Lecture Note : Recording 1

Organization

The definition of organization refers to the act of putting things into a logical order or the act of
taking an efficient and orderly approach to tasks, or a group of people who have formally come
together to achieve a common goal.

Resources of organization:

The major resources used by organizations are often described as follow: (1) human resources,
(2) financial resources, (3) physical resources, and (4) information resources.

Management:

Management can be defined as the process of administering and controlling the affairs of the
firm, irrespective of its nature, type, structure and size. It is an act of creating and maintaining
such a business organization wherein the members of the organization can work together, and
achieve business objectives efficiently and effectively.

Efficiency means ensure maximum output by using minimum input ad effectively means doing
the right thing on right time in right manner.

Example of effectiveness and efficiency: A good example of this is a manager who sends emails
to all employees vs. a manager who writes handwritten letters to each individual employee.
While both are effective in conveying a message, an email in the modern workplace is obviously
more efficient than a letter, especially at a larger company.

Lecture Note: Recording 02

Management Process:

Management acts as a guide to a group of people working in the organization and coordinating
their efforts, towards the attainment of the common objective.
a. Planning

Planning is the function of management that involves setting objectives and determining a course
of action for achieving those objectives. Planning requires that managers be aware of
environmental conditions facing their organization and forecast future conditions. It also requires
that managers be good decision makers.

Planning is a process consisting of several steps. The process begins with environmental
scanning which simply means that planners must be aware of the critical contingencies facing
their organization in terms of economic conditions, their competitors, and their customers.
Planners must then attempt to forecast future conditions. These forecasts form the basis for
planning.

b. Organizing

Organizing is the function of management that involves developing an organizational structure

and allocating human resources to ensure the accomplishment of objectives. The structure of the
organization is the framework within which effort is coordinated. The structure is usually
represented by an organization chart, which provides a graphic representation of the chain of
command within an organization. Decisions made about the structure of an organization are
generally referred to as organizational design decisions.

c. Leading

Leadership should be defined as the social and informal sources of influence that one uses to
inspire action taken by others. It means mobilizing others to want to struggle toward a common
goal. Great leaders help build an organization’s human capital, then motivate individuals to take
concerted action. Leadership also includes an understanding of when, where, and how to use
more formal sources of authority and power, such as position or ownership. If managers are
effective leaders, their subordinates will be enthusiastic about exerting effort to attain
organizational objectives.

d. Controlling

Controlling involves ensuring that performance does not deviate from standards. Controlling
consists of three steps, which include (1) establishing performance standards, (2) comparing
actual performance against standards, and (3) taking corrective action when necessary.
Performance standards are often stated in monetary terms such as revenue, costs, or profits but
may also be stated in other terms, such as units produced, number of defective products, or levels
of quality or customer service.

The management functions of planning, organizing, leading, and controlling are widely
considered to be the best means of describing the manager’s job, as well as the best way to
classify accumulated knowledge about the study of management. Although there have been
tremendous changes in the environment faced by managers and the tools used by managers to
perform their roles, managers still perform these essential functions.

Lecture Note: Recording 3

Who are Managers?

Managers are responsible for the processes of getting activities completed efficiently with and
through other people and setting and achieving the firm’s goals through the execution of four
basic management functions: planning, organizing, leading, and controlling. Both sets of
processes utilize human, financial, and material resources.

Levels of Management
I.         Top-Level Management: This is the highest level in the organizational hierarchy, which
includes Board of Directors and Chief Executives. They are responsible for defining the
objectives, formulating plans, strategies and policies f6r long term as 5 years or more..

II.         Middle-Level Management: It is the second and most important level in the corporate
ladder, as it creates a link between the top and lower-level management. It
includes departmental and division heads and managers who are responsible for implementing
and controlling plans and strategies which are formulated by the top executives by converting
in shorter term.

III.      Lower Level Management: It includes first-line managers, foreman, supervisors. As

lower-level management directly interacts with the workers, it plays a crucial role in the
organization because it helps in reducing wastage and idle time of the workers, improving the
quality and quantity of output.

The three management levels form the management hierarchy, that represents the position and
rank of executives and managers in the chart.

Managing in different Areas of the organization:

a) Marketing Managers: The marketing manager’s primary task is to manage the marketing

resources of a product or business. The person can be in charge of a single product or brand or
can be a general manager responsible for a broad array of products and services.”
b) Financial Manager: A finance manager organizes and manages an organization's financial
portfolio. He prepares financial reports, oversee investments and help with cash management.

c) Operation Manager: Operations managers oversee the organizational activities of businesses,

government agencies, non-profit groups, and other organizations. Operations managers supervise
employees, manage quality assurance programs, strategize process improvements, and more.
Operations managers are ultimately responsible for maintaining and increasing the efficiency of
a business, agency, or organization.

d) Human Resources Manager: A person who in charge of the department that deals with the
employment, training, support, records, etc. of a company's employees. The human resource
manager is also responsible for writing up job descriptions.

e) Administrative Manager: A person who is not specialized in a specific area but have the
knowledge about functions and playing important role to ensure smooth operation process of
organization