Fundamentals of Management

Fundamentals of management

Chapter 1

* Managers are evaluated based on other people’s work

* Managers needed to build networks and pull people toward common goal

* Managers rely more on coordination and communication

* 86% agreed that “innovation is more important than the cost for long-term success”

* Without innovation, no company can survive over the long run—it helps keep companies grow, change, and thrive

* Characteristics of good managers:

* They get things done through organization

* Executive function of the organization (responsible for building and coordinating an entire system rather than performing specific tasks)

* Create the systems/conditions that enable others to perform tasks

* Peter Drucker stated that the job of managers is to give directions to their organizations, provide leadership, and decide how to use organizational resources to accomplish goals.

* Managements: the attainment of organizational goals in an effective and efficient manner through planning, organizing, leading, and controlling organizational resources.

* Four main management functions: planning, controlling, leading, organizing

* Organization: a social entity that is goal directed and deliberately structured

* Social entity means being made up of two or more people

* Goal directed means designed to achieve some outcome such as make a profit, win pay increase for members, meet spiritual needs, or provide social satisfaction.

* Deliberately structured means that tasks are divided, and responsibility for their performance is assigned to organization members

* Effectiveness: The degree to which the organization achieves a stated goal

* Efficiency: The use of minimal resources—raw materials, money, and people—to produce a desired volume of output

* Creative cabinet is made up of outsiders of various ages, interests, and nationalities who provide ideas and insights that keep the company on...