Professional Documents
Culture Documents
Where We Are
Part 1 Introduction Part 2 Planning Part 3 Organizing Part 4 Leading Part 5 Controlling
Chapter 1 Managers and management
Chapter Guide
Three starting concepts Nature of management
Functional view on Management Managers role model Universality of management
Define Organization
An organization is a systematic arrangement of people to accomplish some specific purpose.
Goals
Structure
People
Define Managers
Managers are individuals in an organization who direct the activities of others. Operatives are the people who work directly.
Supervise Others Top Managers Middle Managers First-Line Managers Operative Employees Work on Jobs
Define Management
The term management refers to the process of getting things done effectively and efficiently, through and with other people.
Ends: Effectiveness
Goals
low waste high attainment
G O A L A T T A I N M E M T
Planning
Organizing
Leading
Controlling
Planning
Defining an organizations goals Establishing strategy for achieving the goals
Organizing
Determining What task to be done Determining Who is to do them Determining How the tasks are be grouped Determining Who reports to whom Determining Where decisions are to be made
Leading
Motivating employees
Directing activities of others
Controlling
Monitoring the organizations performance Comparing actual performance with previous set goals
Decisional
Informational
Interpersonal
Interpersonal Roles
Figurehead
Leader
Formal Authority and Status
Liaison
Informational Roles
Monitor
Disseminator
Interpersonal Roles
Spokesman
Decisional Roles
Resource Allocator
Informational Roles
Negotiator
33%
36%
22%
Planning
Organizing
Controlling
Leading
Importance
High
Large Firms
Resource Allocator
Moderate
Disseminator
Low
Entrepreneur
Deals with anyone necessary to get the job done Makes most decisions alone Invites others to join in decision making Demands long hours of Demands results working
Conceptual
Interpersonal
oTechnical Skills involves process or technique knowledge and proficiency. Managers use the processes, techniques and tools of a specific area. oHuman skill involves the ability to interact effectively with people. Managers interact and cooperate with employees.
oConceptual skill involves the formulation of ideas. Managers understand abstract relationships, develop ideas, and solve problems creatively. oThus, technical skill deals with things, human skill concerns people, and conceptual skill has to do with ideas.
Concept Skills
Human
Skills
Technical Skills
Management Competencies
Management Charter Initiative (MCI)
Initiate and implement change and improvement
Management Competencies
Management Charter Initiative (MCI)
Develop teams, individuals, and self Plan, allocate, and evaluate work Create, maintain, and enhance relationships
Sociology
Political Science
PRE-SCIENTIFIC MANAGEMENT
worker did all steps. Productioneach worker specialized in one step. Thus introduced the concept of division of labor : The breakdown of jobs into narrow, repetitive tasks.
o The most important pre-twentieth-century influence on management was the industrial revolution. Machine power was rapidly substituted for human power.
o The advent of machine power combined with division of labor was leading to mass production.
o Managers were needed to forecast demand, coordinate various activities, maintenance of machinery, and so forth.
TAYLORS PRINCIPLES:
1. The development of a true science of work. - work study, with an acute emphasis on job specialisation. - emphasis on performance-related pay. 2. The scientific selection and development of the worker. 3. The bringing together of the science of work and the scientifically selected & trained workers.
4. The constant and close co-operation of management and men - specialization. - the removal of conflict.
1.Classical Theory(cont.)
b)Administrative Mgt /Functional Management
Also called administrative management; emphasizes on the manager and functions of the management. Henri Fayol First to systematize organization, using scientific forecasting and proper method of management.Focus on formal organization structure that separate basic process of general management.
Fayols 14 principles
Division of work Authority and responsibility Discipline Unity of command (one boss) Unity of direction(one plan ,one objective) Subordination of individual interests to organzational interest Remuneration(fair compensationboth for employees and employers )
Fayols 14 principles
Centralisation Scalar chain Order Equity Stability Initiative Espirit de corps (unity is strength,team work)
1.Classical Theory(cont.)
2.Neoclassical Approach
Elton Mayo and rothlesberger from harward business school were requested to be consultants studies at Western Electrics Hawthorne Plant and began with an investigation to see if different lighting affected workers productivity.
The Hawthorne effect is an increase in worker productivity produced by the psychological stimulus of being singled out and made to feel important.
Illumination Experiments : Mapped workers productivity with varying levels of illumination (control gp and exp gp) Relay Assembly room experiments: work gp of girls )new elements like shorter work hours,rest pauses,improved physical conditions etc were maintained. However even when withdrawn productivity increased.(Socio psychological factors I am important and under observation) Bank wiring experiments :study workers under normal conditions. Prodn records of these 14 wrks were compared with earlier records however no change . But existence of informal cliques groups and informal prodn norms observed ( ex people maintained or restricted output in interest of slow performing workers) Mass Interview Programme:researches interviewed to find perception of working conditions norms etc Findings confirmed importance of social factors at work in the total work environment.
Hawthorne Experiments
He was a humanistic psychologist who proposed a hierarchy of human needs: physiological needs, safety, social, esteem and selfactualization.
Maslow argued that each level in the hierarchy must be satisfied before the next could be activated.
Douglas McGregor He is best known for his formulation of two sets of assumptionsTheory X and Theory Y.
Process Approach
1920s (Henri Fayol): Plan, Organize, Command, Coordinate, Control 1950s (Harold Koontz): Planning, Organizing, Staffing, Directing, Controlling 1990s (Stephen Robbins): Planning, Organizing, Leading, Controlling
Process Approach
Organizing
Determining what needs to be done, and who is to do it.
Leading
Directing and motivating all involved parties and resolving conflicts
Planning
Achieving the organization's stated purpose
Defining goals, establishing strategy, and developing subplans to coordinate activities
Controlling
Monitoring activities to ensure that they are accomplished as planned
4.Systems Approach
System: A set of interrelated and interdependent parts arranged in a manner that produces a unified whole. Environment and system: System interact with the environment by exchanging materials, energy and information. System view on management: Organizations do not operate in isolation, their survival and growth often depends on successful interactions with the external environment.
Systems Approach
Global Public Pressure Groups Government Suppliers
The Organization
Customers
Competitors
Labor Unions
Open System
continually interacts with its environment
Organizations are open systems that constantly interact with the external environment:
Inputs The people, money, information, equipment, and materials required to produce and organizations goods or services Transformational Processes Outputs The products, services, profits, losses, employee satisfaction or discontent, and the like that are produced by the organization
Feedback Information about the reaction of the environment to the outputs that affect the inputs
The organizations capabilities in management and technology that are applied to converting inputs to outputs
5.Contingency Approach
What is the best way to management ?
.... It all depends. What it depends on ? .... It depends Contingency factors or contingency variables. What are contingency variables ? .... You can get hundreds of them.
Contingency Approach
Organization Size Environmental Uncertainty
Contingency Approach
There is no optimum way to structure organization. It is dependent on upon the contingencies of the situation. Four popular contingency variables Organization size (coordination) Routine- ness of task technology (task complexity dictates structure) Environmental uncertainty (change management) Individual differences (managerial styles , motivational techniques, and job design)
Case study 1
Naval had just graduated from a reputed b school and joined his fathers business which employed 28 semiskilled workers. After 1 week his father ,a retired government officer said ,Naval have had a chance to observe your working of men and women for the past few days. Although I hate to , but I must say something. You are just too nice to people.I know that they taught you human relations at the management institutebut it just does not work here.I remember when Hawthorne studies were reported everyone got excited about them.But believe me there is more to manage people then just being nice to them .
?Questions
Do you think Navals father interpreted and understood Hawthorne studies completely? If you were Naval what would be your reactions to Your fathers comments?
Chapter Summary
Managers vs. operative employees Meaning of management Efficiency and effectiveness Four primary management processes Three levels of managers
Chapter Summary
Essential roles of managers Generic character of the managers job Skills of successful managers Value of studying management Relevant Disciplines to management
Chapter Summary
Prominent early contributors Hawthorne studies Process approach System approach Contingency approach