MBP Module 1

8/8/2019 MBP Module 1

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INTRODUCTION TO MANAGEMENT


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DEFINTION OF MANGAEMENT

According to Henry Fayol Management is to forecast andplan, to organise, to command, to co-ordinate and to control.

It attempts to describe management in terms of what a

manager does and not what management is?

According to Oliver Sheldon, the term management is

commonly used to cover the formation of policy, its

execution, the designing of the organisation and its

employment.

According to E.F.L. Breech Management can be defined as

a social process entailing responsibility for the effective and

efficient planning and regulation of the operations of an

enterprise,


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Who Are Managers?

Manager Someone who coordinates and oversees the work of

other people so that organizational goals can be

accomplished.


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NATURE OF MANAGEMENT

Management as an inborn quality

Management is social science

Management in nature is the work done through and with

people

Management in as a profession in nature

Management is an Art

Management is dynamic

Management is inter-disciplinary in approach


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PURPOSE OR IMPORTANCE OF MANAGEMENT

1. Managing is an essential activity in every aspect oforganised life.

2. Management determines the objectives of the organisation

and takes step to achieve them.

3. Management is brain of an organization.

4. The study of management emphasizes what to do and

to do.

5. Management directs the members of the organization

toward the achievement of its objectives.

6. Management is a critical ingredient in the nations economicand social development.

7. Countries development depends upon good management.

Efficient management is key to national growth.


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FUNCTIONS OF MANAGEMENT


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FUNCTIONS OF MANAGEMENT

1. Planning

2. Organizing

3. Staffing

4. Directing

5. Leading6. Co-ordinating

7. Motivating

8. Reporting

9. Controlling

10. Budgeting

11. Decision making


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CLASSIFICATION OF LEVELS

1. Top management

2. Middle management

3. Lower or supervisory management


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The functions performed by the top management are

stated below-

1. Top management lays down the objectives of the

organisation

2. It prepares strategic plans and policies for the organisation

3. It issues necessary instructions for the preparation of budget,

schedules, procedures, etc.

4. It appoints the executives for the middle level

5. It coordinates the activities of different departments

6. It controls the activities of all departments with the help ofreports, memoranda, etc.

7. It builds and maintains relations with the outside public.


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The functions performed by the middle management

are as follows

1. To run the details of the organisation, leaving the top managersas free as possible of their responsibilities

2. To cooperate in making a smoothly functioning organisation

3. To understand the interlocking of departments in major policies

4. To achieve the coordination between the different parts of theorganisation

5. To build up a contented and efficient staff where reward is

given according to capacity and merit and according to

chance or length of service

6. To develop leaders for the future by broad training andexperience.

7. To build a team spirit where all are working to provide a

product or service wanted by the society.


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The function of lower level management

1.To plan and organise the activities of the group.

2.To arrange for necessary materials, machines, tools, etc. for

workers and to provide them the necessary working

environment.

3.To provide training to the workers.4.To supervise and guide the subordinates.

5.To solve problem of workers.

6.To communicate workers problems to the higher level

management.


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Subject Non manager Manager

Essence Change Stability

Focus Leading people Managing work

Have Followers Subordinates

Horizon Long-term Short-term

Seeks Vision Objectives

Approach Sets direction Plans detail

Decision Facilitates Makes

Power Personal charisma Formal authority

Appeal to Heart Head

Energy Passion Control

Dynamic Proactive Reactive

Persuasion Sell Tell

Style Transformational Teansactional

Exchange Excitement for work Money for work

Likes Striving Action

Wants Achievement Results

Risk Takes Minimizes

Rules Breaks Makes

Conflict Uses Avoids

Direction New roads Existing roads

Truth Seeks Establishes

Concern What is right Being right

Credit Gives Takes

Blame Takes Blames

MANAGER VERSUS NON MANAGER


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LEVELS OF MANAGER


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First-line Managers

y Individuals who manage the work of non-managerial

employees.

Middle Managers

y

Individuals who manage the work of first-line managers.Top Managers

y Individuals who are responsible for making organization-

wide decisions and establishing plans and goals that affect

the entire organization.


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TYPES OF MANAGER

LINE MANAGER

DefinitionPerson who heads revenue generating departments

(manufacturing and selling) and is responsible for achieving

an the organization's main objectives by executing functions

such as policy making, target setting, decision making. Linemanager may have direct control over staff employees.

STAFF MANAGER

Definition

Person who is responsible for the performance offunctions that provide support to line managers and does the

activities that support line functions such as accounting,

maintenance, personnel management. Staff manager may not

have power over line managers.


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Other types of managers include types,

1. General Managers

2. Financial Managers

3. Marketing Managers

4. Human Resources Managers

5. Operations Managers


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MANAGERIAL ROLES

1.Interpersonal roles

2.Information roles

3.Decisional roles


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3. Decisional rolesEntrepreneur

Disturbance handlers

Resource allocation

Negotiator

1. Interpersonal roles

Figurehead

Leader

Liaison

2. Information roles

Monitor

Disseminator

Spokes-person


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MANAGERIAL SKILLS

Conceptual skills

Human skills

Technical skills

Other essential managerial skills

Interpersonal skills

Diagnostic skills

Communication skillsTime-Management skills

Decision-Making skills


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PRINCIPLES OF SCIENTIFIC MANAGEMENT

1. Replacing rule of thumb with science

2. Harmony in group action

3. Co-operation4. Maximum output

5. Development of workers


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FAYOLS ADMINISTRATIVE MANAGEMENT

1. Division of work

2. Authority and responsibility3. Discipline

4. Unity if command

5. Unity of direction

6. Subordination of individual to general interest7. Remuneration of personnel

8. Centralisation

9. Scalar chain

10. Order

11. Equity12. Stability of tenure

13. Initiative

14. Espirit de corps


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ELTON MAYO AND HAWTHORNE STUDIES

1. Illumination experiment (1924-27)

2. Relay assembly test room experiment (1927-28)

3. Mass interview programme (1928-30)4. Bank writing observation room experiments (1931-32)

The researchers originally set out to study therelationship between productivity and physical working

conditions.

They conducted various researches in 4 phases


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Criticism of human relations approach

1. Lack of Scientific Validity

2. Limited Focus onWork

3. Over emphasis on group

4. Over stretching of human relations

5. Over-stress on Socio-psychological factors

6. Negative view of conflict


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THE LEARNING ORGANIZATION

Learning organizations, where people continually

expand their capacity to create the results they truly

desire, where new and expansive patterns of thinking are

nurtured, where collective aspiration is set free, and

where people are continually learning to see the wholetogether.- Senge

Learning organizations are characterized by total

employee involvement in a process of collaborativelyconducted, collectively accountable change directed towards

shared values or principles. Watkins and Marsick


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CHARACTERISTICS

1. Provide continuous learning opportunities.

2. Use learning to reach their goals.3. Link individual performance with organizational

performance.

4. Foster inquiry and dialogue, making it safe for people to share

openly and take risks.

5. Embrace creative tension as a source of energy and renewal.6. Are continuously aware of and interact with their

environment.

ARGUMENTS1. Focuses mainly on the cultural dimension

2. Favours individual and collective learning processes

3. Remains rather vague


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CHARACTERISTICS OF A 21ST CENTURY MANAGER

1

. Characteristics that result in the best performance of executiveand senior level leaders are identified along with the key skills,

knowledge, and attributes of effective and successful leaders

which are then linked to a set of specific behaviours.

2. Breadth of training is important for the C.E.O. of the year2000 in functions like marketing, finance, production and

human resource management.

3. ''Experience in diverse businesses as well as some work

abroad, is equally important for an ambitious executive to

perform his job effectively.

4. As for personal characteristics, the chief executive of

tomorrow will be ''a leader, not a boss,''- Dr. Fredrickson.


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5. Unlike the former ITT Corporation chairman, Harold S.

Geneen, an executive SHOULD NOT be tough, autocratic,

abrasive personality, which instill fear in subordinates.

6. The next centurys chief executive will need three

characteristics - creativity, enthusiasms and open-

mindedness, the study said, and will also have a vision

about the company's strategic position in a globalenvironment.

7. To convey ideas, this leader will have to be a good

communicator, which means he or she must learn the art of

public speaking and develop a talent for dealing with the

news media.

8. The study stressed attitudinal differences among American,

Japanese, European and Latin American chief executives.


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SOCIAL RESPONSIBILITIES OF MANAGERS

1.Internal social responsibilitiesAre concerned with assuring due process, justice, equity

and morality in the selection of employees, their training and

education.

1.External social responsibilities

Refer to such actions as stimulating minority

entrepreneurship, improving the balance of payment or training

and hiring hard-core unemployed.

The management owes social obligations to two groups ofsociety. They are

Insiders: shareholders and employees

Outsiders: customers, suppliers, government and the society

as a whole.


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Obligations and responsibilities towards

Shareholders or Owners

1. Stability and growth of the company

2. Declaration of reasonable dividend

3. Protection of assets of the company

4. Trustee of shareholder

5. Information regarding financial position of a

company


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Responsibilities towards customers

1. To meet needs of the consumers

2. To produce right quality of goods

3. To give prompt service to customers

4. To follow fair trade practices

5. True and fair advertisement

6. Proper distribution of goods


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Responsibilities and obligation towards

workers and employees

1. Fair wages

2. Paying attention towards the workers rights

3. Cooperation

4. Better working conditions

5. Adequate service benefits

6. Opportunities for their growth


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Responsibility and obligations towards

society and community

1. To achieve socio-economic objectives

2. Improvement of local environment

3. Help in employment opportunities

4. Welfare activities of the community

5. Efficient use of resources

6. Follow the ethics of business


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Responsibilities towards government

1.To abide by the laws of the country

2.To pay government taxes honestly, fully and in time.

3.To avoid giving bribe to the government employees.

4.To encourage fair trade practices.

5.To discourage the concentration of economic power.

6.To discourage activities this is not in accordance with the business.


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Why is global awareness important?

Global Awareness understands cultures, languages &traditions other than your own.

GLOBALAWARENESS

It is a desire to learn about and a willingness to respectpeople from other cultures

The understanding that everyone has a culture which affects

the way we view ourselves and the world.

College Admissions Career Success

Help your community and nation stay competitive

Help solve the worlds problems

MBP Module 1

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