Brief Contents
Preface xxi
Acknowledgments xxx
Part 1 Introduction to Management 1
Chapter 1: Managers and You in the Workplace 1
Chapter 2: The Evolution of Management 21
Chapter 3: Making Decisions 46
Part 1 Management Practice 68
Part 2 Basics of Managing in Today’s Workplace 71
Chapter 4: Influence of the External Environment and the Organization’s Culture 71
Chapter 5: Diversity, Equity, and Inclusion 93
Chapter 6: Managing in a Global Environment 122
Chapter 7: Managing Social Responsibility and Ethics 144
Part 2 Management Practice 170
Part 3 Planning 176
Chapter 8: Foundations of Planning 176
Chapter 9: Managing Strategy 195
Entrepreneurial Ventures Module 219
Part 3 Management Practice 233
Part 4 Organizing 236
Chapter 10: Designing Organizational Structure 236
Chapter 11: Managing Human Resources 262
Chapter 12: Managing Change and Innovation 290
Part 4 Management Practice 318
Part 5 Leading 321
Chapter 13: Understanding and Managing Individual Behavior 321
Chapter 14: Motivating Employees 354
Chapter 15: Managing Groups and Teams 385
Chapter 16: Being an Effective Leader 409
Chapter 17: Managing Communication 441
Part 5 Management Practice 461
Part 6 Controlling 465
Chapter 18: Management Control 465
Planning and Control Techniques Module 493
Managing Operations Module 507
Part 6 Management Practice 518
Managers
Learning from Failure: Successful Managers Learn from Their Failures 9 Workplace Confidential: Dealing with Organizational Politics 13
Preparing For: Exams/Quizzes 14 Chapter Summary by Learning Objectives 14 Review and Discussion Questions 15
Preparing For: My Career 15
Ethics Dilemma 15
Skill Exercise: Developing Your Skills as a Manager 15
Working Together: Team Exercise 16 My Turn to Be a Manager 16
Case Application 1: Working with Artificial Intelligence 17 Case Application 2: Nike: Taking Customer Focus to a New Level 18
Chapter 2: The Evolution of Management 21
Early Management 22
Classical Approaches 24
Scientific Management 24
General Administrative Theorists 26
Social-Person Approaches 28
The Early Advocates 29
The Human Relations Movement 31
Behavioral Science Theorists 32
Quantitative Approach 33
Putting the Quantitative Approach into Perspective 34
Systems and Contingency Approaches 34
Systems Approach 34
Contingency Approach 35
Recent History 36
The New Industrial Revolution: Technology and Computerization 36 Globalization 37
Sustainability and the ESG Movement 37
Boxed Features
Learning from Failure: Learning from Failing Start-up Businesses 29
Workplace Confidential: Looking Back to Move Forward 38
Preparing For: Exams/Quizzes 39
Chapter Summary by Learning Objectives 39
Review and Discussion Questions 41
Preparing For: My Career 41
Ethics Dilemma 41
Skill Exercise: Developing Your Skills as a Manager 41
Working Together: Team Exercise 42 My Turn to Be a Manager 42
Case Application 1: Uber’s CEO Gets Behind the Wheel 42
Case Application 2: Managers Still Need to Be Data-Driven 43
Chapter 3: Making Decisions 46
The Decision-Making Process 46
Step 1: Identify a Problem 47
Step 2: Identify Decision Criteria 47
Step 3: Allocate Weights to the Criteria 47
Step 4: Develop Alternatives 48
Step 5: Analyze Alternatives 48
Step 6: Select an Alternative 48
Step 7: Implement the Alternative 48
Step 8: Evaluate Decision Effectiveness 49
Approaches to Decision Making 49
Rationality 50
Bounded Rationality 50
Intuition 51
Evidence-Based Management 52
Types of Decisions 52
Structured Problems and Programmed Decisions 52
Unstructured Problems and Nonprogrammed Decisions 53
Comparing Decision Types 54
Decision-Making Styles 54
Decision-Making Biases and Errors 56
Using Technology to Improve Decision Making 58
Big Data 59
Artificial Intelligence 59
Machine Learning and Analytics 60
Technology and Human Judgment 60
Boxed Features
Learning from Failure: James Dyson: A Man of a Thousand Failures 55
Workplace Confidential: Making Good Decisions 58
Preparing For: Exams/Quizzes 61
Chapter Summary by Learning Objectives 61
Review and Discussion Questions 62
Preparing For: My Career 62
Ethics Dilemma 62
Skills Exercise: Select the Best Alternative Decision-Making Skills 63
Working Together: Team Exercise 63
My Turn to Be a Manager 63
Case Application 1: Making Decisions with Bad Data 64
Case Application 2: A Major League Baseball Rule Change 65
Part 1: Management Practice 68
Continuing Case: Starbucks—Introduction 68 Practice Your Data Analysis Skills 70
Part 2 Basics of Managing in Today’s Workplace 71
Chapter 4: Influence of the External Environment and the Organization’s Culture 71
The Manager: Omnipotent or Symbolic? 71
The Omnipotent View 72
The Symbolic View 72 Reality Suggests a Synthesis 72
The External Environment: Constraints and Challenges 73
Defining the Environment and Environmental Uncertainty 73 Monitoring the General Environment 74
The Specific Environment 75 Managing the Environment 77
Organizational Culture: Guiding Employee Behavior 78
What Is Organizational Culture? 78
Strong Cultures 79
Where Culture Comes From and How It Continues 80
How Culture Is Sustained 81
Remote Work and Culture 84
How Culture Affects Managers 85
Boxed Features
It’s Your Career: Reading an Organization’s Culture: Find One That Is a Right Fit for You 82
Workplace Confidential: Adjusting to a New Job or Work Team 83
Preparing For: Exams/Quizzes 86
Chapter Summary by Learning Objectives 86
Review and Discussion Questions 87
Preparing For: My Career 87
Ethics Dilemma 87
Skill Exercise: Developing Your Environmental Scanning Skill 87
Working Together: Team Exercise 88
My Turn to Be a Manager 88
Case Application 1: Environmental Uncertainty at HBO 89
Case Application 2: Organizational Culture at Vice Media 90
Chapter 5: Diversity, Equity, and Inclusion 93
Diversity, Equity, and Inclusion in the Workplace 94
What Are Diversity, Equity, and Inclusion in the Workplace? 94
Benefits of a Diverse, Equitable, and Inclusive Workplace 95
The Changing Workplace 97
Characteristics of the US Population 97
What About Global Workforce Changes? 99
Types of Workplace Diversity 100
Age 100
Gender 101
Race and Ethnicity 102
Disabilities 102
Religion 103
LGBTQ+: Sexual Orientation and Gender Identity 104
Socioeconomic Status 104
Challenges in Managing Diversity 105
Personal Bias 105
Glass Ceiling 105
Pay Inequities 107
Workplace Diversity, Equity, and Inclusion Initiatives 107
Top Management Commitment to DEI 108
Mentoring 108
DEI Training 108
Employee Resource Groups 110
Measuring and Reporting on DEI Initiatives 110
Boxed Features
Workplace Confidential: Working in a Diverse Environment 98
Learning from Failure: Denny’s Answer to Its Diversity Problem 109
Preparing For: Exams/Quizzes 111
Chapter Summary by Learning Objectives 111
Review and Discussion Questions 112
Preparing For: My Career 112
Ethics Dilemma 112
Skills Exercise: Developing Your Valuing Diversity Skill 113
Working Together: Team Exercise 114
My Turn to Be a Manager 114
Case Application 1: Gusto: Making a Difference in Gender Diversity 115
Case Application 2: Bring in Diversity . . . and Then What? 116
Chapter 6: Managing in a Global Environment 122
Clarifying Terminology 122
A Brief History of Globalization 123
The Case For and Against Globalization 126
The Win-Win Argument 126
The Downside of Globalization 127
Globalization Today 128
What Does This Mean for Managers? 128
Different Types of International Organizations 128
How Organizations Go International 129
Managing in a Global Environment 131
The Political/Legal Environment 131
The Economic Environment 131
The Cultural Environment 132
Boxed Features
It’s Your Career: Developing Your Global Perspective—Working with People from Other Cultures 133
Workplace Confidential: Succeeding in a Remote Job 136
Preparing For: Exams/Quizzes 137
Chapter Summary by Learning Objectives 137
Review and Discussion Questions 138
Preparing For: My Career 139
Ethics Dilemma 139
Skills Exercise: Developing Your Collaboration Skill 139
Working Together: Team Exercise 139
My Turn to Be a Manager 140
Case Application 1: Glencore: Conducting Business in Countries Where Others Might Not 140
Case Application 2: Lululemon Power of Three × 2 Growth Strategy 141
Chapter 7: Managing Social Responsibility and Ethics 144
What Is Social Responsibility? 145
Two Opposing Views 145 From Obligations to Responsiveness to Responsibility 146
Social Responsibility and Economic Performance 148
Corporate Philanthropy 148
Green Management and Environmental Sustainability 149
How Organizations Go Green 149
Reporting Social Responsibility and Sustainability 150
ESG Reporting 150
Managers and Ethical Behavior 151
Factors That Determine Ethical and Unethical Behavior 152
Ethics in an International Context 155
Artificial Intelligence and Ethics 156
Encouraging Ethical Behavior 157
Employee Selection 157
Codes of Ethics 158
Leadership at the Top 158
Job Goals and Performance Appraisal 158
Ethics Training 158
Ethics Officer or Committee 159
Protecting Whistle-Blowers 159
Boxed Features
Learning from Failure: From Greenwashing to Electric Cars 157
Workplace Confidential: Balancing Work and Personal Life 160
Preparing For: Exams/Quizzes 161
Chapter Summary by Learning Objectives 161
Review and Discussion Questions 163
Preparing For: My Career 163
Ethics Dilemma 163
Skills Exercise: Developing Your Trust Building Skill 163
Working Together: Team Exercise 164
My Turn to Be a Manager 164
Case Application 1: Chobani: A Different Kind of Yogurt Company 165
Case Application 2: Every Kid Fed: Addressing Childhood Hunger Through Social Entrepreneurship 166
Part 2: Management Practice 170
Continuing Case: Starbucks—Basics of Managing in Today’s Workplace 170
Practice Your Data Analysis Skills 174
Part 3 Planning 176
Chapter 8: Foundations of Planning 176
The What and Why of Planning 176 What Is Planning? 176
Why Do Managers Plan? 177 Planning and Performance 177
Types of Plans 178
Strategic versus Operational Plans 178
Short-Term versus Long-Term Plans 178
Specific versus Directional Plans 179
Single-Use versus Standing Plans 179
Static versus Scenario Plans 180
Contingency Factors in Planning 180
Level in the Organization 180
Degree of Environmental Uncertainty 181
Length of Future Commitments 181
Objectives: The Foundation of Planning 182
Stated versus Real Objectives 182
Traditional Objective Setting 183
Management by Objectives 184
Contemporary Issues in Planning 185
Environmental Scanning 185
Using Artificial Intelligence to Support Planning 187
Boxed Features
It’s Your Career: Planning Your Time 181
Workplace Confidential: When You Face a Lack of Clear Directions 186
Preparing For: Exams/Quizzes 188
Chapter Summary by Learning Objectives 188
Review and Discussion Questions 189
Preparing For: My Career 189
Ethics Dilemma 189
Skills Exercise: Making a To-Do List That Works and Using It 190
Working Together: Team Exercise 190
My Turn to Be a Manager 191
Case Application 1: Johnson Controls Using OpenBlue to Reach Net Zero 191
Case Application 2: Living Up to Goals at Tesla 192
Chapter 9: Managing Strategy 195
What Is Strategic Management, and Why Is It Important? 196
Defining Strategic Management 196
Why Is Strategic Management Important? 196
Supporting the Strategic Management Process 197
The Strategic Management Process 198
Step 1: Start with Purpose: Identifying the Organization’s Current Mission 198
Step 2: SWOT Analysis 198
Step 3: Formulating Strategies 200
Step 4: Implementing Strategies 200
Step 5: Evaluating Results 200
Corporate Strategies 201
What Is Corporate Strategy? 201
What Are the Types of Corporate Strategy? 202
How Are Corporate Strategies Managed? 204
Competitive Strategies 205
The Role of Competitive Advantage 205
Sustaining Competitive Advantage 205
Examples of Differentiation Strategies 207
Boxed Features
It’s Your Career: Learning Your Strengths and Weaknesses 201
Workplace Confidential: Developing a Career Strategy 203
Preparing For: Exams/Quizzes 210
Chapter Summary by Learning Objectives 210
Review and Discussion Questions 211
Preparing For: My Career 211
Ethics Dilemma 211
Skills Exercise: Developing Your Business Planning Skill 211
Working Together: Team Exercise 213
My Turn to Be a Manager 213
Case Application 1: Nvidia’s Gaming and AI Strategy 213
Case Application 2: Saving Lives Through Strategy at RapidSOS 214
Entrepreneurial Ventures Module 219
The Context of Entrepreneurship 219
What Is Entrepreneurship? 219
Why Is Entrepreneurship Important? 219
The Entrepreneurial Process 220
What Do Entrepreneurs Do? 220
Social Entrepreneurship 221
Side Hustles: A Hybrid Path to Entrepreneurship 221
Start-Up and Planning Issues 222
Identifying Opportunities 222
Researching the Venture’s Feasibility: Ideas 222
Researching the Venture’s Feasibility: Competitors 223
Researching the Venture’s Feasibility: Financing 223
Planning: Developing a Business Model 224
Organizing Issues 225
Legal Forms of Organization 225
Organizational Design and Structure 227
Human Resource Management 228
Leading Issues 228
Entrepreneurial Mindset 228
Personality Characteristics of Entrepreneurs 228
The Entrepreneur as Leader 229
Control Issues 230
Potential Control Problems and Actions 230
Exiting the Venture 230
Review and Discussion Questions 231
Part 3: Management Practice 233
Continuing Case: Starbucks—Planning 233
Practice Your Data Analysis Skills 234
Part 4 Organizing 236
Chapter 10: Designing Organizational Structure 236
Six Elements of Organizational Design 237
Work Specialization 237
Departmentalization 238
Chain of Command 240
Span of Control 240
Centralization and Decentralization 242
Formalization 243
Mechanistic and Organic Structures 244
Contingency Factors Affecting Structural Choice 245
Strategy and Structure 245
Size and Structure 245
Technology and Structure 245
Environmental Uncertainty and Structure 246
Traditional Organizational Design Options 246
Simple Structure 247
Functional Structure 247
Divisional Structure 247
Organizing for Flexibility in the Twenty-First Century 248
Team Structures 248
Matrix and Project Structures 248
The Virtual Organization 249
Offering Flexibility for Today’s Workforce 249
Remote Work 250
Flexible Work Schedules 250
The Contingent Workforce 252
Implications for Managers 253
Boxed Features
Workplace Confidential: Coping with Multiple Bosses 241
Learning from Failure: Return to Office? Workers Say No Way! 251
Preparing For: Exams/Quizzes 253
Chapter Summary by Learning Objectives 253
Review and Discussion Questions 254
Preparing For: My Career 255
Ethics Dilemma 255
Skills Exercise: Developing Your Acquiring Power Skill 255
Working Together: Team Exercise 256
My Turn to Be a Manager 256
Case Application 1: Making a Flat Organization Work at Punchkick 257
Case Application 2: Life as a Digital Nomad in Foreign Cities 258
Chapter 11: Managing Human Resources 262
Why Managing Human Resources Is Important 262
The Human Resource Management Process 263
External Factors That Affect the Human Resource Management Process 264
The Economy 264
Laws and Rulings 264
Demographics 266
Social and Cultural Factors 266
Labor Unions 266
Identifying and Selecting Competent Employees 267
Human Resource Planning 267
Recruitment and Decruitment 268
Selection 270
Technology in the Hiring Process 272
Training and Developing Employees 273
Orientation and Socialization 273
Employee Training 274
Developing Employees 276
Retaining Competent, High-Performing Employees 276
Performance Feedback 277
Compensation and Benefits 277
Boxed Features
Workplace Confidential: Job Search 269
It’s Your Career: Nailing the Behavior-Based Interview 280
Preparing For: Exams/Quizzes 281
Chapter Summary by Learning Objectives 281
Review and Discussion Questions 282
Preparing For: My Career 282
Ethics Dilemma 282
Skills Exercise: Developing Your Interviewing Skills 283
Working Together: Team Exercise 284
My Turn to Be a Manager 284
Case Application 1: Employees with Side Hustles: It’s No Secret 285
Case Application 2: Keeping Dealership Sales Staff from Leaving at Nissan 286
Chapter 12: Managing Change and Innovation 290
The Case for Change 291
Living with VUCA 291
External Forces for Change 291
Internal Forces for Change 292
The Change Process 293
The Calm Waters Metaphor 294
The White-Water Rapids Metaphor 294
Areas of Change 295 Strategy 295
296
296
297 People 297 Managing Change 298
Why Do People Resist Change? 298 Techniques for Reducing Resistance to Change
Exploring Innovation 301
Creativity Versus Innovation 301
Disruptive Innovation 301
Breakthrough Innovation 303
Sustaining Innovation 303
Driving Innovation 303
Creating an Environment to Stimulate Innovation 304
Ideation 305
Incubation 306
Boxed Features
Workplace Confidential: Coping with Job Stress 300
Learning from Failure: Giving Up on Google Glass 308
Preparing For: Exams/Quizzes 309
Chapter Summary by Learning Objectives 309
Review and Discussion Questions 310
Preparing For: My Career 310
Ethics Dilemma 310
Skills Exercise: Developing Your Change-Management Skill 311
Working Together: Team Exercise 311
My Turn to Be a Manager 312
Case Application 1: Change from Within at Google 312
Case Application 2: Microsoft: Innovative Again 313
Part 4: Management Practice 318
Continuing Case: Starbucks—Organizing 318 Practice Your Data Analysis Skills 320
Part 5 Leading 321
Chapter 13: Understanding and Managing Individual Behavior 321
Focus and Goals of Organizational Behavior 322
Focus of Organizational Behavior 322
Goals of Organizational Behavior 322
Attitudes and Job Performance 323
Job Satisfaction 323
Job Involvement and Organizational Commitment 325
Employee Engagement 325
Cognitive Dissonance Theory 326
Assessing Attitudes 326
Can Artificial Intelligence Help Improve Employee Attitudes? 327
Implications for Managers 327
Personality 328
MBTI® 328
The Big Five Model 329
The Dark Triad 330
Additional Personality Insights 331
Personality Types in Different Cultures 332
Emotions and Emotional Intelligence 332
Implications for Managers 334
Perception 336
Factors That Influence Perception 336
Attribution Theory 337
Shortcuts Used in Judging Others 338
Implications for Managers 339
Learning 339
Social Learning 340
Shaping: A Managerial Tool 340
Implications for Managers 341
Boxed Features
Workplace Confidential: An Abusive Boss 333
Learning from Failure: Troublesome Leader’s Personality 341
Preparing For: Exams/Quizzes 342
Chapter Summary by Learning Objectives 342
Review and Discussion Questions 343
Preparing For: My Career 344
Ethics Dilemma 344
Skills Exercise: Developing Your Shaping Behavior Skill 344
Working Together: Team Exercise 345
My Turn to Be a Manager 345
Case Application 1: Heat Waves Cause Employees to Walk Off the Job 346
Case Application 2: Getting Your Company’s Logo as a Tattoo 347
Chapter 14: Motivating Employees 354
What Is Motivation? 354
Early Theories of Motivation 355
Maslow’s Hierarchy of Needs Theory 355
McGregor’s Theory X and Theory Y 356
Herzberg’s Two-Factor Theory 357
Three-Needs Theory 357
Contemporary Theories of Motivation 359
Goal-Setting Theory 359
Reinforcement Theory 360
Designing Motivating Jobs 361
Equity Theory 364
Expectancy Theory 365
Integrating Contemporary Theories of Motivation 367
Current Issues in Motivation 369
Technology and Motivation 369
Managing Cross-Cultural Motivational Challenges 369
Motivating Unique Groups of Workers 370
Designing Appropriate Rewards Programs 372
Boxed Features
It’s Your Career: What Motivates You? 355
Workplace Confidential: Feelings of Unfair Pay 366
Preparing For: Exams/Quizzes 374
Chapter Summary by Learning Objectives 374
Review and Discussion Questions 375
Preparing For: My Career 376
Ethics Dilemma 376
Skills Exercise: Developing Your Motivating Employees Skill 376
Working Together: Team Exercise 377
My Turn to Be a Manager 377
Case Application 1: Motivating Employees Who Love the Outdoors at REI 378
Case Application 2: Motivating Under Constraints at Televerde 378
Chapter 15: Managing Groups and Teams 385
Groups and Group Development 385
What Is a Group? 386
Stages of Group Development 386
Work Group Performance and Satisfaction 387
External Conditions Imposed on the Group 388
Group Member Resources 388
Group Structure 388
Group Processes 391
Group Tasks 394
Turning Groups into Effective Teams 394
The Difference Between Groups and Teams 394
Types of Work Teams 394
Creating Effective Work Teams 397
Technology and Teams 398
Boxed Features
It’s Your Career: Maximizing Outcomes Through Negotiation 396
Workplace Confidential: Handling Difficult Coworkers 399
Preparing For: Exams/Quizzes 400
Chapter Summary by Learning Objectives 400
Review and Discussion Questions 401
Preparing For: My Career 401
Ethics Dilemma 401
Skills Exercise: Developing Your Coaching Skills 402
Working Together: Team Exercise 402
My Turn to Be a Manager 402
Case Application 1: US Women’s Soccer: A Team in Transition 403
Case Application 2: Taylor Swift’s Bonuses Cause Their Own “Swift Quake” 404
Chapter 16: Being an Effective Leader 409
Who Are Leaders, and What Is Leadership? 409
Early Leadership Theories 410
Leadership Traits 410
Leadership Behaviors 410
Contingency Theories of Leadership 413
The Fiedler Model 413
Hersey and Blanchard’s Situational Leadership Theory 415
Path-Goal Model 416
Contemporary Views of Leadership 417
Leader–Member Exchange (LMX) Theory 417
Charismatic Leadership 418
Transformational-Transactional Leadership 419
Authentic Leadership 420
Ethical Leadership 420
Servant Leadership 421
Emergent Leadership 421
Followership 422
Integrating Theories of Leadership 422
Traits 422
Behaviors 423
Contingency Factors 423
Leadership Issues in the 21st Century 424
Managing Power 424
Developing Credibility and Trust 424
Leading Virtual Teams 426
Leadership Training 426
When Leadership May Not Be Important 427
Boxed Features
Learning from Failure: Childhood Lessons on Failure 419
Workplace Confidential: Dealing with a Micromanager 425
Preparing For: Exams/Quizzes 428
Chapter Summary by Learning Objectives 428
Review and Discussion Questions 430
Preparing For: My Career 430
Ethics Dilemma 430
Skills Exercise: Choosing an Effective Group Leadership Style Skill 430
Working Together: Team Exercise 431
My Turn to Be a Manager 431
Case Application 1: Transforming the Fashion Industry at Stitch Fix 432
Case Application 2: New Endorsements Give Power to College Athletes 433
Chapter 17: Managing Communication 441
Understanding Communication 442
What Is Communication? 442
Functions of Communication 442
The Communication Process 443
Modes of Communicating 443
Barriers to Effective Communication 444
Overcoming the Barriers 446
Effective Organizational Communication 447
Formal Versus Informal 447
Direction of Flow 448
Networks 450
Communication and Technology 451
The 24/7 Work Environment 451
Social Media 451
Artificial Intelligence 452
Virtual Meetings 452
Becoming a Better Communicator 453
Sharpening Your Persuasion Skills 453
Sharpening Your Speaking Skills 453
Sharpening Your Writing Skills 453
Sharpening Your Reading Skills 454
Boxed Features
It’s Your Career: I’m Listening! 447
Workplace Confidential: An Uncommunicative Manager 449
Preparing For: Exams/Quizzes 454
Chapter Summary by Learning Objectives 454
Review and Discussion Questions 455
Preparing For: My Career 455
Ethics Dilemma 455
Skills Exercise: Developing Your Presentation Skills 456
Working Together: Team Exercise 456
My Turn to Be a Manager 457
Case Application 1: Communicating as the Company Grows at Hootsuite 457
Case Application 2: No Meetings? 458
Part 5: Management Practice 461
Continuing Case: Starbucks—Leading 461
Practice Your Data Analysis Skills 463
Part 6 Controlling 465
Chapter 18: Management Control 465
What Is Controlling, and Why Is It Important? 465
What Is Controlling? 466
Why Is Controlling Important? 466
The Control Process 467
Step 1: Measuring Actual Performance 468
Step 2: Comparing Actual Performance Against the Standard 469
Step 3: Taking Managerial Action 470
Summary 470
Controlling for Organizational and Employee Performance 471
What Is Organizational Performance? 471
Measures of Organizational Performance 472
Controlling for Employee Performance 473
Tools for Measuring Organizational Performance 474
Feedforward/Concurrent/Feedback Controls 475
Financial Controls 477
Information Controls 478
Balanced Scorecard 479
Benchmarking of Best Practices 479
Contemporary Issues in Control 480
Global Differences in Control 480
Workplace Privacy 481
Employee Theft 481
Corporate Governance 482
Artificial Intelligence 483
Boxed Features
It’s Your Career: How to Be a Pro at Giving Feedback 473
Workplace Confidential: Responding to an Unfair Performance Review 475
Preparing For: Exams/Quizzes 484
Chapter Summary by Learning Objectives 484
Review and Discussion Questions 485
Preparing For: My Career 486
Ethics Dilemma 486
Skills Exercise: Managing Challenging Employees 486
Working Together: Team Exercise 487
My Turn to Be a Manager 487
Case Application 1: Feeding Chocolate to Cows 488
Case Application 2: Posting for Just Other Employees to See 488
Planning and Control Techniques Module 493
Techniques for Assessing the Environment 493
Environmental Scanning 493
Forecasting 494
Techniques for Allocating Resources 496
Budgeting 496
Scheduling 497
Breakeven Analysis 501
Linear Programming 501
Project Management 503
Project Management Process 503
Role of Project Manager 504
Review and Discussion Questions 504
Managing Operations Module 507
The Role of Operations Management 507
Services and Manufacturing 507
Managing Productivity 508
Strategic Role of Operations Management 508
Value Chain Management 509
What Is Value Chain Management? 509
The Goal of Value Chain Management 510
Benefits of Value Chain Management 510
Value Chain Strategy 510
Current Issues in Managing Operations 512
Technology 512
Quality Management 513
Quality Standards 514
Mass Customization 515
Creating a Lean Organization 515
Review and Discussion Questions 516
Part 6: Management Practice 518
Continuing Case: Starbucks—Controlling 518
Practice Your Data Analysis Skills 520
Glossary 522
Name Index 534
Organization Index 547
Subject Index 550
Welcome to the 16th edition of Management. First published in 1984, this book has become one of the world’s most popular introductory management texts. It’s used by hundreds of US colleges and universities; it’s translated into Spanish, French, Russian, Dutch, Bahasa, Korean, and Chinese; and there are adaptations for Australia, Canada, India, and the Arab World.
New to This Edition
The 16th edition of Management addresses the evolving workplace at a pivotal time in the practice of management. Understanding that many students who use this text are not necessarily majoring in management, this edition continues to build on our approach of ensuring students see the importance and relevance of studying management. Each chapter opens with a common myth that students are likely to hold about that chapter’s content. We then show them that what they thought they knew was wrong. The objective? To demonstrate that the practice of management is not all common sense.
Further, regardless of students’ majors or career plans, they are likely to work in an organization. Whether that organization has three people or 300,000, there are common challenges that employees will encounter. We provide insights throughout the text, based on solid research, to help students survive and thrive in the workplace. In addition to revisions that uphold this commitment to demonstrating the importance and relevance of the course, other new aspects of this edition are highlighted below.
New Author
The most significant addition to this revision is a new co-author, Dr. Lori Long, who has been a contributor to previous editions of this text. Dr. Long took the lead in this revision and worked to ensure that the text maintains its reputation for readability and relevance while introducing fresh insights and perspectives.
With a blend of corporate, consulting, research, and teaching experience in human resource management, leadership development, culture cultivation, and innovation management, Dr. Long offers a well-rounded perspective that spans theory and practice. Her ability to bridge the gap between research and real-world application is a defining feature of her contributions to this edition.
Focus on Current Management Topics
New chapter openers and examples throughout update the text to focus on current management topics and emerging research. Throughout the text there is also a focus on two forces significantly impacting management practices with insights on how management is evolving to address them.
REMOTE AND HYBRID WORK
The COVID-19 global pandemic accelerated the adoption of remote and hybrid work in organizations. Although research is still emerging on effective remote and hybrid work practices, today’s reality requires managers to understand current best practices in offering remote and hybrid work options and how to optimize worker productivity in remote work environments. Coverage is provided in multiple chapters.
ARTIFICIAL INTELLIGENCE
(AI) AI capabilities are advancing at an exponential rate and are reshaping many management practices. AI is becoming increasingly integrated into various aspects of business operations, from decision making to automation, and managers need to understand how AI can impact their organizations and how to harness its potential effectively. The opportunity for engagement or use of AI tools is addressed in every chapter of this edition.
New Chapter and Chapter Reorganization
The Management History Module has been revised to create a new chapter on the evolution of management. This new chapter is the most comprehensive, detailed, and updated review of management history available among introductory management texts. At this pivotal time in the practice of management, an understanding of the historical development of management concepts and practices provides context to help students appreciate how practices evolve in response to changing societal, economic, and technological factors. The remaining chapters have been reorganized, and the entrepreneurship chapter has been transitioned to a module in response to the growing number of colleges offering entrepreneurship as a separate course.
Streamlining and Enhancing Features
For this edition, we have streamlined and enhanced the features included within the text to retain its length and focus. The “Workplace Confidential,” “It’s Your Career,” and “Learning from Failure” features have been supplemented and updated to retain the text’s close focus on real-world application.
The Management Practice feature at the end of each part has also been thoroughly revised, with an updated “Integrative Case” and a new “Practice Your Data Analysis Skills exercise to help students hone this valuable career skill.
End-of-chapter materials have been enhanced with new and updated cases, exercises, discussion questions, and much more.
Additional Chapter-by-Chapter Changes in This Edition
Chapter 1
• New Managerial Challenge: Focus on Remote or Hybrid Work
• New Managerial Challenge: Focus on Technology, including artificial intelligence and digital transformation
• New Managerial Challenge: Focus on Employee Well-Being Chapter 2 (new chapter on evolution of management)
• Expanded coverage into the 21st century
• New coverage of early advocates of a social-person approach
• Coverage of the new industrial revolution and other recent developments in management research and practices
• New Learning from Failure: Learning from Failing Start-up Businesses
• New Workplace Confidential: Looking Back to Move Forward
• All new end-of-chapter questions and exercises
• New case: Uber’s CEO Gets Behind the Wheel
• New case: Managers Still Need to Be Data-Driven
Chapter 3
• New example for decision-making process
• New coverage of data and technology use in decision making
• New case: A Major League Baseball Rule Change
Chapter 4
• Expanded coverage of external environment to include investors and environmental, social, and governance (ESG) strategy
• New coverage on impact of remote work on culture
Chapter 5
• Expanded to include emerging practices in equity and inclusion
• Expanded coverage of dimensions of diversity to include socioeconomic status
• New coverage of measuring and reporting on diversity, equity, and inclusion (DEI) work
• New table: Stages of DEI Strategy
Chapter 6
• New coverage on the impact of remote work capabilities
• New Workplace Confidential: Succeeding in a Remote Job
• New case: Lululemon Power of Three × 2 Growth Strategy
Chapter 7
• New section: Stakeholder Capitalism
• New coverage of reporting on social responsibility and sustainability efforts including UN Sustainable Development Goals
• New Learning from Failure: From Greenwashing to Electric Cars
• New coverage on supporting ethical behavior including ethics officers and protecting whistleblowers
Chapter 8
• New section: Static versus Scenario Planning
• New section: SMART Objectives
• New case: Johnson Controls Using OpenBlue to Reach Net Zero
Chapter 9
• Revised and expanded coverage of the strategic management process
• New case: Nvidia’s Gaming and AI Strategy
Entrepreneurial Ventures Module
• Revised chapter into a module
• Added coverage on the entrepreneurial mindset
Chapter 10
• New coverage of flexible workplace options
• New Learning from Failure: Return to Office? Workers Say No Way!
• New case: Life as a Digital Nomad in Foreign Cities
Chapter 11
• Expanded coverage of external influences on HR management, including social and cultural factors
• New coverage on the use of technology in hiring
• New It’s Your Career: Nailing the Behavior-Based Interview
• New case: Employees with Side Hustles: It’s No Secret
Chapter 12
• New coverage on changing culture
• Expanded coverage on types of innovation including breakthrough and sustaining innovations
• Revised and expanded coverage of strategies to stimulate innovation, including coverage of design thinking
• New coverage of the Business Model Canvas and idea incubation
• New Learning from Failure: Giving Up on Google Glass
• New case: Microsoft: Innovative Again
Chapter 13
• New coverage on improving attitudes using artificial intelligence
• New Learning from Failure: Troublesome Leader’s Personality (WeWork)
• New case: Heat Waves Cause Employees to Walk Off the Job
Chapter 14
• New coverage of technology and motivation
• New section: Motivating Remote Workers
Chapter 15
• New section: Technology and Teams, including coverage of virtual collaboration platforms and use of artificial intelligence
• New case: US Women’s Soccer: A Team in Transition
• New case: Taylor Swift’s Bonuses Cause Their Own “Swift Quake”
Chapter 16
• New Learning from Failure: Childhood Lessons on Failure (Sarah Blakely)
• New content on emergent leadership
• New case: New Endorsements Give Power to College Athletes
Chapter 17
• Revised and expanded coverage of technology and communication
• New case: No Meetings?
Chapter 18
• New coverage of Key Performance Indicators
• New case: Feeding Chocolate to Cows
Our Three Guiding Principles
What has allowed this text to flourish for 40 years? We think the answer is in our three guiding principles: (1) offer cutting-edge topic coverage, (2) ensure that the writing is readable and conversational, and (3) make certain the presentation is relevant to students.
Cutting-Edge Topic Coverage
This book has always sought to provide the latest topic coverage. It was, for instance, the first introductory management text to discuss organizational culture, the symbolic view of management, behavioral decision making, sustainability, and value-chain management. This edition continues in that tradition, with cutting-edge topics like stakeholder investing, remote work, artificial intelligence, and employee well-being. And, of course, the entire research base for this edition has been fully updated.
High Readability
Every textbook author claims their books are highly readable. The reality is that few actually are. Most appear to be written more for professors than for students. From the first edition of this text, we were determined to make the field of management interesting and engaging for students. How did we do this? First, we committed to a conversational writing style. We wanted the text to read like normal people talk. And second, we relied on extensive use of examples. As your senior author learned early in his teaching career, students often forget theories, but they remember stories. So you’ll find a wealth of current examples in this text.
Relevance
Since this text’s inception, we have subjected every theory and concept to our “So What?” test. We ask ourselves: Why is a specific concept relevant? Why should a student need to know this? This test has guided us in deciding what to include and exclude over these many editions, as well as reminding us to explain the importance and relevance of concepts when it might not be obvious.