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PART ONE THE BASIS OF GLOBAL MANAGEMENT THEORY AND PRACTICE3

1.Management：Science，Theory，and Practice3

Definition of Management：Its Nature and Purpose4

Managing：Science or Art？10

The Evolution of Management Thought11

International Perspective：The Wisdom of Peter Drucker14

Patterns of Management Analysis：A Management Theory Jungle？15

The Systems Approach to the Management Process20

The Functions of Managers24

The Systems Model of Management and the Organization of this Book26

Summary27

Key Ideas and Concepts for Review28

For Discussion28

Exercises/Action Steps29

Internet Research29

International Case：McDonald’s—Serving Fast Food Around the World29

References33

2.Management and Society：The External Environment，Social Responsibility，and Ethics36

Operating in a Pluralistic Society38

The Technological Environment38

The Ecological Environment38

The Social Responsibility of Managers39

Ethics in Managing42

Trust as the Basis for Change Management47

Summary48

Key Ideas and Concepts for Review48

For Discussion49

Exercises/Action Steps49

Internet Research49

International Case：Spirituality in the Workplace50

References51

3.Global，Comparative，and Quality Management54

International Management and Multinational Corporations55

Country Alliances and Economic Blocs60

International Management：Cultural and Country Differences62

Porter’s Competitive Advantage of Nations67

Gaining a Global Competitive Advantage through Quality Management67

Summary72

Key Ideas and Concepts for Review72

For Discussion73

Exercise/Action Steps73

Internet Research74

Entrepreneurial Case：Starbucks—Quality Plus Social Conscious Sells Around the World74

References75

Part One Closing：The Basis of Global and Entrepreneurial Management78

International Focus：China—The New Economic Giant78

Entrepreneurial Focus：Silicon Valley and the Environment of Entrepreneurial Management79

Global Car Industry Case：The Car Market in the New Europe84

References86

PART TWO PLANNING91

4.Essentials of Planning and Managing by Objectives91

Types of Plans92

Steps in Planning96

Objectives99

Evolving Concepts in Management by Objectives104

Summary106

Key Ideas and Concepts for Review107

For Discussion107

Exercise/Action Steps108

Internet Research108

International Case：Developing Verifiable Goals108

References109

5.Strategies，Policies，and Planning Premises111

The Nature and Purpose of Strategies and Policies112

The Strategic Planning Process113

The TOWS Matrix：A Modem Tool for Analysis of the Situation117

Blue Ocean Strategy：In Pursuit of Opportunities in an Uncontested Market120

The Portfolio Matrix：A Tool for Allocating Resources121

Major Kinds of Strategies and Policies122

Hierarchy of Company Strategies123

Porter’s Industry Analysis and Generic Competitive Strategies123

Premising and Forecasting124

Summary126

Key Ideas and Concepts for Review126

For Discussion127

Exercises/Action Steps127

Internet Research127

International Case：The Road Ahead for Shanghai Volkswagen127

References128

6.Decision Making131

The Importance and Limitations of Rational Decision Making132

Development of Alternatives and the Limiting Factor133

Evaluation of Alternatives133

Selecting an Alternative：Three Approaches135

Programmed and Nonprogrammed Decisions138

Decision Making under Certainty，Uncertainty，and Risk139

Creativity and Innovation140

Summary143

Key Ideas and Concepts for Review144

For Discussion144

Exercises/Action Steps145

Internet Research145

International Case：Carrefour—Which Way to Go？145

References146

Part Two Closing：Global and Entrepreneurial Planning148

International Focus：A TOWS Analysis of the Competitive Advantages and Disadvantages of Germany148

Entrepreneurial Focus：Writing a Business Plan for an Entrepreneurial Venture152

Global Car Industry Case：The Daimler-Chrysler Merger：A New World Order？156

References162

PART THREE ORGANIZING167

7.The Nature of Organizing，Entrepreneuring，and Reengineering167

Formal and Informal Organizations168

Organizational Division：The Department170

Organizational Levels and the Span of Management170

An Organizational Environment for Entrepreneuring and Intrapreneuring173

Reengineering the Organization176

The Structure and Process of Organizing178

Basic Questions for Effective Organizing180

Summary180

Key Ideas and Concepts for Review181

For Discussion181

Exercises/Action Steps181

Internet Research181

International Case：Reengineering the Business Process at Procter ＆ Gamble182

References183

8.Organization Structure：Departmentation185

Departmentation byEnterprise Function186

Departmentation by Territory or Geography188

Departmentation by Customer Group189

Departmentation by Product190

Matrix Organization190

Strategic Business Units192

Organization Structures for the Global Environment194

The Virtual Organization195

The Boundaryless Organization196

Choosing the Pattern of Departmentation196

Summary197

Key Ideas and Concepts for Review197

For Discussion198

Exercises/Action Steps198

Internet Research198

International Case：The Restructuring of Daimler-Benz199

References200

9.Line/Staff Authority，Empowerment，and Decentralization202

Authority and Power203

Empowerment204

Line/Staff Concepts and Functional Authority205

Decentralization of Authority206

Delegation of Authority207

The Art of Delegation207

Recentralization of Authority and Balance as the Key to Decentralization209

Summary210

Key Ideas and Concepts for Review211

For Discussion211

Exercises/Action Steps211

Internet Research212

International Case：Ford’s European Organization Changes Strategy212

References213

10.Effective Organizing and Organization Culture215

Avoiding Mistakes in Organizing by Planning216

Avoiding Organizational Inflexibility217

Making Staff Work Effective218

Avoiding Conflict by Clarification219

Ensuring Understanding of Organizing221

Promoting an Appropriate Organization Culture223

Summary226

Key Ideas and Concepts for Review226

For Discussion227

Exercise/Action Steps227

Internet Research227

International Case：Restructuring at Korea’s Daewoo227

References229

Part Three Closing：Global and Entrepreneurial Organizing230

International Focus：Organizing for Quality Service in Europe，North America，and Japan230

Entrepreneurial Focus：Legal Forms of Organization and Intellectual Property of New Ventures231

Global Car Industry Case：How the Lexus Was Bom—and Continued Its Success in the United States，but will Lexus Succeed in Japan？235

References237

PART FOUR STAFFING241

11.Human Resource Management and Selection241

Definition of Staffing242

The Systems Approach to Human Resource Management：An Overview of the Staffing Function242

Situational Factors Affecting Staffing247

Selection：Matching the Person with the Job252

The Systems Approach to Selection：An Overview252

Position Requirements and Job Design253

Skills and Personal Characteristics Needed in Managers255

Matching Qualifications with Position Requirements256

Selection Process，Techniques，and Instruments258

Orienting and Socializing New Employees262

Managing Human Resources While Moving Toward 2020263

Summary263

Key Ideas and Concepts for Review264

For Discussion265

Exercises/Action Steps265

Internet Research265

International Case：Trials and Challenges for Mr.Barrett at Intel266

References266

12.Performance Appraisal and Career Strategy268

Choosing Appraisal Criteria269

Appraising Managers against Verifiable Objectives270

Appraising Managers as Managers：A Suggested Program274

A Team Evaluation Approach276

Application of Performance Review Software277

Rewards and Stress of Managing277

Formulating the Career Strategy279

Summary284

Key Ideas and Concepts for Review284

For Discussion285

Exercises/Action Steps285

Internet Research285

International Case：Woman CEO Manages by the Textbook286

References286

13.Managing Change through Manager and Organization Development288

Manager Development Process and Training289

Approaches to Manager Development：On-the-Job Training291

Approaches to Manager Development：Internal and External Training293

Evaluation and Relevance of Training Programs296

Managing Change297

Organizational Conflict299

Organization Development300

The Learning Organization302

Summary303

Key Ideas and Concepts for Review304

For Discussion304

Exercises/Action Steps304

Internet Research304

International Case：Jack Welch Leading Organizational Change at GE305

References306

Part Four Closing：Global and Entrepreneurial Staffing308

International Focus：Training and Development for the Global Market：The German/European Model308

Entrepreneurial Focus：Attracting Talent for the High Intensity Venture311

Global Car Industry Case：Meet the CEOs of Car Makers313

References316

PART FIVE LEADING321

14.Human Factors and Motivation321

Human Factors in Managing322

Motivation324

An Early Behavioral Model：McGregor’s Theory X and Theory Y324

Maslow’s Hierarchy of Needs Theory326

Alderfer’s ERG Theory327

Herzberg’s Motivation-Hygiene Theory328

The Expectancy Theory of Motivation329

Equity Theory331

Goal Setting Theory of Motivation332

Skinner’s Reinforcement Theory333

McClelland’s Needs Theory of Motivation334

Special Motivational Techniques335

Job Enrichment338

A Systems and Contingency Approach to Motivation339

Summary340

Key Ideas and Concepts for Review340

For Discussion341

Exercises/Action Steps341

Internet Research342

International Case—Managing the Hewlett-Packard Way：Will It Continue？342

References343

15.Leadership346

Defining Leadership347

Ingredients of Leadership348

Trait Approaches to Leadership349

Charismatic Leadership Approach350

Leadership Behavior and Styles351

Situational，or Contingency，Approaches to Leadership357

Transactional and Transformational Leadership361

Summary363

Key Ideas and Concepts for Review363

For Discussion363

Exercises/Action Steps364

Internet Research364

Entrepreneurial Case—Profiles of Two Visionaries：Bill Gates and Steve Jobs364

References366

16.Committees，Teams，and Group Decision Making369

The Nature of Committees and Groups370

Reasons for Using Committees and Groups371

Disadvantages and Misuse of Committees373

Successful Operation of Committees and Groups374

Additional Group Concepts375

Teams378

Conflicts in Committees，Groups，and Teams379

Summary379

Key Ideas and Concepts for Review380

For Discussion380

Exercises/Action Steps380

Internet Research381

International Case—To Merge or Not to Merge：That Is the Question for HP，Compaq，and CEO Fiorina381

References382

17.Communication384

The Purpose of Communication385

The Communication Process386

Communication in the Organization388

Barriers and Breakdowns in Communication393

Toward Effective Communication396

Electronic Media in Communication399

Summary401

Key Ideas and Concepts for Review402

For Discussion402

Exercises/Action Steps402

Internet Research403

International Case：Could the Challenger Accident Have Been Avoided？403

References404

Part Five Closing：Global and Entrepreneurial Leading406

International Focus：Leading in Different Cultures406

Entrepreneurial Focus：Traits of Entrepreneurial Leaders and Communicating with the Elevator Pitch409

Global Car Industry Case—Leadership at Ford：With Bill Ford in the Driver Seat，Which Way Will He Drive？411

References412

PART SIX CONTROLLING417

18.The System and Process of Controlling417

The Basic Control Process418

Critical Control Points，Standards，and Benchmarking419

Control as a Feedback System422

Real-Time Information and Control423

Feedforward，or Preventive，Control424

Control of Overall Performance427

Profit and Loss Control428

Control through Return on Investment429

Management Audits and Accounting Firms429

Bureaucratic and Clan Control430

Requirements for Effective Controls430

Summary432

Key Ideas and Concepts for Review433

For Discussion433

Exercises/Action Steps434

Internet Research434

International Case：Wal-Mart in America and Around the Globe434

References437

19.Control Techniques and Information Technology439

The Budget as a Control Device440

Traditional Nonbudgetary Control Devices441

Time-Event Network Analyses441

Information Technology445

The Use of Computers in Handling Information447

Opportunities and Challenges Created by Information Technology449

The Digital Economy，E-Commerce，and M-Commerce452

Summary455

Key Ideas and Concepts for Review456

ForDiscussion457

Exercises/Action Steps457

Internet Research457

Entrepreneurial Case：Can eBay’s Success Continue？457

References458

20.Productivity，Operations Management，and Total Quality Management460

Productivity Problems and Measurement461

Production and Operations Management：Manufacturing and Service462

Quality Measurement in the Information Age463

The Operations Management System463

Tools and Techniques for Improving Productivity468

Supply Chain and Value Chain Management475

Summary476

Key Ideas and Concepts for Review476

For Discussion477

Exercises/Action Steps477

Internet Research478

International Case：Toyota’s Global Production Strategy478

References480

Part Six Closing：Global Controlling and Challenges and Entrepreneurial Controlling482

International Focus：The Future of Global Management482

Entrepreneurial Focus：Managing for Rapid Growth and Liquidity Events486

Global Car Industry Case：What Future Car Do You Want？489

References489

Appendix A—Summary of Major Principles or Guides for the Managerial Functions of Planning，Organizing，Staffing，Leading，and Controlling491

Appendix B—Management Excellence Survey501

Name Index511

Subject Index517