The Organizational Environment

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The Organizational Environment

Environmental factors play a major role in determining an organization’s success or failure. All organizations have both external and internal environments.

The external environment is composed of general and task environment layers. The general environment is composed of the nonspecific elements of the organization’s surroundings that might affect its activities. It consists of five dimensions: economic, technological, sociocultural, political-legal, and international. The effects of these dimensions on the organization are broad and gradual.

The task environment consists of specific dimensions of the organization’s surroundings that are very likely to influence the organization. It consists of seven elements: competitors, customers, suppliers, regulators, labour, owners, and strategic allies. Because these dimensions are associated with specific organizations in the environment, their effects are likely to be direct.

The major direct forces of an organization’s external environment are the customers that the organization must satisfy, the competitors with whom the organization must effectively compete for customers, the suppliers that provide the organization with essential resources, and human resources – people in the external environment from whom the organization must draw an effectively performing work force.

Customers purchase an organization’s products and services. They may be individuals or organizations. Organizations typically respond to customer forces in the external environment by taking action: they conduct customer research that focuses on both present and potential customers. Organizations seek to identify their present and potential customers. Organizations seek to identify their present customers’ degree of satisfaction with their products and services and to discover any changing preferences.

All organizations require resources – funds, energy, equipment, services, and materials – to produce a product or service that succeeds in the marketplace. Suppliers are organizations that provide these resources.

To succeed, an organization must make effective moves and countermoves, ones that maintain or advance the company’s position in the marketplace and that cannot be easily nullified by competitors’ responses.

Competitors are an organization’s opponents, the companies against which the organization competes for customers and needed resources (e.g., employees, raw materials, even other organizations) in the external environment.

Human resources are the vast resource of people in the external environment from which an organization obtains its employees. People are perhaps an organization’s most precious internal resource because they are the organization’s lifeblood. They provide the knowledge, skills, and drive that create, maintain, and advance organizations. To be successful, an organization must attract and keep the individuals it needs to achieve its objectives.

The indirect forces of the external environment can affect managers in at least two ways. First, outside organizations can have a direct influence on an organization or an indirect influence through a direct force. For example, a consumer activist group may lobby for certain causes, such as equal credit opportunities for women. Local media may apply pressure to keep open a plant that management planned to close. Legislation may force managers to alter the way they report certain information concerning hiring practices. Second, certain indirect forces can influence the climate in which the organization must function.

The internal environment consists of the organization’s board of directors, employees, and culture. Culture is especially important. Managers must understand not only its importance but also how it is determined and how it can be changed.

The internal environment includes the day-to-day forces within the organization in which managers perform their functions. For example, the level in the organization where management is performed has implications for managerial performance: top-level managers do different things than middle-level managers, who in turn, do different things than first-level managers. Coping with managerial demands in the internal environment requires managers to have different skills and to perform different roles. Skill requirements and role performance are important forces in the internal environment.

Individuals often limit their perspective of an organization to the elements and activities that exist within the organization: the employees, managers, equipment, tools, procedures, and other elements that combine to create the organization’s product or service. However, this perspective is so limited. A complete picture of any organization must include its external environment, the large arena that exists outside the organization and comprises many varied forces that impact the organization’s structure, processes, and performance. These forces may be direct, exerting an immediate and direct influence on the organization, or they may be indirect, influencing the climate in which the organization operates (and becoming direct forces under some conditions).



I. Answer the questions.

1. What is the external environment composed of?

2. What are five dimensions of the general environment?

3. What are seven elements of the task environment?

4. What are the major direct forces of an organization’s external environment?

5. How do organizations respond to customer forces in the external environment?

6. What resources do all organizations require?

7. What must an organization make to succeed?

8. Who are competitors?

9. What is an organization’s most precious internal resource?

10. In what way can indirect forces of the external environment affect managers?

11. What does the internal environment include?

12. What must be taken into account to have a complete picture of any organization?

II. Translate into Ukrainian:

to determine an organization’s success or failure, both external and internal environments, nonspecific elements, political-legal, to be associated with.

III. Translate the sentences into English.

1. Зовнішнє середовище є джерелом важливих впливів на організацію.

2. У сучасних умовах зовнішнє середовище організації змінюється дуже швидко.

3. Єдиний спосіб впоратися з швидкими змінами у середовищі – це постійний збір інформації та її обробка.

4. До факторів прямого впливу на організацію відносяться споживачі, конкуренти, постачальники, власники, законодавство, держава та профсоюзи.

5. До факторів посереднього впливу відносять стан економіки, технологічні нововведення, зміни у політичній системі суспільства, трансформацію суспільства та його культури, групові інтереси.

IV. Match the terms and definitions.


Terms Definitions
1.Task environment   2. Board of directors 3. Organization   4. Environment   a) any structured system of roles and functional relationships designed to carry out a firm’s policies or, more precisely, the programs such policies inspire. b) those institutions or forces outside the organization that potentially affect the organization’s performance. c) people chosen by stockholders of a corporation to manage the enterprise. d) all the factors and forces external to the organization that are important to managerial decision making.


V. Use the following word-combinations in sentences of your own.

To have different skills, to perform different roles, to exert influence, to compete for customers, to take effective moves, to offer an advantage, to provide evidence, to boost the quality of education, to keep abreast of, to enter new markets, to affect the wages.

VI. Complete the following sentences with appropriate forms of the verbs from the list (maintain, buy, conduct, compete, perform, succeed, influence, include, pose, determine, produce, require, focus, establish).


1. The internal environment ______ day-to-day forces within the organization in which managers _____ their duties.

2. Many different forces outside and inside an organization _____ manager’s performance.

3. Customer’s decision _____ or not _____ a firm’s output directly _____ the company’s sales revenues and ultimately its survival.

4. Organizations _____ customer’s research that _____ on both present and potential customers.

5. Competitors are an organization’s opponents, the companies against which the organization _____ for customers.

6. A growing numbers of companies _____ competitor intelligence teams to obtain a specific information about a competitor.

7. An increasing number of young and future employees lack the basic knowledge and skills needed______ productive jobs.

8. Changes in the economy _____ both opportunities and problems for managers.

9. All organizations ______ resources – funds, energy, equipment, services and materials __________ a product or service that ______ in the marketplace.

VII. Make-up a dialogue to speak about the organizational environment.

Text 3


1. Translate the following words and word combinations:

to have a responsibility, to affect the daily operation, to get people to work as a team, and the like, to be involved in, to make decisions, on the other hand, in his opinion, as productive as possible.

2. Which of the following positions would you prefer to have? Why? Manager, supervisor, head of research and development, vice-chancellor, chairman.


Standards of living – рівень життя; уровень жизни

To have the title – мати звання; називатися; иметь звания, называться

Vice-chancellor of a university – проректор університету; проректор университета

Chief librarian – директор бібліотеки; директор библиотеки

To have a responsibility – нести відповідальність; нести ответственность

To face up to – бути готовим зустріти; быть готовым встретить

Supervisor – інспектор, контролер, керівник; инспектор, контролер, руководитель

To chase up – старанно розшукувати; старательно разыскивать

To affect the daily operation – впливати на повсякденну роботу організації; влиять на повседневную работу организации

To get people to work as a team – згуртувати людей працювати, як одна команда; объединить, сплотить людей для работы командой

To meet an urgent order – виконувати термінове замовлення; выполнять срочный заказ

To sort out – улагоджувати, сортувати; улаживать, сортировать

To spell out – чітко пояснювати; четко пояснять, разъяснять

Superior – начальник; начальник

Subordinate – підлеглий; подчиненный

To measure the performance – оцінювати результативність праці; оценивать результативность работы

Command the respect – викликати повагу; вызывать уважение

People of integrity – цілісна особистість; целостная личность

Long range planning – довгострокове планування; долглсрочное, перспективное планирование

Urgent order – термінове замовлення; срочный заказ

Social skills – соціальні навички; социальные навыки

Measurement – оцінка; оценка

To measure the performance – визначати якість роботи; определять качество работы

To get on well with – бути в злагоді, уживатися, знаходити спільну мову; быть в согласии, находить общий язык


The Manager’s Role

Our society is made up of all kinds of organizations, such as companies, government departments, unions, hospitals, schools, libraries, and the like. They are essential to our existence, helping to create standard of living and our quality of life. In all these organizations, people are carrying out the work of a manager although they do not have that title. The vice-chancellor of a university, the president of a students' union or chief librarian are all managers. They have a responsibility to use the resources of their organization effectively and economically to achieve its objectives.

Are there certain activities common to all managers? Can we define the task of a manager? A French industrialist, Henri Fayol, wrote in 1916 a classic definition of the manager's role. He said that to manage is "to forecast and plan, to organize, to command, to coordinate and to control". This definition is still accepted by many people today, though some writers on management have modified Fayol's description. Instead of talking about command, they say a manager must motivate or direct and lead other workers.

Henri Fayol's definition of a manager's function is useful. However, in most companies, the activities of a manager depend on the level at which he/she is working. Top managers, such as the chairman and directors, will be more involved in long range planning, policy making and the relations of the company with the outside world. They will be making decisions on the future of the company, the sort of product lines it should develop, how it should face up to the competition, whether it should diversify etc. These strategic decisions are part of the planning function mentioned by Fayol.

On the other hand, middle management and supervisors are generally making the day-to-day decisions which help an organization to run efficiently and smoothly. They must respond to the pressures of the job, which may mean dealing with an unhappy customer, chasing up supplies, meeting an urgent order or sorting out a technical problem. Managers at this level spend a great deal of time communicating, coordinating and making decisions affecting the daily operation of their organization.

An interesting modern view on managers is supplied by an American writer, Mr Peter Drucker. He has spelled out what managers do. In his opinion, managers perform five basic operations. Firstly, managers set objectives. They decide what these should be and how the organization can achieve them. For this task, they need analytical ability. Secondly, managers organize. They must decide how the resources of the company are to be used, how the work is to be classified and divided. Furthermore, they must select people for the jobs to be done. For this, they not only need analytical ability but also understanding of human beings. Their third task is to motivate and communicate effectively. They must be able to get people to work as a team, and to be as productive as possible. To do this, they will be communicating effectively with all levels of the organization - their superiors, colleagues, and subordinates. To succeed in this task, managers need social skills. The fourth activity is measurement. Having set targets and standards, managers have to measure the performance of the organizations, and of its staff, in relation to those targets.

Measuring requires analytical ability. Finally, Peter Drucker says that managers develop people, including themselves. They help to make people more productive, and to grow as human beings. They make them bigger and richer persons.

In Peter Drucker's view, successful managers are not necessarily people who are liked or who get on well with others. They are people who command the respect of workers, and who set high standards. Good managers need not be geniuses but must bring character to the job. They are people of integrity, who will look for that quality in others.



I. Answer the questions.

1. Why do some people disagree with Henry Fayol's definition of the role of management?

2. In what ways are the functions of a company director, for example, different from those of a middle manager?

3. What are Henry Fayol's and Peter Drucker's definitions of the manager's role?

II. Translate into Ukrainian:

vice-chancellor of a university, to use the resources effectively and economically, to direct and lead other workers, chairman and directors, policy making, to diversify, day-to-day decisions, smoothly, to respond to the pressures of the job, unhappy customer, to set objectives, analytical ability, target, to be geniuses, to bring character to the job.

III. Translate the sentences into English.

1. Класичне визначення ролі менеджера, яке дав Анрі Файоль у 1916 році, приймається багатьма людьми і сьогодні.

2. Менеджери несуть відповідальність за ефективне та економне використання ресурсів організацій, в яких вони працюють.

3. Встановивши цілі та стандарти, менеджери мають оцінювати результативність роботи організацій відносно цих цілей.

4. Менеджери потребують соціальних навичок, аби ефективно спілкуватися з працівниками усіх рівнів: начальниками, колегами, підлеглими.

5. Успішний менеджер – це цілісна особистість, яка викликає повагу робітників, і встановлюючи високі стандарти, сподівається на ці якості в інших.

IV. Match proper definitions.


Terms Definitions
1. subordinate (n) 2. manager 3.middle management 4.senior management 5. supervisor 6. superior (n) 7. line manager 8. staff manager   a) person who is in charge of others; b) person above another in the company hierarchy; c) person below another in the company hierarchy; d) person who manages an organization or part of it; e) department managers; f) top managers; g) manager who assists and advises line managers; h) manager who is in charge of accomplishing the basic goals of the organization.

V. Complete the following sentences, using suitable forms of the verbs (sort out; sell out; buy out; bring out; turn out; spell out; make out; sound out; carry out; pull out):

1. If the firm doesn't make a profit, the owners will probably...

2. I'm willing to consider introduction flexitime, but would you first ... the advantages of the system, please?

3. We hope to ... our production problems soon.

4. Givenchy have ... an exciting new perfume.

5. Would you ... the cheque to David Cotton, please?

6. In order to develop new products, pharmaceutical companies have to ... a lot of research.

7. Several leading banks have ... of South Africa.

8. We're looking for a new chief executive. I understand one or two possible candidates have already been ...

1. The firm ... about hundred sports cars a year.

VI. Complete the following sentences using suitable words or phrases from the box below.

managing director junior executive colleague director supervisor staff senior executive superior employee middle manager subordinate work-force


1. The group of executives working below the top managers is generally called ……………. .

2. Valerie is an important person in our company. She is a member of the Board of …………. .

3. Peter, a recent university graduate, has been with the firm for a year. He is at present a …………. and is being trained for a managerial position.

4. Their …………. is expanding rapidly. They now have over 5,000 employees.

5. At least 50% of our …………… have been with the company over ten years.

6. …………… in an organization generally have more fringe benefits than lower-level managers.

7. We are a small group in the Research and Development Department. Fortunately, I get on well with all my …………. .

8. Our telephone operators work under the direction of a …………. .

9. I work under Mr. Brown. He is my …………… .

10. Sheila and Tom work under my authority. I am their boss and they are my …………. .

11. I am responsible for ………….. training and development.

12. A …………. is a person of high rank in an organization, usually next in importance to the Chairman.





1. Translate the following words and word combinations:

planning process, regardless, overall objectives, to achieve goals, to attain objectives, to meet objectives, to put into action, to reach potential abilities, to fall into categories, accomplishment of the plans, to acquire resources.

2. Try to define management functions on your own.


Vital role – суттєва, життєво важлива роль; существенная, жизненно важная роль

Company objective – мета компанії; цель компании

Allocate resources – розподіляти ресурси; рвспределять ресурсы

Overall objectives – загальні цілі компанії; общие цели компании

Goal – мета, ціль; цель

Planning process – процес планування; процесс планирования

Effective direction – ефективне керівництво; эффективное управление

Ongoing communication – постійне спілкування; постоянное общение

Managerial structure – управлінська структура; управленческая структура

Staffing – кадрове забезпечення; кадровое обеспечение

Execution – виконання; выполнение

Аdjustment – пристосування, регулювання; приспособление, регулирование

Duty – обов’язок; обязанность

Acquire – придбавати, здобувати; покупать, приобретать

Monitoring – контролювання, моніторинг; контролирование, мониторинг

Sub-unit – підрозділ; подразделение

Immediate responsibility – прямий обов’язок, безпосередня відповідальність; прямая обязанность, непосредственная ответственность

Scheduling – складання розкладу; составлениу расписания

Delegate authority – передавати повноваження4 передавать полномочия

Hire – наймати; нанимать


Management Functions

Management plays a vital role in any business or organized activity. Management is composed of a team of managers who have charge of the organization at all levels. Their duties include making sure company objectives are met and seeing that the business operates efficiently. Regardless of the specific job, most managers perform four basic functions. These management functions are planning, organizing, directing and controlling.

Planning involves determining overall company objectives and deciding how these goals can best be achieved.

Organizing is the process of putting the plan into action. This involves allocating resources, especially human resources, so that the overall objectives can be attained. Staffing, choosing the right person for the right job, may also be included as part of the organizing function.

Third is the day-to day direction and supervision of employees. In directing, managers guide, teach, and motivate workers so that they reach their potential abilities and at the same time achieve the company goals that were established in the planning process. Effective direction, or supervision, by managers requires ongoing communication with employees.

In the last management function, controlling, managers evaluate how well company objectives are being met. If major problems exist and goals are not being achieved, then changes need to be made in the company’s organizational or managerial structure. In making changes, managers might have to go back and replan, reorganize and redirect.

Managerial job in organizations fall into three categories: top management, middle and first-line management.

Top management usually consists of the organization’s most important manager– the chief executive officer or president– and his and her immediate subordinates. Top management is responsible for the overall management of the organization. It establishes organizational or companywide objectives or goals and operating policies; and it directs the company in relationships with its environment.

The planning function for top-level management consists of developing the major purpose of the organization, the global objectives for organizational accomplishment, and the major policy statements for implementation by middle and first-line managers.

Organizing at this level is viewed as developing the overall structure of the organization to support the accomplishment of the plans and then acquiring the resources for the company.

The staffing function at the top level is concerned with policy development in the areas of equal employment opportunity and employee development. In addition, top management is concerned with acquiring talent to fill upper-management positions.

The emphasis in directing is on companywide management philosophy and on cultivating an organizational climate for the best employee performance.

The controlling function at this level emphasizes overall company performance relative to company objectives.

Middle managers are all managers below the rank of vice-president but above the supervisory level. These middle managers may be titled regional managers or group managers.

Regardless of the title, the major point is that their subordinates are other managers. They are responsible for implementing top management policies.

Middle level management’s primary job is to develop implementation strategies for the broad concepts developed by top management. Middle managers focus on how to do it with new products or new customers or new territories.

Organizing at the middle level is the making of specific adjustments in the organization structure and the allocation of the resources acquired by top management.

Staffing focuses on the policy implementation in the areas of equal employment opportunity and employee development programs.

Directing is viewed as providing leadership and support for lower level management.

Controlling is concerned with monitoring the results of plans for specific products, regions, and sub-units and making the indicated adjustment to achieve organizational objectives.

First line managers or supervisors, those at the operating level, are the lowest level of management. Their subordinates are non-management workers– the group on which management depends for the execution of their plans.

First line management is concerned with only its immediate responsibilities. For the first-line manager, planning involves scheduling employees, deciding what work will be done first, and developing procedures to achieve the goals.

Organizing may consist of delegating authority or deciding that work done by one group of people should be done by another team.

Staffing at this level consists of requesting a new employee, hiring that employee, and then training the person to perform the job.

Directing includes communicating and providing leadership both to the work group and to all employees individually.

Controlling focuses on having the manager’s work group meet its production, sales, or quality objectives.

So, managers at every level perform the same functions. They differ in the time spent on each function and depth of their involvement with each function.




I. Answer the questions.

1. What are the managers’ duties?

2. What does planning involve?

3. What do managers do in the organizing phase?

4. What does effective direction require?

5. What could a manager discover in performing the controlling function?

II. Translate into Ukrainian:

staffing, management functions, major problems, right person, make changes, potential abilities, day-to-day direction and supervision.

III. Translate the sentences into English.

1. Планування включає визначення загальних цілей компанії та вирішення, як ці цілі можуть бути найкраше досягнені.

2. В обов’язки команди менеджерів входить піклування про ефективну комерційну діяльність.

3. Ефективна управлінська діяльність вимагає від менеджерів постійного спілкування з працівниками.

4. В свою чергу планування складається з комплексу різноманітних операцій, таких як прогнозування, визначення цілей, вибір стратегії, розробка програми, складання бюджету, розробка політики та ін.

5. Контроль виступає одним з головних інструментів розробки політики прийняття рішень, які забезпечують нормальне функціонування фірми й досягнення нею намічених цілей.

IV. Find proper definitions.


Terms Definitions
1.Planning     2.Controlling   3.Organizing     4. Directing a) the managerial activity involved with creating a formal structure of tasks and authority. b) an organizational activity that requires establishment of a predetermined course of action, beginning with a statement of goals. c) the process through which employees are led and motivated to make effective and efficient contributions to the realization of organizational goals. d) all managerial activity that is undertaken to assure that operations go according to plan.


V. Match the verbs in the first column with the most likely noun in the second column. More than one combination may be possible.

assign data

collect/interpret launch date

contract/contact man/person hours

design market

estimate milestones

finalize prototype

recruit responsibilities

research suppliers

set workforce/project team

VI. Are these nouns countable, uncountable, or both?

information advice equipment

fact job furniture

research work paper

money man newspaper

dollar person news

suggestion machinery time

help machine experience

VII. Choose the appropriate words from those in brackets and use them to complete the following sentences:

(establishing, select, choose, involve, assigned, authority, define, guidelines, organization, enable, implementation, purpose, environment)

1. It is important to _____ objectives and the actions to achieve them.

2. Planning _____ both the introduction of new things and their_____.

3. It is necessary to ____ people to know their purposes and objectives.

4. Tasks should be _____ to people who can do them best.

5. Managers should give the _____ to be followed if they want the tasks to be performed efficiently.

6. People should have the necessary _____ tools, and information to accomplish the task.

7. Organizing involves _____ an intentional structure of roles for people.

8. The ______ of an organization structure is to help in creating _____ for human performance.

9. The structure must _____ the tasks to be assigned.

10. To design an effective ____ is not an easy managerial task.

VIII. Sum up what the text says about all management functions.



Text 5


1. Comment on the statement: “What do managers do? Even managers themselves don’t always know”.

2. Who and how can become a manager?



To oversee – наглядати, слідкувати за; присматривать, следить за

To abandon – залишати, виходити з; оставлять, выходить из

To thin the ranks – скорочувати чисельність; сокращать численность

To rid of – позбавлятися; избавляться от

Excess – надмірний; чрезмерный

In pursuit of – у гонитві за; в погоне за

To erode – руйнувати(ся), розмивати(ся); разрушать(ся), размывать(ся)

Office manager – керівник контори, адміністратор; руковаодитель конторы, администратор

Foreman – майстер; бригадир; старший робітник; прораб; мастер, бригадир, старший рабочий, прораб

Shift foreman – майстер зміни; мастер смены

Marketing manager – менеджер з маркетингу; менеджер по маркетингу

Financial manager – фінансовий менеджер; финансовый менеджер

Operations manager – управляючий операціями; управляющий операциями

Administrative manager – адміністративний менеджер; административный менеджер

Human resource manager – керівник відділу кадрів; руководитель отдела кадров

Interpersonal – міжособистісний; межличностный

Figurehead – номінальний голова; номинальный глава

Leader – лідер, керівник, голова; лидер, руководитель, глава

Liaison – посередник, зв’язуюча ланка; посредник, связующее звено

Monitor– аналітик; аналитик

Disseminator – інформатор; информатор

Spokesperson – оратор, представник; оратор, представитель

Entrepreneur – підприємець; предприниматель

Disturbance handler – вирішувач проблем; разрешитель проблем

Resource allocator – розподілювач ресурсів; распределитель ресурсов

Negotiator – менеджер з проведення переговорів, посередник; менеджер по проведению переговоров, посредник


What Managers Really Do

Management is a set of activities (including planning and decision making, organizing, leading, and controlling) directed at an organization’s resources (human, financial, physical, and information) with the aim of achieving organizational goals in an efficient and effective manner. A manager is someone whose primary responsibility is to carry out the management process within an organization.

The basic activities that comprise the management process are planning and decision making (determining courses of action), organizing (coordinating activities and resources), leading (managing people), and controlling (monitoring and evaluating activities). These activities are not performed on a systematic and predictable schedule.

Managers can be differentiated by level and area. By level, we can identify top, middle, and first-line managers.

Top managers are managers at the very top level of hierarchy who are ultimately responsible for the entire organization. Top-level managers are few in number; their typical titles include “chief executive officer”, “president”, “executive vice president”, “executive director”, “senior vice president”, and sometimes “vice president”. Top-level managers are often referred to as executives, although the term ”executive” is also used to include the upper layers of middle managers as well. Top managers have direct responsibility for the upper layer of middle managers. They typically oversee the overall planning for the organization, work to some extent with middle managers in implementing that planning, and maintain overall control over the progress of the organization.

Top managers establish the organization’s goals, overall strategy, and operating policies. They also officially represent the organization to the external environment by meetings with government officials, executives of other organizations, etc. The job of a top manager is likely to be complex and varied. Top managers make decisions about such activities as acquiring other companies, investing in research and development, entering or abandoning various markets, and building new plants and office facilities. They often work long hours and spend much of their time in meetings and on the telephone.

Middle managers are managers beneath the top levels of hierarchy who are directly responsible for the work of other managers below them. The managers for whom they have direct responsibility may be other middle managers or first-line managers. Middle managers also sometimes supervise operating personnel such as administrative assistants and several specialists (such as engineers and financial analysts). Many different titles are used for middle managers. Some typical titles include such words as “manager”, “chief”, “department head”, and “division head”. Middle managers are mainly responsible for implementing overall organizational plans so that organizational goals are achieved as expected.

Organizations, particularly very large ones, often have several layers of middle managers. Middle management is probably the largest group of managers in most organizations. In recent years, many organizations have thinned the ranks of middle managers in order to lower costs and rid themselves of excess bureaucracy.

First-line managers (or first-line supervisors) are managers at the first level of hierarchy who are directly responsible for the work of operating employees. They often have titles that include the word “supervisor”. First-line managers are extremely important to the success of an organization because they have the major responsibility of seeing that day-to-day operations run in pursuit of organizational goals.

Because they operate at the interface between management and the rest of the work force, first-line supervisors can easily find themselves in the middle of conflicting demands. At the same time, the power of first-line supervisors has been gradually eroding because of such factors as union influence and the increasing educational level of workers. First-line managers supervise and co-ordinate the activities of operating employees. Common titles of first-line managers are foreman, supervisor and office manager. A shift foreman within a word assembly plant is a first-line manager. These are often the first positions held by employees who enter management from the ranks of operating personnel. In contrast to middle managers, first-line managers typically spend a large proportion of their time supervising the work of subordinates.

Kinds of managers by area include marketing, financial, operations, human resource, administrative, and specialized managers. Most managers attain their skills and positions through a combination of education and experience.

Managers have ten basic roles to play: three interpersonal roles (figure-head, leader and liaison), three informational roles (monitor, disseminator, and spokesperson), and four decisional roles (entrepreneur, disturbance handler, resource allocator, and negotiator). Effective managers also tend to have technical, interpersonal, conceptual, diagnostic, and analytic skills.


I. Answer the questions.

1. What set of activities can be called management?

2. What is a manager’s primary responsibility?

3. What activities are not performed on a systematic and predictable schedule?

4. What are the main levels of managerial hierarchy?

5. What are the functions of top managers?

6. What are typical titles of top managers?

7. What do top managers make decisions about?

8. What do the middle managers do?

9. What are the first-line managers responsible for?

10. Why can the first-line supervisors find themselves in the middle of conflicting demands?

11. What is the difference between first-line and top-line managers?

12. How are managers differentiated by area?

13. How many basic roles do managers have to play?

14. What kind of skills do effective managers tend to have?

II. Translate into Ukrainian:

Primary responsibility, coordinating activities and resources, monitoring and evaluating activities, on a predictable schedule, to attain skills and positions, effective managers, government officials, to enter and abandon various markets, administrative assistants, to thin the ranks, day-to-day operations, in pursuit of, to erode.

III. Translate the sentences into English:

1. Першочерговою відповідальністю менеджера є здійснення процесу управління в рамках організації.

2. Менеджери виконують міжособистісні, інформаційні ролі, та відповідають за прийняття рішень.

3. Більшість менеджерів набувають вмінь та досягають посад через поєднання освіти та досвіду.

4. Менеджер повинен бути здатним проконтролювати, як його підлеглі виконали свою роботу.

IV. Find proper definitions to the following manager’s roles:


Terms Definitions
1. figurehead   2. leader   3. liaison     4. monitor     5. disseminator   6. spokesperson     7.entrepreneur     8.disturbance handler     9.resource allocator   10. negotiator a) a supervisor’s role involving passing along special or privileged information that subordinates would not otherwise be able to obtain. b) the role of a manager in discussing and bargaining with other units to obtain advantages for his or her unit. c) one who assumes the financial risk of the initiation, operation, and management of a given business or undertaking. d) this role includes interacting in a network of contacts with peers and others in order to get information; often involves serving as a coordinator or link between people, between groups, or between organizations. e) the manager responds to this role by handling such problems as strikes, copyright infringements, and energy shortages; he/she resolves conflict between two subordinates. f) managerial duties that are symbolic in nature. The manager represents the organization or a subunit in formal matters such as taking visitors to dinner, attending ribbon-cutting ceremonies, and the like. g) the function of a manager in deciding who will get what resources in the unit. h) a person who, at a given time and place, by his or her actions modifies, directs, or controls the attitudes or behavior of others, often referred to as followers. i) an informational role in which a manager continually scans the environment to collect information pertinent to the organization or unit he or she manages. j) a manager’s role in speaking for the unit and representing it to others.


V. Complete the following sentences:

1. By level, we can identify…

2. Kinds of managers by area include…

3. Managers have ten basic roles to play…

4. Effective managers also tend to have…

VI. Check your understanding:

1. What does the concept of a managerial role imply?

2. Speak on the sample activities and tasks peculiar to each role.

2. Render everything you’ve got to know about management, managing and managers.



Text 6


1. What enables workers to accomplish their tasks?

2. How can managers enable people to perform their tasks effectively?



Emphasize – акцентувати, підкреслювати; акцентировать, подчеркивать

Contribution – внесок; взнос

Guidance – керування; управление

Time frames – часові рамки; временные рамки

Time horizon – часовий горизонт; временной горизонт

Long-range – довгостроковий; долгосрочный, перспективный

Short-range – короткостроковий; краткосрочный

Multiple – множинний, багаторазовий, численний; множественный, многоразовый, многочисленный

Intended plan – намічений план; намеченный план

Contingency plan – план дій на випадок непередбачених обставин; план действий на случай непредвиденных обстоятельств

To disrupt – порушувати; нарушать

To render inappropriate – робити(ся) нераціональним, недоречним; становиться нерациональным, неуместным

To have a say – мати право чи можливість висловити свою точку зору; иметь право или возможность высказать свою точку зрения

To be committed to – піклуватися, турбуватися; заботиться, беспокоиться

Commitment – 1) прихильність 2) зобов’язання; обязательство

To judge on results – робити висновок на підставі результатів; делать вывод на основе результатов

Time-consuming – що віднімає багато часу, що пов’язаний з витрачанням часу; трудомісткий; требующий много времени

Goal-setting process – процес постановки мети; процесс постановки цели

Intermediate – проміжний; промежуточный

Prejudice – упередження; пристрастие

In anticipation of – в очікуванні, у передчутті; в ожидании, в предчувствии


Management by objectives (MBO) is a system which was first described by the American Peter Drucker, in 1954, in his book “The Practice of Management”. Since then, MBO has attracted enormous interest from the business world, and its principles have been applied in many of the world’s largest companies.

In his book, Peter Drucker emphasized that an organization and its staff must have clear goals. Each individual must understand the goals of the enterprise he/she works for, and must make a contribution to them. It is also vital, in Drucker’s view, that the individual knows what his/her manager expects of him/her. He/she must know what sort of results he/she is expected to achieve.

The organizations use various kinds of MBO systems. There are a lot of benefits of Management by Objectives. The system helps the subordinate to see clearly his/her role in the organization and the tasks he/she must carry out. He/She has a say in how his/her job is performed, and what his/her goals should be. As a result he/she feels more responsible and motivated and is therefore likely to be more committed to the objectives of the organization.

MBO is a good technique for assessing an individual’s performance. He/She is judged on results, rather than on the personal feelings or prejudices of the manager. An MBO programme should lead to better coordination and communications within an enterprise. The subordinate must liaise closely with his/her manager. The manager acts as teacher and guide. The individual is encouraged to identify with the goals of the organization. Most important of all, MBO makes the individual think of results, of the contribution he/she is making – or should make– to the enterprise. The main limitations of the system are that it is time-consuming and may create a lot of paperwork. In practice, MBO programmes are often not fully supported by managements. This could be because managers are not always skilled at interviewing and giving guidance.

In spite of this, there is little doubt that MBO has helped to increase the efficiency of both subordinates and their managers.

If an organization uses the Management by Objectives approach, it must pay careful attention to planning. The planning process is the first basic managerial function that organizations must address. With an understanding of the environmental context, managers develop a number of different types of goals and plans.

Goals serve for basic purposes: to provide guidance and direction, to facilitate planning, to inspire motivation and commitment, and to promote evaluation and control. Kinds of goals can be differentiated by level, area, and time frame. All managers within an organization need to be involved in the goal-setting process. Managers need to pay special attention to the importance of managing multiple goals through optimizing and other approaches.

Goals are closely related to planning. The major types of plans are strategic, tactical, and operational. Plans are developed across a variety of time horizons, including long-range, intermediate, and short-range time frames.

Strategic (long-range) planning determines the major goals of the organization and the policies and strategies for obtaining and using resources to achieve those goals. In this definition policies are broad guides to action, and strategies determine the best way to use resources. At the strategic planning stage, the company decides which customers to serve, what products or services to sell and the geographic areas in which the firm will compete.

Tactical (short-range) planning is the process of developing detailed short-term decisions about what is to be done, who is to do it, and how it is to be done. Just as objectives are specific plans to meet broad goals, tactical planning involves defining specific plans to achieve broad strategic plans. Tactical planning is normally done by managers at lower levels of the organization, whereas strategic planning is done by the top managers of the firm (for example, the president). Tactical planning involves setting annual budgets and deciding on other details of how to meet the strategic objectives.

Another important type of planning is the development of contingency plans. Contingency planning is the determination of alternative courses of action to be taken if an intended plan of action is unexpectedly disrupted, or rendered inappropriate. The economic and competitive environments change so rapidly that it is wise to have alternative plans of action ready in anticipation of such changes.



I. Answer the questions.

1. Who was Management by objectives first described by?

2. What did Peter Drucker emphasize in his book “The Practice of Management”?

3. What are the benefits of Management by Objectives?

4. What should an MBO programme lead to?

5. What does MBO make the individual think of?

6. What are the main limitations of the system?

7. What must an organization pay careful attention to using the MBO approach?

8. What do goals serve for?

9. What are kinds of goals differentiated by?

10. What are goals closely related to?

11. What does the company decide at the strategic planning stage?

12. Who is tactical planning normally done by?

13. What does tactical planning involve?

14. What is contingency planning?

II. Translate into Ukrainian:

to provide guidance and direction, to inspire motivation and commitment, to promote evaluation and control, goal-setting process.

III. Translate the sentences into English:

1. Всі менеджери організації повинні бути залучені у процес визначення мети.

2. Плани визначаються в межах часових горизонтів, включаючи довгострокові, проміжні та короткострокові часові рамки.

3. Менеджери мають звертати особливу увагу на важливість досягнення числених цілей через оптимізацію та інші підходи.

4. Планування дій на випадок непередбачених обставин – це визначення альтернативного курсу дій, які мають бути здійснені, якщо намічений план виявиться нераціональним.

5. Цільове управління привернуло до себе величезний інтерес ділового світу і його принципи були застосовані у багатьох з найбільших світових компаній.

IV. Find proper definitions.

Terms Definitions
1.goal-setting process   2.long-range planning   3.contingency planning   4. optimization     5.operational plan a) a systematic procedure for directing and controlling future activities of a firm for periods longer than a year. It predicts the future and establishes a strategy of action and expected results; b) establishing steps to meet the objectives of an individual or firm; c) combining elements in just the right balance, often to secure maximum profit; d) a short-range plan (less than one year) that relates to the scheduling of internal operations or processes; e) the process of developing a set of alternative plans to fit a variety of future conditions.

V. Fill in the following table.

1 …………… 2 …………… 3…………... 4 …………… 1 …………… 2 …………… 3…………... 4 …………… 1 …………… 2 …………… 3…………... 4 ……………

VI. Correct any mistakes in the following. Two sentences are correct. Rewrite the wrong sentences.

1.He suggested me to go to Cairo.

2.You should listen to the staff.

3. How about we have a new system?

4. Will we have a break now?

5.I recommend to you to think about our offer.

6. He advised us to wait.

7.I suggest you to visit us next week.

8. I suggest to having a new meeting.

VII. Open the brackets. Use the appropriate forms of the Participle or the Infinitive:

1. He didn’t wish himself (criticize).

2. Nobody expected any measures (take).

3. Nobody heard the door (open).

4. How he got himself (elect) is a mystery.

5. And I want everything (deliver) at my hotel.

6. When do you want the letters (type)?

VIII. Sum up what the text says about the goal-setting process.

Text 7


1. How can we call the process of choosing a course of action in order to solve a particular problem?

2. What steps do you usually take when you are to decide something important?



Decision-making – прийняття рішень; принятие решений

Key responsibility – основна відповідальність; основная ответственность

Judgement – думка, погляд; судження; взгляд, суждение

Experienced – досвідчений; опытный

Chemistry – взаємодія, зв’язок; взаимодействие, связь

Problem-solving – рішення проблем; прийняття рішень; решение проблем, принятие решений

Option – вибір, альтернатива, (можливий) варіант; выбор, альтернатива, (возможный) вариант

Drop – зменшувати(ся), припиняти(ся); уменьшать(ся), прекращать(ся)

Step up – посилювати, збільшувати; усиливать, увеличивать

It is worth noting – тут: варто помітити, звернути увагу; здесь: стоит заметить, обратить внимание

Product range – асортимент, номенклатура; ассортимент, номенклатура

On the spot – на місці, негайно; на месте, немедленно

To give a refund – виплачувати, відшкодовувати; выплачивать, возмещать

Intuitive – інтуітивний; интуитивный

Hunch – передчуття, інтуіція; предчувствие, интуиция

Gut – внутрішній, інстинктивний; внутренний, инстинктивный

Overseas market – заморський, іноземний ринок; иностранный рынок

Sales manager – менеджер відділу збуту; менеджер отдела сбыта

Entirely – цілком, повністю; целиком, полностью

Constraint – обмежуюча умова; тиск, вимушеність; ограничивающее условие

Refurbish – відновлювати, реконструювати; восстанавливать, реконструировать

Assess – оцінювати; оценивать



In carrying out management functions, such as planning, organizing, motivating and controlling, a manager will be continually making decisions. Decision-making is a key management responsibility.

Some decisions are of the routine kind. They are decisions which are made fairly quickly, and are based on judgement. Because a manager is experienced, he knows what to do in certain situations. He does not have to think too much before taking action. For example, a supervisor in a supermarket may decide, on the spot, to give a refund to a customer who has brought back a product. The manager does not have to gather a great deal of additional information before making the decision.

Other decisions are often intuitive ones. They are not really rational. The manager may have a hunch or a gut feeling that a certain course of action is the right one. He will follow that hunch and act accordingly. Thus, when looking for an agent in an overseas market, a sales manager may have several companies to choose from. However, he may go for one organization simply because he feels it would b

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