INTRODUCTION

TO
MANAGEMENT
 Objectives of the chapter

• Understanding management concepts

• Characteristics of management
• Functions of management
 MANAGEMENT

• Management is the attainment of

organizational goals in an effective and
efficient manner through planning,
organizing, staffing, directing and controlling
organizational resources.
• Organizational resources include men(human
beings), money, machines and materials.
 Definitions

• Louis E Boone & David L Kurtz- The use of people

and other resources to accomplish objectives.
• Mary Parker Follet- the act of getting things done
through people.
• Frederick Taylor defines Management as the art of
knowing what you want to do in the best and
cheapest way.
 Characteristics

• Management is a distinct process.

• Management is an organized activity
• Management aims at the accomplishment of
predetermined objectives.
• Management is both a science and an art.
• Management is a group activity
• Management principles are universal in nature
• Management integrates human and other resources.
 Concept of management-Raymond
G. Leon
• Management by Communication
• Management by Systems
• Management by Results
• Management by Participation
• Management by Motivation
• Management by Exception
• Management by Objectives
 Steps in MBO

• To establish long-term and short-tem organizational

goals
• To establish long-term and short-term objectives for
each manager, clarifying the key performance
standards
• Periodic review of performance
• Encouraging managers to accept responsibility
 Benefits of MBO

• The need for planning will be recognized

• It provides for objectives and accountability for
performance
• It encourages participative management
• It helps in job enrichment
• It provides for a good feedback system
 FEATURES

• Management involves five functions

• These functions are organised to achieve
organisational goals.
• Management involves effective and efficient use of
resources
FUNCTIONS OF
MANAGEMENT
 FUNCTIONS OF
MANAGEMENT
• PLANNING
• ORGANIZING
• STAFFING
• DIRECTING
• CONTROLLING
 PLANNING

• Planning is determining the objectives and formulating

the methods to achieve them. It is more simply said than
done. A job well planned is half done. During planning
one needs to ask oneself the following:
• What am I trying to accomplish i.e. what is my objective?
• What resources do I have and do I need to accomplish
the same?
• What are the methods and means to achieve the
objectives?
• Is this the optimal path?
 Types of Planning
• Purposes or missions,
• Objectives-It is the ultimate goal towards which the activities of
the organization are directed
• Strategies-general program of action and deployment of
resources
• Policies-general statement or understanding which guide or
channel thinking in decision making
• Procedures-states a series of related steps or tasks to be
performed in a sequential way
• Rules-prescribes a course of action and explicitly states what is to
be done
• Programs-comprehensive plan that includes future use of
different resources
• Budgets-statement of expected results expressed in numerical
terms
 Principles of Planning

• Take Time to Plan

• Planning can be Top to Down or Bottom to Top
• Involve and Communicate with all those Concerned
• Plans must be Flexible and Dynamic
• Evaluate and Revise
 Steps in Planning
1. Determining the goals or objectives for the entire
organization.
2. Making assumptions on various elements of the
environment.
3. To decide the planning period.
4. Examine alternative courses of actions.
5. Evaluating the alternatives.
6. Real point of decision making
7. To make derivative plans.
 Types of Managerial Decisions
• Programmed
• Non programmed.
• Mechanistic-It is one that is routine and repetitive in
nature
• Analytical-It involves a problem with a larger number of
decision variables
• Judgmental-It involves a problem with a limited number
of decision variables, but the outcomes of decision
alternatives are unknown
• Adaptive-It involves a problem with a large number of
decision variables, where outcomes are not predictable
 Process of Organizing

• Determine what is to be done/ Division of Work:

• Assign Tasks: Departmentalization:
• Link Departments: Hierarchy Development:
• Decide how much Authority to Designate/ Authority,
Responsibility and Delegation:
• Decide the Levels at which Decisions are to be made /
Centralization vs. Decentralization:
• Decide how to Achieve Coordination:
 Techniques for achieving
coordination
• Coordination by Rules or Procedures
• Coordination by Targets or Goals:
• Coordination through the Hierarchy
• Coordination through Departmentalization
• Using a Staff Assistant for Coordination:
• Using a Liaison for Coordination:
• Using a Committee for Coordination
• Using Independent Integrators for Coordination:
• Coordination through Mutual Adjustment:
 STAFFING

Definition 1
• Selecting and training individuals for specific job functions, and
charging them with the associated responsibilities.
Definition 2
• Number of employed personnel in an organization or program.
Also called workforce.
 DIRECTING/LEADING

• Provides positive and dynamic leadership

• Provides maximum opportunities
• Provides proper motivation of personnel
• Ability to command people
CONTROLLING CONCEPTS
• Feed Forward Control-Control that attempts to identify
and prevent deviations before they occur is called feed
forward control, sometimes called preliminary or
preventive control.
• Concurrent Control-Control that monitors ongoing
employee activities during their progress, to ensure they
are consistent with quality standards, is called concurrent
control.
• Feedback Control-In this case, the control takes place
after the action. Sometimes called post-action or output
control
 Steps in the Control Process

• Establish Standards of Performance

• Measure Actual Performance
• Compare Performance to Standards
• Take Corrective Action
 Principles of Effective Control

• Effective controls are timely.

• Control standards should encourage compliance.
• Setting effective standards is important
• Use management by exception.
• Employees should get fast feedback on performance.
• Do not over rely on control reports.
• Fit the amount of control to the task.
 MANAGERIAL SKILLS

CONCEPTUAL

HUMAN

TECHNICAL
 TECHNICAL SKILLS

A persons’ knowledge and ability to make effective use

of any process or technique constitutes his technical
skills.
For example:
Engineer, accountant,
data entry operator, lawyer, doctor etc.
 HUMAN SKILLS

An individuals’ ability to cooperate with other members

of the organization and work effectively in teams.
For eg: Interpersonal relationships, solving people’s
problem and acceptance of other employees.
 CONCEPTUAL SKILLS

Ability of an individual to analyze complex situations

and to rationally process and interpret available
information.
For eg:
Idea generation and analytical process of information.
 MANAGER’S ROLES

• Interpersonal role
• Informational role
• Decisional role
 INTERPERSONAL ROLE

• Figurehead- ethical guidelines and the principles of

behavior employees are to follow in their dealings
with customers and suppliers
• Leader- give direct commands and orders to
subordinates and make decisions
• Liaison-coordinate between different departments
and establish alliances between different
organizations
 INFORMATIONAL ROLE

• Monitor- evaluate the performance of managers in

different functions
• Disseminator-communicate to employees the
organization’s vision and purpose
• Spokesperson- give a speech to inform the local
community about the organization’s future intentions
 DECISIONAL ROLE

• Entrepreneur- commit organization resources to develop

innovative goods and services
• Disturbance handler- to take corrective action to deal with
unexpected problems facing the organization from the
external as well as internal environment
• Resource allocator- allocate existing resources among
different functions and departments
• Negotiator- work with suppliers, distributors and labor
unions
 TYPES OF MANAGERS

• FIRST-LINE MANAGERS- often called supervisors

stand at the base of the managerial hierarchy
• MIDDLE MANAGERS- heads of various
departments and organise human and other
resources to achieve organizational goals
• TOP MANAGERS- set organizational goals,
strategies to implement them and make decisions
 WHAT MAKE MANAGERS
SUCCESSFUL?
• Hard work
• Smart work
• Patience
• Out of box thinking
• Reading and acquiring knowledge
• Ethical consciousness
• Collaborative relationship
• Perseverance
Thank you