BHARATI VIDYAPEETH

(Deemed to be University)

SCHOOL OF ONLINE EDUCATION

Name of Student: Pradyumn Mishra

Date of submission: 14-07-2021

Email ID: misra.pradyumn@gmail.com

MASTER OF BUSINESS ADMINISTRATION

BATCH: JAN 2021
SEMESTER - I
Subject Code: MBA SEM-I
Subject: MANAGEMENT CONCEPT & APPLICATION

Assignment No - 01

Student PRN/
Registration No. BVP20214273
1). Question: Explain the various importance of Management.

Answer: Importance of Management

Management writers have coined four main functions of management as planning, organizing, leading and
controlling. Whereas, Henry Fayol defined five functions of management namely planning, organizing,
commanding, coordinating and controlling. Luther Gulick states seven functions as planning, organizing,
staffing, directing, coordinating, reporting and budgeting *POSDCORB'., Warren Haynes and Joseph Massie
classified management functions as decision-making, organizing, staffing, planning, controlling,
communicating and directing. Koontz and O'Donnell divide these functions into planning, organizing, staffing,
directing and controlling.

Planning

Planning is looking ahead of things and drawing a plan accordingly. It is the most fundamental aspect and only
based on the effective planning the working groups will perform their activities. This clearly specifies what is
to be done and when it is to be done. Without which there is no clarity and harmony in the organization. The
set vision and goals can only be achieved if proper planning is done else it works as a tramp from which no
organization can progress towards its
Achievement of its set vision

"Planning means deciding well in advance".

What is to be done?

How is to be done?

Where is it to be done?

Who is going to perform?

What time it is going to be implemented?

In short, "Planning means determining the future course of action".

Planning is a function which is performed by managers at all levels i.e. top, middle and supervisory. Plans
made by top management for the organization as a whole may be cover period as long as five or ten years.
Plans made by middle or first line managers, cover much shorter periods.

Organizing

An organization can only function well if it is well-organized is it involves identifications of activities required
for the achievement of set plans. Which means that there must be sufficient capital, staff and raw materials
available, so that the organization can run effectively, the organizational structure with an effective grouping
of activities is of crucial importance during the increase in functional level activities both horizontally and
vertically. Thus, organizing results in a network of coordinating relationships.

(a) Organizing clearly defines the flow of responsibilities and the

Now of authority.

(b) Finalizing activities to achieve goals,

(c) Grouping these activities into forming sections or departments

(d) Assigning/placing personnel/managers to different sections and departments.

(e) Providing them information horizontally and vertically

Staffing

Staffing is a continuous and vital function of management. After the objectives have been determined,
strategies, policies, programmers. procedures and rules are formulated for their achievement activities for the
implementation of strategies, policies, programmers , etc. identified and grouped into jobs, the next logical
step in the 15 management process is to procure suitable personnel for manning the jobs. Since the efficiency
and effectiveness of an organization significantly depends on the quality of its personnel and since it is one of
the primary functions of management to achieve qualified and trained people to fill various positions, staffing
has been recognized as a distinct function of management.
It comprises several sub functions

(a) Manpower planning involving determination of the number and the kind of personnel required.

(b) Recruitment for attracting adequate number of potential employees to seek jobs in the enterprise.

(c) Selection of the most suitable persons for the jobs under consideration

(d) Placement, induction and orientation.

(e) Transfers, promotions, termination and layoff.

(1) Training and development of employees.

As the importance of human factor in organizational effectiveness is being increasingly recognized, staffing is
gaining acceptance as a distinct function of management. There is hardly any need emphasize that no
organization can ever be better than its people, and managers must perform the staffing function with as
much concern as any other function

(a) Staffing is also important function involved in building human organization

(b) Staffing is the process of determining the manpower requirement and the recruitment both managerial
and non-managerial personnel to various level.
(c) It involves such steps as inviting application, interviews, selection, training and developing.
(d) Changes in the organization creates new position and these must be filled

Directing

Directing is the function of leading the employees to perform efficiently, and contribute their optimum to the
achievement of organizational objectives. Jobs assigned to subordinates have to be explained and clarified.
They have to be provided guidance in job performance and they are to be motivated to contribute their
optimum performance with zeal and enthusiasm
Directing involves three sub-functions

(a) Communication

(b) Leadership

(c) Motivation.

(a) Communication: It is the process of passing information and understanding from one person to other.

(b) Leadership: It is the process by which manager guides and

influences the work of his sub-ordinates.

(c) Motivation: It is the act of stimulating or inspiring workers will to pull their weight effectively, loyalty
towards enterprise and carry their task effectively and efficiently.

Coordination

Coordinating is the function of establishing relationships among various parts of the organization that they all
together pull in the direction of organizational objectives. It is thus the process of tying together all the
organizational decisions, operations, activities and efforts so as to achieve unity of action for the
accomplishment of organizational objectives.

Coordination, as a management function, involves the following sub

functions:

(a) Clear definition of authority responsibility relationships

(b) Unity of direction

(c) Unity of command

(d) Effective communication and

(e) Effective leadership

Controlling

Controlling is the function of ensuring divisional, departmental, sectional and individual performances
consistency with the predetermined objectives and goals. Deviations from objectives and plans have to be
identified and investigated, and corrective action taken. Deviations from plans and objectives provide
feedback to managers, and all other management processes including planning, organizing, staffing, directing
and coordinating are continuously reviewed and modified, where necessary. Controlling implies that
objectives, goals and standards of performance exist and are known to employees and their superiors. It also
implies flexibility and dynamism in the organization which will permit changes in objectives, plans,
programmers, strategies, policies, organizational design, staffing policies and practices, leadership style,
communication system, etc., for it is not uncommon that employees failure to achieve predetermined
standards is due to defects or shortcomings in any one or more of the above dimensions of management.

(a) Establishment of standards of performance.

(b) Measuring current performance and comparing it against the established standards.

(c) Taking action and compare the performance against standards. Controlling should be systematic and
conducted on regular basis which will provide fruitful results to the organization.

The above stated management functions planning, organizing, staffing, directing, coordinating and controlling
are not performed sequentially It is an integral process and all the functions are executed simultaneously by
the managers.
2). Question: Differentiate Planning and controlling.

Answer: controlling, is a concept that provides right to command or a legal power for exercising decision.
Controlling is said to be one of the crucial aspect in organization for decision making and implementation of
those decisions No organization, whatever its nature may be, can function effectively without authority,
Control is required to achieve desired objectives of an organization.
Control is essential to be able to discharge various managerial functions.

Planning, Just as controlling is the right of superior to issue commands, Planning is the obligation of a sub-
ordinate to obey those commands. Planning arise from the superior sub-ordinate relationship. In an
organization, Planning is the duty as per the guidelines issued.

Planning and controlling go hand in hand, as appropriate authority should be delegated to meet the
responsibilities. The two main reasons are.
If a person is given some responsibility without sufficient authority he will not be able to perform better, and
thus he will not so accomplish the desired goal.
If there is excess of authority being delegated to an individual without matching responsibility then the
delegated authority will be missed in one way or the other.

This is an important and useful principle of management because if adequate authority is not delegated to the
employees they cannot discharge their duties with utmost efficiency and this will in turn hamper the
achievement of the organizational goal. Sometimes the relation between management and employees are
also badly effected due ton on-delegation of proper authority.

Controlling means power to take the decision. That right of command provides direction to the followers by
superiors. Planning is the obligation for doing the work. Wherever the authority is exercised, responsibility
follows.

4) Question: Explain the process of Decision making.

Answer: Decision making is a daily activity for any human being. There is no exception about that. When it
comes to business organizations, decision making is a habit and a process as well.
Effective and successful decisions make profit to the company and unsuccessful ones make losses. Therefore,
corporate decision making process is the most critical process in any organization.
In the decision making process, we choose one course of action from a few possible alternatives. In the
process of decision making, we may use many tools, techniques and perceptions.
In addition, we may make our own private decisions or may prefer a collective decision.
Usually, decision making is hard. Majority of corporate decisions involve some level of dissatisfaction or
conflict with another party.
Let's have a look at the decision making process in detail.
Steps of Decision Making Process
Following are the important steps of the decision making process. Each step may be supported by different
tools and techniques.

Step 1: Identification of the purpose of the decision

In this step, the problem is thoroughly analysed. There are a couple of questions one should ask when it
comes to identifying the purpose of the decision.
What exactly is the problem?
Why the problem should be solved?
Who are the affected parties of the problem?
Does the problem have a deadline or a specific time-line?

Step 2: Information gathering

A problem of an organization will have many stakeholders. In addition, there can be dozens of factors involved
and affected by the problem.
In the process of solving the problem, you will have to gather as much as information related to the factors
and stakeholders involved in the problem. For the process of information gathering, tools such as 'Check
Sheets' can be effectively used.

Step 3: Principles for judging the alternatives

In this step, the baseline criteria for judging the alternatives should be set up. When it comes to defining the
criteria, organizational goals as well as the corporate culture should be taken into consideration.
As an example, profit is one of the main concerns in every decision making process. Companies usually do not
make decisions that reduce profits, unless it is an exceptional case. Likewise, baseline principles should be
identified related to the problem in hand.

Step 4: Brainstorm and analyse the different choices

For this step, brainstorming to list down all the ideas is the best option. Before the idea generation step, it is
vital to understand the causes of the problem and prioritization of causes.
For this, you can make use of Cause-and-Effect diagrams and Pareto Chart tool. Cause-and-Effect diagram
helps you to identify all possible causes of the problem and Pareto chart helps you to prioritize and identify
the causes with highest effect.
Then, you can move on generating all possible solutions (alternatives) for the problem in hand.

Step 5: Evaluation of alternatives

Use your judgement principles and decision-making criteria to evaluate each alternative. In this step,
experience and effectiveness of the judgement principles come into play. You need to compare each
alternative for their positives and negatives.

Step 6: Select the best alternative

Once you go through from Step 1 to Step 5, this step is easy. In addition, the selection of the best alternative is
an informed decision since you have already followed a methodology to derive and select the best alternative.

Step 7: Execute the decision

Convert your decision into a plan or a sequence of activities. Execute your plan by yourself or with the help of
subordinates.

Step 8: Evaluate the results

Evaluate the outcome of your decision. See whether there is anything you should learn and then correct in
future decision making. This is one of the best practices that will improve your decision-making skills.

Conclusion
When it comes to making decisions, one should always weigh the positive and negative business
consequences and should favour the positive outcomes.
This avoids the possible losses to the organization and keeps the company running with a sustained growth.
Sometimes, avoiding decision making seems easier; especially, when you get into a lot of confrontation after
making the tough decision.
But, making the decisions and accepting its consequences is the only way to stay in control of your corporate
life and time.