About US

 

About the Authors 

k STEPHEN P. ROBBINS received his Ph.D. from the University of Arizona. He previously worked for the Shell Oil Company and Reynolds Metals Company and has taught at the University of Nebraska at Omaha, Concordia University in Montreal, the University of Baltimore, Southern Illinois University at Edwardsville, and San Diego State University. He is currently professor emeritus in management at San Diego State. Dr. Robbins’s research interests have focused on conflict, power, and politics in organizations, behavioral decision making, and the development of effective interpersonal skills. His articles on these and other topics have appeared in such journals as Business Horizons, the California Management Review, Business and Economic Perspectives, International Management, Management Review, Canadian Personnel and Industrial Relations, and The Journal of Management Education. Dr. Robbins is the world’s best-selling textbook author in the areas of management and organizational behavior. His books have sold more than 7 million copies and have been translated into 20 languages. His books are currently used at more than 1,500 U.S. colleges and universities, as well as hundreds of schools throughout Canada, Latin America, Australia, New Zealand, Asia, Europe, and the Arab World. Dr. Robbins also participates in masters track competition. Since turning 50 in 1993, he’s won 23 national championships and 14 world titles. He was inducted into the U.S. Masters Track & Field Hall of Fame in 2005. MARY COULTER received her Ph.D. from the University of Arkansas. She held different jobs including high school teacher, legal assistant, and city government program planner before completing her graduate work. She has taught at Drury University, the University of Arkansas, Trinity University, and Missouri State University. She is currently professor emeritus of management at Missouri State University. In addition to Management, Dr. Coulter has published other books with Pearson including Fundamentals of Management (with Stephen P. Robbins), Strategic Management in Action, and Entrepreneurship in Action. When she’s not busy writing, Dr. Coulter enjoys puttering around in her flower gardens, trying new recipes, reading all different types of books, and enjoying many different activities with husband Ron, daughters and sons-in-law Sarah and James, and Katie and Matt, and most especially with her two grandkids, Brooklynn and Blake, who are the delights of her life!

The book you have before you is one of the world’s most popular introductory management textbooks. It’s used by several hundred U.S. colleges and universities; it’s translated into Spanish, French, Russian, Dutch, Bahasa, Korean, and Chinese; and there are adapted editions for Australia, Canada, India, and the Arab World. For a textbook first published in 1984—in a crowded market where there are currently several dozen choices, why has Robbins/Coulter Management been so popular and enduring? We believe there are three characteristics that set us apart: contemporary topic coverage, readability, and relevance. Contemporary Topic Coverage We have always prided ourselves on bringing the latest management issues and research to this book. In preparing each edition, we carefully comb the academic journals and business periodicals to identify topics that students need to be current on. For instance, prior editions of this book were the first to discuss self-managed teams, emotional intelligence, open-book management, sustainability, social entrepreneurship, stretch goals, the contingent workforce, self-managed careers, wearable technology, big data, and design thinking. This current edition continues the tradition by including a new section on disruptive innovation. No topic appears to be more current or important to students today than dealing with major structural changes taking place in industries as varied as automobiles, hotels, banking, TV networks, or book publishing. In fact, there are few industries that aren’t being threatened by disruptive innovation. In Chapter 7, we define disruptive innovation; explain why it’s important; describe who is vulnerable; and discuss implications for entrepreneurs, corporate managers, and your career planning. Key Changes to the 14th Edition • Chapter 7 on managing change has been expanded to include a discussion of disruptive innovation as an important driver of change. • The Part 2 module on creating and leading entrepreneurial ventures has become a separate chapter (Chapter 10). We’ve expanded our discussion, added end-of-chapter applications, and acknowledged the importance of entrepreneurship by giving it its own chapter. • The two chapters on organizational design have been merged into one chapter (Chapter 11) in response to comments by users and reviewers. But we’ve retained the key concepts that students need to know. • The addition of “Workplace Confidential” pages throughout the book which address common frustrations and challenges that employees face in the workplace. • Current and timely topics—including the Internet of things, real-time feedback, and choosing appropriate communication media, among others—have been added. • Dozens of current examples illustrating management practices and challenges in start-up and established organizations, small and large organizations, and manufacturing, service and technology organizations have been added. Readability Every author claims his or her books are highly readable. The reality is that few actually are. From the first edition of this book, we were determined to make the field of management interesting and engaging for the reader. How did we do it? First, we committed to a Preface xxix A01_ROBB7604_14_SE_FM.indd 29 03/10/16 6:38 PM xxx Preface conversational writing style. We wanted the book to read like normal people talk. Second, we relied on an extensive use of examples. As your senior author learned early in his teaching career, students don’t remember theories but they do remember stories. So you’ll find a wealth of current examples in this book. A well-written book should be able to be used successfully at all levels of higher education, from community colleges to graduate programs. And over its 30+ years of life, this book has done just that. You’ll find this book is used in community colleges, at for-profit colleges, by undergraduate students at both regional and land-grant universities, and in numerous graduate programs. Relevance Students are unlikely to be motivated if they think a course and its textbooks aren’t relevant to their career goals. We’ve responded to this challenge in a number of ways. Our latest inclusion is an important new feature—the Workplace Confidential pages— that’s designed to make this book more meaningful to non-management majors. We also want to highlight four additional features that have helped build this book’s reputation for practicality. Providing value to non-management students. New to this edition are in-chapter pages entitled Workplace Confidential. This unique feature marks a distinct break from what typically has been included in the traditional introductory management text. Your authors have long heard a common complaint about the introductory management course from students in majors such as accounting, finance, and marketing. As summed up by one accounting student: “Why do I need to take a management course? I have no interest in pursuing a career in management!” Even though that accounting student might some day lead an audit team or manage an office of a major CPA firm, we understand those non-management majors who question the relevance of this course to their career goals. We’ve listened and responded. We’ve made the contents of this 14th edition relevant to any student who plans to work in an organization. Regardless of whether an organization employs three people or 300,000, there are common challenges that every employee encounters. We’ve researched those challenges and identified the nearly dozen-and-a-half most frequent. Then we looked at providing students with guidance for dealing with these challenges. The result is the Workplace Confidential features that you’ll find throughout this book. For instance, you’ll find suggestions for dealing with organizational politics, job stress, coping with an uncommunicative or abusive boss, and responding to an unfair performance review. Insights from real managers. One feature that has differentiated Robbins/Coulter for more than 15 years is our “real” managers. Student feedback tells us that they appreciate learning from real managers in their everyday jobs. In Let’s Get Real boxes, actual managers respond to problem scenarios. In Leader Making a Difference boxes, you’ll meet a variety of global executives whose knowledge and skills significantly influenced organizational outcomes. Focus on skills. Today’s students need both knowledge (knowing) and skills (doing). Students want to leave class knowing what management is all about but also with the skills necessary to help them succeed in today’s workplaces. In response, you’ll find several features in this book that are designed to build skill expertise. It’s Your Career chapter openers cover skills ranging from managing time and being self aware to being a pro at giving feedback and being change ready. These chapter openers include information about the skill and are reinforced with a MyManagementLab component that tests students’ comprehension of the skill. Also, at the end of each chapter, you’ll find more skill exercises, where we provide a thorough discussion of additional skills and give students opportunities to practice these skills. Looking ahead. Students are going to spend most of their future work life in a setting that’s likely to look very different from today. To help students prepare for that future, we have included Future Vision boxes throughout the book that look at how A01_ROBB7604_14_SE_FM.indd 30 03/10/16 6:38 PM Preface xxxi management and organizations might change over the next 15 to 20 years. Although no one has a perfectly accurate view into the future, certain trends in place today offer insights into what tomorrow’s work world might look like. We draw from recent research and forecasts to consider this future. MyManagementLab Suggested Activities Making assessment activities available online for students to complete before coming to class will allow you, the instructor, more discussion time during the class to review areas that students are having difficulty in comprehending. The activities below are available in MyManagementLab and are integrated into the textbook. Watch It Recommends a video clip that can be assigned to students for outside classroom viewing or that can be watched in the classroom. The video corresponds to the chapter material and is accompanied by multiple-choice questions that reinforce students’ comprehension of the chapter content. Try It Recommends a mini simulation that can be assigned to students as an outside classroom activity or be done in the classroom. As the students watch the simulation they will be asked to make choices based on the scenario presented in the simulation. At the end of the simulation the student will receive immediate feedback based on the answers they gave. These simulations reinforce the concepts of the chapter and the students’ comprehension of those concepts. Talk About It These are discussion-type questions that can be assigned as an activity within the classroom. Write It Students can be assigned these broad-based, critical-thinking discussion questions that will challenge them to assimilate information that they’ve read in the chapter. Personal Inventory Assessments (PIA) Students learn better when they can connect what they are learning to their personal experience. PIA (Personal Inventory Assessments) is a collection of online exercises designed to promote self-reflection and engagement in students, enhancing their ability to connect with concepts taught in principles of management, organizational behavior, and human resource management classes. Assessments are assignable by instructors who can then track students’ completions. Student results include a written explanation along with a graphic display that shows how their results compare to the class as a whole. Instructors will also have access to this graphic representation of results to promote classroom discussion. Assisted Graded Writing Questions These are short essay questions that the students can complete as an assignment and submit to you, the professor, for grading.

What This Course Is About and Why It’s Important 

This course and this book are about management and managers. Managers are one thing that all organizations—no matter the size, kind, or location—need. And there’s no doubt that the world managers face has changed, is changing, and will continue to change. The dynamic nature of today’s organizations means both rewards and challenges for the individuals who will be managing those organizations. Management is a dynamic subject, and a textbook on it should reflect those changes to help prepare you to manage under the current conditions. We’ve written this 14th edition of Management to provide you with the best possible understanding of what it means to be a manager confronting change and to best prepare you for that reality. But not every student aspires to a career in management. And even if you do, you may be five or ten years away from reaching a managerial position. So you might rightly feel that taking a course in management now may be getting ahead of the game. We hear you. In response to these concerns, we’ve added new material to this book that is important and relevant to everyone working in an organization—manager and non-manager alike. Our “Workplace Confidential” pages identify, analyze, and offer suggestions for dealing with the major challenges that surveys indicate frustrate employees the most. You should find these pages valuable for helping you survive and thrive in your workplace. Surprisingly, this topic has rarely been addressed in business programs. Inclusion in an introductory management course appeared to us to be a logical place to introduce these challenges and to provide guidance in handling them. Instructor Resources At the Pearson’s Higher Ed catalog, https://overvieweverything-do-you-need.blogspot.com/, instructors can easily register to gain access to a variety of instructor resources available with this text in downloadable format. If assistance is needed, our dedicated 

Every author relies on the comments of reviewers, and ours have been very helpful. We want to thank the following people for their insightful comments and suggestions: Acknowledgments Michael Alleruzzo, St. Joseph University, PA Matthias Bollmus, Carroll University, WI Brione Burrows, Central Georgia Tech, GA M. Suzanne Clinton, University of Central Oklahoma, OK Dana J. Frederick, Missouri State University, MO Julia M. Fullick, Quinnipiac University, CT Karl Giulian, Atlantic Cape Community College, NJ Dan Morrell, Middle Tennessee State University, TN L. Renee Rogers, Forsyth Technical Community College, NC Our team at Pearson has been amazing to work with, as always! This team of editors, production experts, technology gurus, designers, marketing specialists, sales representatives, and warehouse employees works hard to turn our files into a bound textbook and a digital textbook and sees that it gets to faculty and students. We couldn’t do this without all of you! Our sincere thanks to the people who made this book “ready to go,” including Stephanie Wall, Kris Ellis-Levy, Claudia Fernandes, Hannah Lamarre, and Nancy Moudry, as well as Kathy Smith and the team at Cenveo. All of you are consummate professionals who truly are committed to publishing the best textbooks! We’re glad to have you on our team! Finally, Steve and Mary would like to thank Joe Martocchio at the University of Illinois and Lori Long at Baldwin Wallace University for helping with this revision. They were instrumental in updating the research, examples, boxes, skill exercises, and cases. This revision could never have been done without your assistance. We thank you so much!

03/10/16 6:38 PM It’s Your Career Part 1 Introduction to Management Chapter 1 Managers and You in the Workplace The ABC’s of Managing Your Time Are you BUSY? Do you always seem to have a lot to do and never seem to get it done, or done on time, or are things done at the last minute under a lot of pressure and stress? If you’re like most people, the answer to these questions is YES! Well, maybe in a management textbook we need to do something about that by focusing on one aspect of management that can be tremendously useful to you . . . TIME MANAGEMENT! Time is a unique resource and one of your most valuable resources. Time is also a limited resource. First, if it’s wasted, it can never be replaced. People talk about saving time, but time can never actually be saved. Second, unlike resources such as money or talent, which are distributed unequally in the world, time is an equal-opportunity resource. Each one of us gets exactly the same amount of time: 24 hours per day or 168 hours each week. But as you have undoubtedly observed, some people are a lot more efficient in using their allotment. It is not uncommon to hear others say that they need additional hours to get everything done, but that is simply wishful thinking. Commit to improving your ability to manage those 168 hours so you can be more efficient and effective—in your career and in your personal life! Here are some suggestions to help you better use your time: 1. Make and keep a list of all your current, upcoming, and routine goals. Know what needs to be done daily, weekly, and monthly. 2. Rank your goals according to importance. Not all goals are of equal importance. Given the limitations on your time, you want to make sure you give highest priority to the most important goals. 3. List the activities/tasks necessary to achieve your goals. What specific actions do you need to take to achieve your goals? 4. Divide these activities/tasks into categories using an A, B, and C classification. The A’s are important and urgent. B’s are either important or urgent, but not both. C’s are routine—not important nor urgent, but still need to be done. A key to success in management and in your career is having good time management skills. Source: valentint/Fotolia M01_ROBB7604_14_SE_CH01_pp002-pp029.indd 2 30/09/16 7:47 pm 3 Learning Objectives 5. Schedule your activities/tasks according to the priorities you’ve set. Prepare a daily plan. Every morning, or at the end of the previous workday, make a list of the five or so most important things you want to do for the day. Then set priorities for the activities listed on the basis of importance and urgency. 6. Plan your to-do list each day so that it includes a mixture of A, B, and C activities/tasks. And it’s best to spread the three types of tasks throughout your day so you’re not lumping together all your demanding tasks. Also, be realistic about what you can achieve in a given time period. 7. Recognize that technology makes it too easy to stay connected. Just think for a moment how many phone calls, e-mails, texts, postings on social media, and unscheduled visitors you receive on a typical day. Some are essential to the tasks at hand, while others are distractions that do not require immediate attention. Prioritize the importance of this information. 8. Realize that priorities may change as your day or week proceeds. New information may change a task’s importance or urgency. As you get new information, reassess your list of priorities and respond accordingly. 9. Remember that your goal is to manage getting your work done as efficiently and effectively as you can. It’s not to become an expert at creating to-do lists. Find what works best for you and use it! Like many students, you’ve probably had a job (or two) at some time or another while working on your degree. And your work experiences, regardless of where you’ve worked, are likely to have been inuenced by the skills and abilities of your manager. What are today’s successful managers like and what skills do they need in dealing with the problems and challenges of managing in the twenty-rst century? This text is about the important work that managers do. The reality facing today’s managers—and that might include you in the near future—is that the world is changing. In workplaces of MyManagementLab® Improve Your Grade! When you see this icon, visit www.mymanagementlab.com for activities that are applied, personalized, and offer immediate feedback. ● SKILL OUTCOMES 1.1 Tell who managers are and where they work. ● Know how to manage your time. 1.2 Explain why managers are important to organizations. 1.3 Describe the functions, roles, and skills of managers. ● Develop your skill at being politically aware. 1.4 Describe the factors that are reshaping and redefining the manager’s job. 1.5 Explain the value of studying management. M01_ROBB7604_14_SE_CH01_pp002-pp029.indd 3 30/09/16 7:47 pm 4 Part 1 Introduction to Management all types—o‚ces, stores, labs, restaurants, factories, and the like—managers deal with changing expectations and new ways of managing employees and organizing work. In this chapter, we introduce you to managers and management by looking at (1) who managers are and where they work, (2) why managers are important, and (3) what managers do. Finally, we wrap up the chapter by (4) looking at the factors reshaping and redening the manager’s job and (5) discussing why it’s important to study management.

WHO are managers and where do they work? Managers may not be who or what you might expect! Managers can range in age from 18 to 80+. They run large corporations, medium-sized businesses, and entrepreneurial start-ups. They’re also found in government departments, hospitals, not-for-prot agencies, museums, schools, and even nontraditional organizations such as political campaigns and music tours. Managers can also be found doing managerial work in every country on the globe. In addition, some managers are top-level managers while others are rst-line managers. And today, managers are just as likely to be women as they are men; however, the number of women in top-level manager positions remains low—only 24 (4%) women were CEOs of Fortune 500 companies in 2014.1 Similarly, only 20 (4%) were minorities. Even in government leadership roles, women are far outnumbered by men in the U.S. Senate and House of Representatives, representing approximately 20 percent of these total elected o‚cials.2 But no matter where managers are found or what gender or race they are, managers have exciting and challenging jobs! Who Is a Manager? It used to be fairly simple to dene who managers were: They were the organizational members who told others what to do and how to do it. It was easy to dižerentiate managers from nonmanagerial employees. Now, it isn’t quite that simple. In many organizations, the changing nature of work has blurred the distinction between managers and nonmanagerial employees. Many traditional nonmanagerial jobs now include managerial activities.3 For example, the gaming company Valve does not award job titles, and there is little formal supervision. Virtually any employee is free to start a project as long as the employee obtains funding and assembles a project team.4 Or consider an organization like Morning Star Company, the world’s largest tomato processor, where no employees are called managers—just 400 full-time employees who do what needs to be done and who together “manage” issues such as job responsibilities, compensation decisions, and budget decisions.5 Sounds crazy, doesn’t it? But it works—for this organization. (See Case Application 2 at the end of the chapter to see how another business—Zappos—has gone bossless!) So, how do we dene who managers are? A manager is someone who coordinates and oversees the work of other people so organizational goals can be accomplished. A manager’s job is not about personal achievement—it’s about helping others do their work. That may mean coordinating the work of a departmental group, or it might mean supervising a single person. It could involve coordinating the work activities of a team with people from dižerent departments or even people outside the organization such as temporary employees or individuals who work for the organization’s suppliers. Keep in mind that managers may also have work duties not related to coordinating and overseeing others’ work. For example, an insurance claims supervisor might process claims in addition to coordinating the work activities of other claims clerks. How can managers be classied in organizations? In traditionally structured organizations (often pictured as a pyramid because more employees are at lower 

organizational levels than at upper organizational levels), managers can be classi- ed as rst-line, middle, or top. (See Exhibit 1-1.) At the lowest level of management, first-line (or frontline) managers manage the work of nonmanagerial employees who typically are involved with producing the organization’s products or servicing the organization’s customers. These managers often have titles such as supervisors or even shift managers, district managers, department managers, or oce managers. Middle managers manage the work of rst-line managers and can be found between the lowest and top levels of the organization. They may have titles such as regional manager, project leader, store manager, or division manager. Middle managers are mainly responsible for turning company strategy into action. At the upper levels of the organization are the top managers, who are responsible for making organization-wide decisions and establishing the plans and goals that ažect the entire organization. These individuals typically have titles such as executive vice president, president, managing director, chief operating ocer, or chief executive ocer. Not all organizations are structured to get work done using a traditional pyramidal form, however. Some organizations, for example, are more loosely congured, with work done by ever-changing teams of employees who move from one project to another as work demands arise. For instance, at General Cable Corporation’s facility in Moose Jaw, Saskatchewan, Canada, managerial responsibilities are shared by managers and team members. Most of the employees at Moose Jaw are cross-trained and multiskilled. Within a single shift, an employee can be a team leader, equipment operator, maintenance technician, quality inspector, or improvement planner.6 Although it’s not as easy to tell who the managers are in these organizations, we do know that someone must fulll that role—that is, someone must coordinate and oversee the work of others, even if that “someone” changes as work tasks or projects change or that “someone” doesn’t necessarily have the title of manager. Where Do Managers Work? It’s obvious that managers work in organizations. But what is an organization? It’s a deliberate arrangement of people to accomplish some specic purpose. Your college or university is an organization; so are fraternities and sororities, government departments, churches, Google, your neighborhood grocery store, the United Way, the St. Louis Cardinals baseball team, and the Mayo Clinic. All are considered organizations and have three common characteristics. (See Exhibit 1-2.)

Part 1 Introduction to Management First, an organization has a distinct purpose typically expressed through goals the organization hopes to accomplish. Second, each organization is composed of people. It takes people to perform the work that’s necessary for the organization to achieve its goals. Third, all organizations develop a deliberate structure within which members do their work. That structure may be open and exible, with no specic job duties or strict adherence to explicit job arrangements. For instance, most big projects at Google (at any one time, hundreds of projects are in process simultaneously) are tackled by small, focused employee teams that set up in an instant and complete work just as quickly.8 Or the structure may be more traditional—like that of Procter & Gamble or General Electric or any large corporation—with clearly dened rules, regulations, job descriptions, and some members identied as “bosses” who have authority over other members. In the military, there is a well-dened hierarchy. In the U.S. Air Force, the General of the Air Force is the highest ranking o‚cer and Second Lieutenant is the lowest ranking o‚cer. Between the two are nine o‚cer ranks. Many of today’s organizations are structured more like Google, with exible work arrangements, employee work teams, open communication systems, and supplier alliances. In these organizations, work is dened in terms of tasks to be done. And workdays have no time boundaries since work can be—and is—done anywhere, anytime. However, no matter what type of approach an organization uses, some deliberate structure is needed so work can get done, with managers overseeing and coordinating that work. FYI • Frontline managers directly supervise some 93 percent of all nonsupervisory employees. • 9.3 million managers and executives were in the U.S. workforce in 2014. • 6.9 million middle managers were in the U.S. workforce • 2.4 million top executives were in the U.S. workforce.7 While this text presents a fairly accurate description of today’s workplace, you’re going to spend most of your work life in the future. What will that work life look like? How will it be different from today? The workplace of tomorrow is likely to include workers that are faster, smarter, more responsible—and who just happen to be robots.9 Are you at all surprised by this statement? Although robots have been used in factory and industrial settings for a long time, it’s becoming more common to find robots in the office, and it’s bringing about new ways of looking at how work is done and at what and how managers manage. So what would the manager’s job be like managing robots? And even more intriguing is how these “workers” might affect how human coworkers interact with them. As machines have become smarter, researchers have been looking at human-machine interaction and how people interact with the smart devices that are now such an integral part of our professional and personal lives. One conclusion is that people find it easy to bond with a robot, even one that doesn’t look or sound anything like a real person. In a workplace setting, if a robot moves around in a “purposeful way,” people tend to view it, in some ways, as a coworker. People name their robots and can even describe the robot’s moods and tendencies. As telepresence robots become more common, the humanness becomes even more evident. FUTURE V I S I O N Is It Still Managing When What You’re Managing Are Robots? For example, when Erwin Deininger, the electrical engineer at Reimers Electra Steam, a small company in Clear Brook, Virginia, moved to the Dominican Republic when his wife’s job transferred her there, he was able to still be “present” at the company via his VGo robot. Now “robot” Deininger moves easily around the office and the shop floor, allowing the “real” Deininger to do his job just as if he were there in person. The company’s president, satisfied with how the robot solution has worked out, has been surprised at how he acts around it, feeling at times that he’s interacting with Deininger himself. There’s no doubt that robot technology will continue to be incorporated into organizational settings. The manager’s job will become even more exciting and challenging as humans and machines work together to accomplish an organization’s goals. If your professor has chosen to assign this, go to www.mymanagementlab.com to discuss the following questions. TALK ABOUT IT 1: What’s your response to the title of this box: Is it still managing when what you’re managing are robots? Discuss. TALK ABOUT IT 2: If you had to “manage” people and robots, how do you think your job as manager might be different than what the chapter describes? M01_ROBB7604_14_SE_CH01_pp002-pp029.indd 6 30/09/16 7:47 pm Chapter 1 Managers and You in the Workplace 7 WHY are managers important? What can a great boss do? • Inspire you professionally and personally • Energize you and your coworkers to accomplish things together that you couldn’t get done by yourself • Provide coaching and guidance with problems • Provide you feedback on how you’re doing • Help you to improve your performance • Keep you informed of organizational changes • Change your life10 If you’ve worked with a manager like this, consider yourself lucky. Such a manager can make going to work a lot more enjoyable and productive. However, even managers who don’t live up to such lofty ideals and expectations are important to organizations. Why? Let’s look at three reasons. The rst reason why managers are important is because organizations need their managerial skills and abilities more than ever in uncertain, complex, and chaotic times. As organizations deal with today’s challenges—changing workforce dynamics, the worldwide economic climate, changing technology, ever-increasing globalization, and so forth—managers play an important role in identifying critical issues and crafting responses. For example, BlackBerry Limited introduced software for autonomous cars. The company’s vehicle-tovehicle software will enable cars to communicate with each other to prevent collisions and improve tra‚c ow.11 Teams of talented scientists and engineers create the hardware and software to make this possible. But it takes more than that to be successful. There has to be a focus on commercial potential. For example, Virgin Galactic and Xcor Aerospace are working toward creating a new industry—space tourism for civilians. These companies possess the technological and scientic know-how and resources to make this a reality; however, the fare for a suborbital ight around Earth is expected to be about $100,000 per passenger.12 Most people will not have the discretionary funds to take these ights. That’s why, behind the scenes, you’d also nd a team of managers who scrutinize ideas and focus on the question: Is there a sustainable market? These managers realize what is critical to success. The opposite “types” have worked together and created a successful business.13 Another reason why managers are important to organizations is because they’re critical to getting things done. For instance, AT&T has some 6,750 general managers who manage the work of thousands of frontline employees.14 These managers deal with all kinds of issues as the company’s myriad tasks are carried out. They create and coordinate the workplace environment and work systems so that others can perform those tasks. Or, if work isn’t getting done or isn’t getting done as it should be, they’re the ones who nd out why and get things back on track. And these managers are key players in leading the company into the future. Finally, managers do matter to organizations! How do we know that? The Gallup Organization, which has polled millions of employees and tens of thousands of managers, has found that the single most important variable in employee productivity and loyalty isn’t pay or benets or workplace environment—it’s the quality of the relationship between employees and their direct supervisors.15 In addition, global consulting rm Towers Watson found that the way a company manages and engages its people can signicantly ažect its nancial performance.16 Companies that hire managers based on talent realize a 48 percent increase in protability, a 22 percent increase in productivity, a 30 percent increase in employee engagement scores, a 17 percent increase in customer engagement scores, and a 19 percent decrease in turnover.17 That’s scary considering another study by the Gallup Organization found that leadership is the single largest inuence on employee engagement.18 In yet another study by dižerent researchers, 44 percent of the respondents said their supervisors strongly increased engagement.19 However, in this same study, 41 percent of respondents also said their supervisors strongly decreased engagement. And, a dižerent study of organizational performance found that managerial ability was important in creating organizational value.20 So, as you can see, managers can and do have an impact—positive and negative. What can we conclude from such reports? Managers are important—and they do matter! LO1.2 M01_ROBB7604_14_SE_CH01_pp002-pp029.indd 7 30/09/16 7:47 pm 8 Part 1 Introduction to Management WHAT do managers do? Simply speaking, management is what managers do. But that simple statement doesn’t tell us much, does it? Let’s look rst at what management is before discussing more specically what managers do. Management involves coordinating and overseeing the work activities of others so their activities are completed e‚ciently and ežectively. We already know that coordinating and overseeing the work of others is what distinguishes a managerial position from a nonmanagerial one. However, this doesn’t mean that managers or their employees can do what they want anytime, anywhere, or in any way. Instead, management involves ensuring that work activities are completed e‚ciently and ežectively by the people responsible for doing them, or at least that’s what managers should be doing. Efficiency refers to getting the most output from the least amount of inputs or resources. Managers deal with scarce resources—including people, money, and equipment—and want to use those resources e‚ciently. E‚ciency is often referred to as “doing things right,” that is, not wasting resources. For instance, Southwest Airlines has achieved operating e‚ciency through a variety of practices, which include using one aircraft model (Boeing 737) throughout its eet. Using one model simplies scheduling, operations, and ight maintenance, and the training costs for pilots, ground crew, and mechanics are lower because there’s only a single aircraft to learn.21 These e‚cient work practices paid ož, as Southwest has made a prot for 42 consecutive years!22 It’s not enough, however, just to be e‚cient. Management is also concerned with employee ežectiveness. Effectiveness is often described as “doing the right things,” that is, doing those work activities that will result in achieving goals. Besides being e‚cient, Southwest Airlines’ mission is “dedication to the highest quality of Customer Service delivered with a sense of warmth, friendliness, individual pride, and Company Spirit.”23 Two of the many reasons cited for the airlines’ ežectiveness are permitting two checked bags for free and permitting a change in itinerary without incurring a penalty.24 Whereas e‚ciency is concerned with the means of getting things done, ežectiveness is concerned with the ends, or attainment of organizational goals (see Exhibit 1-3). In successful organizations, high e‚ciency and high ežectiveness typically go hand in hand. Poor management (which leads to poor performance) usually involves being ine‚cient and inežective or being ežective but ine‚cient. LO1.3 management Coordinating and overseeing the work activities of others so their activities are completed eciently and eectively efficiency Doing things right, or getting the most output from the least amount of inputs effectiveness Doing the right things, or doing those work activities that will result in achieving goals Goal Attainment Effectiveness (Ends) Resource Usage Management Strives for: Low Resource Waste (high efciency) High Goal Attainment (high effectiveness) Efciency (Means) Low Waste High Attainment Exhibit 1-3 Efficiency and Effectiveness in Management Time Management—If your instructor is using MyManagementLab, log onto www. mymanagementlab.com and test your time management knowledge. Be sure to refer back to the chapter opener! Now let’s take a more detailed look at what managers do. Describing what managers do isn’t easy. Just as no two organizations are alike, no two managers’ jobs are alike. In spite of this, management researchers have developed three approaches to describe what managers do: functions, roles, and skills. It’s Your Career M01_ROBB7604_14_SE_CH01_pp002-pp029.indd 8 30/09/16 7:47 pm Chapter 1 Managers and You in the Workplace 9 Management Functions According to the functions approach, managers perform certain activities or functions as they e‚ciently and ežectively coordinate the work of others. What are these functions? Henri Fayol, a French businessman in the early part of the twentieth century, suggested that all managers perform ve functions: planning, organizing, commanding, coordinating, and controlling.25 (See Management History Module for more information.) Today, we use four functions to describe a manager’s work: planning, organizing, leading, and controlling (see Exhibit 1-4). Let’s briey look at each. If you have no particular destination in mind, then any road will do. However, if you have someplace in particular you want to go, you’ve got to plan the best way to get there. Because organizations exist to achieve some particular purpose, someone must dene that purpose and the means for its achievement. Managers are that someone. As managers engage in planning, they set goals, establish strategies for achieving those goals, and develop plans to integrate and coordinate activities. Managers are also responsible for arranging and structuring work that employees do to accomplish the organization’s goals. We call this function organizing. When managers organize, they determine what tasks are to be done, who is to do them, how the tasks are to be grouped, who reports to whom, and where decisions are to be made. Every organization has people, and a manager’s job is to work with and through people to accomplish goals. This is the leading function. When managers motivate subordinates, help resolve work group conicts, inuence individuals or teams as they work, select the most ežective communication channel, or deal in any way with employee behavior issues, they’re leading. The nal management function is controlling. After goals and plans are set (planning), tasks and structural arrangements are put in place (organizing), and people are hired, trained, and motivated (leading), there has to be an evaluation of whether things are going as planned. To ensure goals are met and work is done as it should be, managers monitor and evaluate performance. Actual performance is compared with the set goals. If those goals aren’t achieved, it’s the manager’s job to get work back on track. This process of monitoring, comparing, and correcting is the controlling function. Just how well does the functions approach describe what managers do? Do managers always plan, organize, lead, and then control? Not necessarily. What a manager does may not always happen in this sequence. However, regardless of the order in which these functions are performed, managers do plan, organize, lead, and control as they manage. planning Management function that involves setting goals, establishing strategies for achieving those goals, and developing plans to integrate and coordinate activities organizing Management function that involves arranging and structuring work to accomplish the organization’s goals leading Management function that involves working with and through people to accomplish organizational goals controlling Management function that involves monitoring, comparing, and correcting work performance Leading is an important function of The Container Store manager Jaimie Moeller (left). She influences the behavior of employees by leading them in a team huddle before they begin their work day. Coaching employees to succeed in the store’s team-selling environment helps Moeller achieve the store’s sales performance and customer service goals. Source: ZUMA Press Inc/Alamy Planning Setting goals, establishing strategies, and developing plans to coordinate activities Organizing Determining what needs to be done, how it will be done, and who is to do it Leading Motivating, leading, and any other actions involved in dealing with people Controlling Monitoring activities to ensure that they are accomplished as planned Achieving the organization’s stated purposes Planning Setting goals, establishing strategies, and developing plans to coordinate activities Organizing Determining what needs to be done, how it will be done, and who is to do it Leading Motivating, leading, and any other actions involved in dealing with people Controlling Monitoring activities to ensure that they are accomplished as planned Achieving the organization’s stated purposes Exhibit 1-4 Four Functions of Management Although the functions approach is a popular way to describe what managers do, some have argued that it isn’t relevant.26 So let’s look at another perspective.

R O L ES D E CISIONAL ROLES INTERPERSONAL ROLES INFORMATIONA S NAL ROLES INTER ROLES Figurehead Leader Liaison Disseminator Negotiator Spokesperson Resource Allocator Disturbance Handler Entrepreneur Monitor Mintzberg’s Managerial Roles Exhibit 1-5 Mintzberg’s Managerial Roles Source: Based on H. Mintzberg, The Nature of Managerial Work (New York: Prentice Hall, 1983). Top Managers Conceptual Human Technical Middle Managers Conceptual Human Technical Lower-Level Managers Conceptual Human Technical Exhibit 1-6 Skills Needed at Different Managerial Levels M01_ROBB7604_14_SE_CH01_pp002-pp029.indd 11 30/09/16 7:47 pm 1

et’s get The Scenario: Micah, one of your best employees, was just promoted to a managerial position. You invited him to lunch to celebrate and to see what was on his mind about his new position. Waiting for your food to arrive, you asked him if he had any concerns or questions about being a manager. Looking straight at you, Micah said, “How is being a manager going to be different? What will I do as a manager?” How would you respond? Being a manager means that you have a greater responsibility to consider, and keep in mind big-picture organizational goals and how your work and that of your sta‡ contribute to those goals. As a manager you also have a responsibility to think about development opportunities for any team members who may now report to you. How will you help to put them on a path toward growth and success? Maribel Lara Director, Account Management Source: Maribel Lara Mintzberg’s Managerial Roles and a Contemporary Model of Managing Henry Mintzberg, a well-known management researcher, studied actual managers at work. In his rst comprehensive study, Mintzberg concluded that what managers do can best be described by looking at the managerial roles they engage in at work.27 The term managerial roles refers to specic actions or behaviors expected of and exhibited by a manager. (Think of the dižerent roles you play—student, employee, student organization member, volunteer, sibling, and so forth—and the dižerent things you’re expected to do in these roles.) When describing what managers do from a roles perspective, we’re not looking at a specic person per se, but at the expectations and responsibilities associated with the person in that role—the role of a manager.28 As shown in Exhibit 1-5, these 10 roles are grouped around interpersonal relationships, the transfer of information, and decision making. The interpersonal roles involve people (subordinates and persons outside the organization) and other ceremonial and symbolic duties. The three interpersonal roles include figurehead, leader, and liaison. The informational roles involve collecting, receiving, and disseminating information. The three informational roles include monitor, disseminator, and spokesperson. Finally, the decisional roles entail making decisions or choices and include entrepreneur, disturbance handler, resource allocator, and negotiator. As managers perform these roles, Mintzberg proposed that their activities included both reflection (thinking) and action (doing).29 A number of follow-up studies have tested the validity of Mintzberg’s role categories, and the evidence generally supports the idea that managers—regardless of the type of organization or level in the organization—perform similar roles.30 However, the emphasis that managers give to the various roles seems to change with organizational level.31 At higher levels of the organization, the roles of disseminator, gurehead, negotiator, liaison, and spokesperson are more important; while the leader role (as Mintzberg dened it) is more important for lower-level managers than it is for either middle or top-level managers

. WORKPLACE CONFIDENTIAL Dealing with Organizational Politics In an ideal world, the good guys always win, everyone tells the truth, and job promotions and generous pay raises go to the most deserving candidate. Unfortunately, we don’t live in such an ideal world. The world we live in is a political one. Politics is a fact of life in organizations. People who ignore this fact do so at their own peril. But why, you may wonder, must politics exist? Isn’t it possible for an organization to be politics free? It’s possible, but most unlikely. Organizations are made up of individuals and groups with different values, goals, and interests. This sets up the potential for conflict over resources. Departmental budgets, office allocations, project responsibilities, promotion choices, and salary adjustments are just a few examples of the resources about whose allocation organizational members will disagree. Resources in organizations are also limited, which turns potential conflict into real conflict. If resources were abundant, then all the various constituencies within the organization could satisfy their goals. But because they are limited, not everyone’s interests can be provided for. Furthermore, whether true or not, gains by one individual or group are often perceived as being at the expense of others within the organization. These forces create a competition among members for the organization’s limited resources. Maybe the most important factor leading to politics within organizations is the realization that most of the facts that are used to allocate the limited resources are open to interpretation. What, for instance, is good performance? What’s an adequate improvement? What constitutes an unsatisfactory job? One person’s team player is another’s “yes man.” So it is the large and ambiguous middle ground of organizational life—where the facts don’t speak for themselves—that politics flourish. The above explains why some people in the workplace lie, misrepresent, conceal, backstab, play favorites, scheme, pass the buck, deny responsibility, form alliances, or engage in similar political actions. If you want to improve your political skills at work, we offer the following suggestions: • Frame arguments in terms of organizational goals. People whose actions appear to blatantly further their own interests at the expense of the organization are almost universally denounced, are likely to lose influence, and often suffer the ultimate penalty of being expelled from the organization. Challenges to your actions are not likely to gain much support if your actions appear to be in the best interests of the organization. • Develop the right image. Make sure you understand what your organization wants and values from its employees— in terms of dress, associates to cultivate and those to avoid, whether to appear to be a risk taker or risk averse, the importance of getting along with others, and so forth. Because the assessment of your performance is rarely a fully objective process, you need to pay attent.

The Universality of Management Just how universal is the need for management in organizations? We can say with absolute certainty that management is needed in all types and sizes of organizations, at all organizational levels and in all organizational work areas, and in all organizations, no matter where they’re located. This is known as the universality of management. sustainability A company’s ability to achieve its business goals and increase longterm shareholder value by integrating economic, environmental, and social opportunities into its business strategies LO1.5 universality of management The reality that management is needed in all types and sizes of organizations, at all organizational levels, in all organizational areas, and in organizations no matter where located M01_ROBB7604_14_SE_CH01_pp002-pp029.indd 17 30/09/16 7:48 pm 18 Part 1 Introduction to Management (See Exhibit 1-9.) In all these organizations, managers must plan, organize, lead, and control. However, that’s not to say that management is done the same way. What a supervisor in an applications testing group at Twitter does versus what the CEO of Twitter does is a matter of degree and emphasis, not function. Because both are managers, both will plan, organize, lead, and control. How much and how they do so will dižer, however. Management is universally needed in all organizations, so we want to nd ways to improve the way organizations are managed. Why? Because we interact with organizations every single day. Organizations that are well managed—and we’ll share many examples of these throughout the text—develop a loyal customer base, grow, and prosper, even during challenging times. Those that are poorly managed nd themselves losing customers and revenues. By studying management, you’ll be able to recognize poor management and work to get it corrected. In addition, you’ll be able to recognize and support good management, whether it’s in an organization with which you’re simply interacting or whether it’s in an organization in which you’re employed. All Sizes of Organizations Small Large All Types of Organizations Pro t Not-for-Pro t All Organization Levels Bottom Top All Organizational Areas Manufacturing—Marketing Human Resources—Accounting Information Systems—etc. Management Is Needed in... Exhibit 1-9 Universal Need for Management If your professor has assigned this, go to www.mymanagementlab.com to complete Simulation: Managing Your Career and get a feel for your career goals. The Reality of Work Another reason for studying management is the reality that for most of you, once you graduate from college and begin your career, you will either manage or be managed. For those who plan to be managers, an understanding of management forms the foundation upon which to build your management knowledge and skills. For those of you who don’t see yourself managing, you’re still likely to have to work with managers. Also, assuming that you’ll have to work for a living and recognizing that you’re very likely to work in an organization, you’ll probably have some managerial responsibilities even if you’re not a manager. Our experience tells us that you can gain a great deal of insight into the way your boss (and fellow employees) behave and how organizations function by studying management. Our point is that you don’t have to aspire to be a manager to gain something valuable from a course in management. Rewards and Challenges of Being a Manager We can’t leave our discussion here without looking at the rewards and challenges of being a manager. (See Exhibit 1-10.) What does it mean to be a manager in today’s workplace? First, there are many challenges. It can be a tough and often thankless job. In addition, a portion of a manager’s job (especially at lower organizational levels) may entail duties that are often more clerical (compiling and ling reports, dealing with bureaucratic procedures, or doing paperwork) than managerial.62 Managers also spend significant amounts of time in meetings and dealing with interruptions, which can be time Try It 2! M01_ROBB7604_14_SE_CH01_pp002-pp029.indd 18 30/09/16 7:48 pm Chapter 1 Managers and You in the Workplace 19 consuming and sometimes unproductive.63 Managers often have to deal with a variety of personalities and have to make do with limited resources. It can be a challenge to motivate workers in the face of uncertainty and chaos. And managers may nd it di‚cult to successfully blend the knowledge, skills, ambitions, and experiences of a diverse work group. Finally, as a manager, you’re not in full control of your destiny. Your success typically is dependent on others’ work performance. Despite these challenges, being a manager can be rewarding. You’re responsible for creating a work environment in which organizational members can do their work to the best of their ability and thus help the organization achieve its goals. You help others nd meaning and fulllment in their work. You get to support, coach, and nurture others and help them make good decisions. In addition, as a manager, you often have the opportunity to think creatively and use your imagination. You’ll get to meet and work with a variety of people—both inside and outside the organization. Other rewards may include receiving recognition and status in your organization and in the community, playing a role in inuencing organizational outcomes, and receiving attractive compensation in the form of salaries, bonuses, and stock options. Finally, as we said earlier in the chapter, organizations need good managers. It’s through the combined ežorts of motivated and passionate people working together that organizations accomplish their goals. As a manager, you can be assured that your ežorts, skills, and abilities are needed. Gaining Insights into Life at Work A good number of students regularly remind your authors that they are not planning a career in management. These students’ career goals are to be accountants or nancial analysts or marketing researchers or computer programmers. They ask us: Why do I need to take a management course? Our answer is: Because understanding management concepts and how managers think will help you get better results at work and enhance your career. And who knows, you may become a manager someday. Oftentimes, successful employees are promoted to managerial roles. For example, you may begin your career as an auditor with a major accounting rm and nd, a few years later, you’re overseeing an audit team or you’re a partner thrust into managing a regional o‚ce. For instance, throughout this book you’ll encounter pages that we call “Workplace Condential.” This feature will introduce you to challenges you’re likely to face at work—like organizational politics, an uncommunicative boss, or an unfair performance review—and ožer you specic suggestions on how to deal with these challenges. If you expect to work with others—whether it’s in a Fortune 100 corporation or in a three-person start-up—studying Management can pay demonstrable dividends. Exhibit 1-10 Rewards and Challenges of Being a Manager Rewards Challenges • Create a work environment in which organizational members can work to the best of their ability • Have opportunities to think creatively and use imagination • Help others find meaning and fulfillment in work • Support, coach, and nurture others • Work with a variety of people • Receive recognition and status in organization and community • Play a role in influencing organizational outcomes • Receive appropriate compensation in the form of salaries, bonuses, and stock options • Good managers are needed by organizations • Do hard work • May have duties that are more clerical than managerial • Have to deal with a variety of personalities • Often have to make do with limited resources • Motivate workers in chaotic and uncertain situations • Blend knowledge, skills, ambitions, and experiences of a diverse work group • Success depends on others’ work performance M01_ROBB7604_14_SE_CH01_pp002-pp029.indd 19 30/09/16 7:48 pm 20 Part 1 Introduction to Management • Gain control of organizational resources. The control of organizational resources that are scarce and important is a source of influence. Knowledge and expertise are particularly effective resources to control. These resources make you more valuable to the organization and, therefore, more likely to gain security, advancement, and a receptive audience for your ideas. • Make yourself appear indispensable. You don’t have to be indispensable as long as key people in your organization believe that you are. If the organization’s prime decision makers believe there is no ready substitute for what you bring to the organization, your job is likely safe and you’re likely to be treated well. • Be visible. If you have a job that brings your accomplishments to the attention of others, that’s great. However, if not—without creating the image of a braggart—you’ll want to let others know what you’re doing by giving progress reports to your boss and others, having satisfied customers relay their appreciation to higher-ups, being seen at social functions, being active in your professional associations, and developing powerful allies who can speak positively about your accomplishments. • Develop powerful allies. It is often beneficial to have friends in high places. Network by cultivating contacts with potentially influential people above you, at your own level, and in the lower ranks. These allies often can provide you with information that’s otherwise not readily available and provide you with support if and when you need it. Having a mentor in the organization who is well respected is often a valuable asset. • Avoid “tainted” members. In almost every organization, there are fringe members whose status is questionable. Their performance and/or loyalty are suspect. Or they have strange personalities. Keep your distance from such individuals. Given the reality that effectiveness has a large subjective component, your own effectiveness might be called into question if you’re perceived as being too closely associated with tainted members. • Support your boss. Your immediate future is in the hands of your current boss. Because that person evaluates your performance, you’ll typically want to do whatever is necessary to have your boss on your side. You should make every effort to help your boss succeed, make her look good, support her if she is under siege, and spend the time to find out the criteria she will use to assess your effectiveness. Don’t undermine your boss. And don’t speak negatively of her to others. Based on D. Krackhardt, “Assessing the Political Landscape: Structure, Cognition, and Power in Organizations,” Administrative Science Quarterly, June 1990, pp. 342–369; G. R. Ferris, S. L. Davidson, and P.L. Perrewé, Political Skill at Work: Impact on Work Effectiveness (Mountain View, CA: DaviesBlack Publishing, 2005); and J. Bolander, "