Summary Management

INTRODUCTION –
ORGANISATIONS AND
MANAGEMENT
ORGANISATIONS AND MANAGERS

ORGANISATIONS

What is an organisation?

 Teamwork by people
 Shared goal
 Goal: continuity of the organisation

1. Teamwork – working together
 Synergy
 Scale effectst
2. Common goal
 2 main goals: finacial profit – social profit
3. Goal: continued existence of the company
 Long term – short term decisions
 Aim for the continuity of the company
 Respond to needs in today’s society

Organisations

 Not necessarily a company or an entreprise
 Focus on social profit

Company

 Produces goods or services to sell
 Focus on financial profit

Corporation

 Owned by shareholders

Enterprise

 Focus on risk

“All companies are organisations but not all
organisations are companies.”

, How do organisations work?

o Transformation process
o Desired vs undesired* output
o Environment
o Key concepts

*Undesired products: products that cannot be sold



1. Transformation process

Input  output

Human resources product/ service
ingredients sell
financial resources profit
information (about business) results
technology

2. Key concepts
 Resources

Financial (money), human (people) and commodities

 Efficiency

Achieving as many goals with very few resources
 emphasis is on resources

 Effectiveness

Reaching your goals
 a competent manager reaches as many goals as possible with limited input
(resources)
 emphasis is on goals



What is a manager?

 Works together with others and with the help of others by coordinating their tasks,
with the aim of achieving the company’s goals

3 levels

1. Top managers
2. Middle management
3. Lower (operational) managers