Principles of ManagementSession. 1

Introduction to Management &

Organizations

USMAN SADIQ (Ph.D. Scholar)

Our expectations? Hard work Honesty Responsible attitude

AFTER STUDYING THIS CHAPTER YOU SHOULD BE ABLE TO:

• Define Business and describe the characteristics of Organization.

• Differentiate between managerial and non-managerial employees.

• Describe Management.• Explain the functions, roles, and skills of

managers and how the manager's job is changing.

• Recognize the value of studying Management

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Business :

The term “Business” signifies individual & group activities directed towards wealth generation through goods & services (recognized by the law).

Organization:

A group of people working together in a structured and coordinated fashion to achieve a set of goals is called organization.

Goals & Objectives:

Goals are the end results towards which all the activities are directed. Different organizations may have different goals. e.g. Profitability, Growth, Market Penetration, Productivity, Leadership, Client Satisfaction etc.Objectives are sub goals.

SOME IMPORTANT TERMS TO KNOW

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What is Management...

Coordination and oversight of the work

activities of others so that their activities

are completed efficiently and effectively.

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Effectiveness VS Efficiency

Doing the right things , or completing activities so that organization goals are attained, called

Effectiveness.

Doing the things right, or getting the most output from the least amount of

inputs, called Efficiency.

Why Efficiency & Effectiveness

are important to Management

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What are the functions of Management?

OR

What is Management Process?

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Four Functions of Management

Four Functions of Management

PlanningChoose Goals

OrganizingWorking together

Leading Coordinate

ControllingMonitor & measure

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1-Planning

A Management

function that involves

defining goals,

establishing strategies for

achieving those goals,

and developing plans to

integrate and coordinate

activities.

Planning Process consists of five steps Objective-setting Forecasting Strategy formation Setting specific

standards Continual review

and revision

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2-Organizing

Organizing is the

establishment of relationship

between:

• Activities• Persons• Physical factors

or

Structuring working

relationships in a way that

allows organizational

members to achieve

organizational goals.

Function of Organizing involves:

1. Division of Labor2. Departmentalization 3. Staff positioning4. Assigning authority or

Delegation of power5. Equalizing authority

and responsibility

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3-Leading

Management function that involves working with and through people to accomplish organizational task.

In leading functions subordinates are guided, supervised and motivated by managers

Components involve in leading function are:

1. Supervision2. Motivation3. Communication4. Bringing about

change5. Managing conflict

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4-Controlling

Management function that

involves monitoring actual

performance ,comparing

standards, and taking corrective

actions if necessary.

Process consist of:

1. Measuring

2. Comparing

3. Correcting

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SET PERFORMANCE

STANDARDS

STANDARDS WITHINLIMITS

CONTINUE WORK

PROGRESS

TAKECORRECTIVE

ACTION

COMPAREMEASURE

PERFORMANCE DETERMINE DEVIATION

NO YES

Controlling Process

Management Functions

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Management as Systematic Approach

Goals

Inputs

i. Human Resources

ii. Financial Resources

iii. Physical Resources

iv. Information Resources

MANAGEMENT PROCESS

ORGANIZING

PLANNING

Effectively Completion of Goals+

CONTROLLING

Leading

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The Universality of Management

The reality that management is needed in all types and sizes of organization, at all organizational levels, in all organizational areas, and in organization no matter where located.

Universal Need for Management

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Managers are those people who work

with and through other people

for getting activities completed in order

to accomplish organizational goals.

Manager

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Difference between Managers and Operatives

• Operatives are people who work directly on a job or task & have no responsibility for overseeing the work of others.

In contrast• Managers direct the activities of

other people in the organization.

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What are their Objectives?

To achieve the organizational goal, managers pursue the following objectives.– Efficient use of resources– Customer satisfaction– Adequate return on capital– Satisfied workforce– Improved work conditions– Building supplier relationship– Contribution to national goal

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Kinds of Managers

Basically there are three levels of managers

i. Top Managersii. Middle Managersiii. First-line Managers

TOP LEVEL

MIDDLE LEVEL

FIRST-LINE MANAGER

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Basic Managerial

Roles & Skills

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Managerial Role.

The managerial roles are divided into three basic categories identified by Henry Mintzberg.

1. Interpersonal Role2. Informational Role3. Decisional Role

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Managerial Skills

There are number of skills that a Manager needs but three of them are pre-requisite to their success

– Technical Skills– Interpersonal Skills– Conceptual Skills

Skills Needed at Different Management Levels

Six Must Have” Managerial Skills

• Team Work• Self Management • Leadership • Critical Thinking • Professionalism • Communication

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HOW THE MANAGER’S JOB IS

CHANGING

RolesRoles

SkillsSkills

ManagerManager

InterpersonalInterpersonal

InformationalInformational

DecisionalDecisional

Liaison

Leader

Figure Head

Spokes person

Disseminator

Monitor

Entrepreneur

Resource Allocator

Negotiator

Disturbance Handler

Technical Skills

Interpersonal skills

Conceptual Skills

Diagnostic Skills

Levels Levels

Top Level

Middle Level

First level

Components of Management

Components of Management

MANAGEMENT

Changes and ManagementChanges and Management

Universality of ManagementUniversality of Management

All sizes of Organizations

All Types of Organizations

All Organizational Levels

Effectiveness

Efficiency

Motivation

Communication

Bringing Change

Managing Conflicts

Supervision

Measuring

Comparing

Correcting

FunctionsFunctions

PLANNINGPLANNING ORGANIZINGORGANIZING

LEADING LEADING CONTROLLINGCONTROLLING

Goal setting

Forecasting

Strategy Formation

Review & Revision

Standard Setting

Division of labor

Departmentalization

Staff Positioning

Delegation of Power

Equalizing authority & Responsibility

Digitization

Changing security threats

Organizational & Managerial Ethics

Increased Competitiveness

THANK YOU