Directing And Controlling-Foundation Course Semester 4- Prof. Karishma Shetty

PROF. KARISHMA SHETTY
DIRECTING
AND
CONTROLLING

DIRECTING

MEANING /CONCEPT OF DIRECTION/DIRECTING:
▸ Directing is the most lively element in the management process which initiates actions to translate the
decisions into concrete/meaningful activities.
▸ Directing is interpersonal aspect of managing which seeks to put human beings into action through leadership,
communication and motivation.
▸ Directing involves determining the course of action issuing instructions, offering guidance to subordinates and
providing suitable leadership to them.
▸ Directing is a comprehensive function and involves leading, influencing and motivating employees to perform
essential tasks. This suggests that motivation, leadership, communication and supervision are four different
aspects covered by direction function of management.
▸ Direction/Directing is an important managerial function. It means telling subordinates what to do and seeing
that they do it to the best of their ability. For this, motivation and leadership are useful.
▸ An organization will not work efficiently unless proper directions/guidelines are given to employees working in
different departments. A supervisor has to give proper instructions to his subordinates and guide them
properly.
▸ Due to such instructions and guidance, the skills and capacity of subordinate will improve and he will complete
the work precisely as per the expectation. Thus directing creates confidence in the mind of subordinate
employees and also raises their morale.
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“
▸ According to Koontz and O'Donnell, directing is
"the interpersonal aspect of managing by which
subordinates are led to understand and contribute
effectively to the attainment of enterprise objectives."
▸ According to Marshall E. Dimock,
"The heart of administration is the directing function
which involves determining the course, giving orders
and instructions and providing dynamic leadership."
4
DEFINITIONS OF DIRECTION/DIRECTING:

IMPORTANCE OF DIRECTING:
▸ Helps To Get Work Done
▸ Helps To Achieve Objectives
▸ Helps To Create Proper Environment
▸ Helps To Initiate Action
▸ Helps To Motivate Employees
▸ Helps To Manage Change
▸ Helps To Achieve Coordination
▸ Helps To Achieve Discipline
▸ Helps To Achieve Growth
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PRINCIPLES OF DIRECTING:
▸ Principle of Harmony of Objectives
▸ Principle of Maximum Individual Contribution
▸ Principle of Unity of Command
▸ Principle of Use of Appropriate Techniques
▸ Principle of Direct Supervision
▸ Principle of Strategic Use Of Informal Organization
▸ Principle of Meaningful Managerial Communication
▸ Principle of Comprehension/Correct Understanding by Subordinates
▸ Principle of Effective Leadership
▸ Principle of Continuity in Directing

LEADERSHIP

MEANING OF LEADERSHIP
8
The terms leading and directing are closely related.
While directing, the executives/ managers have to give guidance, instructions and
directions to his subordinates. For effective communication with the subordinates,
an executive needs the qualities of leadership. He has to act as a leader of his
subordinates and see that they work properly. For this motivation, communication
and controlling are required. This comes within the scope of leading.
Thus, leading means guiding people and influencing them in a positive way. It is
the liveliest element in the management process.
It initiates actions to translate the decisions into concrete actions.
The purpose of leading is to get the work done from others i.e. from the
subordinates.
Leading is the process of influencing group activities toward goal setting and goal
achievement. Leadership is followership.

“
▸ According to Koontz and O'Donnell, "leadership
is the ability of a manager to induce
subordinates to work with confidence and zeal.“
▸ According to George Terry, "Leadership is the
activity of influencing people to strive for
mutual objectives."
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DEFINITIONS OF LEADERSHIP:

PROF. KARISHMA SHETTY 10
LEADERSHIP TRAITS:
A leader needs sound health and physical capacity to perform his
functions in an efficient manner. In addition to physical qualities, an
ideal leader needs certain qualities of head and heart. Followers
consistently admire leaders who are honest, competent, inspiring,
credible and forward looking. The main qualities include:
1) Personal Traits
2)Managerial Traits

PERSONAL TRAITS
 Self Confidence
 Initiative And Innovative
 Charisma
 Emotional Maturity
 Intelligence
 Decisiveness
 Effective Communicator
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 Dynamic Personality
 Vision And Foresight
 Flexibility
 Acceptance Of Responsibility
 Optimism
 Accountability
 Empathy

MANAGERIAL TRAITS
 Knowledge Of Human Skills
 Administrative Ability
 Technical Knowledge
 Ability to Deal With People
 Ability to Judge and Decide Quickly
 Altered Approach
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LEADERSHIP TRAITS
PERSONAL TRAITS
INITIATIVE AND INNOVATIVE
CHARISMA
EMOTIONAL MATURITY
INTELLIGENCE
DECISIVENESS
EFFECTIVE COMMUNICATOR
DYNAMIC PERSONALITY
VISION AND FORESIGHT
FLEXIBILITY
ACCEPTANCE OF RESPONSIBILITY
OPTIMISM
ACCOUNTABILITY
EMPATHY
SELF CONFIDENCE
MANAGERIAL TRAITS
ADMINISTRATIVE ABILITY
TECHNICAL KNOWLEDGE
ABILITY TO DEAL WITH PEOPLE
ABILITY TO JUDGE AND DECIDE QUICKLY
ALTERED APPROACH
KNOWLEDGE OF HUMAN SKILLS

POINTS MANAGER LEADERSHIP
MEANING A manager is responsible for the
execution of work performed by others to
achieve business objectives.
A leader influences people towards the
attainment of organizational goals.
RELATIONSHIP There is manager-managed relationship
which arises within the organization
A leader can emerge anywhere e.g.: a crowd
can have a a manager or an informal group
within the organizational can have a leader.
AUTHORITY A manager commands authority provided
by the organization
A leader does not enjoy authority but get
power from his followers
ACCOUNTABILITY A manager remains accountable for his
behaviour of those managed by him
A leader is accountable for his own behaviour
only and not for the behaviour of his followers.
SANCTIONS A manager can allocate and distribute
sanctions like promotion and awards.
A leader can provide informal sanctions mainly
to satisfy his ego needs.
FUNCTIONS A manager undertakes managerial
functions such as planning, organizing,
directing, etc.
A leader performs the function of guidance
and motivation to followers.
SCOPE Managership has wider scope because it
includes leadership.
Leadership is a managerial function and its
scope is narrow.
DEPENDENTS Managers have subordinates Leaders have followers.

LEADERSHIP STYLES
According to Edwin Flippo, style of leadership is "a pattern of behaviours designed to integrate
organisational and personal interest in pursuit of some objectives". Basically, the styles of leadership can
be divided into two broad groups. These are:
(a) Task-oriented styles,
(b) People-oriented styles.
(a) In the task oriented leadership styles, more importance given to getting the work done by subordinates.
Task-oriented leaders are interested in the completion of work and do not give importance/attention to
subordinates or their desires, interests and so on. Dictatorial leader and autocratic leader are the examples
of this category.
(b) People-oriented style of leadership is basically democratic. Here, the leader give importance to the
interests, thoughts, problems and requirements of his subordinates. He tries to achieve organisational
objectives with their support and co operation. Participative or democratic leader comes under this
category.

AUTOCRATIC
STYLE OF
LEADERSHIP
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MEANING OF AUTOCRATIC LEADERSHIP
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Autocratic leadership style is old fashioned and now outdated to a considerable
extent.
Autocratic leadership only directs the followers to do without asking questions.
Autocratic leader takes decisions on his own and imposes them on the
subordinates.
His leadership is imposed leadership and lacks popular support.
He commands and expects compliance.
He has full control on his subordinates and gets the work done from them even by
using force. Subordinates honour him out of fear of punishment and not because
of respect for him.
Such leadership is conservative and not suitable to present business world.

FEATURES OF AUTOCRATIC LEADERSHIP
▸ Autocratic leadership directs the followers but does not allow the
subordinates to question "why".
▸ The autocratic leader takes decisions and expects others to execute
them without any inquiry.
▸ There is no communication with the subordinates.
▸ Such leader only orders and even threatens.
▸ Workers work as per the orders out of fear.
▸ Autocratic leader does not delegate authority to his subordinates.
▸ Autocratic leadership has no place in the professional management
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ADVANTAGES OF AUTOCRATIC LEADERSHIP
▸ Autocratic leadership leads to quick decision-making as he decision-
making power is centralized in the hands of the leader
▸ This leadership style is suitable at lower levels in the organization
where employees are less educated and to work as per orders issued.
prefer
▸ Autocratic leadership is suitable under emergency situation when
prompt decisions are needed.
▸ An autocratic leader provides strong leadership to the because of his
powers and position over subordinates.
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LIMITATIONS OF AUTOCRATIC LEADERSHIP
▸ Autocratic leadership style gives good results but only in the short run.
In the long run, people become non co-operative and try to overthrow
such leader.
▸ Such leadership leads to frustration among subordinates.
▸ Under autocratic leadership, subordinates do not participate in
decision-making. Their potential cannot be utilized fully This retards
human development.
▸ Under autocratic leadership, subordinates shirk work and avoid
responsibility out of fear of possible mistakes.
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SUITABILITY OF AUTOCRATIC LEADERSHIP
Autocratic leadership is suitable when:
▸ The leader centralizes authority and dominates decision making
▸ The leader subordinates practices punishment to discipline the
subordinates.
▸ The subordinates are not familiar with objectives of the business.
▸ The subordinates are not adequately trained, skilled and matured.
▸ The size of the business unit is small.
▸ The subordinates are not well organized
▸ Quick decisions are required to be taken
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L
S
S
S
S
S
S
S
L = Leader
S = Subordinate
= One way communication

DEMOCRATIC/
PARTICIPATIVE
STYLE OF
LEADERSHIP

MEANING OF DEMOCRATIC LEADERSHIP
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Democratic leadership style is liberal and willing to consider the
suggestions of subordinates with open mind and sympathy.
A democratic leader consults his subordinates on his proposed
decisions and actions.
He encourages participation of subordinates in the decision-making
process.
Democratic leadership style has support and respect from
subordinates and is normally treated as the best type or style of
leadership.

FEATURES OF DEMOCRATIC LEADERSHIP
▸ Democratic leadership is constructive and sympathetic towards subordinates.
▸ This leadership style is liberal and willing to consider the suggestions of
subordinates.
▸ Democratic leadership style gets support and respect from subordinates and is
normally treated as the best type of leadership
▸ Democratic leadership creates participative management.
▸ The leader maintains effective and purposeful communication with his subordinates.
▸ The democratic leader acts as a good listener.
▸ The subordinates are loyal to democratic leader.
▸ A democratic leader practices delegation of authority and decentralization.
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ADVANTAGES OF DEMOCRATIC LEADERSHIP
▸ Democratic leadership develops cordial industrial relations and avoids conflicts and hostility.
▸ It encourages initiative, creativity and participation of employees in the decision-making
process. This raises productivity and mental satisfaction.
▸ It develops a sense of belongings and also a sense of loyalty among the employees.
▸ Democratic leadership provides training to employees and creates healthy and congenial
atmosphere in the enterprise.
▸ It is suitable when the purposeful participation of employees is required for reaching the
targets.
▸ Workers develop a greater sense of self-esteem due to the importance given to them in the
management.
▸ It results in higher employee morale.
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LIMITATIONS OF DEMOCRATIC LEADERSHIP
▸ Subordinates may take undue advantage of democratic leader.
▸ Democratic leadership may lead to disorder and inefficiency in a business unit.
▸ Democratic style of leadership is effective only when the subordinates are
properly educated, matured and are aware of the objectives of the enterprise and
are also interested in achieving them.
▸ The democratic leadership theory are genuinely interested in their work and also
in the assumes that all workers organizational objectives. This assumption may
not always be valid.
▸ The theory relies heavily on motivation of workers through appreciation, status
and recognition. However, workers are more interested in monetary benefits.
They take interest in the work and are co-operative when liberal monetary
incentives are offered.
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SUSTAINABILITY OF DEMOCRATIC LEADERSHIP
Democratic leadership is suitable when:
▸ Purposeful participation of employees is required.
▸ Subordinates are matured and enlightened with proper education
and training.
▸ Group decisions are necessary for achieving organisational
objectives.
▸ Subordinates are well organised and industrial relations are
cordial.
▸ Business unit is large with professional management style.
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L
S
S
S
S
S
S
S
L = Leader
S = Subordinate
= Two Way Communication
The figure given on the
next page indicates
democratic leadership
style where two way
communication exists
and also encouraged.

POINTS AUTOCRATIC LEADERSHIP STYLE DEMOCRATIC LEADERSHIP STYLE
MEANING In autocratic leadership style, the leader
gives order to subordinates, puts pressure
on them & gets the work done.
Here, a leader has sympathy towards his
subordinates, motivates them and gets the
work done in a democratic way.
NATURE OF COMMODITY There is one way communication
(downward)
There is two way communication as leader
listens to subordinates and also offres
guidance to them.
ORIENTATION This leadership style is production
oriented.
This leadership style is people oriented.
DECISION-MAKING Decision making is centralized Decision making is decentralized.
SUSTAINIBILITY Suitable in small organizations or when
subordinates lack knowledge, training and
are indifferent to organizational objectives.
Suitable in large organizations or when
employees are educated, well trained and
know organizational objectives
ACCEPTABILITY It is an old and outdated leadership style.
Not acceptable in modern management
thought.
It is a modern and professional/ progressiv
leadership style. Accepted in modern
management thought

LAISSEZ-FAIRE
STYLE OF
LEADERSHIP

MEANING OF LAISSEZ-FAIRE LEADERSHIP
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This type of leader is non-exerting type.
He makes the subordinates responsible to achieve the target.
Mostly the subordinates become self-dependent. The leader is
simply a contact man.
The leader gives high degree of freedom to his subordinates in
their day-to-day work.
He depends largely on his subordinates.
He is a passive observer and interferes only during crisis.

FEATURES OF LAISSEZ-FAIRE LEADERSHIP
▸ This leader is rather passive.
▸ The subordinates are given full freedom to take decisions and
actions, independently.
▸ Guidance from the leadership is limited and many matters are left to
the subordinates.
▸ The leader does not motivate or guide the subordinates.
▸ The leader is indifferent to his responsibilities.
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MERITS OF LAISSEZ-FAIRE LEADERSHIP
▸ This leadership style gives a highest sense of job satisfaction to
subordinates as they can make best and uninterrupted use of the
capabilities.
▸ It encourages full exploitation of potential of subordinates The
subordinates get an opportunity to show the masterpieces of their
performance.
▸ It acts as a technique of training and developing subordinates for
higher managerial positions.
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LIMITATIONS OF LAISSEZ-FAIRE LEADERSHIP
▸ This leadership style is suitable only when subordinates are educated
and skilled and know well the job assigned to them in an independent
manner.
▸ This leadership style is not universally applicable to all forms of
organized endeavor and at all levels of organization.
▸ It commands less popularity as compared to autocratic
and democratic leadership styles.
▸ This leadership style minimizes the role of the leader. His
value/position among the subordinates is substantially reduced.
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SUSTAINABILITY OF LAISSEZ-FAIRE LEADERSHIP
Laissez-faire leadership style is suitable when:
▸ Leadership is given only for a short period.
▸ Subordinates are capable, matured and responsible.
▸ Subordinates are educated and work independently.
▸ Subordinates are trained and well-motivated.
▸ Subordinates are duty conscious.
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SITUATIONAL
STYLE OF
LEADERSHIP

MEANING OF SITUATIONAL LEADERSHIP
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The effectiveness of a situational leader depends on his ability to change his management
behavior as per the needs of his subordinates.
Under situational leadership, the leader's function is to determine the level of a follower's task
and psychological maturity.
Once the leader determines a follower's overall level of maturity, he should adjust his behavior in
a way that total flexibility is maintained to deal with varying situations and problems.
So we find a situational leader who behaves like an autocratic leader at one time and changes
over to act as a democratic leader at some other time.
Situational leadership suggests that there is no "one size fits all" approach to leadership.
Situational leaders are found highly successful because they adopt four steps in managing the
business:
(a) To identify the most important tasks.
(b) To arrange them on the basis of priority.
(c) To diagnose the readiness level of the subordinates.
(d) To decide the matching leadership style.

FEATURES OF SITUATIONAL LEADERSHIP
▸ Situational leadership is new addition to the existing styles of leadership.
▸ An ideal leader studies the overall situation, draws conclusions and adopts the leadership style
which is most appropriate to the prevailing situation. This is the essence of situational
leadership.
▸ An ideal leader is one who can adjust his style of functioning as per the situation within which he
has to operate. This means the internal and external environment.
▸ A leader may act as a dictator at one time and also as a democratic leader on some other
occasion. A good leader is one who studies the situation around him and adopts the most
suitable style of leadership.
▸ A situational leadership is a combination of all types of leadership
▸ A situational leader knows different leadership styles but selects one particular style, which is
most appropriate to a given situation/environment.
▸ He adopts flexible approach in his style of functioning. This makes his leadership effective and
result-oriented. A situational leader knows when to use autocratic style and when to use
democratic style. He makes corresponding adjustment in his style.

MERITS OF SITUATIONAL LEADERSHIP
▸ The situational leadership is a practical one and is based on real facts
of life. The best leadership style is situational.
▸ The situational theory has universal acceptance.
▸ It focuses attention not on the personality of the leader, but on the
personality of the organisation as a whole.
▸ The situational leadership is flexible and adaptable. It can operate in
any style (autocratic, democratic, etc.) as per the need of the situation.
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LIMITATIONS OF SITUATIONAL LEADERSHIP
▸ In this leadership, more importance is given to the situation and
the importance of the traits has been given less importance.
Leadership should involve both traits and situations.
▸ It offers an incomplete explanation of the leadership process
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FUNCTIONAL/
INTELLECTUAL
STYLE OF
LEADERSHIP

MEANING OF FUNCTIONAL/INTELLECTUAL LEADERSHIP
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This type of leader possesses technical knowledge, practical experience
and competency.
He possesses intellectual calibre and the subordinates are prepared to
follow his advice.
Intellectual leaders attempt to transform society by creating a clear vision
of the future.
They help followers to understand that they are an important part of
society.
The clarity of vision allows followers to understand their place in the
society and accept the vision of the leader.
Under this style of leadership, leaders and followers raise one another to
higher levels of motivation and morality.

FEATURES OF FUNCTIONAL/INTELLECTUAL LEADERSHIP
▸ Subordinates respect his guidance and opinion, calibre and capacity
to give correct advice.
▸ His knowledge makes him popular and he is able to divert energies of
employees for achieving objectives.
▸ Such leaders do not disturb their subordinates unnecessarily and do
not like to be disturbed by them.
▸ He considers various problems purely on merits.
▸ Such leader has soft corner for his subordinates and also for the
organisation.
▸ Functional leader is normally a professional expert with technical
education, knowledge and professional experience.
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SUSTAINIBILITY OF FUNCTIONAL/INTELLECTUAL LEADERSHIP
▸ Management has full faith on the ability and loyalty of the leader.
▸ Subordinates are highly educated and matured.
▸ Organizations are concerned with research and development
activities.
▸ The leader has opportunity to practice higher values of life.
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BUREAUCRATIC
STYLE OF
LEADERSHIP
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MEANING STYLE OF BUREAUCRATIC LEADERSHIP
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Bureaucratic leader is rule-minded.
He strictly follows the scalar chain principle even while facing
emergency.
His administration is very rigid.
Positions in the organisation are arranged in a hierarchy where lower
positions are answerable to the officials above them.
Qualification for bureaucratic leadership is usually based on the
technical expertise required to efficiently and effectively manage the
organisational tasks.
The organisation maintains written records of all rules, decisions
andadministrative actions.
Written records help with accountability.

FEATURES OF BUREAUCRATIC LEADERSHIP
▸ Bureaucratic leadership is noticed in the case of government
departments, public bodies and public sector enterprises. It is not
effective in the private sector.
▸ Bureaucratic leader fails to introduce innovation and flexibility in the
organisation.
▸ Such leader functions within the framework prepared by rules and
regulations.
▸ Human element is also lacking in such leadership.
▸ A bureaucrat wants his subordinates to follow his orders and instructions
in total.
▸ Delays in decision-making are not taken seriously. The overall approach
of leadership is mechanical/casual. 48

SUSTAINILITY OF BUREAUCRATIC LEADERSHIP
▸ Business unit operates like a government department
▸ Importance is not given to motivation of subordinates.
▸ Greater importance is given to rules, procedures and formalities.
49

NEUROCRATIC
STYLE OF
LEADERSHIP

MEANING OF NEUROCRATIC LEADERSHIP
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Neurocratic leader is success minded.
He gets disturbed with failures.
He wants to get the work done at any cost because he is task-oriented.
He is known to display highly non-balanced behaviour.
He takes all decisions by himself. In case of failure, he can shift the
blame on his followers.

FEATURES OF NEUROCRATIC LEADERSHIP
▸ Neurocratic leader gets things done by putting pressure on the workers.
▸ He supervises the workers artfully and has desire to rise.
▸ He keeps workers busy and is eager to get things of future done today by
the workers.
▸ He is a hard task master and is guided by the motive of self gain.
▸ He has unpredictable behaviour and shows emotional instability
▸ He is not favourable to joint decision making.
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PATERNALISTIC
STYLE OF
LEADERSHIP

MEANING OF PATERNALISTIC LEADERSHIP
54
Paternalistic leadership is authoritarian in nature.
It is heavily work-centred but has consideration for subordinates.
This leader creates a family atmosphere within the organisation because he
looks after his subordinates the way the father looks after his children.
Such a leader helps, guides and encourages his subordinates to work together as
members of a family. The subordinates have great respect for this leader. The
relations are pleasant and the leader may consult his subordinates in decision
making.
The subordinates remain faithful and submissive although they enjoy job
security.
Their problems and grievances are sympathetically considered and solved.
There is direct contact between the leader and his subordinates.

FEATURES OF PATERNALISTIC LEADERSHIP
▸ Paternalistic leader is a father figure in the organisation.
▸ He takes all decisions by himself but maintains soft corner for the
employees.
▸ He is the cementing factor in the organisation and his absence will
create confusion and disorder.
▸ He is appropriate for a business with a formal and hierarchical
structure where employees' creative thinking is not required.
▸ He thinks he knows what is good for the organisation.
▸ He has over inflated ego.
▸ The concept of paternalistic style of leadership is Japanese in origin.
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SUITABILITY OF PATERNALISTIC LEADERSHIP
▸ Mostly paternalistic style of leadership is followed Japanese
organisations.
▸ It is found suitable in small organisations.
▸ It is found suitable to solve personal problems of subordinates.
▸ Family organisations are run on paternalistic style of leadership.
▸ The leader shines where the work environment is friendly and workers
remain tension-free.
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DICTORIAL
STYLE OF
LEADERSHIP

MEANING OF DICTORIAL LEADERSHIP
58
Dictatorial leader exercises power to get the work done.
The employees are forced to perform the job as desired by the
leader otherwise they are likely to lose their wages, promotion and
employment.
The subordinates work in an atmosphere of fear and insecurity.
The leader is opposed to delegation of authority.
All power is concentrated and he becomes the most powerful
person who can favour and disfavour.

FEATURES OF DICTORIAL LEADERSHIP
▸ Dictatorial leader gets the work done by arousing fear in the minds of
the workers.
▸ He plays on fear psychosis i.e. workers are afraid of getting punished or
dismissed.
▸ He does not allow workers to question his decisions.
▸ He administers the business with an iron hand.
▸ He is immensely successful in the short run but in later part there is
bound to be showdown with the workers.
▸ He makes more enemies than friends.
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SUSTAINIBILTY OF DICTORIAL LEADERSHIP
▸ Dictatorial leader is highly successful where the size of the business is
small.
▸ He is found suitable where the subordinates are not organised.
▸ Decision making is centralised.
▸ Subordinates are denied freedom of self-initiative and they wait for
directions and instructions from the leader.
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MOTIVATION

MEANING OF MOTIVATION:
62
Motivation or motivating is next to directing/leading. It is, in fact, one aspect of directing itself.
Motivating is necessary in the case of subordinate employees working in an organisation.
Motivation brings harmony, unity and cooperative outlook among employees.
The creation of the desire and willingness to perform the job efficiently is what is generally
known as motivation.
Managers need special qualities in order to motivate their subordinates. For this, effective
communication, proper appreciation of work done and positive encouragement are necessary
and useful.
Motivation is inspiring and encouraging people to work efficiently and contribute for achieving
the objectives of the company. It is a psychological process of great significance.
For motivation, various monetary and other incentives should also be provided to employees.
Such incentives act stimulators as they create positive impact in the process of motivation.

“
▸ According to W. G. Scot, "Motivation means a
process of stimulating people to action to
accomplish the desired goals.“
▸ According to Michael J. Jucius, "Motivation is the
act of stimulating someone or oneself to get a
desired course of action, to push the right button
to get a desired results".
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DEFINITIONS OF MOTIVATION:

NEEDS GIVE RISE TO WANTS TENSIONS
WHICH GIVE RISE
TO
ACTIONS
WHICH RESULT
IN
SATISFACTION

FEATURES OF MOTIVATION
▸ Psychological process
▸ Initiative by manager
▸ Need of every organization
▸ Continuous activity
▸ Goal oriented and action oriented.
▸ Comprehensive and complex concept
▸ Beneficial to employees and management
▸ Varied measures available for motivation
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IMPORTANCE/SIGNIFICANCE OF MOTIVATION
▸ Securing employee cooperation
▸ Stimulating employees
▸ Maintaining human relation
▸ Attending to human needs
▸ Raising morale
▸ Reduces absenteeism and labour turnover
▸ Reduces accidents
▸ Cordial industrial relations
▸ Facilitates change
▸ Inspires employees to work
▸ Change in attitude
▸ Improves corporate image
66

FACTORS DETERMINING MOTIVATION:
67
There are different methods which can be used for
motivating employees.
They include
1) Monetary Factors
and
2) Non Monetary Factors

MONETARY FACTORS
▸ Salaries/wages
▸ Bonus
▸ Incentives
▸ Allowances
▸ Special Incentives
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NON-MONETARY FACTORS
▸ Job security and job enrichment
▸ Fair treatment to employees
▸ Recognition to good work
▸ Self development and career development
▸ Delegation of authority
▸ Congenial working conditions
▸ Helpful attitude of management
▸ Fair opportunity of promotion
▸ Labour participation in management
▸ Designation and status
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MOTIVATIONAL FACTORS
MONETARY FACTORS
SALARIES/WAGES
BONUS
INCENTIVES
ALLOWANCES
SPECIAL INCENTIVES
NON-MONETARY FACTORS
JOB SECURITY AND JOB ENRICHMENT
FAIR TREATMENT TO EMPLOYEES
RECOGNITION TO GOOD WORK
SELF DEVELOPMENT AND CAREER DEVELOPMENT
DELEGATION OF AUTHORITY
CONGENIAL WORKING CONDITIONS
HELPFUL ATTITUDE OF MANAGEMENT
FAIR OPPORTUNITY OF PROMOTION
LABOUR PARTICIPATION IN MANAGEMENT
DESIGNATION AND STATUS

ADVANTAGES/BENEFITS OF MOTIVATING EMPLOYEES
Advantages to Management/Employer/Organization:
▸ Increase in the efficiency and productivity of employees.
▸ Better cooperation from employees and cordial labour management/industrial relations.
▸ Reduction in the rate of labour absenteeism and turnover.
▸ Reduction in the wastages and industrial accidents.
▸ Improvement in the morale of employees.
▸ Quick achievement of business objectives and favourable corporate image.
▸ Availability of right type of employees.
▸ Positive approach of employees towards management company and superiors.
▸ Optimum utilization of resources.
▸ Facilitates organizational changes as high motivation helps to reduce resistance to
change. Properly motivated employees accept the need of change and offer full co-
operation for the introduction of organizational changes.
71

Advantages to Employees/Workers:
▸ Employees get various monetary and non-monetary
facilities which provide better life and welfare to them.
▸ Security of employment and other benefits due to
cordial relations with the management.
▸ Job attraction and job satisfaction.
▸ Higher status and opportunities of participation
in management
▸ Positive approach and outlook of employees towards
company, management and superiors.
72

COORDINATION
73

MEANING OF COORDINATION:
74
Coordination is a managerial function in which different activities of the
business are properly adjusted, integrated or inter-linked in order to
achieve well-defined objectives.
Such coordination among the different activities and departments is
essential.
It is like bringing unity among diversity. For this, the top management has
to make conscious efforts. Coordination gives one common direction to all
departments and employees functioning in the organisation.
According to Chester Barnard "coordination is a crucial factor in the
survival of any enterprise."

“
▸ According to McFarland, "Coordination is the process whereby
an executive develops an orderly pattern of group efforts
among his subordinates and secures unity of action in the
pursuit of a common purpose.“
▸ Mooney and Reiley have defined coordination as "The
achievement of orderly group effort and unity of action in
pursuit of common purpose."
75
DEFINITIONS OF COORDINATION:

FEATURES/CHARACTERISTICS OF COORDINATION:
▸ Coordination is a continuous process and not a fixed entity.
▸ The concept of coordination applies to group efforts and not to individual efforts.
▸ Coordination does not occur automatically. A manager has to make special efforts to achieve
coordination.
▸ The objective of coordination is to achieve a common purpose as decided by the top-level
management.
▸ Coordination leads to unity of action for achieving desired goals.
▸ Coordination is needed in order to avoid confusion and clashes in the activities and operations of
different departments.
▸ Coordination integrates diverse efforts into a common direction for achieving business
objectives.
▸ The scope of coordination is wider than cooperation.
▸ Coordination is the essence of management.
▸ Coordination simplifies complex activities.
76

ADVANTAGES/IMPORTANCE OF COORDINATION:
▸ Develops team spirit
▸ Brings unity of direction
▸ Raises morale and facilitates motivation of
employees
▸ Ensures optimum utilization of available
resources
▸ Acts as a driving force
▸ Facilitates prompt achievement of objectives
▸ Promotes cordial relations
▸ Creates favourable image
77

NEED FOR COORDINATION/IS COORDINATION NECESSARY?
▸ Achieving promising results
▸ Avoiding rivalries
▸ Minimising conflicts
▸ Introducing division of work and departmentation
▸ Avoiding confusion
▸ Integrating efforts
78

NEED FOR
COORDINATION
ACHIEVING
PROMISING
RESULTS
AVOIDING
RIVALRIES
MINIMISING
CONFLICTS
INTRODUCING
DIVISION OF WORK
AND
DEPARTMENTATION
AVOIDING
CONFUSION
INTEGRATING
EFFORTS

“COORDINATION AS ESSENCE OF MANAGEMENT”
▸ Coordination through Planning
▸ Coordination through Organizing
▸ Coordination through Directing
▸ Coordination through Motivating
▸ Coordination through Communication
▸ Coordination through Staffing
▸ Coordination through Controlling
▸ Coordination through Decision-Making
80

COORDINATION

CONTROLLING

MEANING/CONCEPT OF CONTROLLING:
83
Controlling is the end function of management. Controlling is the core of management process.
An organization cannot work without effective control mechanism.
Controlling is a regulatory activity. It is rightly treated as the soul of management process.
It is true that without planning there will be nothing to control. Along with this, it is equally true that
without control, planning will be only an academic exercise. Controlling enables an enterprise to
move towards its objectives.
To control means to see that there is no deviation between the expected results and the actual
results.
We use the term production control, quality control, inventory control and so on. This suggests that it
covers all aspects of management.
Every manager has to control the work for which he is accountable.
The concept of control is often confused with lack of freedom.
Control is fully consistent with freedom. In fact, they are inter dependent.
Without control freedom cannot be sustained for long In the absence of freedom, control becomes
ineffective.
Both autonomy/freedom and accountability are covered by the concept of control.

“
▸ According to Louis Allen, "Control means to guide
something or the direction it is intended to go.“
▸ According to Koontz and O'Donnell, "The managerial
function of control is the measurement and
correction of the performance subordinates in order
to make sure that enterprise objectives and the plans
devised to attain them are accomplished."
84
DEFINITIONS OF CONTROL/CONTROLLING:

CHARACTERISTICS/FEATURES OF CONTROLLING:
▸ Closely linked with other management functions
▸ Used at all levels of management
▸ Action-oriented system
▸ Control is the process of evaluation
▸ Regular and continuous activity
▸ Control eliminates wastages
▸ Dynamic and forward-looking concept
▸ Universal process
▸ Action-oriented
▸ Wide scope
85

STEPS IN CONTROL PROCESS/PROCEDURE
▸ Setting standards
▸ Measuring actual performance
▸ Comparing actual performance with the
standard performance and identifying the
deviation, if any.
▸ Introducing suitable corrective measures
▸ Taking follow-up action
86

SETTING STANDARDS
MEASURING ACTUAL PERFORMANCE
COMPARING ACTUAL PERFORMANCE
WITH THE STANDARD PERFORMANCE
CORRECTIVE MEASURES, IF ANY
TAKING FOLLOW-UP ACTION

ESSENTIALS OF A GOOD CONTROLLING SYSTEM:
▸ Focus on strategic control points
▸ Well-defined standards
▸ Direct control
▸ Flexible
▸ Stress on facts
▸ Motivating effect
▸ Forward looking
▸ Suitability
▸ Prompt
▸ Economical
▸ Simple format
▸ Control in right hands
88

Directing And Controlling-Foundation Course Semester 4- Prof. Karishma Shetty

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