Management Process Management Process and Organizational And

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MANAGEMENT PROCESSMANAGEMENT PROCESS

AND ORGANIZATIONALAND ORGANIZATIONALBEHAVIOURBEHAVIOUR

MANAGEMENT PROCESSMANAGEMENT PROCESS

AND ORGANIZATIONALAND ORGANIZATIONALBEHAVIOURBEHAVIOUR

PGDIB 103PGDIB 103

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What is Management?Management is the process of designingand maintaining an environment in whichindividuals, work together in groups to

accomplish their aims effectively andefficiently.OrManagement is the art of knowing what youwant to do and then seeing that it is donein the best and cheapest way.

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What is Management?• Management is a process. It is a process of carrying out theessential functions of planning, organize, staffing, leading andcontrolling.

• Management applies to every kind of organization, whether it is

government, profit making or non profit making organizations.• It applies to managers at all levels in the organization.

• The aim of all managers is the same: To create surplus

• Management is concerned with productivity : This implieseffectiveness and efficiency.

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Management• Our own scriptures- the Bhagavad Gita, the Vedas, the epicsand even the fables speak a lot on management in detail. Fore.g. Sahaviryam Karavavahai (Rig Veda) which means “Let usget strengthened together by working together”, underlinethe true spirit of teamwork in a working environment.

• When things are outside our control , we apply the Indianconcept of actions divorced from desire and thus to de-stress the self. Niskhama Karma Yoga states that one mustperform one’s own work, without expecting a result(2.47Sankhya Yoga, Bhagavad-Gita )

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Leadership and Integrity:

A Lesson from the Mahabharata  After the Mahabharata war is over, while Bheeshma is lying on the bed of arrows waiting for an appropriate

time to die, Krishna sends the victorious Yudhishthira to his grandsire to learn about life, about human natureand about leadership from the dying man who was a master of every major branch of knowledge known to manthen. He tells an ancient story about Narada and Prahlada.

Prahlada the Asura was then emperor of all the three worlds, conquered by the power of his integrity. As italways happens, Indra becomes jealous of Prahlada’s power and feels shaky – there is the threat of losing histhrone to someone like the mighty Asura. For the throne of Indra belonged to the man who had the highestcharacter, who performed the most difficult austerities. Indra assumes the form of a Brahmin and goes to

Prahlada and serves him as a disciple, with the desire to learn from him the secret of his success. Indracontinues to serve Prahlada and eventually the Asura emperor, pleased with the devotion shown and theservice rendered, asks his disciple to ask for a boon, not knowing he is Indra.

Initially Indra refuses politely, saying that all his desires have been fulfilled. But when Prahlada insists, heasks: “If you are pleased with me, Emperor, please give me your character,  your integrity.”

Prahlada is shaken by the request, but he grants the boon since he had offered it: after all, that is what aman of integrity does. Indra accepts the boon and goes away.

Soon Prahlada sees a dazzlingly lustrous being emerging from his body and leaving him.

When Prahlada asks him who he is, the being tells him that he is Sheela [Hindi: Sheel .Integrity], and he isLeaving him because Prahlada has given him away. “I shall now happily live,” Sheela  

adds, “in the Brahmin to whom you have given me away.”

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Leadership and Integrity:

A Lesson from the Mahabharata  Soon Prahlada sees another radiant being emerging from his body. Asked who he is, the being

introduces himself as Dharma : virtue and righteousness. After Dharma too leaves him, tellinghim he is going to join Integrity to live in the body of the Brahmin since he, Dharma, lives onlywhere Integrity is. Soon Prahlada finds another effulgent being emerging from him, this timeSatya , Truth, and then another, Vritta , Uprightness, and then yet another Bala , Strength, allleaving him one by one to live in the Brahmin, following Integrity.

Following Bala , it is a splendorous goddess that emerges from Prahlada’s body and when asked

she tells him she is Shree , the goddess of wealth, prosperity, good fortune and all else that isauspicious. Shree tells Prahlada that she had on her own come and begun living in his body, butnow she had no choice but to leave him, because she always followed Integrity, Virtue, Truth,Uprightness and Strength.

Answering Prahlada’s question, she also tells him the Brahmin was none other than Indra, Indrahas robbed him of his Integrity and where Integrity is not, there can be no Dharma, no Truth,no Morality, no Strength and no wealth, prosperity or good fortune.

“dharmah satyam tatha vrttam balam chaiva tathapyaham 

sheelabhoota mahaprajna sada nastyatra samshayah.” - Mahabharata 12.124.62“Learns from this story and practice what it says,” Bheeshma tells Yudhishthira

concluding the story about the importance of integrity to a leader.

Yudhishthira sums up the lesson he has learnt from his grandsire: Sheelam pradhanam purushe . Integrity is the most important thing in man.

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Concept of Management• Management as a discipline

• Management as a group of People

• Management as a process

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Features of Management• Organized activities

• Existence of objectives

• Relationship among resources• Working with and through people

• Decision making

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Functions of Management• Planning- It involves selecting missions and objectives and the actions to

achieve them.

• Organizing- It involves establishing a structure of roles for people to fillin an organization and ensuring that all the tasks necessary toaccomplish goals are assigned to people who can do them best.

• Staffing- It involves the process of filling positions in the organizationstructure.It involves recruitment, selection,appraisal, training etc.

• Leading- It is influencing of people so that they can contribute to the

organization and group goals.• Controlling- It is measuring and

• correcting of activities of subordinates to

• ensure their conformity.

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Management and

AdministrationVarious approaches

1. Administration is above management;

2. Administration is a part of management;

3. Management and Administration are same.

Administration- Administration is that phase of a business enterprisethat concerns with the overall determination of institututional objectivesand the policies necessary to be followed in achieving those objectives.Management on the other hand is an executive function which is primarilyconcerned

with carrying out broad policies laid down by the administration.

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Difference between Administration & Management 

• Top level

• Policy formulation &

objectivedetermination

• Determinative

• Broad & conceptual

• External factors

• Entrepreneurs &owners

• Administrative 

• Middle & lowerlevel

• Policy executionfor objectiveachievement

• Executive• Narrow &

operational• Mostly internal• Employees• Technical

Basis of difference Administration Management

1. Level in org.

2. Major focus

3. Nature of functions

4. Scope of functions

5. Factors affecting

decisions

6. Employer-employee

relation

7. Qualities required

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Top Managerial Roles Interpersonal Roles- The leader role, The liaisonrole(communicating, particularly with outsiders, The

figurehead role( performing ceremonial and social dutiesas the organization's representative.

Decision Roles- The entrepreneurial role, the disturbancehandler role, the negotiator role etc.

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Nature of Management• Multidisciplinary

• Dynamic Nature of principles

• Relative not Absolute Principles• Management; Science or Art

• Management as profession

• Universality of Management

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Importance of

Management• Effective utilization of Resources

• Development of Resources

• To Incorporate Innovations• Integrating Various Interest Groups

• Stability in the society

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Evolution of Management

thoughtThough the practice of management candefinitely be traced back to ancient time say during

the era of building huge

structures like pyramids in Egypt or temples inIndia or the churches, but the formaldiscipline of management as we find it today

evolved only during the later part ofnineteenth century.

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Systems approach to

ManagementEvery business organization is a part of industryand has to operate in a given economic systemand society. It receives inputs, transforms

them and exports the output to theenvironment. The various inputs aretransformed through the managerial functionsinto outputs. So ,any business must be

described as an open system.

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System’s approach

Inputs Transformation Process Outputs

External Environment

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Contingency approachContingency or situational approach isthat there cannot be a particular

management action which will besuitable for all situations. Rather, anappropriate action is one which isdesigned on the basis of environmentand internal states.

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What do you mean by

Organizational Behaviour Organizational Behaviour is a field ofstudy that investigates the impact thatindividuals, groups and structure have onbehaviour within organisations, for thepurpose of applying such knowledgetoward improving an organization’s

effectiveness.

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Contributing disciplinesOrganization Behavior. There are

mainly six disciplines that contribute

to the body of organizationalbehavior viz. psychology, sociology,

social psychology, anthropology and

economics

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Models of OrganizationalBehavior

There are 4 models of OB

• Autocratic - The basis of this model is power with a managerialorientation of authority. The employees in turn are oriented towardsobedience and dependence on the boss. The employee need that ismet is subsistence. The performance result is minimal.

• Custodial - The basis of this model is economic resources with amanagerial orientation of money. The employees in turn are orientedtowards security and benefits and dependence on the organization.The employee need that is met is security. The performance result ispassive cooperation. 

• Supportive - The basis of this model is leadership with a managerialorientation of support. The employees in turn are oriented towards

 job performance and participation. The employee need that is met isstatus and recognition. The performance result is awakened drives.

•  

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Models of OrganizationalBehavior

• Collegial - The basis of this model is partnershipwith a managerial orientation of teamwork. Theemployees in

turn are oriented towards responsible behaviorand self-discipline.

The performance result is moderate enthusiasm.

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Organizational behavior –Casestudy

Too nice to People  John has graduated from the college of Business administration at

State Universityand has joined his family’s small business, whichemployees twenty-five semi skilled workers.During the first week onthe job, his dad called him in and said: “ John, I’ve had a chance toobserve you working with the men and women for the past two daysand,although I hate to, I feel I must say something. You are just too

nice to people. I know they taught you that human relations stuff atthe university, but it just doesn’t work here. I remember when wediscussed the Hawthorne studies when I was in school and everybody atthe university got all excited about them, there is more to managingpeople than just being nice to them.

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If you were John how would you explain toyour father the new perspective that isneeded and how the study of

organizational behavior will help thebusiness be successful in the new Paradigm?