Introduction to

Management
Module 1
Introduction to Management
After studying this chapter you should be able to
Define Management, Managers and an Organization
Explain components of a Business Environment
Understand what managers do functions, skills & roles
Define characteristics of management
Explain whether management is an art or a science
Differentiate between a manager & a leader

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 How do you define an organization?
A group of people working together in a
structured & coordinated fashion to achieve a
set of goals

4 Types of resources used in an organization

Human Resources Managerial talent & labour

Physical Resources raw materials, office and production facilities & equipment
Financial Resources Capital investments to support ongoing and long term operations
Information Resources Usable data, information linkages

All organizations (Irrespective of the type of organization or the the end goals) use some combination of the above
resources to achieve their goals
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Business Environment

Internal Stakeholders
Owners
Employees
- Stakeholder refers to any constituent affected by the organizations decisions and actions Management
- Internal Environment are the conditions, events and factors within an org that influence org Board of Directors
Physical Environment
activities & choices particularly the behaviour of employees Culture
- External environment refers to forces and factors outside the org that affect the orgs
performance
Micro Environment
- Specific/Micro/Task Environment refers to what directly impacts managers decisions & Actions
Regulators/Public Pressure groups
and achievement of goals Customers
- General/Macro Environment broad factors that might affect the organization Suppliers
Competition
Internal
stakeholders Strategic/Channel Partners

Micro/Task
Environment
External
environment
Macro Environment (PESTLE)
Global Business
Macro/General Socio Cultural
Environment
Technological
Economic
Political Legal
Demographic
Environment
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Who is a manager?
Manager
Someone who coordinates and oversees the work of other
people so that organizational goals can be accomplished.

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Classifying managers Top
Managers

First-line Managers
Individuals who manage the work of Middle Levels
non-managerial employees. Managers

Middle Managers
Individuals who manage the work of first-
line managers.
First Level Managers
Top Managers
Individuals who are responsible for
making organization-wide decisions and
establishing plans and goals that affect Individual Contributors/Non
the entire organization. Managerial Staff

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Management is
A set of activities
Planning, Organizing, leading and controlling

directed at organizational resources

Human, financial, physical and information

With the aim of achieving organizational goals in an Effective & Efficient manner

Efficiency is the doing things right Effective is doing the right thing

Other definitions
Management is the art of getting things done through and with people in formally organized groups - Koontz

Management is the process of designing and maintaining an environment in which individuals, working together in
groups, efficiently accomplish selected aims Weihrich & Koontz

Accomplishment of results through efforts of other people Lawrence A Appley

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What is management

Planning
and
Decision
Making
Inputs from the
environment Goals Attained
Human Resources Efficiently
Financial resources Effectively
Physical resources Controlling Organizing
Informational
Resources

Leading

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 What is management
Primary Managerial Concerns
Efficiency
Doing things right
Getting the most output
for the least inputs
Effectiveness
Doing the right things
Attaining organizational
goals

Copyright 2010 Pearson Education, Inc. Publishing as Prentice Hall

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What do managers do
3 approaches to defining managers
Basis functions they perform
Roles they play (Mintzbergs refer the other set of slides)
Skills they need

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1) Functions of Management
Controlling
Managerial process that ensures
conformance of performance to pre-
established standards by measuring
individual and org performance,
comparing it with standards and
correcting any deviations
Controlling
Directing/Leading
Process of influencing peoples
behaviour for achievement of org
roles through creating of an org
climate, provision of leadership,
motivation, conflict management,
overseeing employees and activities
to get the bestout of employees
Process of Management Planning
Process of selecting missions, goals
and objectives of an activity/org and
determining a systematic process and
Plannning actions for their establishment
Organizing
Organizing
Process of establishing an org
structure, assigning roles,
responsibilities and tasks to different
positions establishing hierarchy,
Directing/L reporting and authority relationships
between them
eading
Staffing involves different
activities that are involved in filling
and keeping filled various positions
in an org structure
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 3) Managerial Skills (Katzs Skills)

Technical Skills
Knowledge and proficiency in a
specific field
Human Skills
Ability to work well with people
Conceptual Skills
Ability to think about abstract and
complex situations regarding the
organization

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Characteristics of management
Intangible its presence can only be felt in results

Goal oriented

Group/Social Activity getting things done through the efforts of others

Multi-dimensional/Integrative process effective direction of all relevant aspects of the

organization towards achieving goals

Management is dynamic

Management is a continuous process

Managing efficacy and efficiency

Optimum Utilization of resources

Decision making process

A discipline/A profession/An Art and a Science

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Management An Art or science
Management is both an art and a science
As an art
management needs certain skills technical, conceptual, interpersonal,
communication to accomplish managerial tasks
Decisions are made and problems solved using a blend of intuition, experience, instinct
and personal insights

As a science
provides managers with a systematic body of knowledge that posses certain principles,
laws, generalizations that have been tested and verified
Assumes that problems can be approached using rational logical and objective
methods

But it is not an absolute science more of a crude science as application

varies from person to person/situation to situation

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Manager vs. Leader

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 Terms to know
manager management roles Read up
first-line managers interpersonal roles All Mintzbergs roles
middle managers
informational roles Read up and understand all components
top managers of micro/macro environment
decisional roles
management Why do we need
technical skills managers/management
efficiency
human skills Rewards and Challenges of being a
effectiveness manager in todays times
conceptual skills
planning
Challenges of being an Indian Manager
organizing organization in todays times

leading Universal Applicability of Management

controlling
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