CourseSmart Reader

Contemporary Management, 6th Edition

by Jones, Gareth R; George, Jennifer M

Publisher: McGraw-Hill Higher Education

Publishing Date: 2008/11/07

eText ISBN-10

0-07-728995-1

eText ISBN-13

978-0-07-728995-9

Print ISBN-10

0-07-353043-3

Print ISBN-13

978-0-07-353043-7

Saleable Print ISBN-10

0-07-353043-3

Saleable Print ISBN-13

978-0-07-353043-7

Table of Contents

Acknowledgments, xxvi

Chapter One. Managers and Managing, 2

A Manager's Challenge How Anne Mulcahy Created a New Xerox, 3

What Is Management?, 5

Achieving High Performance: A Manager's Goal, 5

Why Study Management?, 7

Essential Managerial Tasks, 8

Controlling, 12

Performing Managerial Tasks: Mintzberg's Typology, 13

Levels and Skills of Managers, 13

Levels of Management, 15

Managerial Skills, 16

Recent Changes in Management Practices, 20

Restructuring and Outsourcing, 20

Empowerment and Self-Managed Teams, 21

Challenges for Management in a Global Environment, 22

Building Competitive Advantage, 23

Maintaining Ethical and Socially Responsible Standards, 26

Managing a Diverse Workforce, 28

Utilizing IT and E-Commerce, 29

Practicing Global Crisis Management, 30

Chapter Two. The Evolution of Management Thought, 38

A Manager's Challenge Finding Better Ways to Make Cars, 39

Scientific Management Theory, 42

Job Specialization and the Division of Labor, 42

F. W. Taylor and Scientific Management, 43

The Gilbreths, 46

Administrative Management Theory, 48

The Theory of Bureaucracy, 49

Fayol's Principles of Management, 50

Behavioral Management Theory, 55

The Work of Mary Parker Follett, 55

The Hawthorne Studies and Human Relations, 56

Theory X and Theory Y, 57

Management Science Theory, 60

Organizational Environment Theory, 61

The Open-Systems View, 61

Contingency Theory, 62

Chapter Three. Values, Attitudes, Emotions, and Culture: The Manager as a Person, 72

A Manager's Challenge Ryla Teleservices Stands Out Among Telemarketers, 73

Enduring Characteristics: Personality Traits, 75

The Big Five Personality Traits, 75

Other Personality Traits That Affect Managerial Behavior, 80

Values, Attitudes, and Moods and Emotions, 81

Values: Terminal and Instrumental, 82

Moods and Emotions, 88

Emotional Intelligence, 90

Organizational Culture, 91

Managers and Organizational Culture, 92

The Role of Values and Norms in Organizational Culture, 94

Culture and Managerial Action, 99

Chapter Four. Ethics and Social Responsibility, 108

A Manager's Challenge The Ethics of the Global Flower-Growing Business, 109

The Nature of Ethics, 111

Ethical Dilemmas, 111

Ethics and the Law, 112

Changes in Ethics over Time, 113

Stakeholders and Ethics, 114

Stockholders, 114

Suppliers and Distributors, 118

Community, Society, and Nation, 122

Rules for Ethical Decision Making, 122

Why Should Managers Behave Ethically?, 126

Ethics and Social Responsibility, 129

Societal Ethics, 129

Occupational Ethics, 131

Individual Ethics, 132

Organizational Ethics, 133

Approaches to Social Responsibility, 135

Four Different Approaches, 135

Why Be Socially Responsible?, 138

The Role of Organizational Culture, 138

Chapter Five. Managing Diverse Employees in a Multicultural Environment, 148

A Manager's Challenge Reaping the Benefits of Diversity, 149

The Increasing Diversity of the Workforce and the Environment, 151

Race and Ethnicity, 154

Capabilities/Disabilities, 155

Socioeconomic Background, 156

Sexual Orientation, 158

Other Kinds of Diversity, 159

Managers and the Effective Management of Diversity, 159

Critical Managerial Roles, 159

The Ethical Imperative to Manage Diversity Effectively, 161

Effectively Managing Diversity Makes Good Business Sense, 162

Perception, 164

Factors That Influence Managerial Perception, 164

Perception as a Determinant of Unfair Treatment, 165

Overt Discrimination, 169

How to Manage Diversity Effectively, 170

Steps in Managing Diversity Effectively, 170

Sexual Harassment, 175

Forms of Sexual Harassment, 175

Steps Managers Can Take to Eradicate Sexual Harassment, 176

Chapter Six. Managing in the Global Environment, 186

A Manager's Challenge Nestlé's Global Food Empire, 187

What Is the Global Environment?, 189

The Task Environment, 189

Distributors, 193

Competitors, 195

The General Environment, 198

Economic Forces, 199

Technological Forces, 199

Sociocultural Forces, 200

Demographic Forces, 201

Political and Legal Forces, 201

The Changing Global Environment, 202

The Process of Globalization, 204

Declining Barriers to Trade and Investment, 206

Declining Barriers of Distance and Culture, 207

Effects of Free Trade on Managers, 208

The Role of National Culture, 210

Cultural Values and Norms, 211

Hofstede's Model of National Culture, 211

National Culture and Global Management, 214

Chapter Seven. Decision Making, Learning, Creativity, and Entrepreneurship, 224

A Manager's Challenge Making Good Decisions at PUMA, 225

The Nature of Managerial Decision Making, 227

Programmed and Nonprogrammed Decision Making, 228

The Classical Model, 232

The Administrative Model, 232

Steps in the Decision- Making Process, 236

Recognize the Need for a Decision, 236

Generate Alternatives, 237

Assess Alternatives, 238

Choose Among Alternatives, 239

Implement the Chosen Alternative, 239

Learn from Feedback, 240

Cognitive Biases and Decision Making, 241

Prior-Hypothesis Bias, 241

Representativeness Bias, 242

Illusion of Control, 242

Escalating Commitment, 242

Be Aware of Your Biases, 243

Group Decision Making, 243

The Perils of Groupthink, 243

Devil's Advocacy and Dialectical Inquiry, 244

Diversity Among Decision Makers, 245

Organizational Learning and Creativity, 245

Creating a Learning Organization, 245

Promoting Individual Creativity, 246

Promoting Group Creativity, 247

Entrepreneurship and Creativity, 248

Entrepreneurship and New Ventures, 250

Intrapreneurship and Organizational Learning, 251

Chapter Eight. The Manager as a Planner and Strategist, 260

A Manager's Challenge Why Does Best Buy Outperform Circuit City?, 261

Planning and Strategy, 263

The Nature of the Planning Process, 264

Why Planning Is Important, 264

Levels of Planning, 265

Levels and Types of Planning, 266

Time Horizons of Plans, 268

Standing Plans and Single-Use Plans, 268

Scenario Planning, 269

Determining the Organization's Mission and Goals, 270

Defining the Business, 270

Establishing Major Goals, 272

Formulating Strategy, 273

SWOT Analysis, 273

The Five Forces Model, 276

Formulating Business- Level Strategies, 277

Low-Cost Strategy, 277

Differentiation Strategy, 278

“Stuck in the Middle”, 278

Focused Low-Cost and Focused Differentiation Strategies, 279

Formulating Corporate- Level Strategies, 281

Concentration on a Single Industry, 282

Vertical Integration, 282

Diversification, 284

International Expansion, 286

Planning and Implementing Strategy, 292

Appendix: How to Develop a Business Plan, 298

Developing a Business Plan, 298

Writing a Detailed Business Plan, 299

Developing Your Own Business Plan, 300

Chapter Nine. Value-Chain Management: Functional Strategies for Competitive Advantage, 302

A Manager's Challenge Toyota's Approach to Building Competitive Advantage, 303

Functional Strategies, the Value Chain, and Competitive Advantage, 305

Functional Strategies and Value-Chain Management, 307

Improving Responsiveness to Customers, 309

What Do Customers Want?, 309

Managing the Value Chain to Increase Responsiveness to Customers, 310

Customer Relationship Management, 311

Improving Quality, 313

Total Quality Management, 314

Improving Efficiency, 318

Facilities Layout, Flexible Manufacturing, and Efficiency, 318

Just-in-Time Inventory and Efficiency, 321

Self-Managed Work Teams and Efficiency, 323

Process Reengineering and Efficiency, 323

Information Systems, the Internet, and Efficiency, 324

Improving Innovation, 324

Two Kinds of Innovation, 325

Strategies to Promote Innovation and Speed Product Development, 325

Managing the Value Chain: Some Remaining Issues, 331

Boundary-Spanning Roles, 331

Value-Chain Management Over Time, 333

Ethical Implications, 334

Chapter Ten. Managing Organizational Structure and Culture, 342

A Manager's Challenge Liz Claiborne Reorganizes Its Structure, 343

Designing Organizational Structure, 345

The Organizational Environment, 346

Technology, 347

Human Resources, 348

Grouping Tasks into Jobs: Job Design, 348

Job Enlargement and Job Enrichment, 349

The Job Characteristics Model, 350

Grouping Jobs into Functions and Divisions: Designing Organizational Structure, 351

Functional Structure, 351

Divisional Structures: Product, Market, and Geographic, 354

Matrix and Product Team Designs, 358

Hybrid Structure, 361

Coordinating Functions and Divisions, 362

Allocating Authority, 362

Integrating and Coordinating Mechanisms, 368

Organizational Culture, 370

Where Does Organizational Culture Come From?, 372

Strong, Adaptive Cultures versus Weak, Inert Cultures, 375

Chapter Eleven. Organizational Control and Change, 384

A Manager's Challenge What is the Best Way to Control People and Resources?, 385

What Is Organizational Control?, 387

The Importance of Organizational Control, 388

Control Systems and IT, 389

The Control Process, 390

Output Control, 393

Financial Measures of Performance, 393

Organizational Goals, 396

Operating Budgets, 396

Problems with Output Control, 398

Behavior Control, 399

Direct Supervision, 399

Management by Objectives, 400

Bureaucratic Control, 402

Problems with Bureaucratic Control, 404

Clan Control, 406

Organizational Change, 407

Lewin's Force-Field Theory of Change, 408

Evolutionary and Revolutionary Change, 409

Managing Change, 409

Chapter Twelve. Human Resource Management, 420

A Manager's Challenge Treating Employees Well Leads to Satisfied Customers, 421

Strategic Human Resource Management, 423

Overview of the Components of HRM, 424

The Legal Environment of HRM, 427

Recruitment and Selection, 429

Human Resource Planning, 430

Job Analysis, 431

External and Internal Recruitment, 432

The Selection Process, 434

Training and Development, 438

Types of Training, 438

Types of Development, 439

Transfer of Training and Development, 441

Performance Appraisal and Feedback, 441

Types of Performance Appraisal, 441

Who Appraises Performance?, 444

Effective Performance Feedback, 445

Pay and Benefits, 447

Pay Structure, 447

Labor Relations, 450

Collective Bargaining, 451

Chapter Thirteen. Motivation and Performance, 460

A Manager's Challenge Motivating Employees at Enterprise Rent-A-Car, 461

The Nature of Motivation, 464

Expectancy Theory, 467

Expectancy, 467

Instrumentality, 468

Bringing It All Together, 470

Need Theories, 471

Maslow's Hierarchy of Needs, 472

Alderfer's ERG Theory, 473

Herzberg's Motivator- Hygiene Theory, 474

McClelland's Needs for Achievement, Affiliation, and Power, 474

Other Needs, 475

Equity Theory, 476

Ways to Restore Equity, 477

Goal-Setting Theory, 479

Learning Theories, 480

Operant Conditioning Theory, 480

Social Learning Theory, 483

Pay and Motivation, 485

Basing Merit Pay on Individual, Group, or Organizational Performance, 485

Salary Increase or Bonus?, 486

Examples of Merit Pay Plans, 487

Chapter Fourteen. Leadership, 494

A Manager's Challenge Judy McGrath Leads MTV Networks, 495

The Nature of Leadership, 497

Personal Leadership Style and Managerial Tasks, 497

Leadership Styles Across Cultures, 499

Power: The Key to Leadership, 500

Empowerment: An Ingredient in Modern Management, 503

Trait and Behavior Models of Leadership, 504

The Trait Model, 504

The Behavior Model, 505

Contingency Models of Leadership, 507

Fiedler's Contingency Model, 507

House's Path-Goal Theory, 510

The Leader Substitutes Model, 511

Bringing It All Together, 512

Transformational Leadership, 513

Being a Charismatic Leader, 514

Stimulating Subordinates Intellectually, 514

Engaging in Developmental Consideration, 514

The Distinction Between Transformational and Transactional Leadership, 515

Gender and Leadership, 515

Emotional Intelligence and Leadership, 516

Chapter Fifteen. Effective Groups and Teams, 526

A Manager's Challenge Employees Form Teams at ICU Medical, 527

Groups, Teams, and Organizational Effectiveness, 529

Groups and Teams as Performance Enhancers, 530

Groups, Teams, and Responsiveness to Customers, 532

Teams and Innovation, 532

Groups and Teams as Motivators, 534

Types of Groups and Teams, 534

The Top-Management Team, 535

Research and Development Teams, 535

Command Groups, 535

Task Forces, 536

Self-Managed Work Teams, 536

Virtual Teams, 538

Friendship Groups, 539

Interest Groups, 540

Group Dynamics, 540

Group Size, Tasks, and Roles, 540

Group Leadership, 543

Group Development over Time, 543

Group Norms, 544

Group Cohesiveness, 548

Managing Groups and Teams for High Performance, 551

Motivating Group Members to Achieve Organizational Goals, 551

Reducing Social Loafing in Groups, 553

Helping Groups to Manage Conflict Effectively, 554

Chapter Sixteen. Promoting Effective Communication, 564

A Manager's Challenge Managers Need Feedback from Employees, 565

Communication and Management, 567

The Importance of Good Communication, 567

The Communication Process, 569

The Role of Perception in Communication, 570

The Dangers of Ineffective Communication, 571

Information Richness and Communication Media, 572

Face-to-Face Communication, 573

Spoken Communication Electronically Transmitted, 575

Personally Addressed Written Communication, 575

Impersonal Written Communication, 578

Communication Networks, 579

Communication Networks in Groups and Teams, 579

Organizational Communication Networks, 580

External Networks, 581

Information Technology and Communication, 582

The Internet, 582

Groupware and Collaboration Software, 583

Communication Skills for Managers, 586

Communication Skills for Managers as Senders, 587

Communication Skills for Managers as Receivers, 589

Understanding Linguistic Styles, 590

Chapter Seventeen. Managing Conflict, Politics, and Negotiation, 602

A Manager's Challenge Ravi Kant Effectively Manages Conflict, 603

Organizational Conflict, 605

Types of Conflict, 605

Sources of Conflict, 607

Conflict Management Strategies, 609

Negotiation, 613

Distributive Negotiation and Integrative Bargaining, 613

Strategies to Encourage Integrative Bargaining, 613

Organizational Politics, 615

The Importance of Organizational Politics, 616

Political Strategies for Gaining and Maintaining Power, 616

Political Strategies for Exercising Power, 619

Chapter Eighteen. Using Advanced Information Technology to Increase Performance, 632

A Manager's Challenge Now B&M Retailers Use IT to Attract Customers, 633

Information and the Manager's Job, 635

Attributes of Useful Information, 636

What Is Information Technology?, 637

Information and Decisions, 638

Information and Control, 638

Information and Coordination, 640

The IT Revolution, 641

The Effects of Advancing IT, 641

IT and the Product Life Cycle, 641

Computer Networks, 643

Types of Management Information Systems, 646

The Organizational Hierarchy: The Traditional Information System, 646

Transaction-Processing Systems, 647

Operations Information Systems, 647

Decision Support Systems, 648

Artificial Intelligence and Expert Systems, 649

Enterprise Resource Planning Systems, 650

E-Commerce Systems, 653

The Impact and Limitations of Information Technology, 654

Strategic Alliances, B2B Network Structures, and IT, 654

Flatter Structures and Horizontal Information Flows, 656

Limitations of IT, 659

Photo Credits, 711

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