Organizations exist to help people achieve goals through specialization and collaboration. They come in many forms from businesses seeking profit to non-profits like charities. A business is a type of organization that aims to maximize owners' wealth. Stakeholders are people with an interest in the organization like shareholders, employees, customers and the community. While profit is the primary goal, organizations may have other objectives like social responsibility, market standing and innovation. Management involves coordinating people and resources to achieve goals through planning, organizing, leading and controlling. Marketing identifies and supplies customer needs to facilitate exchanges between buyers and sellers.

1. Organization:
A social arrangement for the controlled performance of collective goals, which
has a boundary separating it from its environment.
Profit-oriented – A multinational car manufacture, An accounting firm,
Not-for-profit – A charity, A trade union, A local Authority, An army, A club,
Why do organizations exist?
Organizations exist because they:
 Overcome people’s individual limitation,
 Enable people to specialize
 Save time
 Accumulate and share knowledge
 Enable people to pool their expertise
 Enable synergy
In brief, organizations enable people to be more productive.
How do organizations differ?
Organizations differ in many ways.
1) Ownership -
2) Control
3) Activity
4) Profit or non-profit orientation
5) Size
6) Legal status
7) Sources of finance
8) Technology
Differences in what organizations do:
Organizations do many different types of work:
1) Agriculture
2) Manufacturing
3) Extractive/raw material
4) Energy
5) Retailing/distribution
6) Intellectual production
7) Service industries
Business:
An organization (however small) that is oriented towards making a profit for
its owners so as to maximize their wealth and that can be regarded an entity
separate from its owners.
Stakeholder:
Literally, a person or group of persons who has a stake in the business. This
means that they have an interest in respect of what the organization does and
how it performs.

2. Stake holder in a
business
What is stake?
What do they
typically expect
of the business?PRIMARY
STAKEHO
LDER
Shareholder
SECONDARYSTAKEHOLDER
Directors/Managers,
Employee and
Trade union
Customers
Suppliers and other
business partners
Lenders
Government and its
agencies
The local
community and the
public at large
The natural
environment
Social responsibility.
There are wider wider areas of social responsibility of which the must take
account:
 The impact of its operations on the natural environment
 Its human resource policy
 Non-reliance on contract with adverse political cononations
 Charitable support and activity
 Above-minimum (legal) standards of workplace health or safety
What are the business’s objectives?
Every business has a hierarchy of objectives, from its primary objective down to its
supporting objectives. Together these form multiple objectives.
In fact, however, there is hierarchy of objectives, with one primary objective and
series of secondary subordinate objective which should combine to ensure the
achievement of the primary objective.
Primary Objective
-Profit
Secondary Objectives
- Market Position

3. - Product Development
- Technology
- Employee and management
Is wealth maximization always the primary objective?
1) Profit Satisficing
2) Revenue maximization
3) Multiple objectives
- Market Standing
- Innovation
- Productivity
- Physical and financial resources
- Profitability
- Manager performance and development
- Worker performance and attitude
- Social responsibility
4) Constraints theory
- Staff relations or environmental protection
- To satisfy customers
Mission:
‘The business’s basic function in society’, is expressed in terms of how it
satisfies its stakeholders.
Elements of mission:
1) Purpose
2) Strategy
3) Policies and standards of behavior
4) values
Goals:
‘The intentions behind decisions or actions’ or ‘a desired end result’. Goals give flesh
to the mission.
There are two types of goals:
1) Non-operational, qualitative goals (aims)
2) Operational, quantitative (objectives)
Characteristics of operational goal (objectives):
Objectives should be SMART
S – Specific
M – Measurable
A - Achievable
R - Reasonable
T - Time-bound
Purpose of setting operational objectives in a business.
Objectives should enable management to:
 Implement the mission
 Publicize the direction to managers and staff,

4.  Appraise the validity of decisions,
 Assess and control actual performance,
What is management?
Management is ‘getting things done through other people’.
What is governance?
The system by which businesses are directed and controlled.
Power:
The ability to get thing done.
French and Raven classified power into six types or sources:
1) Coercive power
2) Reward (or resource) power
3) Legitimate (or position) power
4) Expert power
5) Referent (or personal) power
6) Negative power (Handy)
Authority:
The right to do something, or to ask someone else to do it and expect it to be done.
Authority id thus another word for position or legitimate power.
Responsibility:
Accountability:
Delegation:
Types of manager:
1) Line manager,
2) Staff manager,
3) Functional manager,
4) Project manager,
The management Process:
1) Planing,
2) Organizing,
3) Controlling,
4) Leading,
Marketing:
The set of human activities directed at facilitating consummating exchanges. It
therefore covers the whole range of a business activities.
Or

5. The management process which identifies, anticipates and supplies customer
requirement efficiently and properly.
A customer, who purchases and pays for a good or service.
A consumer, who is the ultimate user of the good or service

6. The management process which identifies, anticipates and supplies customer
requirement efficiently and properly.
A customer, who purchases and pays for a good or service.
A consumer, who is the ultimate user of the good or service