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M. Ramani
M.A., M.A., M.Sc., MBA., M.Phil, Ph.D
PGDPR, PGDHM
Resource Person – Social Science
Management-
Definitions
“To Management is to fore cast, to
plan, to organize, to command, to co-
ordinate and to control”
-Henri Fayol.
“Management is a multipurpose organ
that manages a business and
manages worker, work and manager”
-PeterF.Drucker.
Management- Definitions
Management is the art of getting things done
thro and with the people in formally
organised groups.
-F.W. Taylor
Management Process
Planning
Coordinating Directing
Basic resources Inputs Fundamental functions Stated Object
Planning Organizing
Products
Service
Men
Profits
Machine
Satisfaction
Materials
Controlling Directing Goal
Money integration
Others
Nature of Management
Management is Universal
Integrative force
Purposeful
Multidisciplinary
Continuous process
Art and Science
Aims at profit
A factor of production
Nature …..,
Is a profession
Is dynamic
Needed at all level
Is getting things done
Is intangible.
Direction and control
Evolution of Management
Theory Org. Environment
Management Science
Behavioral Management
Administrative Management
1890
Scientific Management
1940 2000
Evolution of Management
Pre scientific Management
Scientific Management
Management process School
Human Resource school
Decision theory school
Mathematical school
System school
Contingency school
Scientific Management
theory
perform”
Is Management a science
or an art
Management is a
science
Management
Management is an art
Scope of Management
Very wide Maintenance
Production Materials
Marketing Stress
Operation Education
Finance Sports
Sales Pain
Personnel Time
Importance of
Management
Management meet the challenge of
change
Accomplishment of group goals
Effective utilization of Business
Effective functioning of Business
Resource development
Sound organization structure
It directs the organization
Stability
Innovation
Importance of
Management
Co-ordination and team spirit
Tackling problems
A tool for personality development
Integration of various interests
Administration vs
Management
Administration Management
Legislative and Executive
determinative function
function
Determination of
objectives and Implementation of
policies policies.
Mainly top level
functions
Mainly lower level
functions
Administration vs
Management
Planning, organising Direction motivation
and staffing and control
Involves thinking of Involves doing and
planning achieving
More popular in Govt More commonly used
and Public Sectors in Business world
Represents in entire only
enterprise Represents only in
Requires Management
administrative ability Requires technical
ability
Four Functions of
Management
Planning
Choose Goals
Controlling Organizing
Monitor & measure Working together
Leading
Coordinate
Planning
Planning is the process used by managers to
identify and select appropriate goals and
courses of action for an organization.
3 steps to good planning :
1. Which goals should be pursued?
2. How should the goal be attained?
3. How should resources be
allocated?
The planning function determines how
effective and efficient the organization is
and determines the strategy of the
Organizing
performance as required.
The outcome of the controlling function is
Management Levels
Organizations often have 3 levels of managers:
Top
Managers
Middle
Managers
First-line Managers
Non-management
Managerial Roles
Described by Mintzberg.
A role is a set of specific tasks a person
performs because of the position they
hold.
Roles are directed inside as well as
outside the organization.
There are 3 broad role categories:
1. Interpersonal
2. Informational
3. Decisional
Interpersonal Roles
Middle
Managers
Line
Managers
Superior’s Objective
Agreed Subordinates
objectives
Performance of subordinate
evaluated
Establishing objective
Devolving Premises
Identifying alternatives
Formulating supporting
plans
Developing budgets
Types of Plans
Purposes and missions
Objectives
Strategies
Policies
Procedures
Rules
Budget
programmes
Narrow Span
Advantages of Narrow
span management
Close control
Close supervision
Fast
communication
with subordinates
and superiors
Managers have
more time to
devote for their
future plans
Disadvantages- Narrow
Span
Higher executive pay
role
Many levels of
management
Supervisors tend to
get more involved in
subordinates’ work
Excessive distance
between lowest level
and top level
Wide Span
Advantages of wide span
Superiors are
forced to delegate
Clear policies
must be made
Subordinate must
be carefully
selected
Disadvantages- Wide span
Requires exceptional quality of
Managers
The superiors may not have
sufficient control
Due to paucity of time, the
superiors may become decision
bottlenecks.
Departmentation by
function
M.D
President
C o rp o ra te
M a n a g e rs
W a s h in g M a c h in e L ig h tin g T e le v is io n
D iv is io n D iv is io n D iv is io n
Departmentation by
Product
Advantages
It places attention on product lines
It facilitates use of special study of
knowledge
It improves co-ordination of functional
activities
It places responsibility for profits at the
division level
It permits growth of diversity of product
and services
Furnishes measurable grounds for GMs’
Departmentation by
Product
Disadvantages
Requires more persons with GM
qualifications
Services like Purchasing, Personnel
etc, are duplicated in each division
Presents increased problems of
top management control
Territory Structure
CEO
C o r p o r a tio n
C o rp o ra te
M a n a g e rs
N o rth e rn W e s te rn S o u th e rn E a s te rn
R e g io n R e g io n R e g io n R e g io n
Departmentation by
Territory -Advantages
It places responsibility of at a lower
level and improves co-ordination of
activities at a regional level
It places emphasis on local markets and
problems
The local economies of operation can be
utilized for eg., labour costs,
transportation costs may be cheaper in
a particular region
It improves face to face communication
Provides measurable training ground for
GMs’
Matrix Structure
CEO
Func.
Managers
Product
Team Managers
team A
Product
team B
Product Team
Product
team C
acquire rewards.
Motivation source is the consequence of an
action.
Need Theory
Social Interpersonal
Belongingness interaction, love relations, parties
Job security,
Safety Security, stability
health insurance
Lower level needs must be satisfied before higher needs are addressed.
Alderfer’s ERG
Need Level Description Examples
Highest
After lower level needs satisfied, person seeks higher needs. When
unable to satisfy higher needs, lower needs motivation is raised.
Motivation-Hygiene Theory
Time
Contribute to Pay
Effort
organization Job Security
Education
efficiency, Benefits
Experience
effectiveness Vacation
Skills
and Autonomy
Knowledge
attain goals Responsibility
Work Behav.
Expectancy, Instrumentality, &
Valence
Expectancy:
Instrumentality Valence:
Person’s
perception that How desired
perception that
performance are the outcomes
their effort will
results in from a
result in
outcomes job
performance
Expectancy, Instrumentality,
& Valence
Expectancy is the perception that effort (input)
will result in a level of performance.
You will work hard if it leads to high
performance.
You would be less willing to work hard if you
outcomes.
Workers are only motivated if they think
performance leads to an outcome.
Managers should link performance to
outcomes.
Expectancy Theory
High
Motivation
Importance of Good
Communication
NOISE Receiver
Sender
(now sender)
Feedback Phase
The Communication Process
Messages are transmitted over a medium to a
receiver.
Medium: pathway the message is
the message.
This is a critical point, can lead to mis-
understanding.
Feedback is started by receiver and states that
the message is understood or that it must be re-
sent.
Communication Networks in Groups
& Teams
Figure 15.3
Wheel Network
Chain Network
leadership style.
Groups, Teams and
Effectiveness
Group: two or more people who interact with each
other to accomplish a goal.
Team: group who work intensively with each other
to achieve a specific common goal.
All teams are groups, BUT, not all groups are
teams.
Teams often are difficult to form.
Takes time for members to work together.
Teams can improve organizational performance.
What are groups?
Norming
Storming
Existing teams
Forming might regress Adjourning
back to an
earlier stage of
development
Causes of Team
Cohesiveness
Member
Similarity
External Member
Challenges Interaction
Team
Cohesiveness
Team Team
Success Size
Somewhat
Difficult Entry
Three Types of Control
Conversion
Inputs Outputs
Process
standards.
2. Measure actual performance: managers can measure
outputs resulting from worker behavior or they can
measure the behavior themselves.
The more non-routine the task, the harder to measure.
Managers then measure the behavior (come to
performance.
4. Evaluate result and take corrective action.
Perhaps the standards have been set too high.
equipment.
This step is often hard since the environment is
constantly changing.
Organizational Culture & Clan
Control
work.
These methods provide control where output and
behavioral control does not work.
Strong culture and clan control help worker to focus on
the organization and enhance its performance.
Creating Strong Organizational
Culture
Values of Founder
Socialization Process
Organizational
Culture
Ceremonies & Rites
Demography
Results in
restructuring,
outsourcing, mergers
produces many
employment changes
Some External Forces for
Change
Information
Technology More educated
workforce
Globalization want involvement;
& Competition interesting work
Younger generation
Demography less intimidated by status
want a more balanced
work life
Cultural changes
more individualism in