CHAPTER 1
NATURE AND CONCEPTS OF
MANAGEMENT
The learners shall be able to discuss the meaning of
management.
The learners shall be able to discuss the meaning of
organization.
The learners shall be able to discuss the 5 functions of
management
Describe the skills of a manager and their relevance.
Describe management types and the differences
between them.
Define ten roles that managers perform in
organizations.
“Management is the art of getting things done through and
with people in formally organized groups.”
- Harold Koonts
“a multi-purpose organ that manages business and
manages managers and manages the workers and
work.”
- Peter Drucker
“Management is the attainment of
organizational goals in an effective and efficient
manner through planning, organizing, staffing,
leading, and controlling organizational resources”.
- Richard L. Draft, Ph.D.
Effectiveness- is the degree to which the organization
achieves a stated goal, or succeeds in accomplishing what
it tries to do.
Efficiency- refers to amount of resources used to achieve
an organizational goal.
MANAGEMENT RESOURCES
MONEY
MACHINES MATERIALS
METHODS
5 MANAGEMENT FUNCTIONS
Planning
Determining
objectives, course
of action,
formulating
strategy.
Organizing
Controlling assignment of
checking activities, division
results and of work , grouping
of activities
takes curative designating tasks
actions needed and
responsibilities .
Staffing
Leading
recruiting,
motivating, training and
communicating, development ,
guiding and performance
encouraging appraisals,
people promotions and
transfers.
PLANNING-mapping out exactly specific objectives and
determining the most valuable course of action required to
achieve those objectives
- It entails knowledge of the company’s resources and the
future objectives of the business and formulating
strategy.
ORGANIZING- is the process of making certain that
required human and physical are on hand to execute a plan
and attain organizational goals and objectives.
- It engages the assignment of activities, division of
work , grouping of activities into departments and
designating tasks and responsibilities and developing
- organizational structure-is a formal system
visualizing the task and reporting connection.
STAFFING- employing the right people for the right jobs
to realize the objectives of the organization.
-it engages recruiting, training and development ,
performance appraisals, promotions and transfers.
LEADING- is the process of motivating, communicating, guiding
and encouraging people in the organization for the achievement of
its goal and objectives.
- Empowering employees to become self-directed and self motivated
so that employees can be able to visualize and understand the
important roles they play in achieving the organizational goals and
objectives.
CONTROLLING- is the process of continuously checking results
against predetermined goals and objectives and takes curative
actions needed.
-setting up performance standards
-checking productivity of employees
-directs to detection of situation and problems
Common Characteristics of Management
Goals
People
Structure
is a social entity that is goal directed and
deliberately structured.
Employees
-Person who works for another person or for a company for
wages or salary.
Non Managerial Employees
People who work directly on the job or task
and have no responsibility of overseeing the work
of others.
Managerial Employee
- Individuals in organization who direct the
activities of others.
TYPES OF MANAGEMENT OR ORGANIZATIONAL STRUCTURE
ORGANIZATIONAL STRUCTURE is a system that outlines how certain activities
are directed in order to achieve the goals of an organization. These activities can
include rules, roles, and responsibilities. also, determines how information flows
between levels within the company. .
Vertical Structure Horizontal Structure
Tall or traditional structure Flat type
Passes information from top to Bigger span of control
bottom Passes information across
Complicated or complex managers
organization Intended for smaller
Small span of control organization
Easier communication
THE LEVEL OF MANAGEMENT OR MANAGEMENT STRUCTURE
Responsible for the entire
TOP organization and for the
CEO, overall direction of the
Presidents, organization.
Executive Vice Pres.
Responsible for business
units and major
departments. They are
MIDDLE LEVEL
concerned with near-
Program /Office future planning.
Directors, Department
Heads, Division Heads
Cater to the day to day
LOWER LEVEL or FIRST LINE operations, directly
Supervisors, Line Manager, involved with people who
Officers, Team Leader, Assistant are directly responsible for
Heads, Dept. or Team producing the company's
Coordinators good and services.
Technical Skills
Is the ability to apply
proficiency or expertise to
perform particular tasks.
MANAGEMENT
SKILLS
Human Skills
Is the ability to work
with and through other
people effectively.
MANAGERIAL ROLES
Interpersonal Role- involves human interaction both inside the
organization and outside.
SPECIFIC ROLES
Figure Head-performs ceremonial and symbolic activities
Leader-leading his subordinates and motivating them.
Liaison-connecting link between the organization and outsiders or
between his unit or other unit.
Informational Role- sharing and analyzing of information and
distributing them as required.
SPECIFIC ROLES
Monitor-seeking current information from many sources
Disseminator-transmit the information to others both inside and
outside the organization.
Spokesperson-transmit information to outsiders through speeches
or reports.
Decisional Role- involves decision making on using plan strategy and
utilization of resources.
SPECIFIC ROLES
Entrepreneur- assumes certain tasks which can affect the organization
Conflict Handler-resolving conflicts, problems in the organization.
Resources Allocator-allocating resources in order to attain desired
outcomes.
Negotiator- representing the team or departments interest during
negotiation of budgets, union contracts and purchases.
