CHAPTER 3: MANAGING A BUSINESS

Get Started. It's Free
or sign up with your email address
CHAPTER 3: MANAGING A BUSINESS by Mind Map: CHAPTER 3: MANAGING A BUSINESS

1. 3.1What is management

1.1. Management: The process of administering and coordinating resources effectively, efficiently, and in an effort to achieve the goals of the organization.

1.2. Manager: Member who is responsible for planning, organizing, leading, and controlling the activities.

2. 3.2 The management process / functions

2.1. 3.2.1 Management plans

2.1.1. 1) Standing plans

2.1.1.1. -Policy

2.1.1.2. -Procedure

2.1.1.3. -Rules

2.1.2. 2) Single use plans

2.1.2.1. -Program

2.1.2.2. -Projects

2.1.2.3. -Budget

3. 3.2.3 What is leading?

3.1. -Motivating and directing the members of the organization .

3.1.1. 1)Leader: People who can influence the behaviour of others without having rely on force of those accepted by others.

3.1.2. 2) Leadership: The process of directing the behaviour of others toward the accomplishment of some objective.

3.1.2.1. i) Leadership involves in:- - Creating a vision of the future. -Devising strategy for achieve that vision. - Communicating the vision so that everyone understands and believes in it.

3.1.2.2. ii) Importance of leadership:- - Make contributions to organization. - Enhance and obtain cooperation. - Encourage teamwork. - Motivate employees.

4. 3.2.3.1 Types or sources of power

4.1. Personal

4.1.1. Referent: Ability to influence others based on personal liking, charisma & reputation. For example: Dr. Mahathir - MSC.

4.1.2. Expert: Power to influence another person because of expert knowledge and competence. For Example: Doctor, Engineer, Lawyer.

4.2. Position

4.2.1. Legitimate: Power that stems from formal authority. For example: JPJ, PDRM.

4.2.2. Reward: Derived from control over tangible benefits example promotion, work schedule. For example: Rector, UITM Campus.

4.2.3. Information: Contol over information. For example:Kementerian Kesihatan Malaysia (KKM) controls the latest news on Covid-19 updates.

4.2.4. Coercive: Power to discipline, punish and withhold rewards. For example: Lectures-students.

5. 3.2.2 What is organizing?

5.1. 1) Organizing: Means to structure /arrange the relationship between people.

5.2. 2) Organization: A group of individuals who work together toward common goals.

6. 3.2.4 What is controlling

6.1. Controlling: Monitoring how well the organization is achieving goals and take action to maintain, improve, and correct performance.

6.1.1. 1) Control: making something happen the way it was planned to happen.

6.1.2. 2) Controlling: the process managers go through to control.

6.1.3. 3) Organizational control: The systematic process through which managers regulate organizational activities to make them consistent .

7. 3.2.4.1 Controlling process

7.1. FIRST STEP: SETTING STANDARDS FOR PERFORMANCE.

7.1.1. Whenever possible, the standards should be set in a manner that allows them to be compared with actual performance.

7.2. SECOND STEP: MEASURING ACTUAL PERFORMANCE.

7.2.1. An organization must decide:- -What to measure. -When to measure. -How frequently to measure.

7.3. THIRD STEP: COMPARING ACTUAL PERFORMANCE WITH STANDARDS.

7.3.1. This step involves determining if actual performance compared to standards falls within acceptable limits.

7.4. FOURTH STEP: RESPONDING TO DEVIATIONS.

7.4.1. ~If the deviation from performance is unacceptable, then corrective action is warranted. ~If the deviation is acceptable, no correction action will be taken.

8. 3.2.4.2 Types of controlling

8.1. Preventive/ feed forward/ steering control

8.1.1. Focuses on detecting undesirable material, financial, or human resources that serve as inputs to the transformation process.

8.2. Concurrent/ screening control

8.2.1. Focuses on the transformation process to ensure that it is functioning properly.

8.3. Feedback/ post action/ corrective control

8.3.1. Focuses on discovering undesirable output and implementing corrective action.

9. 3.3 Levels of management

9.1. 3.3.1 Managerical levels

9.1.1. 1)TOP LEVEL ~Establish objectives, policy & strategy, make long-term decisions. E.g.: CEO, President.

9.1.2. 2) Middle level management ~Interpret top management directives into operating plans. E.g: Marketing Manager, Human Resources Manager.

9.1.3. 3) Frontline managers ~Direct & support work on non-managerial personnel, make short-term operating decision. E.g.: Supervisor.

10. 3.4 Management skills

10.1. 1) Technical skills (T) ~Ability to use the procedures, techniques, and knowledge of a specialized field. E.g.: accountant.

10.2. 2) Human skills (H) ~The human or the interpersonal skills are the skills that present the managers' ability to interact, work or relate effectively with people.

10.3. 3) Conceptual skills (C) ~Conceptual skills are the abilities that allow an individual to better understand complex scenarios and develop creative solutions.