Management Functions and Styles - Introduction To Business - ثاني ثانوي

PLANNING A CAREER IN... MANAGEMENT B siness Management & Administration The career choice you make will likely be driven by your interests and abilities. People who are focussed on a specific field such as law, art, nursing, or biomedical engineering may or may not have aspirations to become managers. However, many people start their business careers with the goal of becoming a manager some day. They view the chance to demonstrate success as a manager and contribute to major decisions as a challenging goal. Related Job Titles • Administrator • Assistant Manager • Coordinator • Department Head • Project Manager • Supervisor Managers are an important key to the success of a company. Management opportunities exist in all companies and in every part of a business. Whether your interests are in finance, marketing, information management, engineering, or human resources, you can become a manager. You can take the first step by accepting a role such as a team leader. You can then advance to a position as a supervisor or assistant manager after only few of experience. With additional experience, and perhaps some additional education, you can become a mid- or top-level manager. Your career advancement will be based on how well you perform management duties and your contribution to the overall success of the business. years Analyze Career Opportunities in …… MANAGEMENT Use library and Internet resources to learn more about careers in management. Choose one of the job titles listed in the box and answer the following questions. 1. What is the employment outlook for careers in this field? 2. Is this a career that interests you? Describe a few things you could do to learn more about this career. What it's like to work as a... Supervisor Although Ahmed enjoys his job as the supervisor of a production line at a large manufacturing company, today will be challenging. This morning, Ahmed needs to review the current production workflow process to devise a more efficient strategy for organizing the team to increase productivity. This afternoon he is meeting with his team to talk about overtime and budgets. Ahmed needs to let his work group know that they will have to work at least 10 hours of overtime each week for the next two months to meet their quota. Some team members will be happy about the extra money but others will complain about giving up their free time. He also needs to talk to his group about the budget. He doesn't have full authority over the budget, but his manager has asked him to help find ways to reduce expenses. Finally, Ahmed has to complete one of his least favorite duties—terminating an employee's contract. A new employee has not been able to meet the job expectations and has to be let go. Ahmed has a meeting scheduled with the employee to break the news. What about you? What would you find the most and least enjoyable about Ahmed's work? وزارة التعليم Ministry of Education 2024-1446 Management and Leadership | 183

6.1 Management Functions and Styles Link to digital lesson www.ien.edu.sa Learning Outcomes Once you have completed this lesson, you should be able to: 6.1.1 Define the five functions of management. 6.1.2 Describe the levels of management in businesses and organizations. 6.1.3 Discuss how and when to use the two management styles. Key Terms Management Planning Organizing Staffing Directing Controlling Management Style Focus on REAL LIFE Amir and Khalaf are in their final year of school and have begun to plan their future careers. "I'm joining the family business," explains Khalaf. "One day, when my dad retires, I'll get to be the boss. I'll get paid lots of money and I can't wait to tell everybody what to do!" "It's not that simple, Khalaf," laughs Amir. "Yes, it might be well paid and give you some power, but being the one in charge comes with great responsibility, too. You'll have to make some really tough decisions, and it'll be your fault whenever they go wrong!" "I'm happy to make the big decisions," replies Khalaf. "In fact, I've got some great ideas to improve the business." "Well, good luck!" Amir replies. "I'm sure you'll do well. But just remember, you'll need more than great ideas to run a company. You will need to inspire your team and command their respect in order to make those ideas become a reality. You have to listen, as well as instruct." LO 6.1.1 ROLE AND WORK OF MANAGERS Managers are responsible for the success or failure of businesses and organizations. Managers receive recognition and other rewards when a business meets its goals. They also are held accountable when goals are not met. People who want to experience the risks and rewards of leading a business often become managers. Who Is a Manager? Management is the process of accomplishing the goals of an organization through the effective use of people and other resources. Managers make things happen in businesses. The entrepreneur who develops the idea for a new business is a manager. The top executive of a multi-million-Riyal business who must make the final decision on a plan to enter a new international market is a manager. Supervisors with responsibility for the work of a small number of employees are managers, as are vice presidents with hundreds of employees reporting to them. What Do Managers Do? Every manager has specific job duties, but all managers must complete similar activities no matter what the size or type of organization. Managers' work can be organized within five functions: planning, organizing, staffing, implementing, and controlling (see Figure 6-1). 184 Chapter 6 | Management and Leadership وزارة التعليم Ministry of Education 2024-1446 GE44.PATHWAYS.G02.ITB.SB.PP1.indb 184 08/05/2024 09:14

Planning involves analyzing information, setting goals, and making decisions about what needs to be done. • Organizing means identifying and arranging the work and resources needed to achieve the goals that have been set. Staffing includes all of the activities involved in obtaining, preparing, and compensating the people who work for a business. • Directing is the effort to direct and lead people to accomplish the planned work of the organization. • Controlling determines to what extent the business is accomplishing the goals it set out to reach in the planning stage. Large businesses and organizations have many managers. Responsibilities for specific management functions are assigned to each manager. In a new small business, the owner usually is responsible for all of the management functions. As the business grows, other employees will be moved into management positions. Managing a business or even a part of a business can be a very complex process. Managers must make decisions, solve problems, respond to competition, and develop new strategies. Decisions made to complete one management function Planning Staffing Managers Controlling Organizing Directing Do managers fulfill any other functions in a business? FIGURE 6-1 Key Functions of a Manager Work as a TEAM Your class is responsible for organizing a school open day. Your team has responsibility for managing that project. For each of the five management functions, identify two or three management activities that your team must complete in order for the project to be successful. often affect other functions. The efforts of each manager impact the work of others. Effective managers motivate employees to do their best work. They also use the money and other resources of the business wisely. Successful businesses must have managers who are able to complete each of the management functions well. CHECKPOINT What are the five management functions? LO 6.1.2 MANAGEMENT LEVELS Unless a business is very small, there will be several managers with responsibilities for the success of the business. Every manager devotes some time to each of the management functions and has authority over other people and their work. Not every manager gives the same amount of attention and time to each of the functions. Most larger organizations have three levels of managers— executives, middle managers, and supervisors (see Figure 6-2). Think of a local business. What levels of management do you think it has? وزارة التعليم Ministry of Education 2024-1446 6.1 Management Functions and Styles | 185

Middle management Supervisor | |||||| Top management Supervisor Can you think of any other forms of management structure? FIGURE 6-2 Middle management Supervisor Supervisor The Three Levels of Management Top Management Executives are top-level managers with responsibilities for the direction and success of the entire business. They set long-term direction and plans. They are held accountable for the profitability and FYI More business means more jobs and more managers! According to Monsha'at, the Cultural Development Fund could lead to 70,000 new jobs in Saudi Arabia's culture, entertainment and sports sector. This is creating a huge opportunity for managers at all levels, whether executives, middle management or supervisors, to lead and administer a range of activities and responsibilities. Middle Management success of the business. Job titles of executives include chief executive officer, president, chief operating officer, and vice president. Executives spend most of their time on planning and controlling activities. They study the economy and competition. They approve all major business decisions and expenditures. Executives are responsible for the work of all other managers and employees. Middle managers are specialists with responsibilities for specific parts of a company's operations. Examples of middle management jobs are marketing manager, information technology manager, customer service manager, operations manager, and human resources manager. Middle managers work with the company's business plan once it has been approved by executives and develop specific plans for their part of the business. They must coordinate their work with other managers. Much of their time is devoted to the organizing, staffing, and directing functions. Supervisors Supervisors are the first level of management in a business. They are responsible for the day-to-day work of a small group of employees. They help employees plan their work. Supervisors also monitor employee activities and results. They make sure that needed resources are available and used wisely. Supervisors must evaluate the quality of the work of their employees and help to solve problems that occur in their area. Supervisors spend most of their time implementing the plans of executives and middle managers. They may have non-management duties in addition management work. to their 186 Chapter 6 | Management and Leadership Ministry of Education 2024-1446

Personal Responsibility Each of the three management levels described above carries some degree of authority within a business. However, while many employees may not have this authority, each and every employee has a personal responsibility to carry out their specific role effectively. Taking ownership of one's position is an excellent first step towards advancing a career. Employees who demonstrate personal responsibility are often rewarded with wider responsibilities within the business, such as overseeing a particular task or training newer employees. Gaining this valuable experience might help the employee move into a management position in future. CHECKPOINT What are the differences among the three levels of management? LO 6.1.3 MANAGEMENT STYLES you of Managing a group of people can be a difficult job. Managers must encourage people with different backgrounds, personalities, and experience to work well together. Have been a part a community or school group? If so, you can remember how hard it was at first to coordinate the talents of each group member so the team or group performed well. Managers approach the task of directing a group in different ways based on their management style. Management style is the way a manager works with and involves employees. Two very different styles often used by managers are authoritative management and delegative management. Figure 6-3 describes situations where each style will be more effective. Experienced and effective managers can change their management style. It should be based on the urgency of the work to be done and the confidence the manager has in the employees. Authoritative Management Sometimes managers are faced with a crisis, and they don't have time to let the group decide how to complete the task. In other situations, a manager may be working with a group of new employees or may have work in which the members have no previous experience. In those situations, the manager should use an authoritative approach. The authoritative management approach is a style in which the manager is more directive and controlling. The manager will make the major decisions and stay in close contact with employees while they work to make sure the work is done well. Delegative Management When a group of employees is experienced and works well together, a manager does not have to be as directive and controlling. If there is enough time and experience to bring a team together to help plan a work assignment, team members will often prefer being involved in the decision-making process. These are examples of the use of a delegative approach. The delegative management approach is a style in which managers are more collaborative and involve employees in decision making. A manager using a delegative approach expects employees to work well without direct supervision and will seek their input on important decisions. وزارة التعليم Ministry of Education 2024-1446 6.1 Management Functions and Styles | 187

As an employee, which management style would you prefer from your supervisor? CHOOSING A MANAGEMENT STYLE A MANAGER SHOULD USE AN AUTHORITATIVE APPROACH WHEN Working with part-time or temporary employees • Working with employees who lack motivation for a new task • Working under tight time pressures Assigning a new task for which employees are not experienced Employees prefer not to be involved in decision making • A MANAGER SHOULD USE A DELEGATIVE APPROACH WHEN • Employees are skilled and experienced The work is routine with few new challenges Employees are doing work they enjoy • The manager wants to improve group relationships • Employees are willing to take responsibility for planning their work Why is an authoritative approach appropriate when assigning a new task that must be completed quickly? FIGURE 6-3 Alternative Approaches to Management Mixed Management Which of the two management styles would you prefer if you were an employee? If you were a manager, which of the styles would you use? Everyone will not answer these two questions the same way. In the past, many managers believed they needed to take an authoritative approach to management. They believed they needed to be directive and controlling in order to make sure that work was completed. Some employees became frustrated when they felt their manager did not trust them. Some employees prefer that the manager make day-to-day decisions. Other employees are not experienced enough to work without close supervision. As a result, effective managers are prepared to use both styles. The combined use of tactical and strategic management styles is known as mixed management. 188 Chapter 6 | Management and Leadership Ministry of Education 2024-1446 CHECKPOINT How is authoritative management different from delegative management?

6.1 ASSESSMENT Key Concepts Determine the best answer. 1. True or False. An entrepreneur who starts a new business is not considered to be a manager. 2. Which of the following is not one of the five functions of management? a. planning b. directing c. producing d. controlling 3. Which level of management spends most of its time completing planning and controlling activities? a. top management b. middle management c. supervisors d. team management 4. True or False. Effective managers should use authoritative management rather than delegative management. Make Academic Connections 5. Research Use the Internet or library to gather information on the top executive of a large Saudi corporation. Prepare a written report on the manager's role, identifying the important responsibilities of the executive in leading the company. وزارة التعليم Ministry of Education 2024-1446 6.1 Management Functions and Styles | 189

6. Careers Use an employment website to identify job listings for a top management position, a middle management position, and a supervisor position. Develop a table that lists the main duties the person in each position needs to perform. Classify those duties within the five management functions. 7. Critical Thinking Imagine you are managing a team of students that is organizing a community event to celebrate the class's achievements. Suggest a situation that could occur for which an authoritative management approach would be most appropriate and another situation when a delegative approach would be most appropriate. Discuss the situations with other students and see whether they agree with your decisions. 190 Chapter 6 | Management and Leadership Ministry of Education 2024-1446