Management 101 DIRECTING Paula Christian Sunga Paolo Cruz Sunga Aizell Bernal Group 2Professor: Mrs. Elizabeth Aragon
OUTLINEI. Directing• Definition of DirectingII. Importance of DirectingIII. Characteristics of Directing •Pervasive Function •Continuous Activity •Human Factor •Creative Activity •Executive Function •Delegate FunctionIV. Elements of Direction •Communication •Supervision •Motivation •Leadership
V. Maslow’s Theory of Motivation - Hierarchy of Needs •Self-Actualization •Esteem •Social •Safety •PhysiologicalVI. Power and Influence in Organization •Classification of Power 1. Legitimate Power 2. Expert Power 3. Referent Power 4. Reward Power 5. Punishment Power 6. Relationship PowerVII. Directing and LeadershipVIII. Case Study
Directing•Directing- is the process through which amanager communicates with and influencesother members of the organization in the pursuitof company objectives.•Directing is said to be the heart ofmanagement process.
•Importance of Directing•It guides and helps the subordinates to completethe given task properly and as per schedule.•It provides the necessary motivation tosubordinates to complete the work satisfactorilyand strive to do the best.•It helps in maintaining discipline andrewarding those who do well.•Directing involves supervision.
•Different people perform differentactivities in the organization.•Directing involves leadership thatessentially helps in creating appropriatework environment and build up team spirit.
1. Communication Elements 2.3. Motivation of Supervision Direction 4. Leadership
Communication- is a basic organizationalfunction, which refers to the processby which a person (known assender) transmits information ormessages to another person(known as receiver).
Importance of CommunicationCommunication helps employees to understand theirrole clearly and perform effectively•It helps in achieving co-ordination and mutualunderstanding which in turn, leads to industrialharmony and increased productivity.•Communication improves managerial efficiencyand ensures cooperation of the staff.
•Effective communication helps in moldingattitudes and building up employees’ morale•Communication is the means through whichdelegation and decentralization of authority issuccessfully accomplished in an organization.
Types of Communication1. Formal and Informal Communication2. Verbal and Non-verbal Communication non-verbal gestural oral written communicat communicati ion on
•Supervision After the employees have beeninstructed regarding what they have to doand how to do, it is the duty of the managerto see that they perform the work as perinstructions.
Functions of Supervisor•Clarifies orders and instructions issued tosubordinates and ensures that they haveunderstood and follow these fully.•Ensures that subordinates have therequired facilities to perform their jobs.•Keeps a watch and guides the activities ofsubordinates in performing their jobs.
•Broadens the horizon of his subordinates bymaking them aware of the wider aspects oftheir day-to-day work•Coordinates the work of differentsubordinates under him.•Detects errors and omissions and ensurestheir rectification.
•Motivation Motivation is one of the importantelements of directing. It requires manager to inspire or inducethe employees to act and get the expectedresult.
Importance of Motivation•With proper motivation there can be maximumutilization of the factors of production like men,money, material etc.;•If employees are motivated it will reduceemployee turnover and absenteeism.•Motivation helps in reducing the numberof complaints and grievances.
•Leadership-is the ability to persuade and motivateothers to work in a desired way for achievingthe goal.-is the process, which influences the peopleand inspires them to willingly accomplishthe organizational objectives.
Importance of Leadership•Leadership improves the performance of theemployees.•With continuous support and guidance,•With friendly and cooperative efforts
•Maslow’s Theory of Motivation –Hierarchy of Needs
•Physiological Needs -are those required to sustainlife, such as: Air Food & Water Sleep Physiological Needs
•Safety Needs -in order to be free from the threat of physical and emotional harm. Such needs might be fulfilled by: •Living in a safe area •Medical insurance •Job security •Financial reserves
•Social Needs -are those related to interaction with others and may include:
•Esteem Needs Internally motivating esteem needs are those such as self-esteem, accomplishment, and self respect. External esteem needs are those such as reputation and recognition •Recognition (external motivator) •Attention (external motivator) •Social Status (external motivator) •Accomplishment (internal motivator) •Self-respect (internal motivator)
•Self-Actualization -It is about the quest of reaching ones full potential as a person.
•,Applying Maslows Needs Hierarchy -Business Management Implications•Physiological Motivation: Provide ample breaksfor lunch and recuperation and pay salaries thatallow workers to buy lifes essentials.•Safety Needs: Provide a workingenvironment which is safe, relative jobsecurity, and freedom from threats.
•Social Needs: Generate a feeling ofacceptance, belonging, and community byreinforcing team dynamics.•Esteem Motivators: Recognizeachievements, assign important projects, and providestatus to make employees feel valued andappreciated.•Self-Actualization: Offer challenging andmeaningful work assignments which enableinnovation, creativity, and progress according tolong-term goals.
Power and Influence in Organization Power has been defined as the potential to influence the actions of another person in the direction desired by the influencer.1. Legitimate Power – This power comes by virtueof a person’s occupying a position in an organization2. Expert Power – This is capacity to influence whicharises from expert knowledge that the influencer has.
3. Referent Power – This is power that comes byvirtue of some personal characteristic (“Charisma”)of the person which others identify with.4. Reward Power – This is power that comes byvirtue of a person’s ability to give or withholdresources which are valued by others.5. Punishment Power – this is power whichcomes from the capacity to deprive a person ofsomething of value.
6. Relationship Power – This is power whichcomes from a system of informal personalobligations which has been built up betweenpeople.
•Directing and LeadershipThe discussion of position and non-positionbased influence in an organization opensthe way to a discussion of manager’sleadership function and style.
On April 2, 1990, Mr. Rene Roces, Vice President forFinance of Metro Manila University (MMU), wasreading the Balance Sheet of March 1990. This wasthe first time that quarterly financial statements wereprepared for MMU- a handiwork of Mr.Aragon, recently appointed Vice President forAdministration.
While reviewing the financialstatements, however, Mr. Roces noticed that thecash balance was about 50 million so heimmediately called Mr. Aragon to a meeting. “Whyshould the University hold such a large amount ofcash? Shouldn’t we invest more in Treasury billsthat yield at least 5% more than savingsaccounts, Mr. Roces asked. Mr. Aragon wassurprised by this question and being relatively newon the job, requested some time to study the matter
MR. ARAGON Roy Aragon, 32 years old, was a graduate ofMMU. He had been teaching in the College ofEngineering for ten years until he was appointedVP for Administration upon the retirement of theprevious incumbent in December, 1989.
Being somewhat young to be Vice President atMMU, he took his new duties seriously. Among theinnovations he had pushed for was the preparationof quarterly financial statements of MMU.Previously, the financial statements of theuniversity were prepared only at the end of theyear.
MEETING WITH CHIEF ACCOUNTANT ANDCASHIER Mr. Aragon decided to hold a meeting withthe Chief Accountant and the Cashier concerningthe cash problem. The two officers were olderthan Mr. Aragon and had served MMU longer.During his first months on the job, Mr. Aragon wasimpressed by his two subordinates whom hefound to be independent minded, professional,and very knowledgeable about the financial affairsof MMU.
During the meeting, the Cashier explained thatfunds were kept in savings accounts and not inhigher yielding securities like Treasury Billsbecause the latter felt that he needed to keepcash for unforeseen payments. According to theCashier, the academic units are allocated theirbudgets at the start of the year. “Once they gettheir budgets, they assume that we have the cashto be spent by them anytime,” the Cashiercontinued.
The Chief Accountant, however, informed Mr.Aragon that cash disbursements for certainaccounts had a more or less regular pattern. “Forexample, Trust funds for Scholarships andProfessorial Chairs should be invested in higheryielding securities because these funds havedefinite schedules for payment,” the ChiefAccountant said.
The Cashier did not argue with the ChiefAccountant’s statement, yet the former insistedthat cash disbursements are impossible to predictso that funds should not be “locked-in”investments in securities even for 30-day period.“The practice of keeping our funds in a savingsaccount is a long standing practice and Mr. Tirona(Aragon’s predecessor) had never complainedabout it,” the Cashier said.
Since it was getting late and no agreementappeared in sight, Mr. Aragon decided to adjournthe meeting and continue discussion on the matterat another meeting the following week.
After the Cashier and the Chief Accountant had leftthe room, Mr. Aragon wondered why the Cashierwas objecting to the idea of investing part of theUniversity’s funds in higher yielding securities, anidea which he personally considered to bemeritorious.
Mr. Aragon realized that as Vice President forAdministration, he had the authority to makechanges in the cash management practices ofMMU. At the same time, he realized that theCashier was one of the most senior and highlyrespected members of management at MMU. Hewas not sure what he would do if the Cashiercontinued to object to the proposed change in thecoming second meeting.