1. Objectives of the chapterUnderstanding management conceptsCharacteristics of managementFunctions of management
2. MANAGEMENTManagement is the attainment of organizational goals in aneffective and efficient manner through planning, organizing,staffing, directing and controlling organizational resources.Organizational resources include men(human beings),money, machines and materials.
3. DefinitionsLouis E Boone & David L Kurtz- The use of people andother resources to accomplish objectives.Mary Parker Follet- the act of getting things done throughpeople.Frederick Taylor defines Management as the art ofknowing what you want to do in the best and cheapest way.
4. CharacteristicsManagement is a distinct process.Management is an organized activityManagement aims at the accomplishment of predeterminedobjectives.Management is both a science and an art.Management is a group activityManagement principles are universal in natureManagement integrates human and other resources.
5. Concept of management- Raymond G. LeonManagement by CommunicationManagement by SystemsManagement by ResultsManagement by ParticipationManagement by MotivationManagement by ExceptionManagement by Objectives
6. Steps in MBOTo establish long-term and short-tem organizational goalsTo establish long-term and short-term objectives for eachmanager, clarifying the key performance standardsPeriodic review of performanceEncouraging managers to accept responsibility
7. Benefits of MBOThe need for planning will be recognizedIt provides for objectives and accountability for performanceIt encourages participative managementIt helps in job enrichmentIt provides for a good feedback system
8. FEATURESManagement involves five functionsThese functions are organised to achieve organisationalgoals.Management involves effective and efficient use ofresources
9. FUNCTIONS OF MANAGEMENTPLANNINGORGANIZINGSTAFFINGDIRECTINGCONTROLLING
10. PLANNING• Planning is determining the objectives and formulating the methods to achieve them. It is more simply said than done. A job well planned is half done. During planning one needs to ask oneself the following:• What am I trying to accomplish i.e. what is my objective?• What resources do I have and do I need to accomplish the same?• What are the methods and means to achieve the objectives?• Is this the optimal path?
11. Types of Planning•Purposes or missions,•Objectives-It is the ultimate goal towards which the activities of theorganization are directed•Strategies-general program of action and deployment of resources•Policies-general statement or understanding which guide or channelthinking in decision making•Procedures-states a series of related steps or tasks to be performedin a sequential way•Rules-prescribes a course of action and explicitly states what is to bedone•Programs-comprehensive plan that includes future use of differentresources•Budgets-statement of expected results expressed in numerical terms
12. Principles of PlanningTake Time to PlanPlanning can be Top to Down or Bottom to TopInvolve and Communicate with all those ConcernedPlans must be Flexible and DynamicEvaluate and Revise
13. Steps in Planning1. Determining the goals or objectives for the entire organization.2. Making assumptions on various elements of the environment.3. To decide the planning period.4. Examine alternative courses of actions.5. Evaluating the alternatives.6. Real point of decision making7. To make derivative plans.
14. Types of Managerial Decisions:ProgrammedNon programmed.Mechanistic-It is one that is routine and repetitive in natureAnalytical-It involves a problem with a larger number ofdecision variablesJudgmental-It involves a problem with a limited number ofdecision variables, but the outcomes of decisionalternatives are unknownAdaptive-It involves a problem with a large number ofdecision variables, where outcomes are not predictable
15. Process of OrganizingDetermine what is to be done/ Division of Work:Assign Tasks: Departmentalization:Link Departments: Hierarchy Development:Decide how much Authority to Designate/ Authority,Responsibility and Delegation:Decide the Levels at which Decisions are to be made /Centralization vs. Decentralization:Decide how to Achieve Coordination:
16. Techniques for achieving coordination.Coordination by Rules or ProceduresCoordination by Targets or Goals:Coordination through the HierarchyCoordination through DepartmentalizationUsing a Staff Assistant for Coordination:Using a Liaison for Coordination:Using a Committee for CoordinationUsing Independent Integrators for Coordination:Coordination through Mutual Adjustment:
17. STAFFINGDefinition 1Selecting and training individuals for specific job functions,and charging them with the associated responsibilities.Definition 2Number of employed personnel in an organization orprogram. Also called workforce.
18. DIRECTING/LEADINGProvides positive and dynamic leadershipProvides maximum opportunitiesProvides proper motivation of personnelAbility to command people
19. CONTROLLING CONCEPTSFeed Forward Control-Control that attempts to identifyand prevent deviations before they occur is called feedforward control, sometimes called preliminary or preventivecontrol.Concurrent Control-Control that monitors ongoingemployee activities during their progress, to ensure theyare consistent with quality standards, is called concurrentcontrol.Feedback Control-In this case, the control takes placeafter the action. Sometimes called post-action or outputcontrol
20. Steps in the Control ProcessEstablish Standards of PerformanceMeasure Actual PerformanceCompare Performance to Standards:Take Corrective Action
21. Principles of Effective ControlEffective controls are timely.Control standards should encourage compliance.Setting effective standards is importantUse management by exception.Employees should get fast feedback on performance.Do not over rely on control reports.Fit the amount of control to the task.
22. MANAGERIAL SKILLS CONCEPTUAL HUMANTECHNI CAL
23. TECHNICAL SKILLSA persons’ knowledge and ability to make effective use ofany process or technique constitutes his technical skills.For eg: Engineer, accountant, data entry operator, lawyer,doctor etc.
24. HUMAN SKILLSAn individuals’ ability to cooperate with other members ofthe organization and work effectively in teams.For eg: Interpersonal relationships, solving people’sproblem and acceptance of other employees.
25. CONCEPTUAL SKILLSAbility of an individual to analyze complex situations and torationally process and interpret available information.For eg: Idea generation and analytical process ofinformation.
26. MANAGER’S ROLESInterpersonal roleInformational roleDecisional role
27. INTERPERSONAL ROLEFigurehead- ethical guidelines and the principles ofbehavior employees are to follow in their dealings withcustomers and suppliersLeader- give direct commands and orders to subordinatesand make decisionsLiaison-coordinate between different departments andestablish alliances between different organizations
28. INFORMATIONAL ROLEMonitor- evaluate the performance of managers in differentfunctionsDisseminator-communicate to employees theorganization’s vision and purposeSpokesperson- give a speech to inform the localcommunity about the organization’s future intentions
29. DECISIONAL ROLEEntrepreneur- commit organization resources to developinnovative goods and servicesDisturbance handler- to take corrective action to deal withunexpected problems facing the organization from theexternal as well as internal environmentResource allocator- allocate existing resources amongdifferent functions and departmentsNegotiator- work with suppliers, distributors and laborunions
30. TYPES OF MANAGERSFIRST-LINE MANAGERS- often called supervisors stand atthe base of the managerial hierarchyMIDDLE MANAGERS- heads of various departments andorganise human and other resources to achieveorganizational goalsTOP MANAGERS- set organizational goals, strategies toimplement them and make decisions
31. WHAT MAKE MANAGERS SUCCESSFUL?Hard workSmart workPatienceOut of box thinkingReading and acquiring knowledgeEthical consciousnessCollaborative relationshipPerseverance