CHAPTER 1
INTRODUCTION TO MANAGEMENT
Learning Objectives
After reading this chapter, the student should be able to:
• Differentiate among the three pillars of managing organizations: strategic
positioning, organizational design, and individual leadership.
• Describe the complementary components of management and leadership and the
relative importance of technical, interpersonal, and conceptual skills at various
managerial levels in the organization.
• Articulate how the practice of management has evolved.
• Explain the changing perspectives on the purpose of business and how the
relationship between the firm and its business environment has changed over time.
• Describe the stakeholder theory of management and how various stakeholder
relationships are managed to enhance overall firm performance.
Chapter Outline
• Introduction
• Management and Leadership
• Historical Perspectives on Business
• Changing Perspectives on the Purpose of Business
• Stakeholder Approach
• Stakeholder Mapping
• Stakeholder Management Processes
• Managing Uncertainty
• Summary
,Self-Reflection: What Are Your Managerial and Leadership
Strengths?
This self-reflection is designed to assess students’ ability to evaluate their leadership and
managerial strengths. It is based upon the idea that management requires a diversity of
skills. For this assessment, students are asked to respond true or false to each question.
Based on their answers, students can develop a list of strengths (statements that are true)
and developmental opportunities (statements that are false). In addition, students can
reflect upon their ideal career and discuss if their strengths are aligned with their career
choice.
Managerial Strength Self-Reflection Question (Q)
Organizational Skills • Excels at planning projects (Q1)
• Excels at organizing resources needed to execute a project
(Q1)
Strategic-Thinking • Thinks strategically (Q2)
Skills
• Creates vision (Q2)
• Sets goals (Q2)
• Creates solutions for complex problems (Q7)
, Financial- • Budgeting (Q3)
Management Skills
• Financial planning (Q3)
Change- • Encourages change (Q4)
Management Skills
• Challenges the status quo (Q4)
• Influences people by inspiring a vision (Q10)
Human-Resource • Organizes people to get a job done (Q5)
Management Skills
• Establishes structure (Q5)
• Delegates tasks (Q5)
• Understands how to motivate people (Q6)
• Aligns and works with a diverse group of people to
accomplish a goal (Q8)
• Encourages behavior from the heart (Q10)
Leadership Skills • Ability to take charge (Q9)
• Brings order to a situation (Q9)
Comprehensive Lecture Outline
I. Introduction. Leaders have always faced the challenge of inspiring others while making
important strategic decisions for their organizations based on disparate, ambiguous, and
conflicting information. Today’s leaders are confronted with challenges and opportunities
that are more dynamic and complex than ever before.
, A. The challenge of leadership
1. Success in leadership today requires a strong knowledge of the pillars of
managing organizations. The key to this success is recognizing the dynamic
and interactive relationship between these three pillars.
2. The textbook is organized based on the concept of mutual interdependence
and interconnectivity between strategic positioning, organizational design,
and individual leadership.
Class Activity: The Walmart’s Business Environment example provides an opportunity to
allow students to apply some of the early concepts of the chapter to a company most
students will relate to. You could ask them to do this as individuals or in impromptu teams
as a class activity. Have the students read the scenario presented in the text and answer the
included questions:
1. If you were a manager at Walmart, how would you have dealt with the situation?
2. What could they have done differently?
II. Management and Leadership
A. The distinction between management and leadership
1. Management: The act of working with and through a group of people to
accomplish a desired goal or objective in an efficient and effective manner.
2. Leadership: The ability to drive change and innovation through inspiration
and motivation.
3. While the leader creates a vision and strategic direction for the organization,
the management team is responsible for implementing and executing the
strategy by organizing the company’s resources to effectively accomplish
that vision.
B. The skills required for success in business are often different depending on a
person’s level and responsibilities in the organization.
1. At lower levels of management, technical skills are necessary to accomplish
the tasks required at that level.
2. Managers higher up in an organization (middle-level management) tend to
focus on tasks such as financial reporting, planning, recruiting of talent, and
Discussion Starter: Ask students to name several bureaucracies that come to mind.
What is their experience with these organizations? What is their perception of
bureaucratic structures for organizations?
team development. Good interpersonal skills are required at this level.
INTRODUCTION TO MANAGEMENT
Learning Objectives
After reading this chapter, the student should be able to:
• Differentiate among the three pillars of managing organizations: strategic
positioning, organizational design, and individual leadership.
• Describe the complementary components of management and leadership and the
relative importance of technical, interpersonal, and conceptual skills at various
managerial levels in the organization.
• Articulate how the practice of management has evolved.
• Explain the changing perspectives on the purpose of business and how the
relationship between the firm and its business environment has changed over time.
• Describe the stakeholder theory of management and how various stakeholder
relationships are managed to enhance overall firm performance.
Chapter Outline
• Introduction
• Management and Leadership
• Historical Perspectives on Business
• Changing Perspectives on the Purpose of Business
• Stakeholder Approach
• Stakeholder Mapping
• Stakeholder Management Processes
• Managing Uncertainty
• Summary
,Self-Reflection: What Are Your Managerial and Leadership
Strengths?
This self-reflection is designed to assess students’ ability to evaluate their leadership and
managerial strengths. It is based upon the idea that management requires a diversity of
skills. For this assessment, students are asked to respond true or false to each question.
Based on their answers, students can develop a list of strengths (statements that are true)
and developmental opportunities (statements that are false). In addition, students can
reflect upon their ideal career and discuss if their strengths are aligned with their career
choice.
Managerial Strength Self-Reflection Question (Q)
Organizational Skills • Excels at planning projects (Q1)
• Excels at organizing resources needed to execute a project
(Q1)
Strategic-Thinking • Thinks strategically (Q2)
Skills
• Creates vision (Q2)
• Sets goals (Q2)
• Creates solutions for complex problems (Q7)
, Financial- • Budgeting (Q3)
Management Skills
• Financial planning (Q3)
Change- • Encourages change (Q4)
Management Skills
• Challenges the status quo (Q4)
• Influences people by inspiring a vision (Q10)
Human-Resource • Organizes people to get a job done (Q5)
Management Skills
• Establishes structure (Q5)
• Delegates tasks (Q5)
• Understands how to motivate people (Q6)
• Aligns and works with a diverse group of people to
accomplish a goal (Q8)
• Encourages behavior from the heart (Q10)
Leadership Skills • Ability to take charge (Q9)
• Brings order to a situation (Q9)
Comprehensive Lecture Outline
I. Introduction. Leaders have always faced the challenge of inspiring others while making
important strategic decisions for their organizations based on disparate, ambiguous, and
conflicting information. Today’s leaders are confronted with challenges and opportunities
that are more dynamic and complex than ever before.
, A. The challenge of leadership
1. Success in leadership today requires a strong knowledge of the pillars of
managing organizations. The key to this success is recognizing the dynamic
and interactive relationship between these three pillars.
2. The textbook is organized based on the concept of mutual interdependence
and interconnectivity between strategic positioning, organizational design,
and individual leadership.
Class Activity: The Walmart’s Business Environment example provides an opportunity to
allow students to apply some of the early concepts of the chapter to a company most
students will relate to. You could ask them to do this as individuals or in impromptu teams
as a class activity. Have the students read the scenario presented in the text and answer the
included questions:
1. If you were a manager at Walmart, how would you have dealt with the situation?
2. What could they have done differently?
II. Management and Leadership
A. The distinction between management and leadership
1. Management: The act of working with and through a group of people to
accomplish a desired goal or objective in an efficient and effective manner.
2. Leadership: The ability to drive change and innovation through inspiration
and motivation.
3. While the leader creates a vision and strategic direction for the organization,
the management team is responsible for implementing and executing the
strategy by organizing the company’s resources to effectively accomplish
that vision.
B. The skills required for success in business are often different depending on a
person’s level and responsibilities in the organization.
1. At lower levels of management, technical skills are necessary to accomplish
the tasks required at that level.
2. Managers higher up in an organization (middle-level management) tend to
focus on tasks such as financial reporting, planning, recruiting of talent, and
Discussion Starter: Ask students to name several bureaucracies that come to mind.
What is their experience with these organizations? What is their perception of
bureaucratic structures for organizations?
team development. Good interpersonal skills are required at this level.
