Principles of Management Sem 1 Slides Fantastic

8/8/2019 Principles of Management Sem 1 Slides Fantastic

1/54

- Rupesh Patel


2/54

Define Management

Management is the process of designing &maintaining an environment in which

individuals, working together in groups,efficiently accomplish selected aims.


3/54

Contd>>>>>>> As managers, people carry out the managerial functions of

planning, organizing, staffing, leading, & controlling.

Management applies to any kind of organization.

It applies to managers at all organizational levels.

The aim of all managers is the same: to create a surplus.

Managing is concerned with productivity, this implieseffectiveness & efficiency.


4/54


5/54

Features of Management : Organized activities

Existence of o jectives

Relationship among resources

Working with & Through people

Decision- Making


6/54

Top 10 Most admired companies in India

1. Infosys Technologies (Annual Sales of over $4 billion)

2. Tata Consultancy Services (largest Indian Outsourcer by Sales)

3. BhartiAirtel (In mergers talks with MTN Group)

4. Larsen & Tou ro (indeal to buildnuclear reactors)

5. Wipro (Global workforce of close to 100k)

6. Tata Steel (Manufacturing units in 27 countries)

7. Hindustan Lever (has more than 400 brands)

8. HDFC Bank (Incorporated in 1994)9. State Bank of India (planning to add 1000 branches)

10. ITC (Wide-range Conglomerate)


7/54

Some Great Managers


8/54


9/54


10/54


11/54

The functions of management :Management can e reak down into 5

managerial functions :y

planningy organizing

y staffing

y leading

y controlling

Management as an essential for any organization


12/54

Managerial functions as at different organizational

levels :

Top

level

Managers

Middle-level

Managers

First-level

Supervisors


13/54

Functions ofTop Management :

To analyze, evaluate & deal with the external environmentalforces

To esta lish overall long-term goals strategy & policies of thecompany including the master udget to allocate resources.

To create an organizational framework consisting of authorityresponsi ility relationships.

To appoint departmental & other key executives.

To provide overall leadership to the company.


14/54

Contd >>>>>>>

To represent the company to the outside world, e.g. ; tradeassociations, government, trade unions, etc.

To exercise overall review & control on the companys operations&

To coordinate the activities & efforts of different departments.


15/54

Functions of Middle Management :

To interpret & explain the policies framed y top management .

To compile & issue detailed instructions regarding operations.

To maintain close contacts with operating results so as toevaluate performance.

To participate in operating decisions

To cooperate among themselves so as to integrate or coordinatevarious parts of a division or a department


16/54

Functions ofSupervisory Management : To plan day-to-day production within the goals laid down y

higher authorities.

To assign jo s to workers to make arrangements for their training& development.

To supervise & control workers & maintain personal contact withcharge hands.

To arrange materials & tools & to maintain machinery.

To advise & assist workers y explaining work procedures, solvingtheir pro lems, etc


17/54

Importance of Management :

Effective Utilization of Resources

Development of Resources

To Incorporate Innovations

Integrating Various Interest Groups

Sta ility in the Society


18/54


19/54

Management & Administration :

Administration is a ove management

Administration is part of management

Management & administration are same


20/54

..1.. Administration is above management : administration is that phase of usiness enterprise that

concerns itself with the overall determination of institutionalo jectives & the policies necessary to e followed in achieving

those o jectives.

Management on the other hand, is an executive function whichis primarily concerned with carrying out road policies laid downy the administration.


21/54

Difference between administration &

management :

Basis of difference Administration Management

1 Level inorganization

Top level Middle & lower

2 Major focus Policy formulation &o jective determination

Policy execution foro jective achievement

3 Nature of functions

Determinative Executive

4 Scope of functions Broad & conceptual Narrow & operational

5 Factors affectingdecisions Mostly external Mostly internal

6 Employer-employee relation

Entrepreneurs & owners Employees

7 Qualities required Administrative Technical


22/54

..2.. Administration is a part of management :

Management is a generic name for the total process of executivecontrol in industry or commerce.

It is a social process entailing responsi ility for the executive &economic planning & regulation of the operation of anenterprise, in the fulfillment of a given purpose or task.

Administration is that part of management which is concerned

with the installation & carrying out the procedures y which it islaid down & communicated, & the process of activities regulated& checked against plans.


23/54

..3.. Management & Administration are same

Management & administration are synonymous; the differenceetween the two terms lies mostly in their usage in different

countries or different fields of human organizations.

The distinction etween the two terms may e drawn yanalyzing the origin of the word administration.

The government often uses the word administrator, instead ofmanager, to handle & manage its affairs


24/54

Nature of Management :Management as an activity (or a process )

Planning Organizing

Staffing

Directing &

Controlling


25/54

Contd >>>>>>>Management as a discipline

Management education is gaining popularity in the present day-times.

Scholars are interested in study of management discipline, forpurposes of conducting research studies & making new &valua le contri utions to this discipline

Practitioners of management are much interested in a study ofmanagement discipline

Management discipline is growing into specialized ranches ofmanagement like production, marketing, personnel, finance &several others


26/54

Contd >>>>>..Management as a group ( class or team or society)

I. Micro-level : the economic results, in terms of the

attainment of common o jectives, of the group-endeavor

II. Macro-level : the survival, growth & prosperity of theeconomy would e determined y the integrity, competence& efforts of the total management class

Management as an economic resource (or a factor ofproduction) . The economist has een all the time eenspeaking of 4 factors viz , land, la our, capital & enterprise.


27/54

Management science or Art :Management science or art differ in the following ways :

Commonsense is vague as compared to scientific knowledge

Flagrant inconsistency often appears in commonsense whereaslogical consistency is the asic of science

Science systematically seeks to explain the events with which itdeals, commonsense ignores the need for explanation

The scientific method deli erately exposes claims to the criticalevaluation of experimental analysis, commonsense method failsto test conclusions in any scientific fashion


28/54

Management as profession :

Profession is an occupation for which specialized

knowledge, skills & training are required & the use ofthese skills is not meant for self-satisfaction ut theseare used for larger interests of the society & thesuccess of the use of these skills is measured not interms of money alone.


29/54

Characteristics ofprofession :

Existence of knowledge

Acquisition of knowledgeProfessional association

Ethical codes

Service motive


30/54

Objectives/ Advantages ORS

ignificance ofManagement :

Micro level

Macro level


31/54

Micro levelEnterprise level

Maximum results with minimum inputs

I. Securing results in terms of production, sales, employeesatisfaction

II. Maintaining a alance etween the internal environment ofthe enterprise & the external environment


32/54

Contd >>>>>>> Ensuring maximum prosperity for oth employers &

employees

I. Sta ility of employement

II. Satisfactory working conditions

III. Fair remuneration

IV. Jo -satisfaction

V. Justice & human treatment

Ensuring survival, growth & prestige of the enterprise


33/54

Macro level

To further the process of economic growth

To ensure social welfare

Generation of employment opportunities

Helping maintain healthy industrial relations

Conversion of challenges into opportunities


34/54

Role of Management Principles :

To increase efficiency

To crystallize the nature of ManagementTo carry on Researches

To attain social o jectives


35/54

Evolution of Management Thought :

Many different contri utors of writers &

practitioners have resulted in differentapproaches to management, & these make up amanagement theory jungle


36/54

Taylor & scientific management :The concept of scientific management was introduced

y Frederick Taylor in USAin the eginning of20th

century.

Scientific management was concerned essentiallywith improving the operational efficiency at the shop

floor level


37/54

Contd >>>>>>>>

scientific management is concerned with

knowing exactly what you want men to do & thensee in that they do in the est & cheapest way


38/54

Elements & Tools of scientific Management :

Separation of planning & doing

Functional Foremanship

Jo analysis

1. Time study involves the determination of time a movementtakes to complete

2. Motion study involves the study of movements in parts whichare involved in doing a jo & there y eliminating the wastefulmovements & performing only necessary movements


39/54

Contd >>>>>>>3. Fatigue study shows the amount & frequency of rest required in

completing the work.

Standardization Scientific selection & training of workers

Financial Incentives

Economy

Mental Revolution


40/54

Principles of scientific management : Replacing rule of Thum with science

Harmony in GroupAction

Co-operation

Maximum output

Development of workers

Amore equal division of responsi ility etween management &workers


41/54

Contd >>>>>>>>>>> Mental revolution on the part of management & workers


42/54

Merits of scientific Management :

More production & higher profits

Jo -satisfaction

Personality development

Higher standard of living


43/54

Fayols Administrative management :

Henry Fayol was a french mining engineer who turned aleading industrialist & a successful manager

Perhaps the real father of modern operational managementtheory is the French industrialist Henry Fayol.


44/54

Contd >>>>>>>Fayol found that activities of an industrial organization could e

divided into 6 groups such as :

1. Technical (relating to production)2. Commercial ( uying, selling & exchange)

3. Financial (search for capital & its optimum use )

4. Security (protection of property & person)

5. Accounting (including statistics ) &

6. Managerial (planning, organization, command, coordination,& control )


45/54

Managerial qualities & training :

Physical (health, vigour, & address )

Mental (a ility to understand & learn, judgment, mental vigour,

& capa ility) Moral (energy, firmness, initiative, loyalty, tact, & dignity)

Educational (general acquaintance with matters not elongingexclusively to the function performed)

Technical (peculiar to the function eing performed) &

Experience (arising from the work )


46/54

General Principles of Management :

Division of work

Authority & Responsi ility

Discipline Unity of Command

Unity of Direction

Su ordination of Individual to General Interest

Remuneration of Personnel


47/54

Contd >>>>>. Centralization

Scalar chain

Order Equity

Sta ility of Tenure

Initiative

Esprit de corps


48/54

Role & Functions of a manager

&Activities of management


49/54

Functions of Manager :

Planning

OrganizingStaffing

Directing

Controlling


50/54

Nature Management Functions :

Management functions are universal

Management functions have interactive quality

Although management process suggests a sequentialarrangement of functions its not always possi le in theperformance of managerial functions strictly in a sequence

Since there are many managerial functions often a questionarises which management function is more important so thatmanagers devote more time to that


51/54

Management Functions

Planning

Staffing

directing organizing

Controlling


52/54

Roles Of Manager :

Interpersonal Role

Informational RoleDecisional Role


53/54

Management Role

Formal authority &status

+

Personal skills &

characteristics

Interpersonal rolesFigurehead

Leader

Liaison

International roles

Monitor

Disseminator

spokesperson

Decision roles

EntrepreneurDisturbance

Handler

Resource allocator

Negotiator


54/54

Functions at Various Levels of Management :

Management

Top ManagementSupervisory

ManagementMiddle Management

Board of Directors Departmental heads Senior supervisors

chairmanDivisional heads

Intermediate

supervisors

Chief executiveSectional heads

Front-line

supervisors

Documents

Principles of Management Sem 1 Slides Fantastic