Management in all business and organizational activities is the act of getting people together to accomplish desired goals and

objectives using available resources efficiently and effectively. Management comprises planning, organizing, staffing, leading or directing, and controlling an organization (a group of one or more people or entities) or effort for the purpose of accomplishing a goal. Resourcing encompasses the deployment and manipulation of human resources, financial resources, technological resources, and natural resources. Basic functions of Management Management operates through various functions, often classified as planning, organizing, staffing, leading/directing, controlling/monitoring and motivation.

Planning: Deciding what needs to happen in the future (today, next week, next month, next year, over the next five years, etc.) and generating plans for action.

Organizing: (Implementation)pattern of relationships among workers, making optimum use of the resources required to enable the successful carrying out of plans.

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Staffing: Job analysis, recruitment and hiring for appropriate jobs. Leading/directing: Determining what needs to be done in a situation and getting people to do it.

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Controlling/monitoring: Checking progress against plans. Motivation: Motivation is also a kind of basic function of management, because without motivation, employees cannot work effectively. If motivation does not take place in an organization, then employees may not contribute to the other functions (which are usually set by top-level management).

Interpersonal: used to communicate. They develop goals. the number of managers in every level resembles a pyramid. motivate. strategic plans. Diagnostic: ability to visualize most appropriate response to a situation. president. middle-level. Conceptual: used to analyze complex situations. vice-president. and perform different tasks. Decisional: roles that require decision-making. Each level is explained below in specifications of their different responsibilities and likely job titles. and make decisions on the direction of the business. company policies. etc. and analyzing information. They are responsible for controlling and overseeing the entire organization. Technical: Expertise in one's particular functional area. CEOs. Levels of management Most organizations have three management levels: first-level. Management skills • • • • • Political: used to build a power base and establish connections. In many organizations. In addition. mentor and delegate. These managers are classified in a hierarchy of authority.Basic roles of Management • • • Interpersonal: roles that involve coordination and interaction with employees. and top-level managers. top-level managers play a significant role in the mobilization of outside resources and are accountable to the shareholders and general public. . Top-level managers: Consists of board of directors. sharing. Informational: roles that involve handling.

• • • • Classical approach Behavioral approach Quantitative approach Modern approach . Career planning. Models of Management Models of management can take different approaches such as. They devote more time to organizational and directional functions. making recommendations. They usually have the responsibility of assigning employees tasks. and most importantly they inspire and provide guidance to lower level managers towards better performance. suggestions. and up-channeling employee problems. They are accountable to the top management for their department's function. First-level managers are role models for employees that provide: • • • • Basic supervision. Their roles can be emphasized as executing organizational plans in conformance with the company's policies and the objectives of the top management.Middle-level managers: Consist of general managers. foremen. Motivation. First-level managers: Consist of supervisors. etc. branch managers and department managers. Performance feedback. they define and discuss information and policies from top management to lower management. ensuring quality and quantity production. They focus on controlling and directing. section leads. guiding and supervising employees on day-to-day activities. etc.

• • • Henri Fayol F. he developed generic 'Principles of Management' to help organizations achieve optimum performance working toward their goals. W Taylor Max Weber Classical management theory. realized that organizations were becoming more complex and required their managers to work more professionally. the more meaningful model that could be used by an Engineer in order to keep themselves abreast with current management trend and to maintain order.Classical Management Theory Here we focus on three well-known early writers on management. His motivation was to create a theoretical foundation for an educational program for managers who lacked formal training in those days. health bureaucracy. sociologist) In my opinion. Basing his work on his experience as a successful managing director of a mining company. Henri Fayol. the father of the school of Systematic Management. . • • • Emphasis on structure Prescriptive about 'what is good for the firm' Practical manager (except Weber. work specialization. and span of control in a given organization is “Henri Fayol ’s Administrative management.

Authority arises from two sources: official and personal. Experience. accounting. Dual command generates tension. Establishment of authority having the legitimate standing to give orders. Unity of command an employee should receive orders from one supervisor only. Division of labour achieving the maximum efficiency from labour through specialization across all aspects of organization (commercial. 4. integrity and leadership ability are indispensable complements of a manager's official authority. Fayol claimed that division of labour is limited as an instrument to achieve optimum performance. although its form varies across organizations. intelligence.Management Principles developed by Henri Fayol 1. and results diluted responsibility and blurred communication. demotions or even dismissals. 3. security. Enforcement of discipline upholding discipline is a core activity when running an organization. Fayol did not provide the level of detail that Taylor's competing Scientific Management school prescribed. penalties. managerial) rather than just technical activities. Management can sanction employees with warnings. Managers need to act knowing that authority and responsibility are positively correlated. 2. . confusion and conflict. financial. Scientific Management broke individual operational tasks into its basic elements.

When swift action is required. Fair remuneration for all Fayol determined compensation for services by considering both financial and non-financial factors and held that employee satisfaction is dependent on the composition of this mix. 8. Fayol's grasp of the limitations of the formal . 6. coordination of strength and the focusing of effort. Subordination of individual interest to the interests of the organization reconciling general interest with that of the group or the individual is one of the greatest problems managers face and applies to the relationship between staff and supervisor as well. with an organization's lines of communication. The level of centralization is a matter of proportion as is the division of labour.5. 7. 9. Adoption of a 'scalar chain' the chain of supervision that connects the managing director to the lowest ranks. Too often. managers pursue personal interest rather than the common good. Centralization of control and authority Fayol choose the 'living organism' as metaphor for an organization when considering centralization versus decentralization. Unity of direction a common objective for a group of activities is an essential condition to obtaining unity of action. Fayol combined hierarchy that makes employees aware of their place and duties.

Stability of jobs and positions Fayol viewed personnel planning. Fayol advocated the creation of detailed organizational charts to support this Principle. Managers must constantly apply the correct balance between equity and discipline. materials orderly stored and staff selected according to strict procedures and clear job descriptions. Although Fayol regarded management as the first responsible level. Equity and fairness in dealings between staff and managers equity is the combination of justice and kindness. 11. .organization made him propose a system of delegated authority that facilitates horizontal communication. he made clear that the Principle extended to all employees through delegated authority. management development and turnover as one activity. Facilities must be tidy. 12. 13. Development of individual initiative Initiative is the power to conceive a plan and ensure its success. 10. A sense of order and purpose a place for everything and everything in its place. Both staff and management require suitable induction periods to familiarize themselves with new work habits and situations.

Esprit de Corps building and maintaining staff and management morale and unity. scalar chain. Work is more predictable than people. to co-ordinate and to control'. such as initiative and 'esprit de corps'. Current trends include managers that manage the work and not the people. such as are current today in the early 21st century. First. It also include hiring individuals that used to work as computer analyst in some form or fashion and now want to change careers to a new job field. In order to help my selection of this particular model (Henri Fayol) to the above mentioned requirements. The Principles can still be used to identify structural flaws and sources of conflict within an organization. which would be elaborated upon by future researchers. Therefore Fayol’s model does keep management abreast with current management trend. to command. Contractors have more motivation to do a good job. but they were not designed to cope with conditions of rapid change and issues of employee participation in the decision making process of organizations. he saw them as issues in the context of rational organizational structure and not in terms of adapting structures and changing people's behaviour to achieve the best fit between the organization and its customers. Many of these principles have been absorbed into modern day organisations. to organize. Fayol was the first person to actually give a definition of management which is generally familiar today namely 'forecast and plan. Current trends in management include hiring contractors directly rather through employment placements. These individuals can apply their innovative computer skills to these job roles to enhance the quality of work flow.14. Rather than trying to manage people so strictly. Fayol does mention the issues relating to the sensitivity of a patients’ needs. such as division of labour. managers are living in the light and kindness with employees as they are real people. Fayol considered the management style of 'divide and rule' counterproductive. unity of command and centralization. their own neighbours. . He also gave much of the basic terminology and concepts.

Work specialization is a component of organization structure that involves having each discrete step of a job done by a different individual rather than having one individual do the whole job. the managerial ways concerned with the same matters. each step completed by a separate individual individual workers specialize in doing part of an activity involves repetitive performance of a few skills can be viewed as a means to make the most efficient use of employee's skills some task requires highly developed skills others can be performed by the untrained Division of labor: • • • • • makes efficient use of employees skills increases employee's skills through repetition less between-job downtime increases productivity specialized training is more efficient allows the use of specialized equipment Fayol presented work specialization as the best way to use the human resources of the organization. .Secondly. sureness and accuracy which increases their output. According to Henry Fayol under division of work. In work specialization: • • • • • • the entire job is broken down into steps. In other words. division of work means specialization. Fayol wanted the division of work not only at factory but at management levels also. acquire an ability. "The worker always on the same post.

. order. In the 1930s Max Weber. Although a stable environment worked well under a bureaucracy. innovative environments needed an organizational structure that allowed them to be responsive and creative. If organizations rely too much on rules and procedures. fair. features such as scalar chain. and the legitimate use of formal authority. The efficiency of this rational and logistical organization shares a considerable amount of common ground with the thinking of Fayol. authority and the definition of jobs which were so essential to successful management as described by Fayol. unchanging environment demanded a different type of organization than a rapidly changing one. Bureaucracy is the name of an organizational form used by sociologists and organizational design professionals as Max Weber. His principles spread throughout both public and private sectors. strict hierarchy of authority. In the past. In particular. Bureaucracies are meant to be orderly. specialization. Researchers believe that a stable. organizations were commonly structured as bureaucracies. wrote a rationale that described the bureaucratic form as being the ideal way of organizing government agencies. A bureaucracy is a form of organization based on logic. many people view bureaucracies negatively and recognize that bureaucracies have their limits. Today. a German sociologist. It is not coincidence that Weber's writings were at a time of the major industrial revolutions and the growth of large complex organizations out of the cottage industries and/or entrepreneurial businesses. Their features include a clearcut division of labor. and promotion based on competency. the bureaucratic form lives on. formal rules and procedures.Thirdly. and highly efficient. they become unwieldy and too rigid—making them slow to respond to changing environments and more likely to perish in the long run. Even though Weber's writings have been widely discredited. are typical of bureaucracy. managers in constantly changing.

Unity of command. Span of control is the term now used more commonly in business management. Esprit de Corps describe the importance of span of control out of all above fourteen principles. suggests that five elements can be observed. That is. Equity and fairness. upper managers found they could hire fewer middle managers to do more work managing more subordinates for less money. Therefore all above four requirements are satisfied by the Management model of Henri Fayol. Development of individual initiative. In the hierarchical business organization of some time in the past it was not uncommon to see average spans of 1 to 4 or even less. Henri Fayol. particularly human resource management. That was made possible primarily by the development of inexpensive information technology. In the 1980s corporate leaders flattened many organizational structures causing average spans to move closer to 1 to 10. As information technology was developed capable of easing many middle manager tasks like collecting. one manager supervised four employees on average. Span of control refers to the number of subordinates a supervisor has. Defining management is a complex issue. A sense of order and purpose. • • • • • Planning Organizing Commanding Coordination Controlling . because the term is used in many different ways. the first to identify managers not by their position in an organization but by the work they do. Fayol’s Establishment of authority. Adoption of a 'scalar chain'. They are.Finally. manipulating and presenting operational information.

The case study suggests that there is therefore often the tendency to work around this problem by doing the job oneself. The command element of management was originally described as “getting the optimum return from all employees in the interest of the whole concern”. because they believe not all of their colleagues perform as can be expected. The organize element defined by Fayol is concerned with creating an organizational structure. The planning element of management determines what should be done and in what timeframe. middle managers often face excessive bureaucracy and internal politics as primary causes of frustration. The case study indicated that this is the area where most employees are dissatisfied. if conditions are too constrained. which is considered very rewarding. It should be noted that the requirements and challenges of modern management in a service and knowledge based economy are quite different from the time of Henri Fayol which was mostly associated with the management of goods and production processes rather than with people. in carrying out their tasks. because they have to achieve their goals with staff that is not fully motivated. The case study revealed that middle-managers consider this is an area where they had great difficulties. This is the area where the middle managers can apply their expertise and knowledge in fulfilling their managerial role. This in turn leads to frustration in the middle managers. The coordination element of management suggests The coordination element of management suggests that managers need to coordinate and synchronize the activities of each individual or group in order to ensure smooth and efficient operations. One could view the control element as a closure of the cycle of managerial roles. This is also an area with great potential of dissatisfaction. Fayol suggested that in order for a manager to fulfill this function he/she must make a plan of action. which is the wrong answer to the problem. Being .The fact that this classification made around the turn of the 20th century is still relevant today indicates that this is a useful concept that can guide managers. The case study showed that the theoretical view of senior management on implementation and the practical approach of managers can lead to conflict. However. Fayol considered the control element of management as a last step to ensuring that the activities and goals laid out in the plan and forecasting element of management were achieved.

there is often a considerable discrepancy between the theoretical view of management as put forward by Henri Fayol and the managerial realities of middle managers. To summarize. Thus we see that this mismatch that can often lead to frustration and dissatisfaction as the survey indicated.responsible for the performance and achievements of the team as opposed to his/her own performance is a major challenge. .

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