Chapter – 07

Directing

Meaning: It is a managerial function of instructing, guiding, supervising and leading the people in
the organization towards the accomplishment of the organizational goals.

Definition: According to Theo Haiman “ Directing consists of the process and techniques utilized
in issuing instructions and making certain that operations are carried on as originally carried”.

Features or characteristics of Directing:

1. Directing initiate’s action – A manager has to perform this function along with planning,
organizing, staffing and controlling while discharging his duties in the organisation, while
other functions prepare setting for action, directing initiates action in the organisation.

2. Directing takes place at every level of management – The every level of management that
is from superior to subordinates should perform this function and it takes place at superior
and subordinate relationship exist.

3. Directing is a continues process – It is called as continues process because to accomplish

each and every activities in the organisation, directing function is used continuously.

4. Directing flows from top to bottom – It first initiated at top level and flows to the bottom
through organizational hierarchy. It means that every manager can direct his immediate
subordinate and take instructions from his immediate boss.

Importance of Directing:

1. It helps to initiate the action by people in the organisation towards attainment of desired
objectives.
2. It integrates employees efforts in the organisation in such a way that individual efforts
contributes to the organisatinal performance and organizational goal is achieved.
3. It guides the employees to fully realize their potentials and capabilities by motivating and
providing effective leadership.
4. It facilitates introduction of needed changes according to the changing situation at the
organisation by the employees through proper direction.
5. The effective direction helps to bring stability and balance in the organisation since it
fosters cooperation and commitment among the people and it helps to achieve balance
among various groups, activities and departments.

Principles of directing:
1. Maximum individual contribution – This principle states that directing techniques must
help every individual in the organisation to contribute to his maximum potential for
achievement of organizational objectives.

2. Harmony of objectives – This principle is states that every individual should work towards
achievement of organizational objective by the use of directing process.

3. Unity of command – This principle insist that a person in the organisation should receive
instructions from the superior only, otherwise it will creates confusion, conflict and disorder
in the organisation and this should be managed by the use of directionprocess.

4. Appropriateness of direction technique – According to this principle, appropriate

motivational and leadership technique should be used while directing the people based on
subordinates needs, capabilities, attitudes and other situational variables.
 5. Managerial communication – The directing should convey clear instructions to create total
understanding to subordinates. Through proper feedback, the managers should ensure that
subordinates understand his instructions clearly.

6. Use of informal organisation – A manager should realize that informal groups or

organisation exist within every formal organisation. He should make use of such
organizations for effective directing.

7. Leadership –While directing the subordinate, managers should exercise good leadership as it
can influence the subordinates positively without causing dissatisfaction among them.

8. Follow through – Managers should follow and reviewing the activities continuously whether
orders are being implemented accordingly or any problems are being arises means suitable
modifications can be made in the directions.

Elements of direction:

1) Delegation – It involves issuing orders or giving instructions by the superiors to the

subordinates.

2) Supervision – It means supervising the subordinates at work in order to guide and regulate
their efforts for the accomplishment of desired goals.

3) Leadership – It is process by which a manager directs, guides and influence the behaviour
and work of others towards achievement of specific goals.

4) Motivation – Motivation means inspiring the employees to work with enthusiasm and
confidence for the attainment of desired objectives.

5) Communication – It is an integral part of direction. By the use of communication manager

can issue the guidelines to his subordinates.

6) Co-ordination – It involves proper combination of activities of various members involved in

achieving organizational goals.

Supervision:
Meaning: It refers to the direct and immediate guidance and control of subordinates in performance
of their tasks.

In other words, it means supervising the subordinates at work in order to guide and regulate their
efforts for the accomplishment of desired goals.

Importance of supervision:

1. Supervisor maintains day to day contact and maintains friendly relationship with workers.
A good supervisor acts as a guide, friend and philosopher to the workers.
2. Supervisor acts as a link between workers and management. He conveys the ideas of
management to the workers and he will avoids the conflict between employees and
management.
3. Supervisor plays a key role in maintaining group unity among workers placed under his
control.
4. Supervisor ensures performance of work according to the target set. He takes
responsibility for task achievement and motivates his workers effectively.
5. Supervisor provides good on the job training to the workers and employees.
6. A supervisor with good leadership qualities can build up high morale among workers.
7. A good supervisor analyses the work performed and gives feedback to the workers and he
will suggest them to improve their skills.
Motivation:

Meaning: It is an effective instrument used in the management to inspire the workforce and to
increase the willingness of the workers to work their assigned jobs and this process includes
motive, motivation and motivators.

Definition:
According to William G. Scout, motivation means a process of stimulating people to action to
accomplish desired goals.

Three key terms = motive, motivation, motivators.

Motive :
Inner state that energizes, activates and directs behaviour towards goals. Arises out of unsatisfied
needs and causes restlessness.

Motivation :
Process of stimulating people to action to accomplish desired goals.

Motivators: Technique used to motivate people. E.g. = bonus, promotion, recognition etc.

Features of Motivation:
1. Motivation is an internal feeling – The urge, drives, desires, aspirations, striving or needs
of human being which are internal, influence human behaviour.

2. Motivation produces goal directed behavior – The promotion in the job may be given to
employee with the objective of improving his performance. If the employee is interested in
promotion, it helps to produce behaviour to improve performance.

3. Motivation can be either positive or negative – The positive motivation provides positive
rewards like increase in pay, promotion, recognition etc., negative motivation uses negative
means like punishment, stopping increments threatening etc., it also induces the person to
act in the desired way.

4. Motivation is a complex process – The individuals are heterogeneous in their expectations,

perceptions and reactions. Any type of motivation may not have uniform effect on all the
members.

Motivation process:
Unsatisfied need—Tension—drives—Search behaviour—Satisfied need—Reduction of tension

Importance of motivation:
1. Motivation helps to improve performance levels of employees as well as the organisation.
2. It helps to change the negative or indifferent attitudes of employees to positive attitudes to
achieve organizational goals.
3. It helps to reduce employees turn over and thereby saves the cost of new recruitment and
training.
4. It helps to reduce absenteeism of employees through proper motivation process in the
organisation.
5. It helps managers to introduce changes smoothly without much resistance from people.

Maslow’s Need Hierarchy theory of motivation :

 - Physiological or Safety needs – These are the most basic needs for the survival of each and
every individual like food, clothing, shelter etc, once these needs are satisfied means he
thinks about another wants.

- Safety or security needs – These needs are very important for security and survival of every
persons and these needs are arises only when the physiological needs are satisfied like
insurance policy etc.

- Affiliation or Belonging or Social needs – These needs include belongingness, association,

acceptance, friendship and love. These things are become very important for individuals after
they satisfied with physiological and safety needs.

- Esteem needs – Once the above three needs are satisfied then esteem needs are arises and it
includes self esteem, recognition, status, achievement etc. these things are dominate only
when individual satisfied with safety needs.

- Self-Actualization needs – This need arises only when an individual satisfied with esteem
needs. It includes esteem, status, recognition, achievement etc to reach the specified goals of
individuals.

When this theory is applied to an organization means manager first responsibility is to make sure
the deficiency needs of the employees should be met according to as above mentioned needs and
this will increases the performance of the employees in the organization.

Self actualisation needs

Esteem needs

Affiliation/ Social needs

Safety /Security needs

Basic physiological needs

Financial and Non financial benefits to motivate the employees:

Financial incentives: This incentives refers to, which are in direct monetary form or measurable in
monetary term and serve to motivate people for better performance.

a. Pay and allowances – It includes basic pay, dearness allowances and other allowances
including salary to the employees.
 b. Productivity linked wage incentives – Several wage incentives plans aims at linking
payment of wages to increase in productivity at individual or group level.

c. Bonus – It is an incentive offered over and above the wages or salary to the employees.

d. Profit sharing – The share of profit should be given for the employees out of organizational
profit to motivate them.

e. Co-partnership/Stock option – Under this incentives scheme employees are offered

company shares less than the set price to the employees to increase their monetary
condition. In Infosys the scheme of stock option has been implemented as a part of
managerial compensation.

f. Retirement Benefits – The retirement benefits such as provident fund, pension and gratuity
provide financial security for the employees after their retirement.

g. Perquisites – In many companies perquisites and fringe benefits are offered such as car
allowances, housing, medical aid, and education to the children’s etc.,

Non-financial incentives: The benefits other than monetary benefits are provided to the employees
are called as non financial incentives such as psychological, social and emotional factors.

a. Status – In the organisation context status means ranking of positions in the organisation
and all benefits to the employees indicates the status given to them in the organisaton.

b. Organizational climate – The organizational climate influence the behaviour of individuals

in the organisation so, management should maintain proper organizational climate by
satisfying employees needs and wants.

c. Career advancement opportunity – Every individual wants to grow to the higher level in the
organisation and managers should provide opportunities for their development.

d. Job enrichment – It is concerned with designing jobs that include greater variety of work
content, requires higher level of knowledge and skills and from this activity employees
performance can be improved rather than regular performance.

e. Employee recognition programmes – The management should appreciate the employees for
their efficient working performance in the organisation then only employees will get
motivated.

f. Job security – The management should provide job security for the employees for their long
term and it will increase the morale of employees to do the activities.

g. Employee participation – As per this management should allow the employees to take
decisions regarding managerial activities to improve their performance.

h. Employee empowerment – It means giving more autonomy and powers to subordinates and
this helps to employees to feel their job is important and to work effectively.

Leadership:

Meaning: It is an activity which influences the behaviour of employees which is directed towards
the organizational objectives.

Definition: According to Koontz and O’Donnel, “leadership is the ability of a manager to induce
sub-ordinates to work with confidence and goal”.
Features of leadership:
1. Leadership indicates ability of an individual to influence others.
2. It tries to bring changes in the behaviour of others.
3. It indicates interpersonal relationship between leaders and followers.
4. It is exercised to achieve common goals of the organisation.
5. It is a continuous process.

Importance of Leadership:

1. It influences the behaviour of people and makes them to positively contribute their
energies for the benefit of the organisation.
2. A leader maintains personal relations and helps followers in fulfilling their needs with more
support.
3. Leader plays a key role in introducing required changes to overcome from the problems
4. A leader handles conflicts among the employees by taking necessary action.
5. A leader provides training to the subordinates to perform the assigned task effectively.

Types of leadership:

1) Autocratic leadership – In this style of leadership where the leader tends to run the whole
organization by himself and he does not delegate authority and he wants his subordinates to
work according to his orders.

2) Democratic or Participative leadership – It is also one of the types of leadership where the
leader seeks suggestions and opinion from the subordinates and allows them to participate
in decision making and in its implementation.

3) Laissez faire or Free run leadership – In this leadership all authority or power is given to
staff and they have to determine goals to make decisions and resolve problems by their own.

4) Bureaucratic leadership – Here the leaders strictly follows the rules, procedure of the
organization and also he insists to his subordinates to follow the same and he follows the
tagline like “let us hold on to the rules”.

Qualities of a successful leader:

1) Honesty – He should be honest in the organization and his honesty will make his sub-
ordinates follow him.

2) Ability to delegate – A successful leader is one who has the ability to delegate the authority
and responsibility to his subordinates. It will helps to lead effective management.

3) Communication – He must be a good communicator because to communicate idea, decisions,

and orders to the subordinates.

4) Confidence – He should be self confident and should be able to create confidence among his
subordinates.

5) Willingness to take risk – He must be willing to take any risk is happened in the organization.

6) Positive attitude – He should possess the positive attitude towards achieving goals and same
towards his subordinates.

7) Creativity – A leader should think beyond the existing possibilities. New ideas may bring best
results to the organization.
 8) Initiative – A leader must be an initiator. He should be the first in planning and implementing
new ideas, decision, policies, events etc.

9) Passion – Great leader is passionate about his work and he passes this quality to
subordinates too.

10) Courage – Leader should always be bold to accept challenges and new responsibilities of the
organization.

11) Emotional Stability – A leader must be able to control his emotions and sentiments.

12) Art of management – A leader should have the art of understanding and managing the
subordinates.

13) Generosity – He should be bighearted in praising the good work and activities of his
subordinates.

14) Ability to listen – He should be a good listener. He must listen the superior’s words as well as
his subordinate’s suggestions.

Communication:

Meaning: It is the art of transmitting information, ideas and attitudes from one person to another
and it is a process of meaningful interaction among human beings.

Definition: According to George Terry, “Communication is an exchange of facts, ideas, opinions or

emotions by two or more persons”.

Elements of communication:

i. Sender: the person who conveys his thoughts or ideas to receiver.

ii. Message: Ideas, feelings, suggestions, order etc. intended to be communicated.
iii. Encoding: the process of converting the message into communication symbols such as
words/pictures etc.
iv. Media: Path or channel through which encoded message is transmitted to receiver.
v. Decoding: Converting encoded symbols of the sender.
vi. Receiver: Who receives the communication of the sender.
vii. Feedback: All the actions of receiver indicating that he has received and understood the
message of the sender.
viii. Noise: Some obstruction or hindrance to communication like poor telephone connection,
inattentive receiver.

Importance of communication:

a) Acts as a basis of Co-ordination – The organization wants to achieve their goals and
objectives means they need co-ordination among the employees and communication can
create such co-ordination among the employees.

b) Helps in Smooth working of an enterprise – The good communication ensures smooth and
uninterrupted of an organization by proper flow of information.

c) Acts as basis of decision making – It is necessary to collect facts and information in order
to make prompt decisions and this can be done through effective communication.

d) Increases managerial Efficiency – Managerial functions like planning, control. Co-

ordination, motivation cannot be discharged without proper communication.
 e) Promotes Co-operation and industrial peace– It helps in promoting co-operation and
mutual understanding between the people and effective communication system helps the
management to convey the organizational goals, policies, procedures etc.

f) Establishes effective leadership – By developing good communication skill a manager can

lead the management effectively and it shows the effective leadership.

g) Increases productivity – A good system of communication helps the management to achieve

the maximum productivity with minimum cost and wastage.

h) Boosts Morale and provide motivation – Good communication improves good industrial
relations and ensures participative and democratic pattern of management.

Formal and informal communication:

Formal communication – It takes place within an organization by following the prescribed or

official rules, policies and regulations of the organization.

Formal communication networks:

a. Single chain – This network exists between a supervisor and his subordinates. The
communication is flows from superior to subordinate through single chain.

b. Wheel – In wheel network, all subordinates under one superior to communicate through him
only and he acts as a hub of the wheel.

c. Circular – In circular network, the communication moves in a circle and each of them
communicate with their two adjoining persons.

d. Free flow – In this network, each person can communicate with others freely and with speed.

e. Inverted V – In this network, a subordinate is allowed to communicate with his immediate

superior as well as his superiors superior.

Informal or grapevine communication – It does not follow any authority lines as in the case of
formal organization.

Informal communication is sometimes called the grapevine as it spreads throughout the

organisation and might be observed occurring in conversations, electronic mails, text messages and
phone calls between socializing employees.

Informal communication networks:

 a. Single strand network - each person communicates to the other in a sequence.
b. Gossip network – In this each person communicate with all on non selective basis.
c. Probability network – The individuals communicates randomly with other individual.
d. Cluster network – The individual communicates with only those people whom he trusts and
this network is popular in organisation.

Barriers of effective communication: Communication barriers are the problems that arise at
every stage of the communication process and have the potential to create misunderstanding and
confusion.

1) Physical barriers: These are also called as environmental barriers. These barriers just cause
disturbance which leads to miscommunication.

a. Distance – If the communication taking place between the sender and receiver over long
distance means there is no clarity and it may lead to miscommunication.

b. Noise – This hides the smooth flow of information or message. In factories, loud noise of
machines makes oral communication very difficult.

c. Physical arrangement – The arrangement of men, materials, machine and money

resources in the organization disturbs the smooth flow of communication.

2) Semantic barriers: This arises when difficult and multiple uses of languages, words, figures,
and symbols.

a. Language – The communication takes place in different languages means the receiver may
not able understand it so it create some problem.

b. Use of technical words or Jargons – The use of technical words in communication

hampers the whole communication process as receiver may not be able to understand
those words.

3) Organisational barriers – These are arises within the organization.

a. Poor planning – Absence of well defined communication policy will make the employees
hesitate to communicate and it creates barriers to communication.

b. Structure complexities – Difficult organizational structure is a barrier for free flow of

information.

c. Status differences – In the organization every persons having their own status so this may
lead barriers of communication without exchanging the information.

d. Organisational distance – Distance between sender and receiver also creates barriers to
effective communication.

e. Information overload – If superior provides too much information to the subordinates in

short period means receiver suffers from information overload.

f. Timing – If the information is not provided in time means it creates problem.

4) Psychological barriers – It is also known as emotional barriers. The importance of

communication depends on the mental condition of both receiver and sender. If any person
got disturbed by mentally means he cant communicate properly.

a. Perception – Perception means the way in which people respond or interpret the object.
Perceptual difference is a very common problem in communication.
 b. Filtering – Communication sometimes filters the negative information to make favourable
to the receiver. In this process some valuable information may be lost.

c. Distrust – if there is a lack of trust in between the receiver and the sender means the
receiver will always perceive negative meaning from the message.

d. Emotion – Sometimes personal emotional of a person leads to miscommunication.

e. Viewpoint – It is also creates barriers to effective communication. If the receiver does not
hear the message intentionally means the message may create obstructions.

Methods to overcome communication barriers:

1) Clarity of ideas – Here the sender of the message should be very clear in his mind about
what he wants to convey so, he should properly organise the message to be sent.

2) Communicate according to the needs receiver – The sender should organise the message
which should be understandable by the receiver.

3) Consult others before communication – While planning the message, the sender can derive
suggestions from all the persons concerned which contribute to success of the entire
communication system.

4) Be aware of language, tone and content of message – The sender must frame the message
in clear language and tone of the message should not hurt the feelings of the receiver and
also the message should be brief.

5) Convey things of help and value to the listener – The matter of the message should be
needful to the receiver.

6) Ensure proper feedback – The sender should adopt proper method of feedback to check
whether the receiver has understood the message properly or not.

7) Consistency of message – There should be consistency in the message and it must be in

accordance with the objectives, policies, programmes and techniques of the organization.

8) Follow up communication – The management should follow the communication in order to

have effective communication system in the organization.

9) Be a good listener – The success of communication system is possible only when the
receiver must be a good listener.