9. Difference between Administration and
Management
ADMINISTRATION
• Concerned with board
policy formation.
• Plan resources
• More concerned with rules
and regulation.
• Based in national level
rules, regulation and policy
MANAGEMENT
• Execution of policy
• Process of putting
administration into practice
• Less concerned with rules
and regulation
• Most concerned at unit level.
10. ADIMINISTRATOR
• Person who holds the administration is called
administrator.
• Administrator is a person through which the
work is done by people.
11. LEADERSHIP
Leadership is the ability to
mobilize the group towards the
achievement of purpose/goals
thought the authority and
responsibility.
12. LEADERSHIP
• Leadership is the activity to persuade
others to seek defined objectives
enthusiastically.
• It is the human factor which binds a
group together and motivate it towards
goals
Keith Davis
13. MANAGER
Manager is the leader who works in an organization,
and helps to get work done effectively through the
other people.
14. LEADER
leader is a person who leads the group of
people to achieve desired goal.
15. CONCEPT OF MANAGEMET
• Functional Concept
• 'Getting Things Done Through Others' Concept
• Leadership and Decision-making Concept
• Productivity Concept
• Universality Concept
16. FUNCTIONAL CONCEPT
• According to this concept 'management is
what a manager does'.
• James L. Lundy, " Management is
principally the task of planning,
coordinating, motivating and controlling
the effort of others towards a specific
objective. Management is what manager
does. It is the task of planning, executing
and controlling."
17. 'GETTING THINGS DONE THROUGH OTHERS'
CONCEPT:
• According to this concept, 'Management is the art of
getting things done through others'.
• very narrow and traditional concept of management.
18. 'GETTING THINGS DONE THROUGH OTHERS'
CONCEPT:
Under this concept,
• the workers are treated as a factor of production only
• and the work of the manager is confined to taking
work from the workers.
• He need not do any work himself.
19. 'GETTING THINGS DONE THROUGH OTHERS'
CONCEPT:
• Modern management experts do not agree with
this concept of management.
20. LEADERSHIP AND DECISION-
MAKING CONCEPT:
• According to this concept,
"management is an art and science of
decision-making and leadership.“
• Most of the time of managers is
consumed in taking decisions.
Achievement of objects depends on the
quality of decisions.
21. LEADERSHIP AND DECISION-
MAKING CONCEPT:
• Similarly, production and
productivity both can be increased
by efficient leadership only.
22. PRODUCTIVITY CONCEPT
• According to this concept,
"management is an art of increasing
productivity.“
• Economists treat management as an
important factor of production.
• According to them, "Management is
also a factor of production like land,
labour and capital .“
23. PRODUCTIVITY CONCEPT
• F. W. Taylor, "Management is the art of knowing
what you want to do in the best and cheapest way."
24. UNIVERSALITY CONCEPT
• According to this concept, "Management is
universal".
• Management is universal in the sense that it is
applicable anywhere whether social, religious or
business and industrial.
25. UNIVERSALITY CONCEPT
• According to- Henry Fayol, "Management is an
universal activity which is equally applicable in all
types of organization whether social, religious or
business and industrial".
26. IMPORTANCE OF MANAGEMENT
1. Goals achievement
• Management creates team-work and coordination in
the group for the achievement of the goal.
27. IMPORTANCE OF MANAGEMENT
2. Optimum utilization of resources
• Managers forecast the need for materials, machinery,
money and manpower.
• ensure that the organisation has adequate resources
and at the same time does not have idle resources
28. IMPORTANCE OF MANAGEMENT
3. Minimization of cost
• Management directs day-to-day operations in such a
manner that all wastage are avoided.
4. Survival and growth
• Management keeps in touch with the existing
business environment
• draws its predictions about the trends in future.
• It takes steps in advance to meet the challenges
29. IMPORTANCE OF MANAGEMENT
5. Generation of employment
• By setting up and expanding business enterprises,
managers create jobs for the people.
6. Development of nation.
• Management is the most crucial factor in economic
and social development.
• The development of a country largely depends on
the quality of the management
30. FUNCTIONS OF MANAGEMENT
The functions of management are as follows.
• Planning
• Organizing
• Staffing
• Directing
• Coordinating
• Controlling
• Reporting and recording
• Budgeting
31. 1. PLANNING:
• Planning means to decide in advance
what is to be done.
• It charts a course of actions for the
future.
• It is setting goals and deciding how
best to achieve them.
32. Good planning
• Achieve organizational objectives
• develops alternative approaches to meet
these objectives.
• Helps to eliminate the future uncertainty
and chance.
• Helps to gain economical operations
33. Good planning
• Facilitates co-ordination.
• Helps to facilitate control.
• Dictates those activities to which
employers are directed.
34. 2. ORGANIZING:
• determining how to group
activities and resources.
• differentiating and coordinating
activities to carry out the plan.
35. 2. ORGANIZING:
• It is establishing a structure.
• All the task necessary to achieve
goals are assigned to position and
people who can do them best.
36. Organising involves:
• Defining task required to achieve
goals.
• Grouping the task in departments.
• Designing a structure.
• Establishing authority and
responsibility
• Coordinating tasks to achieve
harmony.
37. 3.STAFFING
• Staffing is the selection, training,
motivating and retaining of a personnel
in the organization.
• Before selection we have to make
analysis of the particular job, which is
required in the organization then comes
the selection of the personnel.
38. 3.STAFFING
• It involves manpower planning to
have the right person in the right
place and avoid “square peg in the
round hole”.
39. 4. Directing
Directing means the issuance of
• orders,
• assignments and
• instructions that permit the subordinate
to understand what is expected of him.
• Guidance and overseeing of the
subordinate so that he can contribute
effectively and efficiently to the
attainment of organizational objectives.
40. 4. Directing
Directing includes the following activities:
• Giving orders
• Making supervision
• Leading
• Motivating
• Communicating
41. 5. COORDINATING:
• It is the act of bringing people and activities together so that
they function smoothly in the attainment of organization
objectives.
• "Co-ordination is the integration of several parts into an
orderly whole to achieve the purpose of undertaking"
43. 6. CONTROLLING:
• Controlling can be defined as monitoring and correcting
ongoing activities to facilitate goal achievement.
• The control function involves four steps.
– Establishments of standards.
– Measuring performance
– Comparing the actual results with the standards.
– Correcting deviations from standards.
44. 7. REPORTING AND RECORDING:
• Reports are oral or written exchanges of information
shared between workers in a number of ways.
• A report summarizes the services of the person and of
the agency.
• Reports are written usually daily, weekly, monthly or
yearly.
45. Purposes of reporting:
• To show the kind and amount of services rendered over a
specified period.
• To illustrate progress in reaching goals.
• As an aid in planning.
• Records and reports must be accurate, complete, current
organized and confidential.
46. 8. BUDGETING:
• Budgeting is expressed in financial terms and based on
expected income and expenditure.
• Budget is the heart of administrative management.
Features of budget:
• Should be flexible.
• Should be product of joint venture & cooperation of
executives/ department heads at different levels of
management.
• It should be in the form of specific numerical terms.
48. Fayol divided all the work carried out in a business enterprise
into the following categories.
• Technical activities (production, manufacture, etc)
• Commercial activities (buying, selling and industrial relations)
• Financial activities ( to have optimum use of capitals)
• Security activities
• Managerial activities (planning organizing, commanding,
directing, coordination control, communication, motivation
.leadership
49. PRINCIPLE OF MANAGEMENT
Division of work:
• Work should be categorized to specific
jobs (managerial and non managerial)
and should be assigned to specific
individuals.
50. PRINCIPLE OF MANAGEMENT
Authority, responsibility and accountability:
• Each workers should be given authority according
to the degree of his/her responsibility and should
be held accountable.
• Without authority one cannot discharge
responsibility
51. Discipline:
• It is the observance of the rules,
regulations, norms, manners, code of
ethics and respect.
• This has to be enforced and requires
good supervisors at all levels.
53. Unity of direction:
• Similarly there should be one superior
to give direction for the sets of activities
having the same objectives.
Centralisation of authority:
• Refers to greater and larger authority
resting with the top management level.
54. Scalar chain of command :
• There should be an unbroken
scalar chain of authority and
communication extending from
the top executive to the lowest
level worker.
55. Remuneration of personnel:
• There should be a fair policy of
payment to the staff, justifying the
workload, job hazards, efficiency and
quality of performance.
56. Stability of tenure:
• The employee requires assurance about
permanent nature of work, resulting in
a feeling of security and involvement
in work.
57. Initiative:
• Employees should be given opportunities for use of
creative ideas in their work.
Subordination Of individual interest to organization
interest.
• The individual must sacrifice some self interest in the
overall interest of the organization and society.
58. Equity:
• Loyalty and devotion must be elicited from personnel
by combination of impartiality, kindness and justice
on the part of managers, when dealing with
subordinates.
Order:
• Refers to a systematic arrangement of materials,
supply and equipment according to requirement of
specific job departments and placement of people in
the organization.
59. “Espirit de corps’ :
• There should be a sense of belonging, a team spirit
that is necessary for attaining the organizational
objectives.
60. SCOPE OF MANAGEMENT
It consists of the following functional areas:
(i) Production Management:
• to produce the right goods, in right quantity, at the
right time and at the right cost.
• it deals with aspects such as production planning,
quality control and inspection, production control
techniques, etc.
61. (ii) Marketing Management:
• refers to the identification of consumers needs
and supplying them the goods and services which
can satisfy these wants.
62. It involves the following activities:
(a) marketing research to determine the needs and
expectation of consumers
(b) planning and developing suitable products
(c) setting appropriate prices
(d) selecting the right channel of distribution,
(e) promotional activities like advertising and salesmanship
to communicate with the customers
63. (iii) Financial Management:
• seeks to ensure the right amount and type of funds to
business at the right time and at reasonable cost.
64. It comprises the following activities:
(a) estimating the volume of funds required
(b) selecting the appropriate source of funds
(c) raising the required funds at the right time
(d) ensuring proper utilisation and allocation of raised funds so as
to maintain profitability of business,
66. It consists of the following activities:
(a) manpower planning
(b) recruitments,
(c) selection,
(d) training
(e) appraisal,
(f) promotions and transfers, etc