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7–1 PRINCIPLE OF MANAGEMENT SECTION2 Dr:: Eman Elfar Please read the following and then put (√) or (×) 7–2 A manager's job is all about personal achievement. Middle managers are responsible for making organization-wide decisions and establishing the plans and goals that affect the entire organization. Effectiveness refers to getting the most output from the least amount of input Efficiency is described as "doing things right The four contemporary functions of management are planning, organizing, leading, and controlling. Choose the best answer 7–3 An individual who works with and through other people by coordinating their work activities in order to accomplish organizational goals is ________. A) an assembly line worker B) a laborer C) a manager D) a salesperson Choose the best answer 7–4 Supervisor is another name for which of the following? A) team leader B) middle manager C) first-line manager D) top manager Managers with titles such as regional manager, project leader, or division manager are ________. A) first-line managers B) top managers C) production managers D) middle managers Choose the best answer 7–5 ________ involves ensuring that work activities are completed efficiently and effectively by the people responsible for doing them. A) Commanding B) Managing C) Planning D) Organizing Choose the best answer 7–6 Wasting resources is considered to be an example of _____. A) inefficacy B) ineffableness C) inefficiency D) Ineffectiveness Organizing includes ________. A) setting organizational goals B) hiring organizational members C) motivating organizational members D) determining who does what tasks What Is Planning? Planning : Is a managerial activity that involves: Defining the organization’s goals Establishing a strategy for achieving those goals Developing plans for organizational work activities Formal planning is the type of planning that is characterized by defining Specific goals that cover a specific time period .It should be written and shared with organizational members Why Do Managers Plan? There are four basic purposes make planning important Provides direction Reduces uncertainty Minimizes Sets waste and redundancy the standards for controlling Planning and Performance Formal planning is associated with: Higher Positive profits and returns on assets. financial results. The quality of planning and implementation affects performance more than the extent of planning. The external environment can reduce the impact of planning on performance. Formal planning must be used for several years before planning begins to affect performance. Elements of Planning Goals is defined as desired outcomes for individuals, groups, or entire organizations . It provide direction and criteria by which performance can be evaluated Plans define the activity needed to achieve stated goals . It describe how resources should be allocated and establish activity schedules Types of Goals Financial Goals Is the expected internal financial performance of the organization. Strategic Goals Are related to the performance of the firm relative to factors in its external environment (e.g., competitors). Types of Goals Stated Goals official statements of what an organization says, and what it wants. Real goals Goals that an organization actually pursues, as defined by the actions of its members. Copyright © 2010 Pearson Education, Inc. Publishing as Prentice Hall Types of PlansExhibit 7–1 7–13 Strategic Plans Apply to the entire organization. Establish the organization’s overall goals. Seek to position the organization in terms of its environment. Cover extended periods of time. Operational Plans Specify the details of how the overall goals are to be achieved. Cover a short time period. Long-Term Plans Plans Short-Term Plans Plans with time frames extending beyond three years with time frames of one year or less Specific Plans Plans that are clearly defined and leave no room for interpretation Directional Plans Flexible plans that set out general guidelines and provide focus, yet allow discretion in implementation Single-Use Plan A one-time plan specifically designed to meet the need of a unique situation. Standing Plans Ongoing plans that provide guidance for activities performed repeatedly.