Behavioral Side of Management: Presented By: Keith Anthony F. Amor

Behavioral side of management
Presented by:
Keith Anthony F. Amor

What is behavioral management theory?
 Commonly called human relations movement.

 It relies on the notion that managers will better
understand the human aspect to workers and
treat employees as important assets to achieve
goals.
 Management taking specials interest in their
workers makes them feel like part of a special
group hence boosting their morale and will lead
to better productivity.
Why was it developed?
 It was develop in order to response to the need to

account for employee’s behavior and motivation.
 For upgrading from a classical leadership which is
concern only on production to a leadership style
which focuses more on the worker’s human need
for work-related satisfaction and good working
conditions.
Things to consider to have successful
behavioral management
 Social
needs ( Maslow’s hierarchy of needs
:physiological, safety, love and belonging,
esteem and self-actualization).
 Effective leadership
 Considerations
THE ROLES OF MANAGERS
What is a manager?
> A person who plans and directs the work of
a group of individuals, monitoring their work
and taking corrective actions when necessary.
3 basic roles of managers
 Interpersonal role
 Informational role
 Decisional role
Interpersonal roles of a manager
 Figurehead – symbolic head: required to perform a

number of routine duties of a legal or social nature.
 Leader – responsible for the motivation and direction of
subordinates.
 Liaison – maintains a network of outside contacts who
provide favors and information.
Informational roles of a manager
 Monitor – receives a wide variety of information: serves as

nerve center of internal and external information of the
organization.
 Disseminator – transmits information received from
outsiders or other subordinate to members of the
organization.
 Spokesperson – transmits information to outsiders on
organization’s plans, policies, actions and results: serves
as expert on organization’s industry.
Decisional roles of a manager
 Entrepreneur – searches organization and its environment

for opportunities and initiates projects to bring about
change.
 Disturbance handler – responsible for corrective action
when organization faces important and unexpected
disturbances.
 Resource allocator – making or approving significant
organizational decisions.
 Negotiator – responsible for representing the organization
at major negotiations.
Three organizational core processes
Entrepreneurial
Competence-building
Renewal process
1.) Entrepreneurial
 Entrepreneurial is characterized by the

taking of financial risks in the hope of
profit; enterprising.
Seven things to consider to achieve your
entrepreneurial dream
 Money is the foundation

 You don’t have to go it alone
 Run in stealth mode
 Have potential clients waiting in the wings
 Set specific goals and deadlines
 Passion will sustain you
 Hiring employees
advantage of being an entrepreneur
 1.) A flexible schedule

 2.) you will learn a lot
 3.) exciting and fulfilling
 4.) the salary makes sense
 5.) you are viewed as a leader
Disadvantages of being an entrepreneur
 1.) you wear a lot of hats

 2.) you are always at work
 3.)work-life balance becomes tricky and is
sometimes non-existent
 4.) a non-regular paycheck can be scary
 5.) you will feel a new kind of stress
rules to become a successful
entrepreneur
 Work smarter not harder
 Hire people to handle tasks you aren’t good at
 Get more done and spend less
 Don’t be afraid of failing ( because you will)
 Wake up with purpose daily and be relentless
2.) Competence-building
 Business competency is a set of particular

abilities and knowledge that sets a
company apart from its competitors.
 Inhighly successful companies, core
competencies were responsible for
developing areas where they add the most
value to products.
What are core competencies?
 They are the resources and capabilities

that comprise the strategic advantages of a
business.
 In order to succeed against competition, a
business must define, cultivate and exploit
its core competencies.
To develop core competencies a
company should:
 Isolate its key abilities and hone them into organization-
wide strengths
 Compare itself with other companies with the same skills
to ensure that it is developing unique capabilities
 Develop an understanding of what capabilities its
customers truly value and invest accordingly to develop
and sustain valued strengths
 Create an organizational roadmap that sets goals for
competence building
 Pursue alliances, acquisitions and licensing arrangements
that will further build the organization’s strengths in core
areas
 Encourage communication and involvement in core
capability development across the organization
 Preserve core strengths even as management expands and
redefines business
 Outsource or divest noncore capabilities to free up
resources that can be used to deepen core capabilities.
Why does companies use these core
competencies?
 To design competitive positions and strategies that
capitalize on corporate strengths
 To unify the company across business units and functional
units, and improve the transfer of knowledge and skills
among them
 It help employees understand management’s priorities
 It integrates the use of technology in carrying out business
processes
 Decides on where to allocate resources
 Make outsourcing, divestment and partnering decisions
 Widen the domain in which the company innovates and
spawn new products and services
 Invent new markets and quickly enter emerging markets
 Enhance image and build customer loyalty
3.) Renewal process
 Renewal- defines as the state of being

made new, fresh or strong again – to
restore, replenish, revive, re-establish and
to recover.
 Business renewals encompasses a number of
overlapping traditional and modern process areas.
It might include strategy formulation, innovation,
business development, e-Business strategies,
strategic-marketing, competitor-intelligence and
business network development and management.
Importance of renewal process in
business
 Ithelps the transformation to succeed

by ensuring the change is lead from
business perspective following the
business capability requirements.
Strategic renewal
 The process of change and the outcome of the

adjustment in strategic direction that have the
potential to determine the long-term
competitivity of a firm.
Objectives of strategic renewal:
 To provide a strategic fit between a firm’s

internal capabilities and shift in the external
environment involving technology, markets,
industries, and the economy that require a
change in the status quo of conducting a business.
Two types of strategic renewal
 Incremental renewal
 Transformational renewal
Incremental renewal
 Occursthrough a series of regular

adaptations to changes in the commercial
environment.
What is incremental growth?
 Refers to those small gains that a business can

make through pricing and payment terms,
improvements in conversion rate or acquisition
costs, add-ons or upselling, etc.
When to look for incremental growth?
 It is more needed during the maturity stage of a

business’s cycle.
 At this stage, the real dynamic growth has slowed
or stalled
 Those who can pull the levers to drive
incremental growth at a mature company are the
unsung heroes that keep things moving in the
right direction.
Transformational renewal
 It is bought about through radical shifts in

strategic management and the removal or
replacement of key functions and units in the
firm.
 Involves changes in the business model,
technological platforms, organizational structure,
resource base and strategic capabilities.
Why is transformation important in
business?
 it aims to align people, processes, and technology
initiatives of a company to its business strategy
and vision.
Key steps to effective organizational
change management
 Clearly define the change and align it to business
goals
 Determine impacts and those affected
 Develop a communication strategy
 Provide effective training
 Implement a support structure
 Measure the change process
THANK YOU !!!

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Behavioral side of management

Keith Anthony F. Amor

 Commonly called human relations movement.

 It was develop in order to response to the need to

 Figurehead – symbolic head: required to perform a

 Monitor – receives a wide variety of information: serves as

 Entrepreneur – searches organization and its environment

 Entrepreneurial is characterized by the

 Money is the foundation

 1.) A flexible schedule

 1.) you wear a lot of hats

 Business competency is a set of particular

 They are the resources and capabilities

 Renewal- defines as the state of being

 Ithelps the transformation to succeed

 The process of change and the outcome of the

 To provide a strategic fit between a firm’s

 Occursthrough a series of regular

 Refers to those small gains that a business can

 It is more needed during the maturity stage of a

 It is bought about through radical shifts in

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