Understand management process
Coordinating people and other resources to achieve goal
material resource: tangible&physical
human resource: most impact, comployee happy: productivity and relationship with customer
financial resource: fund use to meet obligations to investors and coordinator
information: external environment change rapidly -> information about competitor and change to survive
Basic management function
planning: establish goals and how to achieve it
mission: a statement of basic purposes made organization different from others
strategic planning process (outline how plan is implemented): establish major goals and objective and allocate resources
establish goals and objective
- goal (long-term): end result expect 1-10 year period
- objective (small): statement detailing what to accomplish in short period
goals are set in every level (high-> low)
conflict arise among levels but goals must be consistent ...-->balance between conflicting goals, require insight and ability ..eg: marketing (wide-selection) vs. production (limited selection) .-> sol: after the only most popular one
SWOT analysis:
- Strength: internal factor characteristic and core competence (give advangtage over competitors) by attract financial and HR
- Weakness: internal limitations in developing and implementing plans
- Opportunities: favorable condition if properly exploited
- Threat: conditions and barriers prevent from reaching goal
(threat of one can be opportunity for others)
Types of plans
plan: outline of actions intended to accomplish
strategic plan: broadest, for major policy settings and decision making, long-term
tactical plan: smaller scale (1-3yrs) to implement strategic, update periodically
operational plan: implement tactical
contigency plan: alternative action if other is ineffective (disaster, criminal, ethical...)
Organizing the enterprise: grouping resources and activities to accomplish end result effective and efficient
Leading and motivating (HR)
leading: influence people to work toward common goal
motivating: provide reason to work
directing: leading + motivating
Controlling ongoing activities
controlling: evaluate and regulate ongoing activities to ensure goals are achieved
1) setting standard: performance compared
2) measure actual performance: compare with standard, repeated periodically until goal is achieved
3) take corrective action
Kinds of managers
Level of managers
Top manager:guide and control overall, develop organization mission, determine firm strategy
middle manager: implement strategy and major policies from top-manager, develop tactical and operational plan, coordinate and supervise activities of first line manager
First-line manager: coordinate and supervise activities of operating employees, work with and motivating employees, answer questions, solve daily problems
Areas of management specialization
Financial manager: accounting and investment (CEO, president)
Operation managers: manage system convert resource into goods
Marketing managers: exchange of product between organization and its customers, marketing research, product management, advertisement, promotion, sales, distribution
HR managers: HR planning, design system for hiring, training, evaluating, performance, ensure regulation
Administrative managers: overall guide and leadership, not specialized
Skills of managers
Conceptual skill: ability to think in abstract terms, see "big picture", understand how parts works together
eg: optimization of goals
Analytic skill: able to identify problem, generate alternatives and select best one by recognize underlying reasons, address situation and correct initial problem
Interpersonal skill: able to deal with people in and out of organization
Technica skill: specific skill for specialized activity, to train subordinates, answer questions, provide guidance but not perform themselves, not rely on this skill
Communication skill: able to listen, speak and write effectively, presentation, conduct interview, hold press conference, letter...
Leadership (able to influence others, voluntary cooperation)
Formal and informal leadership
formal: authority legit to influence other to work toward the objective
informal and formal: make use of power(grant reward/punish) expert knowledge and charisma
informal may turn group against manager
Style of leadership (collab, negotiate, coach)
should balance interaction with worker, characteristic of worker situation and manager's personality
Aucratic leadership: task-oriented, worker are told without have a say in decision
Participative leadership: all members involved
- consultative leadership: ask opinion but final authority for themselves
- consensus leadership: seek input from others and modify decision on that
- democratic leadership: final authority for the group by vote
Entrepreneurial leadership: personality based, seek to inspire workers to benefit all stakeholder, task-oriented, driven, charismatic, enthusiastic, take initiative, visionary, invest for success
Managerial decision making: choose one alt (in)formally
identify -> generate alt -> select alt -> implement and evaluate
Identify problem/opportunity
problem: discrepancy between actual condition and desired condition, can negative or positive
difficulty:
- preconceptions of problems prevent them from seeking acutal situation, give answer before ask proper questions -> focus on significant issue
- mistakenly analyse by symptom instead of underlying causes
must always prepared, clarify situations, examine case and see absence of variable alter a situation, how individual behavior and value effect the way it is defined
Generating alternatives
open to innovative and obvious answers
techniques:
- brainstorming, encourage to produce as many ideas, everyone must participate
- trial and error
Select an alternative
influence by financial constraints, human and information resources, time limit, legal obstacles, political factors -> must ellective and practical
sometimes combine alternatives
satisfice: situation only adequate, not ideal, when lack time or information
Implement and evaluate the solution
require time, planning, preparation of personel, evaluate of result
evaluate effectiveness: remove the difference between actual and desired result?
- if not, choose:
+) decide to give alt more time
+) adopt another alt
+) start problem identification all over
failure is detrimental