MANAGEMANT

MANAGEMENT

Harold Koontznamed his confusion as "The Management Theory Jungle. He has also termed it as aJungle Warfare.

ManagementHarold Koontz warned all management experts to stop this jungle warfare because of its destructive nature. He asked them to remove all these confusions. This is because if confusion exists, then management will not have universal application. So now all the management theories / thoughts / schools / experts are converging. That is, they are coming together at a same point. All the experts are agreeing with each other.This unification or convergence of the management thoughts, now being adopted globally, is called as the "Global Theory of Management."

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Global Theory of Management

1. The empirical approach

Now-a-days most writers purify the basics. That is, they make the basic concepts of management very simple and clear. So, the trainee managers can understand the basics very easily. Secondly, whenever there is a problem, most experts first try to find out the root cause of the problem.2. System thinking

Most experts agree that the organization is a unified, purposeful system which consists of many different parts. The organization is a part of the total environment.

Today, there are many schools ofmanagement. There are also many management experts. Each school and each expert gives their own theory about management. They say that their theory is right, and the theories of the other experts are wrong. There are so many management theories. We cannot say, which one right and, which one is wrong. This has caused a lot of confusion in the field of management.

Today, there are many schools ofmanagement. There are also many management experts. Each school and each expert gives their own theory about management. They say that their theory is right, and the theories of the other experts are wrong. There are so many management theories. We cannot say, which one right and, which one is wrong. This has caused a lot of confusion in the field of management.1. The empirical approach

Now-a-days most writers purify the basics. That is, they make the basic concepts of management very simple and clear. So, the trainee managers can understand the basics very easily. Secondly, whenever there is a problem, most experts first try to find out the root cause of the problem.2. System thinking

Most experts agree that the organisation is a unified, purposeful system which consists of many different parts. The organisation is a part of the total environment.

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Global Theory of Management

3. Situational and contingency approach

Most experts believe that we cannot have universal styles of management, which can be used in all situations. A manager must first study the situation very carefully then he must use a style of management, which is suitable for that situation.4. Motivation and leadership theory Most experts feel that thetheories of motivationandleadershipmust be combined. They support theFollower Theoryof leadership. According to the follower theory, people will follow those leaders who will help them to satisfy their wants. So, a leader will be successful only if he can satisfy the wants of his followers. Now-a-days leaders must combine both financial and non-financial motivation plans.

1. Management Key ConceptsOrganizations: People working together and coordinating their actions to achieve specific goals.Goal: A desired future condition that the organization seeks to achieve.Management: The process of using organizational resources to achieve the organizations goals by...Planning, Organizing, Leading, and Controlling

1. Management Key ConceptsOrganizations: People working together and coordinating their actions to achieve specific goals.Goal: A desired future condition that the organization seeks to achieve.Management: The process of using organizational resources to achieve the organizations goals by...Planning, Organizing, Leading, and Controlling

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Global Theory of Management

5. Impact of technology

All experts agree that technology has a big influence on management. Management has to change according to the changes in technology. Technology has a direct effect on theorganizational structure, plant location, plant layout, production design and role of manpower. As the technology changes, these factors will also change.

6. Merger of theory and practice Most experts agree that the best way to teach management is to combine theory (fundamentals) and practice (case studies). Management trainees all over the world read the same management books. They also read the same case studies. They are given the same type of training. They also talk to other managers all over the world using advanced communication technology. Today, all multi-national corporations (MNCs) use the same management techniques. This justifies the emergence of Global Theory of Management.

Global Theory of Management

7. Unified development and behaviour Most experts feel thatOrganization DevelopmentandOrganization behavior, are both moving towards the same direction. So, the experts are making uniform (same) theories for organization development and a behaviour. These theories are used for managing MNCs all over the world.

8. Research supports the management process Research all over the world, found that themanagement,process(planning, organizing,directing,controlling) is the best way to manage anorganization. So, organizations allover the world are using themanagement process.

7. Unified development and behaviourMost experts feel thatOrganization DevelopmentandOrganization behavior, are both moving towards the same direction. So, the experts are making uniform (same) theories for organization development and a behaviour. These theories are used for managing MNCs all over the world.

8. Research supports the management processResearch all over the world, found that themanagement process(planning, organizing, directing,controlling) is the best way to manage an organization. So, organizations all over the world are using the management process.

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9. Common meaning for management termsAbout twenty-five years ago, different management experts gave different meanings for the same management terms. However, now this situation has stopped. Today, management terms have same meaning in all books.

9. Common meaning for management termsAbout twenty-five years ago, different management experts gave different meanings for the same management terms. However, now this situation has stopped. Today, management terms have same meaning in all books.

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Nature Management

The concept of management, its necessity. Definitions management

Management - is the managing of people working in the same organization with the final goal. But management is not just people management, organization, and its special shape, it is in control of the market conditions, the market economy, under conditions of constant change, risk. Therefore, management is aimed at creating favorable conditions (technical, economic, psychological, etc.) operation of the organization to achieve its success.

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The main ingredients for success are:

1) the survival of the organization in the long term;2) a performance;3) a efficiency.

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2. Management as a particular type of activity, its specificity

To give a complete definition ofmanagement is difficult, because itis a very complex and multifacetedphenomenon. There are more than 300 definitions of management.

Management is a specific type of work. It stood out as a special kind of work together with cooperation and division of labor. In terms of cooperation, each manufacturer performs only part of the job, so to achieve a common result efforts are required on the connection, coordination of activities of all participants in the joint working process. Management establishes consistency between individual works and performs general functions arising from the movement of the entire organization. As such, management establishes a common bond and unity of action of all members of joint production process to achieve the common goals of the organization. That is the essence of the management process.

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Lee Iacocca believes that the management - no more than a "tune people into work."

Akio Morita wrote that the quality manager can be judged by how well he can organize a large number of people and how effectively can achieve the best results from each of them, merging them work together.

Peter Drucker - defines management as a special kind of activity that transforms an unorganized crowd into a focused, effective and efficient group.

Werner Siegert emphasizes that control - hence lead to the success of others.

Michael Mesckon believes that the management - the process of planning, organization, motivation and control, necessary to formulate and achieve organizational goals through other people.

The specific nature of management are:

1) The object of labor, which is the work of others;2) the means of labor - organizational and computer engineering, information system of collection, processing and transmission;3) the object of labor, which acts as a collective of people within a certain cooperation;4) the product of labor, which is a management decision;5) the results of labor, manifested in the final results of the collective.

3. Organization as to control: component parts, the levels of the basic processes

Any organization is an open system that is built into the environment with which the organization is in a constant state of exchange. The input it receives resources from the environment, it sends the output to the external environment created product. Therefore livelihoods organization consists of three main processes:

1) obtaining resources from the external environment;2) the conversion of resources into a finished product;3) transfer of the product produced in the environment.

4. The elements of the management process. Management functions

Management - is a single process, which is represented by different managerial employees or agencies. The purpose of their interaction is the development of a single control to the control object. For managerial staff are managers (managers), experts and employees (technical artists). The central place in the management ranks manager. He heads a certain team, he owns the right to take control and management decisions, that he bears full responsibility for the results of the collective.

Manager - Head, professional manager, who is a permanent position with the authority and decision-making on specific activities of the organization. Specialists - workers performing certain functions of management. They analyze the information and prepare options for solutions to the leaders of the appropriate level. Employees serve technical performers: secretaries, assistants, technicians, etc.

These are the basic functions of management, they have a place on anyone, even a small enterprise.Since management - this is a specific type of work, a particular profession should be common features in the content of the work of managers. These are short duration, diversity and fragmentation.

Direct control action on the control object is the interaction of the three functions: planning, organization and motivation.

5. Personnel management and their roles

three conceptual categories:information (informationmanagement), interpersonal (people management) and related decision-making (management actions).

four management functions:planning, organization, motivation and control.

Informational role is to collect information about the internal and external environment, its distribution in the form of facts, regulatory systems and explanation of the policies and the main goals of the organization.

6. The necessary skills and quality manager

The manager should have a variety of management skills and abilities. They are usually combined into three groups: conceptual, communication, technical.

Principles of Management

Management is the art of getting things done through and with an informally organized group Characteristics of Management

Art as well as scienceManagement is an activityIt is a continuous processIt is a dynamic processIt is aimed at achieving pre-determined objectivesOrganized activityIt is a discipline

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It is all pervasiveTeam-spiritIt involves decision-makingIt is innovativeIt is different from ownershipUniversal applicationManagement is a professionIt has different operational levels

Functions of Management Planning OrganizingStaffingDirectingCoordinatingMotivating ControllingInnovationDecision-makingCommunication

Importance of Management

Optimum utilization of resourcesEffective functioning of the businessIntegrates various interestsCoordination and team-spiritCordial industrial relationsReduces turnover and absenteeismAccomplishment of group goalsStability, Prosperity, expansion

Managerial Skills

Conceptual be able to see the big picture of the situation. Ability to arrive at ideas, create a vision and plan for the future. (the ability to analyze and diagnose a situation and find the cause and effect.) Technical possess specific knowledge or have a specialized expertise. (the job-specific knowledge required to perform a task. Common examples include marketing, accounting, and manufacturing) Human be able to work well with others both individually and in a group setting. (the ability to understand, alter, lead, and control peoples behavior)

Conceptual Skills-Vision, imagination and intelligence to set appropriate organizational goals for the organization.Human relations skills-Interaction, motivation, guidance, self evaluation, coordination.Technical skills-Knowledge, competence, techniques.Diagnostic skills-Analyze, examine and determine solution to management problems.Analytical skills-Logic, rationality, problem solving, evaluate alternatives.Communication skills-Soft skills to deal with employees, suppliers, Govt., outside world.Leadership skills-Inspire, respect, lead, motivateAdministrative skills-Framing policies, plans, conflict free working

Why Study Management?

The Value of Studying ManagementThe universality of managementGood management is needed in all organizations.The reality of workEmployees either manage or are managed.Rewards and challenges of being a managerManagement offers challenging, exciting and creative opportunities for meaningful and fulfilling work.Successful managers receive significant monetary rewards for their efforts.

Who Are Managers?

*ManagerSomeone who works with and through other people by coordinating and integrating their work activities in order to accomplish organizational goals.

Classifying Managers

First-line ManagersAre at the lowest level of management and manage the work of non-managerial employees.Middle ManagersManage the work of first-line managers.Top ManagersAre responsible for making organization-wide decisions and establishing plans and goals that affect the entire organization.

manager job titles are:

*Team or area leader *Front-line supervisor *Mid-level manager *Department head *Vice-President *President *Officer, Chief Officer *Managing Director *Deputy Officer

If we look at the question, what does a manager do? the answer is not straightforward!

Management functions

Planning managers have to plan what they want to accomplish and develop specific actions in order to reach those goals. Organizing managers must figure out how many people are needed to get the jobs and tasks done. They also determine how the job flow happens (who does what). Generally, we talk about what kind of structure will be put in place to get these tasks done. Leading managers must supervise, lead, motivate, train, coach, guide, hire and assess employees. There are a lot of ways that these can be done. Controlling managers must monitor whats going on in their area, to make sure that the goals or objectives are going to be met. If the goals are not going to be met, then corrective action can be taken.

Henry Mintzberg.

One of the most important pieces of research into the job of a manager comes from Henry Mintzberg. He is a Canadian academic and researcher who has studied management for years. He believes that a managers work is never really done! He was the person who categorized the various roles that a manager plays in the organization. The following chart outlines Mintzbergs categories and roles. It also gives brief examples of the roles.

A quote from Peter Drucker

When I first began to study management, during and immediately after World II War, a manager was defined as someone who is responsible for the work of subordinates. A manager, in other words, was a boss, and management was rank and power But by the early 1950s, the definition had already changed to a manager is responsible for the performance of people. Now we know that this also is too narrow a definition.

The right definition is a manager is responsible for the application and performance of knowledge.

Planning in the organization

Planning in the organization Competitive advantageStrategic planning processGrand StrategyMission statementsAction/implementation plan

Using the example from the previous section, here is a sample of their action plan

What?Develop new products. Specific goal - develop one new product by the end of six months.Cross-train present employees.Who?Representatives from design, manufacturing andsales department form a team to determine marketneeds and manufacturing capability.HR Administrator.How?/When?Prototype presented to management by the end of four months for approval. Production in place at the end of six months.Training plan presented to management by the end of one month. Training started in six weeks and completed by the end of three months.

Organizing the organization

Structure follows strategyBureaucracyRules of a bureaucracyCentralized vs. decentralizedDisadvantages of a bureaucracyAuthority staff and lineLine departments/line authorityStaff departments/staff authorityThe rise of the group structureNot-for-profit note

Leading Calm Seas case

Calm Seas has a strong emphasis on quality in the products they make indeed they have made it part of their competitive advantage.The organization has a curious mixture of a bureaucratic structure and a team structure. In the production area, they have implemented a team structure, as outlined in the previous section.

Leading in the organization

Leader vs. managerThe first thing we have to do is to separate a leader from a managerManager is somebody who is responsible for directing and controlling the work and staff of a business, or of a department within it.

Leader is somebody whom people follow.

Leadership theories

This is different from soliciting input and then the manager choosing to do something else. As long as the employees are listened to and their opinions truly considered, if the manager then chooses another option, the manager can still be described as democratic. The big difference comes down to listening. After all, in todays business world, the description of the autocratic manager doesnt sound as good as the other styles. Autocratic itself is a term that does not sound positive. A manager can say that they have a democratic style and may believe that they are democratic managers but its the actions that count.

Knowing what kind of manager/leader to be

For example, an autocratic style would often be wise to use: In a crisis or emergency When there is a legitimate, unforeseen rush needed for production Sometimes with untrained, unskilled employees By contrast, a participative style would often be wise to use: When the outcome is more important to the employees than the leader When the employees know more about the issue than the leader When the employees can improve and develop their skills When lots of creativity is needed

Motivation Theories and Concepts

motivate means: give somebody incentive or make somebody willing.

Intrinsic and extrinsic motivation

One of the first distinctions to be made, which is a concept which also arises in some of the following motivation theories, is the distinction between intrinsic and extrinsic motivation.

Content Theories of motivation

Maslows Hierarchy of Needs: *5 levels, physiological, security, social, esteem, self-actualization * each level must be substantially satisfied before moving to the next * refinements of Maslows theory today include a recognition that individuals could be on more than one level at a time and that individuals could move up and down the hierarchy overnight.

McGregors Theory X and Theory Y

* actually defines how managers view employee motivation Y * Theory X manager believes that employees need to be controlled, coerced and bribed. * Theory Y manager believes that people are willing to work, are creative and independent and self directed when motivated properly. * Concept of self-fulfilling prophecy may enter in here. If manager follows Theory Y beliefs, does that create Theory Y employees?

Herzbergs Motivation Hygiene Theory

* hygiene factors are extrinsic to the work (work environment, relationship with peers, supervisor, and salary). If absent, result is dissatisfaction; if present, result is neutrality. * job satisfiers are intrinsic to the work itself (achievement, recognition, nature of the work, responsibility). If absent , effect is neutral; if present, result is motivation. * both hygiene and motivators must be present for motivation to occur. Cant have motivation if hygiene issues are not dealt with.

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Control in the organization

What does control mean?

We should instead think of the term monitor when we think of controlling in the organization. The question becomes, what do we want to monitor? Or, what do we want and need to keep track of?

What kinds of controls?

Traditional financial control measures are ratios such as liquidity, leverage, activity and profitability all of these are indicators of financial performance. What?Develop new products. Specific goal - develop one new product by the end of six months.Cross-train present employees.

Who?Representatives from design manufacturing and sales department form a team to determine market needs and manufacturing capabilityHR Administrator. How?/When?Manager by the end of Prototype presented to four months for approval. Production in place at the end of six months. Training plan presented to management by the end of one month. Training started in six weeks and completed by the end of three months.

Skill Type Needed by Manager Level

Management ChallengesIncreasing number of global organizations.Building competitive advantage through superior efficiency, quality, innovation, and responsiveness.Increasing performance while remaining ethical managers.Managing an increasingly diverse work force.Using new technologies.