ATPS CUSTOS

2ND EDITION

ARMSTRONG’S HANDBOOK

OF MANAGEMENT AND LEADERSHIP

A guide to managing for results

Michael Armstrong

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ARMSTRONG’S HANDBOOK

OF MANAGEMENT AND LEADERSHIP

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ARMSTRONG’S HANDBOOK

OF MANAGEMENT AND LEADERSHIP

2ND EDITION

A guide to managing for results

Michael Armstrong

London and Philadelphia

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Publisher’s note Every possible effort has been made to ensure that the information contained in this book is accurate at the time of going to press, and the publishers and author cannot accept responsibility for any errors or omissions, however caused. No responsibility for loss or damage occasioned to any person acting, or refraining from action, as a result of the material in this publication can be accepted by the editor, the publisher or the author. First published in Great Britain and the United States in 2005 by Kogan Page Limited Second edition 2009 Apart from any fair dealing for the purposes of research or private study, or criticism or review, as permitted under the Copyright, Designs and Patents Act 1988, this publication may only be reproduced, stored or transmitted, in any form or by any means, with the prior permission in writing of the publishers, or in the case of reprographic reproduction in accordance with the terms and licences issued by the CLA. Enquiries concerning reproduction outside these terms should be sent to the publishers at the undermentioned addresses: 120 Pentonville Road London N1 9JN United Kingdom www.koganpage.com © Michael Armstrong and Tina Stephens, 2005 © Michael Armstrong, 2009 The right of Michael Armstrong to be identified as the author of this work has been asserted by him in accordance with the Copyright, Designs and Patents Act 1988. ISBN 978 0 7494 5417 3 British Library Cataloguing-in-Publication Data A CIP record for this book is available from the British Library. Library of Congress Cataloging-in-Publication Data Armstrong, Michael, 1928– Armstrong’s handbook of management and leadership : a guide to managing for results / Michael Armstrong. p. cm. Rev. ed. of: A handbook of management and leadership : a guide to managing for results / Michael Armstrong, Tina Stephens. 2005. Includes index. ISBN 978-0-7494-5417-3 1. Management--Handbooks, manuals, etc. 2. Leadership--Handbooks, manuals, etc. I. Armstrong, Michael, 1928- Handbook of management and leadership. II. Title. HD38.15.A76 2009 658.4’092--dc22 2009008237 Typeset by Saxon Graphics Ltd, Derby Printed and bound in India by Replika Press Pvt Ltd 525 South 4th Street, #241 Philadelphia PA 19147 USA

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Contents

Preface to the Second Edition Part I 1. The Practice of Management The Processes of Management and Leadership Management Leadership Management and leadership compared Influences on management The Role of the Manager What is a manager? What do managers do? How do managers do it? What is an effective manager? What do line/middle managers contribute? The Role of the Leader What is a leader? Types of leaders What do leaders do? How do leaders do it? What makes a good leader? What is the significance of followers?

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Contents

Part II 4.

Approaches to Management Managing for Results Planning Setting objectives and targets Organizing Making things happen Managing Strategically Strategy Strategic management Developing a shared vision Developing strategic plans Strategic capability Managing for Performance High-performance culture High-performance work systems Managing individual performance Managing team performance Managing the Business On being business like Preparing a business plan Making a business case Financial budgeting and control Cost–benefit analysis Management Skills Communicating Report writing Making presentations Motivating Coaching Decision-making Delegating Facilitating

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Giving feedback Networking Problem-solving 9. Managing Systems and Processes Managing systems Managing processes Examples of systems and process management The conflict and challenges of managing systems and processes Managing Health and Safety The importance of health and safety in the workplace Health and safety policies Conducting risk assessments Health and safety audits Health and safety inspections The distinction between risk assessments, audits and inspections Accident prevention Occupational health programmes The responsibility for health and safety Self-development The process of self-development Other methods of management development Self-management strategies Organizations Understanding Organizations Organizations and organizing How organizations function Organization structure Types of organization Organizational culture Organizational processes Understanding organizational policies

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Part III 12.

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Contents

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Designing Organizations The process of organizing Aim of organizational design Conducting