Zamboanga Sibugay

GIYA
(Guided, Integrated, Yearning Activities)
For SHS LEARNERS
Organization and Management
FIRST SEMESTER, Week 1-Day 1-4
MELC: Explain the meaning, functions, types and theories of management
Topic: Meaning, functions, types and theories of Management
Objectives: At the end of the discussion, the learners are expected to:

a. define relative terms of management,

b. distinguish and discuss functions and theories of management; and
c. appreciate the concept of management in the real world
Writer:
HONEY BOY T. FERNANDEZ

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DAY 1

I. Mini Lesson/Lecturette

The term ‘management’ can be interpreted in a variety of ways. For you to gain a better
insight into the nature of management, let us look at some of the definitions of management.

What is management?
• the process of designing and maintaining an environment in which individuals,
working together in groups, efficiently accomplish selected aims (Harold Koontz and
Heinz Weihrich)
• the use of people and other resources to accomplish objectives (E. Boone and David
L. Kurtz)
• a process, by which managers create, direct, maintain, and operate purposive
organizations through systematic, coordinated, cooperative human effort. (Dalton E.
McFarland)
• the act of getting things done through people (Mary Parker Follet)

Definitions by Follet and Louis E. Boone and Kurtz call attention to the fact that as a
manager, you will achieve organizational goals by getting others to do the necessary tasks.
The other two definitions suggest that management is much more than “just getting the work
done”.

Now, let’s take the definition of Follet, that management is getting things done through
people. This implies that an organization, whatever the size is, is composed of people or
individuals.

These people all worked together for a common goal. To make sure that they work
effectively and efficiently, they have to be managed.

Business resources which must be managed

• Capital (money)
• Equipment (machines)
• Labor/human resource (men)

Three (3) Management Objectives Categories

1. Organizational Objectives – reasonable profits, survival and growth of business,
improving the goodwill of the enterprise, etc
2. Personal Objectives – fair remuneration for work performed, reasonable working
conditions, opportunities for training and development, reasonable security of
service, etc.
3. Social Objectives – quality of goods and services at fair price to customers, honest
and prompt payment of taxes, conservation of environment and natural resources,
preservation of ethical values of the society, etc

Management has to reconcile personal goals with organizational objectives for harmony in
the organization.

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 II. Facilitating Activities

Activity 1. In this activity, you’ll need to complete the word in the circles. The first one is done for you!
Good luck!

Activity 2. Identify the following circumstances as any of the objectives of management-

organizational, personal or social. The first one is done for you! Good luck!
Organizational_1. Jollibee Foods Corporation is wanting to expand its operations in London.
2. Jane, a saleslady of SM wants to get promoted as a manager.
3. Wowowin as a TV program has paid all its taxes due to the government.
4. Jollibee Foods Corporation acquired majority of Mang Inasal’s stocks.
5. Miners in the Philippines had caused severe damage to the environment prompting
DENR to issue cease and desist order.

III. Evaluation Activity

Directions: Encircle the letter of the best answer.

1. Which of the following is not an organization?
a. Businesses b. Church community c. Ana d. Student Council
2. Your savings in the bank can be your __________ in starting a business.
a. Capital b. man c. equipment d. credit
3. Who manages all the other resources?
a. Machines b. materials c. Human Resource d. Bank
4. Management cannot happen without __________.
a. Manager b. destiny c. faith d. salary
5. If there is management, then there is a __________.
a. Goal b. conflict c. solution d. void

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 IV. Reflection. Great! You already reach this far! With the box below, I’ll be glad
to know what you feel with our first day lesson. How was it? Was it easy,
average or difficult? You can also write the words or phrases that you need
more explanation with and I’ll be glad to reach you back. Cheers! 

DAY 2

DAY 2

Day 2

I. Mini Lesson/Lecturette

Yesterday, you learned about the definitions of management from different proponents and
the kinds of manageable resources an organization has- the 4Ms (man, money, machine,
and materials).

Today you will learn about the different functions of management. Now, let’s revisit the
definitions from Harold Koontz and Heinz Weihrich, and Dalton E. McFarland:

Dalton E. McFarland defines management as “a process, by which managers create, direct,

maintain, and operate purposive organizations through systematic, coordinated, cooperative
human effort” while Harold Koontz and Heinz Weihrich define management as “the process
of designing and maintaining an environment in which individuals, working together in groups,
efficiently accomplish selected aims”.

Based on the preceding definitions, they suggest that management is much more than “just
getting the work done” and (as shown in the following Figure) suggest the following aspects
of management:

(Turn to the next page)

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 Figure 1. Aspects of Management

Aspects of Management
1. Planning
Planning can be defined as the process, by which, you decide the mission and objectives of
the firm and take necessary steps to achieve the desired objectives. You need to determine the
future trends in business and incorporate change and innovation into the organization from time
to time.

Example: A plan to increase sales by 30% in the following month.

• creating a new advertisement campaign\
• reducing prices or speaking to customers about their shopping plans
• your role is to pick the processes that you find the most appropriate and to organize
them into a logical pattern
• You must also identify the timeline for these processes
• look both at the short- and long-term success of the organization as part of the plan

2. Organizing
Organizing is the process of assigning tasks and allocating resources to individuals to enable
them to accomplish organizational goals. Organizing is a continuous process of determining:
• which tasks are to be performed
• how tasks can best be combined into specific jobs
• how jobs can be grouped into various units
• the authority and reporting relationships within the corporate hierarchy. The pitfalls
associated with a poor plan can be eliminated by excellent organization.

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3. Staffing
Today, staffing is better known as “human resource management” and involves
manning or filling the various positions in the organizational hierarchy.
• determining manpower requirements
• assessing the number of people presently available in the organization
• recruiting and selecting candidates
• training and placing them in the organization come under the purview of staffing
This function also deals with compensation, performance appraisal, promotion and career
planning.

4. Leading
Leading is defined as “the management function of influencing, motivating, and
directing people towards the achievement of organizational goals.” It is the
management function that involves influencing and inspiring team members to perform
well and accomplish corporate objectives. Leading involves:
• communicating with others
• leadership styles and approaches, and
• motivating people to put forth the effort required to achieve organizational goals
In simple words, it is the act of making things happen through others.

5. Controlling
The final step in the management process is where you monitor the progress of an
organization towards its goals. Controlling can be defined as the continuous measurement
-and analysis of actual operations against the established industry standards developed
during the planning process and corrections of deviations, if any.
The basic control process involves:
• comparing performance with standards
• determining where negative deviations occur, and
• developing remedial measures to correct deviations.

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II. Facilitating Activity.

Activity 1. To understand more the flow of the functions of management, complete this
diagram to show that these functions complete a cycle (clockwise movement).

______

_______ ______

2.
_______
Organizing

Activity 2. Identify the management function being described. The first item is done
for you.

_Planning ____1. It helps in crafting mission and objectives of the firm.

_____________2. It involves manning or filling various positions in organizational

hierarchy.
_____________3. The process of continuous measurement and analysis of actual
operations against standards is controlling.
_____________4. It is defined as the management function of influencing, motivating,
and directing people towards organizational goals.
_____________5. It helps assign tasks and allocate resources to enable individuals
achieve organizational goals.

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 III. Evaluation Activity.

Multiple Choice. Encircle the letter of your answer.

1. What management function is also known as directing?

a. Planning b. Organizing c. Leading d. Controlling
2. Which of the following does not fall under the planning function?
a. Short-term plans b. long-term plans c. long term goals d. Monitoring
3. EJ is applying for an IT position in CONCENTRIX, a BPO company which has different
lines of businesses. After his interview, he was informed that he is being hired as a
fraud analyst for JP Morgan Chase account, a US bank, for his qualifications.
What management function can be observed from this event?
a. Planning b. Staffing c. Organizing d. Controlling
4. Right after a month of training as a fraud analyst, EJ, was moved to a team of 10
members lead by Hanz. Hanz constantly motivate EJ to perform his best as this will
give him monetary and career rewards.
What is being shown by the team leader Hanz?
a. Controlling b. Staffing c. Planning d. leading
5. For the year 2020, CONCENTRIX, as a company has seen yet the best returns for a
10 year period in net income based on its financial statements.
What management function does it show?
a. Controlling b. Staffing c. Planning d. leading

IV. Reflection
Awesome! You are very consistent! With the box below, I’ll be glad to know
what your views are for today’s lesson. Just be yourself! Cheers! 

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DAY 3

I. Mini Lesson/Lecturette

Today, you will learn about the Evolution of Management Theories.

1910s-1940s: Management as Science
Management as Science was developed in the early 20th century and focused on
increasing productivity and efficiency through standardization, division of labor,
centralization, and hierarchy. A very ‘top-down’ management with strict control over
people and processes dominated across industries.
*Top-down management occurs when goals, projects, and tasks are determined
among your organization's senior leaders, usually independently of their teams. These
goals, projects, and tasks are then communicated to their teams.

1950s-1960s: Functional Organizations

Due to growing and more complex organizations, the 1950s and 1960s saw the
emergence of functional organizations and the Human Resource (HR) movement.
Managers began to understand the human factor in production and productivity and
tools such as goal-setting, performance reviews, and job descriptions were born.

1970s: Strategic Planning

The focus is from measuring function to resource allocation and tools like Strategic
Planning, Growth Share Matrix, and SWOT (identification and analysis of the company’s
Strengths, Weaknesses, Opportunities, and Threats) were used to formalize
strategic planning process. After several decades of ‘best practice’ and ‘one size fits all’
solutions, academics began to develop contingency theories.

1980s: Competitive Advantage

As the business environment grew increasingly competitive and connected, and with a
blooming management consultancy industry. Competitive Advantage became a priority
for organizations in the 1980s. Tools like Total Quality Management (TQM), Six Sigma,
and Lean Management were used to measure processes and improve productivity.
Employees were more involved by collecting data, but decisions were still made at the
top, and goals were used to manage people and maintain control.

*Competitive advantage refers to factors that allow a company to produce goods or

services better or more cheaply than its rivals. These factors allow the productive entity
to generate more sales or superior margins compared to its market rivals.

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1990s: Process Optimization
Benchmarking and business process reengineering became popular in the 1990s, and by the
middle of the decade, 60% of Fortune 500 companies claimed to have plans for or have
already initiated such projects. TQM, Six Sigma, and Lean remained popular and more holistic,
organization - wide approach and strategy implementation took the stage with tools such as
Strategy Maps and Balance Scorecards.

*Benchmarking is the practice of comparing business processes and performance metrics to

industry bests and best practices from other companies.

2000s: Big Data

Largely driven by the consulting industry under the banner of Big Data, organizations in the
2000s started to focus on using technology for growth and value creation. Big data is a broad
term for data sets so large or complex that traditional data processing applications are
inadequate. Accuracy in big data may lead to more confident decision-making. And better
decisions can mean greater operational efficiency, cost-reductions, and reduced risk.

After several decades of trying to manage people through the different management
theories, one has to realize that what worked before just simply is not enough anymore.
Traditional Management is fine if one wants compliance, but if one wants innovation and
growth, management has to engage its people on a whole new level. Top down control is a
thing of the past. Succeeding in today’s environment requires a management style that
inspires and is participatory.

II. Facilitating Activity

Activity 1. Complete the timeline diagram for the evolution of management theories by
making a brief description for the period. The last one is done for you. 

2000s

Organizations
focused on
using
technology
for growth
and value
creaton.

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 III. Evaluation Activity

Multiple Choice. Choose the letter of the best answer.

1. It is considered as traditional management wherein plans and actions of the company
are decided only by the higher management members while lower management
members only follow the decisions.
a. Top-down management c. Benchmarking
b. Reengineering d. Big Data
2. Due to a sudden drop in earnings, a local manufacturer has to compare its operations
with best performers in the same industry and make necessary improvements after in
its own internal processes.
The above situation is an example of:
a. Top-down management c. Benchmarking
b. Reengineering d. Big Data
3. Philippines can be considered as the center of BPO industries in the entire globe today.
This was after foreigners saw the Filipinos edge in speaking the English language.
Now, major investments in the country are poured in BPO related projects.
This can be perceived as:
a. Top-down management c. Benchmarking
b. Reengineering d. Competitive advantage
4. A company must focus only in its strengths and opportunities while neglecting its
weaknesses and threats from possible competition.
a. True c. False
b. Sometimes d. most of the time
5. From huge machines which stores data, the scientists and inventors have developed
smaller digital objects that can store gigabytes of information like a flash drive. This
and similar inventions are considered as:
a. Big Data c. innovations
b. Strategic plans d. micro chips

IV. Reflection. Fantastic! You reach the last part for this lesson! Please write your
insights about the topic or questions you’d like to ask. Au revoir! 

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DAY 4

I. Mini Lesson/Lecturette

You are already aware of how the concept of management started. From top-down to
a more participatory management, from manual to a more digital approach on the
managerial functions. Today, you will learn about the theories that reinforced the
modern concept of management we know today.

Hitt and others (1979) classify management theories into three broad groups.
a) Classical management theory
b) Neoclassical management theory
c) Modern management theory

CLASSICAL MANAGEMENT THEORY (l880s-1920s)

This school of thought stresses economic rationality of the individual employee at work.
This assumes that people choose the course of action that maximizes their economic
reward. It contains three branches, namely, scientific management, administrative
principles and bureaucratic organization.

Scientific Management
Frederick Winslow Taylor (1856-1915) is considered to be the father of scientific
management. The scientific method provides a logical framework for the analysis of
problems. It basically consists of defining the problem, gathering data, analyzing the
data, developing alternatives, and selecting the best alternative.

Administrative Management
Henry Fayol (184 1-1925), a French industrialist, is the chief architect and the father of
the administrative management theory. He presented 14 principles of management as
general guidelines for management practice. They dealt with division of work, authority
and responsibility, discipline, unity of command, unity of direction, subordination of
individual interest to general interest, remuneration, centralization, scalar chain, order,
equity stability of tenure of personnel, initiative and esprit de corps.

Bureaucratic Organization
As organizations became larger and more complex, the authoritarian-paternalistic
pattern gave way to increased functional specialization with many layers of middle and
lower management for coordinating organizational effort. The result was a bureaucratic
approach to organizational structure.

Bureaucracy emphasizes the position rather than person and organization continues
even when individuals leave. The characteristics of bureaucratic organization are
division of labour by functional specialization. Its strength is in its system of workable
set of rules, policies and a hierarchy of authority. Bureaucracy expects conformity in
behaviour rather than performance.

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NEO-CLASSICAL THEORY (1920s-1950s)
This school of thought preferred participative and group decision-making, process of self-
direction and control instead of imposed control. They put forth the practical realistic model of
human motivation and stressed the situational constraints and social aspects of organizational
and environmental changes. It contains two branches: human relations school and behavioural
school.

Human Relations School

Elton Mayo has been considered as the father of the human relations movement, which later
became organizational behaviour. Mayo, Roethlisberger and Dickson conducted studies at the
Hawthorne, Illinois plant of Chicago Western Electric Company, which became famous
Hawthorne experiments or studies later. The Hawthorne studies supported the thesis that
reasonable satisfaction of the needs (economic and non-economic) and desires of employees
(will lead to greater output.

Behavioral Schools
Since the Hawthorne experiments, there has been an increased interest in and an application
of, behavioural science in management. The term modern behaviourism refers to the current
stage of evolution of the behavioural school of management, which gives primacy to
psychological considerations but treats fulfilment of emotional needs mainly as a means of
achieving other primary economic goals.

MODERN MANAGEMENT THEORY

As against the rational economic man of the classical theory and the social person view of
neoclassical theory, the complex employee view is the premises of modern management
theory.

Systems Theory
A system can either be open or closed. An open system interacts with its environment. All
biological, human and social systems are open systems and many physical and mechanical
systems are closed systems. An organization is an open system that interacts regularly with
external forces such as government agencies, customers and suppliers. These external forces
have an impact on organization practices.

Every system has flows of information, material and energy and these inputs get converted
into outputs of goods, services and satisfactions in the organization. This process is called
‘throughput’. This change process is synergistic. Synergy means that the output of a system
is always more than the combined output of its parts.

Contingency Theory
The organization must be designed to fit its situation. Researchers have found that the more
complex and changing the environment, the more flexible the structure must be.

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 Organizational Humanism

This school of thought is an extension of behavioral schools of neoclassical theory and hence
has much in common with behavioral schools. The underlying philosophy of this school is
that individuals need to use all of their capacities and creative skills at work as well as at
home.

Organizational humanism is criticized on the ground that it is difficult to believe that every
employee seeks self-actualization at work. Organizational humanists say that there are many
ways in which employees can entertain themselves at work and make their jobs interesting.

Management Science

Tools such as linear programming, queuing theory, simulation models, CPM, PERT,
inventory-control and quality control tools were extensively used in this approach. Thus the
focus of management science or quantitative approach is on making objective and rational

II. Facilitating Activity

Activity 1. Matching type. Match column A with Column B. The first item is done for you.

Activity 2. Identification. Write your answers inside the boxes.

1. What are the branches of the classical management theory?

2. What are the branches of the neoclassical theories?

3. What are the branches of the modern management theory?

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III. Evaluation

Fill in the blanks.

1. _____________presented 14 principles of management as general guidelines for
management practice.
2. The term modern behaviorism refers to the current stage of evolution of the
________________of management.
3. A system can be _________ or __________.
4. __________means that the output of a system is always more than the combined
output of its parts.
5. ________________supported the thesis that reasonable satisfaction of the needs
(economic and non-economic) and desires of employees will lead to greater output.

IV. Reflection

You finally reach the last topic for this week! Congratulations! I’ll be more than happy to
hear your thoughts about this lesson. Please write it inside the box. Don’t hesitate to ask.


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 V. References

Payos, R. P., Espinosa, E. G., Zorilla, O. S. (2016). Organization and Management. Sta. Mesa
Heights, Quezon City: Rex Printing Company. Inc.
International MBA Institute. (n.d.)Retrieved from http://www.mba-institute.org/
Sridhar, M.S. (2014) Schools of Management Thought.
https://www.researchgate.net/publication/224952289_Schools_of_Management_Thought

Quality Assured/Evaluated by:

1. Alona Dalis
2. Jennifer Cantar
3. Glen Ivy Igdon
4. Leonides Espinosa

Estrelita Ampo-Pena
Education Program Supervisor in English

Reviewed By:

Evelyn F. Importante
OIC- CID Chief EPS

Raymund M. Salvador
OIC- Assistant Schools Division Superintendent

Jerry C. Bokingkito
OIC- Assistant Schools Division Superintendent

Dr. Jeanelyn A. Aleman, CESO VI

OIC-Schools Division Superintendent

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