May 17, 2019

Koontz, Weihrich and Cannice - 14 Edition - Principles of Management - Brief Notes


Heinz Weihrich, Mark.V. Cannice and Harold Koontz
Management: A Global, Innovative, and Entrepreneurial Perspective
14th Edition, 2013

McGraw Hill - Higher Education

Principles and Practice of Management - Brief Notes on Issues and Themes - Learning Objectives of Each Chapter


Preview the book
https://books.google.co.in/books?id=Y7K9AwAAQBAJ

Part 1: The Basis of Global Management Theory and Practice

1. Management: Science, Theory, and Practice 


Learning Objectives and Brief Notes

Explain the nature and purpose of management
Understand that management, as used in this book, applies to all kinds of organizations and to managers at all organizational levels
Recognize that the aim of all managers is to create a surplus
Identify the trends in information technology and globalization
Explain the concepts of productivity, effectiveness, and efficiency
Describe the evolution of management and some recent contributions to management thought
Describe the various approaches to management, their contributions, as well as their limitations
Show how the management process, or operational process, approach to management theory and science has a basic core of its own and draws from other approaches
Realize that managing requires a systems approach and that practice must always take into account situations and contingencies
Define the managerial functions of planning, organizing, staffing, leading, and controlling



1. Koontz and O’Donnell – Weihrich 

"Management is the process of designing and maintaining an environment in which individuals, working together in groups, effectively and  efficiently,  accomplish selected aims."

This definition implies:
1. As managers, people carry out the managerial functions of planning, organizing, staffing, leading, and controlling.
2. Management applies to any kind of organization.
3. It applies to managers at all organizational levels.
Management definition implies
4. The aim of all managers is the same: to create a surplus.
5. Managing is concerned with productivity; this implies effectiveness and efficiency.

Management Definition – Narayana Rao


Management of an organization is the process of establishing objectives and goals of the organization periodically, designing the work system and the human organization structure, and maintaining an environment in which individuals, working together in groups, accomplish their aims and objectives and goals of the organization effectively and efficiently. (3rd December 2008)

Implications of Definition of Narayana Rao’s  Management Definition

(i) Management is a process.
(ii) Management applies to every kind of organization, government, profit making, or nonprofit making.
(iii) It applies to managers at all levels in the organization.
Management - Effectiveness and Efficiency Implication
(iv) Management is concerned with effectiveness and efficiency.

Effectiveness is producing the product or service the customer wants in business context with the required functional benefits and product attributes at the price he is willing to pay.
Efficiency is minimization of resources to produce the saleable output.

Explain the concepts of productivity, effectiveness, and efficiency


Aim of the managers: "To increase productivity."

Let us define productivity as the out-input ratio within a time period with due consideration for quality. We many relevant output is acceptable output satisfying specifications.

Effectiveness is the achievement of objectives.

Efficiency is the achievement of the ends (objectives/goals) with the least amount of resources.

2. Management and Society: The External Environment, Social Responsibility, and Ethics


Learning Objectives

Describe the nature of the pluralistic society and selected environments
Explain the social responsibility of managers and the arguments for and against the social involvement of business
Understand the nature and importance of ethics in managing and ways to institutionalize ethics and raise ethical standards
Recognize that some ethical standards vary in different societies
Realize that trust is the basis for human interaction

3. Global, Comparative, and Quality Management


Learning Objectives

Discuss the nature and purpose of international business and multinational corporations
Understand country alliances that form trade blocs
Appreciate cultural and country differences and their implications for managing
Recognize the differences in managing in selected countries
Describe the managerial practices in Japan and Theory Z
Understand the factors that influence the competitive advantages of nations, according to Michael Porter
Recognize the major contributions to quality management and describe the Baldrige quality award, ISO 9000, and the European Quality Award

Part 2: Planning

4. Essentials of Planning and Managing by Objectives



Learning Objectives

Understand what managerial planning is and why it is important
Identify and analyze the various types of plans and show how they relate to one another
Outline and discuss the logical steps in planning and see how these steps are essentially a rational approach to setting objectives and selecting the means of reaching them
Explain the nature of objectives
Describe how verifiable objectives can be set for different situations
Outline the evolving concepts in management by objectives (MBO)
Understand the model of the systems approach to MBO
Describe the benefits of MBO
Recognize the weaknesses of MBO and suggest ways to overcome them


1. Planning is the most basic of all managerial functions. Planning involves seeking mission and objectives and deciding on the actions to achieve them; it requires decision making. Planning implies innovation - new ways to achieve desired objectives effectively and efficiently. Planning provides the design for the bridge that takes us from where we are to where we want to go. Plans furnish the standards or targets which are used in control process.

2. Various types of plans - Mission or purpose - Objectives - Goals - Strategy - Policy - Program - Budget - Rule

3. Rational Approach to Planning

4, Management by Objectives

5. Nature of Objectives

6. Setting Verifiable Objectives

7. Evolving concepts in MBO

8. Systems Appraoch to MBO

9. Benefits of MBO

10. Weakenesses of MBO

5. Strategies, Policies, and Planning Premises


Learning Objectives

Explain the nature and purpose of strategies and policies

        Strategy refers to the determination of mission (or the fundamental purpose) and the basic long term objectives of an enterprise, followed by the adoption of courses of action and allocation of resources necessary to achieve these aims.
Describe the strategic planning process
Understand the TOWS Matrix and the business portfolio matrix
Describe some major kinds of strategies and policies and the hierarchy of strategies
Identify Porter’s generic strategies
Discuss the nature of premises and forecasts


6. Decision Making


Learning Objectives

Analyze decision making as a rational process
Develop alternative courses of action with consideration of the limiting factor
Evaluate alternatives and select a course of action from among them
Differentiate between programmed and nonprogrammed decisions
Understand the differences between decisions made under conditions of certainty, uncertainty, and risk
Recognize the importance of creativity and innovation in managing

Part 3: Organizing

7. The Nature of Organizing, Entrepreneuring, and Reengineering


Learning Objectives

Realize that the purpose of an organization structure is to establish a formal system of roles
Understand the meaning of organizing and organization
Draw a distinction between formal and informal organization
Show how organization structures and their levels are due to the limitation of the span of management
Recognize that the exact number of people a manager can effectively supervise depends on a number of underlying variables and situations
Describe the nature of entrepreneuring and intrapreneuring
Understand the key aspects and limitations of reengineering
Demonstrate the logic of organizing and its relationship to other managerial functions
Appreciate that organizing requires taking situations into account


8. Organization Structure: Departmentation


Learning Objectives

Identify the basic patterns of traditional departmentation and their advantages and disadvantages
Analyze matrix organizations
Explain strategic business units
Examine organization structures for global enterprises
Understand the virtual and boundaryless organizations
Recognize that there is no single best pattern of departmentation

9. Line/Staff Authority, Empowerment, and Decentralization


Learning Objectives

Understand the nature of authority, power, and empowerment
Distinguish between line, staff, and functional authority
Discuss the nature of decentralization, centralization, and delegation of authority
Recognize the importance of obtaining balance in the centralization and decentralization of authority


10. Effective Organizing and Organization Culture


Learning Objectives

Avoid mistakes in organizing by planning
Show how organizing can be improved by maintaining flexibility and by making staff more effective
Avoid conflict by clarifying the organization structure and ensuring an understanding of organizing
Promote and develop an appropriate organization culture


Part 4: Staffing

11. Human Resource Management and Selection

Learning Objectives

Define the managerial function of staffing
Describe the systems approach to human resource management
Explain the management inventory and the factors in the external and internal environments affecting staffing
Explain the policy of open competition and ways to make staffing more effective
Summarize important aspects of the systems approach to manager selection
Analyze position requirements, important characteristics of job design, and personal characteristics needed in managers
Describe the process of matching manager qualifications with position requirements
Discuss the orientation and socialization process for new employees

12. Performance Appraisal and Career Strategy


Learning Objectives

Recognize the importance of effectively appraising managers
Identify the qualities that should be measured in appraising managers
Present a system of managerial appraisal based on evaluating performance against verifiable objectives and performance as a manager
Describe the team approach to evaluation
Recognize the rewards and stress of managing
Identify important aspects of career planning

13. Managing Change through Manager and Organization Development


Learning Objectives

Distinguish between manager development, managerial training, and organization development
Discuss the manager development process and training
Describe the various approaches to manager development
Identify changes and sources of conflict and show how to manage them
Describe the characteristics and process of organization development
Understand the learning organization

Part 5: Leading

14. Human Factors and Motivation


Learning Objectives

Define the nature of leading and leadership
Describe the basic human factors that affect managing
Explain the meaning of motivation
Describe the various theories of motivation and their strengths and weaknesses
Analyze motivational techniques, with emphasis on the role of money, participation, the quality of working life, and job enrichment
Present a systems and situational approach to motivation

15. Leadership


Learning Objectives

Define leadership and its ingredients
Describe the trait approaches and charismatic leadership approach and their limitations
Discuss various leadership styles based on the use of authority
Identify the two dimensions of the managerial grid and the resulting extreme leadership styles
Recognize that leadership can be seen as a continuum
Explain the contingency approach to leadership
Describe the path–goal approach to leadership effectiveness
Distinguish between transactional and transformational leaders

16. Committees, Teams, and Group Decision Making


Learning Objectives

Explain the nature of various types of committees and groups
Outline the reasons why committees and groups are used, with special attention to their use in decision making
Present the disadvantages of committees, especially in decision making
Discuss the requirements for using committees effectively
Explain various group concepts
Understand the nature of teams, team building, self-managing teams, and virtual teams
Recognize conflict in committees, groups, and organizations

17. Communication


Learning Objectives

Describe the purpose of communication and the basic communication process
Explain the flow of communication in an organization
Describe the characteristics of written, oral, and nonverbal communication
Identify barriers and breakdowns in communication and suggest approaches to improve it
Understand the role of the electronic media in communication

Part 6: Controlling

18. The System and Process of Controlling


Learning Objectives

Describe the steps in the basic control process
Enumerate and explain the critical control points, standards, and benchmarking
Illustrate applications of the feedback system
Understand that real-time information will not solve all the problems of management control
Show that feedforward control systems can make management control more effective
Describe some of the most widely used techniques of overall control of an enterprise
Recognize the use and problems of management audits by accounting firms
Understand the difference between bureaucratic and clan control
List and explain the requirements for effective controls

19. Control Techniques and Information Technology


Learning Objectives

Explain the nature of budgeting and the types of budgets
Describe zero-base budgeting
Discuss nonbudgetary control devices
Explain time–event network analysis as a major technique of planning and control
Understand the nature and applications of information technology
Recognize the importance of computers in handling information
Explain the opportunities as well as challenges created by the new information technology

20. Productivity, Operations Management, and Total Quality Management


Learning Objectives

Identify the nature of productivity issues and suggest ways to improve effectiveness and efficiency
Describe production and operations management as an applied case of managerial planning and control
Understand the operations management system
Discuss the tools and techniques for improving productivity
Recognize the importance of quality, the nature of a variety of techniques for improving quality, and lean manufacturing
Distinguish between supply chain management and value chain management, although the terms are sometimes used interchangeably

Appendix A:

Summary of Major Principles or Guides for the Managerial Functions of Planning, Organizing, Leading, and Controlling
Appendix B:
Management Excellence Survey

Updated on 18 May 2019, 8 March 2015

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