Management Overview: Chapter 1 Learning Outcomes môn Principle of Management | Trường Đại học Quốc tế, Đại học Quốc gia Thành phố Hồ Chí Minh

OVERVIEW CHAP 1 (LEARNING OUTCOMES)
*Describe management and the kinds of managers found in organizations.
Management encompasses the process of planning, organizing, leading, and controlling
resources (such as people, finances, materials, and technology) to achieve organizational
goals effectively and efficiently. Managers play a central role in guiding and coordinating the
activities of individuals and teams within an organization to ensure that objectives are met
and the organization's mission is fulfilled.
There are various types of managers found in organizations, each with distinct roles,
responsibilities, and areas of focus. Some common types of managers include: 1. Top Managers:
a. Top managers occupy the highest levels of the organizational hierarchy, such as CEOs,
presidents, and executive directors.
b. They are responsible for setting the overall direction and strategic goals of the
organization, establishing policies and guidelines, and overseeing the organization's performance.
c. Top managers focus on long-term planning, decision-making, and representing the
organization to external stakeholders. 2. Middle Managers:
a. Middle managers are situated between top management and frontline employees,
occupying roles such as department heads, division managers, and regional managers.
b. They translate the strategic goals set by top management into actionable plans and
initiatives for their respective areas, coordinating activities, allocating resources, and monitoring performance:
c. Middle managers play a critical role in implementing organizational strategies and
ensuring that objectives are met at the departmental or divisional level.
3. First-Line Managers (also known as Supervisors or Frontline Managers):
a. First-line managers are responsible for directly overseeing the day-to-day activities of non-
managerial employees, such as team leaders, supervisors, and foremen.
b. They are responsible for assigning tasks, providing guidance and support, monitoring
progress, and ensuring that operational objectives are achieved
c. First-line managers play a crucial role in managing individual and team performance,
maintaining productivity and fostering a positive work environment. 4. Functional Managers:
a. Functional managers oversee specific functions or departments within an organization,
such as marketing managers, finance managers, and operations managers.
b. They are responsible for managing activities related to their area of expertise, such as
developing marketing strategies, managing financial resources, or optimizing production processes.
c. Functional managers coordinate with other departments and collaborate with cross-
functional teams to achieve organizational objectives. 5. Project Managers:
a. Project managers are responsible for planning, executing, and overseeing specific projects
within an organization, such as product launches, construction projects, or software development initiatives.
b. They manage project timelines, budgets, and resources, coordinate activities among team
members, and ensure that project objectives are achieved within scope, schedule, and budget constraints.
c. Project managers often work closely with stakeholders and cross-functional teams to
deliver successful project outcomes.
*Explain the four basic management functions.
The four basic management functions are planning, organizing, leading, and controlling.
Let's delve into each of these functions: a. Planning:
• Planning involves setting goals, defining objectives; and developing strategies to achieve
them. It is the foundation of the management process and provides direction for the organization.
• During planning, managers assess current conditions, anticipate future trends, and identify
potential opportunities and threats. They formulate plans to allocate resources effectively,
address challenges, and achieve desired outcomes.
• Planning may oceur at various levels within the organization, including strategie planning at
the top level, tactical planning at the middle level, and operational planning at the frontline level. b. Organizing:
• Organizing tocuses on arranging resources such as people, materials, finances, and
technology in a structured manner to facilitate the implementation of plans and achieve
organizational objectives. • Managers establish organizational structures, define roles and
responsibilities, and create systems and processes to coordinate activities efficiently.
• Organizing ensures that resources are allocated effectively, tasks are assigned appropriately.
and communication flows smoothly within the organization. c. Leading:
• Leading involves influencing and inspiring people to work towards the achievement of
organizational goals. It is about motivating employees, providing direction, and fostering a
positive work environment conducive to collaboration and innovation.
• Effective leadership requires communication skills, empathy, vision, and the ability to
understand and leverage individual and team dynamics.
• Leaders guide and support their teams, empower employees to take ownership of their
work, and create a shared sense of purpose and commitment. d. Controlling:
• Contrelling is the process of monitoring organizational activities, measuring performance
against established standards, and taking corrective action when necessary to ensure that objectives are achieved
• Managers set performance standards, measure actual performance, compare results to
standards, identify deviations, and implement adjustments or improvements as needed.
• Controlling enables managers to evaluate the effectiveness of plans and strategies, identify
areas for improvement, and maintain accountability within the organization.
These four management functions are interrelated and interconnected, forming a continuous
management process that enables organizations to plan, organize, lead, and control their
activities effectively. By engaging in each of these functions systematically and iteratively,
managers can navigate challenges, capitalize on opportunities, and steer their organizations towards success.
*Describe the fundamental management skills and the concept of management as both
science and art. Fundamental Management Skills 1. Technical Skills:
• Technical skills involve proficiency in specific tasks, techniques, or procedures related to a
particular field or industry. These skills are essential for carrying out specialized functions
and understanding the technical aspects of the work.
• For example, a software engineer needs technical skills in programming languages, while
an accountant requires proficiency in financial analysis and reporting. 2. Human Skills:
• Human skills, also known as interpersonal skills or people skills, involve the ability to work
effectively with others, communicate clearly, build relationships, and resolve conflicts.
• These skills are crucial for managing relationships with employces, colleagues, elients, and
stakeholders. They include empathy, emotional intelligence, active listening, and teamwork.
For example, a manager needs human skills to motivate and inspire team members, build
trust and rapport, and navigate interpersonal dynamies within the organization. 3. Conceptual Skills:
• Conceptual skills involve the ability to understand and analyze complex situations, identify
patterns and trends, and think strategically.
• Managers with strong conceptual skills can grasp the big picture, anticipate future
developments, and formulate innovative solutions to organizational challenges.
• These skills are particularly important for top-level managers who are responsible for
setting strategic direction and making high level decisions that affect the entire organization. 4. Decision-Making Skills:
• Decision making skills involve evaluating alternatives, considering risks and benefits, and
making informed choices to achieve organizational goals.
• Effective decision makers gather relevant information, analyze data, weigh potential
outcomes, and assess the implications of their decisions
• Decision making skills are essential at all levels of management, from frontline supervisors
making operational decisions to top executives setting strategic direction.
Management as Science and Art:
Management is often described as both a science and an art due to its blend of systematic
principles and creative practices: 1. Science of Management:
• The scientific aspect of management involves the application of systematic approaches,
theories, principles, and techniques to analyze organizational problems, predict outcomes,
and make evidence based decisions.
• Management science draws on disciplines such as economics, psychology, sociology; and
operations research to develop models, frameworks, and methodologies for managing organizations effectively.
• For cxample, management theories such as scientific management, contingency theory, and
systems theory provide systematic frameworks for understanding and improving
organizational processes and performance. 2. Art of Management:
• The artistic aspect of management emphasizes the creative and intuitive aspects of
leadership, decision making, and problem solving.
• Effective managers must be able to adapt to dynamic and uncertain environments, inspire
and motivate employees, and navigate complex interpersonal relationships.
• The art of management involves leveraging experience, intuition, and judgment to address
unique challenges and opportunities in ways that cannot always be captured by scientific analysis.
• For example, leadership, communication, and negotiation skills are considered artful
aspects of management that require creativity, empathy, and adaptability to effectively lead and inspire others.
*Explain the importance of bistory and theory to managers.
History and theory play crucial roles in informing and guiding managers in their decision
making and leadership processes. Here's why they are important:
1. Leaming from Past Experiences:
a. History provides valuable insights into past successes, failures, and lessons learned within
organizations and industries. By studying historical data, case studies, and organizational
narratives, managers can gain a deeper understanding of what has worked well in the past
and what pitfalls to avoid in the future.
b. Learning from historical experiences allows managers to make more informed decisions
anticipate potential challenges, and adapt strategies based on past outcomes.
2. Understanding Organizational Culture and Context:
a. History shapes organizational culture, values, norms, and practices over time. By
understanding the historical context of their organization, managers can better appreciate the
underlying beliefs, traditions, and customs that influence employee behavior and organizational dynamics.
b. Recognizing and respecting the organization's history helps managers navigate cultural
nuances, build trust and credibility with employees, and align strategies and initiatives with
the organization's identity and heritage.
3. Informing Strategic Planning and Decision Making
a. Theory provides frameworks, models, and conceptual tools for analyzing and
understanding complex organizational phenomena. By studying management theories and
concepts, managers can develop a deeper appreciation of the underlying principles and
dynamics that drive organizational behavior and performance.
b.Theoretical knowledge informs strategic planning and decision making by providing
managers with a systematic approach to diagnosing problems, formulating strategies, and
evaluating potential courses of action. Theory helps managers make sense of the complexities
of the business environment and develop evidence-based solutions to organizational challenges.
4. Promoting Continuous Leaming and Innovation:
a. History and theory promote a culture of continuous learning and innovation within
organizations. By encouraging managers to reflect on past experiences, challenge existing
assumptions, and explore new ideas, they foster a mindset of curiosity, experimentation, and
b. Managers who are well-versed in history and theory are better equipped to adapt to
changing circumstances, anticipate future trends, and drive innovation within their
organizations. They can draw on a rich repository of knowledge and insights to develop
creative solutions to complex problems and identify new opportunities for growth and development.
*Explain the evolution ol management thought through the classical, behavioral, and
quantitative perspectives.
The evolution of management thought can be traced through three primary perspectives:
classical, behavioral, and quantitative. Let's explore each perspective and its key contributions: 1. Classical Perspective :
a. The classical perspective of management emerged during the late 19th and early 20ch
centuries and focused on principles of efficiency, rationality, and formal organizational structure.
b. Scientific Management: Developed by Frederick Winslow Taylor, scientific management
emphasized the application of scientifie methods to improve productivity and efficiency in
industrial settings. Taylor advocated for time and motion studies, standardization of work
processes, and financial incentives to motivate workers.
c. Administrative Management: Henri Fayol proposed administrative principles focusing on
management functions, such as planning, organizing, commanding, coordinating, and
controlling. Fayol emphasized the importance of hierarchical authority, division of labor,
unity of command, and unity of direction in organizational effectiveness.
d. Bureaucratic Management: Max Weber introduced the concept of bureaucracy as an ideal
organizational form characterized by a formal hierarchy, division of labor, clear rules and
procedures, and impersonal relationships. Weber highlighted the importance of rational-
legal authority and bureaucratic efficiency in large organizations. 2. Behavioral Perspective:
a. The behavioral perspective emerged in the mid-20th century in response to criticisms of
the classical approach's emphasis on mechanistic principles and neglect of human factors in organizations.
b.Human Relations Movement: The Hawthorne Studies conducted by Elton Mayo and his
colleagues at the Western Electric Hawthorne Works highlighted the significance of social
and psychological factors in influencing employee behavior and productivity. The studies
revealed the importance of interpersonal relationships, group dynamies, and employee
satisfaction in shaping organizational outeomes.
c. Theory X and Theory Y: Douglas McGregor proposed two contrasting theories of human
behavior in organizations. Theory X views employees as inherently lazy, unmotivated, and
requiring strict control, while Theory Y sees employees as inherently motivated, creative,
and capable of self-direction. McGregor argued for participative management practices that
empower employees and foster intrinsic motivation.
d. Behavioral Science Approach: This approach applied insights from psychology,
sociology. and anthropology to understand individual and group behavior in organizations.
It emphasized the importance of employee attitudes, perceptions, and social dynamics in
shaping organizational effectiveness. 3. Quantitative Perspective:
a. The quantitative perspective emerged in the mid-20th century and emphasized the use of
mathematical and statistical techniques to analyze organizational problems and make informed decisions.
b. Operations Research: Operations research applied mathematical models and optimization
techniques to improve decision making in areas such as production scheduling, inventory
management, and resource allocation.
c. Management Information Systems (MIS): MIS focused on the development and use of
information systems to collect, process, and disseminate data for managerial decision making.
d. It emphasized the role of technology in enhancing organizational efficiency and
effectiveness. Management Science: Management science applied mathematical models and
computer simulations to analyze complex management problems, such as project
management. forecasting, and decision analysis. It provided managers with quantitative
tools and techniques to optimize decision making in uncertain and dynamic environments.
*Discuss the key contemporary management perspectives represented by the systems aud
contingency perspectives.
The systems and contingency perspectives are two key contemporary management
perspectives that offer valuable insights into how organizations function and how managers
can effectively navigate complex and dynamic environments. Let's discuss each perspective: 1. Systems Perspective:
a. The systems perspective views organizations as complex and interconnected systems
composed of various interrelated parts, including people, processes, structures, technology, and the external environment.
b. Organizations are seen as open systems that interact with and are influenced by their
external environment, exchanging inputs and outputs with the environment to achieve organizational goals.
c. Key concepts of the systems perspective include:
i. Input-Transformation Output (ITO) Model: Organizations receive inputs from the
environment, transform them through internal processes, and produce outputs that are sent back to the environment.
ii. Subsystem Interdependence: Subsystems within an organization, such as departments
or teams, are interdependent and interact with each other to achieve common goals. fit.
iii. Feedback Loops: Organizations utilize feedhack mechanisms to monitor performance,
identify deviations from goals, and make adjustments to maintain stability and adapt to changes in the environment.
d. The systems perspective emphasizes the importance of understanding the holistic nature
of organizations, recognizing the interconnectedness of different components, and managing
organizations as dynamic and adaptive systems. 2. Contingency Perspective:
a. The contingency perspective posits that there is no one-size fits-all approach to
management. and the effectiveness of managerial practices depends on the specific situation
or context in which they are applied.
b. Organizations operate in diverse environments characterized by various internal and
external factors, such as technology, culture, size, structure, and market conditions.
c. Rey concepts of the contingency perspective include:
i. Contingency Theory: Contingency theorists argue that management practices should be
contingent upon the unique circumstances and requirements of each situation. There is no
universally best way to manage organizations, and managers must adapt their approaches to
fit the specific needs and demands of the situation.
ii. Fit and Flexibility: Effective management involves finding the right fit between
organizational characteristics and environmental conditions. Managers must assess the
degree of fit between organizational structures, strategies, and practices and the demands of
the external environment. Additionally, managers must be flexible and willing to adapt their
approaches as circumstances change.
d. The contingency perspective underscores the importance of situational awareness,
flexibility, and adaptability in managerial decision making. It encourages managers to
analyze the unique characteristics of their organizations and environments and tailor their
strategies and practices accordingly.
*Identify the major challenges and opportunities faced by managers today.
Managers today face a wide range of challenges and opportunities as they navigate the
complexities of the modern business landscape. Some of the major challenges and opportunities include: 1. Globalization:
• Challenge: Increased competition from global markets, cultural differences, and
geopolitical risks pose challenges for managers in terms of market expansion, supply
chain management, and talent acquisition.
• Opportunity: Access to global markets provides opportunities for growth,
diversification, and access to new talent pools. Managers can leverage international
partnerships, outsourcing, and technology to expand their reach and competitiveness. 2. Technology Disruption:
• Challenge: Rapid technological advancements, such as automation, artificial
intelligence, and digitalization, disrupt traditional business models, requiring managers
to adapt quickly to new technologies and business practices.
• Opportunity: Technology offers opportunities for innovation, efficiency gains, and
improved customer experiences. Managers can leverage technology to streamline
processes, enhance productivity, and gain insights from data analyties. 3. Workforce Diversity:
• Challenge: Managing a diverse workforce with different backgrounds, perspectives,
and expectations requires managers to promote inclusivity, mitigate biases, and foster a
culture of respect and collaboration.
• Opportunity: Diversity brings fresh perspectives, creativity, and innovation to
organizations. Managers can leverage diversity to enhance problem-solving, decision-
making, and adaptability to changing market dynamics. 4. Talent Management:
• Challenge: Recruiting, retaining, and developing top talent in a competitive labor
market is a major challenge for managers. Skills shortages, generational differences, and
evolving workforce preferences require managers to rethink traditional approaches to talent management.
• Opportunity: Investing in employee development, promoting a positive work culture,
and offering competitive compensation and benefits can attract and retain high-
performing talent. Managers can also leverage flexible work arrangements and remote
work options to accommodate diverse employee needs. 5. Economic Uncertainty:
• Challenge: Economic volatility, trade tensions, and geopolitical instability create
uncertainty for businesses, affecting investment decisions, consumer behavior, and market demand.
• Opportunity. Agile organizations can capitalize on opportunities in dynamic market
environments by remaining flexible, adaptable, and responsive to changes in the
business landscape. Managers can focus on innovation, cost optimization, and strategie
partnerships to navigate economic challenges and seize new opportunities. 6. Ethical and Social Responsibility:
• Challenge: Increasing serutiny and public demand for ethical business practices and
corporate social responsibility (CSR) require managers to prioritize ethical decision-
making. sustainability, and social impact.
• Opportunity: Embracing ethical and socially responsible practices can enhance brand
reputation, build customer loyalty, and attract top talent. Managers can integrate CSR
initiatives into business strategies, engage with stakeholders, and foster a culture of corporate citizenship.
Questions for Review
1. What are the three basic levels of management that can be identified in most
organizations? How precise are the lines differentiating these levels? In which of the basic
areas do managers work? In most organizations, the three basic levels of management are: 1. Top Management:
● Top management consists of executives such as CEOs, presidents, and vice presidents.
● They are responsible for making strategic decisions, setting overall goals and objectives, and
providing direction for the entire organization.
● Top managers focus on long-term planning, defining the organization's mission and vision,
and establishing policies and guidelines to guide the organization's activities. 2. Middle Management:
● Middle management includes roles such as department heads, division managers, and regional managers.
● They serve as a link between top management and frontline employees, translating strategic
objectives into specific plans and actions for their departments or divisions.
● Middle managers oversee day-to-day operations, coordinate activities within their areas of
responsibility, and ensure that organizational goals are met at the operational level.
3. First-Line Management (also known as Supervisory or Frontline Management):
● First-line management comprises supervisors, team leaders, and foremen who directly oversee non-managerial employees.
● They are responsible for implementing plans and policies established by top and middle
management, as well as supervising the work of frontline employees.
● First-line managers focus on managing the day-to-day activities of their teams, assigning
tasks, providing guidance and feedback, and resolving issues as they arise.
The lines differentiating these levels of management can vary depending on the organization's
size, structure, and culture. In some organizations, the lines may be clearly defined, with distinct
roles, responsibilities, and reporting relationships for each level of management. However, in
other organizations, the lines may be more blurred, with overlapping roles and shared
responsibilities between different levels of management. Managers at all levels work in the following basic areas: 1. Planning:
● Managers engage in the planning process to establish goals, objectives, and strategies for
achieving organizational success.
● Top managers focus on long-term strategic planning, middle managers on tactical planning for
their departments or divisions, and first-line managers on operational planning for day-to-day activities. 2. Organizing:
● Managers organize resources such as people, finances, and materials to support the
organization's goals and plans.
● Top managers design the organizational structure and allocate resources at a high level, while
middle managers organize resources within their departments or divisions, and first-line
managers organize resources at the team or individual level. 3. Leading:
● Managers provide leadership to motivate and guide employees toward achieving organizational objectives.
● They communicate vision and goals, inspire and empower employees, resolve conflicts, and
create a positive work environment conducive to collaboration and productivity.
2.What are the four basic functions that make up the management process? How are they
related to one another?
The four basic functions that make up the management process are: 1. Planning:
● Planning involves setting goals, defining objectives, and developing strategies to achieve them.
● Managers engage in planning to anticipate future opportunities and challenges, allocate
resources effectively, and establish a roadmap for the organization's success.
● Planning provides a framework for decision-making and guides the allocation of resources toward priority areas. 2. Organizing:
● Organizing involves arranging resources such as people, materials, and finances to implement
plans and achieve organizational goals.
● Managers establish organizational structures, allocate responsibilities, and coordinate activities
to ensure that tasks are completed efficiently and effectively.
● Organizing creates clarity around roles and responsibilities, fosters coordination and
collaboration, and promotes the efficient use of resources. 3. Leading:
● Leading involves influencing and inspiring employees to achieve organizational objectives.
● Managers provide direction, guidance, and support to their teams, communicate expectations,
and foster a positive work environment conducive to high performance.
● Leading encompasses motivating employees, resolving conflicts, and promoting teamwork and
collaboration to achieve common goals. 4. Controlling:
● Controlling involves monitoring performance, comparing actual results to planned objectives,
and taking corrective action as needed.
● Managers set performance standards, measure progress against goals, and identify deviations
or discrepancies that require intervention.
● Controlling ensures that plans are implemented effectively, resources are used efficiently, and
organizational objectives are achieved within established parameters.
These four functions are interrelated and interconnected, forming a continuous management process:
● Planning provides the foundation for the management process by establishing goals and
objectives that guide organizational activities.
● Organizing translates the plans developed during the planning process into action by arranging
resources and establishing structures and processes to support goal attainment.
● Leading involves motivating and inspiring employees to execute plans effectively, fostering
engagement, and aligning individual efforts with organizational objectives.
● Controlling ensures that plans are executed according to established standards and objectives,
providing feedback on performance and enabling adjustments to be made as necessary
tomaintain progress toward goals.
3. Identify several of the important skills that help managers succeed. Give an example of
each. How might the importance of different skills vary by level and area within an
organization? Several important skills that help managers succeed include: 1. Communication Skills:
● Example: A manager effectively communicates organizational goals and expectations to
employees, listens actively to their concerns and feedback, and provides clear and concise
instructions to ensure understanding.
● Importance: Communication skills are crucial for all levels of management and across various
areas within an organization. However, the emphasis on different aspects of communication may
vary. For example, top managers may focus more on communicating strategic vision and
direction, while frontline managers may prioritize effective communication with their teams to
ensure task clarity and alignment. 2. Leadership Skills:
● Example: A manager inspires and motivates employees, fosters a positive work culture, and
leads by example through integrity and accountability.
● Importance: Leadership skills are essential at all levels of management, but the specific
leadership qualities valued may differ. For instance, top managers may need visionary leadership
to guide the organization through change, while frontline managers may prioritize hands-on
leadership to support and develop their teams. 3. Problem-Solving Skills:
● Example: A manager identifies root causes of organizational challenges, develops creative
solutions, and implements strategies to overcome obstacles.
● Importance: Problem-solving skills are critical for managers across all levels and areas of an
organization. However, the complexity and scope of problems encountered may vary. Top
managers may deal with strategic or systemic issues, while middle and frontline managers may
focus on operational or interpersonal challenges within their departments or teams. 4. Decision-Making Skills:
● Example: A manager gathers relevant information, evaluates alternatives, considers potential
outcomes, and makes informed decisions aligned with organizational goals.
● Importance: Decision-making skills are essential for managers at all levels to navigate
uncertainties and drive organizational success. The types of decisions made and the level of
autonomy granted may vary by level and area within the organization. Top managers may make
strategic decisions with long-term implications, while frontline managers may make tactical
decisions to address immediate operational needs.
5. Adaptability and Flexibility:
● Example: A manager embraces change, remains resilient in the face of challenges, and adapts
strategies and approaches as needed to meet evolving demands.
● Importance: Adaptability and flexibility are increasingly important in today's fast-paced and
dynamic business environment. Managers at all levels must be able to respond quickly to
changes in market conditions, technology, and customer preferences. However, the specific
challenges and pressures faced may differ by level and area within the organization.
6. Team Building and Collaboration:
● Example: A manager fosters a culture of teamwork, builds cohesive teams, and encourages
collaboration across departments or functions to achieve common goals.
● Importance: Team building and collaboration skills are crucial for managers to leverage the
collective expertise and talents of their teams. While all managers must work effectively with
others, the scale and complexity of collaboration efforts may vary. Middle managers may focus
on cross-functional collaboration, while frontline managers may prioritize team cohesion and
cooperation within their departments or teams.
4. Briefly describe the principles of scientific management and administrative management.
What assumptions do these perspectives make about workers? To what extent are these
assumptions still valid today? 1. Scientific Management:
● Developed by Frederick Winslow Taylor in the late 19th and early 20th centuries. ● Principles:
- Scientifically study each part of a task to determine the most efficient way to perform it.
-Select and train workers to perform tasks using the scientifically determined methods.
-Monitor and provide incentives for workers to ensure they adhere to the prescribed methods and achieve maximum productivity.
● Assumptions about workers:
-Workers are motivated primarily by financial incentives and require close supervision to ensure productivity.
-Workers have limited skills and are best suited to performing repetitive tasks under strict supervision. ● Relevance today:
-While some aspects of scientific management, such as process optimization and efficiency,
remain relevant in certain contexts, the assumptions about workers are widely criticized today.
-Modern perspectives emphasize the importance of empowering and engaging workers,
recognizing their diverse skills and capabilities, and fostering intrinsic motivation through meaningful work and autonomy. 2. Administrative Management:
● Developed by Henri Fayol in the early 20th century. ● Principles:
- Division of work: Divide tasks among workers to increase efficiency and specialization.
- Authority and responsibility: Managers should have the authority to give orders and the
responsibility to ensure they are carried out.
-Discipline: Establish clear rules and consequences to maintain order and discipline in the organization.
-Unity of command: Each employee should receive orders from only one superior to avoid confusion and conflict.
-Unity of direction: Align organizational activities toward common goals and objectives.
● Assumptions about workers:
- Workers are rational and respond to authority, rules, and incentives.
- Workers require clear direction and supervision to ensure they adhere to organizational objectives. ● Relevance today:
- While some principles of administrative management, such as unity of direction and division of
work, remain relevant in organizing and coordinating activities, the assumptions about workers are increasingly challenged.
-Modern management approaches emphasize the importance of collaboration, employee
empowerment, and participative decision-making, recognizing workers as valuable contributors
with diverse skills and perspectives.
In summary, while scientific management and administrative management contributed valuable
insights into organizational efficiency and effectiveness, their assumptions about workers are
increasingly seen as outdated and limited in today's dynamic and complex work environments.
Modern management approaches prioritize employee engagement, empowerment, and
collaboration, recognizing the importance of valuing and leveraging the diverse talents and capabilities of workers.
Questions for Analysis
1. Why is a business organization considered an open system?
A business organization is considered an open system because it interacts with and is influenced
by its external environment. Here's why:
1. Interdependence with the Environment: A business organization relies on inputs from its
external environment, such as raw materials, labor, technology, and capital, to carry out its
operations and achieve its goals. It also outputs goods or services to the external environment,
which are then consumed or used by customers or other organizations.
2. Dynamic Interaction: The external environment of a business organization is dynamic and
constantly changing. Factors such as market trends, economic conditions, technological
advancements, regulatory changes, and societal trends can have a significant impact on the
organization's operations, strategies, and performance.
3. Adaptation and Response: To survive and thrive in a dynamic external environment, business
organizations must adapt and respond to changes effectively. This may involve adjusting
strategies, innovating products or services, reorganizing operations, or entering new markets in
response to external opportunities or threats.
4. Feedback and Learning: Open systems engage in a process of feedback and learning, where
they receive information from the external environment, evaluate their performance, and make
adjustments accordingly. This feedback loop enables organizations to continuously improve and evolve over time.
5. Boundary Spanning: Business organizations interact with various stakeholders in their external
environment, including customers, suppliers, competitors, government agencies, regulatory
bodies, and the broader community. These interactions involve exchanging information,
resources, and influence, shaping the organization's behavior and outcomes.
6. Complexity and Uncertainty: The external environment of a business organization is
characterized by complexity and uncertainty, with multiple interconnected factors and
unpredictable events that can affect the organization's operations and outcomes. Open systems
must navigate this complexity and uncertainty to achieve their objectives effectively.
2. Recall a recent group project or task in which you have participated. Explain how
members of the group displayed each of the managerial skills. 1. Communication Skills:
● Each member effectively communicated their ideas, suggestions, and concerns during
brainstorming sessions and team meetings.
● Clear and concise communication ensured that everyone understood their roles,
responsibilities, and deadlines. 2. Leadership Skills:
● The group leader demonstrated strong leadership by setting a clear vision and direction for the
project, motivating team members, and facilitating collaboration.
● Other members also stepped up as informal leaders by taking initiative, providing guidance,
and supporting their teammates. 3. Problem-Solving Skills:
● When faced with challenges such as limited budget constraints and tight deadlines, the group
collectively brainstormed solutions, evaluated alternatives, and developed a feasible action plan.
● Creative problem-solving techniques were used to overcome obstacles and adapt to changing
circumstances throughout the project. 4. Decision-Making Skills:
● Decisions regarding the campaign's target audience, messaging strategy, and promotional
tactics were made collaboratively, with input from all team members.
● Rational decision-making processes involved gathering relevant information, weighing
alternatives, and considering potential outcomes before reaching consensus.
5. Adaptability and Flexibility:
● As the project progressed, unforeseen changes in market conditions and stakeholder
requirements necessitated adjustments to the campaign strategy.
● Team members demonstrated adaptability by embracing change, revising plans as needed, and
remaining flexible in their approach to meet evolving demands.
6. Team Building and Collaboration:
● The group fostered a supportive and inclusive team culture where members respected each
other's contributions, valued diverse perspectives, and worked together towards common goals.
● Collaborative efforts were evident in tasks such as conducting market research, designing
creative assets, and coordinating promotional activities.
3. The text notes that management is both a science and an art. Recall an interaction you
have had with someone at a higher level in an organization (manager, teacher, group leader,
or the like). In that interaction, how did the individual use science? If he or she did not use
science, what could have been done to use science? In that interaction, how did the
individual use art? If she or he did not use art, what could have been done to use art?
In a recent interaction with a manager in my organization, I observed elements of both science and art in their approach: Science:
During our discussion about a new project, the manager used scientific principles by relying on
data and evidence to inform decision-making. They referenced market research reports, customer
feedback surveys, and sales analytics to assess the feasibility and potential impact of the project.
By grounding their decisions in empirical evidence, the manager demonstrated a scientific
approach to problem-solving and strategy development. Art:
In addition to employing a scientific approach, the manager also demonstrated creativity and
intuition in their decision-making process. They encouraged brainstorming sessions and
welcomed diverse perspectives from team members, fostering a collaborative and innovative
environment. The manager also leveraged their experience and intuition to identify new
opportunities and anticipate potential challenges, demonstrating an artistic flair in their strategic thinking.
If the individual did not use science:
If the manager did not rely on scientific principles in our interaction, they could have benefited
from conducting more rigorous data analysis and research to inform their decisions. This might
involve conducting market studies, gathering customer feedback, and analyzing industry trends
to gain deeper insights into the project's feasibility and potential impact.
If the individual did not use art:
If the manager did not demonstrate artistry in our interaction, they could have fostered a more
creative and collaborative environment by encouraging open dialogue, embracing ambiguity, and
exploring alternative perspectives. This might involve encouraging brainstorming sessions,
facilitating creative problem-solving techniques, and empowering team members to contribute
their unique ideas and insights.
Overall, combining elements of both science and art in management can lead to more informed,
innovative, and effective decision-making. By incorporating data-driven analysis and empirical
evidence (science) with creativity, intuition, and collaboration (art), managers can navigate
complex challenges, seize new opportunities, and drive organizational success.
Questions for Application
1. Watch a movie that involves an organization of some type. The Secret Life of Walter
Mitty, The Avengers, and Up in the Air would all be good choices. Identify as many
management activities and skills as you can.
Let's take "The Secret Life of Walter Mitty" as our movie and identify various management
activities and skills depicted: 1. Leadership Skills:
● Walter Mitty (played by Ben Stiller) demonstrates leadership skills when he takes charge of his
life and embarks on an adventurous journey to track down a missing photograph, showing
determination, resilience, and the ability to inspire others. 2. Problem-Solving Skills:
● Throughout the movie, Walter encounters various challenges and obstacles that require creative
problem-solving skills. For example, he navigates unfamiliar territories, overcomes
communication barriers, and finds innovative solutions to unexpected setbacks. 3. Decision-Making Skills:
● Walter demonstrates decision-making skills when he makes choices that significantly impact
his life, such as deciding to embark on a globe-trotting adventure to find the missing photograph
and pursuing personal fulfillment over societal expectations. 4. Time Management:
● Walter's job as a negative assets manager at Life magazine requires him to manage his time
effectively to meet deadlines and handle multiple tasks simultaneously. His ability to prioritize
and organize his workload is essential for his job performance. 5. Communication Skills:
● Effective communication is crucial for Walter as he interacts with colleagues, navigates
unfamiliar environments, and connects with people from different cultures and backgrounds
during his journey. His ability to convey his thoughts, express his emotions, and build
relationships is essential for his success.
6. Adaptability and Flexibility: