Intro To Business Chapter 2 Notes
Intro To Business Chapter 2 Notes
● Managers are responsible for getting the work to be done mostly by other people
● They can use threats to motivate their employees
○ Though this doesn’t always work
● They have to determine the best ways to work with their employees
● Management Role - Common set of activities that makes up an important part of a
manager’s job
● Managers need to be good communicators
○ Need to make sure that important information is gathered and shared with those
who need it
○ They communicate with people both inside and outside the organization
● They are relationship builders
○ They represent the company
○ Develop a positive environment within the organization
○ Interact with other teams and managers
● Decision Makers
○ Look for areas that could be improve
○ Determine best ways to allocate resources
○ Take corrective action and recognize success
Decision Making
● Decisions need to be made as carefully as possible for businesses
● Problems and Decision Making
○ Problem - Difficult situations requiring a solution
○ Managers should follow a systematic approach to solving problems
● Steps In Problem Solving
○ There are seven steps in problem solving
■ Identify the problem
■ Gather relevant information or data
■ Determine alternative course of action
■ Evaluate each alternative
■ Decide best possible alternative
■ Implement alternative chosen
■ Evaluate the decision over time, making changes down the road
○ Identify the Problem
■ Managers must be careful to not identify a symptom as a problem
■ Symptom - Sign or indication of something that appears to be the
problem
■ Symptoms can’t be changed unless the problem is identified
○ Gather Relevant Information
■ Once a problem has been identified then the manager will ask a series of
questions to gather data about the symptoms
■ Manager can use symptoms to help determine what type of information
needs to be gathered to isolate the problem
■ Sometime managers are unaware problems exist until its too late
■ When evidence appears it suggests a problem
○ Determine Alternative Course of Action
■ Once they identified the problem managers should begin to list all
possible solutions
■ Should identify more than one solution
■ Should also identify at least two alternatives
■ Managers should review solutions that have been used in the past
○ Evaluate Each Alternative
■ The next step in to analyze the solutions which can be done by
comparing solutions and then reducing the number of solutions to the
best two or three
■ Mangers should examine the strengths and weaknesses of each solution
on its own
■ Managers need to compare solutions by how effectively they will solve
the problem
■ For important decisions, managers may want to conduct an experiment to
test one or more solutions
○ Select an Optimal Solution
■ After careful consideration managers should make a decision and put it
into action
○ Implement the Decision
■ Must determine the best way to implement the solution
■ Managers need to prepare work schedules and communicate with
employees
○ Evaluate the Decision and Make Changes
■ Managers need to determine whether the selected solution was effective
■ The solution may cause additional unintended problems that require
changes in processes
■ Measuring the results over time to evaluate the decisions and
implementation and determine if changes are needed
● Contingency Planning
○ Managers do not wait for prob;ems to occur, instead, they anticipate problems
and work in advance to develop contingency plans
○ Contingency plan: an alternative course of action to be followed if a specific
problem arises
○ Similar to problem solving
○ Just like problem solving several alternative solutions should be found
○ Development of contingency plans require time and money