Managers wear many hats, juggling informational, interpersonal, and decisional roles . They gather intel, motivate teams, and make tough calls. From figurehead duties to resource allocation, managers navigate a complex web of responsibilities to keep their organizations running smoothly.
Decision-making is a crucial skill for managers. They follow a structured process: identify issues, gather data, weigh options, implement solutions, and evaluate outcomes. Whether dealing with routine tasks or complex challenges, managers must adapt their approach to make effective choices.
Managerial Roles and Decision-Making
Categories of managerial roles
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Informational roles involve managing and sharing information
Monitor gathers relevant information from inside and outside the organization (industry reports, employee feedback)
Disseminator communicates pertinent information to employees (company updates, policy changes)
Spokesperson represents the organization to external stakeholders (press conferences, investor meetings)
Interpersonal roles focus on interactions with people
Figurehead performs ceremonial duties as a representative of the organization (ribbon cuttings, award ceremonies)
Leader guides and motivates subordinates to achieve goals (setting expectations, providing feedback)
Effective leaders adapt their leadership styles to different situations and team members
Liaison maintains a network of contacts outside the organization (industry associations, suppliers)
Decisional roles involve making choices that impact the organization
Entrepreneur initiates change and adapts to the environment (launching new products, entering new markets)
Disturbance handler addresses conflicts and crises (resolving employee disputes, managing public relations issues)
Resource allocator determines how to distribute human, physical, and financial resources (budgeting, staffing)
Negotiator discusses issues and bargains with other units to gain advantages (contracts, labor agreements)
Steps in managerial decision-making
Recognize and define the problem or opportunity
Identify the gap between the current and desired state (declining sales, outdated technology)
Clarify the scope and nature of the issue (short-term vs long-term, isolated vs systemic)
Gather and analyze information
Determine what additional data is needed to understand the situation (customer feedback, market research)
Obtain relevant information from appropriate sources (internal reports, external experts)
Develop and evaluate alternatives
Generate a list of potential courses of action (increase advertising, improve product quality)
Assess the feasibility, benefits, and drawbacks of each option (cost, time, resources required)
Select the best alternative and implement the decision
Choose the option with the highest likelihood of success based on the analysis (launch a new marketing campaign)
Put the decision into action by communicating it to relevant parties and securing their support (inform employees, allocate budget)
Follow up and evaluate results
Monitor the implementation of the decision to ensure it stays on track (regular progress reports)
Compare actual outcomes to expected results (sales figures, customer satisfaction scores)
Make necessary adjustments based on the evaluation (fine-tune the marketing message, reallocate resources)
Programmed vs nonprogrammed decisions
Programmed decisions are routine and repetitive
Clear procedures exist for handling these situations (standard operating procedures)
Typically made by lower-level managers (supervisors, team leads)
Tend to be more structured and have a lower risk (ordering supplies, processing invoices)
Nonprogrammed decisions are unique and complex
No established guidelines or precedents to follow (entering a new market, responding to a crisis)
Require judgment, creativity, and higher-level authority (executives, board of directors)
Tend to be more unstructured and have a higher risk (mergers and acquisitions, organizational restructuring)
Management Functions and Organizational Structure
Planning: Setting goals and determining courses of action (strategic planning )
Organizing: Arranging and structuring work to accomplish organizational goals
Designing the organizational structure to support efficient operations
Determining how tasks will be divided, grouped, and coordinated
Leading: Motivating, directing, and influencing people to achieve objectives
Using appropriate leadership styles to guide and inspire team members
Controlling: Monitoring performance and making corrections to ensure goals are met
Establishing performance standards and comparing actual results
Implementing corrective actions when necessary
Managers at all levels engage in delegation to effectively distribute tasks and responsibilities among team members