C H AP T E R

SLIDE 1

CHAPTER

Management and
Leadership
7-1

Management Functions and Styles

7-2

Leadership

7-3

Ethical Management

2012 Cengage Learning. All Rights Reserved.

Principles of Business, 8e

7-1

Management
Functions and Styles

Goal 1 Define the five functions of

management.
Goal 2 Describe the levels of management
in businesses and organizations.
Goal 3 Discuss how and when to use the
two management styles.
2012 Cengage Learning. All Rights Reserved.

SLIDE 2

ROLE AND WORK

OF MANAGERS

C H AP T E R

SLIDE 3

Who is a manager?
What do managers do?
Planning
Organizing
Staffing
Implementing
Controlling

2012 Cengage Learning. All Rights Reserved.

Principles of Business, 8e

C H AP T E R

MANAGEMENT LEVELS

SLIDE 4

Top management
Middle management
Supervisors
Management by others

2012 Cengage Learning. All Rights Reserved.

Principles of Business, 8e

C H AP T E R

SLIDE 5

Top-level managers are executives with

responsibilities for the direction and success of the
entire business.
Middle managers are specialists with
responsibilities for specific parts of a companys
operations.
Supervisors are first-level managers who are
responsible for the work of a group of employees.

2012 Cengage Learning. All Rights Reserved.

Principles of Business, 8e

C H AP T E R

MANAGEMENT STYLES

SLIDE 6

Tactical management
Strategic management
Mixed management

2012 Cengage Learning. All Rights Reserved.

Principles of Business, 8e

CHOOSING A MANAGEMENT
STYLE

2012 Cengage Learning. All Rights Reserved.

C H AP T E R

SLIDE 7

Principles of Business, 8e

C H AP T E R

SLIDE 8

How is tactical management different from

strategic management?
The tactical management style is more directive
and controlling than the strategic management
style.
Using tactical management, the manager makes
the major decisions and supervises employees
closely to make sure the work is done well.
In strategic management, managers are less
directive and involve employees in decisionmaking.

2012 Cengage Learning. All Rights Reserved.

Principles of Business, 8e

7-2

Leadership

Goal 1 Describe the need for leadership

skills and the characteristics of an
effective leader.
Goal 2 Identify the human relations skills
needed by managers and leaders.
Goal 3 Recognize four types of leadership
influence.
2012 Cengage Learning. All Rights Reserved.

SLIDE 9

C H AP T E R

SLIDE 10

WHAT IS LEADERSHIP?
Ability to motivate individuals and groups
to accomplish important goals
Need for leadership
Leadership characteristics

2012 Cengage Learning. All Rights Reserved.

Principles of Business, 8e

C H AP T E R

CHARACTERISTICS
OF EFFECTIVE LEADERS

Understanding
Initiative
Dependability
Judgment
Objectivity
Confidence

SLIDE 11

Stability
Cooperation
Honesty
Courage
Communication
Intelligence

2012 Cengage Learning. All Rights Reserved.

Principles of Business, 8e

PREPARING TO BE
A LEADER

C H AP T E R

SLIDE 12

Study leadership
Participate in organizations and activities
Practice leadership at work
Observe leaders
Work with a mentor
Do a self-analysis and ask for feedback

2012 Cengage Learning. All Rights Reserved.

Principles of Business, 8e

IMPORTANCE OF
HUMAN RELATIONS

C H AP T E R

SLIDE 13

Human relations skills

Self-understanding
Understanding others
Communication
Team building
Developing job satisfaction

2012 Cengage Learning. All Rights Reserved.

Principles of Business, 8e

C H AP T E R

SLIDE 14

Why do managers and leaders need

effective human relations skills?
Managers and leaders need effective
human relations skills because much of
their success depends on their ability to get
along well with all of the people with whom
they work and build effective work groups.

2012 Cengage Learning. All Rights Reserved.

Principles of Business, 8e

C H AP T E R

INFLUENCING PEOPLE

SLIDE 15

Kinds of influence
Position influence
Reward influence
Expert influence
Identity influence

Formal and informal influence

2012 Cengage Learning. All Rights Reserved.

Principles of Business, 8e

C H AP T E R

SLIDE 16

What is the difference between formal

and informal influence?
Formal influence results from a position
that is a part of the organizations structure.
Informal influence results from personal
characteristics and is not a formal position
in the organization.

2012 Cengage Learning. All Rights Reserved.

Principles of Business, 8e

7-3

Ethical
Management

Goal 1 Justify the need for ethical

management.
Goal 2 Identify the role of leaders in
increasing ethical behavior.

2012 Cengage Learning. All Rights Reserved.

SLIDE 17

IMPORTANCE
OF ETHICAL BEHAVIOR

C H AP T E R

SLIDE 18

Not everyone has the same belief about

what is ethical and what is not ethical.
Organizations should develop a clear view
of what is acceptable business behavior
and what is not.
Individuals and organizations develop
reputations based on their actions and the
decisions they make.
2012 Cengage Learning. All Rights Reserved.

Principles of Business, 8e

WHAT IS
ETHICAL BEHAVIOR?

C H AP T E R

SLIDE 19

It is lawful.
It is consistent with company values and
policies.
It is not intended to harm some so that
others can benefit.
If the actions and results become public, it
will not embarrass the company.
2012 Cengage Learning. All Rights Reserved.

Principles of Business, 8e

C H AP T E R

ETHICAL MANAGEMENT

SLIDE 20

Actions and activities of the business are legal,

honest, and ethical.
People and other companies treated fairly.
Work of the company improves the communities
and countries in which it operates.
Resources are used efficiently with
consideration of the effect on people and the
environment.

2012 Cengage Learning. All Rights Reserved.

Principles of Business, 8e

C H AP T E R

SLIDE 21

What are the two parts of ethical

behavior?
The actions of individuals and groups
The results of those actions

2012 Cengage Learning. All Rights Reserved.

Principles of Business, 8e