Chapter 1: What is management?

Question 1

Organization

Answer 1

A group of individuals working in a structured fashion to achieve particular goals

Question 2

Organizations are classified into 2 different categories:

Answer 2

1. Profit
2. Nonprofit

Question 3

For-profit organizations

Answer 3

A business or other organization whose primary goal is to make money

Question 4

Non-profit organizations

Answer 4

Public, social, or service organizations that pursue goals for the greater good of a particular segment of society and are not focused on making profits

Question 5

Management

Answer 5

The process of attaining organizational goals through the functions of planning, organizing, leading, and controlling

Question 6

The 4 functions of management:

Answer 6

1. Planning
2. Organizing
3. Leading
4. Controlling

Question 7

Planning

Answer 7

A managerial process in which an organization’s vision, mission, goals, and strategies are identified

Question 8

Organizing

Answer 8

A managerial process in which activities and employees are grouped so tasks can be performed effectively and efficiently

Question 9

Leading

Answer 9

A managerial process in which managers motivate employees to work enthusiastically toward achieving the organization’s vision

Question 10

Control

Answer 10

A managerial process that focuses on monitoring the organization’s progress toward achieving its goals

Question 11

Managerial Factors

Answer 11

Indicators that gauge the proficiency with which managerial functions are performed. They contribute to and measure how well managers preform these functions.

Question 12

Managerial factors include:

Answer 12

1. Organizational performance
2. Resources
3. Effectiveness (a company is achieving its goals with no consideration of cost)
4. Efficiency (using all available resources but selling a product nobody wants)

Question 13

Organizational performance

Answer 13

the managerial factor that relates to correctly setting and attaining organizational goals while maximising the use of resources

Question 14

Resources

Answer 14

the managerial factor that relates to utilizing and combining key possessions to develop pockets of strength.

Question 15

Effectiveness

Answer 15

doing the right things so that appropriate goals are set and achieved through ethical means

Question 16

Efficiency

Answer 16

doing things right by maximizing the value of the organizations resources

Question 17

Competitive Advantage

Answer 17

Factors that set an organization apart from others and provides it with a distinctive edge when it comes to meeting customer needs in the marketplace

Question 18

Levels of management:

Answer 18

1. Upper level Management
2. Middle-Level Management
3. Lower-level Management

Question 19

Upper level Management

Answer 19

Managers develop the overall mission, vision, and strategy for the organisation.

Question 20

Middle-Level Management

Answer 20

implement policies but forth by upper-level managers.

Question 21

Lower-level Management

Answer 21

supervise and coordinate the activities of workers and may work directly with customers.

Question 22

The types of skills needed by managers:

Answer 22

 Technical – the ability to understand the subordinate’s tasks

 Adaptive – demonstrate flexability when unexpected events occurs

 Interpersonal / Interactional - talent to lead and motivate eothers

 Conceptual – ability to see the big picture

 Diagnostic – Identify, react, analyze and solve problems

 Political – network amoung colleagues and employees, amass a power base, improve status and position in organization.

Question 23

Types of skills

Answer 23

Conceptual skills – to see the big picture.

Diagnostic skills – the ability to identify, react and analyse, solving daily problems

Political skills – amass a power base and improve their position in the organization

Question 24

3 Managerial roles

Answer 24

1) Interpersonal roles
2) Informational roles
3) Decisional roles

Question 25

Interpersonal roles

Answer 25

effectively communicate and interact with others

Question 26

Informational roles

Answer 26

effectively acquire and deliver accurate information

Question 27

3) Decisional roles

Answer 27

effectively solve problems

Question 28

Figurehead

Answer 28

The symbolic head of the organization. The visible person “out front” that everyone knows represents the company.

Question 29

Leader

Answer 29

The one who sets the goals of the organization and is responsible for their achievement by motivating organizational members to complete their tasks

Question 30

Liaison

Answer 30

The person who acts as a bridge between groups either inside or outside the organization. Linking these groups together helps develop alliances, which are extremely important to achieving the organization’s goals.

Question 31

Disseminator

Answer 31

The deliverer of information regarding policies, initiatives, strategies, and so on. This is the person who lets everyone know “What’s going on” in the organization.

Question 32

Monitor

Answer 32

This person is always on top of current situations through material gathered from various sources. By obtaining information from different outlets, this person manages to stay “in the loop.”

Question 33

Spokesperson

Answer 33

The one who communicates on behalf of the organization at meetings, functions, or events

Question 34

Disturbance handler

Answer 34

The person who resolves conflict, responds to unpredictable situations, and solves problems that could potentially derail the organization from achieving its goals

Question 35

Entrepreneur

Answer 35

The individual who is constantly seeking out new opportunities to provide viable revenue streams for the organization. The entrepreneur also champions innovation, change, and development.

Question 36

Negotiator

Answer 36

The one who continually discusses and mediates with numerous groups both inside and outside the company to reach agreements and compromises that benefit the organization.

Question 37

Resource allocator

Answer 37

The person who distributes the limited resources of the organization (for example, money, capital, employees) to the various groups or departments in the organization.