetings (average of eight) accounted for almost every minute from the moment these executives entered their offices in the morning until they departed in the evening."
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Managerial Roles
Mintzberg Research Reveals that Managers rely more on verbal than on written communication managers work long hours at an intense pace managers work is characterized by fragmentation, brevity, & variety

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Managerial Roles
Interpersonal roles (figurehead, leader, and liaison) involve managers interacting with people inside and outside their work units Informational roles (monitor, disseminator, and spokesperson) require managers to receive and communicate information Decisional roles (entrepreneur, disturbance handler, resource allocator, and negotiator) require managers to make decisions to solve problems or take advantage of opportunities
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1. Interpersonal Roles
Figurehead Role
Show visitors around your company, attend employee birthday parties, and present ethical guidelines to your subordinates. In other words, you perform symbolic tasks that represent your organization.

Leadership Role Liasion Role

Responsible for the actions of your subordinates, since their successes and failures reflect on you. Your leadership is expressed in your decisions about training, motivating, and disciplining people.

you must act like a politician, working with other people outside your work unit and organization to develop alliances that will help you achieve your organization's goals.

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Informational Roles
Monitor Role Disseminator Role
As a monitor, you should be constantly alert for useful information, whether gathered from newspaper stories about the competition or gathered from snippets of conversation with subordinates you meet in the hallway.

Workers complain they never know what's going on? That probably means their supervisor failed in the role of disseminator. Managers need to constantly disseminate important information to employees, as via e-mail and meetings.

Spokesperson Role

You are expected, of course, to be a diplomat, to put the best face on the activities of your work unit or organization to people outside it.

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Decisional Roles
Entrepreneur Role Disturbance Handler
Resource Allocator
Expected to initiate and encourage change and innovation. Idea Generation, Feasibility assessment, executing the Idea. Unforeseen problems-from product defects to international currency crises-require you to be a disturbance handler, fixing problems.

Because you'll never have enough time, money, and so on, you'll need to be a resource allocator, setting priorities about use of resources.

Negotiator Role

To be a manager is to be a continual negotiator, working with others inside and outside the organization to accomplish your goals.
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Managerial Authority
Authority
The right to make decisions, direct others work, and give orders.

Implied authority
The authority exerted by an HR manager by virtue of others knowledge that he or she has access to top management.

Line authority
The authority exerted by an HR manager by directing the activities of the people in his or her own department and in service areas.
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Skills, Exceptional Managers need

Good managers need to have technical skills -the ability to perform a specific job conceptual skills -the ability to think analytically and human skills -the ability to interact with others

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Sources of Management Skills

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Assignment 1
Written Assignment: Best companies (Fortune Magazine) & The Best Performers (The Business Week)
Last Date of Submission
07-March-2014 (Friday).

Article to be studied: How Google Sold its Engineers on Management.

NO Plaigerism please, otherwise assignment will be rejected
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