MBA introduction to management concepts of management

1. Introduction
to
Management
Course: MBA
Subject: Introduction to Management
Unit: I

2. Unit 1
Chapter:1- Concept of management:
• Development of management thoughts
• Levels of management
• Role of a manager
• Management hierarchy

3. What is Management ?
• Where this word is used?
• What is the meaning?
-Manage Men
- Old French ménagement.: ‘the art of
conducting ,directing ‘
-Latin Manuagere : ‘to lead by the hand’
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4. DEFINITION:
• Management in all business areas and
organizational activities are the acts of getting
people together to accomplish desired goals
and objectives. Management
comprises planning, organizing, staffing, leadin
g or directing,
and controlling an organization (a group of one
or more people or entities) or effort for the
purpose of accomplishing a goal.
• Mgt is all about PODSCORB

5. • “Management is an art of getting things done
through and with people”.
• “The process by which execution of given
purpose put into operation and supervise”.
• “Management is the art of securing maximum
results with the minimum of efforts so as to get
maximum prosperity and happiness for both
employer and employee”

6. Applicability of Mgt. in life and job
• Management in life:
- Daily planning, future planning
- Various occasions i.E, marriage, parties
- To achieve any goal i.e., 80% in FYBBA

7. • Management at job:
- proper authority and
responsibility
- achieving targets
- stress management
- measuring deviation
- smooth functioning
- co-ordination/ communication
- employee satisfaction

8. Scope of management :(Relation with
other subjects/Sectors )
Marketing
• - Deciding promotional activities/ strategies/
setting targets – planning
• - Recruiting/training sales exe. – staffing
• - Giving targets by manager – Directing
• - Why targets are not achieved – Controlling

9. Finance
• - Preparing budget – Planning and controlling
• - Recruiting/training executives – staffing
• - Maximum result with min. efforts/resources

10. H.R.
• - How many employees will be required? -
Planning
• - Recruiting/training executives – Staffing
• - Performance appraisal – Controlling
• - which task given to whom? - Organising

11. What Managers Do
11
Managerial Activities
•Making decisions
•Allocating resources
•Directing activities of others to
attain goals
Managers
Individuals who achieve goals through other people.

12. Where Managers Work
12
Organization
A consciously coordinated social unit,
composed of two or more people, that
functions on a relatively continuous basis
to achieve a common goal or set of
goals.

13. The Four Functions of Management
Planning
Select goals
& ways to
attain them
Organizing Assign
responsibility for
tasks
Leading Use
influence to
motivate
Controlling
Monitor
activities &
make
corrections

14. Planning
– defining goals and objectives
– deciding what type of activities the company will
engage in
– determining the resources needed to achieve the
organization’s goals & objectives.

15. Organizing
– Grouping of activities
– Conflict resolution.
– Authority and responsibility
– delegation
– Allocation of resources

16. Directing/ leading
– Leading for better work
– Stimulating to work more
– Giving motivation
– Specifying job responsibilities
– Creating good working conditions
– Giving guidance
– Showing path

17. Controlling
 Checking performance
 Comparing actual targets with performance
 Finding deviation
 Taking corrective action
 Monitoring performance of people & units.
• Identification of performance problems & actions
to correct problems

18. 2

19. Management hierarchy/ Levels of
management
3

20. • Top level Posts/job title:
Chief Executive Officer (CEO), Chief Financial Officer (CFO), Chief
Operational Officer (COO), Chief Information Officer (CIO),
Chairperson of the Board, President, Vice president, Corporate head
• Middle level Posts/job title:
General manager, Plant manager, Regional manager, and Divisional
manager
• Lower level Posts/job title:
• Office manager, Shift supervisor, Department manager, Foreperson,
Crew leader, Store manager

21. 4
Skills at managerial levels

22. Skills at managerial levels
5

23. MANAGEMENT LEVELS AND TIME
SPENT ON FUNCTIONS
Plan. Organ. Lead. Control.
Top 28% 36% 22% 14%
Middle 18% 33% 36% 13%
Lower 15% 24% 51% 10%

24. Roles of a manger
– Set of expectations for one’s behavior
– Diverse activities --10 roles
Category Role
Informational Monitor
Disseminator
Spokesperson
Interpersonal Figurehead
Leader
Liaison
Decisional Entrepreneur
Disturbance handler
Resource allocator
negotiator

25. Management Roles
1. INFORMATIONAL
• Monitor
- Seek and receive information, scan periodicals and reports,
maintain personal contacts
• Disseminator
- Forward information to other organization members, send
memos and reports, make phone calls
• Spokesperson
- Transmit information to outsiders through speeches,
reports, memos
- ex. Mr. Ratan Tata announces about his new car in a press
conference

26. Management Roles
2. INTERPERSONAL
• Figurehead
- Performs formal and symbolic duties such as greeting
visitors, signing legal documents.
ex. College dean awarding degree to convocation ceremony
• Leader
- Direct and motivate subordinates, training, counseling, and
communicating with subordinates.
- Liaison
- Maintain information links both inside and outside
organization, use mail, phone calls, meetings
Ex. Manager interacting inside and outside of the
organization.

27. 3. DECISIONAL
• Entrepreneur
- Initiate improvement projects, identify new ideas, delegate idea
responsibility to others
• Disturbance Handler
- Take corrective action during disputes or crises; resolve conflicts among
subordinates; adapt to environmental crises
• Resource Allocator
- Decide who gets resources, scheduling, budgeting, setting priorities
- Allocating money, time, material etc.
• Negotiator
- Represent department during negotiation of union contracts, sales,
purchases, budgets, represent departmental interests

28. Approaches in Mgt. thought
• Classical
- scientific
- bureaucratic by Max Weber (considered hierarchy of the
decision making process)
- administrative
• Behavioral- Human relation school
- Hawthorne experiments(Western Electric Hawthorne plant in
Chicago) ,Maslow,McGregor, Chris,Elton Mayo, Mary Parker
• Quantitative and Modern
- Contingency theory (based on situation)
- Theory Z (job security, job loyalty) (mix of US and Japanese)

29. Taylor and scientific management
(Frederick Winslow Taylor (1856-1915)
• The concept emerged in early 1900s.
• “SM is concerned with knowing exactly that
you want men to do and then see in that they
do it in the best and cheapest way”
• Taylor experimented and found –how human
beings could be made more efficient by
standardizing the work and better method of
doing the work.
6

30. Elements of scientific management
1. Separation of planning and doing:
• Supervisor- Planning
• Worker – doing, operational work
2. Functional foremanship:

31. - work divided acc. To functions
2. Functional foremanship:
7

32. 3. job analysis:
- to find a best way of doing the things
- Time study
- Motion study
- Fatigue study

33. 4. Standardization:
- Standardization is a means of achieving
economics of production.
• It seems to ensure –
– The line of product is restricted to predetermined
type, form, design, size, weight, quality. Etc
– There is manufacture of identical parts and
components.
– Quality & standards have been maintained.
– Standard of performance are established for workers
at all levels.

34. 5. Scientific selection and training of workers.
- based on education, exp, aptitude, physical strength
- training to be more effective and efficient
6. Financial incentives
- Piece rate system
7. Economy & Profit
-cost estimation and cost control
8. Mental revolution
- co-operation and co-ordination

35. H.Fayol’s Administrative Management (29 July 1841,
(29 July 1841 ,19 November 1925)
• French industrialist
9
8

36. Fayol’s 14 principles of management
1. Division of work
2. Unity of Command
3. Order
4. Equity
5. Initiative
6. Esprit de corps
7. Stability of tenure
8. Scalar chain
9. Centralization
10. Remuneration of
employees
11. Subordination of
individual interest to
general interest
12. Unity of direction
13. Discipline
14. Authority and
Responsibility

37. Fayol’s 14 principles of MGT.
1. Unity of Command:
instructions/orders from only one boss. Ex. peon

38. Fayol’s 14 principles of MGT.
2. Division of Work:
job /work is divided into specialized/small tasks
i.e., departments

39. Fayol’s 14 principles of MGT.
3. Order:
• Arrangement of things and people
• All materials and personnel have a prescribed
place, and they must remain there.

40. Fayol’s 14 principles of MGT.
4. Initiative:
• Workers should be encouraged to develop
and carry out their plans for improvements

41. Fayol’s 14 principles of MGT.
5. Equity:
• Fairness to all employees
• No favoritism

42. Fayol’s 14 principles of MGT.
6. Authority and Responsibility: “Authority is the right
to give orders & obtain obedience, and responsibility is
the effect of authority”
-should be divided properly
ex. Sales exe., Vodafone cust. care
7. Discipline: Rules and regulations

43. 8. Unity of Direction: same objective for all with
coordinated efforts
9. Subordination of Individual Interest to General
Interest:
10. Remuneration of Employees: Employees receive
fair payment for services
11. Centralization and Decentralization: ex. GTU,
Panchayat
12. Scalar Chain: Formal chain of command running
from top to bottom of the organization, like military

44. 13. Stability of Personnel: Limited turnover of
personnel. Lifetime employment for good workers.
14. Espirit De Corps: team spirit of unity and harmony
among employees

45. 10

46. References/Sources
1. http://4.bp.blogspot.com/_16N-uuTISQo/TRO-JllSdCI/AAAAAAAAaDM/ALK06S44Yvc/s640/ghg.jpg
2. http://www.shareyouressays.com/wp-content/uploads/hindi/4-Different-Levels-of-Management-in-the-
_6FF4/clip_image002.jpg
3. http://2.bp.blogspot.com/-
wHomNVBHk4c/U7izx8E955I/AAAAAAAAAVY/_X__AEQRD1A/s1600/Levels+and+skills.png
4. http://sites.psu.edu/leadership/wp-content/uploads/sites/8069/2012/09/x012.jpg
5. http://3.bp.blogspot.com/-fgAqyPP8sjM/ToeuLD83RqI/AAAAAAAABns/4T6FG1COba4/s1600/frederick_taylor.gif
6. http://www.managementstudyguide.com/images/functional_foreman.jpg
7. http://www.managementstudyguide.com/images/functional_foreman.jpg
8. http://3.bp.blogspot.com/-fgAqyPP8sjM/ToeuLD83RqI/AAAAAAAABns/4T6FG1COba4/s1600/frederick_taylor.gif
9. http://www.managementstudyguide.com/images/functional_foreman.jpg
10. https://www.keepcalm-o-matic.co.uk/p/thanks-for-listening-any-questions--4/