MBUS - Chapter 1: Overview of Management - Summary Report Analysis

This report summarizes the key concepts presented in Chapter 1 of the MBUS curriculum, providing an overview of management. It defines management as the application of principles for efficiently utilizing resources to achieve organizational goals. The summary details the roles and types of managers, including top, middle, and first-line managers, as well as the differences between efficiency and effectiveness. It outlines the core functions of management: planning, organizing, leading, and controlling, with explanations of each function and the skills required. The report further explores the Mintzberg theory of managerial roles, encompassing interpersonal, informational, and decisional categories. Finally, it highlights the essential skills for managers, including conceptual, human, and technical skills, and their relative importance at different management levels.

MBUS Summary of Chapter 1 Overview Of Management
Overview of Management
What is Management
Management is a set of principles relating to the functions of planning, organizing, directing and
controlling, and the application of these principles in harnessing physical, financial, human and
informational resources efficiently and effectively to achieve organizational goals.
Who are Managers
- To coordinates and oversees individual getting work done
- To ensure that organizational goals can be accomplished.
Types of managers
- Top Managers
o Top-level managers are responsible for controlling and overseeing the entire
organization.
- Middle Managers
o Middle-level managers are responsible for executing organizational plans which
comply with the company's policies. They act as an intermediary between top-
level and low-level management.
- First Line Managers
o First-line managers are the entry level of management, the individuals “on the
line” and in the closest contact with the workers. They are directly responsible for
making sure that organizational objectives and plans are implemented effectively.
- Non Managerial
o This are normal employees that will report to the First line Managers and does the
work that is assigned by the manager.
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MBUS Summary of Chapter 1 Overview Of Management
Efficiency vs Effectiveness
Efficiency – focus on the maximizing and utilizing of available resources to gain the best and to
maximize productivity within the company.
Effectiveness – getting the job done and meeting the intended goals and targets prescribed by the
organization.
What Do Managers Do
Planning
Organizing
Leading
Controlling
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Achieving the goals of
the organization

MBUS Summary of Chapter 1 Overview Of Management
Planning
Planning is the function of management that involves setting objectives and determining a course
of action for achieving those objectives. Planning requires that managers be aware of
environmental conditions facing their organization and forecast future conditions. It also requires
that managers be good decision makers.
Types of planning.
 Strategic planning involves analyzing competitive opportunities and threats, as well as
the strengths and weaknesses of the organization, and then determining how to position
the organization to compete effectively in their environment. Strategic planning has a
long time frame, often three years or more. Strategic planning generally includes the
entire organization and includes formulation of objectives. Strategic planning is often
based on the organization’s mission, which is its fundamental reason for existence. An
organization’s top management most often conducts strategic planning.
 Tactical planning is intermediate-range (one to three years) planning that is designed to
develop relatively concrete and specific means to implement the strategic plan. Middle-
level managers often engage in tactical planning.
 Operational planning generally assumes the existence of organization-wide or subunit
goals and objectives and specifies ways to achieve them. Operational planning is short-
range (less than a year) planning that is designed to develop specific action steps that
support the strategic and tactical plans.
Organizing
Organizing is the function of management that involves developing an organizational structure
and allocating human resources to ensure the accomplishment of objectives. The structure of the
organization is the framework within which effort is coordinated. The structure is usually
represented by an organization chart, which provides a graphic representation of the chain of
command within an organization.
Leading
Leading involves the social and informal sources of influence that you use to inspire action taken
by others. If managers are effective leaders, their subordinates will be enthusiastic about exerting
effort to attain organizational objectives.
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MBUS Summary of Chapter 1 Overview Of Management
Controlling
Controlling involves ensuring that performance does not deviate from standards. Controlling
consists of three steps, which include
 establishing performance standards
 comparing actual performance against standards
 taking corrective action when necessary.
Performance standards are often stated in monetary terms such as revenue, costs, or profits but
may also be stated in other terms, such as units produced, number of defective products, or levels
of quality or customer service. The measurement of performance can be done in several ways,
depending on the performance standards, including financial statements, sales reports,
production results, customer satisfaction, and formal performance appraisals. Managers at all
levels engage in the managerial function of controlling to some degree.
*Staffing
o This looks at the overall manpower requirements that needs to be evaluated to see if there
is a need to add in more workers, provide training to upgrade the skills and other aspects
within the manpower.
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MBUS Summary of Chapter 1 Overview Of Management
Mintzberg Theory (Roles)
Interpersonal
1. Figurehead. A figurehead is responsible for social, ceremonial and legal matters. They
represent their company in a professional manner.
2. Leader. All managers must be leaders, communicating with, inspiring and coaching their
team. Workers should be able to look to their manager for support and guidance.
3. Liaison. Liaisons are responsible for networking outside and at times within their
company and relaying necessary information.
Informational
1. Monitor. A monitor seeks information within and outside of their company to assess their
company's operations and identify issues that need to be approached or changes that need
to be made.
2. Disseminator. Disseminators should then relay valuable information internally to
employees and delegate assignments accordingly.
3. Spokesperson. Managers should also relay information externally, acting as a
spokesperson for their brand.
Decisional
1. Entrepreneur. Acting as an entrepreneur, managers should inspire change and innovation.
They should also create and implement new ideas.
2. Disturbance-handler. Any external or internal issues or roadblocks should be handled by
managers.
3. Resource-allocator. Managers must allocate and oversee various resources, from funding
to equipment.
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MBUS Summary of Chapter 1 Overview Of Management
4. Negotiator. The negotiator is responsible for participating and directing negotiations
within their organization.
Skills required by a manager
Conceptual Skills
- These involve the skills managers present in terms of the knowledge and ability for
abstract thinking and formulating ideas.
- The manager is able to see an entire concept, analyze and diagnose a problem, and find
creative solutions.
- This helps the manager to effectively predict hurdles their department or the business as a
whole may face.
Human Skills
- Human skills deal with communication and managing interactions among people.
Though important and necessary, they represent just one set of skills managers need.
Technical and conceptual skills are also necessary.
Technical Skills
- Technical skills involve skills that give the managers the ability and the knowledge to use
a variety of techniques to achieve their objectives.
- These skills not only involve operating machines and software, production tools, and
pieces of equipment but also the skills needed to boost sales, design different types of
products and services, and market the services and the products.
Level of importance where these skills are required
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MBUS Summary of Chapter 1 Overview Of Management
How these interconnect to each other within the management skills requirement.
Examples of Management Skills
1. Planning
2. Communication
3. Decision-making
4. Delegation
5. Problem-solving
6. Motivating
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