Definition of Management
Management can be defined in many
ways;
A means of getting things done through people
in order to achieve objectives.
A means of integrating resources (materials,
finance, human resources, information, etc.,) in
order to achieve organizational objectives
efficiently and effectively.
A process of planning, organizing, directing and
controlling of organizational activities and
resources in order to achieve objectives
(Management function)
General management: major
components
– Property Management
– Production & Distribution Management
– Organization Management
– Resources Management
– Project Management
– Strategic Management
– Stakeholders (Relationships) Management
– Process / Result Management
– Information Management
– Research & Development (Knowledge)
– Performance Management, and
– Network Management
The Development of Management
Early development
• Classify management as applicable to only
business or industry related discipline.
Industrial development
• Human Resources Management (Robert Owen)
– Limit working hours
– Monitoring mechanism to boost productivity
• Scientific Management (Charles Babbage)
– Division of labor for development
– Observation of operation processes to improve them
• Importance & initiatives for Management
Training (Andrew Ure & Charles Duprin)
Classical Development
• Henri Fayol:
– Division of work or labor,
– Authority and Responsibility,
– Discipline,
– Unity of Command,
– Unity of Direction,
– Subordination of individual interest to the general interest,
– Remuneration,
– Centralization,
– Scalar chain or line of authority,
– Order,
– Equity,
– Stability of tenure of personnel,
– Initiative, and
– Esprit De Corps or Union is Strength.
Classical Development
• Frederick W. Taylor (Father of Scientific
Management)
– Planning
– Organizing
– Coordinating (staffing)
– Managing (monitoring)
Behavioral Development (Maslow)
Maslow’s hierarch of needs theory
Self actualization needs Involvement in planning one’s work
Opportunity for growth and development
Reaching ones’ potential
Opportunity to help others
Independence Creativity Creative work
Growth Self expression Freedom to make decisions
Esteem Needs
needs Responsibility Self-respect
Status symbols
Recognition, awards
Recognition Sense of accomplishment Challenging work
Sense of competence Sense of equity Opportunity for advancement
Sharing decision making
Social/affiliation needs Opportunities to interact/network
Compassion Acceptance Team based work
Love and affection Group membership Friendly co-workers
Job security
Safety/security needs Sound policies and practices
Deficiency Security for self and position Proper supervision
Safe working condition
Avoidance of risk Avoidance of pain
needs Fringe benefits
Adequate compensation
Physiological needs
Food Clothing Rest periods
Labor saving devices
Shelter Comfort
Efficient work methods
Self-preservation
Behavioral Development
(McGregor)
Douglas McGregor
Theory X assumption Theory Y assumption
People inherently dislike work and, whenever People are able to view work as natural as rest
possible, will attempt to avoid it or play
Because employee dislike work, they must be Employees will direct with themselves toward
forced or threatened to achieve goals goal achievement if committed to those goals
Employees need direction to perform and avoid Most employees accept responsibility and
responsibility if possible. may of these actively seek it
Employees do not have a lot of ambition; they Employees at all levels are innovate; not only at
are more interested in job security management level
Quantitative contributions
Decision making process using
mathematics, statistics and
other quantitative techniques.
Systems Developments (Theory)
• a system is a assemblage of interrelated
parts that work together by way of some
driving process Systems are often
visualized or modeled as component
blocks that have connections drawn
between them.
Contingency Theory
• Situational management
• Management actions and styles should be
dependent upon the circumstances of the
situation confronting the manager.
Environmental factors such as public
opinion, employee and management
attitudes might have impact on the
decision making process.
Recent Contributions
• Total quality management (TQM),
• Management by projects (MBP),
• Business process re-engineering (BPR),
Value engineering/ management (VE/
VM), and
• Concurrent engineering (CE).
Management by projects
• Management by projects is a way, an
outlook, and an attitude cultivated to treat
any trade of work, undertaking, scheme,
assignment or a set of activities, as a
project.
Total Quality Management
• ISO 9000:2000
• Customer focus
• Leadership
• Involvement of people (Training & Empowerment)
• Process approach
• Continuous Improvement
• Mutual beneficiary supplier relationship
• Factual approach to decision making
• Systems approach to management
Business Process Re-engineering
• rapid thinking,
• creating new scenario,
• simplify processes,
• information technology to reintegrate
works,
• fewer skilled employees, and
• flatter organization
Value Engineering / Management
(VE / VM )
• Value Engineering is a systematic study of
project requirements using a multi-
disciplined team to identify and eliminate
unnecessary costs and poor performance
by using functions.
Concurrent Engineering (CE)
• A systematic approach to the integrated,
concurrent design and their related
processes, including manufacturing and
support. This approach is intended to
cause developers from the outset, to
consider all elements of the product life-
cycle from conception through disposal
including quality, cost, schedule, and user
requirements.
Functions of Management
Functions of Managers (Taylor)
– Planning
• Establishing goals and standards, developing rules and procedures,
developing plans and forecasting
– Organizing
• Create an organization structure that facilitates communication,
interactions and at the same time shows a clear responsibility and
duty.
– Staffing/ Procuring
• Type of people to be hired, recruiting prospective employees,
selecting employees, setting performance standards, compensating
employees, evaluating performance, counseling employees, training
and developing employees
– Leading/Directing
• Getting others to get the job done, maintaining morale, motivating
subordinates and communicating instructions and orders
– Monitoring/Controlling
• Checking to see how actual performance compares with standards
and taking corrective actions as needed
Roles of managers
Interpersonal Roles These roles are related to formal authority base of managers.
Figurehead Roles related to ceremonial in nature.
Leadership Roles related to ensuring achievement of goals.
Liaison Roles related to communication with internal and external stakeholders to develop favorable relationships and networks.
Informational Roles These roles are related to availing sufficient information to carryout jobs effectively. Because they are information centers
Monitor for information and communication source.
Disseminator Roles related to scanning internal and external environments of their organizations for selecting useful information.
Spokesperson Roles related to sharing and distributing useful information to employees.
Roles related to information communications to external stakeholders.
Decision Roles These roles are related to processing information to reach conclusions.
Entrepreneur Roles related to initiating new developments.
Disturbance Handler Roles related to conflict resolution and problem solving.
Resources Allocator Roles related to distribution and assignment of different resources to projects.
Negotiator Roles related to win comparative & competitive advantages to achieve goals.
Levels of management
Top Middle Lower
Management Management Management
Top
Mangt
Conceptual Conceptual
Conceptual
Human
Middle Management
Human
Technical
Human
First – Line or
Lower Technical
Management
Technical
Managerial skills
Conceptual Skills
Intellectual ability to process information and make accurate
decision about the work, group, and the job
Interpersonal Skills
Management Skills
Communication , conflict resolution, leading
Technical Skills
Knowledge and ability to accomplish the specialized activities
of the work group