DEFINITION, FUNCTIONS, TYPES

and THEORIES of MANAGEMENT

🔹 Definition of Management
Management is a continuous process of planning, organizing, leading, and
controlling resources to meet goals efficiently and effectively.
🧠 Example: A school principal managing time, budget, and staff to ensure student
performance improves.

🔹 Functions of Management (POLC + S)

1. Planning – Setting goals and outlining strategies.

o Example: A marketing manager sets quarterly sales targets and

promotional campaigns.
2. Organizing – Structuring teams and assigning roles.

o Example: A school creates committees to handle events, academics, and

discipline.
3. Staffing – Hiring and training employees.

o Example: A company interviews and hires IT staff based on needed skills.

4. Leading/Directing – Guiding and motivating people.

o Example: A call center supervisor encourages agents to hit daily KPIs.

5. Controlling – Monitoring performance and correcting deviations.

o Example: A factory checks production quality and adjusts processes.

🔹 Types of Management Styles

1. Autocratic

o One-person control, ideal during crises.

o Example: A fire chief directing emergency responders during a blaze.
2. Persuasive
 o Leader explains decisions for acceptance.
o Example: A project head explains why sudden overtime is needed to meet
deadlines.
3. Consultative

o Input from staff is considered.

o Example: A school admin asks teachers for input before implementing a
new grading system.
4. Participative

o Shared decision-making.
o Example: A startup where all team members brainstorm and vote on
product features.

🔹 Theories of Management

A. Scientific Management (Frederick Taylor)

 Focus: Efficiency via scientific study.
o Example: Assembly line workers trained in the best way to tighten bolts.
B. Administrative Theory (Henri Fayol)
 Focus: Managerial practices.
 14 Principles:
1. Division of Work
 Explanation: Work should be divided among individuals and groups to
ensure that effort and attention are focused on specialized tasks.
 Purpose: Increases efficiency and productivity.
 Example: In a factory, one group handles assembly, another packaging.

2. Authority and Responsibility

 Explanation: Managers must have the authority to give orders, but they
must also bear responsibility for the results.
 Balance: Authority without responsibility leads to abuse; responsibility
without authority leads to frustration.
  Example: A team leader can assign tasks (authority) and is accountable
for project outcomes (responsibility).

3. Discipline
 Explanation: Employees must obey and respect the rules that govern the
organization.
 Maintained Through: Good supervision, clear rules, and fair penalties.
 Example: Punctuality, adherence to safety rules.

4. Unity of Command
 Explanation: An employee should receive orders from only one superior.
 Purpose: Prevents confusion and conflict.
 Example: A staff member reports only to their immediate supervisor, not
to multiple managers.

5. Unity of Direction
 Explanation: Activities with the same objective should be directed by one
manager using one plan.
 Purpose: Ensures consistency and coordination.
 Example: A marketing campaign should be overseen by one head, not
several departments with conflicting strategies.

6. Subordination of Individual Interest to General Interest

 Explanation: The interests of the organization should take precedence
over individual interests.
 Example: An employee avoiding personal tasks during work hours to
meet company deadlines.

7. Remuneration
 Explanation: Workers must be fairly paid for their services.
 Includes: Financial and non-financial compensation.
 Example: Wages, bonuses, recognition, and benefits.

8. Centralization
 Explanation: The degree to which authority is concentrated at the top of
the organization.
  Balance Needed: Between centralization (decision-making from the top)
and decentralization (distribution of decision-making).
 Example: A small business might centralize decisions; a multinational
may decentralize to regional managers.

9. Scalar Chain
 Explanation: A clear chain of command from top to bottom in the
organization.
 Flow of Communication: Should follow the chain unless urgent issues
justify direct contact (Gang Plank).
 Example: Employee → Supervisor → Manager → Director.

10. Order
 Explanation: There should be a place for everything and everyone, and
everything/everyone should be in its place.
 Two Types: Material order (things) and social order (people).
 Example: Tools arranged properly in a workshop; right person in the right
job.

11. Equity
 Explanation: Managers should be kind and fair to their subordinates.
 Purpose: Encourages loyalty and devotion.
 Example: Treating all employees with respect regardless of background.

12. Stability of Tenure

 Explanation: High employee turnover is inefficient. Workers need time to
adapt to jobs and perform well.
 Example: Offering contracts and development opportunities for long-term
employment.

13. Initiative
 Explanation: Employees should be encouraged to take initiative in their
work.
 Benefits: Boosts motivation and innovation.
 Example: Allowing employees to propose new ideas for improving
processes.
 14. Esprit de Corps
 Explanation: Promoting team spirit will build harmony and unity within the
organization.
 Method: Use communication, trust, and mutual respect.
 Example: Team-building activities and celebrating group achievements.
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o Example: Ensuring a team member only reports to one supervisor avoids

confusion.
C. Bureaucratic Theory (Max Weber)
 Focus: Formal structure and rules.
o Example: A government agency with clear rules, roles, and hierarchy.
D. Organizational Behavior (Robert Owen, Follett, etc.)
 Focus: People and behavior in organizations.
o Example: A manager motivates teams based on psychological insights.

📄 REVIEWER (Short Format with Mnemonics)

⭐ Definition:
Management = POLC + S
⭐ 5 Functions: P-O-L-C-S
 Planning
 Organizing
 Leading
 Controlling
 Staffing
⭐ Management Styles: A-P-C-P
 Autocratic
 Persuasive
 Consultative
  Participative
⭐ Theories:
 Scientific (Taylor) – "Best way to do a job"
 Administrative (Fayol) – 14 Principles
 Bureaucracy (Weber) – Rules and hierarchy
 Organizational Behavior (OB) – People-focused
⭐ Fayol’s Key Principles (short list):
 Division of Work
 Authority and Responsibility
 Unity of Command
 Equity
 Initiative
 Esprit de Corps

🌟 MANAGEMENT

🔹 A manager is a key influencer of business productivity and success.

🔑 WHO IS A MANAGER?

📌 A Manager is an individual who:

 Supervises

 Sustains and upholds

 Takes responsibility for the work of others

✅ “Organizational success relies on effective and efficient managers.”

— Cabrera, Altarejos, and Riaz (2016)

🟩 Key Term:

Manager – A person engaged in management activities to ensure tasks are done

effectively.
🧭 LEVELS OF MANAGEMENT

🔻 Organizational Hierarchy Chart:

🏢 Management
🎯 Focus Area 📋 Typical Roles
Level

Top-Level Long-term goals, stability, overall

CEO, President, VP
(Strategic) performance

Middle-Level Departmental objectives based on top

Dept. Managers
(Tactical) management strategy

Frontline Team Leaders,

Day-to-day supervision and operations
(Operational) Supervisors

📊 Figure 1.6: Three Levels of Management

🎭 MANAGERIAL ROLES

(According to Henry Mintzberg)

📌 1. Interpersonal Roles

Role Function

Figurehead Represents the company in formal settings

Leader Motivates and guides employees

Liaison Builds networks inside and outside the organization

📰 2. Informational Roles

Role Function

Monitor Gathers and evaluates internal/external info

Disseminator Shares information internally

Spokesperson Represents the organization to external stakeholders

🧠 3. Decisional Roles
Role Function

Entrepreneur Innovates and drives strategic change

Disturbance Handler Resolves conflicts and crises

Resource Allocator Distributes resources efficiently

Negotiator Represents the company in negotiations

MANAGERIAL SKILLS

💡 Skill Type ✨ Description 👤 Example Users

Conceptual Ability to solve complex problems and think

Top-level managers
Skills abstractly

Ability to interact well with others,

Human Skills All levels of management
communicate, lead, and motivate

Technical Proficiency in specific tools, techniques, Frontline/Operational

Skills and work processes managers

📘 DEFINITION OF TERMS (Quick Reference)

 Manager – Supervises and leads a group or organization.

 Managerial Roles – Interpersonal, informational, decisional tasks managers

perform.

 Managerial Skills – Conceptual, human, and technical abilities needed to

manage effectively.