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HEALTH SYSTEM
MANAGEMENT
DIPLOMA SEMESTER 1 2ND YEAR
ORHOPAEDIC & TRAUMA MEDICINE
RACHEL M.MAINA
BSC.HRIM,MPH-M&E
MODULE ONE UNITS
1. Introduction to leadership and management
2. organization of health services
3. human resource management
4. communication and netwroking
5. commodity and supplies management
Module learning outcomes
At the end of this module,the learner shall be able to :
1. Describe the concepts,principles,roles and functions of leadership and management
2. Explain the organization and coordination of healthcare services
3. Discuss priciples for effective leadership and management of human resources
4. Demonstrate effcetive communication within healthcare organization
5. Discuss priciples of commodity and supplies management
Module 1:Introduction of leadership and Management
• TOPIC 1:MANAGEMENT
• By the end of the lesson the learner should be able to :
1. Define management
2. state the importance of studying management
3. Trace teh History of management and concepts
Lesson 1:Introduction of management
Objectives
1.To define management, terms in management
2.Explain the terms of organization performance
5
Introduction of management
• Management is planning ,organizing ,leading and controlling of human and other resources to
achieve organizational goals effectively and efficiently.
• The act of getting things done through people(Mary parker follet)
• The use of people and other resources to accomplish objectives.(louis e.boone & David
Kurtz)
• The art of knowing what you want to do in the best and cheapest way(fredrick Taylor)
Organization: collection of people who work together and coordinate their actions to achieve a wide
variety of goals.
Management concepts
• Resources:
• This include money (financial capital),manpower(people )and material(computers ,machinery)
Organization perfomance
• A measure of how efficiently and effectively managers are using organizational resources to
satisfy customers and achieve organizational goals.
• Efficiency:-A measure of how well or productively resources are used to achieve a goal
• Effectiveness:- Am measure of appropriateness of the goals an organization is pursuing and
the degree to which they are achieved
Why study Management
• Management is distinct process
• Management is an organized activity
• Management aims at 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
Importance of studying management
• The more efficient and effective use of scarce resources that organizations make of those resources,
the greater the relative well being and prosperity of people in that society.
• Helps people deal with their in charges and co-workers
• Opens a path to a well paying job and career
• Helps one be able to manage his/her own business or organization
Importance of studying management
• impact one with skills needed to compete with other competitors and deal with exterbnal changes in
todays evoving economy
• equip one with knwoledge on every aspect that make up the business and different decisions made at
every management level
• Enabe to have a better understanding of how people beahve in an organization,sources of power and
influence and nature of leadership contents i.e organization behaviour,theorycomuication,human
resource
• Connect with the globe-One can work around the globe with global perspective of management
• Enhance kowledge to learn and discover how organizations work-with enhanced knowledge this will
brighten the futrure of your career
• enable one to work in and through the organization-the effectiveness at work depends on your
understanidn of the organizationand how to get thing done through it.
HISTORY OF MANAGEMENT
• The practice of management is as old as human civilization. The progress of mankind
over the centuries is attributed to the effective management of resources. The
irrigation systems, existence of public utilities, constructions of monuments
e.g.Egyptian pyramids, Taj Mahal in India, demonstrates the practice of management
in olden days. The ancient civilization of Mesopotamia, Greece, Rome and Indus
valley, displays the results of good management practices.
• NB: The study of management in a systematic way as a distinct body of knowledge,
is only of recent origin. It is therefore said that management is described as “oldest of
the Arts and youngest of the sciences”.
MANAGEMENT AS A SCIENCE
• For any branch of knowledge to be considered a science, it should fulfill the following:
• a). Should have a systematic body of knowledge with its own principles (independent).
• b). The principles have to be evolved on the basis of constant inquiry and examination (research).
• c).The principles must explain a phenomenon by establishing a cause-effect relationship.
• d). The principles should be available for verification to be universally acceptable.
• Management as a discipline fulfills the above because:
• i)It has emerged as a systematic body of knowledge with its own principles.
• ii)The application of these principles helps any practicing manager to achieve the desired goals.
• iii) Management is dynamic because it has borrowed heavily form other disciplines to help solve
management problems, disciplines e.g. Psychology, Sociology, Philosophy, Religion, Economics.
cont
• that if there are changes in the environment, the management plans will be affected.
• iv)Management plans are prone to change due to the changes in the external environment e.g.
Technological changes, economic and socio-cultural changes.
• MANAGEMENT AS AN ART
• i)The word Art refers to the know how or ways of doing to accomplish the desired results.
• ii)The focus is on the skill with which the activities are performed.
• iii)The constant practice of the theoretical concept (knowledge base) contributes to the formation and
sharpening of skills.
• iv)Management as an art stresses the need for practice where in management graduate from the best
institute may not be very effective and therefore requires creativity and practice.
Management cannot be viewed as an exact science but rather inexact science because of
the following:
• i)By definition, management involves getting things done through other
people who are unique in respect of aspirations, attitudes, perceptions e.t.c.
• Their differences are so obvious that standard results may not be achieved in
otherwise similar environment.
• ii)The behavior of human beings cannot be predicted accurately and
therefore standards and ready made solutions cannot be prescribed.
• iii)Management is concerned with the future which is complex and
unpredictable so
Theories of Management
• By the end of this topic the learner should be able:
• a.To fully explain the different theories of management
• b.To identify the disadvantages of bureaucratic theory of management
Management theories
1. Fredrick Taylor -Theory of Scientific management
2. Henri Fayol-Administrative Management Theory
3. Max Weber-Bureaucratic Theory of Management
4. Elton Mayo-Behavioural Theory of management (Hawathorne Effect)
Management theory
• Management theories are a set of general rules that guide managers to manage an organization.
• Theories are an explanation to assist employees to effectively relate to the business gaols and
implement effective means to achieve the same
• Our study of the theory of management will focus on the three well established schools of
management theory.
– The Classical School
– The Behavioral School
– The Management Science School
THE CLASSICAL SCHOOL
• This school of thought emerged around the turn of the twentieth century. It is divided into two sub
areas: Scientific management, which historically focused on the work of individuals and classical
organization theory (administrative management which was concerned with how organizations should
be put together).
The classical organization theory
• This is the other branch of classical management. Classical organization theory grew out of the need to
find guidelines for managing complex organizations such as factories. Henry Fayol is recognised as
the father of classical organization theory because he was the first man to systematize managerial
behaviour. Another contributor to classical organization theory was Max Weber.
Theory of scientifc Management -Fredrick Taylor
• Taylor aimed at improving economic efficiency,especially labour and productivity.
• The scholar had a simple view about what motivated people at work-money.He felt that works shold
get a fair pay for fair days work,and that pay should be linked to the amount produced.
• He therefore introduced the differenctial pricerate system of paying wages to workers
Principle of scientific management
Four principles of scientific management:-
 Time and motion study-study the way jobs are performed and findnew ways to do them
 Teach,train and develop the workman with improved methods of doing work.Codify the new methods
into rules
 Interest of employer & employees should be fully harmonized so as to secure mutually understanding
relations between them.
 Establish fair levels of performance and pay a premium for higher performance
Administrative Management Theory-Henry Fayol
• Henry Fayol also known as father of management laid down the 14 principles of management
1. Division of work:this is the area of specialization that economists consider necessary for efficiency
in the use of labour.Fayol applies the principle to all kinds of work, managerial as well as technical
2. Authority & responsibility:Fayol finds responsibility and authority to be related, with the latest
arising from former .He sees authority as a combination of official factors ,deriving from the
managers position and personal factors.
3. Discipline: respect the rule and regulation of the organization. Respect is seen as respect for
agreements which are directed at achieving obedience ,application,energy,and outward marks of
respect.Fayol declares discipline requires good superiors at all levels
14 principles of management
4.Unity of command: employees should receive orders from one superior only
5.Unity of direction: each group of activities with the same objectives must have one head and one plan
6.Subordination of individual interest to general interest: Put organization interest first before your own.
7.Remuneration :Pay should be fair and good performance should be rewarded
8.Centralization:Fayols refer to the extent to which authority is concentrated or dispersed .
9.Scalar chain: Authority flows from top to bottom through chain of command
10.Order: people and material should be at the right place and the right time
11.Equity: managers should be fair in dealing with employees on the part of managers when dealing with
subordinates
22
14 principles of management
12.Stability of tenure: efficiency can be achieved by stable labour force.unnecessary turnover to
be both the cause and effect of bad management.Fayol points out its danger and costs.
13.Initiative:employees should be given freedom to act and be innovative
14.Espirit de corps: Principle that’in union there is strength,teamwork should be encourage 'its
an extensions of the continuity of command emphasing the needs for team work and
importance of communication in obtaining it.
Beureaucratic Theory of Management -Max Weber
(1864-1920)
• Weber was a German sociologist who was very sensitive to the abuses of power by people in
managerial positions. In order to reduce these abuses of power Weber proposed an organizational
system that would be run by rules and regulations commonly known as Bureaucracy. Under
Bureaucracy an effective organization had a hierarchical structure based on the formal authority and
where people were guided by rational rules and regulations rather than the arbitrary acts by those in
management. Weber believed that such rested on the following basic principles:
• managers should strive for strict division of labour and each position should be staffed by an expert
in that area, there should be a consistent set of rules that all employees must follow in performing their
jobs (the rules must be impersonal and rigidly enforced),
• there should be a clear chain of command
• •everyone should report to one and only one direct superior
• •communication should always follow this chain and never bypass individuals,
• business should be conducted in an impersonal way (managers must maintain an appropriate social
distance from their subordinates and not play favourites,
•
Beureaucratic Theory of Management -Max Weber
(1864-1920)
• Advancement within the organization should be based on technical expertise and performance rather
than seniority or favouritism,
Features of beureacratic theory
1. Division of labour
2. Fomral Hierarchial structure
3. Selection based on technical expertise
4. Manageemnt by rules
5. written Documents
6. Only legal powere is important
7. Formal and impersonal relations
Beureaucratic Theory of Management -Max Weber
classical school
• Weber made a distinction between authority and power.The scholar believed that power educes
obedience through force or threat of force which induces individuals to adhere to regulation.
• According to max ,there are three types of power in an organization :-
1. Traditional power
2. Charismastic power
3. Legal power/Bureaucratic power
The classical administrative theories of Fayol and Weber have had a lot of impact on management even
today.
a) Many current textbooks in management are organized around Fayol's theoretical framework. Fayol's
main contribution included the concepts of the Universality and transferability of managerial skills.
Even today it is widely accepted that management skills apply to all types of group activity. The
concept that certain identifiable principles underlie effective managerial behaviour and that these
principles can be taught also continues to have validity today.
b) Today many complex organizations are managed by the bureaucratic rules proposed by Weber. These
theories however have certain limitations
These theories however have certain limitations
1. The two theories assumed that all organizations can be managed by the same set of rules
and regulations. They failed to appreciate the difference between various organizations for
example you cannot run a government department on the same rules used in a social
organization like a club or a private company.
2. Secondly, the classical approach can be effective under a stable environment, but with
frequent changes (rampant today) it proves ineffective as conditions require modifications in
management principles and bureaucratic rules. Following outdated rules and principles can
be counterproductive.
3. Third the classical theories undervalued the human element in organizations. It saw people
as passive and capable of reacting only to organizational rules and economic incentives. It
ignored such qualities as attitudes, emotions, creativity and initiative. It failed to
accommodate the fact that people are capable of going against rules. In a bid to cover
these inadequacies in the classical theories the human relations movement and the
behavioural science approaches were developed.
THE BEHAVIOURAL SCHOOL OF MANAGEMENT THEORY
• Although most of the early theories ignored or neglected the human element in the workplace a few
individuals dwelt on the basic framework of the classical school and came up with more people
oriented theories. Notable among these were Mary Parker Follet and Chester Barnard, Hugo
Munsterberg and Elton Mayo.
a. Mary Parker Follet (1868-1933)
• Follet recognised the potential importance of the individual but advocated that no one could become a
whole person except as a member of a group. She believed that the artificial distinction between
managers as order givers and subordinates as order takers obscured the natural relationship that should
have existed between them as members of one group.
•
She strongly felt that for management and labour to become part of one group the traditional views on
workers would have to be abandoned, for instance leadership should not come from the power of
formal authority (as traditionally believed) but from the persons with greater knowledge and expertise.
•
Behavioural Theory of Management-Elton Mayo
Elton Mayo (1880-1949) and the human relations movement
• Elton Mayo is referred to as the father of human relations movement. This trend that started in 1920
up to 1950 concerned itself with the treatment of psychological satisfaction as the primary
management concern. Human relations is used to describe how managers interact with subordinates
when the management of people leads to better performance then there is good human relations. When
morale and efficiency deteriorate human relations in the organization is 'bad'.
• Managers need to know why employees behave the way they do and what psychological factors
motivate them if they are to create good human relations. The main catalyst of the human relations
debate was the Hawthorne studies, conducted by Fayol and his friends.
• Elton mayo experiment showed an increase in worker productivity was produced by the psychological
stimulus being singled out,involved,and made to feel important.
• Hawthorne effecct ,can be summarized as ‘Employees will respond positively to any novel change in
work environment like better illumination,clean work station ,relocating workstation etc.Employees
are more productive becasue they know they are being studied.
Hawthorne Experiments
• These were conducted by Elton Mayo and his associates from Harvard University.
• The studies were at the Hawthorne Plant of Western Electric Company (US) from 1927 to 1932.
Earlier on other researchers had conducted experiments using two groups - an experiment group which
was subjected to changes in the lighting (illumination) and a control group whose lighting was kept
constant. When lighting conditions were improved productivity went up, but even when lighting
conditions were worsened productivity also went up.
• This was puzzling but what complicated the problem further was that the control groups productivity
increased as lighting was altered for the experiment group.
• In an attempt to solve this puzzle Mayo triggered off the human relations movement. In a new
experiment Mayo used two groups of 6 women each. For the experiment group such variables as
salaries were changed, rest periods were added, work hours were shortened and groups were allowed
to suggest the changes they wanted made. Again output went up for both groups.
Behavioural theory-elton mayo
• Mayo ruled out financial resources as the causes since the control groups salary remained the same.
They concluded that a complex emotional chain reaction had triggered the
• increase in productivity. They felt that because the members of the groups had been singled out for
special attention, they developed a group pride that motivated them to improve productivity. The
experiment made Mayo conclude that special attention (like being selected in a study exposing one to
constant contact with top management) caused people to increase their efforts - a phenomenon that has
come to be referred to as the Hawthorne Effect.
• Mayo further tried to establish why such special attention should cause people to increase their efforts.
He found out that the special environment of employees informal work groups have great influence on
productivity. Mayo concluded that workers are human beings who are affected more by social
interactions. He felt that the concept of "social man" had to replace the old concept of "rational man"
advocated by the classical theorists.
Impacts / contributions of human relations
• Mayo's human relations had major impacts (contributions) on management thinking and practices.
• It focused on human factors as an important managerial variable which resulted in more and more
researches paying attention to the human element in organizations.
• It led to improvements in employee welfare in many organizations
• Labour gained more economic and political power acting through trade unions.
• Mayo also highlighted the importance of a manager's style and therefore revolutionalized
management training, and managers started thinking more in terms of group processes and group
rewards to supplement individual rewards.
The human relations movement also had three major limitations:
• In viewing human factors as the single most important organizational variable it committed the
mistakes of earlier theories, searching for one best way of managing. The scientific management
method had tried to search for the one best way of designing jobs, while the administrative theory had
searched for the one best way to arrange organizational activities.
• The human relations theorist also viewed workers as 'social beings' motivated by social rewards, but
this was also too simplistic a view of human beings who are complex and motivated by a variety of
factors.
• They also assumed that satisfied workers would be productive and this made firms introduce fringe
benefits e.g. vacations but this was not always true - benefits did not always result in increased
productivity. This movement however paved the way for the development of behavioural science of
the 1960s and 1970s.
Contemporary management theories
• In the recent past several new perspectives about management have emerged. These are
still evolving and have not attained the status of schools of thought but they still provide
useful insights into the understanding of management.
• Among these we have the contingency theory, systems theory, management theory Z,
management excellence and process theory.
• Contingency Theory
• This theory argues that appropriate management actions depend on the situation prevailing
at the time. According to this theory there are no ready made universal answers to
management rather the decision that a manager will make will depend on the situation.
• Every situation that a manager will confront will be somewhat different and therefore will
require different reactions.
Systems Theory
• This theory tries to look at how organizations function and operate as a system that is a subsystem of a
much bigger system. It is the process by which an organization receives feedback. A system is an
interrelated set of elements that function as a whole. It has four basic parts; it receives inputs, from the
environment, it transforms the resources into outputs (finished goods and finally receives feedback
from the environment).
• The feedback from the environment serves as a source of information about the performance of the
firm and hence it serves as a good basis for later decision making. (This notion of a system being only
part of a greater system is very useful to management and stands out as the greatest contribution of the
systems theory). The other useful concepts of the systems theory are the concepts of Synergy Entropy
and Equifinality.
• Synergy suggests that two people or units can achieve more working together than working
individually. Entropy is what happens when firms adopt a closed-system approach - they fall and die.
Equifinality is the idea that two or more strategies (paths) may lead to the same achievements (place).
Functions of Management
• The management functions are the separate parts (activities) that make up the whole process of
management. They can be described as the activities that are inherent in most management jobs. Many
of these activities can be grouped into one of the following general functions.
• a)Planning
• Planning involves determining the organizations goals and the best ways of reaching them. Plans
permit:
• i.The organization to obtain and commit the resources required to reach its objectives.
• ii.Members of the organizations to carry on activities in line with the chosen objectives.
• iii.Monitoring of progress towards the objectives with view of taking corrective action.
cont Functions of Management
• b)Organizing
• This is the second basic managerial function and it is the process of grouping activities and resources
in a logical and appropriate fashion. Basically it is creating the organizational chart for a firm.
(Determining the structure of the organization - the jobs to be done, who is to do them, how the jobs
are to be grouped, how much authority each manager is to have and how many employees each is to
supervise).
• c)Leading
• Is the set of processes associated with guiding and directing employees towards goal attainment.
Attempt to assure that the organization is moving towards its goals. It includes motivation, leadership
and communication.
• d)Controlling
• This is the final basic management function and it is the process of monitoring and adjusting
organizational activities towards goal attainment.
• e)Staffing: Recruitment of people and training them toward the project
Management roles
• Henry Mintzberg analyzed how managers spend their time and came to the conclusion that there are
three basic roles that managers play:- interpersonal roles, informational roles and decisional roles.
a.Interpersonal Roles
There are three interpersonal roles in the manager's job.
• The first is that of Figurehead. As head of a unit the manager puts in an appearance as the
representative of the organization by performing certain duties or ceremonies e.g. attending an
employees wedding, welcoming guests etc.
• The second role is that of leader. As a leader the manager hires employees, trains, motivates and
encourages them to perform better.
• Third the manager plays the interpersonal role of liaison, which involves dealing with people outside
the organization on a regular basis e.g. bankers, suppliers or clients.
b.Information Roles
• According to Mintzberg receiving and communicating information are perhaps the most important
aspects of a managers job. First he must act as a monitor i.e. he actively watches the environment for
information that might be relevant to the organization.
• Secondly the manager must act as a disseminator by relaying the information that he has gathered
through monitoring to the appropriate people in the organization.
• Third he must act as the spokesman of the organization by presenting information of meaningful
content and/or answering questions on the firms behalf. You probably have seen leaders answering
questions from the press about issues relating to their organizations or defending their organizations
against criticism or allegations levelled against them.
c.Decisional Roles
• These are the roles that managers take when they make decisions about certain issues. Under the
decisional roles the manager acts as the entrepreneur by looking for
•
opportunities that the organization can pursue to improve itself e.g. a profitable investment. Second
the manager acts as the disturbance handler by resolving conflicts between employees and responding
to situations beyond him/her control e.g. strikes, bankrupt customers, breach of contract etc.
• Third the manager must act as a resource allocator by being responsible for deciding how and to
whom the resources of the organization and the managers own time will be allocated.
• Fourthly the manager plays the decisional role of a negotiator. In this role the manager attempts to
work out agreements and contracts that operate in the best interest of the organization.
•
MANAGEMENT SKILLS
• Skills is what separates good managers from others. Like a player in any game, the more skilful a
manager is, the greater are his chances of success. Most scholars and writers agree that for effective
management the primary skills are technical, interpersonal, conceptual and diagnostic.
a. Technical Skills
• They are the skills needed to perform specialized tasks. They enable one to use the tools, procedures
or techniques of a specialized field. These skills are gained through formal training. These skills are
specially important for Firstline managers as they are the ones in the real operations of the firm.
b. Interpersonal (Human Skills)
• These are the skills needed to enable one to work with, understand and motivate others, either as
individuals or as groups. They include the ability to understand someone else's position, to present
ones own position in a reasonable, amicable manner. The better a manager's human skills are, the more
effective he/she is likely to be, since management is basically getting work done through people
Management skills
c. Conceptual Skills
• These relate to the managers mental ability to coordinate and integrate all the organization's interests
and activities i.e. to be able to think in the abstract, to see relationships between forces that others
cannot see and to take a global perspective of the organization and its environment. For example if a
manager recognises an opportunity that others have not and then successfully exploits that opportunity
he is drawing on conceptual skills. Conceptual skills are most important for top managers who must
look for opportunities to be exploited by the organization.
d. Diagnostic Skills
• The skills used to define and understand situations and events. They are mainly directed at problem
solving. For example, if a manager notices there is too much waste in production, the first step is to
define the problem, next determine what is causing the problem and third identify way(s) of solving
the problem.
Leadership
• This is the ability to influence people's behavior. It is the ability to influence people to willingly follow
one's guidance and adhere to one's decisions.
• Leadership iss the action of leading people in an organization towards achieving goals mainly by
influencing employee behaviour in several wayds
• A leader is the one who obtains followers and influences in setting and achieving of objectives.
Differentitae between leadership and management
• Managers lay down the structure and delegates authority and responsibility, leaders provides direction
by developing the organizational vision and communicating it to the employees and inspiring them to
achieve it.
• Management includes focus on planning, organizing, staffing, directing and controlling; leadership is
mainly a part of directing function of management. Leaders focus on listening, building relationships,
teamwork, inspiring, motivating and persuading the followers.
• A leader gets his authority from his followers, a manager gets his authority by virtue of his position in
the organization.
• Managers follow the organization’s policies and procedure, the leaders follow their own instinct.
• Management is more of science as the managers are exact, planned, standard, logical and more of
mind. Leadership, on the other hand, is an art. In an organization, if the managers are required, then
leaders are a must/essential.
Difference between leadership & Management
• While management deals with the technical dimension in an organization or the job content;
leadership deals with the people aspect in an organization.
• While management measures/evaluates people by their name, past records, present performance;
leadership sees and evaluates individuals as having potential for things that can’t be measured, i.e., it
deals with future and the performance of people if their potential is fully extracted.
• If management is reactive, leadership is proactive.
• Management is based more on written communication, while leadership is based more on verbal
communication.
Comparison between a manager & Leaders
Basis Leader Managers
Origin A person beomes a leaders on bais of personal qualities Becomes a maneger by virtue of his
position
Formal rights Rights are not available Gets formal rights in an
organization becuse of his status
Followers The group of employees he leads are his followers The surbordinates are his followers
Function Influence people to work willingly for group objective Performs all functions of
management
Necessity A leaders is required to create cordialrelation between
person workingin and for orgnaizatrion
A manger is very essential to
concern
Stability is temporary is more stable
Mutual
relationship
All are not managers All managers are leaders
Accountability have no well defined accountability is accountable for self and
surbordinatebehaviour and
leadership Role
1.Educator role
• -A leader will teach employees job skills, acceptable behavior and organizational values.
• -Managers work habits, attitudes and behaviors serve as a role model.
• -A leader is also responsible for formal training.
2.Counselor role
• -This role involves listening, giving advice, preventing and helping employees to develop solutions to
their problems.
• -A leader is expected to show an awareness and concern for the employees.
3.Judge role
• It involves-Appraising subordinates' performance.
• -Enforcing policies, procedures and regulations.
• -Setting disputes and dispensing of justice.
4.Spokesperson role
• -A leader speaks on behalf of the subordinates, the department and the organization.
Attribuites of a leader
1.Emotional appeal
• -A manager should be a rational decision maker, problem solver and is expected to use his/her
analytical skills in the process of decision making.
• -S/he should have a great vision which can alter the mood of the followers.
2.Needs of followers
• A leader should meet the needs and fulfillment of his/her followers. This helps in securing voluntary
compliance.
3.Personal traits
• -A leader should have the following traits:-
• a). Positive attitude and perception towards people. b). Self motivated.
• c). Should have self confidence and communication ability. d). Have trust in other people and also be
trustworthy.
Attributes of a good leader
4.Leadership matches
• -A leader should match his/her personal traits and the situational demands e.g. dancing when they are
dancing.
5.Leadership effectiveness
• -A leader aims at realizing and achieving the goals of the department and to satisfy the employees'
needs.
Qualities of a good leader
• Integrity -Persistence
• dedication -ability to deate
• Humility -Problem solving
• competence -posses technical skills
• openess -Tolerates criticism
• Fairness -ability to set clear goals
• assertiveness -encourages-inspires
• Team player -clear communication of the teams
leadership styles
• 1.Authoritarian style – a leader has all the authority and responsibility in an organization and
communication moves from top to bottom. A manager assigns tasks to specific workers and experts
orderly and precise results.
• A manager sets goals, tells workers to do and how and when to do it. Workers just implement.
• 2.Autocratic – It involves close supervision and a leader issues precise and detailed instructions to
cover every task.
• a)Dictatorial leadership style
• A leader tells workers what to do without comment or discussion.
• -There are rewards and penalties for success or failure.
• -There is strict control and no respect is shown by the leader to the subordinates.
• -Descent is not tolerated.
leadership styles
• b)Paternalistic leadership style
• -There is presence of close supervision, detailed instructions and a highly structured leader /
subordinate relationship.
• -A leader attempts to gain respect and allegiance of the workers.
• -Limited decent is tolerated and rewards are given to those who follow the instructions.
• Advantages of Autocracy
• i) Managers adequately coordinate work thereby facility its completion. ii). Decision making is faster.
• iii). It assists the subordinates to achieve their goals at work.
• Demerits of Autocracy
• i).Employee’ skills and knowledge is not fully utilized.
• ii).It suppresses the workers’ initiative and therefore they cannot develop to their full potential.
• iii).Workers may not be capable of working without close supervision.
• iv).Resentment by subordinates may occur if they are only involved in minor issues and excluded
from major ones.
Organization behaviour
leadership styles
• 4.Free Reign (Laissez-faire)
• -A leader allows workers to work as they choose with minimum interference.
• -Employees make decision and structure their own activities.
• -They consult with the leader but s/he is not directly involved in decision making.
• -A leader tells them what to do and when it should be accomplished and the workers decide on how to
accomplish it as they wish.
• Communication flows horizontally among the group members
Group Dynamics
Definition of Mission& Vision Statement
Importance of personal and organization missions and vision statements
Further readings
• 1.George Terry and stephen g. franklin, “Principles of management”,(AITBs, Delhi 1998)
• 2.Arthur G. Berden,”Management”,Dryolen Press New york, 1993)
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diploma HEALTH SYSTEM MANAGEMENT.pptx

  • 1. HEALTH SYSTEM MANAGEMENT DIPLOMA SEMESTER 1 2ND YEAR ORHOPAEDIC & TRAUMA MEDICINE RACHEL M.MAINA BSC.HRIM,MPH-M&E
  • 2. MODULE ONE UNITS 1. Introduction to leadership and management 2. organization of health services 3. human resource management 4. communication and netwroking 5. commodity and supplies management
  • 3. Module learning outcomes At the end of this module,the learner shall be able to : 1. Describe the concepts,principles,roles and functions of leadership and management 2. Explain the organization and coordination of healthcare services 3. Discuss priciples for effective leadership and management of human resources 4. Demonstrate effcetive communication within healthcare organization 5. Discuss priciples of commodity and supplies management
  • 4. Module 1:Introduction of leadership and Management • TOPIC 1:MANAGEMENT • By the end of the lesson the learner should be able to : 1. Define management 2. state the importance of studying management 3. Trace teh History of management and concepts
  • 5. Lesson 1:Introduction of management Objectives 1.To define management, terms in management 2.Explain the terms of organization performance 5
  • 6. Introduction of management • Management is planning ,organizing ,leading and controlling of human and other resources to achieve organizational goals effectively and efficiently. • The act of getting things done through people(Mary parker follet) • The use of people and other resources to accomplish objectives.(louis e.boone & David Kurtz) • The art of knowing what you want to do in the best and cheapest way(fredrick Taylor) Organization: collection of people who work together and coordinate their actions to achieve a wide variety of goals.
  • 7. Management concepts • Resources: • This include money (financial capital),manpower(people )and material(computers ,machinery) Organization perfomance • A measure of how efficiently and effectively managers are using organizational resources to satisfy customers and achieve organizational goals. • Efficiency:-A measure of how well or productively resources are used to achieve a goal • Effectiveness:- Am measure of appropriateness of the goals an organization is pursuing and the degree to which they are achieved
  • 8. Why study Management • Management is distinct process • Management is an organized activity • Management aims at 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
  • 9. Importance of studying management • The more efficient and effective use of scarce resources that organizations make of those resources, the greater the relative well being and prosperity of people in that society. • Helps people deal with their in charges and co-workers • Opens a path to a well paying job and career • Helps one be able to manage his/her own business or organization
  • 10. Importance of studying management • impact one with skills needed to compete with other competitors and deal with exterbnal changes in todays evoving economy • equip one with knwoledge on every aspect that make up the business and different decisions made at every management level • Enabe to have a better understanding of how people beahve in an organization,sources of power and influence and nature of leadership contents i.e organization behaviour,theorycomuication,human resource • Connect with the globe-One can work around the globe with global perspective of management • Enhance kowledge to learn and discover how organizations work-with enhanced knowledge this will brighten the futrure of your career • enable one to work in and through the organization-the effectiveness at work depends on your understanidn of the organizationand how to get thing done through it.
  • 11. HISTORY OF MANAGEMENT • The practice of management is as old as human civilization. The progress of mankind over the centuries is attributed to the effective management of resources. The irrigation systems, existence of public utilities, constructions of monuments e.g.Egyptian pyramids, Taj Mahal in India, demonstrates the practice of management in olden days. The ancient civilization of Mesopotamia, Greece, Rome and Indus valley, displays the results of good management practices. • NB: The study of management in a systematic way as a distinct body of knowledge, is only of recent origin. It is therefore said that management is described as “oldest of the Arts and youngest of the sciences”.
  • 12. MANAGEMENT AS A SCIENCE • For any branch of knowledge to be considered a science, it should fulfill the following: • a). Should have a systematic body of knowledge with its own principles (independent). • b). The principles have to be evolved on the basis of constant inquiry and examination (research). • c).The principles must explain a phenomenon by establishing a cause-effect relationship. • d). The principles should be available for verification to be universally acceptable. • Management as a discipline fulfills the above because: • i)It has emerged as a systematic body of knowledge with its own principles. • ii)The application of these principles helps any practicing manager to achieve the desired goals. • iii) Management is dynamic because it has borrowed heavily form other disciplines to help solve management problems, disciplines e.g. Psychology, Sociology, Philosophy, Religion, Economics.
  • 13. cont • that if there are changes in the environment, the management plans will be affected. • iv)Management plans are prone to change due to the changes in the external environment e.g. Technological changes, economic and socio-cultural changes. • MANAGEMENT AS AN ART • i)The word Art refers to the know how or ways of doing to accomplish the desired results. • ii)The focus is on the skill with which the activities are performed. • iii)The constant practice of the theoretical concept (knowledge base) contributes to the formation and sharpening of skills. • iv)Management as an art stresses the need for practice where in management graduate from the best institute may not be very effective and therefore requires creativity and practice.
  • 14. Management cannot be viewed as an exact science but rather inexact science because of the following: • i)By definition, management involves getting things done through other people who are unique in respect of aspirations, attitudes, perceptions e.t.c. • Their differences are so obvious that standard results may not be achieved in otherwise similar environment. • ii)The behavior of human beings cannot be predicted accurately and therefore standards and ready made solutions cannot be prescribed. • iii)Management is concerned with the future which is complex and unpredictable so
  • 15. Theories of Management • By the end of this topic the learner should be able: • a.To fully explain the different theories of management • b.To identify the disadvantages of bureaucratic theory of management
  • 16. Management theories 1. Fredrick Taylor -Theory of Scientific management 2. Henri Fayol-Administrative Management Theory 3. Max Weber-Bureaucratic Theory of Management 4. Elton Mayo-Behavioural Theory of management (Hawathorne Effect)
  • 17. Management theory • Management theories are a set of general rules that guide managers to manage an organization. • Theories are an explanation to assist employees to effectively relate to the business gaols and implement effective means to achieve the same • Our study of the theory of management will focus on the three well established schools of management theory. – The Classical School – The Behavioral School – The Management Science School THE CLASSICAL SCHOOL • This school of thought emerged around the turn of the twentieth century. It is divided into two sub areas: Scientific management, which historically focused on the work of individuals and classical organization theory (administrative management which was concerned with how organizations should be put together).
  • 18. The classical organization theory • This is the other branch of classical management. Classical organization theory grew out of the need to find guidelines for managing complex organizations such as factories. Henry Fayol is recognised as the father of classical organization theory because he was the first man to systematize managerial behaviour. Another contributor to classical organization theory was Max Weber.
  • 19. Theory of scientifc Management -Fredrick Taylor • Taylor aimed at improving economic efficiency,especially labour and productivity. • The scholar had a simple view about what motivated people at work-money.He felt that works shold get a fair pay for fair days work,and that pay should be linked to the amount produced. • He therefore introduced the differenctial pricerate system of paying wages to workers
  • 20. Principle of scientific management Four principles of scientific management:-  Time and motion study-study the way jobs are performed and findnew ways to do them  Teach,train and develop the workman with improved methods of doing work.Codify the new methods into rules  Interest of employer & employees should be fully harmonized so as to secure mutually understanding relations between them.  Establish fair levels of performance and pay a premium for higher performance
  • 21. Administrative Management Theory-Henry Fayol • Henry Fayol also known as father of management laid down the 14 principles of management 1. Division of work:this is the area of specialization that economists consider necessary for efficiency in the use of labour.Fayol applies the principle to all kinds of work, managerial as well as technical 2. Authority & responsibility:Fayol finds responsibility and authority to be related, with the latest arising from former .He sees authority as a combination of official factors ,deriving from the managers position and personal factors. 3. Discipline: respect the rule and regulation of the organization. Respect is seen as respect for agreements which are directed at achieving obedience ,application,energy,and outward marks of respect.Fayol declares discipline requires good superiors at all levels
  • 22. 14 principles of management 4.Unity of command: employees should receive orders from one superior only 5.Unity of direction: each group of activities with the same objectives must have one head and one plan 6.Subordination of individual interest to general interest: Put organization interest first before your own. 7.Remuneration :Pay should be fair and good performance should be rewarded 8.Centralization:Fayols refer to the extent to which authority is concentrated or dispersed . 9.Scalar chain: Authority flows from top to bottom through chain of command 10.Order: people and material should be at the right place and the right time 11.Equity: managers should be fair in dealing with employees on the part of managers when dealing with subordinates 22
  • 23. 14 principles of management 12.Stability of tenure: efficiency can be achieved by stable labour force.unnecessary turnover to be both the cause and effect of bad management.Fayol points out its danger and costs. 13.Initiative:employees should be given freedom to act and be innovative 14.Espirit de corps: Principle that’in union there is strength,teamwork should be encourage 'its an extensions of the continuity of command emphasing the needs for team work and importance of communication in obtaining it.
  • 24. Beureaucratic Theory of Management -Max Weber (1864-1920) • Weber was a German sociologist who was very sensitive to the abuses of power by people in managerial positions. In order to reduce these abuses of power Weber proposed an organizational system that would be run by rules and regulations commonly known as Bureaucracy. Under Bureaucracy an effective organization had a hierarchical structure based on the formal authority and where people were guided by rational rules and regulations rather than the arbitrary acts by those in management. Weber believed that such rested on the following basic principles: • managers should strive for strict division of labour and each position should be staffed by an expert in that area, there should be a consistent set of rules that all employees must follow in performing their jobs (the rules must be impersonal and rigidly enforced), • there should be a clear chain of command • •everyone should report to one and only one direct superior • •communication should always follow this chain and never bypass individuals, • business should be conducted in an impersonal way (managers must maintain an appropriate social distance from their subordinates and not play favourites, •
  • 25. Beureaucratic Theory of Management -Max Weber (1864-1920) • Advancement within the organization should be based on technical expertise and performance rather than seniority or favouritism, Features of beureacratic theory 1. Division of labour 2. Fomral Hierarchial structure 3. Selection based on technical expertise 4. Manageemnt by rules 5. written Documents 6. Only legal powere is important 7. Formal and impersonal relations
  • 26. Beureaucratic Theory of Management -Max Weber classical school • Weber made a distinction between authority and power.The scholar believed that power educes obedience through force or threat of force which induces individuals to adhere to regulation. • According to max ,there are three types of power in an organization :- 1. Traditional power 2. Charismastic power 3. Legal power/Bureaucratic power The classical administrative theories of Fayol and Weber have had a lot of impact on management even today. a) Many current textbooks in management are organized around Fayol's theoretical framework. Fayol's main contribution included the concepts of the Universality and transferability of managerial skills. Even today it is widely accepted that management skills apply to all types of group activity. The concept that certain identifiable principles underlie effective managerial behaviour and that these principles can be taught also continues to have validity today. b) Today many complex organizations are managed by the bureaucratic rules proposed by Weber. These theories however have certain limitations
  • 27. These theories however have certain limitations 1. The two theories assumed that all organizations can be managed by the same set of rules and regulations. They failed to appreciate the difference between various organizations for example you cannot run a government department on the same rules used in a social organization like a club or a private company. 2. Secondly, the classical approach can be effective under a stable environment, but with frequent changes (rampant today) it proves ineffective as conditions require modifications in management principles and bureaucratic rules. Following outdated rules and principles can be counterproductive. 3. Third the classical theories undervalued the human element in organizations. It saw people as passive and capable of reacting only to organizational rules and economic incentives. It ignored such qualities as attitudes, emotions, creativity and initiative. It failed to accommodate the fact that people are capable of going against rules. In a bid to cover these inadequacies in the classical theories the human relations movement and the behavioural science approaches were developed.
  • 28. THE BEHAVIOURAL SCHOOL OF MANAGEMENT THEORY • Although most of the early theories ignored or neglected the human element in the workplace a few individuals dwelt on the basic framework of the classical school and came up with more people oriented theories. Notable among these were Mary Parker Follet and Chester Barnard, Hugo Munsterberg and Elton Mayo. a. Mary Parker Follet (1868-1933) • Follet recognised the potential importance of the individual but advocated that no one could become a whole person except as a member of a group. She believed that the artificial distinction between managers as order givers and subordinates as order takers obscured the natural relationship that should have existed between them as members of one group. • She strongly felt that for management and labour to become part of one group the traditional views on workers would have to be abandoned, for instance leadership should not come from the power of formal authority (as traditionally believed) but from the persons with greater knowledge and expertise. •
  • 29. Behavioural Theory of Management-Elton Mayo Elton Mayo (1880-1949) and the human relations movement • Elton Mayo is referred to as the father of human relations movement. This trend that started in 1920 up to 1950 concerned itself with the treatment of psychological satisfaction as the primary management concern. Human relations is used to describe how managers interact with subordinates when the management of people leads to better performance then there is good human relations. When morale and efficiency deteriorate human relations in the organization is 'bad'. • Managers need to know why employees behave the way they do and what psychological factors motivate them if they are to create good human relations. The main catalyst of the human relations debate was the Hawthorne studies, conducted by Fayol and his friends. • Elton mayo experiment showed an increase in worker productivity was produced by the psychological stimulus being singled out,involved,and made to feel important. • Hawthorne effecct ,can be summarized as ‘Employees will respond positively to any novel change in work environment like better illumination,clean work station ,relocating workstation etc.Employees are more productive becasue they know they are being studied.
  • 30. Hawthorne Experiments • These were conducted by Elton Mayo and his associates from Harvard University. • The studies were at the Hawthorne Plant of Western Electric Company (US) from 1927 to 1932. Earlier on other researchers had conducted experiments using two groups - an experiment group which was subjected to changes in the lighting (illumination) and a control group whose lighting was kept constant. When lighting conditions were improved productivity went up, but even when lighting conditions were worsened productivity also went up. • This was puzzling but what complicated the problem further was that the control groups productivity increased as lighting was altered for the experiment group. • In an attempt to solve this puzzle Mayo triggered off the human relations movement. In a new experiment Mayo used two groups of 6 women each. For the experiment group such variables as salaries were changed, rest periods were added, work hours were shortened and groups were allowed to suggest the changes they wanted made. Again output went up for both groups.
  • 31. Behavioural theory-elton mayo • Mayo ruled out financial resources as the causes since the control groups salary remained the same. They concluded that a complex emotional chain reaction had triggered the • increase in productivity. They felt that because the members of the groups had been singled out for special attention, they developed a group pride that motivated them to improve productivity. The experiment made Mayo conclude that special attention (like being selected in a study exposing one to constant contact with top management) caused people to increase their efforts - a phenomenon that has come to be referred to as the Hawthorne Effect. • Mayo further tried to establish why such special attention should cause people to increase their efforts. He found out that the special environment of employees informal work groups have great influence on productivity. Mayo concluded that workers are human beings who are affected more by social interactions. He felt that the concept of "social man" had to replace the old concept of "rational man" advocated by the classical theorists.
  • 32. Impacts / contributions of human relations • Mayo's human relations had major impacts (contributions) on management thinking and practices. • It focused on human factors as an important managerial variable which resulted in more and more researches paying attention to the human element in organizations. • It led to improvements in employee welfare in many organizations • Labour gained more economic and political power acting through trade unions. • Mayo also highlighted the importance of a manager's style and therefore revolutionalized management training, and managers started thinking more in terms of group processes and group rewards to supplement individual rewards.
  • 33. The human relations movement also had three major limitations: • In viewing human factors as the single most important organizational variable it committed the mistakes of earlier theories, searching for one best way of managing. The scientific management method had tried to search for the one best way of designing jobs, while the administrative theory had searched for the one best way to arrange organizational activities. • The human relations theorist also viewed workers as 'social beings' motivated by social rewards, but this was also too simplistic a view of human beings who are complex and motivated by a variety of factors. • They also assumed that satisfied workers would be productive and this made firms introduce fringe benefits e.g. vacations but this was not always true - benefits did not always result in increased productivity. This movement however paved the way for the development of behavioural science of the 1960s and 1970s.
  • 34. Contemporary management theories • In the recent past several new perspectives about management have emerged. These are still evolving and have not attained the status of schools of thought but they still provide useful insights into the understanding of management. • Among these we have the contingency theory, systems theory, management theory Z, management excellence and process theory. • Contingency Theory • This theory argues that appropriate management actions depend on the situation prevailing at the time. According to this theory there are no ready made universal answers to management rather the decision that a manager will make will depend on the situation. • Every situation that a manager will confront will be somewhat different and therefore will require different reactions.
  • 35. Systems Theory • This theory tries to look at how organizations function and operate as a system that is a subsystem of a much bigger system. It is the process by which an organization receives feedback. A system is an interrelated set of elements that function as a whole. It has four basic parts; it receives inputs, from the environment, it transforms the resources into outputs (finished goods and finally receives feedback from the environment). • The feedback from the environment serves as a source of information about the performance of the firm and hence it serves as a good basis for later decision making. (This notion of a system being only part of a greater system is very useful to management and stands out as the greatest contribution of the systems theory). The other useful concepts of the systems theory are the concepts of Synergy Entropy and Equifinality. • Synergy suggests that two people or units can achieve more working together than working individually. Entropy is what happens when firms adopt a closed-system approach - they fall and die. Equifinality is the idea that two or more strategies (paths) may lead to the same achievements (place).
  • 36. Functions of Management • The management functions are the separate parts (activities) that make up the whole process of management. They can be described as the activities that are inherent in most management jobs. Many of these activities can be grouped into one of the following general functions. • a)Planning • Planning involves determining the organizations goals and the best ways of reaching them. Plans permit: • i.The organization to obtain and commit the resources required to reach its objectives. • ii.Members of the organizations to carry on activities in line with the chosen objectives. • iii.Monitoring of progress towards the objectives with view of taking corrective action.
  • 37. cont Functions of Management • b)Organizing • This is the second basic managerial function and it is the process of grouping activities and resources in a logical and appropriate fashion. Basically it is creating the organizational chart for a firm. (Determining the structure of the organization - the jobs to be done, who is to do them, how the jobs are to be grouped, how much authority each manager is to have and how many employees each is to supervise). • c)Leading • Is the set of processes associated with guiding and directing employees towards goal attainment. Attempt to assure that the organization is moving towards its goals. It includes motivation, leadership and communication. • d)Controlling • This is the final basic management function and it is the process of monitoring and adjusting organizational activities towards goal attainment. • e)Staffing: Recruitment of people and training them toward the project
  • 38. Management roles • Henry Mintzberg analyzed how managers spend their time and came to the conclusion that there are three basic roles that managers play:- interpersonal roles, informational roles and decisional roles. a.Interpersonal Roles There are three interpersonal roles in the manager's job. • The first is that of Figurehead. As head of a unit the manager puts in an appearance as the representative of the organization by performing certain duties or ceremonies e.g. attending an employees wedding, welcoming guests etc. • The second role is that of leader. As a leader the manager hires employees, trains, motivates and encourages them to perform better. • Third the manager plays the interpersonal role of liaison, which involves dealing with people outside the organization on a regular basis e.g. bankers, suppliers or clients.
  • 39. b.Information Roles • According to Mintzberg receiving and communicating information are perhaps the most important aspects of a managers job. First he must act as a monitor i.e. he actively watches the environment for information that might be relevant to the organization. • Secondly the manager must act as a disseminator by relaying the information that he has gathered through monitoring to the appropriate people in the organization. • Third he must act as the spokesman of the organization by presenting information of meaningful content and/or answering questions on the firms behalf. You probably have seen leaders answering questions from the press about issues relating to their organizations or defending their organizations against criticism or allegations levelled against them.
  • 40. c.Decisional Roles • These are the roles that managers take when they make decisions about certain issues. Under the decisional roles the manager acts as the entrepreneur by looking for • opportunities that the organization can pursue to improve itself e.g. a profitable investment. Second the manager acts as the disturbance handler by resolving conflicts between employees and responding to situations beyond him/her control e.g. strikes, bankrupt customers, breach of contract etc. • Third the manager must act as a resource allocator by being responsible for deciding how and to whom the resources of the organization and the managers own time will be allocated. • Fourthly the manager plays the decisional role of a negotiator. In this role the manager attempts to work out agreements and contracts that operate in the best interest of the organization. •
  • 41. MANAGEMENT SKILLS • Skills is what separates good managers from others. Like a player in any game, the more skilful a manager is, the greater are his chances of success. Most scholars and writers agree that for effective management the primary skills are technical, interpersonal, conceptual and diagnostic. a. Technical Skills • They are the skills needed to perform specialized tasks. They enable one to use the tools, procedures or techniques of a specialized field. These skills are gained through formal training. These skills are specially important for Firstline managers as they are the ones in the real operations of the firm. b. Interpersonal (Human Skills) • These are the skills needed to enable one to work with, understand and motivate others, either as individuals or as groups. They include the ability to understand someone else's position, to present ones own position in a reasonable, amicable manner. The better a manager's human skills are, the more effective he/she is likely to be, since management is basically getting work done through people
  • 42. Management skills c. Conceptual Skills • These relate to the managers mental ability to coordinate and integrate all the organization's interests and activities i.e. to be able to think in the abstract, to see relationships between forces that others cannot see and to take a global perspective of the organization and its environment. For example if a manager recognises an opportunity that others have not and then successfully exploits that opportunity he is drawing on conceptual skills. Conceptual skills are most important for top managers who must look for opportunities to be exploited by the organization. d. Diagnostic Skills • The skills used to define and understand situations and events. They are mainly directed at problem solving. For example, if a manager notices there is too much waste in production, the first step is to define the problem, next determine what is causing the problem and third identify way(s) of solving the problem.
  • 43. Leadership • This is the ability to influence people's behavior. It is the ability to influence people to willingly follow one's guidance and adhere to one's decisions. • Leadership iss the action of leading people in an organization towards achieving goals mainly by influencing employee behaviour in several wayds • A leader is the one who obtains followers and influences in setting and achieving of objectives.
  • 44. Differentitae between leadership and management • Managers lay down the structure and delegates authority and responsibility, leaders provides direction by developing the organizational vision and communicating it to the employees and inspiring them to achieve it. • Management includes focus on planning, organizing, staffing, directing and controlling; leadership is mainly a part of directing function of management. Leaders focus on listening, building relationships, teamwork, inspiring, motivating and persuading the followers. • A leader gets his authority from his followers, a manager gets his authority by virtue of his position in the organization. • Managers follow the organization’s policies and procedure, the leaders follow their own instinct. • Management is more of science as the managers are exact, planned, standard, logical and more of mind. Leadership, on the other hand, is an art. In an organization, if the managers are required, then leaders are a must/essential.
  • 45. Difference between leadership & Management • While management deals with the technical dimension in an organization or the job content; leadership deals with the people aspect in an organization. • While management measures/evaluates people by their name, past records, present performance; leadership sees and evaluates individuals as having potential for things that can’t be measured, i.e., it deals with future and the performance of people if their potential is fully extracted. • If management is reactive, leadership is proactive. • Management is based more on written communication, while leadership is based more on verbal communication.
  • 46. Comparison between a manager & Leaders Basis Leader Managers Origin A person beomes a leaders on bais of personal qualities Becomes a maneger by virtue of his position Formal rights Rights are not available Gets formal rights in an organization becuse of his status Followers The group of employees he leads are his followers The surbordinates are his followers Function Influence people to work willingly for group objective Performs all functions of management Necessity A leaders is required to create cordialrelation between person workingin and for orgnaizatrion A manger is very essential to concern Stability is temporary is more stable Mutual relationship All are not managers All managers are leaders Accountability have no well defined accountability is accountable for self and surbordinatebehaviour and
  • 47. leadership Role 1.Educator role • -A leader will teach employees job skills, acceptable behavior and organizational values. • -Managers work habits, attitudes and behaviors serve as a role model. • -A leader is also responsible for formal training. 2.Counselor role • -This role involves listening, giving advice, preventing and helping employees to develop solutions to their problems. • -A leader is expected to show an awareness and concern for the employees. 3.Judge role • It involves-Appraising subordinates' performance. • -Enforcing policies, procedures and regulations. • -Setting disputes and dispensing of justice. 4.Spokesperson role • -A leader speaks on behalf of the subordinates, the department and the organization.
  • 48. Attribuites of a leader 1.Emotional appeal • -A manager should be a rational decision maker, problem solver and is expected to use his/her analytical skills in the process of decision making. • -S/he should have a great vision which can alter the mood of the followers. 2.Needs of followers • A leader should meet the needs and fulfillment of his/her followers. This helps in securing voluntary compliance. 3.Personal traits • -A leader should have the following traits:- • a). Positive attitude and perception towards people. b). Self motivated. • c). Should have self confidence and communication ability. d). Have trust in other people and also be trustworthy.
  • 49. Attributes of a good leader 4.Leadership matches • -A leader should match his/her personal traits and the situational demands e.g. dancing when they are dancing. 5.Leadership effectiveness • -A leader aims at realizing and achieving the goals of the department and to satisfy the employees' needs.
  • 50. Qualities of a good leader • Integrity -Persistence • dedication -ability to deate • Humility -Problem solving • competence -posses technical skills • openess -Tolerates criticism • Fairness -ability to set clear goals • assertiveness -encourages-inspires • Team player -clear communication of the teams
  • 51. leadership styles • 1.Authoritarian style – a leader has all the authority and responsibility in an organization and communication moves from top to bottom. A manager assigns tasks to specific workers and experts orderly and precise results. • A manager sets goals, tells workers to do and how and when to do it. Workers just implement. • 2.Autocratic – It involves close supervision and a leader issues precise and detailed instructions to cover every task. • a)Dictatorial leadership style • A leader tells workers what to do without comment or discussion. • -There are rewards and penalties for success or failure. • -There is strict control and no respect is shown by the leader to the subordinates. • -Descent is not tolerated.
  • 52. leadership styles • b)Paternalistic leadership style • -There is presence of close supervision, detailed instructions and a highly structured leader / subordinate relationship. • -A leader attempts to gain respect and allegiance of the workers. • -Limited decent is tolerated and rewards are given to those who follow the instructions. • Advantages of Autocracy • i) Managers adequately coordinate work thereby facility its completion. ii). Decision making is faster. • iii). It assists the subordinates to achieve their goals at work.
  • 53. • Demerits of Autocracy • i).Employee’ skills and knowledge is not fully utilized. • ii).It suppresses the workers’ initiative and therefore they cannot develop to their full potential. • iii).Workers may not be capable of working without close supervision. • iv).Resentment by subordinates may occur if they are only involved in minor issues and excluded from major ones.
  • 55. leadership styles • 4.Free Reign (Laissez-faire) • -A leader allows workers to work as they choose with minimum interference. • -Employees make decision and structure their own activities. • -They consult with the leader but s/he is not directly involved in decision making. • -A leader tells them what to do and when it should be accomplished and the workers decide on how to accomplish it as they wish. • Communication flows horizontally among the group members
  • 57. Definition of Mission& Vision Statement
  • 58. Importance of personal and organization missions and vision statements
  • 59. Further readings • 1.George Terry and stephen g. franklin, “Principles of management”,(AITBs, Delhi 1998) • 2.Arthur G. Berden,”Management”,Dryolen Press New york, 1993)