CHAPTER I

INTRODUCTION TO
MANAGEMENT
Course Content
Management Concepts
Meaning and functions
Types of managers
Managerial roles and skills
Organization and management
Changing perspectives of organization
What is MANAGEMENT ?
 CONCEPT OF MANAGEMENT
Management is to manage human and other resources
tactfully for the achievement of organization goals.
It is an exercise of harmonizing men, money, machines,
materials, and methods towards fulfilling a defined
objectives.
Whenever and wherever people worked together in
groups- to grow crops, to fight wars, to build buildings,
buy and sell etc – there was a management
Management is getting things done through others
Management involves coordinating and overseeing the
work activities of others so that their activities are
completed efficiently and effectively.
 DEFINITION OF MANAGEMENT

According to Koontz O Donnel, “Management is the art of

getting things done through and with people in formally organized
group”

According to Ricky W. Griffin, “ Management is a set of

activities(including planning and decision making, organizing,
leading and controlling) directed at an organization’s
resources(human, financial, physical and informational) with the
aim of achieving organizational goal in efficient and effective
manner”

According to Taylor, “ Management is the art of knowing what

you want to do and then seeing that it is done in the best and
cheapest way”
CHARACTERISTICS OF MANAGEMENT

Management is purposeful activity

Management is goal oriented
Management is a universal activity
Management is dynamic activity
Management coordinates all activities and resources
Management is an art and science
Management as a Profession
Management as Multi- disciplinary
1. Management is a goal-oriented process:
An organisation has a set of basic goals which are the
basic reason for its existence. These should be simple
and clearly stated. Different organisations have
different goals.
• For example, the goal of a retail store may be to
increase sales, but the goal of The Ministry of
Education is to impart education to all nations.
2. Management is all pervasive:
• The activities involved in managing an enterprise are
common to all organizations whether economic, social
or political.
• A petrol pump needs to be managed as much as a
hospital or a school. • What managers do in India, the
USA, Germany or Japan is the same. • How they do it
may be quite different. This difference is due to the
differences in culture, tradition and history.
3. Management is Multidimensional
1.Management of work: All organisations exist for the
performance of some work. In a factory, a product is
manufactured, in a garment store a customer’s need is
satisfied and in a hospital a patient is treated.
2.Management of people: Despite all developments in
technology “getting work done through people” is still a
major task for the manager. Managing people has two
dimensions (i) it implies dealing with employees as
individuals with diverse needs and behaviour; (ii) it also
means dealing with individuals as a group of people
3.Management of operations: No matter what the
organisation, it has some basic product or service to
provide in order to survive. This requires a production
process which entails the flow of input material and
the technology for transforming this input into the
desired output for consumption.
4. Management is a continuous process:
Organizations are going concerns. In other words, they
are established for an indefinite period of time.
Management is concerned with identifying the
organizational problems and solving them with best
possible measures. Hence, management is a continuous
process which exists as long as the organizations exists.
PROCESS AND FUNCTIONS OF MANAGEMENT
The process of management consist of management function
which the managers are supposed to perform. The major
functions of management are as follows:
 Planning
 Organizing
 Staffing
 Leading
 Leadership
 Motivation
 Communication
 Controlling
PROCESS AND FUNCTIONS OF MANAGEMENT
 Planning: It is regarded as the prime function of management.
It involves selecting the objective, policies, procedures and
program to achieve the expected outcome.

 Organizing: This function of management is necessary to

arrange and allocate work, authority and responsibility and
distributing resources among the organizational departments
and members so that people can perform better.

 Staffing: Staffing involves recruitment, selection, appointment

and placement of right person to the right job.
PROCESS AND FUNCTIONS OF MANAGEMENT
 Leading: Leading is influencing and motivating people to
perform task for goal achievement. Leading consist of the
following activities-
 Leadership: It is the process of guiding and influencing the
work of subordinates to willingly and enthusiastically
contribute toward goals.
 Motivation: It is the act of stimulating people to contribute
at some higher rate for higher productivity.
 Communication: It involves flow of information from top to
bottom, bottom to top and at horizontal and lateral levels
 Controlling: Controlling is the process of setting a standard,
measuring actual performance with that of planned
performance and taking corrective action.
 MANAGERIAL HIERARCHY/LEVELS OF
MANAGEMENT

A hierarchy is an organizational structure in which posts are

ranked accordingly to levels of importance. It refers to the
arrangement of managerial positions in an organization. The
common managerial hierarchies are as follows:

 Top Level Management

 Middle Level Management
 Lower Level Management
MANAGERIAL LEVELS

Top Level
Management
Middle Level
Management

Lower Level Management

 MANAGERIAL HIERARCHY/LEVELS OF
MANAGEMENT
Top Level Management: They are the highest level of
management. They have the overall responsibility for the
survival, growth and welfare of the organization. They are
responsible for the overall activities of the organization. Ex:
BOD, CEO, GM, MD etc
Middle Level Management: Middle levels mangers
implement strategies, policies and plans developed by top
managers. They are responsible for supervising and controlling
the activities of goals. Ex: Departmental Head
Lower Level Management: Lower level managers are
responsible for implementation and control of operational
plans. They directly supervise the activities of subordinates.
Ex: Supervisors, foreman
 TYPES OF MANAGER

Manager

On the Basis of Level On the Basis of

of Management Nature of Job

1. Top Level Manger 1. Generalist

2. Middle Level Manager
Manager 2. Functional
3. Lower Level Manager
Manager 3. Staff Manager
 TYPES OF MANAGER
A. On the basis of level of Management
1. Top Level Manager: The managers from the top level
management are called top level manager. They have the
overall responsibility for the survival, growth and welfare of
the organization.
2. Middle level Managers: The managers from middle level
management are called middle level manager. They are
responsible for supervising and controlling the activities of
goals.
3. Lower Level Manager: The managers from lower level
management are called lower level manager. They directly
supervise the activities of subordinates
 TYPES OF MANAGER
B. On the basis of Nature/ Area of Managerial Job
1. Generalist Manager: Managers who perform different types
of jobs in an organization as per the requirement are called
generalist managers. They do not specialize in any specific
area. But they have to look after the overall activities of the
Organization. CEO, GM, MD etc are fall under this category.
2. Functional Manager: Managers who specializes in specific
areas of activities are functional managers. In practice, all
department heads of a business firm are functional managers.
Their authorities, duties and responsibilities are already
described in the job description and are accountable for the
performance of their own department or unit.
 TYPES OF MANAGER
B. On the basis of Nature/ Area of Managerial Job
3. Staff Manager: They are professionals are experts in a specific
area of business. They are given no specific formal position in
management level. They provide guidance and suggestions to
both generalist and functional managers on the basis of
requirement. Legal advisors, external auditors, management
consultants are examples of staff managers.
 MANAGERIAL SKILLS
A skill refers to the proficiency or ability of a person to
perform the given responsibility. All mangers need managerial
skills and abilities to perform various management functions.
The following three are the main managerial skills

 Conceptual Skill
 Human Skill
 Technical Skill
 Newly added i.e. (2 skills added)
 Diagnostic skill
 Political management skill
 MANAGERIAL SKILLS
 Conceptual Skill: This is the skill of top level managers which
is essential for making plan, policies, procedures and programs
to attain the organizational mission. Conceptual skills are
required to analyze and understand complexities of the
organization.
 Human Skill: Human skills refers to the ability of managers to
communicate with people, involve people at work, satisfy
people with the proper reward system, understand problems of
people working in organization and allocate roles and
responsibility.
 Technical Skill: Technical skills refers to the ability and
knowledge in using the equipments, techniques and procedures
in performing specific tasks or a specialized field.
SKILLS NEEDED AT DIFFERENT MANAGEMENT
LEVELS
 ROLE OF A MANAGER/MANAGERIAL ROLE

A role is an organized set of behaviors. Henry Mintzberg has

identified ten (10) sub roles common to the work of all the
mangers.

Their roles are divided into three groups:

 Interpersonal
 Informational and
 Decisional Roles.

According to Mintzberg, managerial roles are as follows:

 MANAGERIAL ROLES

 Interpersonal Roles
• Figurehead
• Leader
• Liaison
 Informational Roles
• Monitor
• Disseminator
• Spokesperson
 Decisional Roles
• Entrepreneur
• Disturbance handler
• Resource allocator
• Negotiator
 ROLE OF A MANAGER/MANAGERIAL ROLE
A. Interpersonal Roles: The interpersonal roles are roles in
which managers develop and maintain relationship. Interpersonal
roles consist of :
 Figurehead: Managers being the head of a unit of an
organization represent their organization in ceremonial and
symbolic activities as a figurehead.
 Leader: A manager has to act as a leader in the organization. He/
she has to select and train employees, co-ordinate different
departments, rewards the best performance and motivate and
encourage employees.
 Liaison: This role involves activities related to maintaining
contacts with outside organizations and with community. It is the
public relation roles of manager. The role involves co-ordination
of activities.
 ROLE OF A MANAGER/MANAGERIAL ROLE
B. Informational Role: This role involves information
management. Information role consist of
 Monitoring Role: This role deals with information gathering
that is of value to organization, environmental scanning is done
for monitoring purpose. Managers will try to monitor, assess
and collect the required information to make planning and
direction.
 Disseminator: This role involves transmitting necessary
information, communicating information to organizational
members. It can be written or oral, formal or informal.
 Spokesperson: This role involves transmission of information
outside the organization, managers act as spokesperson of the
organization.
 ROLE OF A MANAGER/MANAGERIAL ROLE
C. Decisional Roles: These roles involves decision making
to solve problem, they are,
 Entrepreneur Roles: This role involves initiating new
ideas to improve organizational performance.
 Disturbance Handler: This involves taking corrective
action to cope with adverse situation like strike, natural
disaster etc, managers respond to crisis situation.
 Resource Allocators: This role involves allocating human,
physical and monetary resources to meet organization’s
needs.
 Negotiator Role: This role involves negotiating with trade
unions or any other stakeholders.
 CHANGING PERSPECTIVE OF MANAGEMENT
Every organization establishes, exits and performs its function
within the changing environment. They have to modify their
existing business lines and also need to search for new lines of
business on the basis of social demand, expectation and
opportunities created by the environment. The following are
the changing perspective on present organizations :-
1. Mechanistic Perspective 7. Workforce Diversity
2. Organic Perspective 8. Technological change
3. System Perspective 9. Knowledge Intensity
4. Cultural Perspective 10. Corporate Social Responsibility
5. Learning Perspective 11. Address to consumer Mindset
6. Global Perspective 12. Product Design, Quality & Service
 CHANGING PERSPECTIVE OF MANAGEMENT
1. Mechanistic Perspective: This is the traditional perspective on
organization, as per this, organization is viewed as a machine.
Activities are routinized through fixed working hours,
production schedule, planning and control. There is a formal
hierarchy of authority, who operates in a predictable and stable
environment. The limitation of this perspective is its lack
environmental adaptability. It does not motivate workers, strict
controls lead to unsatisfied workers. It discourages creativity
and initiative. Human potential and capabilities are not
properly utilized.
2. Organic Perspective: This is the modern perspective on
organization. organization is viewed as an adaptive social –
psychological system, human interaction at work are regarded
important. organization is flexible to changing moods of
situation and the prime goal is organizational effectiveness.
 CHANGING PERSPECTIVE OF MANAGEMENT
3.System Perspective: The system perspective views
organizations the collection of parts united by prescribed
interaction and designed for accomplishing specific goals or
general purposes. This system views that all the components of
an organization are interrelated and that changing one variable
might impact many others. Organization are viewed as open
system continually interacting with their environment.
4. Cultural Perspective: This perspective views organization as
cultural system shared values, norms of behavior, beliefs,
customs and symbols guide employee behavior. Culture helps
to understand what the organization stands for, what it
considers important and how it functions, it defines what is
acceptable and what is unacceptable in the organization.
 CHANGING PERSPECTIVE OF MANAGEMENT
5. Learning Perspective
This perspective views organization as a learning system,
modern organizations are knowledge based. Knowledge is
their power base. They share ideas and experiences in such
organization people at all levels, individual or collectively are
continually increasing their capacity to produce results they
care about
6. Global Perspective
This perspective views organization as borderless, it operates
in many countries of the world. Organization use
standardized technology in their operation and compete
globally. Organization prepare strategic plans, they adapt their
plans to local conditions of each country for implementation.
MCQ:
1. Which of the following is not a common way of
defining management?
a) As a process
b) As a noun
c) As a philosophy
d) As a discipline
2.Which of the following is not a feature of
management?
e) Goal oriented b. Dynamic function
c. Uni-disciplinary d. Continuous process
MCQ
3. Which is not a major principle of management?
a) Division of work
b) Equity
c) Diversity of command
d) Scalar of Chain
4.Which of the following types of manager is mainly
responsible for quality and quantity of output?
a. Top level managers b. Middle level
c. Lower level d. staff managers
5. Which of the following types of managers are not
assigned a particular type of jobs?
a) Generalist managers
b) Staff managers
c) Functional managers
d) Middle level
6. Which of the following is not informational role of
managers?
a. Monitor roles b. Disseminator roles
c. Spokesperson roles d. Negotiator roles
7. Which of the following is the newly added
managerial skill?
a) Technical skill
b) Human skill
c) Diagnostic skill
d) Conceptual skills
8. Who summarized the function of management as
POSDCORB?
a. Gulick b. Koontz
c. Drucker d. Griffin
9. Which of the following function is related to
establishment of standard and measuring actual
performance?
a) Planning
b) Controlling
c) Directing
d) Staffing
10. What is called the organization which is skilled at
managing knowledge?
a. Knowledge organization b. Learning organization
c. Flexible d. Modern
Ans
1. C
2. C
3. C
4. C
5. A
6. D
7. C
8. A
9. B
10. B
 ASSIGNMENTS

Define “ Management” ? Explain the functions of

management.
Explain about the skills and role of a manager.
Explain the changing perspective of management.