Principles-of-magmt-

PRINCIPLES OF MANAGEMENT

Overview of Management

• Management is a universal phenomenon utilized in business, political, cultural, and social organizations.

• Directs efforts towards achieving a definite purpose.

Definitions of Management

• Harold Koontz: Management is the art of getting things done through people in organized groups.

• F.W. Taylor: Management is the art of knowing what to do, when to do it, and ensuring it is done in the best and cheapest way.

Characteristics of Management

• Getting things done through people: Collaborative effort.

• Goal oriented: Focused on achieving objectives.

• Pervasive: Exists in all organizations.

• Multidimensional: Involves various aspects of the organization.

• Continuous process: Ongoing activity.

• Group activity: Involves teamwork.

• Dynamic function: Adapts to changes.

• Intangible: Not physical but essential.

Importance of Management

• Achieves Group Goals

• Optimum Resource Utilization

• Cost Reduction

• Establishes Organization Structure

• Maintains Equilibrium

• Facilitates Personal Development

• Essential for Prosperity

Levels of Management

• Increases with business size and workforce.

• Types of Management Levels:

  • Top Level Management: Set goals and policies.

    • Roles include planning, budgeting, and overall coordination.

  • Middle Level Management: Responsible for department functioning.

    • Executes plans as per top management directives.

  • Supervisory Level Management: Directly oversees workers.

    • Assigns tasks and maintains quality.

Top Level Management Functions

• Lays down objectives and policies.

• Prepares budgets and schedules.

• Controls and coordinates departmental activities.

• Provides guidance and maintains external relations.

• Accountable to shareholders.

Middle Level Management Functions

• Responsible for departmental execution of plans.

• Engages in employee training and recruiting.

• Coordinates activities between departments.

• Sends reports to top management.

Supervisory Management Functions

• Assign tasks and guide employees.

• Oversee quality control in production.

• Communicate employee issues to higher management.

• Responsible for worker training and disciplinary actions.

Managerial Skills

• Technical Skills: Expertise in specific tasks.

• Conceptual Skills: Ability to understand complex situations.

• Human Skills: Interpersonal abilities.

• Problem Solving Skills: Capability to resolve issues.

Mintzberg's Managerial Roles

• Informational Roles: Monitor, Disseminator, Spokesperson.

• Interpersonal Roles: Figurehead, Leader, Liaison.

• Decisional Roles: Entrepreneur, Disturbance Handler, Resource Allocator, Negotiator.

Functions of Management

1. Planning: Setting objectives and course of action.

2. Organizing: Structuring resources and activities.

3. Staffing: Selecting and training employees.

4. Directing: Guiding and motivating activities.

5. Controlling: Monitoring performance and implementing corrective actions.

6. Reporting: Keeping track of operational progress.

7. Budgeting: Financial resource planning.

The Managerial Grid (Blake and Mouton)

• Concern for People vs. Concern for Results: Depending on approach, managers fall within certain styles:

  • Team Management (9,9): High focus on both tasks and people.

  • Country Club Management (1,9): High concern for people, low concern for results.

  • Impoverished Management (1,1): Low concern for both.

  • Task Management (9,1): High concern for results, low for people.

  • Middle-of-the-Road Management (5,5): Balances both.

Evolution of Management Thoughts

• F.W. Taylor: Father of scientific management, focused on efficiency and productivity.

• Scientific Management Principles: Best methods for specific tasks, division of work, scientific selection, training, and incentive plans.

Traditional vs Modern Techniques in Management

• Traditional: Personal observation, statistical data, reports.

• Modern: ROI, ratio analysis, managerial audits.

Corporate Governance and CSR

• Corporate Governance: Balances stakeholders' interests.

• CSR (Corporate Social Responsibility): Ethical responsibilities of a business to its community.

• Benefits of CSR: Enhances corporate image, attracts talent, increases sales.

Green Management

• Importance of environmental sustainability in business practices.

• Benefits include cost reduction, improved brand image, and environmental protection.

Conclusion

• Emphasizing management principles can lead to efficient and successful organizational operations. By balancing multiple responsibilities effectively, managers can create a conducive work environment, drive profitability, and uphold corporate responsibilities.