UNIT I (MBA 1st sem)
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UNIT I (MBA 1st sem)MPOB
Why Study Management?Universality of Managementmanagement is needed in all types and sizes of organizationsat all organizational levelsin all work areasmanagement functions must be performed in all organizationsconsequently, have vested interest in improving management
Prentice Hall, 20021-*
Basic Purpose of ManagementEFFICIENTLY Using resources wisely and in a cost-effective way EFFECTIVELY Making the right decisions and successfully implementing them
Nature Of MgtGoal OrientedEconomic ResourcesDistinct ProcessIntegrative forceIntangible Force
Four Functions of ManagementFigure 1.2
Levels of Management3Top Level ManagementMiddle Level ManagementFirst-LineManagement
Types of ManagersFigure 1.3
Relative Amount of Time That Managers Spend on the Four Managerial FunctionsFigure 1.4
Managerial Roles and SkillsMintzberg identified three categories of roles Decisional, Informational, Interpersonal
Decisional RolesRoles associated with methods managers use in planning strategy and utilizing resources.Entrepreneurdeciding which new projects or programs to initiate and to invest resources in. Disturbance handlermanaging an unexpected event or crisis.Resource allocatorassigning resources between functions and divisions, setting the budgets of lower managers.Negotiatorreaching agreements between other managers, unions, customers, or shareholders.
Informational RolesRoles associated with the tasks needed to obtain and transmit information in the process of managing the organization.Monitoranalyzing information from both the internal and external environment.Disseminatortransmitting information to influence the attitudes and behavior of employees.Spokespersonusing information to positively influence the way people in and out of the organization respond to it.
Interpersonal RolesRoles that managers assume to provide direction and supervision to both employees and the organization as a whole.Figureheadsymbolizing the organizations mission and what it is seeking to achieve.Leadertraining, counseling, and mentoring high employee performance.Liaisonlinking and coordinating the activities of people and groups both inside and outside the organization.
Managerial SkillsTechnical Skills
Core skills and their use in the different levelsConceptual skillsHuman skillsTechnical skillsManagerial levelsLowerMiddleTop
Whois a ProfessionalManager ?
Who is in charge of the businessaffairs,
Who resolves conflicts and problemspositively,
Who develops effective customerrelationships.
Who directs a business or otherenterprise,
Who controls expenditures andresources,
Tasksof a ProfessionalManager
1. Deciding the basic mission of firm. 2. Unrelenting existence and growth. 3. Sustaining firms effectiveness, profit creation and adopting technological advancements. 4. Confronting the test of increasing competition and transformation. 5. Managing for novelty and modernity. 6. Edifying human organization.
Tasks of a ProfessionalManager
7. Keeping hold of talent and inculcating sense of devotion.8. Sustaining headship value.9. Maintaining equilibrium between inventiveness and conventionality.10. Pushing back managerial obsolescence.11. Enduring the mounting communal disparagement and opinionated antagonism.12. Safeguarding relations with various general public fragments.
Towards customer the king,Towards understanding the organizational context,Towards shareholders,Towards people working in the organization,Towards administering the activities and resources,Towards purveyors, whole-sellers, distributors and retailers Towards competitors,Towards employees union,Towards commanding regime, Towards the social order.
Nestle India does not favors short- term profits at the expense of long- term business development. Wipro Technologies Ltd. the hard work and contributions never go unnoticed at Wipro.
Question? What is the specific set of abilities that allows one manager to perform at a higher level than another manager? A. Skill-sets B. SKAs C. Competencies D. Skill traits
Question? What is a group of people who work together and possess similar skills or use the same knowledge, tools, or techniques? A. Organization B. Department C. Team D. Presentation Group
AssignmentsQ1 Difference Between Management & Administration.Q2 Management a science or an art ?Q3 Is Management a Profession?Q4 Management is an art of getting work through other people.
MGT TheoriesThe development of mgt thought can be grouped in four major periodsClassicalNeo classicalSystem ApproachModern approach
Figure 2.1 Chronological Development of Management Perspectives
Management TheoryClassical ApproachesFrederick Taylor: Scientific Management (1886)Frank and Lillian Gilbreth: Time/motion studies (later 1800s)Henri Fayol: 14 Principles of Management (1880s-1890s)Max Weber : Bureaucracy (1920s)Behavioral ApproachesThe Hawthorne Experiment (1927)MacGregors Theory X and Theory Y (1960)Quantitative ApproachesContemporary ApproachesOuchis Theory Z (1981)Contingency Management
Figure 2.2 Subfields of the Classical Perspective on ManagementFocuses on the individual workers productivityFocuses on the functions of managementFocuses on the overall organizational system
Scientific Management: TaylorFrederick W. Taylor (1856-1915)Father of Scientific Management.attempted to define the one best way to perform every task through systematic study and other scientific methods.believed that improved management practices lead to improved productivity.Three areas of focus:Task PerformanceSupervisionMotivation
Task PerformanceScientific management incorporates basic expectations of management, including:Development of work standardsSelection of workersTraining of workersSupport of workers
SupervisionTaylor felt that a single supervisor could not be an expert at all tasks.As a result, each first-level supervisor should be responsible only workers who perform a common function familiar to the supervisor.This became known as Functional Foremanship.
MotivationTaylor believed money was the way to motivate workers to their fullest capabilities.He advocated a piecework system in which workers pay was tied to their output.Workers who met a standard level of production were paid a standard wage rate.Workers whose production exceeded the standard were paid at a higher rate for all of their production output.
Taylors Principles of ManagementThe one best way.Management using scientific observationScientific selection of personnelPut right worker in right job, find limitations, trainFinancial incentivesPutting right worker in right job not enoughA system of financial incentives is also neededFunctional foremanshipDivision of labor between manager and workersManager plans, prepares, inspectsWorker does the actual workFunctional foremen , specialized experts, responsible for specific aspects of the job
Henri FayolFirst came up with the five basic functions of managementPlanning, Organizing, Staffing, Directing, Communicating, and ControllingFirst wrote that management is a set of principles which can be learned.Developed Fourteen Principles of Management
HENRI FAYOLs FOURTEEN PRINCIPLES OF MANAGEMENT
*Management is getting work done through others. Managers have to be concerned with efficiency and effectiveness in the workplace. Efficiency is getting work done with a minimum of effort, expense, or waste. Effectiveness is accomplishing tasks that help full organizational objectives, such as customer service and satisfaction.
*6*The jobs and responsibilities of the four kinds of managers are shown in Exhibit 1.2.****The answer is C. Competencies are the Specific set of skills, abilities, and experiences that allows one manager to perform at a higher level than another manager in a particular setting. See p. 31*The correct answer is B A department is a group of people who work together and possess similar skills or use the same knowledge, tools, or techniques. See p. 15******