SESSION: OVERVIEW OF MANAGEMENT

Topic Description: Definitions, levels of management, skills of management, roles of

management and managerial functions

Who is a Manager?

A manager is someone who coordinates and oversees the work of other people so that
organizational goals can be accomplished.

There are many types of managers, but they usually have duties like conducting leading a
team of employees to meet goals (performance reviews) and making decisions. Due to the
changing nature of organizations, managers may have additional work duties not related to
coordinating the work of others. Thus it is helpful to understand what the job of a manager is
like.

What is Management?

Management can be defined as the process of getting activities (work or the task) done
efficient and effective manner with and through other people. . Process implies the functions
of the management. That is, planning, organising, staffing, directing and controlling.

 Efficiency is getting the most output from the least amount of inputs in order to
minimize resource costs.
o Efficiency is often referred to as “doing things right”
 Effectiveness is completing activities so that organizational goals are attained.
o It is described as “doing the right things”

Note: Management has been interpreted to mean many things like other disciplines. Here are
some of the definitions of management by authors and practitioners.

 Mary Parker Follet (management consultant) defined management as “Getting

things done through other people”.
 F.W. Taylor (1886) (father of Scientific Management), has postulated that
management is “The determination of the overall policy of a business organization”
 Henri Fayol (1916) (founder of modern scientific management - 14 principles of
Management) argues that to manage is to forecast and plan, to organize, to
command, to co-ordinate and to control.
 Herold Koontz, and Heinz Weilhrick (1990) view management as “the process of
designing and maintaining an environment in which individuals, working together in
groups, efficiently accomplish selected goals”

 American Management Association: Management is guiding human and physical

resources into dynamic organizational units which attain their objectives to the
satisfaction of those served and with a high degree of moral and sense of attainment
on the part of those rendering service.

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  Peter Drucker (1993) defined management as “a multi-purpose organ that
manages business and manages managers and manages workers and work.”
Drucker goes further to provide a “5 Point” definition of management;

1. Making people's strengths effective and their weaknesses irrelevant.

2. Enhancing the ability of people to contribute
3. Integrating people in a common venture by thinking through, setting and
exemplifying the organizational objectives, values and goals
4. Enabling the enterprise and its members to grow and develop through training,
developing and teaching
5. Ensuring everyone knows what needs to be accomplished, what they can expect of
you, and what is expected of them
Thus management allows us to coordinate hundreds or thousands of people with different
skills and knowledge to achieve common goals.

The definitions above have given extended definitions and interpretations to

management to cover the following:

 Formulation of objective, plans, and policies of the collective enterprise

 Assembling men, money, machines and methods for their accomplishments
 Directing and motivating the men at work
 Coordinating the physical and human resources
 Supervising and controlling performance
 Securing maximum satisfaction for both employer and employee
 Providing the public with the best possible services.

We can see that Management consists of the interlocking functions of creating corporate
policy and organizing, planning, controlling, and directing (leading) an organization's scarce
resources (with aim of optimization) in order to create an environment so as to enable people
working in an organization successfully achieve the objectives of that policy. Thus is,
‘management’ encompasses an array of different functions undertaken to accomplish a task
successfully.

MANAGEMENT – ART OR SCIENCE

Art: An art may be defined as a skill or knowledge in a particular field of activity or method
of doing a thing. Art involves practical application of theoretical knowledge and skills to
achieve a desired result. Art is concerned with the creation of objects or events so it is called
creative.

Science: A science may be defined as ‘representing knowledge gathered by observation and

experiment, critically tested, systematized and brought under general principles. Thus science

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is an organized systematized body of theoretical knowledge pertaining to a particular field of
enquiry. Science establishes cause and effect relationship between different variables. It
contains concepts, principles and theories which help to explain events and to predict
outcome.

Conclusion: In the simplest of terms, management is all out ‘getting things done’.
However, it is the way and the process of how one achieves ones target or goals and
it is in this respect that management is considered an art and a science as well.
Management is an art as well as a science. It contains systematic body of theoretical
knowledge and it also involves practical application of such knowledge.

CHARACTERISTICS OF MANAGEMENT

1. Management is universal. The basic principles of management are universal in character.

Thus they apply more or less the same in every situation
2. Management is purposeful. Management exists for the achievement of specific
objectives or towards the accomplishment of predetermined goals
3. Management is an integrative force. The essence of management lies in the coordination
of individual efforts into a team effort. Management reconciles individual goals with
organizational goals
4. Management is a social process. Management is done by people, through people and for
people. It is social because it is concerned with interpersonal relations.
5. Management is multidisciplinary. Management has to deal with human behavior under
dynamic conditions. Therefore it depends upon wide knowledge derived from several
disciplines.
6. Management is a continuous process. Management is dynamic and ongoing.
7. Management is intangible. Management is an unseen or invisible force. It cannot be seen
but its presence can be felt everywhere in form of results.

What Do Managers Do?

What Do Managers Do?
 Part 1: Kinds of Managers
 Part 2: Managerial Roles
 Part 3: Management Skills
 Part 4: Managerial Functions

Part 1: Kinds of Managers- What do managers do?

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  Titles as: CEO,CFO,COO,VP;
Top Level of  Task: Develop long-term
Management goal/strategist

Middle Level of
 Titles as: Regional/ Plant Manager;
Management  Task: Interprets Plans & Sets Actions

Lower Level of
 Titles as: Team Leader; Assistant
Management Manager; Shift Manager
 Task: Implement Plans

Kind of managers are best described by the Levels of Management.

 The term “Levels of Management’ refers to a line of demarcation between various
managerial positions in an organization.

 Level of management divides authority and responsibility of the organization among the
various managerial [Link] the level of management determines a chain of
command, the amount of authority & status enjoyed by any managerial position.

 The levels of management can be classified in three broad levels categories

o Top Level of Management

o Middle Level of Management
o Lower Level of Management

Top Level of Management

 Top level management is concerned with the broad policy framework and is related to
develop attitude.
 It consists of board of directors, chairman, managing directors, strategists chief
executive officer (CEO), chief operations officer (COO), chief marketing officer
(CMO), chief technology officer (CTO), achief financial officer (CFO). and alike.
They are responsible for the welfare, and survival of the organization.
 The top management is the ultimate source of authority and it manages goals and
policies for an enterprise. It devotes more time on planning and coordinating
functions.

The role of the top management can be summarized as follows -

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 a. Top management lays down the objectives and broad policies of the enterprise.
b. It issues necessary instructions for preparation of department budgets, procedures,
schedules etc.
c. It prepares strategic plans & policies for the enterprise.
d. It appoints the executive for middle level i.e. departmental managers.
e. It controls & coordinates the activities of all the departments.
f. It is also responsible for maintaining a contact with the outside world.
g. It provides guidance and direction.
h. The top management is also responsible towards the shareholders for the performance
of the enterprise.

Middle Level of Management

 Middle managers have titles like department head, director, and chief supervisor.
 Being in the middle, the managers have to perform as a link between top level and
lower level management.
 Middle managers are concerned with the tasks of implementing the policies and plans
prepared by the top level management.
 They also encourage, support, and foster talented employees within the organization.

Their role can be emphasized as -

a. They execute the plans of the organization in accordance with the policies and
directives of the top management.
b. They make plans for the sub-units of the organization.
c. They participate in employment & training of lower level management.
d. They interpret and explain policies from top level management to lower level.
e. They are responsible for coordinating the activities within the division or department.
f. It also sends important reports and other important data to top level management.
g. They evaluate performance of junior managers.
h. They are also responsible for inspiring lower level managers towards better
performance.

Lower Level of Management

 Lower level is also known as supervisory / operative level of management.

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  Supervisory management refers to those executives whose work has to be largely with
personal oversight and direction of operative employees.
 Lower level management consists of supervisors and foremen and others like section
officers, superintendent sales officers, accounts officers etc.
 They take responsibilities of the implementation and control of the operational plans
developed by the middle level managers. This level is concerned with actual
implementation and control of operational plans.

In other words, they are concerned with direction and controlling function of management.
Their activities include -

a. Assigning of jobs and tasks to various workers.

b. They guide and instruct workers for day to day activities.
c. They are responsible for the quality as well as quantity of production.
d. They are also entrusted with the responsibility of maintaining good relation in the
organization.
e. They communicate workers problems, suggestions, and recommendatory appeals etc
to the higher level and higher level goals and objectives to the workers.
f. They help to solve the grievances of the workers.
g. They supervise & guide the sub-ordinates.
h. They are responsible for providing training to the workers.
i. They arrange necessary materials, machines, tools etc for getting the things done.
j. They prepare periodical reports about the performance of the workers.
k. They ensure discipline in the enterprise.
l. They motivate workers.
m. They are the image builders of the enterprise because they are in direct contact with
the workers.

Part 2: Managerial Roles - What do managers do?

Although the functions approach represents the most useful way to describe the manager’s
job, Mintzberg’s roles give additional insight into managers’ work.

Henry Mintzberg. (Professor in management studies) published his Ten Management Roles
in his book, "Mintzberg on Management: Inside our Strange World of Organizations," in
1990.

The 10 roles are then divided up into three categories, as follows:

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 Category Roles
Interpersonal Figurehead
Leader
Liaison
Informational Monitor
Disseminator
Spokesperson
Decisional Entrepreneur
Disturbance Handler
Resource Allocator
Negotiator

Let's look at each of the ten roles in greater detail.

a)Interpersonal Category

The roles in this category involve providing information and ideas.

1. Figurehead - As a manager, you have social, ceremonial and legal responsibilities.

You're expected to be a source of inspiration. People look up to you as a person with
authority, and as a figurehead.
2. Leader - This is where you provide leadership for your team, your department or
perhaps your entire organization; and it's where you manage the performance and
responsibilities of everyone in the group.
3. Liaison - Managers must communicate with internal and external contacts. You need
to be able to network effectively on behalf of your organization.

b)Informational Category

The roles in this category involve processing information.

1. Monitor - In this role, you regularly seek out information related to your organization
and industry, looking for relevant changes in the environment. You also monitor your
team, in terms of both their productivity, and their well-being.
2. Disseminator - This is where you communicate potentially useful information to your
colleagues and your team.
3. Spokesperson - Managers represent and speak for their organization. In this role
you're responsible for transmitting information about your organization and its goals
to the people outside it.

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c)Decisional Category

The roles in this category involve using information.

1. Entrepreneur - As a manager, you create and control change within the organization.
This means solving problems, generating new ideas, and implementing them.
2. Disturbance Handler - When an organization or team hits an unexpected roadblock,
it's the manager who must take charge. You also need to help mediate disputes within
it.
3. Resource Allocator - You'll also need to determine where organizational resources
are best applied. This involves allocating funding, as well as assigning staff and other
organizational resources.
4. Negotiator - You may be needed to take part in, and direct, important negotiations
within your team, department, or organization.

Part 3: Management Skills - What do managers do?

Managers need certain skills to perform the challenging duties and activities associated with
being a manager.

Robert L. Katz found through his research in the early 1970s that managers need three
essential skills: (Katz : organizational psychologist & creator of the concept of
managerial skills)

1. Technical skills are job-specific knowledge and techniques needed to proficiently

(expertise) perform specific tasks.
Technical skills which involves the understanding of proficiency in a certain field that
involves methods, process, procedure or technique. Technical skills involve the ability
to prepare a budget, lay out a production schedule, prepare a spreadsheet analysis and
demonstrate

2. Human skills are the ability to work well with other people individually and in a
group. Interpersonal or human relations is a manager’s ability to work effectively as a
team member and build cooperative effort in the unit

3. Conceptual skills are the ability to think and to conceptualize about abstract and
complex situations. That is, the ability to see the organization as a total entity. It

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 involves recognizing how the various units of the organization depend on one another
and how changes in one can affect all the others.

Other Basic Management Skills

Other basic management skills that mangers need to process in order to be successful:

 Diagnostic is the ability of a manager to investigate a problem and decide on the

implementation remedy. Diagnostic skill often requires other skills because managers
need to be technical, human, conceptual and political skills to solve a problem
 Political is the ability to obtain power and prevent others from taking it away.
Managers use political skill to acquire the power necessary to reach objectives. Other
political skills include; establishing the right connections and impressing the right
people.

Part 4: Managerial Functions - What do managers do?

This will be captured in Week 4 - Overview of the Functions of Management

 Planning involves defining goals, establishing strategies for achieving those goals,
and developing plans to integrate and coordinate activities.
 Organizing involves arranging and structuring work to accomplish the organization’s
goals.
 Staffing is the management function devoted to acquiring, training, appraising, and
compensating employees.
 Directing/Leading involves working with and through people to accomplish
organizational goals.
 Controlling involves monitoring, comparing, and correcting work performance.