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1. Chapter Introduction
Management can be defined as all the activities and tasks undertaken by one or more persons for the purpose of planning and controlling the activities of others in order to achieve an objective or complete an activity that could not be achieved by the others acting independently . Management as defined by wellknown authors in the field of management — contains the following components: • • Planning Organizing Staffing • • Directing (Leading) Controlling
For definitions of these terms see Table 1.
WELL CHAPS...THE MISSION OF THE TEAM IS TO CATCH AND ELIMINATE THE NOTORIOUS COMPUTER BUG—ULTIMA RECTALGIA COMPUPESTI
as well as to all types of organizations and activities managed. management practices. are carried out by all managers. 2. Based on these two assumptions. methods. The statement from Weihrich means that management performs the same functions regardless of its position in the organization or the enterprise managed. and situation. Still. by Heinz Weihrich. organizing. sets the stage by defining management and the major functions of man- . enterprises. Management consists of planning. organizing. staffing.. Therefore. staffing. although the time spent in each function will differ and the skills required by managers at different organizational levels vary. The basic assumption of this tutorial on software engineering project management is based on a scientific management approach as follows: 1. Activity Planning Organizing Staffing Directing Controlling Definition or Explanation Predetermining a course of action for accomplishing organizational objectives Arranging the relationships among work units for accomplishment of objectives and the granting of responsibility and authority to obtain those objectives Selecting and training people for positions in the organization Creating an atmosphere that will assist and motivate people to achieve desired end results Establishing. and tasks are particular to the enterprise or job managed. directing. and evaluating performance of activities toward planned objectives From Weihrich management:  comes a definition of All managers carry out the functions of planning. The concepts and activities of management applies to all levels of management. this tutorial is divided into chapters. Chapter Overview The two articles contained in this chapter introduce management and show that the management of any endeavor (like a software engineering project) is the same as managing any other activity or organization.Table 1. detailed activities. staffing. and management functions and fundamental activities are characteristic duties of managers. measuring. the functions and general activities of management can be universally applied to managing any organization or activity. all managers are engaged in getting things done through people. The managerial activities.. directing. organizing. Recognition of this con- cept is crucial to the improvement of software engineering project management. The first article. Additional discussion on the universality of management can be found in . and controlling. and controlling. Major management functions. leading. leading. staffing. based on planning. and controlling. . and controlling.1. for it allows us to apply the wealth of research in management sciences to improving the management of software engineering projects . and includes articles from other disciplines that illustrate the concepts of management that can be applied to software engineering project management. This concept is sometimes called the universality of management in which managers perform the same functions regardless of their place in the organizational structure or the type of enterprise in which they are managing. 2. grouped into the managerial functions of planning. organizing. This chapter and introduction is important to the readers of this tutorial. but the practices and methods must be adapted to the particular tasks.
Koontz.agement. organizing. Principles of Management: An Analysis of Managerial Functions. New York. Management: A Global Perspective." sic. 10. O'Donnell. McGraw-Hill. to carry out their activities effectively and efficiently and to create a "surplus. Jan.. N. The articles by Richard Thayer will stay with the older term "directing. Earlier editions of this book were written by Harold Koontz and Cyril O'Donnell from the University of California. McGraw-Hill. 5. McGraw-Hill. by Alec MacKenzie. 1972. B. is a condensed and comprehensive overview of management from the Harvard Business Review. staffing. NY. In this article. 7th ed. and C. Weihrich. McGraw-Hill.I. things..Y. Fayol. 1980. defines the managerial functions of planning. pp.J. O'Donnell. UK. 7. Van Nostrand Reinhold. and H. 5. 3. Both Koontz and O'Donnell are now deceased. R. 2. 8... New York. and adapted specifically by Weihrich for this tutorial. and W. Cleland. 4.. states that management applies to all kinds of organizations and to managers at all organizational levels. and recognizes that the aim of all managers is to be productive—that is. 4. Nov. New York." The last article by Alec MacKenzie is also a clas- 9. Management. H. Management. MacKenzie. Kerzner. N.. and Controlling. 5th ed. Englewood Cliffs. 3rd ed. C. N. 1984. References 1. System Engineering and Analysis. Weihrich. 10th edition . The second article. "The Management Process in 3-D. states that managing requires a systems approach and that practice always takes into account situations and contingencies. defines and describes the nature and purpose of management.. Sir Isaac Pitman & Sons. Prentice Hall.. 1980.A. and people—and ending with a detailed description of general management activities—all on one foldout page.J. 2nd ed. N.-Dec. and A. 1. N.S. H. C.B. 3. Weihrich introduced the term "leading" to replace the term "directing" used by Koontz and O'Donnell in their earlier books.Y. H.. 1949. 7th ed. D.... 1990. and H. Los Angeles. Project Management: A Systems Approach to Planning." IEEE Transactions on Software Engineering. Fabrycky.H. and H.R. London. New York.. Management: A Systems Approach. McGraw-Hill. Vol. Thayer.Y. 6. 1993.Y." Harvard Business Review. General and Industrial Administration. Weihrich joined them as a co-author with the 7th edition. leaving Weihrich to be the author of future editions. 80-87. H. Weihrich 1. O'Donnell. 1969. "Guest Editorial: Software Engineering Project Management. Blanchard. Article Descriptions The first article in this chapter is extracted from an internationally famous book. Pyster. MacKenzie presents a top-down description of management starting with the elements of management—ideas. King. Koontz. and controlling... SE-10. Scheduling. Weihrich. Management by Weihrich. leading [directing].Y. 10th ed. 1972.. Koontz. New York. No. . H. N.. and W. Koontz. H. New York. 2. 3. It is still the most comprehensive yet condensed description of management in existence. 1989. R.
As a first order of knowledge classification. The aim of all managers is the same: to create a surplus. The Functions of Management Many scholars and managers have found that the analysis of management is facilitated by a useful and clear organization of knowledge. This paper has been modified for this book by Heinz Weihrich from Chapter 1 of Management: A Global Perspective. Reproduced by permission of McGraw-Hill. the many elements of the external environment—economic. staffing. Inc. managers cannot perform their tasks well unless they understand. 3. As managers. The purpose of this book is to promote excellence of all persons in organizations. the concepts. Although the emphasis in this article is on managers' tasks in designing an internal environment for performance. aspiring managers. 2.. Management as an Essential for Any Organization Managers are charged with the responsibility of taking actions that will make it possible for individuals to make their best contributions to group objectives. Clearly. Management organization. . 4. Although there are different ways of organizing managerial knowledge. Ever since people began forming groups to accomplish aims they could not achieve as individuals. Theory. organizing. 5.Y. and are responsive to. staffing. that implies effectiveness and efficiency. working together in groups. it must never be overlooked that managers must operate in the external environment of an enterprise as well as in the internal environment of an organization's various departments. principles. Inc. by Heinz Weihrich and Harold Koontz. organizing.Management: Science. the task of managers has been rising in importance. This basic definition needs to be expanded: 1. and controlling. people carry out the managerial functions of planning. Thus. applies to any kind of It applies to managers at all organizational levels. McGraw-Hill. and Practice1 Heinz Weihrich University of San Francisco San Francisco. managing has been essential to ensure the coordination of individual efforts. N. we have used the five functions of managers: planning. Management thus applies to small and large organiza- Definition of Management: Its Nature and Purpose Management is the process of designing and maintaining an environment in which individuals. Managing is concerned with productivity. leading. and techniques are organized around these functions and become the basis for discussion. 10th ed. social. technological. political. theory. 1993. California One of the most important human activities is managing. and ethical factors that affect their areas of operations. New York. leading. and controlling. and other professionals. This framework has been used and tested for many years.. but especially managers. most textbook authors today have adopted this or a similar framework even after experimenting at times with alternative ways of structuring knowledge. accomplish efficiently selected aims. As society has come to rely increasingly on group effort and as many organized groups have grown larger.
all managers are engaged in getting things done through people. Feb. government agencies. All managers carry out managerial functions. . Furthermore. takes a great deal of time for first-line supervisors. their application is an art and depends on the situation. because almost everything said in this book refers to business as well as nonbusiness organizations. organizing. the hospital administrator. the scope of authority held may vary and the types of problems dealt with may be considerably different. Effective managing is the concern of the corporation president. as managers. Figure I 2 shows an approximation of the relative time spent for each function. Jerdee. the Boy Scout leader. Time spent in carrying out managerial functions. All Effective Managers Carry Out Essential Functions All managers carry out the functions of planning. But the fact remains that. pp. on the other hand. hospitals." Industrial Relations. or finance department. but the practices and methods must be adapted to the particular tasks. top-level managers spend more time on planning and organizing than lower level managers. Although the managerial concepts. Management at Different Organizational Levels Managers are charged with the responsibility of taking actions that will make it possible for individuals to make their best contributions to group objectives To be sure. the person in a managerial role may be directing people in the sales. Still. staffing. and the university president. leading. Money. Leading. 1965. Managerial activities are common to all managers. a given situation may differ considerably among various levels in an organization or various types of enterprises. Thus. to profit and not-for-profit enterprises. However. Organizational Hierarchy Precent Effort 100 % Figure 1. enterprises. Similarly. to manufacturing as well as service industries. Thus. and controlling. principles.tions. universities. all obtain results by establishing an environment for effective group endeavor. managing is an art using the underlying sciences.H. the baseball manager. This figure is partly based on and adapted from T. and theories have general validity.J. and S. the government firstline supervisor. and other organizations. and situations. 97-110. T. engineering. The term "enterprise" refers to business.A. although the time spent in each function will differ and the skills required by managers at different organizational levels vary. the bishop in the church. the time spent for each function may differ. The difference in time spent on controlling varies only slightly for managers at various levels. Carroll's "The Job(s) of Management.
1955." Harvard Business Review. are usually not critical for lower level supervisors. the need for technical skills decreases. pp. The relative importance of these skills may differ at various levels in the organization hierarchy. R. and procedures. on the other hand. 4. and R." to recognize significant elements in a situation. in addition. technical skills are of greatest importance at the supervisory level. Similarly. but there is relatively little need for technical abilities. Conceptual skill is the ability to see the "big picture. At the topmanagement level. Katz identified three kinds of skills for administrators." they will fail. jan. Conceptual skills. Human skill is the ability to work with people. mechanics work with tools. the skill of a good design engineer in working out a practical solution to a problem. managers must be able to do more than see a problem. Sept.3 To these may be added a fourth—the ability to design solutions. Skills versus management levels. 33-42. processes. J ••I I • Technicak Skills \ \ \ \ • Figure 2.-Feb. . it is teamwork. As shown in Figure 2." Harvard Business Review. They must have. Managerial Skills and the Organizational Hierarchy Robert L. "Retrospective Commentary. "Skilh of an Effective Administrator. accountants apply specific techniques in doing their job. If managers merely see the problem and become "problem watchers. and the conceptual skills gain in importance.This concept is sometimes called the universality of management in which managers perform the same functions regardless of their place in the organizational structure or the type of enterprise in which they are managing. For example. pp.L. human skills are still essential. Thus it involves working with tools and specific techniques. 1974. Human skills are also helpful in the frequent interactions with subordinates.L. and to understand the relationships among the elements. particularly at upper organizational levels.Oct. Katz. and their supervisors should have the ability to teach them how to use these tools. 3. At the middlemanagement level. Design skill is the ability to solve problems in ways that will benefit the enterprise. it is cooperative effort. Technical skill is knowledge of and proficiency in activities involving methods. 1. 101-102. 2. To be effective. conceptual and design abilities and human skills are especially valuable. it is the creation of an environment in which people feel secure and free to express their opinions. Katz.. It is assumed. TP O Management 4 \ \ \ Conceptual & \ Design Skills L Middle ^^anagement \ \ Human \ Skills \ ' 1 w ••TTB B HUM t H H 1 Suppervisor V •1 .
But such management knowledge as is available can certainly improve managerial practice. productivity can be improved by increasing outputs with the same inputs. New York. or even baseball—is in large measure an art but founded on a wealth of science. Executives who attempt to manage without such management science must trust to luck. Harper & Row. Definition of productivity. or where they can achieve as much as possible of a desired goal with available resources. But profit is really only a measure of a surplus of sales dollars (or in any other currency) over expense dollars. Managing: Science or Art? Managing. as in any other field. Although there is not complete agreement on the true meaning of productivity. but this overlooks the importance of effectively performing fundamental managerial and nonmanagerial activities. Management.especially in large companies. private industry. Physicians without the advantage of science would be little more than witch doctors. quality considered Thus. In this context science and art are not mutually exclusive but are complementary. by decreasing inputs but maintaining the same outputs. constitutes a science. whether commercial and noncommercial. Successful companies create a surplus through productive operations. Drucker. that. and especially in management. In the past. But in the late 1960s productivity began to decelerate. Drucker. like so many other disciplines—medicine. Yet managers can work better by applying the organized knowledge about management that has accrued over the decades. the logical and publicly desirable aim of all managers should be a surplus—managers must establish an environment in which people can accomplish group goals with the least amount of time. we will define it as the output-input ratio within a time period with due consideration for quality. After World War II the United States was the world leader in productivity. Tasks. whether exact or inexact. and personal dissatisfaction. Efficiency is the achievement of the ends with the least amount of resources. money. managing as practiced is an art. the organized knowledge underlying the practice may be referred to as a science. there is no place they can turn for meaningful guidance other than the accumulated knowledge underlying their practice. Until very recently we frequently looked to Japan to find answers to our productivity problem. Productivity = —— input within a time period. In a very real sense. work itself. In a nonbusiness enterprise such as a police department. productivity improvement programs were mostly aimed at the worker level. 69. engineering. music composition. accountancy. managers still have budgetary and organizational goals and should strive to accomplish them with the minimum of resources. as well as in units of a business (such as an accounting department) that are not responsible for total business profits. one of the most prolific writers in management. As science improves so should the application of this science (the art) as has happened in the physical and biological sciences. Productivity. It is this knowledge. that chief executives can utilize the technical abilities of their subordinates. "The greatest opportunity for increasing productivity is surely to be found in knowledge. and Efficiency Another way to view the aim of all managers is to say that they must be productive. Responsibilities. to the extent it is well organized. Yet. or to past experiences. managers must know their goals and those of the organization. in all kinds of organizations. Productivity implies effectiveness and efficiency in individual and organizational performance. It is making decisions on the basis of business realities. intuition. and universities recognize the urgent need for productivity improvement. p. In managing. 1973.F. Thus. however. unless practitioners are to learn by trial and error (and it has been said that managers' errors are their subordinates' trials). Today government. Practices. whether crude or advanced. technical experience may still be quite important. In smaller firms. It can be expressed as follows: and decreasing inputs to change the ratio favorably. as Peter F. and pertinent. Effectiveness is the achievement of objectives. observed. This is true because the many variables with which managers deal are extremely complex and intangible. . or by increasing output P. To know whether they are productive."4 Definitions of effectiveness and efficiency. Effectiveness. The Aim of All Managers Nonbusiness executives sometimes say that the aim of business managers is simple—to make a profit. materials. clear.
a filing cabinet in which fact can accumulate.The Elements of Science Science is organized knowledge. then. usually an independent variable and a dependent variable. a set of pigeonholes. These words and terms should be exact. They do not prescribe what we should do. and the less likely it is that there will be confusion about instruction. it implies that if they do so. explaining relationships between two or more sets of variables. and other accumulated knowledge developed from hypotheses (assumptions that something is true). But if they know theory. these managers will know that such costs as conflicting instructions and confusion may exist. and therefore to have value in predicting what will happen in similar circumstances. "in its lowest form a classification. After classifying and analyzing these facts. When these generalizations or hypotheses are tested for accuracy and appear to be true. are not information unless the observer has knowledge of the theory that will explain relationships. Nothing is more lost than a loose fact. even though few really important managerial techniques have been invented. theory. A design engineer is often faced with the necessity of combining considerations of weight. in management the principle of unity of command states that the more often an individual reports to a single superior. and analysis.G. Management Techniques Techniques are essentially ways of doing things. we speak of a science as having clear concepts. relevant to the things being analyzed. The Scientific Approach The scientific approach first requires clear concepts— mental images of anything formed by generalization from particulars. Principles may be descriptive or predictive. Likewise. They are called principles. in physics. this principle does not tell us whether anyone should jump off the roof of a high building. Theory is a systematic grouping of interdependent concepts and principles that form a framework for a significant body of knowledge. methods of accomplishing a given result." The Role of Management Theory In the field of management. In designing an effective organization structure. To take another example. and informative to the scientist and practitioner alike. the role of theory is to provide a means of classifying significant and pertinent management knowledge. their managers must be aware of the possible dangers and should take these risks into account in balancing the advantages and disadvantages of multiple command. that is. They certainly are in managing. The essential feature of any science is the application of the scientific method to the development of knowledge. and they will take steps—such as making the controller's special authority crystal clear to everyone involved—to minimize or outweigh any disadvantages. as C. This designation does not always imply that they are unquestionably or invariably true. it does not mean that a manager should lengthen the time available for people to do a job. the more that individual is likely to feel a sense of loyalty and obligation. cost accounting. and other factors. It in no sense implies that individuals should never report to more than one person. and the principle of unity of command. they describe how one variable relates to another—what will happen when these variables interact. Some principles give guidelines for delegating authority. managers who apply theory to managing must usually blend principles with realities. Scattered data. and are not prescriptive. such as what we may find on a blackboard after a group of engineers has been discussing a problem. From this base. Homans has said. if gravity is the only force acting on a falling body. The principle merely predicts. network planning and . a number of principles are interrelated and have a predictive value for managers. to reflect or explain reality. for example. Among them are budgeting. these include the principle of delegating by results expected. Principles in management are fundamental truths (or what are thought to be truths at a given time). Or take the example of Parkinson's law: Work tends to expand to fill the time available. Theory is. the scientific method involves determining facts through observation. conductivity. scientists look for causal relationships. For example. Even if Parkinson's somewhat frivolous principle is correct (as it probably is). Thus. In all fields of practice they are important. experimentation. the body will fall at an increasing speed. a manager may find that the advantages of giving a controller authority to prescribe accounting procedures throughout an organization outweigh the possible costs of multiple authority. Rather. but that they are believed to be valid enough to be used for prediction. size. Like engineers who apply physical principles to the design of an instrument. That is. the principle of equality of authority and responsibility.
the enterprise receives inputs. Similarly. it is a part of larger systems such as the industry to which it belongs. Input-output model. various devices of organizational development. Inputs and Stakeholders The inputs from the external environment may include people. managing by objectives. it depends on its external environment. capital. For example. various groups of people make demands on the enterprise. any business or other organization must be described by an open-system Re-energizing the System Transformation Process External Environment Figure 3. employees want higher pay. . model that includes interactions between the enterprise and its external environment. exist in a vacuum. but they also expect the enterprise to comply with their laws. even competitors have a legitimate claim for fair play. In addition. organizing. Suppliers want assurance that their products will be bought. The Systems Approach to Operational Management An organized enterprise does not. this simple model needs to be expanded and developed into a model of operational management that indicates how the various inputs are transformed through the managerial functions of planning. as well as technical knowledge and skills. Thus. rate-of-return-on-investment control. Techniques normally reflect theory and are a means of helping managers undertake activities most effectively. the community demands that enterprises be "good citizens. consumers demand safe and reliable products at a reasonable price.control techniques like the Program Evaluation and Review Technique (PERT) or the critical path method (CPM). and job security." providing the maximum number of jobs with a minimum of pollution. and it is the managers' job to integrate the legitimate objectives of the claimants. and local governments depend on taxes paid by the enterprise. state. as shown by the very basic model in Figure 3. of course. Stockholders want not only a high return on their investment but also security for their money. Rather. the economic system. and exports the outputs to the environment. Clearly. transforms them. total quality management (TQM). It is clear that many of these claims are incongruent. On the other hand. more benefits. leading. and controlling. and society. Federal. However. staffing. Other claimants to the enterprise may include financial institutions and labor unions. and managerial skills.
social systems theorists analyze the transformation by concentrating on social interactions. it is communication that makes managing possible. Of course. Thus. as you will see. it is through communication that one determines whether events and performance conform to plans. 10 . The Communication System Communication is essential to all phases of the managerial process: It integrates the managerial functions and links the enterprise with its environment. leading. A communication system is a set of information providers and information recipients and the means of transferring information from one group to another group with the understanding that the messages being transmitted will be understood by both groups. into outputs. and controlling as a framework for organizing managerial knowledge (see Figure 4). effectively and efficiently. Writers on management look on the transformation process in terms of their particular approaches to management. the transformation process can be viewed from different perspectives. personnel. Planning Organizing Figure 4. one can focus on such diverse enterprise functions as finance. the objectives set in planning are communicated so that the appropriate organization structure can be devised. and those advocating decision theory see the transformation as sets of decisions. Similarly. Thus. and training of managers to fill the roles in this structure.The Managerial Transformation Process Managers have the task of transforming inputs. Communication is essential in the selection. organizing. Specifically. Moreover. appraisal. and marketing. writers belonging to the human behavior school focus on interpersonal relationships. staffing. production. effective leadership and the creation of an environment conducive to motivation depend on communication. For example. However we believe that the most comprehensive and useful approach for discussing the job of managers is to use the managerial functions of planning. Management model.
equipment. There have been no new ideas. While it is true that managers may have little or no power to change the external environment. and information to accomplish the task. organizing. staffing. and only the last two will be discussed. earning money to buy food and shelter or having job security) but also of needs for affiliation. much like the parts actors fill in a drama. acceptance. It is the task of managers to resolve conflicts and integrate these aims. the surplus of income over costs. Organizing. choosing future courses of action from among alternatives. are reinvested in cash and capital goods.The second function of the communication system is to link the enterprise with its external environment. German labor. we should notice that in the systems model of operational management. tools. This example illustrates the importance of integrating the goals of various claimants to the enterprise. and integration of the goals of various claimants to the enterprise. satisfaction. is outside a company. an analysis. ranging from overall purposes and objectives to the most detailed actions to be taken. The Functions of Managers Managerial functions provide a useful framework for organizing management knowledge. profits. such as to order a special stainless steel bolt for an instrument or to hire and train workers for an assembly line. It must contribute to the satisfaction not only of basic material needs (for example. and controlling. research findings. Effective managers will regularly scan the external environment. that is. it is through an effective communication system that the organization becomes aware of competition and other potential threats and constraining factors. is that part of managing that involves establishing an intentional structure of roles for people to fill in an organization. Most of these outputs require no elaboration. all we have is a planning study. buildings. Another output is goal integration. but not a real plan. There are various types of plans. they have no alternative but to respond to it. Re-energizing the System or Providing Feedback to the System Finally. are accidental or haphazard. as one former Volkswagen executive discovered. and they have the necessary authority. No real plan exists until a decision—a commitment of human or material resources or reputation—has been made. they know how their job objective fits into group effort. profits. It is intentional in the 11 . For example. esteem. Thus. one should never forget that the customer. Similarly. or techniques that cannot readily be placed in the classifications of planning. they usually include a combination of products. Similarly. opposed this plan. or a proposal. The organization must indeed provide many "satisfactions" if it hopes to retain and elicit contributions from its members. and perhaps even selfactualization. where many of the claimants are. out of fear that jobs would be eliminated in Germany. and inventory. However. Planning Planning involves selecting missions and objectives and the actions to achieve them. It is through the communication system that the needs of customers are identified. the satisfaction of employees becomes an important human input to the enterprise. Before a decision is made. Outputs Managers must secure and utilize inputs to the enterprise. Organizing People working together in groups to achieve some goal must have roles to play. it requires decision making. services. to transform them through the managerial functions—with due consideration for external variables—to produce outputs. As noted above. then. this knowledge enables the firm to provide products and services at a profit. the different claimants to the enterprise have very divergent—and often directly opposing— objectives. whether these roles are ones they develop themselves. The concept of a "role" implies that what people do has a definite purpose or objective. which is indeed an essential task of any manager. This is not easy. some of the outputs become inputs again. an important claimant. such as machinery. or are defined and structured by someone who wants to make sure that people contribute in a specific way to group effort. Economics dictated the construction of a Volkswagen assembly plant in the United States. who is the reason for the existence of virtually all businesses. Although the kinds of outputs will vary with the enterprise. leading.
the Essence of Managership Some authorities consider coordination to be an additional function of management. accomplish efficiently selected aims. It seems more accurate. Although planning must precede controlling. to ensure that events conform to plans. and training or otherwise developing both candidates and current job holders to accomplish their tasks effectively and efficiently. their behavior as individuals and in groups— and that effective managers also need to be effective leaders. effort. Managers are charged with the responsibility of taking actions that will make it possible for individuals to make their best contributions to group objectives. Since leadership implies followership and people tend to follow those who offer a means of satisfying their own needs. and the record of labor hours lost. Nothing can be done about reducing scrap. and keeping filled. working together in groups. It measures performance against goals and plans. shows where negative deviations exist. planning the career. All managers would agree that their most important problems arise from people—their desires and attitudes. it has to do predominantly with the interpersonal aspect of managing. Staffing Staffing involves filling. then. selecting. Each of the managerial functions is an exercise contributing to coordination. Although the structure must define the tasks to be done. Imagine what would have happened if such assignments had not been made in the program of flying the special aircraft Voyager around the globe without stopping or refueling. to regard it as the essence of managership. are generally familiar. and. Leading Leading is influencing people so that they will contribute to organization and group goals. If deviations persist. or interest. The plan guides managers in the use of resources to Management is the process of designing and maintaining an environment in which individuals. 12 . recruiting. assigned to people who can do them best. the organized knowledge underlying the practice may be referred to as a science. for managing's purpose is to harmonize individual efforts in the accomplishment of group goals. and desires. plans are not self-achieving. and to harmonize individual goals to contribute to organization goals. promoting. accomplish specific goals. inspection records. This is done by identifying workforce requirements. controlling what people do controls outcomes. Even in the case of a church or a fraternal organization. Each measures and shows whether plans are working out. It is. or buying according to specifications.sense of making sure that all the tasks necessary to accomplish goals are assigned and. and communication. for example. it is hoped. however. inventorying the people available. a management tool and not an end in and of itself. correction is indicated. (Compelling events to conform to plans means locating the persons who are responsible for results that differ from planned action and then taking the necessary steps to improve performance. and their efforts toward mutual goals do not automatically mesh with the efforts of others. wishes. by putting in motion actions to correct deviations. Control activities generally relate to the measurement of achievement. But what is corrected. Thus. helps ensure accomplishment of plans. Summary Controlling Controlling is the measuring and correcting of activities of subordinates. Coordination. leadership styles and approaches. or handling sales returns unless one knows who is responsible for these functions. It thus becomes the central task of the manager to reconcile differences in approach. Then activities are checked to determine whether they conform to plans. The purpose of an organization structure is to help in creating an environment for human performance. compensating. In this context science and art are not mutually exclusive but are complementary. Managing as practiced is an art. timing. individuals often interpret similar interests in different ways. the roles so established must also be designed in light of the workers' abilities and motivations. placing. like the budget for expense. Some means of controlling. it is understandable that leading involves motivation. the positions in the organization structure.
13 . and controlling. and situations. but the practices and methods must be adapted to the particular tasks. although the time spent in each function will differ and the skills required by managers at different organizational levels vary. staffing. The universality of management states that managers perform the same functions regardless of their place in the organizational structure or the type of enterprise in which they are managing. Managerial activities are common to all managers.All managers carry out the functions of planning. organizing. enterprises. leading.
yet may lack the administrative capabilities required for overall effective management. Copyright © 1969 by the President and Fellows of Harvard College. and basic elements of the executive's job Foreword To many businessmen who are trying to keep up with management concepts. Not surprisingly. We are not dealing here with leadership in general. General Omar Bradley was known for his conceptual abilities. two scholars have identified the first three types of managers required in organizations as the planner. pp. The aim of this diagram is not to give the executive new information. it generally comes to the reader in fragments. Similarly in industry. He has had extensive experience in planning. The terms should not be used interchangeably. For example: • In World War II. Engstrom of Managing Your Time (Zondervan Publishing House. the literature must sometimes seem more confusing than enlightening. and vice versa. functions. All rights reserved. rather than for his leadership. and teaching seminars for businessmen here and abroad. Mr. cially planning and managing a campaign. and he too must staff to make up for the deficiency. the administrator. 14 . We are dealing with leadership as a function of management.1 Note the distinction between leader and manager. but not for his conceptual abilities. as a function of management. While a good manager will often be a good leader." California Management Review. Spring 1969.. 80-87. T -he chart of "The Management Process/' facing this page. again. Nov. and people. and the leader. In addition to reflecting differences of opinion and semantics. 61.R. 1969. Alec Mackenzie The management process in 3-D A diagram showing the activities. He is coauthor with Ted W. this is not necessarily the case. education. "The Management Process in 3-D" by R. and leadership. Inc. begins with the three basic elements with which a manager deals: ideas. Management of these three elements is directly related to conceptual thinking (of which planning is an essential part). Reprinted by permission of the Harvard Business Review. General George Patton was known for his ability to lead and inspire men on the battlefield. In contrast. and government it is possible to have an outstanding manager who is not capable of leading people but who. Sec H. if he recognizes this deficiency. Igor Ansoff and R. an organization affiliated with the American Management Association. p./Dec. The following definitions are suggested for clarity and simplicity: O Management—achieving objectives through others. Mackenzie is Vice President of The Presidents Association. Nor are we dealing with administration in general but. an entrepreneur may possess charismatic qualities as a leader. Alex Mackenzie. Brandenburg. things. "The General Manager of the Future. administration. but to help him put the pieces together. espe1. Alternatively. 1967).G. organizing. will staff his organization to compensate for it.
November-December 1969 Copyright . The activities that will be most important to him as he concentrates— now on one function. A manager's interest in any one of them depends on a variety of factors. things. The management process This diagram shows the different elements. for administration .thus. 'The Management Process in 3Harvard Business Review. ideas. Alec Mackenzie. including his position and the stage of completion of the projects he is most concerned with. ^ - • ' ^ R. • Three functions—problem analysis.. other functions are likely to occur in predictable sequence. PEOPLE TO ACCOMPU OFCtSfONSOti MUVRTANT ADMINISTRATION STANDARDIZE METHODS O Nil rma . for these are the basic components of every organization with which the manager must work. and things. At the center are people. decision making. therefore. and communication—are important at all times and in all aspects of the manager's iob. However. Ideas create the need for conceptual thinking. functions. He must at all times sense the pulse of his organization. they are shown to permeate his work process. people. directing.Exhibit I. and activities which are part of the management process. for leadership. staffing. then on another—are shown on the outer bands of the diagram. organizing. planning. and controlling arc shown in that order on one of the bands.
O Leadership—influencing people to accomplish desired objectives. 1969). McGraw-Hill Book Company. for example. and the replanning of the work to make corrections —thus starting the cycle over again as the process repeats itself. Moreover. the various functions and activities tend to merge. fundamentals of Top Management (New York. Simplified definitions are added for each of the functions and activities to ensure understanding of what is meant by the basic elements described. N. there must be communication for many of the functions and activities to be effective. O A way to fit together all generally accepted activities of management.2 While the authorities use different terms and widely varying classifications of functions. Prentice-Hall. Harper & Brothers." Association of Consulting Management Engineers. many decisions will be made throughout the planning process as well as during the organiz2. 1951). and strategic planning functions of management. While selecting a top manager. Values in Management (New York. this diagram of the management process will produce a variety of benefits for practitioners and students. Irwin. an executive may well be planning new activities which this manager's capabilities will make possible. American Management Association. Allen. Harper & Row. McGraw-Hill Book Company. 1959). it establishes functions and activities as the two most important terms for describing the job of the manager. and controlling processes. In actual practice. of course. O A move toward standardization of terminology. and communicating—are called "general" or "continuous" functions because they occur throughout the management process rather than in any particular sequence. for it elevates staffing and communicating to the level of a function. Prospective gains Hopefully. 1955. Equally. administrative. For example. Dnicker." More specifically. directing. ing. Lawrence A. Among these benefits are: O A unified concept of managerial functions and activities. Terry. Louis A. 1964). bringing about purposeful action toward desired objectives.. 1967. 19S6). Three functions—analyzing problems. a particularly useful analysis of managerial functions and activities. Functions described The functions noted in the diagram have been selected after careful study of the works of many leading writers and teachers. like myself. finally. Philip W. management of change. the function of control is the measurement of results against the plan. making decisions.. Administration: Its Purpose and Performance (New York. and may even be visualizing the organizational impact of these plans and the controls which will be necessary. Inc. The Practice of Management (New York. Administrative Action (Englewood Cliffs. Davis. Principles of Management (Homewood. selecting qualified people to do the work.O Administration—managing the details of executive affairs. next is directing. after that is staffing. and management of differences. Inc. Smiddy. Newman. I find that there is far more agreement among them than the variations suggest. Arrows are placed on the diagram to indicate that five of the functions generally tend to be "sequential. 1950). Ralph C. Peter F. Richard D. Toward a Unified Theory of Management (New York. 15 . Harper & Brothers. the rewarding of the people according to their performance. The Management Profession (New York. Harold F. O Help to beginning students of management in seeing the "boundaries of the ballpark" and sensing the sequential relationships of certain functions and the interrelationships of others. then comes the function of organizing—determining the way in which the work is to be broken down into manageable units.. would like to see more emphasis on the "behaviorist" functions of management. Appley. in an undertaking one ought first to ask what the purpose or objective is which gives rise to the function of planning. Shay." General Management Series # 174. O Clearer distinctions between the leadership. In addition.J. And the active manager will be employing problem analysis throughout all of the sequential functions of management. O The identifying and relating of such activities as problem analysis. 19S4). The following studies were particularly helpful: Harold Koontz. George R. 1964). the diagram should appeal to those who. "The Theory and Practice of Management. Ordway Tead. "GE's Philosophy & Approach for Manager Development. Illinois. American Management Association. William H.