Question

Short-answer format

1) Differentiate between the functions of top managers, middle managers, first-line managers, and team leaders.

2) Differentiate between leadership, informational, and decision-making roles.

Answer 1

1)Top-Level Managers

Top managers are ultimately responsible for the long-term success of the organization. They set long-term goals and define strategies to achieve them. They pay careful attention to the external environment of the organization: the economy, proposals for laws that would affect profits, stakeholder demands, and consumer and public relations. They will make the decisions that affect the whole company such as financial investments, mergers and acquisitions, partnerships and strategic alliances, and changes to the brand or product line of the organization.

Middle Managers

Middle managers must be good communicators because they link line managers and top-level management.Middle managers have titles like department head, director, and chief supervisor. They are links between the top managers and the first-line managers and have one or two levels below them. Middle managers receive broad strategic plans from top managers and turn them into operational blueprints with specific objectives and programs for first-line managers. They also encourage, support, and foster talented employees within the organization. An important function of middle managers is providing leadership, both in implementing top manager directives and in enabling first-line managers to support teams and effectively report both positive performances and obstacles to meeting objectives.

First-Line Managers

First-line managers are the entry level of management, the individuals “on the line” and in the closest contact with the workers. They are directly responsible for making sure that organizational objectives and plans are implemented effectively. They may be called assistant managers, shift managers, foremen, section chiefs, or office managers. First-line managers are focused almost exclusively on the internal issues of the organization and are the first to see problems with the operation of the business, such as untrained labor, poor quality materials, machinery breakdowns, or new procedures that slow down production. It is essential that they communicate regularly with middle management.

Team Leaders

A team leader is a special kind of manager who may be appointed to manage a particular task or activity. The team leader reports to a first-line or middle manager. Responsibilities of the team leader include developing timelines, making specific work assignments, providing needed training to team members, communicating clear instructions, and generally ensuring that the team is operating at peak efficiency. Once the task is complete, the team leader position may be eliminated and a new team may be formed to complete a different task.

2)

Leadership

Which type of manager spends more time in leadership activities? The short answer is all effective managers display leadership characteristics. Leadership is the ability to communicate a vision and inspire people to embrace that vision.

Top managers are often required to fulfill what Mintzberg described as figurehead activities. They are the public face of the management team and represent the business in legal, economic, and social forums.^[2] Middle managers are also leaders, although their focus may be more on interpersonal skills, such as motivating employees, negotiating salaries, and encouraging innovation and creativity. First-line managers lead both by example when they actively participate in the tasks assigned to their workers and by modeling the policies and work ethics of the organization.

Informational Roles

Informational roles involve the receiving and sending of information—whether as a spokesperson, a mentor, a trainer, or an administrator. A top manager is a voice of the organization and has to be aware that even personal opinions will reflect (for better or worse) on the business. With the free flow of information on the Internet, it is very difficult for top managers to separate their personal identities from their corporate positions. For example, there was a consumer backlash in 2017 when Uber CEO Travis Kalanick accepted a seat on President Trump’s economic advisory council. Kalanick initially said that he was “going to use [his] position on the council to stand up for what’s right.” He resigned a few days later in response to the protest.^[3]

Middle managers must skillfully determine what information from top management should be shared with others, how it should be interpreted, and how it should be presented. Similarly, they must weigh the value of information they receive from first-line managers and employees in order to decide what to forward to top management. If transmitted information tends to be untrue or trivial, then the manager will be viewed as a non-reliable source and his or her opinions discounted.

The informational role for first-line managers is primarily one of disseminating what they have been given and helping the employees to see how their own contributions further organizational goals. They have a responsibility to see that the employees understand what they need to be successful in their jobs.

Decision Making Roles

All managers are required to make decisions, but managers at different levels make different kinds of decisions. According to Mintzberg, there are four primary types of management decision roles. These include the following:

• Entrepreneur. The entrepreneurs in a firm are usually top-level managers. They identify economic opportunities, lead the initiative for change, and make product decisions.
• Disturbance handler. Top and middle managers will react to disturbances (unexpected events) in the organization—whether internal or external. They will decide what corrective actions should be taken to resolve the problems.
• Resource allocator. All levels of management will make resource allocation decisions, depending upon whether the decision affects the entire organization, a single department, or a particular task or activity.
• Negotiator. Depending on the effect on the organization, most negotiation is done by top and middle-level managers. Top managers will handle negotiations that affect the entire organization, such as union contracts or trade agreements. Middle-level managers negotiate most salary and hiring decisions