2. Definition of Management
Management is the art of getting things done through others.
Harold Koontz defines as “Management is the process of designing and
maintaining an environment in which individuals working together in groups,
efficiently accomplish selected aims.
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3. The Basic definition needs to be expanded
As Managers, people carry out the Managerial functions of
planning, Organizing, staffing, leading and Controlling
Management applies to any kind of organization [Business,
Governmental Agency, Hospital, University]
It applies to managers at all organizational levels
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4. Nature and Characteristics of Management
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Multidisciplinary
Continuous process
Universal activity
Science as Well as an Art
Dynamic and not Static
Profession
Group activity
Aims at obtaining wealthy results
Skills and Experience in getting
things done through people
System of authority
Intangible
Good Leadership
5. Functional areas of Management
Financial Management
Human Resource Management
Marketing Management
Production Management
Material Management
Purchasing Management
Maintenance Management
Office Management
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7. Objective of Management
Getting maximum results with minimum efforts.
Increasing the efficiency of factors of production
Maximum prosperity for employer and employees
Human betterment & Social Justice
Reduces Cost
Establishes Equilibrium
Establishes Sound Oragnization
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8. Function of Management
According to George & Jeery
Planning, Organizing, Actuating, & Controlling
According to Henry Fayol
Plan, Organize, Command & Control
Luther Gullick (POSDCORB)
Planning, Organizing, Staffing, Direction, Coordinating , Reporting, & Budgeting
Koontz & O’DONNEL
Planning, Organizing, Staffing, Directing, & Controlling
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10. Planning
What to Do? When to Do? How to Do? Who is to Do?
The planning process involves the following activities
Determination of the goal of the Organization
Formulating policies, rules, procedures etc. for the organization
Forecasting the future based on past and present activities
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11. Organising
Identification and analysis of activities required for the attainment
organisational objective
Assignment of duties to the individuals concerned
Follow up the activities
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12. Staffing
Selecting candidate for position
Fixing salary
Training
Developing them for effective organization function
Performance Appraisal
Promotions & Transfer
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14. Controlling
Establishing standard
Measuring current performance
Comparing this performance to the established standards
Taking corrective actions of deviation are detected
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15. Administration Vs Management
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Attributes Management Administration
Definition
Art of getting things done through
others by directing their efforts
towards achievement of predetermined
goals.
Formulation of broad objective, plans &
Policies.
Nature Executing function, doing function
Decision Making function, Thinking
function
Scope
Decisions within the framework set by
the administration.
Major decisions of an enterprise as a
whole.
Levels of Authority Middle Level activity Top level activity
Status
Group of managerial personnel who
use their specialized knowledge to full
fill the objective of an enterprise.
Consists of owners who invest capital
in and receive profits from an
enterprise.
16. Administration Vs Management
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Attributes Management Administration
Usage Used in business enterprise
Popular with government, military,
education, and religious organization
Influence
Decisions are influenced by the values,
opinions, beliefs and decisions of the
managers
Influenced by public opinion, government
policies, customs etc.
Main functions Motivating and controlling Planning and Organizing
Abilities Handles the employees.
Handles the business aspects such as
finance.
20. Manager Vs Entrepreneur
ENTREPRENEUR
• An Entrepreneur is a person who
organize and manages a business
undertaking, assuming the risk
for the sake of profit
MANAGER
• A manager is the person
responsible for planning and
directing the work of a group of
individuals, monitoring their work,
and taking corrective action when
necessary.
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21. Difference Between Manager and
Entrepreneur
CHARACTERISTIC ENTREPRENEUR MANAGER
Behaviour characterized by Desire for control Delegation of authority
Management style One man show Management team
Driving force Creativity-innovation Establish & preserve the status
Quo
Organizational growth Rapid reaction Strategic planning
Organization structure Informal, Flexible Organized
Decision making Intuitive Collect information & seek
advice
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22. Difference Between Manager and
Entrepreneur
CHARACTERISTIC ENTREPRENEUR MANAGER
Definition of Aims In terms of “Vision” In commercial Terms
Attitude to Money A By-Product Measure of Success
Attitude to risk Calculated Risks Avoidance of Risks
Organizational Culture “Entrepreneurial
Culture”
“Management Culture”
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23. Types of Manager
Purchase manager- Who is responsible for procuring the raw materials in a company
Production manager- Who is responsible for managing the manufacturing process.
IT manager- Who is responsible for supervising all computing and IT communication
related issues.
Marketing manager- Who is responsible for supervising the promotion and advertising of
the company’s products/services.
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24. Types of Manager
Sales manager- Who looks after the sales department and sets targets for sales personnel and
appraises their performance on the basis of the extent of target achievement
Finance manager- Who is responsible for the financial management of the organization.
Human resources manager- Who is responsible for the HR department and oversees all human
resource management functions
Product development manager- Who is authorized with the management of the technical division of
new product design and product innovation.
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30. Interpersonal
Figurehead
Symbolic head, obliged to perform a number of routine duties of a legal or social nature
Leader
Responsible for the motivation and activation of subordinates; responsible for staffing,
training and associated duties
Liaison (Link)
Maintains self-developed network of outside contacts and informers who provide favors
and information.
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31. Informational
Monitor
Seeks and receives wide Varity of special information to develop thorough understanding of
organization and environment; emerges as nerve internal and external information of the
organization.
Disseminator
Transmits information received from outsiders or from other subordinates to members of the
organization.
Spokesperson
Transmit information to outsiders on organization’s plans, policies, actions, results, etc.,
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32. Decisional
Entrepreneur
Searches organization and it environment for opportunities and initiates
:improvement projects” to bring about change; supervises design of certain
projects as well.
Disturbance handler
Responsibility for corrective action when organization faces important,
unexpected disturbance.
Negotiator
Responsible for representing the organization at major negotiations
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33. Evolution of Management Thought
Pre Scientific Management Era (Before 1880)
Classical Management Era (1880 – 1930)
Neo Classical Management Era (1930 – 1950)
Modern Management Era (1950 on word)
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34. Classical Management Era (1880 – 1930)
Scientific Management School
Administration Management School
Bureaucracy Management
Neo Classical Management Era (1930 – 1950)
Human Relational School
Behavioral Management School
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Modern Management Era (1950 on word)
Social System School
Decision Theory School
Quantitative Man Management School
System Management School
Contingency Management School
35. Scientific Management School
Frederick Winslow Taylor 1856 – 1915
Father of Scientific Management
Midvale steel, Simonds Rolling Machine Bethleham steel
(Apprentice Machinist, Chief Engineer)
It is an Art of knowing exactly what you want your men to do
and seeing that they do it in the best and cheapest way.
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36. Principles of Scientific Management
1. Replacing rules of thumb with science (Enquire, investigation, data collection, analysis and
framing a rule)
2. Obtaining harmony in group action, rather than discord
3. Achieving cooperation of human beings, rather than chaotic individualism
4. Working for max. output rather than restricted output
5. Developing all workers to the fullest extent possible for their own and their company’s highest
prosperity
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37. Techniques of Scientific Management
Time Study
Fair Day’s Work = Standard Time + Working Hours
Motion Study
Standardization
Differential Piece Wage Plan
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39. Administrative Management
Father of modern operational management theory
Worked in French mining and metallurgical company
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Henri Fayol (1841 – 1925)
40. 14 Principles
1. Division of labour – Divided & Subdivided and allotted to various persons according to their expertise
in a particular area.
2. Authority and Responsibility
3. Discipline – Sincerity, Obedience, Diligence, Correct attitude
4. Unity of Command – receive order from one superior
5. Unity of direction – similar activities should be grouped
6. Subordination of Individual’s interest to the common goal
7. Remuneration – Fair and equitable
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41. 14 Principles
8. Centralization & Decentralization– balance between concentration and dispersal of authority
9. Scalar Chain – Chain of authority from top to bottom
10. Order – ‘A place for everything and everything in its place’
11. Equity – Sense of fair play and justice
12. Stability of tenure of personnel – too much of turnover of staff/job rotation interfere the stability
13. Initiative – Subordinate initiatives
14. Esprit de crops – Team spirit should be fostered and administrated
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42. Elton Mayo and F. Roethlisberger and the
Hawthorne Studies
Western electric company – 1927 to 1932
1924 to 1927, National Research Council –>Nature of illumination and other conditions Productivity
Changing illumination, modifying rest periods, Shortening workdays and varying incentive pay system did not
improve productivity.
In general, that the improvement in productivity was due to such social factors as morale, satisfactory
interrelationships between members of a work group (a "sense of belonging"), and effective management--a kind
of managing that would understand human behavior, especially group behavior, and serve it through such
interpersonal skills as motivating, counseling, leading, and communicating.
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43. Recent Contributors of Management
Peter F.Orucker (1974) – writer on many general management topics
W.Edward Deming – Introduce QC in Japan
Laurence Peter – People get promoted to a level where they are incompetent, and no further
promotion is possible
William ouchi (1981) – Discussed selected Japanese managerial practices adapted in the US
environment
Thomas peters and Robert Waterman – Identified Characteristics of companies they considered
excellent
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44. Patterns of Management Analysis
A Management Theory Jungle?
APPROACHES TO MANAGEMENT
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Characteristics Limitations Illustration
EMPIRICAL OR CASE APPROACH
Studies experience
through cases. Identifies
successes and failures
Situations are all
different. No attempt
to identify principles
45. Patterns of Management Analysis
A Management Theory Jungle?
APPROACHES TO MANAGEMENT
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Characteristics Limitations Illustration
MANAGERIAL ROLES APPROACH
10 roles were identified
1. Figure head role
2. Leader role
3. Liason role
4. Recipient role
5. Disseminator role
6. Spoken person role
7. The entrepreneurial role
8. The disturbance handler role
9. Resource allocator role
10. Negotiator role
Some activities are
not managerial. Some
activities were left
out (e.g. Appraising
Managers)
46. Patterns of Management Analysis
A Management Theory Jungle?
APPROACHES TO MANAGEMENT
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Characteristics Limitations Illustration
CONTINGENCY OR SITUATIONAL APPROACH
Management practice
depends on
Circumstances
There is no best way to
do things. Difficulty in
determining all the
relevant contingency
factors and showing their
relationships
47. Patterns of Management Analysis
A Management Theory Jungle?
APPROACHES TO MANAGEMENT
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Characteristics Limitations Illustration
MATHEMATICAL OR MANAGEMENT SCIENCE APPROACH
Management is seen as
the mathematical
process, concepts,
symbols & models
Many aspects of
managing cannot be
modeled
48. Patterns of Management Analysis
A Management Theory Jungle?
APPROACHES TO MANAGEMENT
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Characteristics Limitations Illustration
DECISION THEORY APPROACH
Decision making as a
spring board to study
all enterprise
activities
There is more to
managing than
decision making. The
focus is at the same
time too narrow and
too wide
49. Patterns of Management Analysis
A Management Theory Jungle?
APPROACHES TO MANAGEMENT
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Characteristics Limitations Illustration
REENGINEERING APPROACH
Fundamental rethinking
Process analysis
Radical redesign
Dramatic results.
Neglect external
environment ignoring
customer needs
neglect human needs.
Ignores total
Management systems
50. Patterns of Management Analysis
A Management Theory Jungle?
APPROACHES TO MANAGEMENT
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Characteristics Limitations Illustration
SYSTEMS APPROACH
Systems have
boundaries but
they also interact
with external
environment
It is a new
approach to
Management
51. Patterns of Management Analysis
A Management Theory Jungle?
APPROACHES TO MANAGEMENT
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Characteristics Limitations Illustration
SOCIO TECHNICAL SYSTEMS APPROACH
Technical system has
great effect on
social system
Emphasis only on
blue collar and
lower level office
work
52. Patterns of Management Analysis
A Management Theory Jungle?
APPROACHES TO MANAGEMENT
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Characteristics Limitations Illustration
COOPERATIVE SOCIAL SYSTEMS APPROACH
Concerned with
interpersonal and
group behavioral
aspects leading to a
system of Co-
operation
Too broad a field
for the study of
Management
53. Patterns of Management Analysis
A Management Theory Jungle?
APPROACHES TO MANAGEMENT
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Characteristics Limitations Illustration
GROUP BEHAVIOR APPROACH
Emphasis on
behavior of people
in groups. Based
on sociology and
social psychology
Often not
integrated with
management
concepts,
Principles, theory
and techniques
54. Patterns of Management Analysis
A Management Theory Jungle?
APPROACHES TO MANAGEMENT
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Characteristics Limitations Illustration
INTERPERSONAL BEHAVIOR APPROACH
Focus on interpersonal
behavior, human
relations, leadership
and motivation. Based
on individual
psychology
Ignores planning,
Organizing and
Controlling.
Psychological
training is not enough
to be an effective
manager
55. Patterns of Management Analysis
A Management Theory Jungle?
APPROACHES TO MANAGEMENT
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Characteristics Limitations Illustration
McKINSEY’S FRAME WORK APPROACH
7 SKILLS
1. Systems
2. Style
3. Staff
4. Shared Values
5. Skills
6. Strategy
7. Structure
The terms used are
not precise and topics
are not discussed in
depth
56. Patterns of Management Analysis
A Management Theory Jungle?
APPROACHES TO MANAGEMENT
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Characteristics Limitations Illustration
TOTAL QUALITY MANAGEMENT APPROACH
Dependable satisfying products &
services (Deming)
Product or services that is fit for
use (Juran)
Conformance to quality
requirements (Crosby)
• Continuous improvement
• Team Work
• Quality education
No complete agreement of
what TQM is
57. The Management Process or Operational
Approach
This approach draws together the pertinent knowledge of
management by relating it to the managerial job--what
managers do
It tries to integrate the concepts, principles, and
techniques that underlie the task of managing
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59. The Systems Approach to The Management
Process
A model of process or operational management that indicates how the various inputs are
transformed through the managerial functions of planning, organizing, staffing, leading,
and controlling.
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61. Inputs and Claimants
The inputs from the external environment
may include people, capital, managerial
skills, as well as technical knowledge and
skills.
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62. The Managerial Transformation Process
The task of managers is to transform the inputs, in
an effective and efficient manner, into outputs.
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63. The Communication System
Communication integrates the managerial functions. It is
through communication that one determines whether
events and performance conform to plans. It is
communication that makes managing possible.
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68. Individual Proprietorship
Single person owns the capital
He has taken the decision, uses his own skill , Knowledge and
experience
All profits belong to him
He bear all the losses
His decision is final in employment, purchase production and sale
Small establishments Started easily
Closed down easily
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69. Individual Proprietorship
The area of operation is limited, the owner can develop
cordial relationship with workers, supplier of inputs and
buyers.
Capital base is small and narrow
Small business promotes fair distribution of income and
wealth.
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70. Partnership
Formed by a simple contract
Each party of the contract becomes the general agent of the business
Sharing their duties responsibility on one hand & profit / losses on the other hand
Minimum two persons
In the absence of any agreement to the contrary , all partners have equal right to participate the
business
Written agreement is signed by all partners and stamped it becomes partnership deed
Registered firms enjoy many benefits
Unregistered firms cannot sue other partners of the firm.
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71. ADVANTAGES OF
Partnership
Raising Additional Finance
Specialized experiences of various partners
Bankers provide easy credit
Liability is unlimited
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72. DISADVANTAGES of
Partnership
Partners become responsible for acts of each & every other
It suffers uncertain continuity, lesser public confidence, restricted
right to transfer of capital and liability of partner even after his
retirement from the firm.
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73. JOINT STOCK COMPANIES
o Corporation has been defined as an artificial person
o Recognized by law, it is a legal entity
o Distinctive name, a common seal
o Common capital
o Transferable shares of fixed value, limited liability
o Share holders may come & go, but company goes
o Share holders cannot participate the working of a company
o Board of directors, assisted by professional Mangers
o Memorandum of Association is prepared
o Classified as Pvt Ltd & Public Ltd
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74. Pvt. Ltd Company
Registered by 2 or more persons
But limits to 50
Restriction on transfer of shares
General public cannot participate in the capital
Limited liability
Keep their business as private as possible
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75. PUBLIC LIMITED COMPANY
Membership is open to all
Minimum no is 7, but there is no ceiling
To collect capital, through the selling of shares
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76. FORMATION
Group of persons conceive an idea of a successful business,
called promoters
Registration to Registrar of companies with name and fee,
accompanied by Memorandum of Association (MOA) &
Article of Association (AOA)
MOA defines objectives, powers of the company, the name
clause, situation clause, objective clause, capital clause and
liability clause
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77. FORMATION
AOA Rules & Regulations governing internal management (Power & duties
of directors and other officers, borrowing powers, power to hold meetings etc)
After the meeting of directors, Chairman, Bankers, auditors, brokers etc are
appointed
Then they raise the capital from general public
Then registrar issues commencement certificate
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78. ADVANTAGES of PUBLIC LIMITED
COMPANY
Liability is limited as per the face value of shares
Easily raise the capital from public and lending
institutions
Avail the services of experts
78
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79. DRAWBACKS of PUBLIC LIMITED
COMPANY
Long drawn process
More legal formalities
Larger amount of initial expenditure
Ownership is diverted from control
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80. CO - OPERATIVES
Voluntary association of eleven or more members
They are in same locality carrying on business not for profit
It is based self help through mutual aid
The membership is open to all
Value of the share is kept low
In India we have credit cooperatives, marketing cooperatives,
housing cooperatives etc.
In rural India, cooperatives are controlled by rural rich
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82. Government Department Organization
Postal & Telegraphs, railways,highways, defence industries etc.
They are financed by appropriations from the treasury
It is subject to budget accounting and audit controls
Civil servants are the in charge of such enterprises
It cannot be sued without the consent of the government
They ensure maximum degree of control
Transactions are approved by appropriate agencies
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83. DRAWBACKS of
Government Department Organization
Absence of flexibility in its operations
Immediate decisions depending on the business environment
cannot be made
Delay, red tapism, inadequate services etc are in this
organizations
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84. PUBLIC CORPORATIONS
It is wholly owned by the state
Greater freedom in making contracts, acquiring & disposing of property than government
departments
They obtain funds from treasury, public and revenues from sale of goods and services
They are not subject to budget accounting & audit loss
Employees are recruited and remunerated under the terms and conditions of the corporation
It enjoy the freedom of govt. regulation & control
High degree of operating & financial flexibility
Expansion programmes can be finance without delays by the use of revenues or borrowed
funds
Ex: Industrial Financial Corporation of India, LIC, UTI & RBI
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85. MIXED ENTERPRISES
Capital owned by the Govt. & Pvt. share holders
Directors are nominated by both of them
It can enter into contract and acquire property in their own name
Own legal entity
They can be sued and they can sue
Exempted from budget accounting
Permission from GOI is necessary
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86. If no foreign participation,
state Govt. or SIDC – 26%
Private Individual - 25%
Lending Institutions - 49%
MIXED ENTERPRISES
86
If foreign Participation
State – 25%
Indian entrepreneurs – 20%
Foreign Investor – 20% &
Investing public – 35%
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87. GLOBALIZATION
It means internationalization of trade, Particularly financial product
transactions and the integration of economic and capital markets
throughout the world
Trade exists freely among the countries
World economy becomes a single market or single economy
In globalization, there is no restriction of quota, license, tariff and
other adminstrative barriers for trade
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88. Trade can be of products and factors
Trade of product means goods, commodities and services
Trade of factors means transfer of technology, finance and
labour
Currencies of the country should be freely exchangeable
Uniformity of laws and rules
GLOBALIZATION
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89. Benefits of Globalization
1. Improves efficiency – >Glob. leads to specialization in production
2. Improve factor income –>the factor mobility is free (factor incomes among the
trading countries will get equalized)
3. Improves finance –> need for growth and industrialization of country
4. Gain from migrations
* For developed countries migration fulfills the need of manpower in the form of
skilled person
* For developing countries migration solves the problem of unemployment
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90. International Management /Managing Globally
It is the process of Planning, Organizing, leading and controlling in
organizations engaged in international Business
Now a days Managers engage in international business are like to face
competition from international organizations or to deal with them either
suppliers or customers
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91. Multinational Corporations (MNC)
It is an organization that is engaged in production or services through its
own association in several countries, manages and control the overall
activities from a global perspective
They are large in size and are engaged in substantial amount of business
throughout the world
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92. MNC is a business that has its head quarters (domicile) in one country but which
operates in many
The BOD (Board of Directors) might comprise a two tier system
Strategic board which determines global policy
One or more national boards responsible for implementing this policy in
particular countries
Multinational Corporations (MNC)
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93. Major Differences between MNC & one country
Firm
a) Market segment is more for MNC
b) Recruitment, training, appraisal and promotion procedures must be drafted on international scale
c) Greater amount of diversification
Choice of national market for final products
Location of production facilities
Sources of raw materials
Buy and import (products) from rest of the world
d) MNC can afford more risk than domestic rivals. A loss in one country can be offset against profits
elsewhere.
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94. Categories
Horizontally Integrated Multinational
MNC Seeks to produce the same product in different countries. The primary objective is to achieve growth by
expanding into new markets
Vertically Integrated Multinational
MNC Undertakes the various stages of production in different countries for a core business.
Ex: Oil companies like shell and Exxon (ESSO)
Conglomerate Multinational
MNC will produce a range of different products in different countries
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95. Type of International Management
Ethocentric
Polycentric
Regiocentric
Geocentric
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96. Ethnocentric
International Management are home country oriented.
Here, Managers assume that practices that work in home
country must necessarily work elsewhere
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98. Regiocentric
International Management are region oriented.
Managers believe that the company problems
related to that region are generally best solved
by individuals from the region.
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99. Geocentric
International Management are world oriented. Here Managers
believe that global view is needed in both the head quarters of the
company and its various subsidiaries that the best individuals
regardless of host or home country, should be utilized to solve
company problems anywhere in the world.
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100. Entry to International Business
1. Exporting : It is the process of making a product in the home country
and sending it overseas. It requires very small capital.
2. Licensing : It is an agreement in which one organization gives limited
rights to another to use certain assets (expertise, patents, copyrights or
eqpt.) for an agreed upon fee or royalty
Licensing allows to use assets within specific territory and for a
specific period
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101. 3. Establishing Strategic alliances: A joint venture is an agreement involving
two or more organizations that arrange to produce a product or service
through a jointly owned enterprises
4.Operating wholly owned subsidiaries: A wholly owned subsidiary is an
operation on foreign soil that is totally owned and controlled by a
company with headquarter outside the host country.
Entry to International Business
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102. MNC STRATEGIES
MNC must give weightage to two important factors.
i. The need to make optimum economic decisions on global basis.
ii. Responsive to host country differences
MNC opt for any of the four strategy
a. Worldwide integration / globalization strategy
b. National responsiveness strategy
c. Region responsiveness strategy
d. Multifocal strategy
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103. Challenges of Management in Global Scenario
a) Language Barriers – Less in developed country
- More in developing countries (Africa or Latin America)
b) Selling and Marketing in Foreign Markets
Selling at home might fail overseas because of wide social
and cultural differences.
Ex: McDonald’s, Cocacola
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104. c) Attitudes of host governments
Govt. insisting on part ownership in the subsidiary of tight rules and
regulations governing the MNC’s behavior or harsh tax regimes
d) Communication and Co-ordination between subsidiaries
For expanding global business, lines of communication become longer
and more complex.
Challenges of Management in Global Scenario
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105. Advantages of MNC Investment
Employment
The Balance of Payment
Technology Transfer
Taxation
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107. Japanese Management
They combine structure and people with
Japanese culture to create a highly productive
and efficient organization.
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108. Characteristics of Japanese
management or Theory Z
1. Human Resources : Japanese Management prefers human resource than financial
resources
2. Job Security : It results in employees with high morale
3. Team work : team efforts & Team spirit leads to effective management
4. Promotion : Promotion are based on seniority
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109. 5. Appraisal System : Employee performance in the long run is given
more importance than short run.
6. Communication : It is designed to foster open communication. It
facilitates extensive face to face communication.
7. Decision Making : Japanese management encourages the lower level
employees ideas, Knowledge & Experience.
Lower level employees also take part in decision making
109
Characteristics of Japanese
management or Theory Z
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110. Weakness of Japanese Management
1. It suppressed individual talents
2. Promotion policy is not encouraging outstanding younger
employees
3. Decision making process is time consuming process
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111. Japanese Management USA Management
It involves long term planning It Involves short term planning
More people involved in decision
making process
Only top executives involved in
decision making process
More favor for decentralization More favor for centralization
Participative Management Not a Participative Management
Here informal and democratic
organization structure
Formal and bureaucratic organization
structure
Training is important activity Training is not an important
Job Security Job Insecurity
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112. Japanese Management USA Management
Leader is not a important role Leader is a important role
It enhances self control and peer control All Managerial activities controlled by
superiors
Execution of all the process in the
organization is very fast
Execution of all the process in the
organization is not fast
Given more benefits to the employees Employees benefits less compared to Japan
Appraisal process is not consider immediately Appraisal process is consider immediately
It enhances group performance It enhances individual performance
Promotion, demotion and termination process
are less
Promotion, demotion process is often
Communication system is poor Communication is effectively
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113. German Management
German Management is autocratic
The Managers expect obedience from their subordinates
Labour suggestions also accepted
One of the labour director is elected as a member of the executive
committee.
Managerial decisions are taken by the executive committee in
consultation with labour director
Labour director is represented the employee’s problems also
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115. Importance of Organizational Culture
Talent Attractor
Talent Retainer
Engage People
Creates Energy and Momentum
Changes the View of Work
Creates Greater Synergy
Makes Everyone More Successful
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115
116. 8/2/2023
116
CHARACTERISTICS OF
ORGANIZATIONAL CULTURE
Organizational Culture
Attention in
Detail
Outcome
Orientation
People
Orientation
Team
Orientation
Aggressiveness
Stability
Innovation
and Risk
Taking
Degree to which employee are
expected to exhibit precision
analysis and attention to detail
Degree to which managers
focus on results or outcomes
rather than on ho these
outcomes are achieved
Degree to which management
decisions take into account the
effects on people in the
organization
Degree to which work is
organized around teams rather
than individuals
Degree to which employees are
aggressive and competitive rather
than cooperative
Degree to which organizational
decisions and actions emphasize
maintaining the status quo
Degree to which employee are
encouraged to be innovative and
take risk
117. ELEMENTS OF ORGANIZATIONAL CULTURE 117
Artefacts
Language, Technology, Products, Style
of dressing, Physical Environment,
Manners, Myths, stories
Espoused Values
Conscious Strategies, goals and
philosophies
Basic Assumptions and Values
Norms, Unwritten rules, shared assumptions, taken for
granted beliefs, values existing at unconscious level
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118. STRONG vs WEAK CULTURE
Strong culture
Strong culture-key values are
deeply held and widely shared.
Employees in such organizations
are more committed
Increased organizational
performance.
Weak culture
Weak Culture-do not make clear
what is important and what is not
Lack of clarity in organization
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124. Current trends and Issues in
Management
Work force diversity
Changing demographics of workforce
Internal environment
Changing employee expectations
Building organizational capabilities
Technological advances
Changing psycho-social system
Job design and organizational capabilities
Management of human relations
Change in legal environment and industrial relation
Globalisation
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Editor's Notes
2. Authority without responsibility leads to irresponsible behavior whereas responsibility without authority makes the person ineffective.
5. Without unity of direction, unity of action cannot be achieved
In fact, unity of command is not possible without unity of direction.
