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Principles of Management, 1/e
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Principles of Management

Charles W.L. Hill, University of Washington
Steven McShane, University of Western Australia

ISBN: 0073530123
Copyright year: 2008

Book Preface



The management textbook market is crowded, so why did we write another one? The answer, quite frankly, is that a huge gap exists between what managers actually do or think about and what the existing gaggle of management books say are contemporary practices. Some topics that managers say are important (such as strategizing and shaping corporate culture) need much more attention in management courses; other concepts and practices long forgotten by most managers shouldn’t be required reading in a college management course. Management theory has also moved forward, and in some cases has become well-established practice in the corporate world. Again, we were surprised by the gap in what students have been reading. So, this book was crafted to close that gap, to help students have a more realistic understanding about what managers actually do and what management theory actually recommends. We offer this relevant view of management in a way that has a logical flow of content, is succinct and clear in its writing style, rich in real-world examples, and remains focused on the role of managers.

RELEVANCE: A BOOK FOR THE TWENTY FIRST CENTURY

Almost 100 years ago, French industrialist Henri Fayol proposed five functions of management, four of which (planning, organizing, leading and controlling) have becoming the foundation of management books over the past 40 years. While some management functions are timeless, we firmly believe that the late 1800s managers who inspired Fayol to describe these functions are markedly different from effective managers today. In other words, it is time for a 21st Century management book written for 21st century managers. At the same time, we recognize that Fayol's management functions have become deeply entrenched in management courses, so this book proposes an evolutionary rather than revolutionary approach to change. We retain four management functions, and with similar names to the past, but these subtle differences are more pronounced in the chapters and emphasis throughout this book. Let's look at a few of these emerging perspectives.

Planning and Strategizing

Most management books focus on planning, whereas we write about planning and strategizing. A trivial difference? Hardly! While planning is a formal process for periodically (e.g. once a year) generating organizational strategies, strategizing is a continual process for thinking through what a firm should pursue to attain its goals. In other words, successful managers are continually strategizing, sometimes in the absence of planning. Thus, we repeatedly emphasize how managers strategize. And to avoid perpetuating the error that planning and strategizing are interchangeable terms, this book has the distinction of presenting separate chapters for both practices.

Organizing and Controlling—Organization Architecture

Most management textbooks treat organizing and controlling as completely separate functions. Yet managers will tell you that organizing people into departments and teams is an important form of control. They also point out that various control systems—such as incentive systems and budgets– are closely connected to the organization's structure. Furthermore, managers emphasize that organizational culture is an important control system, no matter how difficult it is to shape; it should never be viewed as an untouchable fixture of the internal environment (as other books assume). Thus, we apply the contemporary management view that organizing and controlling belong together as two parts of the underlying management process, called organizational architecture .

Leading and Developing Employees

Leadership is important; in fact, it is vital for guiding the organization toward its objectives and for applying the other management functions. But managers today do more than motivate, influence, and direct others. Although missing from Fayol's original functions, this book highlights the fact that managers also devote much of their time to developing staff. In fact, General Electric and other top-performing companies insist that managers give the highest priority to hiring, training, mentoring, and rewarding employees. In contemporary management parlance, these companies consider human capital as their competitive advantage, and managers play a vital role in enhancing the value of that resource.

ORGANIZATION: A LOGICAL INTEGRATED FLOW OF TOPICS

We held several meetings, transmitted numerous e-mail messages, and consulted with dozens of instructors to hammer out the right organization of chapters and topics for this book. The fact is, by finding the right sequence of chapters and topics, we can more successfully help students to understand management roles and their interconnections. The chapter sequence also reflects how managers actually think and act, which explains why this book is organized somewhat differently from management textbooks that rely on past models. For example, the chapters on organizational structure and controls are side-by-side for the reasons noted earlier. We also organize staffing, motivating, and maintaining the wellbeing of employees in a sequence, because this is the how managers actually view the process of building human capital. More generally, this book moves from macro, though mid level issues, to micro issues, and closes by switching back to a macro perspective (managing innovation and change). This book also takes an integrated rather than piecemeal approach to management topics. This means that later chapters build upon concepts introduced in earlier chapters. Students can't make sense of planning and strategizing, for example, unless they have learned about the external environment. The goal is to get students to see the big picture, and to understand the important linkages between different aspects of management. To drive this home, we frequently refer to concepts introduced in prior chapters, and show how they related to the material being discussed in the current chapter. At the same time, we are sensitive to the desire of some instructors to skip certain chapters. We have not pushed the level of integration so far that this cannot be done.

SUCCINCT: FOCUSING ON WHAT IS IMPORTANT

The field of management covers a large territory, but we were amazed at how many pages the leading management textbooks required to cover this territory. Most management courses are one semester, which makes it very difficult for students to read through their textbook. Even in a twosemester course, the reading requirements could potentially undermine rather than improve the learning process. Although deciding what to include and exclude from a textbook is never easy, we were determined to keep this book to a more reasonable length. This book has no chapter on management history, choosing instead to discuss historical developments where appropriate throughout the book. We also avoided special chapters found in other books (entrepreneurship, information systems, and so on). These topics are peripheral to the management discipline and, indeed, are usually the focus of other courses. Through these and other adjustments, we have crafted a management book with a manageable 18 chapters and a more reasonable number of pages of reading.

CONTENT: UP-TO DATE

Along with its contemporary management structure, this book offers students up-to-date management concepts and examples. Current management thinking is apparent throughout, such as recognizing social concerns with globalization (Chapter 3), practicing backchannel control methods (Chapter 9), building an employer brand (Chapter 12), improving customer satisfaction by through better job satisfaction (Chapter 14), and recognizing the effects of disruptive technologies (Chapter 18). Students want real-world examples that are fresh, not ancient history (like the 1980s or even the 1990s), so we scanned the latest sources to link management concepts to recent events. For instance, we describe how Chick-Fil-A CEO Dan Cathy serves as a figurehead by camping out with customers (Chapter 1), how Intel CEO Paul Otellini is steering the microchip makers towards a new strategic plan (Chapter 5), how Unilever has reconfigured its organizational structure in recent years to find the right balance among competing demands in the marketplace (Chapter 8), how Dell executives have attempted to shift the computermaker's corporate culture (Chapter 10), how Google attracts top talent by engaging in guerilla recruitment practices (Chapter 12), and how Xerox CEO Anne Mulcahy led the company's dramatic turnaround despite her status as an “outside-insider.”

READABILITY: INTERESTING AND ACCESSIBLE

Management textbooks don't have to be dense, boring and dull. Our tactic for engaging students has been to illustrate concepts through stories, using examples that are current, interesting, and when appropriate, provocative. We are story tellers, and we believe that the evocative stories throughout this book will help students to understand the content and motivate them to read through the assigned pages. At the end of the day, we have written this book for students, we want to reach them through lively and accessible communication. To improve readability, we have also cleared out the clutter found in most management books. Gone is the weighty boxed material because instructors and students alike told us that content or anecdotes placed in boxes are not read. Instead, these examples are embedded in the text so they are more clearly interwoven with the discussion of key concepts. Each chapter also opens not with the traditional boxed case, but with a brief story that is used to illustrate the concepts covered in the chapter. The goal, again, is to capture the attention of students and draw them in.

MANAGEMENT CENTRIC

A management textbook should write about what managers do and how they can perform their jobs more effectively. This principle seems obvious, but it is often lost in practice as management textbooks become steeped in theory without connecting back to management practice. Aware of this tendency, we have tried to make managers the centerpiece of this book. Essentially, we adopt an action-oriented approach by focusing on what successful managers do and why those actions work well (and under what conditions they work well). We repeatedly emphasize why the concepts discussed in a chapter matter for managers. We also drive these points home at the end of every chapter with a closing section appropriately entitled “Why does it matter?”

HIGH QUALITY SUPPORT MATERIALS

Unlike revised texts/ resource packages, where materials are refitted, resized, and repurposed, the resources supporting this text have been freshly created in close conjunction with the text and each other to provide you with a truly integrated support package organized by chapter learning objectives, measures learning outcomes and incorporates AACSB standards.

The Instructor's Manual (authored by Barbara Carlin, University of Houston and Chris Quinn-Trank , Texas Tech University) closely follows the textbook's learning objectives and includes extra war stories and teaching tips. The Instructor's Manual also includes a guide to the end-ofchapter Portfolio Project and incorporates ideas and guidelines for implementing the project into your management course. Examples of how the project fits into new AACSB standards for integrated curricula are also included.

The Test Bank (authored by Carol Johnson, University of Denver ), includes over 150 questions per chapter, including multiple-choice, true/false, and short answer questions at various levels of Bloom's Taxonomy. Every test bank question is tagged to the corresponding textbook page, learning objective, Bloom's Taxonomy, and the AACSB requirement it assesses. A test table is also provided to help you easily choose questions to fit your needs. An additional set of practice quizzes, also written by the test bank author, is available on the text's Online Learning Center .

PowerPoint Package (authored by Amit Shah, Frostburg State University ) includes over 350 slides, each tied to the textbook page and learning objective. Slides include teaching notes to help reduce your prep time. A set of student slides is available on the text's Online Learning Center .

Instructor's Resource CD . All of our instructor supplements are available in this one-stop, multimedia resource and includes the PowerPoint, Test Bank, and Instructor's Manual.

Videos . info to come

PrepCenter . Let McGraw-Hill/Irwin save you time preparing for class with PrepCenter! On one easy screen you can access the entire library of resources available with Principles of Management by Hill/McShane. Browse for available assets by chapter, concept, or media type, then preview and organize them for your course.

Online Learning Center (OLC). Our Web site mirrors the text chapter-by-chapter. OLCs can be delivered in multiple ways—professors and students can access them directly through the textbook Web site, through PageOut, or within a course management system such as WebCT, Blackboard, TopClass, or eCollege).

Enhanced Cartridge. McGraw-Hill/Irwin is pleased to offer an enhanced cartridge to help you organize your course. Not only do you receive the instructor's material, but we also provide you with additional student exercises such as threaded discussion questions, quizzes, and more!

ADDITIONAL RESOURCES FOR YOUR PRINCIPLES OF MANAGEMENT COURSE

Group and Video Resource Manual: An Instructor's Guide to an Active Classroom. This electronic manual for instructors includes a menu of items they can use as teaching tools in class. Included are detailed teaching notes and PowerPoints for self-assessments, test your knowledge exercises, the Manager's Hot Seat DVD, as well as new group exercises, complete with any handouts or worksheets you'll need to accompany them.

Manager's Hot Seat. This interactive, video based software puts students in the manager's hot seat where they have to apply their knowledge to make decisions on hot issues such as ethics, diversity, working in teams, and the virtual workplace on the spot. This resource is available for student purchase with the Hill/McShane text. Resources to support these videos are located in before mentioned Group and Video Resource Manual.

Team Learning Assistant (TLA). This online tool makes it easy for you to implement team learning in your class. Monitor the team process, facilitate peer feedback and evaluation, teach the value of team contracts; conflict resolution, and grade individual performance quickly and easily by using TLA.

You can customize this text. McGraw-Hill/Primis Online's digital database offers you the flexibility to customize your course including material from the largest online collection of textbooks, readings, and cases. Primis leads the way in customized eBooks with hundreds of titles available at prices that save your students over 20% off bookstore prices. Additional information is available at 800-228-0634.

Business Week Edition . Your students can subscribe to Business Week for a specially priced rate of $8.25 in addition to the price of the text. Students will receive a pass code card shrink-wrapped with their new text. The card directs students to a Web site where they enter the code and then gain access to Business Week's registration page to enter address info and set up their print and online subscription as well. Passcode ISBN 007-251530-9.

The Wall Street Journal Edition. Your students can subscribe to the The Wall Street Journal for a specially priced rate of $20.00 in addition to the price of the text. Students will receive a “How To Use the WSJ ” handbook plus a pass code card shrink-wrapped with the text. The card directs students to a Web site where they enter the code and then gain access to the WSJ registration page to enter address info and set up their print and online subscription, and also set up their subscription to Dow Jones Interactive online for the span of the 10-week period. Passcode ISBN 007-251950-9.

FOR STUDENTS

Most or you will start your careers as functional specialists— as accountants, engineers, sales people, finance specialists, and so on. If you are successful in your entry level job, you will be promoted, and more than likely, before long you will be put in charge of other people. At this point, you will have become a manager. As a manager, further advancement will be dependent upon your ability to get things done though others – to motivate, persuade, encourage and coach others so that they perform better. This book is about what it takes to become an effective manager. It is about how to make good decisions, how to exert influence on the strategies and policies of your employer (even when you are an entry level employee) how to motive and lead others, how to communicate effectively, how to manage change, and much more. Becoming a good manager is not easy, but it is a way to have a successful career and have an impact upon the organizations in which you work. Becoming a great manager is more than that – great managers build organizations that change the world. Great managers of the last quarter century include Sam Walton, who built Wal-Mart from nothing into the world's largest retailer, Jack Welch, who transformed General Electric from a lumbering conglomerate into a dynamic and productive nterprise, Howard Schultz, who was the inspiration behind the growth of Starbucks, and Michael Dell, who starting from his dorm room created the world's largest manufacturer of personal computers.

We have written this book to help you get started on the road to becoming a good – or even a great – manager. We have tried to put together a book that is written in a lively accessible style, that is crammed full of interesting and relevant examples, and that introduces you to the most useful concepts and theories for managers, yet presents these concepts and theories in a way that is easy to understand. We hope you enjoy the book, but more than that, we hope that the ideas contained herein stay with you for the rest of your careers, and help you to advance in the world of work.


To obtain an instructor login for this Online Learning Center, ask your local sales representative. If you're an instructor thinking about adopting this textbook, request a free copy for review.