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  2. 2. What is Management ? <ul><li>Management is the process of designing and maintaining an environment in which individuals, work together in groups to accomplish their aims effectively and efficiently. </li></ul><ul><li>Or </li></ul><ul><li>Management is the art of knowing what you want to do and then seeing that it is done in the best and cheapest way. </li></ul>
  3. 3. What is Management? <ul><li>Management is a process. It is a process of carrying out the essential functions of planning, organize, staffing, leading and controlling. </li></ul><ul><li>Management applies to every kind of organization, whether it is government, profit making or non profit making organizations . </li></ul><ul><li>It applies to managers at all levels in the organization. </li></ul><ul><li>The aim of all managers is the same: To create surplus </li></ul><ul><li>Management is concerned with productivity : This implies effectiveness and efficiency. </li></ul>
  4. 5. Management <ul><li>Our own scriptures- the Bhagavad Gita, the Vedas, the epics and even the fables speak a lot on management in detail. For e.g. Sahaviryam Karavavahai (Rig Veda) which means “ Let us get strengthened together by working together ”, underline the true spirit of teamwork in a working environment. </li></ul><ul><li>When things are outside our control , we apply the Indian concept of actions divorced from desire and thus to de-stress the self. Niskhama Karma Yoga states that one must perform one’s own work, without expecting a result(2.47 Sankhya Yoga, Bhagavad-Gita ) </li></ul>
  5. 7. Leadership and Integrity: A Lesson from the Mahabharata <ul><li>After the Mahabharata war is over, while Bheeshma is lying on the bed of arrows waiting for an appropriate time to die, Krishna sends the victorious Yudhishthira to his grandsire to learn about life, about human nature and about leadership from the dying man who was a master of every major branch of knowledge known to man then. He tells an ancient story about Narada and Prahlada. Prahlada the Asura was then emperor of all the three worlds, conquered by the power of his integrity. As it always happens, Indra becomes jealous of Prahlada’s power and feels shaky – there is the threat of losing his throne to someone like the mighty Asura. For the throne of Indra belonged to the man who had the highest character, who performed the most difficult austerities. Indra assumes the form of a Brahmin and goes to Prahlada and serves him as a disciple, with the desire to learn from him the secret of his success. Indra continues to serve Prahlada and eventually the Asura emperor, pleased with the devotion shown and the service rendered, asks his disciple to ask for a boon, not knowing he is Indra. Initially Indra refuses politely, saying that all his desires have been fulfilled. But when Prahlada insists, he asks: “If you are pleased with me, Emperor, please give me your character, your integrity.” Prahlada is shaken by the request, but he grants the boon since he had offered it: after all, that is what a man of integrity does. Indra accepts the boon and goes away. Soon Prahlada sees a dazzlingly lustrous being emerging from his body and leaving him. </li></ul><ul><li>When Prahlada asks him who he is, the being tells him that he is Sheela [Hindi: Sheel . </li></ul><ul><li>Integrity], and he is </li></ul><ul><li>Leaving him because Prahlada has given him away. “I shall now happily live,” Sheela </li></ul><ul><li>adds, “in the Brahmin to whom you have given me away.” </li></ul>
  6. 8. Leadership and Integrity: A Lesson from the Mahabharata <ul><li>Soon Prahlada sees another radiant being emerging from his body. Asked who he is, the being introduces himself as Dharma : virtue and righteousness . After Dharma too leaves him, telling him he is going to join Integrity to live in the body of the Brahmin since he, Dharma, lives only where Integrity is. Soon Prahlada finds another effulgent being emerging from him, this time Satya , Truth , and then another, Vritta , Uprightness , and then yet another Bala , Strength , all leaving him one by one to live in the Brahmin, following Integrity. Following Bala , it is a splendorous goddess that emerges from Prahlada’s body and when asked she tells him she is Shree , the goddess of wealth, prosperity, good fortune and all else that is auspicious. Shree tells Prahlada that she had on her own come and begun living in his body, but now she had no choice but to leave him, because she always followed Integrity, Virtue, Truth, Uprightness and Strength. Answering Prahlada’s question, she also tells him the Brahmin was none other than Indra, Indra has robbed him of his Integrity and where Integrity is not, there can be no Dharma, no Truth, no Morality, no Strength and no wealth, prosperity or good fortune. “dharmah satyam tatha vrttam balam chaiva tathapyaham sheelabhoota mahaprajna sada nastyatra samshayah.” - Mahabharata 12.124.62 “Learns from this story and practice what it says,” Bheeshma tells Yudhishthira </li></ul><ul><li>concluding the story about the importance of integrity to a leader. Yudhishthira sums up the lesson he has learnt from his grandsire: Sheelam </li></ul><ul><li>pradhanam purushe . Integrity is the most important thing in man. </li></ul>
  7. 9. Concept of Management <ul><li>Management as a discipline </li></ul><ul><li>Management as a group of People </li></ul><ul><li>Management as a process </li></ul>
  8. 11. Features of Management <ul><li>Organized activities </li></ul><ul><li>Existence of objectives </li></ul><ul><li>Relationship among resources </li></ul><ul><li>Working with and through people </li></ul><ul><li>Decision making </li></ul>
  9. 12. Functions of Management <ul><li>Planning - It involves selecting missions and objectives and the actions to achieve them. </li></ul><ul><li>Organizing - It involves establishing a structure of roles for people to fill in an organization and ensuring that all the tasks necessary to accomplish goals are assigned to people who can do them best. </li></ul><ul><li>Staffing - It involves the process of filling positions in the organization structure.It involves recruitment, selection,appraisal, training etc. </li></ul><ul><li>Leading - It is influencing of people so that they can contribute to the organization and group goals. </li></ul><ul><li>Controlling - It is measuring and </li></ul><ul><li>correcting of activities of subordinates to </li></ul><ul><li>ensure their conformity . </li></ul>
  10. 13. Management and Administration <ul><li>Various approaches </li></ul><ul><li>Administration is above management; </li></ul><ul><li>Administration is a part of management; </li></ul><ul><li>Management and Administration are same. </li></ul><ul><li>Administration- Administration is that phase of a business enterprise that concerns with the overall determination of institututional objectives and the policies necessary to be followed in achieving those objectives. Management on the other hand is an executive function which is primarily concerned </li></ul><ul><li>with carrying out broad policies laid down by the administration. </li></ul>
  11. 14. Difference between Administration & Management <ul><li>Top level </li></ul><ul><li>Policy formulation & objective determination </li></ul><ul><li>Determinative </li></ul><ul><li>Broad & conceptual </li></ul><ul><li>External factors </li></ul><ul><li>Entrepreneurs & owners </li></ul><ul><li>Administrative </li></ul><ul><li>Middle & lower level </li></ul><ul><li>Policy execution for objective achievement </li></ul><ul><li>Executive </li></ul><ul><li>Narrow & operational </li></ul><ul><li>Mostly internal </li></ul><ul><li>Employees </li></ul><ul><li>Technical </li></ul>Basis of difference Administration Management 1. Level in org. 2. Major focus 3. Nature of functions 4. Scope of functions 5. Factors affecting decisions 6. Employer-employee relation 7. Qualities required
  12. 15. Top Managerial Roles <ul><li> Interpersonal Roles- The leader role, The liaison role(communicating, particularly with outsiders, The figurehead role( performing ceremonial and social duties as the organization's representative. </li></ul><ul><li> Decision Roles- The entrepreneurial role, the disturbance handler role, the negotiator role etc. </li></ul><ul><li>  </li></ul>
  13. 16. Nature of Management <ul><li>Multidisciplinary </li></ul><ul><li>Dynamic Nature of principles </li></ul><ul><li>Relative not Absolute Principles </li></ul><ul><li>Management; Science or Art </li></ul><ul><li>Management as profession </li></ul><ul><li>Universality of Management </li></ul>
  14. 17. Importance of Management <ul><li>Effective utilization of Resources </li></ul><ul><li>Development of Resources </li></ul><ul><li>To Incorporate Innovations </li></ul><ul><li>Integrating Various Interest Groups </li></ul><ul><li>Stability in the society </li></ul>
  15. 18. Evolution of Management thought <ul><li>Though the practice of management can </li></ul><ul><li>definitely be traced back to ancient time say during the era of building huge </li></ul><ul><li>structures like pyramids in Egypt or temples in India or the churches, but the formal </li></ul><ul><li>discipline of management as we find it today evolved only during the later part of </li></ul><ul><li>nineteenth century. </li></ul>
  16. 19. Systems approach to Management <ul><li>Every business organization is a part of industry and has to operate in a given economic system and society. It receives inputs, transforms them and exports the output to the environment. The various inputs are transformed through the managerial functions into outputs. So ,any business must be described as an open system. </li></ul>
  17. 20. System’s approach Inputs Transformation Process Outputs External Environment
  18. 21. Contingency approach <ul><li>Contingency or situational approach is that there cannot be a particular management action which will be suitable for all situations. Rather, an appropriate action is one which is designed on the basis of environment and internal states. </li></ul>
  19. 22. What do you mean by Organizational Behaviour <ul><li>Organizational Behaviour is a field of study that investigates the impact that individuals, groups and structure have on behaviour within organisations, for the purpose of applying such knowledge toward improving an organization’s effectiveness. </li></ul>
  20. 23. Contributing disciplines <ul><li>Organization Behavior. There are </li></ul><ul><li>mainly six disciplines that contribute </li></ul><ul><li>to the body of organizational </li></ul><ul><li>behavior viz. psychology, sociology, </li></ul><ul><li>social psychology, anthropology and </li></ul><ul><li>economics </li></ul>
  21. 25. Models of Organizational Behavior <ul><li>There are 4 models of OB </li></ul><ul><li>Autocratic - The basis of this model is power with a managerial orientation of authority. The employees in turn are oriented towards obedience and dependence on the boss. The employee need that is met is subsistence. The performance result is minimal. </li></ul><ul><li>Custodial - The basis of this model is economic resources with a managerial orientation of money. The employees in turn are oriented towards security and benefits and dependence on the organization. The employee need that is met is security. The performance result is passive cooperation. </li></ul><ul><li>Supportive - The basis of this model is leadership with a managerial orientation of support. The employees in turn are oriented towards job performance and participation. The employee need that is met is status and recognition. The performance result is awakened drives. </li></ul>
  22. 26. Models of Organizational Behavior <ul><li>Collegial - The basis of this model is partnership with a managerial orientation of teamwork. The employees in </li></ul><ul><li>turn are oriented towards responsible behavior and self-discipline. </li></ul><ul><li>The performance result is moderate enthusiasm. </li></ul>
  23. 27. Organizational behavior –Case study <ul><li>Too nice to People </li></ul><ul><li>John has graduated from the college of Business administration at State Universityand has joined his family’s small business, which employees twenty-five semi skilled workers.During the first week on the job, his dad called him in and said: “ John, I’ve had a chance to observe you working with the men and women for the past two days and,although I hate to, I feel I must say something. You are just too nice to people. I know they taught you that human relations stuff at the university, but it just doesn’t work here. I remember when we discussed the Hawthorne studies when I was in school and everybody at the university got all excited about them, there is more to managing people than just being nice to them. </li></ul><ul><li>- </li></ul>
  24. 28. <ul><li>If you were John how would you explain to your father the new perspective that is needed and how the study of organizational behavior will help the business be successful in the new Paradigm? </li></ul>