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Unit IA: Basic Management Concepts
Administration pertains to activities that relate to running an organization.
Pharmacy Administration - a social and administrative science that includes 3 strategic areas related to healthcare and pharmacy: economics of pharmaceuticals and other health interventions, marketing of pharmaceuticals and health services, and management of health resources.
“Pharmacy Administrators handle both medical/pharmaceutical and business aspects of a pharmacy establishment.”
For a Pharmacy Administrator to be effective, he/she must possess knowledge in the following functions:
HR Management
Financial Management
Business / Pharmacy Services
Production Management
Marketing Management
Environmental Factors Affecting Pharmacy Practice
Competition - other drugstores / pharmacy establishments, other professions, alternative therapy.
Demographics of patients / clients - age, gender, financial status, employment, and location.
Economic conditions - employment, inflation, savings
Healthcare coverage - Health Maintenance Organizations (HMO), Out-of-pocket (OOP) costs
Political and Legal Climate - regulatory agencies policies and requirements
People’s Health Belief and Behavior - self - diagnosing, trust in healthcare (medicines, personnel, and services).
“Management is the attainment of organizational goals in an efficient and effective manner through planning, organizing, leading, and controlling organizational resources.” (Daft, 2018)
So, management is like being the captain of a team, making sure everyone knows what to do, helping them along the way, and checking that everything turns out awesome! 😊
“Management is a process that brings together resources and unites them in such a way that, collectively, they achieve goals or objectives in the most efficient manner possible.” (Gadeke, 1993)
So, management is like being the leader of a team, making sure everyone has what they need, and helping them work together to create something amazing! 😊
Pharmacy Managers supervise the daily operations of the Pharmacy Department and work with the Pharmacy Supervisor to accomplish the goals and objectives of the Pharmacy.
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Types of Management Styles:
Commanding Management - full control vs threatening approach; effective during organizational crisis.
Visionary Management - mobilizes people; effective when the leader is an authority in the field.
The leader inspires and motivates people by sharing a clear vision of the future. They focus on the big picture and encourage employees to work toward a common goal.
Affiliative Management - build relationships and create harmony vs mediocrity; effective in creating positive working environment; ineffective during crisis.
The leader focuses on building strong relationships and creating a harmonious work environment. They prioritize teamwork and emotional bonds.
Democratic Management - equals to build commitment and consensus vs time and quality of decision; effective if workforce is experienced.
The leader involves employees in decision-making and values their input. They encourage collaboration and consensus.
Pacesetting Management - DIY attitude vs taking over if employee is underperforming; effective if workforce is experienced and competent, as it pushes them to excel.
The leader sets high standards and expects employees to meet them. They often take over tasks if employees underperform.
Coaching Management - long - term professional development of employees vs investments; ineffective when employees are resistant to change or unwilling to learn.
The leader focuses on the long-term development of employees. They provide guidance, mentorship, and opportunities for growth.
The Goal of Management: Low waste = High attainment
Management Work Domains:
People
Process
Asset
Operations
Finance
Supply Chain
Technology
Environment
Market
Regulation
Managerial Roles
Interpersonal Roles
different responsibilities or behaviors a person takes on when interacting with others, especially in a group or workplace setting. These roles often involve communication, leadership, and relationship management.
Figurehead - Representing the group or organization in formal settings.
Leader - Motivating, guiding, and supporting team members.
Liaison - Building and maintaining relationships inside and outside the organization.
Decisional Roles
Negotiator
Resource Allocator
Disturbance Handler
Entrepreneur
Informational Roles
Monitor
Disseminator
Spokesperson
Managerial Sciences
involve applying analytical, quantitative, and strategic methods to improve decision-making, efficiency, and overall management in organizations.
are used to enhance organizational performance by applying analytical and quantitative methods to decision-making and problem-solving. They help managers optimize operations, allocate resources effectively, and develop strategic plans based on data-driven insights.
Accounting - record and report financial transactions, manage cash flows, compute taxes, analyze profitability, determine business strengths and weaknesses.
Finance - determine financial needs, identify sources of capital, invest profits, manage assets.
Economics - determine the optimal mix of labor and capital, output, hours of business operations, levels of investment into risk management.
HRM - determine the optimal mix of labor and capital, output, hours of business operations, levels of investment into risk management.
Marketing - identify competitive edge, target markets, promo strategies (ID & eval), selection of merchandise, arrangement of merchandise, pricing.
Operations management - design workflow, control purchasing and inventory, continuous quality improvements.
Value Creation - selling yourself at the correct price, to be freely chosen as a viable alternative in the marketplace.
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Organization - a deliberate arrangement of people brought together to accomplish some specific purpose.
Characteristics of Organizations:
Goal - Every organization exists to achieve specific objectives, whether it's profit, service, innovation, or social impact.
People - Organizations rely on individuals working together, each with defined roles and responsibilities to contribute toward the goal.
Structure - There is a framework that defines roles, hierarchy, communication, and processes to ensure efficiency and coordination.
Kinds of Managers
Top Managers
Responsible for the entire organizations
Have titles such as president, chairperson, executive director, CEO, and executive VP.
Set organizational goals, define strategies, monitor and interpret external environment, and make decisions for the organization.
Look into long-term future and concern themselves with general environment trends and organization’s overall success.
Responsible for communicating a shared vision for the organization, shaping corporate culture, and nurturing an entrepreneurial spirit.
Nurturing an entrepreneurial spirit means encouraging creativity, innovation, and a willingness to take risks within an organization. It involves fostering a mindset where employees think like entrepreneurs—finding new opportunities, solving problems, and improving the way things are done. This helps the organization grow, adapt to change, and stay competitive.
Middle Managers
Responsible for business units and major departments.
Include department head, division head, manager of quality control and director of the research lab.
Responsible for implementing the overall strategies and policies defined by top managers.
Middle managers are generally dependent on top managers because they are responsible for implementing the overall strategies and policies that top managers define. This means middle managers act as a bridge between top management and lower-level employees, translating high-level goals into actionable plans.
However, while middle managers follow the direction set by top management, they also have some level of autonomy in decision-making within their departments or teams. They play a critical role in providing feedback to top managers, making operational decisions, and ensuring that the organization's strategies are effectively executed.
Generally concerned with the near future.
First - Line Managers
Responsible for directing the day-to-day activities of non-managerial employees.
Have titles like supervisor, line manager, section chief and office manager.
Responsible for teams and non-management employees.
Concerned with application of rules and procedures to achieve efficient production, provide technical assistance and motivate subordinates.
Managerial Roles
Informational Roles - activities used to maintain and develop an information network.
Monitor Role
Seek and receive information; scan web, periodicals, reports; maintain personal contacts.
Disseminator Roles
Forward information to other organization members; send memos and reports; make phone calls.
Spokesperson Role
Transmit information to outsiders through speeches, reports.
Decisional Roles - events about which the manager must make a choice and take action.
Entrepreneur Role
Initiate improvement projects; identify new ideas, delegate idea responsibility to others.
Disturbance Handler Role
Take corrective action during conflicts or crises; resolve disputes among subordinates.
Resource Allocator Role
Decide who gets resources; schedule, budget, set priorities.
Negotiator Role
Represent team or department’s interests; represents department during negotiation of budgets, union contracts, purchases
Interpersonal Roles - activities relating to providing information and ideas.
Figurehead Role
Perform ceremonial and symbolic duties such as greeting visitors, signing legal documents.
Leader Role
Direct and motivate subordinates; train, counsel and communicate with subordinates.
Liaison Role
Maintain information links inside and outside the organizations use email, phone, meetings.
Shifting Roles
From Individual Identity
Specialist, performs specific tasks
Gets things done through own efforts
An individual actor
Works relatively independently
To Manager Identity
Generalist, coordinates diverse tasks
Gets things done through others
A network builder
Works in highly interdependent manner
Leader Role vs Liaison Role
Leader Role
Definition: The leader role involves guiding, motivating, and influencing individuals or teams to achieve organizational goals. Leaders focus on setting direction, inspiring others, and fostering a positive work environment.
Key Responsibilities:
Setting goals and vision for the team or organization.
Motivating and inspiring employees.
Making decisions and providing direction.
Resolving conflicts and addressing challenges.
Evaluating performance and providing feedback.
Focus: The leader role is primarily internal, focusing on managing and developing people within the organization.
Skills Required: Communication, emotional intelligence, decision-making, and the ability to inspire and influence others.
Liaison Role
Definition: The liaison role involves acting as a bridge or intermediary between different individuals, teams, or organizations. Liaisons facilitate communication and coordination to ensure smooth collaboration.
Key Responsibilities:
Building and maintaining relationships with external parties (e.g., clients, partners, other departments).
Facilitating communication between different groups.
Sharing information and resources to ensure alignment.
Representing the organization in external interactions.
Focus: The liaison role is more external, focusing on connecting the organization with outside entities or bridging gaps between internal teams.
Skills Required: Networking, communication, negotiation, and relationship management.
Supervisory Managers
High Leader Role (Highest) - Less Liaison Role (Lowest)
Middle Managers
High Leader Role (Middle) - Less Liaison Role (Middle)
Top Managers
Less Leader Role (Lowest) - High Liaison Role (Highest)
Managerial Skills
Conceptual Skills (parang the big picture)
Ability to use organization as a whole, to understand how the different parts of the company affect each other, and to recognize how the company fits into or is affected by its eternal environment.
Recognize, understand, and reconcile multiples complex problems and perspectives.
Example: A CEO of a multinational company analyzes market trends, competitor strategies, and government regulations to adapt the company's long-term strategy. They recognize that a global economic downturn might impact their supply chain, requiring adjustments in production and pricing strategies to maintain profitability.
Human Skills (getting along with people)
Managers ability to work with and through other people, and to work effectively as a group member.
Demonstrated in the ability to motivate, facilitate, coordinate, lead, communicate and resolve conflicts.
Sensitivity to others needs and viewpoints.
Allows subordinates to express themselves and encourages participation.
Example: A department manager notices tension between two employees and steps in to mediate the conflict. They listen to both sides, encourage open communication, and find a solution that satisfies both employees while maintaining team harmony. They also motivate their team by recognizing achievements and fostering a collaborative work environment.
Technical Skills (knowing how to do things well)
Understanding of and proficiency in the performance of specific tasks.
Includes mastery of the methods, techniques and equipment involves in specific functions.
Includes specialized knowledge, analytical ability and the competent use of tools and techniques to solve problems.
Example: An IT manager in a software company is proficient in coding and understands the technical aspects of software development. When a critical system fails, they can troubleshoot the issue, guide their team on resolving it, and ensure minimal downtime. Their specialized knowledge helps them make informed decisions about software upgrades and security protocols.
Each skill is essential depending on the managerial level—top managers need strong conceptual skills, middle managers require a balance of all three, and first-line managers rely heavily on technical and human skills.
Depending on the Managers Level in the organization, different roles are highlighted:
Top
Executive, coaching, change management, leadership, delegation, and empowerment.
CEO’s, President, EVP
Middle
Problem-solving, team building, talent development, performance management
Assistant Manager, Manager
Low
Emotional intelligence and coaching for performance
Supervisor
Managerial Ethics
Refers to the moral guidance a supervisor provides his employees.
No “one size fits all” approach to ethical management.
Three vies / approaches of ethics
Utilitarian - ethical decisions are based on outcomes and consequences; greatest good for the greatest number.
The goal is to choose the action that helps the most people and causes the least harm.
Rights - respects and protects individual liberties and privileges.
Theory of Justice - rules are imposed fairly and impartially; based on standards of equity, fairness and impartiality.
Types:
Immortal management - focused on organizational gains and profits; cutting corners.
Amoral management - ignores ethical considerations; no concern for consequences of actions of policies.
Moral management - follows ethical principles; value equity, fairness, and concerns for other involved.
How to be a good BOSS by Google
Is a good coach
Empowers team and does not micromanage
Expresses interest/concern for team members success and personal well-being
Is productive and results-oriented
Is a good communicator
Helps with career development
Has a clear vision/strategy for the team
Has important technical skills that help him/her advise the team.
