Module -1
Chapter -1: Management
Definition of management:
Simplest definition is that it is defined as the “art of getting things Done through people”.
Management can also be defined as
The process consisting of planning, organizing, actuating, and controlling performed to
determine and accomplish the use of people and resources.
Is systematic way of doing things.
Importance of Management
➢ Achievement of Group Goals
➢ Optimum Utilization of Resources
➢ Fulfillment of Social Obligations
➢ Stability
➢ Human Development
Difference between some manager and other personnel in the organization:
A manager is one who contributes to the organizational goals indirectly by directing the efforts
others by not performing the task by himself
A person who is not a manager makes his contribution to the organizations goals directing by
performing the task himself.
Four management functions included in this process are: Planning, organizing, actuating and
controlling.
Planning: means thinking of their actions in advance.
Organizing: means that managers coordinate human and material resources of the organization.
Actuating: means that managers motivate and direct subordinates.
Controlling: means that mangers attempt to ensure that there is no deviation from the norm or
plan. The definition involves the act of achieving the organizations objectives.
A manager also uses people and other resources such as finance equipment to achieve their goals.
Management involves the act of achieving organizations objectives.
Functions of Management
Planning: is a function that determines in advance what should be done which is looking ahead
and preparing for the future.
It is a process of determining the objectives and charting out the methods of attaining those
objectives. Is determination of what, where and how it is to be done and how the results are to be
evaluated.
Planning is done for the organization as a whole but every division, department or subunit of the
orgainsation.
Prepared By: Nisha G R, Asst. Professor, ECE Dept, VCET, Puttur
It is a function which is performed by the managers at all levels-top(which may be as long as five
years),middle(shorter may be week) and supervisory.
Organizing and staffing
Ii is a function which may be divided into two main sections namely the human organization and
material organization.
Once the plans have been developed and the objectives established they must design and develop
a human organization to carry out plans successfully.
May defined as a structure which results from identifying and grouping work, defining and
delegating responsibility and authority and establishing the relationships.
The process of organizing consists of following steps:
1. Determining and defining activities to achieve goal.
2. Grouping of activities into convenient and logical group.
3. Assigning duties to people at various levels.
4. Delegating authority to people at different level
5. Defining and fixing responsibility for performance
Staffing is also considered an important function in building the human organization Involves
building the right person for the right job.
Fixes responsibility for a manager to find the right person for the right job and ensures enough
manpower for the various positions needed for the organization which involves selection and
training of future managers and suitable system of compensation.
Different objectives require different kinds of organizations.
Directing:
Next step after planning, organizing and staffing is directing.
It involves four sub-functions namely Supervision, communication, leadership and motivation.
Supervision is directing efforts of employees and other resources to accomplish stated work
outputs.
Communication is the process of passing information from one person to another.
Leadership is the process of guiding and influencing the work of his subordinates by the manager.
Motivation is the arousing the desire in the minds of the workers to give their best to their
enterprise. To pull out the weight effectively, to be loyal to their enterprise and carry out the task
effectively. Has two types of motivation financial and nonfinancial
Financial: takes the form of salary, bonus, profit-sharing etc.
Nonfinancial: takes the form of job security, opportunity of advancement recognition praise etc.
Controlling: is a function which ensures everything occurs in conformity with plans adopted and
involves three elements:
1)establishing the standards of performance
2) Measuring current performance and comparing it gainst the established standards.
3) Finding reasons for variation among different employee’s performance
4) Taking corrective action for attainment of goal
Prepared By: Nisha G R, Asst. Professor, ECE Dept, VCET, Puttur
Nature of management:
1)Universality of Management: Principles of management are universal in the sense that these can
be applied in different situations e.g. business, government, military, hospitals.
All the managers carry out the managerial functions of planning, organizing, staffing leading and
controlling
2)management applies to any kind of organization
3)Dynamic Nature of Principles : Principles of management are not rigid or static. Rather they
change with environment. These are diagnostic and flexible guidelines and are not absolute truth.
Continuous research is modifying many golden principles by developing new principles. Nothing
is permanent in management.
4)Social Process: Management is done by people, through people and for people. It is social
process because it is concerned with interpersonal relations.
5) the aim of the managers is same create the surplus
6)Multidisciplinary : Management has to deal with human behavior under dynamic conditions.
Therefore, it depends upon wide knowledge derived from several disciplines like engineering,
sociology, psychology, economics etc
7) managing is concerned with productivity, which implies effectiveness and efficiency.
8) Management: Science as well as an Art: Management contains a systematic body of theoretical
knowledge as well as the practical application of such knowledge.
Characteristics of management:
Management is
1) Intangible (not measurable and cannot be seen) but its presence can be felt by efforts in the
production sales and revenues.
2)universal and it is applicable to all sizes and forms of organizations
3) a group activity and it involves getting things done with and through others
4) Is goal oriented and all actions of management are directed at achieving specific
goals.
5)is science as well art and emerging now as a profession
6)is multidisciplinary and it has contributions from psychology, sociology, anthropology
Scope of the management:
The management is a must for every organization which encompasses for profit as well as
nonprofit organizations, government as well as non government organizations, and service as well
as manufacturing organizations.
It is in fact difficult to find an area of activity where management is not applicable.
Management is not only limited to business enterprises for profits but also to the for non-profit
Prepared By: Nisha G R, Asst. Professor, ECE Dept, VCET, Puttur
organizations like educational institutions, health care organizations, financial organizations,
stores management for keeping their cost of the operation at the optimal levels
Government organizations like municipal corporations, water supply departments, electricity
boards in providing best possible services to the public
Non-government agencies like environmental agencies benefit from management in achieving
their social objectives in cost effective manner
Manufacturing organizations extensively use management to increase production to enhance the
quality of the products manufactured and similarly
Service organizations benefit from management in providing an exemplary service experience to
the customers
Roles of a manager:
I)Interpersonal roles:
(i)Figure head: performs duties of ceremonial nature such as greeting the touring dignitaries,
attending the wedding of an employee etc.
(ii)Leader: every manager must motivate and encourage their employees, try to reconcile their
individual needs with the goals of the organization.
(iii)Liaison: in this role, every manager must develop contacts outside the vertical chain of
command to collect information useful for the organization.
(II)Informational roles:
(i)Monitor: must perpetually scan his environment for information interrogate his liaison nad
subordinates to get any solicited information useful for the organization.
(ii)Disseminator: manager passes the privileged information directly to the subordinates who
otherwise would not have access to it.
(iii)Spokesman: may require to spend a part of the time in representing the organization before
various outside groups having some stake in the organization such as government officials, labour
unions, financial institutions.
(III) Decisional roles:
(i)Entrepreneur: in this role the manager proactively looks out for innovation to improve the
organization by means of means creating new ideas, development of new products or services or
finding new uses for the old ones.
(ii)Disturbance handler: must act like a firefighter to seek solutions to various unanticipated
problems
(iii)Resource allocator: must divide work and delegate authority among his subordinates.
(iv)Negotiator: must spend considerable time in negotiations.
Example: the foreman negotiating with the workers for the grievance problems
Prepared By: Nisha G R, Asst. Professor, ECE Dept, VCET, Puttur
Levels of management: In any organization, there are three levels of management the first-line,
middle and top level managers.
First-line management: is made up of foreman and white collared supervisors.
Middle management: consists of vast and diversified group consisting plant managers,
personnel managers and department heads.
Top management: consists of board chairman, the company presidents, and the executive vice-
presidents.
Managerial skills:
The manager is required to possess three major skills: Conceptual skill which deals with
ideas, human relations skill which deals with people and technical skill which deals with
things.
(i) Conceptual skill: deals with the ability of manager to take a broad and farsighted view of
organization and its future, ability to think in abstract ability to analyze the forces working in a
particular situation.
(ii) Technical skill: are managers understanding of the nature of the job that people under him
have to perform. Refers to the person’s knowledge and proficiency in any type of process or
technique.
(iii)Human relations skill: is the ability to interact effectively with people at all levels and the
manager sufficient ability to
(a) to recognize the feelings and sentiments of others.
(b)to judge the possible reactions to and the outcomes of various courses of action he may
undertake
(c) to examine his own concepts and values which may enable to more useful attitudes and about
himself.
Skill mix of a manager with the change in his level:
(a) Top level: technical skill becomes less important
(b)Middle management: human relations skill become more important
(c)Supervisory skill: technical skill becomes more important.
Management and administration:
Management Administration
1) Management involves doing which is a 1)Administration involves thinking which is a
lower level function concerned with the top level function which centers around the
execution and direction of policies and determination of plans, policies and objectives
operations. No two separate personnel are of a business enterprise.
required. Each manager performs both
activities and spends part of his time in
administering and part of his time managing.
2) Management is a generic term which 2) Administration is a term used in the
Prepared By: Nisha G R, Asst. Professor, ECE Dept, VCET, Puttur
includes administration Manager is the term governance of non-business institutions (such
used in the business enterprises. as government, army etc).
In management, economic performance In administration, on-business institutions
becomes the chief dimension of management. economic consequences of decisions are
secondary
Management as a science or art or a profession
Management as a science:
A discipline is called science if
1)The methods of the inquiry are systematic and empirical
2)If the information can be ordered and analyzed and
3)Results are cumulative and communicable
To analyze whether management is a science:
Management is not like the exact or natural science such as physics, chemistry etc which are called
exact sciences which makes it possible to study any one of many of the factors affecting a
phenomenon individually by making the other factors inoperative for that moment of time by
Prepared By: Nisha G R, Asst. Professor, ECE Dept, VCET, Puttur
examining the effects of heat on the density of air by holding other factors constant in the
laboratory for example but where as in management it is not possible to study in management as
it involves the study of man and multiplicity of factors affecting him in which involves the study
of monitory incentives on workers’ productivity .
Which means that findings are not accurate and dependable as those of physical sciences and
therefore, a management can be put in the category of a behavioral science.
Management are not culture bound because even though the different cultures may give rise to
different management practices, techniques or theory concepts and principles remain the same
which lead to the conclusion that did not differ from country to country which is true even in the
field of natural sciences.
Management as art
As the science considers the “why phenomena” management as an art is concerned with the
understanding how a particular task can be accomplished which involves art of getting things done
through others in a dynamic and non repetitive fashion and has to constantly analyze the existing
situation, determine the objectives, seek the alternatives, implement, coordinate, control and
evaluate information and make decisions.
As the knowledge of management theory and principles is a valuable kit of the manager but it
cannot replace his managerial skills and qualities which has to be applied and practiced which
makes us to consider manager as an art. Like the art of a musician or the art of a painter who uses
his own skill and does not copy the skills of others
Thus we may conclude that management involves both the elements those of an art and those of
science where in certain aspects of management make it as a science, certain others which involves
the application of skill makes it an art.
To analyze whether Management is a profession:
Characteristics of a profession:
1)existence of organized and systematic knowledge
2) formalized methods of acquiring training and experience.
3)existence of an association with the professionalization as a goal
4)existence of an ethical code to regulate the behavior of the members of the profession
5) Charging of fees based on service.
Prepared By: Nisha G R, Asst. Professor, ECE Dept, VCET, Puttur