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ESSENTIALS OF MANAGEMENT
UNIT -1
BASICS OF MANAGEMENT
BYS.Chandramouli
Assistant professor Saveetha Management SchoolSaveetha Engineering College
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What Is Management? Management
The planning, organizing, leading, and controllingof human and other resources to achieveorganizational goals effectively and efficiently.
Managers The people responsible for supervising the use of
an organizations resources to meet its goals.
Resources are organizational assets People Skills Knowledge
Information
Raw materials Machinery Financial capital
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Types of Managers
Levels of Management First-line managers Responsible for day-to-day operations. Supervise people
performing activities required to make the good or service.
Middle managers
Supervise first-line managers. Are responsible to find the bestway to use departmental resources to achieve goals.
Top managers Responsible for the performance of all departments and have
cross-departmental responsibility.
Establish organizational goals and monitor middle managers. Form top management team along with the CEO and COO.
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Levels of Management
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DEFINITION OF Management
Management art of Getting thingsdone by a group of people with the
effective utilization of resources.
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Management Definitions
Management is an organ; organs can be described and defined only
through their functions - Peter F. Druckers
To Manage is what is to forecast and plan, to organize, toCompound, to co-ordinate, and to control - Henry Fayols
art of knowing what do you want to do and then seeing that it is done inthe best and cheapest way - F.W. Taylor
process of designing and maintaining of an environment in whichindividuals working together in groups, efficiently accomplish selectedaims - Koontz and Weihrich
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CHARACTERSTICS OF MANAGEMENT
Economic ResourcesGoal oriented
Distinct process
Integrative forceSystem of authority
Dynamic function
Social processManagement make things happen
Intangible forces
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MANAGEMENT SCIENCE OR ART?
ScienceOrganized or systematized body of knowledge
pertaining to a specific field of enquiry
ArtApplication of knowledge and personal skills to
achieve results
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Develops by knowledge
Definitive
Explains the cause effect
relationships between variables
Lays downs universal laws and
principles, which remain valid in
all situations
SCIENCE OR ART
Develops practice acquired throughobservation and experimentation
Descriptive
Explanation is based on person's
own understanding and interpretation
Laws and principles are not of
universal nature and their validity
will differ from situation to situation.
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Administration & Management
Administration that part of the management process
concerned with the institution and carrying out of procedures by which the program is laid down &communicated, and the progress of activities is regulated& checked against targets & plans.
Management a social process entailing responsibility forthe effective & economical planning & regulation of theoperations of an enterprise, in fulfillment of a given purpose
or task.
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Concept of Management
Management may be defined as a process wherebyscarce resources (human, material, & financial) are
combined to achieve organizational goals. Withoutmanagement, people would pursue their own objectivesindependently and this would lead to waste &inefficiency.
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Four Functions of Management
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Functions of Management
Planning
Organising
Coordinating
Staffing
Directing
Reporting
Budgeting
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Considering Planning Premises
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Formulating Supportive Plans
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A
B
C
D
E
TIME
DIFFERENT PHASES OF PLANNING
l b h d f
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Control by Punishment instead ofharassment
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DIRECTINGbuilding an effective work climate and creating opportunity for
motivation , supervising, scheduling and discipline
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Copyright 2004 McGraw-Hill. All rights reserved .
1 27
Being a Manager
Brevity
High Variety Fragmentation
ManagerialProblems
Compensation to be a manager
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Copyright 2004 McGraw-Hill. All rights reserved .
1 28
Managerial Skills
Conceptual Skills The ability to analyze and diagnose a situation and
distinguish between cause and effect.
Human Skills The ability to understand, alter, lead, and control
the behavior of other individuals and groups.
Technical Skills The specific knowledge and techniques required
to perform an organizational role.
What should be the right thing?
How can we do better?
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Decision making is defined as selection of a course of action fromamong alternatives to achieve a desired goal
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Decision making is a selection process.The best alternative is selected out ofmany available alternatives.
Decision making is a goal orientedprocess. Decision are made to achievesome goal or objective.
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Decision may be positive or negative. Adecision may direct others to do or notto do.
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Based on occurrence
Programmed decisions Non Programmed decisions
Based on location
Organizational decisions Personal decisions
Based on person
Individual decisions Group decisions
Based on Information
Routine Decisions Strategic Decisions
Based on Implementation
Policy decisions Operative Decisions
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DECISIONMAKER
Who will bemy ????
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PLANNING
Where the org. wants to be in future Defining goals for future organizational performance Deciding on the tasks and use of resources
Deciding in advance which will be done in the nearfuture
Lack of planning or poor planning hurts an
organisations performance
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ORGANISING Typically follows planning Reflects how the org. tries to accomplish plans Involves assignment of tasks
Grouping of tasks into departments Assignment of authority Allocation of resources across the org.
Provides all facilities necessary to perform the work.
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LEADING Motivate employees to achieve organisational goals Creating a shared culture and values Communicating goals to employees and creating
desire to perform at higher level Involves motivating entire dept.s, divisions and
individuals to work immediately with the manager
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CONTROLLING Monitoring employees activities Determining whether the org. is on target to attain
its goals
Make corrections if necessary Ensure that the achieved objectives conform to pre-
planned objectives
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HENRY FAYOL 1841 - 1925
BASICALLY FROM BRITISH COUNTRY
14 PRICIPLES OF ADMINISTRATION
THOUGHTS
MANAGERS WERE BORN NOT MADE
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DIVISION OF LABOUR
AUTHORITY DISICIPLINE
UNITY OF COMMAND
UNITY OF DIRECTION
REMENURATION
SUBBORDINATION OF INDIVIDUAL INTEREST TO THE COMMON GOOD
CENTRALIZATION
HIERARCHY
ORDER
EQUITY
STABILITY OF STAFF
INITATIVE
ESPIRIT DE CORPS
HENRY FAYOL 14 PRINCIPLES
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OLIVER SHELTON
DEVELOPED A SOUND PERSONAL POLICY
FRANK B. GILBRETH & LILLIAN BILBRETHTHE BEST WAY TO WORK
EDWARD TREGASKISS ELBOURNEBASICALLY ENGINEER, INDUSTRIAL ADMINISTRATION
B.S ROWNTREE
ESTABLISHMENT OF PENSION FUND
ELTON MAYO
TO IMPROVE HUMAN RELATION IN INDUSTRYHENRY GANTT
IMPORTANCE OF HUMAN FACTORS IN THE MANAGEMENT LIKE BONUS
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THANK YOU!!!