Gareth R. Jones and Jennifer M. George
Essentials of Contemporary Management
Chapter 1 – ‘The Management Process Today’
What Is Management?
Managers and their employees work in organisations: collections of people who work
together and coordinate their actions to achieve a wide variety of goals or desired future
outcomes. Managers are responsible for supervising and making the most of an
organisation’s human and other resources to achieve its goals. Management is the
planning, organizing, leading, and controlling of human and other resources to achieve
organisational goals efficiently and effectively.
One of the most important goals that organisations and their members try to achieve
is to provide some kind of good or service that customers value or desire. Organisational
measure is a measure of how efficiently and effectively managers use their available
resources to satisfy customers and achieve organisational goals. Efficiency is a measure
of how well or how productively resources are used to achieve a goal. Effectiveness is the
degree to which something is successful in producing a desired result.
Why study management? First, in any society or culture resources are valuable and scarce;
the more efficient and effective use that organisations can make of those resources, the
greater the relative well-being and prosperity of people in that society. Second, although
most people are not managers, and many may never intend to become managers, almost all of
us encounter managers because most people have jobs and bosses. Third, in any society,
people are in competition for a very important resource – a job that pays well and
provides an interesting and satisfying career.
Essential Managerial Tasks
The main objective of manager is to achieve organisational goals by doing four
essential managerial tasks: (1) planning – choose appropriate organisational goals and
courses of action to best achieve those goals; (2) organizing – establish task and
authority relationships that allow people to work together to achieve organisational
goals; (3) leading – motivate, coordinate, and energize individuals and groups to work
together to achieve organisational goals; and (4) controlling – establish accurate
measuring and monitoring systems to evaluate how well the organisation has achieved its
goals.
By planning, a strategy is conducted: a cluster of decisions about what goals to pursue,
what actions to make, and how to use resources to achieve goals.
By organizing, an organisational structure is created: a formal system of task and
reporting relationships that coordinates and motivates organisational members so they work
together to achieve organisational goals.
Levels and Skills of Managers
To perform the four managerial tasks efficiently and effectively, managers are
differentiated in two ways; (1) in hierarchy, and (2) by skill. Departments are created:
groups of people who work together and possess similar skills or use the same knowledge,
tools, or techniques to perform their jobs.
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