Management involves coordinating activities to achieve objectives. It includes functions like planning, organizing, staffing, directing, and controlling. Management can be viewed as: 1) A resource that integrates other resources like capital and labor. 2) A class or elite group that provides leadership. 3) A system of authority with a hierarchy and delegation of roles. 4) A discipline that is the study of principles and practices for effective management. 5) A process that rationalizes activities through continuous planning, organizing, staffing, directing and controlling.

1. DEFINITION OF MANAGEMENT:
The organization and coordination of the activities of
a business in order to achieve defined objectives.
Management is often included as a factor of production along with machines, materials,
and money. According to the management guru Peter Drucker (1909-2005), the
basic task of management includes both marketing and innovation. Practice of modern
management originates from the 16th century study of low-efficiency and failures of
certain enterprises, conducted by the English statesman Sir Thomas More (1478-1535).
Management consists of the interlocking functions of creating corporate
policy and organizing, planning, controlling, and directing an organization's resources in
order to achieve the objectives of that policy.
The directors and managers who have the power and responsibility to
make decisions and oversee an enterprise.
The size of management can range from one person in a small organization to
hundreds or thousands of managers in multinational companies. In large organizations,
the board of directors defines the policy which is then carried out by the chief executive
officer, or CEO. Some people agree that in order to evaluate a company's current and
future worth, the most important factors are the quality and experience of the managers.
F.W. Taylor – „‟Art of knowing what you want to do and then seeing that it is done the
best and cheepest way”.
Henry Fayol – “To Manage is to forecast, to plan, to organise, to command, to co-
ordinate and to control”.

2. CONCEPT OF MANAGEMENT:
1. Management as an economic resource:
According to an economist, management is one of the factors of production, the other
factors being land, labor, capital and entrepreneurship. In a small enterprise, the owner
may himself act as the manager. But in large corporations, there is a divorce between
ownership and management.
Management is the most active factor of production because it assembles and
integrates the other factors. The efficient use of land and capital depends upon labor
which is in turn governed by management.
Management coordinates the other Ms (manpower, methods, markets, materials,
machinery and money) of an organization and, therefore, it occupies a unique place
among the productive factors as can be seen.
The efficiency of management factor can be improved through training and
development of executives. The importance of management increases with the tempo
of industrialization.
The economic and social development of mankind since the Second World War has
occurred as a result of systematic and purposeful work on developing managers.
We no longer talk of capital and labor but of management and labor. As an economic
resource, management makes a productive enterprise out of physical and human
resources.

3. Efficient management is the most important input in the success of an organization. The
inputs of manpower, materials, machinery and money do not by themselves ensure
growth; they become productive through the catalyst of management.
2. Management as a class or elite:
Sociologists look upon management as a distinct class in society with its own status
system. With the growing importance of organizations and the need for their efficient
management, managers have become a very powerful or elite group in society.
In the words of Peter Ducker, the professional executive has become the key leadership
figure in modern industrial society. As a team or group of persons, management
consists of all those who are responsible for the establishment and accomplishment of
objectives through the direction of others.
These people are individually known as 'managers'. Any person who performs the
managerial job is a manager. Managers have the required knowledge and skills. The
managerial class exercises leadership and coordinates the efforts of human beings.
This class includes various types of managers e.g., family managers, professional
managers, civil servants who manage public enterprises, etc. The management team of
an organization is comprised of all executive right from the chief executive unto the
supervisor.
For instance, the statement that the management of X company is very good refers to
the managers of that company. As a competent class,- managers strike a balance
among diverse interest.

4. 3. Management as a system of authority:
Experts in the field of administration consider management as a system of authority.
According to Her bison and Myers, "management is a rule-making and rule- enforcing
body, and within itself it is bound together by a web of relationships between superiors
and subordinates".
There is a hierarchy of authority among people operating in an organization. Managers
at different levels possess varying degrees of authority. In general, the higher level
managers have the authority to lay down the goals and policies of the enterprise while
those at the lower level are authorized to execute the plans and policies to achieve the
desired goals.
There should be well defined superior subordinate relationships at all levels of decision
making. Management is "a multipurpose organ that manages a business and manages
managers and manages worker and work".
Over the decades there have been different approaches to management authority, e.g.,
authoritarian, humanitarian, constitutional and par-deceptive approach.
4. Management as a separate discipline:
As a field of study or academic discipline, management is an organized body of
knowledge. It is comparatively a new field of learning and is being taught in universities
and institutes of management. Several specialized courses have been developed in
different branches of management.

5. Management discipline is a part of social sciences and humanities. It provides the
principles and practices and a person must learn them in order to become a successful
manager.
Today, management is a very popular subject and there is great rush for admission into
management courses. The growing importance of management discipline has been
described as 'Managerial Revolution'. Management is a young and growing discipline
and its status is likely to increase in the times to come,
5. Management as a process:
As a process, management is a series of inter-related activities by which managers
determine and accomplish goals in organized Endeavour. It is a rational, intellectual,
dynamic and continuous process, common to all organizations. Management is an
important process of coordinating and integrating specialized activities of several
persons for the achievement of common objectives.
It is the process through which all the resources are organized and utilized to attain
maximum output and efficiency through minimum in out. The process of managing
consists of planning (preparing for future), organizing (combining resources), staffing,
directing (guiding and supervising people) and controlling (keeping on the right track) of
human efforts in order to achieve common objectives.
This is the most popular interpretation of the term management because it describes
what managers do. The true character of management can be seen as a process
composed of several elements or functions. Management is what managers do.

6. The different concepts of management described above are not contradictory to one
another. They are merely different ways of looking at management. In fact,
management is a synthesis of alt these view points.
NATURE AND PURPOSE OF STAFFING:
Organizations require the services of a large number of employees. These employees
occupy varies positions in the organization, which is created through the process of
organizing. Each position of the organization makes certain specific contributions to
achieve organizational objective. After planning and organizing the next function of
managers is to perform staffing function. Through staffing function managers fill all the
jobs created by organizing functions. “Staffing consists of manpower planning,
recruitment, selection, training, compensation
THE STAFFING PROCESS
RECRUITING
Job Descriptions
Does a Job Description exist?
Does it need to be updated?
Updated job descriptions protect your CU in several ways and are often used in court
proceeding as evidence.

7. Elements of job description:
Position: Name of Position
Reports to: Direct Supervisor
Status: Exempt or Non-Exempt. In event of Fair Labor Standards Act (FLSA) audit, it
helps to have this specified.
Date: Placing month and year of last revision helps assure that this is the most current
JD.
Elements of job description:
Desirable Qualifications: Qualifications that is desirable but not “required”. I.e. for
some positions, Credit Union experience. If the candidates meet the requirements, you
can justify hiring a person because they have Credit Union experience in addition to
meeting the requirements.
Signatures: Used to verify that upper management agrees with the job as described.
Footer Statement: “Nothing in this job description restricts management‟s right to
Assign or reassign duties and responsibilities to this job at any time”
This statement is a good “disclaimer” that is more specific than the usual requirement
that is listed that states, “Other duties as assigned”.
CLASSIFIED EMPLOYMENT AD:
Writing Employment Ad’s

8. Headline: Attention Grabbing Phrase or Specific Job Title usually “bolded”.
Subhead: (optional) supports Headline. Key requirements or opportunities related to
the position.
The Body: Main section of the ad. Includes a brief description of main job
responsibilities, and specific information about the position, I.e. the required Skills,
Knowledge, Abilities and Experience. Also add specific information relative to the
position, like “position requires travel. Dates and times applicant can apply, or to whom
and where a resume should be sent, is also included here.
Signature: (optional). Identifies the company and features the company name or logo
with address and phone number.
Statement: (optional). This section can include an EOE statement, or “No Phone Calls
Please”.
INTERVIEWING:
The EEOC has suggested that an employer consider the following three questions in
deciding whether to include a particular question on an employment application or a job
interview:
Does this question tend to have a disproportionate effect in screening out
minorities or females?

9. Is this information necessary to judge this individual‟s competence for
performance of this particular job?
Are there alternative non-discriminatory ways to secure necessary information?
Interviewing Questions and Age
Age/date of birth: Generally, age is considered not to be relevant in most hiring
decisions, and therefore, date-of birth questions are improper. Age is a sensitive pre
employment question, because the Age Discrimination in Employment Act protects
employees 40 years old and above. It is permissible to ask an applicant to state his or
her age if it is less than 18. If you need the date of birth for internal reasons, i.e.,
computations with respect to a pension or profit-sharing plan, this information can be
obtained after the person is hired.
Interviewing Questions and Race
Race, religion, national origin: Generally, questions should not be asked about these
matters, either on employment applications or during job interviews. The requirements
that an applicant furnish a picture has been held to help support a claim for race
discrimination when it was demonstrated that an employer never hired a minority
applicant, the theory being the picture was required so that an employer would
remember which applicants were members of minorities. A sexual harassment plaintiff
might similarly argue that the employer pre-screened applicants for physical
attractiveness. Ordinarily, Title VII of the Civil Rights Act of 1964 requires that
employers make reasonable accommodations for their employees „religious practices,

10. thus eliminating the necessity for asking whether an applicant‟s religious beliefs would
prohibit his or her working at certain times and on certain days in most situations.
Interview Questions and Education
Education: If a job for which an application is being made does not require a particular
level of education, it is improper to ask questions about an applicant‟s educational
background. Applicants can be asked about educational background, schools attended,
Degrees earned and vocational training when the performance of a job requires a
particular level of education. For example, inquiring into the English language
proficiency and educational background of a secretarial candidate is proper, while the
same inquiry would probably be improper for a janitorial applicant. The EEOC and some
courts have looked closely at an employer‟s educational requirements to determine
whether they are being used to exclude from employment minorities who, generally-
speaking, have obtained lesser levels of education.
Interview Questions and Citizenship
Citizenship: The anti-discrimination provision of the Immigration Reform and Control
Act provides that an employer cannot discriminate because an applicant is not a U.S.
citizen. Therefore, in order to avoid charges of discrimination under this Act, citizenship
questions should probably be deleted from employment applications. The Form I-9 is
the appropriate place to determine citizenship status instead of the employment
application.

11. Interview Suggestions:
Screening Interviews: Place Ad, Collect Resumes, Create “Screening Interview
Questionnaire” to save time!
Consistency-ensures you ask the same questions of each applicant.
Saves you and applicant valuable timeI.e. applicant is earning 15/hr. you will pay
no more than 11/hr.
Interview strategically…Tie your interview questions to the job description,
seeking a more accurate measure based on the candidate‟s actual experience.
Strategy 1: Ask for a demonstration.
Strategy 2: Ask for Descriptions of Past Experience with Job Barriers. This requires the
interviewer to “know” the specific job barriers.
Strategy 3: Ask for a Description of Behavior in Comparable Situations. An effective
interviewer would ask, “Can you give me an example in which you had several things
that needed to be done at the same time that were of equal importance?
What did you do? You can use non-work experiences to describe this situation.”
Strategy 4: Ask how past Behavior Relates to Performance Expectations. Ask the
question, “Tell me about how your work experience qualifies you for this job”,as
opposed to “Tell me about yourself”. This elicits a response more geared toward
measuring if the individual fits with performance expectations and job requirements.

12. Strategy 5: Ask for Descriptions of Accomplishments. Ask candidates how they meet
competency requirements or how they produce accomplishments for the organization.
“What have you done to make the organization more effective?”
TERMINATING
A Necessary Evil of the HR Function:
“At-Will Employment”
“At-Will” employment means the employer and the employee can terminate
employment at any time for any or no reason. (Of course the employer can‟t
terminate for “illegal reasons”, like discrimination).
But…this does not mean that a terminated employee can‟t sue your Credit Union.
Take the necessary precautions to prevent expensive litigation from occurring.
“Performance Appraisals”
Managers sometime have a tendency to rate staff who is underachievers as
“meets expectations” or “average” in order to “keepthe peace” at the office.
Train and demand that your managers to give honest appraisals to their staff. If
there is a problem, maybe it can be fixed?! If not, there is documentation that a
problem existed and you tried in good faith to fix it.
If you fire Sally (a minority over age 50) for poor performance, and she “meets
expectations” and has no disciplinary documentation in her personnel file….your
CU could stand to be sued in court for a HUGE sum of money.

13. “Documentation and Discipline Policies”
All Disciplinary actions and policy infractions (late, tardy, etc.) should be
documented, dated and (preferably and when appropriate) signed by the
manager and employee.
Perhaps a formal or informal progressive discipline policy may be implemented.
No matter how this is documented, the most important element is
CONSISTENCY! CU‟s need to show a pattern of consistency in executing their
termination procedures.
Make certain you include language in your policies manual and other personnel
documents that does not imply any sort of “employment contract”….I.e. reiterate
the “at-will” disclaimer and avoid contractual language, however small the
implication.