Chapter 5 – the nature of management

• Management is the fundamental that makes a business function.
• Management is the process: o Coordinating a business’ resources to achieve its goals. o Working with and through other people to achieve business goals in a changing environment.
• Whether the goals of the business are achieved largely depends on the skills an expertise of the management team in coordinating the business’s resources.
• Every business needs effective management to succeed.
• The role of effective management is to make sure the joint efforts of employees are directed towards achieving the business’s goals.
• Effective management is usually the major factor influencing the success or failure if a business.
• In general, effective managers are those who: o Posses a range of specific management skill. o Are able to use these skills in a number of different situations.
• All managers use their skills to achieve the business goals.
• Managers require a wide range of technical, conceptual (thinking) and people skills
• Interpersonal (people) skills are those skills needed to work and communicate with other people and to understand their needs.
• Interpersonal skills include: o The ability to communicate o Motivate o Lead o Inspire
• Effective communication of business goals and the strategies to achieve them are crucial to achieving business success.
• Managers who are effective communicators and who are able to share their thoughts and plans will find it easy to influence others.
• Miscommunication us to be avoided because it can lead to serious harm to the business.
• It is important for managers to be aware of the power of nonverbal communication, especially the body.
• Strategic management allows the manager to see the business as a while and to take a broad, long-term view.
• Strategic thinking involves thinking about a