introduction about management nature purpose functions level of managers recent trends

1. Management: Introduction
 The systematic study of management as a distinct body of
knowledge is only of recent origin.
 However, since the practice of management has been in existence
from several centuries, there are numerous ancient writings also
available on the different aspects of management. Some of these
works continue to serve as a reference for modern management
thinkers. A few notable writings are:
 Arthashastra, written by Kautilya in the 3rd century BC
 The Art of War, written by Sun Tzu of China more than 2,000
years ago,
 The Prince is a political treatise by the Italian diplomat Niccolò
Machiavelli written in 1513.

2. Definition of management
 Management
 The process of getting things done, effectively and
efficiently, through and with other people
 Efficiency
Means doing the thing correctly; refers to the relationship
between inputs and outputs; seeks to minimize resource
costs
 Effectiveness
Means doing the right things; goal attainment
 A comprehensive definition of management is –
„management is the coordination of all resources through the
process of planning, organizing, directing and controlling in
order to attain stated objectives‟. (Henry L. Sisk)

3. Nature
 Goal oriented
 Intangible
 Social process
 Group activity
 System of authority

4. Purpose
 Optimum use of resource
 Effective leadership and motivation
 Sound industrial relation
 Achievement of goals
 Change and growth
 Improvement in standard of living

5. Functions

6. levels and types of managers

7. Managerial roles
 Interpersonal
 Figurehead
 Leader
 Liaison
 Informational
 Monitor
 Disseminator
 Spokesperson
 Decisional
 Entrepreneur
 Disturbance hander
 Resource allocator
 Negotiator

8. skills for managers:
General Skills for Managers
• Conceptual skills
– A manager’s mental ability to coordinate all of the organization’s
interests and activities
• Interpersonal skills
– A manager’s ability to work with, understand, mentor, and
motivate others, both individually and in groups
• Technical skills
– A manager’s ability to use the tools, procedures, and techniques
of a specialized field
• Political skills
– A manager’s ability to build a power base and establish the right
connections

9. Skills for managers:
Specific Skills for Managers
 Behaviors related to a manager’s effectiveness:
 Controlling the organization’s environment and its
resources.
 Organizing and coordinating.
 Handling information.
 Providing for growth and development.
 Motivating employees and handling conflicts.
 Strategic problem solving.

10. FAYOL’S FOURTEEN PRINCIPLES OF
MANAGEMENT:
 Division of work: specialization of jobs work of all kinds must be divided &
subdivided and allotted to various persons according to their expertise in a
particular area. Leads to simplicity and efficiency in work. Also helps to
acquire speed and accuracy in work.
 Authority &Responsibility: Authority refers to the right (power) of superiors
to get exactness from their sub ordinates whereas responsibility means
obligation for the performance of the job assigned. Whoever assumes authority
also assumes responsibility. Authority without responsibility leads to
irresponsible behavior whereas responsibility without authority makes the
person ineffective.
 Discipline: According to Fayol, "Discipline means sincerity, obedience, respect
of authority & observance of rules & regulations of the enterprise". This
principle applies that subordinate should respect their superiors & obey their
order.
 Unity of Command: A subordinate should receive orders and be accountable
to one and only boss/manager at a time. Unity of command provides the
enterprise a disciplined, stable & orderly existence.

11. FAYOL’S FOURTEEN PRINCIPLES OF
MANAGEMENT Contd..
 Unity of Direction: The entire organization should be moving towards a
common objective in a common direction. Related activities should be
grouped-together. There should be one plan of action for them and they
should be under the charge of a particular manager.
 Subordination of individual interest to the general interest: The interests
of one person should not take priority over the interests of the organization
as a whole.
 Remuneration: The quantum & method of remuneration to be paid to the
workers should be fair, reasonable, satisfactory & rewarding of the efforts.
Wages should be determined on the basis of cost of living, work assigned,
financial position of the business, wage rate prevailing etc. Also
recommended provision of other benefits such as free education, medical &
residential facilities to workers.

12. FAYOL’S FOURTEEN
PRINCIPLES OF MANAGEMENT
Contd..
 Scalar Chain: Fayol defines scalar chain as `The chain of superiors
ranging from the ultimate authority to the lowest’. Each order,
instruction, message, request, explanation etc. has to pass through
scalar chain. But for the sake of convenience & urgency, this path
can be cut short and this short cut is known as Gang Plank to
facilitate quick and easy communication.

13. FAYOL’S FOURTEEN
PRINCIPLES OF MANAGEMENT
Contd..
 Order: This principle is concerned with proper & systematic arrangement
of things & people. Arrangement of things is called material order and
placement of people is called social order.
 Equity: All employees should be treated as equally as possible. It is a
combination of fairness, kindness & justice.
 Stability of Tenure of Personnel: Retaining productive employees should
always be a high priority of management. Thereby reducing the cost for
hiring new candidates. Time is required for an employee to get used to a
new work & succeed to doing it well but if he has removed before that he
will not be able to render worthwhile services. It ultimately increase the
quality as well as quantity of work.

14. FAYOL’S FOURTEEN
PRINCIPLES OF MANAGEMENT
Contd..
 Initiative: Management should take steps to encourage worker
initiative, which is defined as new or additional work activity
undertaken through self direction. Fayol says management should
provide opportunity to its employees to suggest ideas, experiences
& new method of work.
 Espirit De Corps: Management should encourage team
spirit/harmony and general good feelings among employees. Proper
coordination of work, encouragement to subordinates, giving
chance to improve, etc will foster team spirit.
 Centralization & Decentralization: Centralization means
concentration of authority at the top level. Decentralization means
disposal of decision making authority to all the levels of the
organization. The degree to which centralization or decentralization
should be adopted depends on the specific organization in which the
manager is working.

15. RECENT TRENDS IN
MANAGEMENT
 Globalization Management
 Workforce Diversity, Increasing heterogeneity
 Entrepreneurship Defined
 E-Business
 Learning Organization
 Quality Management A philosophy of management

16. EVOLUTION OF MANAGEMENT
THOUGHT: (I) THE SCIENTIFIC PROCESS
SCHOOL BY FREDERICK WINSLOW
TAYLOR :
 Scientific management, also called as Taylorism, was a theory of
management whose main objective was improving economic
efficiency, especially labor productivity. Its development began
with F.W.Taylor in the 1880s and 1890s within the manufacturing
industries. It was one of the earliest attempts to apply science to
the engineering of processes and to management.
Features:
 Job Analysis/Work Study: It eliminates wasteful & unnecessary
operations, reduced effort & increases productivity.
 Time Study involves the determination of time a movement takes to
complete.
 Motion Study involves the study of movement of both the workers
& machines so as to identify wasteful movements & performing only
necessary movements.

17. FEATURES OF THE SCIENTIFIC PROCESS
SCHOOL BY FREDERICK WINSLOW TAYLOR
Contd..
 Fatigue Study: shows the amount & frequency of rest required in
completing the work
 Standardization: Standardizations should be maintained in respect of
instruments and tools, period of work, amount of work, working
conditions, cost of production etc.
 Scientific Selection & training of workers: A person who is having
education, work experience, attitude towards work etc should be
selected.
 Financial Incentives: Based on individual’s performance, if worker
performs well he will get extra wages (bonus) and if worker does not
perform well will get no extra wages (bonus).
 Economy: Making the resources more productive, eliminate wastage.
By doing this economy of the company will be good.
 Mental Revolution: Co-operation between the management &
workers, if workers are cooperative for management and vice versa,
then the organization runs smoothly.

18. PRINCIPLES OF F W TAYLOR’s
SCIENTIFIC APPROACH:
• Science in place of Rule of Thumb methods : Rule of Thumb emphasizes
estimation. Science - exactness of various aspects of work like days fair
work, standardization in work, differential piece rate for payment etc.
• Scientifically select, train and develop each worker rather than passively
leave them to train themselves.
• Co-operation , not individualism: Cooperation between managers &
workers can be developed through .mutual understanding & change in
thinking.
• Equal division of responsibility : between managers & workers so that the
Managers apply the scientific principles in planning the work and the
workers actually perform the tasks.
• Maximum output rather than restricted output: Continuous increase in
production instead of restricted production.
• Development of each man to the greatest of his efficiency & prosperity :
Training should be provided to workers to keep them fully fit according to
the requirement of new methods of working.

19. TAYLOR'S STUDY HAD THE FOLLOWING
DRAWBACKS:
 Ignores human factors - Considers them as machines
and is therefore dehumanizing in nature.
 Increased the monotony in work while emphasizing
more on principles of improved productivity. Skill,
variety, feedback, task identity, autonomy were missing.
 Ignores human requirements, wants & aspirations
 Level of Dissatisfaction - Comparing performance with
others
 While in many cases the new ways of working were
accepted by workers, in some cases they were not. The
use of stopwatches often was a protested issue and led to
a strike at a factory where “Taylorism” was being tested.

20. (II) MANAGEMENT PROCESS
SCHOOL BY HENRY FAYOL
 Henry Fayol is the father of the Management Process School.
It was Henry Fayol, who for the first time studied the
functions & principles of management in a systematic manner.
This school regards management as a process of getting
things done through and with people operating in organized
groups. He identified 6 types of business activities as
mentioned below but concentrated more on a less common
activity – Managerial Activities.
 Technical activities (production)
 Commercial activities (buying, selling & exchanging)
 Financial activities (search for, and optimum use of, capital)
 Security services (protection of property & persons)
 Accounting activities (including statistics)
 Managerial activities (planning, organization, command).