Principles of Management Session. 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

SOME IMPORTANT TERMS TO KNOW 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. 4 4

What is Management... Coordination and oversight of the work activities of others so that their activities are completed efficiently and effectively.

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

What are the functions of Management? OR What is Management Process?

Four Functions of Management 1-8 Four Functions of Management Planning Choose Goals Controlling Organizing Monitor & measure Working together Leading Coordinate

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

2-Organizing or Function of Organizing involves: 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: Division of Labor Departmentalization Staff positioning Assigning authority or Delegation of power Equalizing authority and responsibility

3-Leading Components involve in leading function are: 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: Supervision Motivation Communication Bringing about change Managing conflict

4-Controlling Process consist of: Measuring Comparing Correcting Management function that involves monitoring actual performance ,comparing standards, and taking corrective actions if necessary. Process consist of: Measuring Comparing Correcting

Controlling Process WITHIN LIMITS CONTINUE WORK PROGRESS TAKE SET PERFORMANCE STANDARDS WITHIN LIMITS CONTINUE WORK PROGRESS TAKE CORRECTIVE ACTION COMPARE MEASURE DETERMINE DEVIATION NO YES

Management Functions

Management as Systematic Approach Inputs Human Resources Financial Resources Physical Resources Information Resources Effectively Completion of Goals + Goals ORGANIZING MANAGEMENT PROCESS PLANNING Leading CONTROLLING

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

Manager Managers are those people who work with and through other people for getting activities completed in order to accomplish organizational goals. 19 19

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. 20 20

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 21 21

Kinds of Managers Basically there are three levels of managers Top Managers Middle Managers First-line Managers TOP LEVEL MIDDLE LEVEL FIRST-LINE MANAGER 22 22

Basic Managerial Roles & Skills

Managerial Role. The managerial roles are divided into three basic categories identified by Henry Mintzberg. Interpersonal Role Informational Role 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

HOW THE MANAGER’S JOB IS CHANGING

Components of Management Roles Skills Manager Interpersonal Informational Decisional Liaison Leader Figure Head Spokes person Disseminator Monitor Entrepreneur Resource Allocator Negotiator Disturbance Handler Technical Skills Interpersonal skills Conceptual Skills Diagnostic Skills Levels Top Level Middle Level First level Components of Management MANAGEMENT Changes and Management Universality 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 Functions PLANNING ORGANIZING LEADING CONTROLLING 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

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