Basic Concepts in Management

Manager Someone who coordinates and oversee the work of other people so that organizational goal can be achieved

Levels of Management There are three levels of management. 1.Top Management 2.Middle Management 3.Lower Management

Continued… CEO General Mgr Plant Mgr Regional Mgr Office Manager Supervisor Team Leader 3 Top Level Management Middle Level Management First-Line Management

Continued… Top Management/ Managers Responsibilities : Making organization-wide decisions Developing long range plans Involve in selection of key personal Consult subordinates on problems Evaluate overall performance of the organization.

Continued… Middle Management/Managers All managers between first line and the top level of the organization. Setting objectives consistent with top management planning Monitoring and managing the performance of departments and managers who report to them. Implementing the changes generated by top managers

Continued………….. Makes plans of intermediate range Prepare long range plans for review by top management Establishes departmental policies Reviews daily and weekly reports Counsels subordinates Selection and recruitment of personal.

Continued… First Line Management/ Managers They manage the work of non-managerial individuals who are directly involved with production and creation of the organization products. They are responsible: Managing the performance of entry-level employees. Teaching entry-level employees how to do their jobs Making short range plans

Continued….. Supervises day to day operation Makes specific task assignments Maintain close contacts with employees

Continued… Non-Managers It is the workforce. They are the individuals who are directly involved with the production and creation of the organization’s products.

Key Management Skills 1. Technical Skills The knowledge and proficiency in a certain specialized field.  Chemical  Pharmaceutical  Engineering these skills important for lower level managers

Cont……. Lower level managers directly managing employees who are using tool and technology. Employees with good technical skills often get promoted to first line managers Example… A manager may have technical skills in accounting, finance and manufacturing

Continued.. 2. Human Skills The ability to work well with other people both individually and in a group. How the work should be done by them and through them.  Managers with good human skills are able to get the best output of their people  Managers deal directly with people  Human skills are essential and important at all level of management

Continued.. Example… Communication Motivation Leading Enthusiasm trust

Continued… 3.Conceptual Skills The ability to think and conceptualize abstract and complex situations. See the organization as a whole and understand the relationship among the sub units To Visualize something, means to make imaginations.

Continued.. Example… Ability to use information to solve business problem Identification of opportunities Recognizing problem areas and implementing solutions

Levels of Management V/S Managerial Skills Human Skills Conceptual Skills Technical Skills Top Management 40% 50% 10% Middle Management 50% 25% 25% Lower Management 50% 10% 40%

Manager roles These roles are divided into three categories: Interpersonal (managing through people) informational (managing by information) Decisional (managing through action)

Manager roles Interpersonal Roles: Interpersonal roles pertain to relationships with others and are related to the human skill a. Figure Head: Representing company greeting visitors, signing legal documents b.Leader: Inspire, motivate and couch c.Liaison: The role of a bridge –department to department and company to company. use , phone calls, meetings.

Continued… Informational Role This role relates to receiving and transmitting information. a) Monitor: Seek internal and external information about issues affecting organization. Reading reports, maintain personal contacts. b) Disseminator: Transmit information internally. Send reports, make phone calls, Meetings c) Spokesperson: Transmit information about the organization to outsiders. speeches, reports

Continued… Decisional Role This role involves making decisions of significance which affect the organization. a. Entrepreneurship: Initiate improvement projects; The person who takes risk. identify new ideas, delegate idea responsibility to others.

Continued. b. Disturbance Handler: Takes corrective action when organization faces important, unexpected result. Take corrective action during disputes or crises; Resolve conflicts among subordinates; Adapt to environmental crises c. Resource allocator: Distribute resources such as time, equipment, funding and human.

Continued. d.Negotiator: Representing the organization in major negotiations (present your ideas and listen to others). Represent department during negotiation of union contracts, sales, purchases, budgets; Represent departmental interests

Managerial Competencies 1.Team-Work Competencies 2.Communication Competencies 3.Planning Competencies 4.Global Awareness Competencies 5.Strategic Action Competencies 6.Self-Management Competencies

Organization as System System: Is a set of interrelated parts operating as a whole in pursuit of common goals. Major Components of an organization System 1.Inputs: are the various human, material, financial equipment, and informational resources required to produce goods and service. 2.Transformational Processes: Organization’s managerial and technological abilities used to convert inputs into outputs.

Continued… 3.Output: Products, services and other outcomes produced by the organization. 4.Feedback: Information about results and organizational status relative to the environment.

Open Versus Closed System Open System: Continually interacts with its environment. Closed System: Doing little or no interaction with its environment and receiving little or no feedback.