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MBA 011 MANAGING ORGANISATION
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MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

Jan 02, 2016

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Page 1: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

MBA 011MANAGING ORGANISATION

Page 2: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

MANAGING• TO COORDINATE MANPOWER, MATERIAL,

MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION.

• BY MANAGERS WHO HAVE KNOWLEDGE, SKILLS & LEADERSHIP TO ATTAIN OBJECTIVES.

• IS A PROCESS OF PLANNING, ORGANISING, STAFFING, LEADING & CONTROLLING.

• IS A SUBJECT OF STUDY WITH VARIOUS SPECIALISATIONS.

• IS A RULE MAKING AND ENFORCING BODY HAVING ITS HIERARCHY.

Page 3: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

ORGANISATION

IS A 1.CONSCIOUSLY CO-ORDINATED SOCIAL UNIT, 2.COMPOSED OF TWO OR MORE PERSONS, THAT 3.FUNCTIONS ON A RELATIVELY CONTINUOUS BASIS,

4.TO ACHIEVE COMMON GOALS.3

Page 4: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

EVOLUTION OF MANAGEMENT THOUGHT

• EARLY CONTRIBUTIONS:

1. MACHIAVELLIAN (1531) PRINCIPLES

1. AN ORGANISATION IS MORE STABLE IF MEMBERS HAVE THE RIGHT TO EXPRESS THEIR DIFFERENCES & SOLVE THEIR CONFLICTS WITHIN IT.

2. WHILE ONE PERSON CAN BEGIN AN ORGANISATION, IT IS LASTING WHEN IT IS LEFT IN THE CARE OF MANY & WHEN THEY DESIRE TO MAINTAIN IT.

3. A WEAK MANAGER CAN FOLLOW A STRONG ONE, BUT NOT ANOTHER WEAK ONE, AND MAINTAIN AUTHORITY.

4. A MANAGER SEEKING TO CHANGE AN ESTABLISHED ORGANISATION SHOULD RETAIN ATLEAST SOME OF THE ANCIENT CUSTOMS.

CONTD……

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EVOLUTION OF MANAGEMENT THOUGHT

EARLY CONTRIBUTIONS:

2. SUN TZU (2000 YEARS AGO):

1.WHEN ENEMY ADVANCES, WE RETREAT!

2.WHEN ENEMY HALTS, WE HARASS!

3.WHEN ENEMY SEEKS TO AVOID BATTLE, WE ATTACK!

4.WHEN ENEMY RETREATS, WE PURSUE!

Page 6: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

SCIENTIFIC MANAGEMENT (TAYLOR)

• BY F W TAYLOR (1856-1919), H.L. GANTT (1861-1919) & GILBERTHS (1864-1972)

• SCIENTIFIC MANAGEMENT: STATES THAT PRODUCTIVITY CAN BE INCREASED BY RAISING EFFICIENCY OF WORKERS THROUGH DETERMINING THE BEST METHOD FOR PERFORMING ANY TASK AND ALSO BY SELECTING, TRAINING & MOTIVATING WORKERS.

PRINCIPLES OF SCIENTIFIC MANAGEMENT (4)

1. THE DEVELOPMENT OF A TRUE SCIENCE OF MANAGEMENT, SO THAT THE BEST METHOD FOR PERFORMING EACH TASK CAN BE DETERMINED.

2. THE SCIENTIFIC SELECION OF WORKERS, SO THAT EACH WORKER WOULD BE GIVEN RESPONSIBILITY FOR THE TASK FOR WHICH HE OR SHE IS BEST SUITED.

3. THE SCIENTIFIC TRAINING & DEVELOPMENT OF THE WORKERS.

4. INTIMATE FRIENDLY COOPERATION BETWEEN MANAGEMENT & LABOUR

CONTD…..

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SCIENTIFIC MANAGEMENT

HOW DONE:

• TAYLOR BROKE EACH JOB INTO COMPONENTS & DESIGNED THE QUICKEST & BEST METHOD OF PERFORMING THE JOB

• ENCOURAGED EMPLOYERS TO PAY MORE PRODUCTIVE WORKERS AT HIGHER RATES THAN OTHERS (DIFFERENTIAL RATES OF PAYMENT AS PER PERFORMANCE)

CONTD…..

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SCIENTIFIC MANAGEMENT

GANTT: (1861-1919)

• INTRODUCED BONUS TO EVERY WORKER WHO FINISHED THE DAY’S ASSIGNED WORK; & TO SUPERVISOR FOR EACH WORKER WHO REACHED DAILY STANDARD & ALSO EXTRA BONUS IF ALL WORKERS REACHED IT.

• INTRODUCED CHART SYSTEM- BLACK FOR REACHING TARGET; RED FOR FALLING SHORT.(NOW BASIS FOR CRITICAL PATH METHOD (CPM)) & PROGRAM EVALUATION & REVIEW TECHNIQUE (PERT)

GILBRETHS: (1864-1972)

• CARRIED OUT FATIGUE & MOTION STUDIES- FOCUSSING ON WAYS OF PROMOTING THE INDIVIDUAL WORKERS WELFARE i.e. BY REDUCING FATIGUE & THUS RAISING MORALE.

CONTD…..

Page 9: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

SCIENTIFIC MANAGEMENT

RESULTSPOSITIVE:• PRODUCTION INCREASED RESULTING IN HIGHER PAY.• TECHNIQUES APPLIED TO MANY NON-INDUSTRIAL

ORGANISATIONS eg TRAINING OF SURGEONS, FASTFOOD CHAINS.

NEGATIVE:• WORKER’S UNIONS OPPOSED, FEARING IF WORKERS

WORK HARDER OR FASTER, THE WORK WILL BE OVER & SOME OF THEM MAY LOOSE JOB.

• HIGHER PRODUCTIVITY & THUS PROFITABILITY LED SOME MANAGERS TO EXPLOIT WORKERS & CUSTOMERS, SO MORE PEOPLE JOINED UNIONS CREATING SUSPICION & MISTRUST BETWEEN MANAGERS & WORKERS.

……….

Page 10: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

CLASSICAL THEORY

• CLASSICAL: MEANS SOMETHING TRADITIONALLY ACCEPTED OR LONG ESTABLISHED.

• ELEMENTS OF CLASSICAL THEORY:-

• INTER-RELATED FUNCTIONS:PLANNING, ORGANISING, STAFFING, DIRECTING & CONTROLLING.

• GUIDING PRINCIPLES:BASED ON PRACTICAL EXPERIENCE.

• BUREAUCRATIC STRUCTURE: HAS RULES, PROCEDURES, IMPERSONAL RELATIONS, HIERARCHY, AUTHORITY-RESPONSIBILITY.

• REWARD-PUNISHMENT NEXUS: FOLLOW THE RULES, OBEY THE ORDERS, SHOW THE RESULTS & GET THE REWARDS.

Page 11: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

BUREACRACY (MAX WEBER 1864-1920)

• ELEMENTS OF BUREAUCRACY:

• HIERARCHY

• DIVISION OF WORK

• RULES, REGULATIONS & PROCEDURES.

• RECORDS.

• IMPERSONAL RELATIONS.

• ADMINISTRATIVE CLASS.

Page 12: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

CLASSICAL ORGANISATION THEORY SCHOOL (BY FAYOL)

• EMPHASISES THAT MANAGEMENT IS A SKILL- WHICH CAN BE TAUGHT, & ONCE ITS PRINCIPLES ARE UNDERSTOOD, THESE THEN BECOME GUIDELINES FOR MANAGING LARGE ORGANISATIONS .• WHILE SCIENTIFIC MANAGEMENT IS

CONCERNED WITH INCREASING PRODUCTIVITY & EFFICIENCY OF WORKERS; THE CLASSICAL ORGANISATION THEORY BY FAYOL COVERS ALL ASPECTS OF MANAGEMENT.

CONTD….

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FAYOL’S 14 PRINCIPLES

1. AUTHORITY – OF MANAGER; FORMAL & PERSONAL2. DISCIPLINE- OF MEMBERS TO RESPECT RULES; 3. EQUITY- FAIRNESS TO SUBORDINATES.4. CENTRALISATION- DECENTRALISATION- AUTHORITY5. INITIATIVE- FREEDOM TO SUBORDINATES,6. DIVISION OF LABOUR- AS PER SPECIALISATION.7. ESPIRIT-DE-CORPS- TEAM SPIRIT; 8. UNITY OF COMMAND- EMPLOYEE TO RECEIVE ORDERS FROM

ONE SUPERIOR.9. REMUNERATION- COMPENSATION FOR WORK10. HIERARCHY- LINE OF AUTHORITY11. ORDER-MATERIAL AT THE RIGHT PLACE AT THE RIGHT TIME.12. UNITY OF DIRECTION- ALL HAVING SAME OBJECTIVE13. STABILITY OF STAFF- LESS TURN OVER OF MANPOWER.14. EMPLOYEE INTEREST- SUBORDINATE TO ORGANISATIONAL

INTEREST.…….

Page 14: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

MANAGEMENT SCIENCE SCHOOL

• DURING WORLD WAR II, THE BRITISH DEVELOPED OPERATIONS RESEARCH (OR) - (MATHEMATICAL TECHNIQUES FOR MODELLING, ANALYSIS AND SOLUTION OF PROBLEMS). THIS THEN DEVELOPED AS MANAGEMENT SCIENCE.

• MANAGEMENT SCIENCE SCHOOL EMPHASISES APPROACHING MANAGEMENT PROBLEMS THROUGH THE USE OF MATHEMATICAL TECHNIQUES FOR THEIR MODELLING, ANALYSIS AND SOLUTION, WITH COMPUTERS.

• WITH MATHEMATICAL MODELLING USING COMPUTERS AND CHANGING THE VARIABLES(COST, MATERIAL etc) MANAGERS CAN IMAGINE HOW THE FUTURE WILL LOOK LIKE.

• NOW ALL TYPE OF LARGE ORGANISATIONS USE COMPUTERS TO SOLVE COMPLEX PROBLEMS.

…………

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BEHAVIOURAL SCHOOL

• IT IS THE SCIENTIFIC METHOD OF STUDYING THE PEOPLE IN THEIR WORK ENVIORNMENT

• IT BROUGHT OUT TO NEW DIMENSIONS FOR MANAGEMENT AND ORGANISATIONS.1. PEOPLE ARE COMPLEX AND ORGANISATIONAL

RELATIONSHIP NEED TO SUPPORT THEM TO ‘SELF ACTUALISATION’.

2. NEEDS OF THE PEOPLE GENERALLY FOLLOW A HIERARCHY i.e. PHYSICAL, SAFETY, RESPECT etc. BUT COULD VARY. (MASLOW’S THEORY) AND BASED ON ASSUMPTIONS ABOUT PEOPLE AND THEIR APPROACH TO WORK (X & Y THEORY)

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BEHAVIOURAL SCHOOLHAWTHRONE EXPERIMETS &HUMAN RELATION

1. ILLUMINATION EXPERIMENT (1924-27)• PURPOSE: TO FIND EFFECT OF ILLUMINATION ON

PRODUCTIVITY

• HYPOTHESIS: WITH HIGHER ILLUMINATION, PRODUCTIVITY WOULD INCREASE.

• EXPERIMENT: TWO GROUPS

EXPERIMENTAL GROUP CONTROL GROUP

RESULT

INCREASED/ DECREASED LIGHT

SAME LIGHT BOTH GROUPS INCREASED PRODUCTION

• RESULT- ILLUMINATION DID NOT AFFECT PRODUCTIVITY

• CONCLUSION: NOT ILLUMINATION BUT HUMAN FACTOR WAS IMPORTANT FOR PRODUCTIVITY.

CONTD….

Page 17: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

2. RELAY ASSEMBLY TEST ROOM EXPERIMENT (1927-28)_•PURPOSE: TO FIND EFFECT OF CHANGES IN WORKING HOURS & OTHER WORKING CONDITIONS.•HYPOTHESIS: MORE WORKING HOURS WILL RESULT INTO MORE PRODUCTIVITY.•EXPERIMENT: SEPARATE RELAY ASSEMBLY TEST ROOM SET-UP. TWO GIRLS & FOUR MORE GIRLS OF THEIR CHOICE PUT IN THAT ROOM:-•REST PERIODS- 5 MINS – 10 MINS. ETC.•WORKING HOURS CHANGED/REDUCED.•RESULT: PRODUCTION INCREASED DESPITE REST PERIODS & REDUCED WORKING HOURS.•CONCLUSION: PRODUCTIVITY INCREASED DUE TO i) CHANGES IN ATTITUDE TOWARD WORK ii) STABILITY iii) SENSE OF BELONGINGNESS & RESPONSIBILITY iv) SELF DISCIPLINE & v) GOOD RELATIONS BETWEEN SUPERVISOR & GIRLS.

CONTD…

HAWTHRONE EXPERIMETS &HUMAN RELATION

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3. MASS INTERVIEWING PROGRAMME ( 1928-30)•PURPOSE:TO DETERMINE ATTITUDE OF EMPLOYEES TOWARDS COMPANY, SUPERVISION, PROMOTIONS, WAGES, INSURANCE PLANS ETC.•EXPERIMENT- INDIVIDUALS INTERVIEWED•CONCLUSION:•COMPLAINTS ARE SYMPTOMS OF SOME DISTURBANCE•SOCIAL DEMANDS ALONG WITH WORK ALSO NEED TO BE FULFILLED FOR SATISFACTION.•EVERYONE NEEDS SOME POSITION & POWER IN AN ORGANISATION.•THERE ARE PERSONAL PREFERENCES FOR CERTAIN JOBS ETC. SO PERSON-JOB FIT IS REQUIRED.

HAWTHRONE EXPERIMETS &HUMAN RELATION

Page 19: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

4. BANK WIRING OBSERVATION ROOM EXPERIMENT (1930-32)•PURPOSE: TO DETERMINE IF INCENTIVE PLAN OF MORE WAGES FOR MORE PRODUCTION IS SUCCESSFUL IN GROUPS.•HYPOTHESIS: MORE WAGES FOR MORE PRODUCTION WILL INCREASE TOTAL PRODUCTIVITY•EXPERIMENT: BANK WIRING WITH SAME SUPERVISORS & SAME AREAS OF WORK. INCENTIVES FOR MORE OUTPUT ANNOUNCED.•RESULT: NO INCREASE IN PRODUCTIVITY.•CONCLUSION: PRODUCTIVITY DID NOT INCREASE BECAUSE i) FEAR OF RAISING STANDARDS BY MANAGEMENT ii) PROTECTION OF SLOWER WORKERS iii) SOME WORKERS COULD BE PUT OUT OF EMPLOYMENT iv) SATISFATION OF MANAGEMENT WITH EXISTING OUTPUT v) FEAR AMONG EFFICIENT WORKERS OF BEING OUTCASTED.

CONTD…

HAWTHRONE EXPERIMETS &HUMAN RELATION

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• SOCIAL FACTORS IN OUTPUT;• GROUP INFLUENCE;• CONFLICT;• LEADERSHIP;• SUPERVISION; &• COMMUNICATION

IMPLICATIONS OF HAWTHRONE EXPERIMENTS

Page 21: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

SYSTEMS APPROACHCONCEPT:• IT VIEWS THE ORGANISATION AS A UNIFIED,

PURPOSEFUL SYSTEM COMPOSED OF INTER-RELATED PARTS (SUB-SYSTEMS).

• ACTIVITY OF ANY ONE PART OF THE ORGANISATION, AFFECTS IN VARYING DEEGREES, THE ACTIVITY OF EVERY OTHER PART. (EG PRODUCTION & MARKETING)

• A SYSTEM COULD BE ‘OPEN’ OR ‘CLOSE’, WILL HAVE ‘SUB-SYSTEMS’. ‘SYNERGY’ & ‘FLOW’ WORK WITHIN BOUNDARIES WITH FEEDBACK (eg CAR, HUMAN BODY).

……….

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SYSTEMS APPROACH-VOCABULARY

• OPEN AND CLOSED SYSTEM: IT IS OPEN IF IT INTERACTS WITH ITS ENVIRONMENT AND IS CONSIDERED CLOSED IF IT DOES NOT. AN ORGANISATION HAS TO ADAPT & RESPOND TO BOTH INTERNAL & EXTERNAL ENVIRONMENT.

• SYNERGY: MEANS WHOLE IS GREATER THAN THE SUM OF ITS PARTS i.e. WHEN THE PARTS ARE PROPERLY INTER-RELATED & MANAGED, THE OUTPUT IS MUCH GREATER THAN IT WOULD BE OTHERWISE.

CONTD……

Page 23: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

• FEEDBACK: IS CENTRAL TO ANY SYSTEM CONTROL SO AS TO ASSESS THE WORK OUTPUT & MAKE CORRECTIONS, IF NEEDED.

• ENTROPY: IS A PROCESS THAT LEADS TO SYSTEM

DECLINE & OCCURS IF FEEDBACK IS NOT MONITORED & THE REQUIRED ADJUSTMENTS ARE NOT MADE.

……..

SYSTEMS APPROACH-VOCABULARY

Page 24: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

USEFULNESS OF SYSTEMS APPROACH

• MAKES THE MANAGERS THINK & TAKE DECISIONS CONSIDERING THE SYSTEM AS A WHOLE (SCIENTIFIC, ADMINISTRATIVE , HUMAN RELATIONS etc.) & NOT IN PARTS.

• HELPS ORGANISATIONS TO MONITOR THEIR ENVIRONMENT, ADJUST TO CHANGES, AND CONTINUOUSLY BRING IN NEW INPUTS TO SURVIVE & PROGRESS.

LIMITATIONS:DOES NOT IDENTIFY SITUATIONAL DIFFERENCES AND EMPHASISES ONLY ON COORDINATION.

………

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CONTINGENCY APPROACH

• THE VIEW THAT THE MANAGEMENT TECHNIQUE THAT BEST CONTRIBUTES TO THE ATTAINMENT OF ORGANISATIONAL GOALS MIGHT VARY IN DIFFERENT TYPES OF SITUATIONS OR CIRCUMSTANCES.

• THE MANAGER’S TASK IS TO IDENTIFY WHICH TECHNIQUE WILL , IN A PARTICULAR SITUATION, UNDER PARTICULAR CIRCUMSTANCES AND AT A PARTICULAR TIME, BEST CONTRIBUTE TO THE ATTAINMENT OF MANAGEMENT GOALS.

• IT IS ALSO CALLED THE SITUATIONAL APPROACH.

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CONCEPT OF MANAGEMENT

DEFINITIONS:AS AN ECONOMIC RESOURCE

• ‘PRODUCTIVITY’ BY CO-ORDINATING – MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS. (ECONOMISTS CONCEPT)

AS A GROUP-

• A DISTINCT CLASS WITH ITS OWN STATUS SYSTEM eg ‘MANAGERS’ WHO HAVE KNOWLEDGE & SKILLS AND EXERCISE LEADERSHIP TO ACCOMPLISH OBJECTIVES BY DIRECTING OTHERS.(SOCIALOGIST CONCEPT)

Contd….

Page 27: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

MANAGEMENT- DEFINITION

AS A SYSTEM OF AUTHORITY

• A RULE MAKING & RULE ENFORCING BODY, HAVING ITS OWN HIERARCHY OF AUTHORITY (TOP, MIDDLE, FIRST LEVELS) (ADMINISTRATIVE CONCEPT)

AS A SEPARATE DISCIPLINE

• A FIELD OF STUDY OR SEPARATE DISCIPLINE WITH SEVERAL SPECIALISATIONS eg MARKETING, FINANCE, HUMAN RESOURCES(HR), INFORMATION TECHNOLOGY(IT), INTERNATIONAL BUSINESS(IB) (ACADEMIC CONCEPT)

Contd……

Page 28: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

MANAGEMENT DEFINITIONAS A PROCESS-i) PLANNING ii) ORGANISING, iii) STAFFING

iv) LEADING AND v) CONTROLLING & COORDINATING THROUGH

SOCIAL PROCESS: ESTABLISHING RELATIONS AMONG PEOPLE.

INTEGRATING PROCESS: HUMAN RESOURCES WITH NON-HUMAN RESOURCES;&

CONTINUOS PROCESS: IDENTIFYING PROBLEMS & SOLVING THEM.

AS AN ACTIVITY-

• WHAT MANAGERS DO –INFORMATIONAL, DECISIONAL, INTERACTIONAL etc (ACTIVIST CONCEPT)

• …………………

Page 29: MBA 011 MANAGING ORGANISATION. MANAGING TO COORDINATE MANPOWER, MATERIAL, MACHINERY, MONEY, METHODS & MARKETS FOR PRODUCTION. BY MANAGERS WHO HAVE KNOWLEDGE,

MANAGEMENT-NEED

ALL SIZES OF ORGANIZATIONS

SMALL LARGE

ALL AREAS OF ORGANISATIONS -

MANUFACTURING,MARKETING, HUMAN RESOURCES,

ACCOUNTING & INFORMATION SYSTEM-

ETC

ALL TYPES OF ORGANISATIONS

PROFIT NON PROFIT

ORGANISATION LEVELSBOTTOM TOP

MANAGEMENT IS NEEDED IN……………

FOR EFFICIENTLY & EFFECTIVELY ACHIEVING GOALS OF AN ORGANISATION

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MANAGEMENT- CONCEPT

MANAGEMENT IS THE PROCESS OF DESIGNING AND MAINTAINING AN ENVIRONMENT IN WHICH INDIVIDUALS WORKING TOGETHER IN GROUPS ACCOMPLISH THEIR GOALS EFFECTIVELY AND EFFICIENTLY.

•THE PROCESS CONSISTS OF PLANNING, ORGANISING, STAFFING, LEADING & CONTROLLING;

•IT IS REQUIRED FOR ALL TYPES OF ORGANISATIONS;

•IT APPLIES TO MANAGERS AT ALL LEVELS; &

•IT IS CONCERNED WITH PRODUCTIVITY– HENCE EFFECTIVENESS & EFFICIENCY IS IMPORTANT.

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NATURE OF MANAGEMENTUNIVERSAL PROCESS: APPLICABLE IN ALL TYPES OF ORGANISATIONS-(GOVT, BUSINESS, SCHOOLS, HOSPITALS, MILITARY AND AT ALL LEVELS).

PURPOSEFUL:TO ACHIEVE SPECIFIC GOALS / OBJECTIVES.

CREATIVE: OPTIMUM UTILISATION OF RESOURCES THROUGH EFFICIENCY TO ACHIEVE OBJECTIVES.

INTEGRATIVE: TO UNIFY INDIVIDUALS INTO TEAMS TO ACHIEVE INDIVIDUAL & ORGANISATIONAL GOALS.

CONTINUOS PROCESS: ALWAYS ON-GOING.

SOCIAL PROCESS: IT IS BY THE PEOPLE, THROUGH THE PEOPLE & FOR THE PEOPLE.

CONTD…..

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NATURE OF MANAGEMENT (CONTD)

INTANGIBLE: UNSEEN & INVISIBLE FORCE BUT RESULTS &

ACTIONS CAN BE SEEN.

GROUP PHENOMENON: GROUP EFFORT TO GET THINGS

DONE.

MULTI-DISCIPLINARY: HAS AREAS OF ENGINEERING,

SOCIOLOGY, ECONOMICS, ANTHROPOLOGY ETC.

BOTH ART & SCIENCE: APPLICATION OF KNOWLEDGE &

SKILLS BASED ON SOUND PRINCIPLES TO SOLVE

PROBLEMS.

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MANAGEMENT SKILLS1. TECHNICAL SKILLS:

• KNOWLEDGE & ABILITY TO USE TOOLS, EQUIPMENT, PROCESSESS, TECHNIQUES & PROCEDURES INVOLVED IN PERFORMING SPECIFIC TASKS/ JOBS/ THINGS.

• REQUIRE SPECIALISED KNOWLEDGE & PROFICIENCY- EXPERTS eg SURGEONS, ENGINEERS, ACCOUNTANTS, TECHNICIANS etc., &

• INVOLVE ‘JOBS’ ‘THINGS’.

2. HUMAN SKILLS:

• ABILITY TO ‘WORK WITH’, UNDERSTAND, & MOTIVATE, OTHER PEOPLE AS INDIVIDUALS OR IN GROUPS; TO WIN CO-OPERATION & BUILD EFFECTIVE TEAMS,

• UNDERSTAND MATTERS FROM OTHER’S POINT OF VIEW, &

• RESOLVE INTRA & INTER GROUP CONFLICTS.

CONTD…..

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MANAGEMENT SKILLS

3. CONCEPTUAL SKILLS:

• ARE ABILITY TO COORDINATE & INTEGRATE ALL INTRESTS & ACTIVITIES OF AN ORGANISATION, &

• INVOLVE UNDERSTANDING OF ABSTRACT IDEAS, CONSTRUCTING MODELS, RELATIONSHIPS AND ANTICIPATING CONSEQUENCES.

CONCLUSION:

• TECHNICAL SKILLS DEAL WITH JOBS; HUMAN SKILLS WITH PERSONS; & CONCEPTUAL SKILLS WITH IDEAS.

• THESE SKILLS ARE INTER-RELATED & ARE REQUIRED BY MANAGERS AT ALL LEVELS.

………….

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LEVELS OF MANAGEMENT

LEVELS:-

• DETERMINE AUTHORITY AND STATUS,

• NUMBER OF LEVELS DEPEND UPON SIZE & COMPLEXITIES OF AN ORGANISATION, &

• LEVELS ARE LINKED THROUGH CHAIN OF COMMAND/ REPORTING.

TOP LEVEL MANAGEMENT (EDs, VPs)

• MAKE LONG TERM STRATEGY, PREPARE BUDGETS & ALLOCATE RESOURCES,

• CREATE ORGANISATIONAL FRAMEWORK BY ASSIGNING RESPONSIBILITY & AUTHORITY,

• APPOINT KEY EXECUTIVES & DEPARTMENTAL HEADS, &

• REPRESENT ORGANISATION TO THE OUTSIDE WORLD & DEAL WITH EXTERNAL ENVIRONMENT.

CONTD….

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LEVELS OF MANAGEMENT

MIDDLE LEVEL MANAGEMENT(MANAGERs, HODs)

• PREPARE POLICIES BASED UPON STRATEGIES MADE BY TOP MANAGEMENT,

• PREPARE DEPARTMENTAL ORGANISATIONAL SET-UP,

• SELECT SUITABLE SUPERVISING PERSONNEL, &

• TRANSMIT ORDERS, DECISIONS & GUIDELINES TO CARRY OUT POLICIES & OPERATIONS.

CONTD….

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LEVELS OF MANAGEMENT

FIRST LEVEL MANAGEMENT(SUPERVISORY):

1. ASSIGN JOB TO WORKERS2. SUPERVISE & CONTROL WORKERS3. ASSIST & ADVICE WORKERS4. MAINTAIN DISCIPLINE5. ARRANGE MATERIAL6. DAY TO DAY OUTPUT

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RELATIVE SKILLS AT DIFFERENT LEVELS

TOPMANAGEMENT CONCEPTUAL HUMAN TECH.

MIDDLEMANAGEMENT

CONCEPTUAL HUMAN TECH

FIRST LINEMANAGEMENT

CONCEPTUAL HUMAN TECH.

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MANAGING IN PRESENT COMPETITIVE ENVIRONMENT

• INVENTING AND REINVENTING ORGANISATIONS FOR EFFICIENCY & EFFECTIVENESS

• GLOBALISATION (MNCs, e-MARKETS)• BUILDING MANAGEMENT CAPABILITY THROUGH

LEADERSHIP, FINANCES, INNOVATIONS, RELATIONSHIP & TECHNOLOGY.

• MERGERS & ACQUISITIONS (M&As) (MERGER IS BETWEEN TWO EQUALS ORGANISATIONS AND ACQUITION IS BY A BIGGER ONE, OF A SMALLER ONE

• DIVERSITY (DIFFERENT LANGUAGES , RELIGIONS , TASTES FASHIONS, GENDERS)

• ETHICAL HONESTY & SOCIAL RESPONSIBILITY