Professional Documents
Culture Documents
MODULE-2
Introduction to management
Evolution of management theories
Management functions- POLC framework
Understanding organization design
Organizational culture & Typical organizations in Built
Environment
Organization Strategy, Goals , values, ethics and Structure,
Corporate Culture and Ethics in a Global environment
Organizational conflicts- power and politics
Organizational decision making
Understanding the role of a manager and a leader,
Organizational Metrics.
Major Approaches to Management
Deming
and Juran
Industrial Revolution
Principles
1. Develop a science for each element of an individual’s work to replace the old
rule-of-thumb method.
2. Scientifically select and then train, teach, and develop the worker.
3. Heartily
cooperate with the workers to ensure that all work is done in
accordance with the principles of the science that has been developed.
4. Divide
work and responsibility almost equally between management and
workers. Management does all work for which it is better suited than the workers.
Principles
1. Division of work. Specialization increases output by making employees more
efficient.
2. Authority. Managers must be able to give orders, and authority gives them this
right.
3. Discipline. Employees must obey and respect the rules that govern the
organization.
4. Unity of command. Every employee should receive orders from only one superior.
5. Unity of direction. The organization should have a single plan of action to guide
managers and workers.
6. Subordination of individual interests to the general interest. The interests of
any one employee or group of employees should not take precedence over the
interests of the organization as a whole.
7. Remuneration. Workers must be paid a fair wage for their services.
Principles
8. Centralization. This term refers to the degree to which subordinates are involved
in decision making.
9. Scalar chain. The line of authority from top management to the lowest ranks is
the scalar chain.
10. Order. People and materials should be in the right place at the right time.
11. Equity. Managers should be kind and fair to their subordinates.
12. Stability of tenure of personnel. Management should provide orderly
personnel planning and ensure that replacements are available to fill vacancies.
13. Initiative. Employees allowed to originate and carry out plans will exert high
levels of effort.
14. Esprit de corps. Promoting team spirit will build harmony and unity within the
organization.
Built on the basis of classical theory and is modified, improved and extended version
of classical theory.
It gives a greater emphasis to man behind the machine.
It pointed out the role of psychology and sociology in the understanding of individual
as well as group behavior in an organization.
The 2 theories are Human relation, Behavioral theory.
Hawthorne studies: a series of studies during the 1920s and 1930s that provided new insights into
individual and group behavior
Elton mayo and his associates –did a research in western Electrical plant in Chicago
( 1927 -34 )
The expt. Conducted are:
• Illumination expt
• Relay assembly test room expt
• Bank wiring room expt
• Mass interviewing programme.
Human Resource
perspective- Looked as
the aspect of motivation
in job design. Two
distinct theories and
Douglas :
Abram Maslow-
Maslow’s
McGregor- Theory
X&Y
Total quality management (TQM): a philosophy of management that is driven by continuous improvement
and responsiveness to customer needs and expectations
1. Intense focus on the customer. The customer includes outsiders who buy the
organization’s products or services and internal customers who interact with and serve others
in the organization.
2. Concern for continual improvement. Quality management is a commitment to never
being satisfied. “Very good” is not good enough. Quality can always be improved.
3. Process focused. Quality management focuses on work processes as the quality of
goods and services is continually improved.
4. Improvement in the quality of everything the organization does. This relates to the
final product, how the organization handles deliveries, how rapidly it responds to complaints,
how politely the phones are answered, and the like.
5. Accurate measurement. Quality management uses statistical techniques to measure
every critical variable in the organization’s operations. These are compared against standards
to identify problems, trace them to their roots, and eliminate their causes.
6. Empowerment of employees. Quality management involves the people on the line in the
improvement process. Teams are widely used in quality management programs as
empowerment vehicles for finding and solving problems.
System: a set of
Closed systems:
interrelated and
systems that are Open systems:
interdependent
not influenced by systems that
parts arranged in a
and do not interact interact with their
manner that
with their environment
produces a unified
environment
whole
Exhibit 1-6 shows the relationships of conceptual, human, and technical skills to managerial levels.
Exhibit 1-2 shows the three common characteristics of organizations: distinct purpose, deliberate
structure, and people.
Management involves coordinating and overseeing the work activities of others so that their activities are
completed efficiently and effectively.
Whereas efficiency is concerned with the means of getting things done, effectiveness is concerned with
the ends, or attainment of organizational goals.
Planning: Defining
goals, establishing Organizing: Arranging
strategies to achieve and structuring work to
goals, and developing accomplish
plans to integrate and organizational goals
coordinate activities
Exhibit 1-4 shows the four functions used to describe a manager’s work: planning, organizing, leading,
and controlling.
POLC FRAMEWORK
Introduction-Planning
► When managers organize, they determine what tasks are to be done, who is to
do them, how the tasks are to be grouped, who reports to whom, and where
decisions are to be made.
LEADING
Functions of Leading
► Leading is an essential management process. The three main
Creating alignment
Creating engagement
Setting direction
► Direction setting can be defined as 'fixing the purpose and the
have to move. Directions lack flexibility and the one who issues it
has to change it
► Controlling
► Defined as measuring and correcting of performance to achieve
►Activities are put on rails by planning and they are kept at a right
place through controlling.
The process of planning and controlling works on systems approach,
which is as follows:
Planning --> Results --> Corrective Action (through control)
► Enables decentralisation
► Assists co-ordination
defined as the gap between actual performance and the planned targets.
► Taking remedial actions: Once the causes and extent of deviations are
known, the manager has to detect those errors and take remedial
measures.
business.
► If a manager controls everything, he / she ends up controlling nothing.
► Cost standards
► Capital standards
► Revenue standards
► Programme standards
► Intangible standards
► Goals as standards
cases.
► It is due to information technology.
required:
► Identify important input variables.
► Review regularly to see whether the input variables are identified and the
go awry.
► Objectivity of controls
► Flexibility
► Economy of controls
Exhibit 1-4 shows the four functions used to describe a manager’s work: planning, organizing, leading,
and controlling.
MONITOR: Collecting information from organizations, both from inside and outside of the
organization.
Identifiable activities: reading periodicals and reports, maintaining personal contacts.
DISSEMINATOR: Transmits information received from outside or from other subordinates to members
of the organization.
Identifiable activities: holding informational meetings, making phone calls to relay information.
FIGUREHEAD: obliged to perform a number of routine duties of a legal and social nature.
Identifiable activities: greeting visitors, signing legal documents.
LEADER: Responsible for the motivation and activation of subordinates, responsible for
staffing, training and associated duties.
LIAISON: Maintains self-developed network of outside contacts and informers who provide
favors and information. Liasoning with external bodies and public relation activities.
Technical skills
• Knowledge and proficiency
in a specific field
Conceptual skills
• The ability to think and Human skills
conceptualize about • The ability to work well
abstract and complex
with other people
situations concerning the
organization