Chapter_1_Introduction_to_Management_Cop

1. MGT 162
FUNDAMENTAL OF
MANAGEMENT
CHAPTER 1:
INTRODUCTION TO MANAGEMENT
PREPARED BY: KHAIRIAH MAZDIAH BT
KALIMIN

2. CHAPTER 1: INTRODUCTION OF
MANAGEMENT
Learning Outlines
 1.1 Definition of management and organization
 1.2 Measuring managerial performance
 1.3 Management process, functions and
activities
 1.4 Managerial levels, skills and roles
 1.5 Evolutions of management thoughts

3. ORGANIZATION
Made up from 2 or
more people
that is goal
directed and
deliberately
structured
1.1 DEFINITION OF MANAGEMENT AND
ORGANIZATION
MANAGEMENT
The process of
planning,
organizing,
leading and
controlling
resources to
achieve
organizational
goals effectively
and efficiently.

4. RESOURCES
HUMAN
FINANCIAL
PHYSICAL
INFORMATIO
N

5. 1.2 MEASURING MANAGERIAL
PERFORMANCE
EFFICIENCY
- The ability to get things done correctly
- Doing things right
- Ex: minimize the cost, input- ouput concept
EFFECTIVENESS
- Ability to choose appropriate objectives
- Doing the right things
- Ex: Goal attainment

6. 1.3 MANAGEMENT PROCESS,
FUNCTIONS AND ACTIVITIES
PLANNING
- Defining goals,
establishing strategy, and
developing plans to
coordinate activities
ORGANIZING
- Determine what task,
who & how, who report to
whom & where decision
to be made
LEADING
- Motivating, select
effective communication
channels & resolving
conflict
CONTROLLING
- Monitoring activities and
correcting any significant
deviation

7. 1.4 MANAGERIAL LEVELS,
SKILLS AND ROLES

8. MANAGERIAL LEVEL

9. 1. First-line managers/ lower level manager
- Direct operating employees only, they do not
supervise other managers.
2. Middle manager
- Direct the activities that implement their organization
policies
- Balance the demands of their superiors with the
capacity of their subordinates.
3. Top managers
- Responsible for the overall management of the
organization.
- Establish operating policies & guides the
organization’s interactions with its environment.

10. MANAGERIAL SKILL

11.  What is Role?
- The behavior that is expected in a particular
situation.
ROLE OF MANAGERS
Interpersonal
roles
•Figurehead
•Leader
•liaison
Informational
Roles
•Monitor
•Disseminator
•Spokesperson
Decisional
roles
•Entrepreneur
•Disturbance
Handler
•Resource
Allocator
•Negotiators

12. FACTOR INFLUENCING MANAGEMENT THOUGHTS
1.5 EVOLUTION OF MANAGEMENT
THOUGHTS
Economic Influences
The availability, production,
and distribution of resources
within a society.
Social Influences
The aspects of a
culture that influence
interpersonal
relationships.

13.  Political Influences
 The impact of political institutions on
individuals and organizations.
 Technological Influences
 The advances and refinements in any
of the devices that are used in
conjunction with conducting business.
 Global Influences
 The pressures to improve quality,
productivity, and costs as
organizations attempt to compete in

14. Chronological Development of
Management Perspectives

15.  Classical approach to management
resulted from the first significant, concentrated
effort to develop a body of management
thought. Management writers who participated
in this efforts are considered the pioneer of
management study
A) CLASSICAL PERSPECTIVES

16. Subfields of the Classical Perspective on Management
Focuses on the
individual worker’s
productivity
Focuses on the
overall organizational
system
Focuses on the
functions of
management

17.  Introduced by Frederick Winslow Taylor.
 Focus on increasing the efficiency of production
processes in order to enhance organizational
productivity.
 Introduced differential rate compensation system
whereby more productive workers received a
higher pay rate.
Scientific Management

18.  Three areas of focus:
 Task Performance
 Supervision
 Motivation
Continue…

19.  Henri Fayol (1841–1925)
 First recognized that successful managers had to
understand the basic managerial functions.
 Developed a set of 14 general principles of
management.
 Fayol’s managerial functions of planning, leading,
organizing and controlling are routinely used in
modern organizations.
 To find the principles and guidelines for determining
how to manage systematically and effectively.
Administrative management

20.  Focuses on the overall organizational system.
 Bureaucratic management is based upon:
 Firm rules
 Policies and procedures
 A fixed hierarchy
 A clear division of labor
Bureaucratic management

21.  Followed the classical perspective in the
development of management thought.
Acknowledged the importance of
human behavior in shaping
management style
Is associated with:
Elton Mayo
Douglas McGregor
Mary Parker Follet
Chester Barnard
B) BEHAVIORAL PERSPECTIVE

22. • Characterized by its use of mathematics,
statistics, and other quantitative
techniques for management decision
making and problem solving.
• This approach has four basic
characteristics:
1. A decision-making focus
2. Development of measurable criteria
3. Formulation of a quantitative model
4. The use of computers
C) QUANTITATIVE APPROACH

23.  Decision-Making Focus
 The primary focus of the quantitative approach is on
problems or situations that require direct action, or a
decision, on the part of management.
 Measurable Criteria
 The decision-making process requires that the
decision maker select some alternative course of
action.

24.  Quantitative Model
 To assess the likely impact of each alternative on
the stated criteria, a quantitative model of the
decision situation must be formulated.
 Computers
 Computers are quite useful in the problem-solving
process.

25.  Views the organization as a unified, directed
system of interrelated parts.
 The systems sees each change in a part of the
system as having an impact on all others parts.
 The system helps managers to realize that every
action has consequences somewhere inside as
outside the organization.
D) SYSTEM PERSPECTIVE

26.  A view that proposes that there is no one best
approach to management for all situations.
 Asserts that managers are responsible for
determining which managerial approach is likely to
be most effective in a given situation.
 This requires managers to identify the key
contingencies in a given situation.
E) CONTINGENCY
PERSPECTIVE

27. THE END