Answer Key - Fund. of Management Chpt 1-7
Chapter 1
UNDERSTANDING THE CHAPTER 1. What is an organization and why are managers important to an organization’s success?
Answer – An organization is a systematic arrangement of people brought together to accomplish some specific purpose. All organizations share three common characteristics. 1) Every organization has a purpose and is made up of people who are grouped in some fashion. 2) No purpose or goal can be achieved by itself, therefore organizations have members. 3) All organizations develop a systematic structure that defines and limits the behavior of its members. Organization—an entity that has a distinct purpose, has people or members, and has a systematic structure.
Managers direct the activities of other people in the organization. Customarily classified as top, middle, or first line, they supervise both operative employees and lower-level managers. First-line managers are responsible for directing the day-to-day activities of operative employees. Middle managers manage other managers and possibly some operative employees. They are responsible for translating the goals set by top management into specific details. Top managers are responsible for making decisions about the direction of the organization and establishing policies that affect all organizational members. 2. Are all effective organizations also efficient? Discuss. If you had to choose between being effective or being efficient, which one would you say is more important? Why?
Answer – Management is the process of getting things done, effectively and efficiently, through and with other people. Effectiveness and efficiency deal with what we are doing and how we are doing it. Efficiency means doing the task right and refers to the relationship between inputs and outputs. Effectiveness means doing the right task, which translates into goal attainment. Efficiency and effectiveness are interrelated.
It’s easier to be effective if one ignores efficiency. Good management is
UNDERSTANDING THE CHAPTER 1. What is an organization and why are managers important to an organization’s success?
Answer – An organization is a systematic arrangement of people brought together to accomplish some specific purpose. All organizations share three common characteristics. 1) Every organization has a purpose and is made up of people who are grouped in some fashion. 2) No purpose or goal can be achieved by itself, therefore organizations have members. 3) All organizations develop a systematic structure that defines and limits the behavior of its members. Organization—an entity that has a distinct purpose, has people or members, and has a systematic structure.
Managers direct the activities of other people in the organization. Customarily classified as top, middle, or first line, they supervise both operative employees and lower-level managers. First-line managers are responsible for directing the day-to-day activities of operative employees. Middle managers manage other managers and possibly some operative employees. They are responsible for translating the goals set by top management into specific details. Top managers are responsible for making decisions about the direction of the organization and establishing policies that affect all organizational members. 2. Are all effective organizations also efficient? Discuss. If you had to choose between being effective or being efficient, which one would you say is more important? Why?
Answer – Management is the process of getting things done, effectively and efficiently, through and with other people. Effectiveness and efficiency deal with what we are doing and how we are doing it. Efficiency means doing the task right and refers to the relationship between inputs and outputs. Effectiveness means doing the right task, which translates into goal attainment. Efficiency and effectiveness are interrelated.
It’s easier to be effective if one ignores efficiency. Good management is