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Key Concepts in Administration Management

This document presents a study guide on management I. It explains that management is the set of rules to achieve maximum efficiency in an organization. It then describes the characteristics and importance of management, as well as the main management schools such as scientific management, classical management, and systems management. Finally, it summarizes the management process in its phases of forecasting, planning, organizing, integrating, directing, and controlling.

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0% found this document useful (0 votes)
4 views12 pages

Key Concepts in Administration Management

This document presents a study guide on management I. It explains that management is the set of rules to achieve maximum efficiency in an organization. It then describes the characteristics and importance of management, as well as the main management schools such as scientific management, classical management, and systems management. Finally, it summarizes the management process in its phases of forecasting, planning, organizing, integrating, directing, and controlling.

Translated by

ScribdTranslations
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd

STUDY GUIDE

ADMINISTRATION I

Management is the systematic set of rules to achieve maximum efficiency in the


ways to structure and manage a social organization.

The Administration has the following characteristics:


1. Its universality. Administration occurs in all types oforganizationscall yourselfState,
armycompanieschurchesfamilyetc. The administration has its own characteristics that are
inconfundables with othersscienceseven if he/she relies on them.
2. Its specificity. In administration, all or some parts are always being given.
administrative process.
3. Its temporary unit. The levels of are always [Link] are established
within the organization.
4. Its hierarchical unit. Administration is a means to an end, as its purpose
It is eminently practical and through it seeks to obtain determined results.
[Link].
6. Flexibility. The management adapts to the particular needs of each organization.
7. Scope of Exercise.

The importance of administration is based on the following points:

Administration occurs wherever there is an organization.


2. Thesuccessofa companyA social organization depends on the good management it possesses.
3. For large companies, thescientific managementit is essential.
4. For small and medium-sized enterprises, the most appropriate way to compete with others is the
improvement of its administration, in other words, to have a bettercoordinationof
its resources including human ones.
5. To achieve an increase in theproductivityit will depend on proper administration.
6. For organizations that are in the process ofdevelopmentthe main element for developing
its productivity and competitiveness with others is to improve the quality of its management.

Administrative Schools

Scientific Management

In the year 1911, Frederick [Link] his work 'The principles of Scientific
Management. Taylor began to create the principles based on the observations made in
that time, thinking of achieving the best productivity based on time and
movements.

and establishes four basic principles of scientific management which are the following:

Principles of management according to Scientific Management.

Principle ofplanning. In which the worker is prevented from improvising their work.
At this point, the employee is able to obtain atrainingto develop better
onworkand consequently, improve your productivity.
Preparation Principle. The worker is supervised to perform their tasks adequately.
work
Principle of Control.
Principle of Execution.
Classical Administration

It is distributed theresponsibilityin work tasks.

HenryFayolpublished hisbookcalled 'Industrial and General Administration' in the year 1916,


where the principles of management first appear, which are the following:

1. Division of labor. This principle refers to the way of specializing thefunctionsof


the members of the organization.
2. Authority and responsibility. Fayol considers authority and responsibility to be related.
responsibility, pointing out that one cannot be given without the other and vice versa.
[Link] of the organization must adhere to the established rules.
4. Unity of command means that each employee should receive orders from only one boss.
5. Unit [Link] objectives and plans of the organization must be guided and
coordinated by a single boss.
6. Subordination ofinterestindividual to the general interest. This point tells us that the
the interests of the organization must be satisfactorily fulfilled before the
personal interests
7. Remuneration ofpersonalThe members of the organization must receive a payment.
just in accordance with the tasks they perform within it.
8. [Link] should be concentrated or dispersed in the organization, of
according to the circumstances that determine the best final results to the
same.
9. Chain of authority. Members of each organization are governed by a chain that
start from the highest step to the lowest.
10. Order. This point for organization can be defined as 'everything in its place and a
place for everything
[Link] people who exercise the administration must have the loyalty and devotion of
staff working within the organization, throughjusticeand courtesy in the treatment.
12. Job stability. This principle ussamplethat the constant turnover of personnel
it is a sign of poor management, therefore, it should be avoided.
13. Initiative. This point invites us to create and execute aplanand in turn, it tells us that
we must encourage and promote thecreativitywithin the workers of the organization.
14. Team spirit. This principle shows us the importance of creating workgroups.
to improve theenvironmentwork that helps us increase productivity and there is a
greater employee participation.

ADMINISTRATIVE SCHOOLS: GENERAL SYSTEMS THEORY

According to this school, systems are the fundamental point on which management should focus.
to be based. This is composed of parts, in such a way that they are associated to form a unit.

SYSTEMS

One of the definitions states that a system is a set of elements intimately


related for a specific purpose, or the combination of things or parts that forms a whole
unitary and complex.

Classification of systems

▪ By the degree of interaction with other systems: open and closed


▪ For their material and objective composition: abstracts and concrete
▪ For their responsiveness: passive, active, and reactive
▪ Due to their internal mobility: static, dynamic, homeostatic, and probabilistic
▪ Due to their predetermined operation: deterministic and dependent
▪ By their degree of dependence: independent and interdependent
The structure of all systems minimally always consists of four elements:

▪ Supplies: provide the system with what it needs to fulfill its mission.
▪ Process: It is the transformation of inputs, according to certain specific methods, with
systems that are subsystems
▪ Product: It is the result of the process and, in turn, is an input for other systems.
▪ Feedback: Administratively, feedback means receiving the evaluation or
acceptance of products or services by the environment to correct processes.
Basically, it is the analysis of the results in relation to user acceptance.
regarding what the company produces

SUMMARY TABLE OF ADMINISTRATIVE CURRENTS

In order to provide an overview of the schools, theories, or movements


Administrative, the following table has been prepared, which aims to reflect the most characteristic of
each one
Administrative Process

PHASES ELEMENTS STAGES

Objectives
Forecast Investigations
Alternative Courses
Policies
Procedures
A. Mechanics 2. Planning
[Link].
budgets

Functions
3. Organization Hierarchies
Obligations

Selection
Introduction
4. Integration
Development
Integration of things

Authority
B. Dynamics 5. Address Communication
Supervision

Your establishment
6. Control His operation
Your interpretation

Forecast: answers the question What can be done?


Planning: answers the question What will be done?
Organization: answers the question How is it going to be done?
Integration:Answer the question: What will it be made with?
Direction: respond to the problem of ensuring it is done correctly.
Control: answer the question How has it been accomplished?

The elements of the mechanical phase are:

FORECAST.

It consists of determining what is desired to be achieved through an organization, andthe


researchand assessment of what the future conditions will be that will have to be encountered, until
determine the various possible courses of action.
It consists of three stages:
a. Objectives.
b. Set the goals. It refers to theanalysisand the discovery of the resources that can be counted on.
c. Investigations.
d. Alternative Courses. It refers to the general adaptation of themeans, for the intended purposes,
to observe how many different action probabilities exist.
PLANNING.

Planning consists of determining the pathconcreteof action that will need to be followed,
setting the principles that will preside and guide it, the sequel ofoperationsnecessary
to achieve it, and the establishment of times, units, etc. necessary for its realization.

Types of Planning

Strategic Planning.
It is the general planning aimed at achieving the institutional objectives of the company and
they aim to establish general action guidelines for it

Tactical Planning.
Part of the guidelines suggested by strategic planning and refers to the issues
concerning each of the main areas of activity of companies and employment more
effectiveness of the resources that have been applied to achieve the specific objectives.
The difference between the two consists of the time element involved in the different processes;
the longer the time element, the more strategic the planning. Therefore, a
Planning will be strategic if it refers to the entire company, it will be tactical if it refers to a large part.
from the planning of a product or advertising.

Operational Planning.
It basically refers to the prior assignment of the specific tasks that must be performed.
people in each of their operational units.

The plans regarding the implementation period can be classified into:

Short term. when it is determined to be carried out in a lesser or equal term


to a year. These in turn can be:

Immediate. Those that are established for up to six (6) months

Mediators. They are set to take place in a period of more than 6 or less than 12.
months.

Medium Term. Its delimitation is over a period of 1 to 3 years.

Long Term. These are those that are projected for a time greater than 3 years.

PLANNING PROCESS (VISION AND MISSION)


VISION

Definition
A vision expresses the fundamental aspirations and purpose of an organization, generally.
appealing to the hearts and minds of its members. The declaration of a vision can
add soul to a mission statement if it lacks one. Over time, statements
traditional of a mission (for example, declare the business in which the organization is)
involved) can change, but the vision of an organization can last for generations.
The following statements are the visions of 3 organizations.

Lowe's: Improve home improvement.

eBay: To serve as the online marketplace of the world for the sale of goods and services for a
diverse community of individuals and companies.

Dell Computer: To provide value to customers and add value to our company, our
neighborhoods, our communities, and our world through diversity initiatives,
environmental and global citizenship.

MISSION

Definition
A mission is the purpose or reason for the existence of the organization. A mission statement with
frequency answers basic questions like these:
What business are we in?
2) Who are we?
What is it that we do?

A mission can describe the needs of the customer that the company aims to address.
satisfy or intend to serve in the future. Some mission statements are long, but others
they are quite brief. The following statements illustrate how three organizations express their
missions:

Lowe's: To provide an unwavering commitment to homeowners that


they pursue their dreams and the professionals who help achieve it.

eBay: To provide a global trading platform where almost anyone can trade
with almost anything.
Dell Computer: To be the most successful computer company in the world by delivering the best
experience for the customers in the market we serve.

OBJECTIVES
Definition.
The objectives represent the results that the company expects to obtain, they are goals to be achieved.
quantitatively established and determined to be carried out after a specific period.
Once the purposes have been established and the premises that may affect your...
implementation, the objectives are determined, which indicate the results or ends that the company desires
achieve within a specified time. Example: Achieve a net profit of 150 million pesos
during the next two years.

Classification of objectives
Depending on the area they cover and the time they are established, it can be:

Strategic or general.
They understand the whole company and are established for the long term. Example; To obtain a net profit of
100 million pesos in the next five years.

Tactical or departmental.
They refer to an area or department of the company, they are subordinate to the general objectives and
establish in the short or medium term. Example; Increase total sales to three million
monthly pesos in the current year.

Operational or specific.
They are established in more specific levels or sections of the company, referring to activities.
more detailed and invariably are short-term. They are determined based on the objectives
departmental and obviously of the generals.

STRATEGIES

Definition
They are general courses of action or alternatives that show the direction and general use of the
resources and efforts, to achieve the objectives under the most advantageous conditions.

They are established at the strategic level, showing the direction or path that must be followed, without
indicate in detail how to use the resources.

POLICIES

Concept of Politics A policy is aplangeneral ofactionwhat guides the members of


aorganizationin theconductof its operation

It is the orientation or guideline that must be disseminated, understood, and adhered to by all members.
of the organization, it includes the rules and responsibilities of each area of the
organization.

Policies are guidelines to guide action; they are general guidelines to be observed in decision-making.
of decisions, about a problem that repeats itself over and over again within an organization. In
In this sense, policies are general execution criteria that complement the achievement of the
objectives and facilitate the implementation of the strategies. Policies must be dictated from the
highest hierarchical level of the company.

Classification of policies In general, we can distinguish two types of policies


ofcompaniesdepending on how they originate. These are: Policies imposed in a way
external and b) Policies formulated internally.

Externally imposed policies Sub The company is surrounded by the environment (Thesociety
through itssystemspolitical, social, and economic) where this behavior affects the
the conduct of the company and, in turn, the company also affects the environment.

II. Internally formulated policies These are the policies that in a precise manner,
conscious, and preferably in writing, are formulated in order to serve as regulations in terms
generals in a certain field.

Internally formulated policies can be: General policies and specific policies

• General policies: they apply to the entire company, that is, to each of the units.
administrative
• Specific policies: they refer to concrete aspects
ofproductionsalespurchases,accountingfinancepublic relationspersonaletc.
Rules

They are specific rules that must be followed or to which behaviors, tasks, or
activities in an organization to carry out compliance with a policy
organizational. It is important to highlight that they are part of the content of the organizational policies.

Procedure

A procedure is a set of actions or operations that have to be carried out.


same way, to always obtain the same result under the same circumstances

the procedures allow establishing the sequence for carrying out routine activities and
specific; they are established according to the situation of each company, of its structure
organizational, product class, work shifts, equipment and material availability, incentives,
etc.
The procedures establish the chronological order and sequence of activities that must be
to continue in the execution of a repetitive task. It does not indicate how to carry it out, as that
the methods are taken care of, which are implicit in the procedure. Both the procedures
as the methods are closely related, since the former determine the order
chronological order to be followed in a series of activities, and the seconds indicate how to carry out
Such activities, therefore, the methods are part of the procedures.

Importance of procedures
They determine the logical order that activities must follow.

They promote efficiency and specialization.

They delimit responsibilities and avoid duplication.

They determine how the activities should be executed and also when and who should carry them out.

They are applicable in activities that occur repetitively.

Programs

They are a scheme in which the sequence of specific activities to be carried out is established.
to be carried out to achieve the objectives, and the time required to carry out each of its parts and
all those events involved in its achievement.
Each program has its own structure and can be an end in itself, or it can be part of
of a series of activities within a broader program.

The technical preparation of a program must adhere to the following procedure:

1 Identify and determine the activities involved.


2 Organize the activities chronologically.
3 Interrelate the activities, that is, determine which activity should be performed before another,
what activities occur simultaneously, and lastly, what activities must be carried out
later.
4 Assign a time unit to each activity based on its duration.
The most commonly used chart for a program is the Gantt chart; its use and
interpretation will agree with the criterion used, with the degree of depth, and with the
type of activity referred to.

Classification of the programs


Tactics: These are established solely for a specific area of activity, their function
it consists of establishing the program, as well as coordinating and supervising that it is carried out accordingly
as established.
Operations: They are those established in each of the units or sections of the
It consists of an area of activity, being more specific than the tactical.

Budgets

Budgets are programs in which figures are assigned to activities; they involve a
capital estimation, cost estimation, income estimation, and estimation of the required units or products for
achieve the objectives.
Budgets are an essential element when planning, as they project
in quantified form, the elements that the company needs to achieve its objectives. Its
main purposes consist of determining the best way of utilization and allocation of the
resources, while controlling the activities of the organization in financial terms.

Importance of budgets
Convert the execution aspects of the plans into comparable units of measurement.
Measures the performance of organizational units and provides comparable goals for each.
one of the departments and sections jointly.
It serves as a standard or benchmark for the execution of monetary works.
Coordinates the activities of the departments and sections jointly.
It is a control medium that allows for the control of operations.
Determine the limit and scope of the expenditures.
Establish a foundation for correct action, as deviations are easily identified.
Establishes by centers of responsibility who are responsible for its application.
Generate a clearer understanding of organizational goals.
Present in advance the expenses that the activities will incur.
Minimize costs by avoiding unnecessary purchases, waste in materials, time,
etc.

ORGANIZATION.

It refers to the technical structuring of the relationships that must exist between the hierarchies,
functions andobligationsessential individuals in a social organism to improve the
efficiency.

THROUGH THIS, THE FOLLOWING ARE ESTABLISHED:

a. Hierarchies. Establish the authority and responsibility that correspond to each level.
b. Functions. The determination of how large specialized activities should be divided,
necessary to achieve the common goal
c. Obligations. Those that each unit of work is specifically capable of performing.
a person.
ORGANIGRAMS

Organization charts are the graphic representation of the organic structure of a company or
organization that schematically reflects the position of the areas that make it up, their
hierarchical levels, lines of authority and advisory

The organizational chart is an abstract and systematic model that allows for a uniform idea and
synthetic of the formal structure of an organization:

• Plays an informative role.


• Present all elements of authority, the levels of hierarchy, and the relationship between them.
In the organizational chart, all the information to understand how it is does not have to be found.
total structure of the company.
Every organizational chart has the commitment to meet the following requirements:

• It has to be easy to understand and simple to use.


• It should contain only the essential elements.
Types of organizational chart:

1. Vertical: Displays hierarchies according to a pyramid, from top to bottom.


2. Horizontal: Shows the hierarchies from left to right.
3. Mixed: It is a combination of horizontal and vertical.
4. Circular: The highest authority is at the center, and circles form around it.
concentric circles where the authorities are listed in decreasing levels.
5. Scale: Indents are used to indicate authority, the greater the indent, the smaller it is.
the authority of that position.
6. Tabular: It is practically scalar, except that the tabular does not have lines connecting the controls.
of authority.
It is important to keep in mind that no organizational chart can be fixed or unchanging. That is to say, a
An organizational chart is a kind of snapshot of the structure of an organization at a given moment.
determined.
The elements of the dynamic phase are:

INTEGRATION.

It consists of theproceduresto provide the organization with all those resources that it
the mechanical phase indicates what is necessary for its most effective operation, choosing them,
introducing them, articulating them and seeking their best development.

The integration covers:


a. Selection.
b. Techniques to find and select the necessary elements.
The best way to ensure that new elements come together best and fastest.
possible within the organization.
c. Introduction.
d. Development. Every member of each organization seeks and needs to progress and improve.

ADDRESS.

It is to promote, coordinate, and monitor theactionsof each person andgroupof an organization, with the
in order for the set of all of them to carry out the outlined plans in the most effective way.
The address includes
a. Command or authority. It is studied how to delegate it and how to exercise it.

Authority. It is related to the concept of hierarchy, in short


Words establish a superior relationship towards the subordinate.
Power. Force that allows conditioning and modifying behavior through sanctions.

Delegating consists of giving a worker the power, authority, autonomy, or the ability to...
responsibility to make decisions, solve problems, perform functions or
execute tasks without needing to consult us or obtain our approval.

Leadership: "The ability to influence people to direct their efforts towards achievement
of a specific goal or goals
Every leader should keep the following characteristics in mind:

▪ Ability to define a vision.


▪ Ability to communicate and generate commitment.
▪ Ability to see the best in people and place them in the right position.
▪ Determination, courage, and above all discipline.
▪ Humility
▪ Be a change agent.

Leadership Style.
Studies conducted by Kart Lewin, Ronald Lippitt, and Ralph K. White from the University of Iowa in 1938
focused theirattentionto leadership styles. They identified three basic styles - autocratic,
laissez faire and democratic. The location of the decision-making function arose from these
studies as the main difference between leadership styles. In general, the autocratic leader
makes all the decisions; the laissez-faire leader allows individuals in the group to make all the decisions.
decisions; and the democratic leader guides and encourages the group to make them.

[Link]. It is the process by which it is transmitted and receivedinformationbeing this


thesystemnervous, bringing to the management center all the elements that must be known, and of
this, towards every organ and cell, the action orders, duly coordinated
ThecommunicationIt is one of the facilities of administrative activities.
The most common questions aboutcommunicationson
Increase the acceptance of organizational rules by subordinates
2. Obtain greater alignment with organizational objectives.

We will take into account the types of communication that can exist in the fields of work:
1.
Just share the part
3. Formal: It is simply summaries
4. Ascending: From the lowest level to the highest level
[Link]: Go from the highest level to the lowest.
[Link]: It is given through people.

c) Supervision.
The last onefunctionFrom the direction, it is to see if things are being done as they had been.
planned and sent

CONTROL.

It consists of the establishment ofsystemsthe methods that allow us to measure the results
actual and past in relation to the expected, in order to know if what has been obtained
I was hoping to correct, improve, and formulate new plans.
It comprises three stages:
a. Establishment of rules.
b. Because without them it is not possible to make the comparison.
This is usually a function specific to the specialist technicians in each of them.
c. Operation of controls.
d. Interpretation of results.

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