MANAGEMENT
– use knowledge or techniques of a particular
- it is the process of reaching goals through the
use of human resources, technology, and
material resources.
Good management
- is working through others to accomplish tasks
that help fulfill organizational objectives as
efficiently as possible.
PROCESS
– represents on-going functions or primary
objectives engaged in by managers. Also refers
to the activities being performed to achieve an
objective.
EFFECTIVENESS
– completing activities so that organizational
goals are attained
EFFICIENCY
– getting the most output from the least
amount of inputs
FREDERICK WINSLOW TAYLOR
- "Father" of the Scientific management (1911)
& Efficiency Movement, Father of Industrial
Engineering
- focused with achieving efficiency through the
quickness of a task being done, the scientific
tool he is often associated with being the
stopwatch.
FRANK & LILIAN GILBRETH (Therbligs)
- Founders of Modern Industrial Management
- more focused on reducing the number of
motions needed to achieve a goal or task
HENRY GANTT
- His most popular legacy to management was
the Gantt Chart.
Gantt Chart
- accepted as a commonplace project
management tool today, it was an innovation of
worldwide importance in the 1920s.
HENRY FAYOL
- Believed that the practice of management was
distinct from other organizational functions
Conceptual Skills
– mental capacity to develop plans, strategies
and vision
Technical Skills
discipline to attain ends
Human/Interpersonal Skills
– ability to work with other people in team.
Design Skills
– ability to handle and solve any kind of
unforeseen or actual problems, that may crop
up in the organization.
Communication Skills
– ability to exchange ideas and information
effectively. To understand others and be
understood by others comprehensively.
Leadership Skills
– ability to influence other people to achieve
the common goal.
Top Management
- They are the persons with greatest
responsibility.
Middle Management
- They are the link between the top and
supervisory levels of management.
Supervisory-Level Management
- They assign duties and evaluate the work of
production or service employees.
(PRINCIPLES OF MANAGEMENT)
DIVISION OF LABOR
– work of all kinds must be divided &
subdivided and allotted to various persons
AUTHORITY & RESPONSIBILITY
- management has the authority to give orders
to the employees. Of course with this authority
comes responsibility.
DISCIPLINE
- It is often a part of the core values of a mission
and vision in the form of good conduct and
respectful interactions.
UNITY OF COMMAND
- an individual employee should receive orders
from one manager and that the employee is
answerable to that manager.
UNITY OF DIRECTION
–. All employees deliver their activities that can
be linked to the same objectives.
SUBORDINATION OF INDIVIDUAL REQUEST
– The primary focus is on the organizational
objectives and not on those of the individual.
RENUMERATION
- the compensation should be sufficient to keep
employees motivated and productive.
DEGREE OF CENTRALIZATION
- an organization should strive for a good
balance in the degree of centralization
SCALAR CHAIN
- there should be a clear line in the area of
authority.
ORDER
– the work environment must be safe, clean and
tidy.
EQUITY
- employees must be treated kindly and equally.
STABILITY OF TENURE OF PERSONNEL
- minimize employee turnover and to have the
right staff in the right place.
INITIATIVE
- encourages interest and involvement and
creates added value for the company.
ESPRIT DE CORPS
- contributes to the development of the culture
and creates an atmosphere of mutual trust and
understanding.
(DECISION MAKING)
Decision-making
- is the process by which managers respond to
opportunities and threats by analyzing options,
and making decisions about goals and courses
of action
- is the action of selecting one alternative from a
set of several alternatives.
Decision
- is a conclusion or resolution reached after
consideration of alternatives
PAYOFF TABLE
– table showing the expected payoffs for each
alternative in every possible state of nature.
DECISION MAKING ENVIRONMENTS
Certainty
– means that relevant parameters such as costs,
capacity, and demand have known values
Uncertainty
– environment in which it is impossible to assess
the likelihood of various future events.
Risk
– means that certain parameters have
probabilistic outcomes.
DECISION MAKING SKILLS
BEING INTUITIVE
- simplest, and the one of the most common
ways to take a decision. Though it is not always
the best.
Being Rational
- reviewing all possible options then evaluating
every option using logic and rationality.
BEING WELL-INFORMED
- getting a personal opinion also impacts your
decision-making
SATISFICING
- accepting the one which is satisfactory for the
benefit of the company
CONFLICT MANAGEMENT
- identify the differences between a win-lose
situation
Type of Decisions
Strategic Decisions
- Decisions made at the top level of the
organization, determine the organization overall
direction
Tactical Decisions
- Decisions that are taken by mid-level managers
to achieve goal and objectives
Operational Decisions
- Day-to-day decisions made by employees and
lower-level managers to ensure targets are met.
Behavioral Aspects of Decision Making
Bounded Rationality Model of Decision Making
- The rationality of decision makers is restricted
by the actual information they have, the
cognitive biases of their psyches, and the
limited time they have to decide.
Intuitive Model of Decision Making
- It involves making choices without cognizant
thinking.
Creative Model of Decision Making
- Creativity is the invention of imaginative new
ideas.
 - prioritize different steps in carrying out a
Risk propensity specific strategy.
- measures the tendency of decision makers to DETERMINING RESOURCES NEEDED
make risky decisions. - determine the human and non-human
Ethical decision resources required by such strategies or tactics
-makingissues emerge when decision STANDARD
alternative include conflicting moral or ethical - designed to help monitor the performances of
considerations the people, capital goods, or processes”
(Examples of Standards)
CHAPTER 3 Basic Standards - fundamental standards for
weights and measures ( legal metrology )
11111111111111111111111111111111111111 Product Specification Standards - standards for
Plan the physical, chemical, electrical, technical and
- provides a methodical way of achieving mechanical characteristics of products and
desired results. materials
- useful guide in the implementation of activities Process Standards - series of actions or
Planning operations used in making a product and
- involves anticipating future trends and provide the methodology to perform these
determining the best strategies and tactics processes in a consistent way.
- selection and sequential ordering of tasks Code of Conduct - collections of mandatory
STRATEGIC PLANNING standards that have been codified by
- refers to the process of determining major government authorities and become law
goals of the organization Management System Standards - requirements
- Top Management Level that can be applied to any organization,
INTERMEDIATE PLANNING regardless of the product it makes or the service
- refers to the process of determining the it performs
contributions that subunits can make with (FUNCTIONAL AREA PLANS)
allocated resources. Marketing plan
- Middle Management Level – plan for marketing activities related to a
OPERATIONAL PLANNING particular marketing strategy.
- refers to the process of determining how Production plan - states the quantity of output
specific tasks can be best accomplished on time of a company must produce in broad terms and
- Lower Management Level by product family.
Financial Plan
Planning involves the following: - summarizes the current financial situation of
= setting organizational, divisional, or unit goals the firm, analyses financial needs, and
= developing strategies or tactics to reach those recommends direction for financial activities.
goals Human Resource Management Plan
= determining resources needed - detailed human resource requirements in
= setting standards terms of quantity and quality based on the
requirements of the company’s strategic plan.
(DEVELOPING STRATEGIES OR TACTICS) (PLANS WITH TIME HORIZON)
SHORT-RANGE PLANS
STRATEGY – plans intended to cover a period of less than
- plan of action that seeks to achieve an overall 1 year (lower management level)
goal LONG-RANGE PLANS
TACTIC - plans covering a time span of more than 1
year (top and middle management levels)

(PLANS ACCORDING TO FREQUENCY OF USE)
STANDING PLANS
– plans that are used again and again, and they
focus on managerial situations that recur
repeatedly.
SINGLE-USE PLANS
- plans are specifically developed to implement
courses of action that are relatively unique and
are unlikely to be repeated.
MAKING PLANNING EFFECTIVE
Recognize the planning barriers
PLANNING BARRIERS
- manager’s inability to plan
- improper planning process
- improper information
- lack of commitment to the planning process
concentrating on only the controllable variables
Use of aids to planning
Gather as much information as possible
Develop multiple sources of information
Involve others in the planning process
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Organizing
- refers to the “structure of resources and
activities to accomplish objectives in an efficient
and effective manner”.
- It is the process of identifying and grouping of
the works to be performed
FORMAL ORGANIZATION
- the structure that details lines of
responsibilities, authority, and position.”
Organization charts
- diagram of the organization’s official positions
and formal lines of authority.
Organizational manual
- provides written descriptions of authority
relationships, details the functions of major
organizational units, and describes job
procedures.
Policy manuals
- describes personnel activities and company
policies.
Horizontal/Flat Organizational Structure
- Involves self managing teams that set their
own goals and make their own decisions
Organization by Process
- Teams of people with different specializations
are organized around processes, such as
developing new products or providing customer
support.
Self- Managing Teams
- Instead of reporting up a chain of command,
employees are organized into teams that
manage themselves.
Customer Orientation
- Where teams get their direction from the
customer, rather than from management.
Authority
- the power to hold people accountable for
their actions and to make decisions concerning
the use of organizational resources.
Hierarchy of Authority
- an organization’s chain of command, specifying
the relative authority of each manager.
DIFFERENTIATION
- It means that an organization is composed of
units that work on specialized tasks using
different work methods and requiring
employees with unique competencies.
INTEGRATION
- It means that various units must be put back
together so that work is coordinated.
NATURE OF ORGANIZING
Group of persons
– group of people working together to achieve
common objectives.
Common Objectives
– basis of cooperation among member to
conquer personal interests.
Division of Work
– total task is divided into members of the
group. Specialization results in efficiency and
effectiveness.
Cooperative Efforts
– when members of an organization are willing
to help each other for the achievement of
desired goals.
Communication
– people who form an organization
communicates with each other in order to
integrate or coordinate their efforts.
Central Authority
– authority which controls the concerted effort 2.Recruitment
of the group. - entails seeking, stimulating and obtaining, as
many applications as possible from the eligible
and competent candidates
Rules & Regulations 3. Selection
– orderly and systematic working of members. - which involves differentiating between
Dynamic Element applicants, so as to identify and choose the
– an organization is not a mere mechanical candidate who best fulfils the qualifications and
structure but a living organism arising out of requirements of the vacant position.
sentiments, attitudes, and behaviour of people. 4. Placement
allocation of rank and responsibility to
4 STEPS IN ORGANIZING selected candidate.
Identification of Activities 5.Orientation & Induction
– determining the tasks that must be provide the new employee with the information
performed to achieve the established they require for functioning comfortably and
objectives. efficiently in an organization.
Grouping of Activities Induction- is the process of introducing the new
– various activities are grouped into joiners to the job and the organization as well.
departments or divisions according to similarity 6.Training & Development
and common purpose. the new joiners undergo training to acquire
Delegation of Authority specific skills. Development implies learning
–Every individual must know to whom he is opportunities, designed by the organization, to
accountable and who are his subordinates. ensure the growth of employees.
Assignment of Duties 7.Performance Appraisal
– group of activities are then allotted to - rational assessment and evaluation of
different positions. employee’s performance against clear-cut
benchmarks.
33333333333333333333333333333333333333 PERFORMANCE APPRAISAL-is the measurement
Staffing of employee’s performance
- is a managerial function which involves 8.Career Management
obtaining, utilizing and retaining, qualified and - is a process in which the individual understand
competent personnel to fill all positions of an and learns new skills and interests and use them
organization for the betterment of the organization and self.
- is the process that ensures the proper number 9.Compensation
of employees, - refers to the consideration which an individual
gains, in return for his/her contribution to the
PROCESS OF STAFFING organization.
1. MAN PLANNING 6. TRAINING
2. RECRUITMENT 7. PERFORMANCE Preliminary Interview
3. SELECTION 8. CAREER MANAGEMENT – the purpose of this interview is to scrutinize
4. PLACEMENT 9. COMPESATION the applicants, elimination of unqualified
5. ORIENTATION & INDUCTION applications .
Employment Interview
PROCESS OF STAFFING – this interview serves as a means for the
1. Manpower Planning employer to determine deeper technical skills
- the process of forecasting the firm’s future and knowledge of the employee
demand for and supply of competent workforce
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Communication
- is defined as the process of sharing
information
-process by which information is exchanged
between two or more people
- effective communication occurring in the
environment where the communication is
undertaken.
SEMANTIC BARRIERS
- When the message is misunderstood even
though it is received exactly as transmitted

benefits of effective communication (OVERCOMING BARRIERS TO

Provides clarity. Creates commitment. COMMUNICATION)
Builds relationships. Defines expectations. Use feedback Repeat messages
Use multiple channels Use simplified language
(Communication Process)
DEVELOP AN IDEA TECHNIQUES FOR COMMUNICATING IN
-that the idea to be conveyed must be useful or ORGANIZATIONS
of some value. Downward Communication
ENCODE - refers to message flows from higher levels of
- next step is to convert the idea into words, authority to lower levels.
illustrations, figures, or other symbols suitable Upward Communication
for transmission - refers to messages from persons in lower-level
TRANSMIT positions to persons in higher positions.
- message is now ready for transmission through
the use of an appropriate communication TECHNIQUES FOR COMMUNICATING IN
channel. ORGANIZATIONS
RECEIVE Horizontal Communication
- actual receiving of the message by the - refers to messages sent to individuals or
intended receiver groups from another of the same organizational
DECODE level or position.
- decoding means translating the message from Diagonal Communication
the sender into a form that will have meaning to - communication that takes place between a
the recipient. manager and employees of other workgroups.
ACCEPT External Communication
- the receiver accepts or rejects the message - communication that takes place between a
USE manager and external groups such as –
– the receiver could store it and retrieve it when suppliers.
required.
PROVIDE FEEDBACK 55555555555555555555555555555555555555
- receiver provides feedback to the sender. MOTIVATION
(FORMS OF COMMUNICATION) -Refers to the act of “giving employees reasons
VERBAL COMMUNICATION or incentives to work to achieve organizational
-Those transmitted through hearing or sight objectives.
NON-VERBAL COMMUNICATION -refers to the “process of activating behavior,
-Means of conveying message through body sustaining it, and directing it toward a particular
language goal.”
BARRIERS TO COMMUNICATION MOTIVATION PROCESS
PERSONAL BARRIERS 1. NEED
- effective communication arising from a - a physiological or psychological imbalance
communicator’s characteristics as a person leads to creation of need.
PHYSICAL BARRIERS 2. DRIVES (MOTIVES)
- propel individuals to attain their goals or
satisfy their need.
3. INCENTIVES
- anything that can mitigate a need and
decrease the intensity of a drive
TYPES OF MOTIVATION
INTRINSIC MOTIVATION
– geared towards internal rewards and
reinforcers.
EXTRINSIC MOTIVATION
– geared towards external rewards and
reinforcer’s.
THEORIES OF MOTIVATION
- Maslow’s needs hierarchy theory
*His theories indicates the needs and all
this needs are arranged in hierarchy. Once one
level is satisfied, the next level will emerge.
- Herzberg’s two-factor theory
*Theorized, that job satisfaction and job
dissatisfaction act independently of each other
- Expectancy theory
*This theory states that the workers will
only act when they have a reasonable
expectation that their work will lead to the
desired outcome.
- Goal setting theory
*This theory states that goal setting is
essentially linked to task performance. It states
that a specific and challenging goals along with
appropriate feedback contribute to a higher and
better task performance.
MOTIVATION TECHNIQUES
Flexible work schedules Sabbaticals
Family support services Job Design
Employee participation Rewards
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Leading
- a management function which involves
influencing others to engage in the work
behaviors necessary to reach organizational
goals.
Power
- influence of a leader over his followers.
Authority
- the power or right to give orders, make
decisions, and enforce obedience
The Role of Power in Leadership
Reward Power
- possess the ability to reward their
subordinates.
Coercive Power - an equally strong source of
power is the ability to punish their
subordinates.
Legitimate Power
- ability to influence others because of the
position one holds in the organization
Referent Power
- power that accompanies a strong relationship
between the leader and the followers.
Expert Power
- extent to which leaders are perceived to be
knowledgeable in an area that is necessary to
the attainment of group goals.
LEADERSHIP
- may be referred to as the process of
influencing and supporting others to work
enthusiastically toward achieving objectives.
- is expected of any manager in charge of any
unit or division.
THE NATURE OF LEADERSHIP
PERSONAL DRIVE
-If chosen way to reach goal is not successful, a
leader finds another way to reach it.
THE DESIRE TO LEAD
-Leaders with a desire to lead will always have a
reservoir of extra efforts which can be used
whenever needed.
PERSONAL INTEGRITY
- One who does not have personal integrity will
have a hard time convincing his subordinates
about the necessity of completing various tasks.
SELF-CONFIDENCE
-For the moves to be continuous and precise,
self-confidence is necessary.
ANALYTICAL ABILITY
- can use to tide him over many challenging
aspects of leadership.
KNOWLEDGE OF THE COMPANY, INDUSTRY OR
TECHNOLOGY
- provide directions to his unit.
CHARISMA
- has sufficient personal magnetism that leads
people to follow his directives.
CREATIVITY
- Defines as the ability to combine existing data,
experience, and preconditions from various
sources
LEADERSHIP SKILLS
Technical skills
- skills a leader must possess to enable him to
understand and make decisions about work
processes
Human skills
- ability of a leader to deal with people, both
inside and outside the organization
Conceptual skills
- ability of a leader to think in abstract terms, to
see how parts fit together to form the whole
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Controlling
- is the process of ascertaining whether the
organizational objectives have been achieved
STEPS IN THE CONTROL PROCESS
Establishing performance objectives and
standards
Measuring actual performance
Comparing actual performance to objectives
and standards
Taking necessary action based on the results of
the comparisons
TYPES OF CONTROL
Feedforward control
- When management anticipates problems and
prevents their occurrence
Concurrent control
-When operations are already ongoing and
activities to detect variances are made
Feedback control
-When information is gathered about a
completed activity, and in order that evaluation
and steps for improvement are derived
- The financial plan recommends a direction for
financial activities.
OPERATING BUDGET
- An operating budget indicates the
expenditures, revenues, or profits planned for
some future period regarding operations
PERFORMANCE APPRAISALS
- Performance appraisal measures employee
performance.
STATISTICAL REPORTS
- Statistical reports pertain to those that contain
data on various developments within the firm.
POLICIES AND PROCEDURES
- refer to the framework within which objectives
must be pursued.
GENERAL CHECKLIST OF SYSTEMS OF
INADEQUATE CONTROL
1. An unexplained decline in revenues and
profits
2. A degradation of service (increased
customer complaints)
3. Employee dissatisfaction
4. Cash shortages
5. Idle facilities or personnel
6. Excessive costs
7. Evidence of waste and inefficiency

COMPONENTS OF ORGANIZATIONAL CONTROL

SYSTEMS
strategic plan
- provides the basic control mechanism for the
organization
LONG-RANGE FINANCIAL PLANS