Chapter 6: Managing the Business Enterprise LO-1: Describe the four activities that constitute the management process. managers: the people who plan, organize, lead, and control the operations of an organization management: the process of planning, organizing, leading, and controlling a business’ financial, physical, human, and information resources in order to achieve its goals efficiency: achieving the greatest level of output with a given amount of input effectiveness: achieving organizational goals 1. Planning planning: that portion of a manager’s job concerned with determining what the business needs to do and the best way to achieve it 1. Goals are established 2. Identify whether a gap exists between the company’s desired and actual position 3. Develop plans to achieve desired objectives 4. Implement plans 5. Assess effectiveness of the plan A Hierarchy of Plans: strategic plans: reflect decisions about resource allocations, company priorities, and steps needed to meet strategic goals - (top management) tactical plans: short-range plans concerned with implementing specific aspect of a company’s strategic plans - (upper and middle management) operational plans: plans that set short-term targets for daily, weekly, or monthly performance - (middle and lower-level management) B. Organizing organizing: portion of a manager’s job concerned with mobilizing the necessary resources to complete a particular task C. Leading leading: portion of a manager’s job concerned with guiding and motivating employees to meet the firm’s objectives D. Controlling controlling: process of monitoring a firm’s performance to make sure that it is meeting its goals shows where performance is better or worse than expected
Management Roles vs. Management Functions: studied 5 CEO’s (1) worked at unrelenting pace, (2) activities characterized by brevity, variety, fragmentation (3) preferred “live” action and activities that were current, specific, well defined (4) attracted to verbal media 1. Interpersonal roles: figurehead (e,g, attending worker’s wedding) leader (responsible for the unit’s work) liaison
You've reached the end of your free preview.
Want to read all 7 pages?
- Spring '14
- Business, Management, one year, Timeframed