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Table of Contents

Table of Contents.............................................................................................................................1

What is management?.................................................................................................................3

Functions of a manager...............................................................................................................3
Planning______________________________________________________________3
Organizing____________________________________________________________3
Staffing_______________________________________________________________4
Motivating (Leading)____________________________________________________4
Controlling____________________________________________________________5

Organization Structure hierarchy..........................................................................................6

Top Level Management__________________________________________________6
Middle Level Management________________________________________________7
Bottom level management / First Line Managers/Supervisor_____________________7

What is planning?............................................................................................................................7
Types of Plans__________________________________________________________8
Short Range Plans........................................................................................................8
Intermediate Plans........................................................................................................8
Long Range Plans........................................................................................................8
Man power Plans..........................................................................................................8
Production Plans..........................................................................................................8
Marketing Plans...........................................................................................................8
Tactical Plans...............................................................................................................8

Process of Planning.......................................................................................................................8
Setting objectives_______________________________________________________9
Situational Analysis_____________________________________________________9
Environmental Opportunities______________________________________________9
Course of Action_______________________________________________________9
Budgetary Allocations___________________________________________________9
Implementation and review______________________________________________10

What is organizing?......................................................................................................................11
Types of Organization__________________________________________________11
Goals of an Organization________________________________________________12

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Environment of an Organization.............................................................................................12
Internal Environment___________________________________________________12
External Environment___________________________________________________12

Skills Required by Manager.....................................................................................................13

Organization__________________________________________________________13
Multitasking__________________________________________________________13
Discretion and Business Ethics____________________________________________13
Dual Focus___________________________________________________________13
Employee Trust________________________________________________________14
Fairness______________________________________________________________14
Dedication to Continuous Improvement_____________________________________14
Strategic Orientation____________________________________________________14
Team Orientation______________________________________________________14

Leadership .......................................................................................................................................15
Leadership Styles______________________________________________________15
Autocratic____________________________________________________________15
Democratic___________________________________________________________15
Job-Centered/ Production-centered (Likert)__________________________________16
Employee-centered (Likert)______________________________________________16
Reality-Centered (Argyris)_______________________________________________16
Declarative___________________________________________________________16
Theory X_____________________________________________________________17
Theory Y ____________________________________________________________17
Charismatic Leadership_________________________________________________17

The Product Life Cycle................................................................................................................18

Introduction Stage______________________________________________________18
Growth Stage_________________________________________________________19
Maturity Stage________________________________________________________19
Decline Stage_________________________________________________________20

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What is management?
Management means different things to different a person, that’s the reason that it has
been defined by various scholars in different manners and from different perspectives.
Some views agree management is an activity which applicable to any type of
organization (profitable, non-profitable) where individuals are involved as a
group to achieve certain goals.
Some of the definitions put the term management in a very simple way saying,
” management is making others do some work”.
Some of the views also say that it is an organized effort of the individuals in an
organization for the achievement of certain goals.

According to the activities performed by a manager many times such definitions are
found which are based on the activities done by managers.
Management is the process of designing and maintaining an environment in which
individuals, working together in group efficiently accomplish selected aims.

All the definitions mentioned are accurate at the degree of perspective of the postulator.
Since management is a social science. None can claim that which of the definition is
more accurate and more meaningful.

Functions of a manager

Planning
Selecting missions and objectives as well as the actions to achieve them
which requires decision making.
Plans are necessary to give an organization its goals and the way or
strategy to achieve those goals. The manager should set the objectives and
goals and make the best possible procedure to achieve those goals.

Planning may include functions like:

• The policies that will help to achieve objectives.

• The program that a manager will carry out.
• The procedure that the manager will utilize.
• The time settled for the achievement of goals.
• The budgetary considerations that will be involved.

Organizing
Establishing and intentional structure of roles for people to fill in an
organization.

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The manager should recruit skillful and qualified person who are best-fit
for the activities to be done. Once the staff is recruited to carry out the
work the manager should divide them in groups and teams and assign
them specific short term goals. These goals are small and less time
consuming which are easily achieved by these groups but when at the end
these small achievements are accumulated, they result in the achievement
of huge goals and objective.

Organizing may include:

• the manager should create groups and assign specific goals to them
• He must establish relationships between his employees this intermesh will
help in the provision of information between the employees and the
manager himself.
• He must study the relationship between different units and should
maintain progress reports. These progress reports will estimate the
successfulness of the activity.
Organizing is a never ending process. All types of organizations are always in
continual state of being reorganized. When goals and programs are changed the
activities are also changed and same will be with organizing.

Staffing
Filling and keeping filled the positions in the organization structure.
If the organization structure is complete and efficient it can assure the success of
an organization but if there are spaces between them. Or the authority and
responsibilities assigned to certain employees are not being fulfilled efficiently. It
may cause disturbance in the progress, efficiency and success of the whole
organization. If there are such cases. The manager should be immediate and quick
in outlining these elements and should adopt the best policy to deal and cope the
problem.
• the manger should maintain the performance reports time to time
• The manger should provide OJT.
• The manager should provide them the training of new technology and
methods of training.
• The manager should also provide university level conferences and classes
which enhances the ability of the employees to work better.

Motivating (Leading)
Influence people, so that they will contribute to organizational and group
goals.
Plans must be put into effect by people. The level of efficiency of any activity or
achievement of goal depends upon the level of motivation in the individuals. The
word motivation is not easy to achieve. It can not only be achieved by
inspirational words. The manger should provide them the enviorment in which
they are instigated by their inner to work harder. Some of the mangers create such

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drive force by giving the employees performance based incentives and bonuses,
titles, hanging pictures as a best employee and so on.
The characteristics of an environment which can unleash the force of motivation
in an individual are as following:
• The degree to which the employee perceives that the goals of organization
and his own goals are the same.
• The employee relationship with his coworkers and with his supervisor
must be pleasant at a degree that it creates and enthusiasm to work in an
employee.
• The job of the employee must meet his current needs and provide him the
security for future in a manner that he is afraid of losing his job.

Controlling
Measuring and correcting individual and organizational performance to
ensure that events conform to plans.
Through the controlling the manager can keep the organization on the
track before it deviates too far from its goals. Many times the individuals involve
in activities which are not a part of their goals. All the individuals should be goal
directed.
Controlling involves
Comparing actual events with the forecasts
Comparing results achieved with the objectives.
Measuring actual costs against budgeted cost.

When there are variations which are not supposed to be. The manager redirects
the individuals and groups toward the achievement of the goals.

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Organization Structure hierarchy

Executives or Top Level

management

Consultants,
Policy Promotion
recruiters,
designers mangers
Selectors etc

Sup2 Sup3 Sup4 Sup5 Sup6 Sup7 Sup8 Sup9

Sup1

In the above diagram we can see three levels of management

1. Top level management

2. Middle level management
3. Bottom level management

These levels of management divide the authorities and responsibilities amongst the
managers on different organizational level.
Below we will see the responsibility and enactment performed by each level of
Management.

Top Level Management

a. Develops and reviews longs range plans and strategies.

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b. Evaluate, analyze and scrutinize the overall performance of all the

departments and ensures healthy relations and collaboration.
c. Involve in the selection and recruitment of key positions.
d. Consult subordinate managers in general problems.

Middle Level Management

a. Make medium range plans and create the overview of long range plans for
the top management.
b. Analyzes managerial performance to determine promotions and hire and
fire.
c. Establishment of departmental policies
d. Review daily and weekly reports on production and sales.
e. Consults the subordinates on general issues and problems.
f. Selection and recruitment of personnel.

Bottom level management / First Line Managers/Supervisor

a. Make short range plans
b. Reviews performance of subordinates
c. Supervises day to day operations
d. Makes specific task assignment
e. Maintain close contact with operative employees.

What is planning?
Planning in short means getting ready to do something. it is the basic of all the
functions performed by a manger. A manager should be able to forecast about what can
happen tomorrow and according to the predictions he must be able to take advantage of
the opportunities and to be aware of threats.
Every manager should be able to plan effectively for example a manager should plan to
bring positive changes in organization. To innovate new products, to plan for the sales of
new products, to hire new technical staff and technology for increase and hi-fi
performance. The manager must be able to produce and sell more in less time and to
increase the utilization of the availed resources up to the maximum extent.
According to sir Ackoff planning means to architect a desired future and how to
bring it about. The definition is very concise and contains two components one is that it
will be a design for future second it talks about the strategies of how to make this desired
future a reality.

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Types of Plans

Short Range Plans

These plans commonly provide guidelines for day to day activities
in the organization. These ranges commonly cover maximum up to
one year.

Intermediate Plans
These are the plans which are used to help achieving the result of
the long range plans for example making franchises etc.

Long Range Plans

These are the main purposes of an organization commonly they are
designed to become a leader in the industry. These plans are made
and then they are divided in to small plans and projects and those
are called intermediate plans. Once intermediate plans are achieved
they are like building blocks for these long range plans.

Man power Plans

These plans are made in order to meet the need of man power of
employees they can be of short term as well as long term.

Production Plans
These are plans made to increase the production level or to
optimize the quality of the products. They may also contain new
techniques and methodology of brining innovation and new
techniques of productions.

Marketing Plans
These plans are made to improve the marketing wing of an
organization. The commonly explore the channels of marketing
how to target new markets and to attract new customers and make
long living customer relations.

Tactical Plans
These plans are made to answer the question that how to utilize the
resources of an organization for the best interest of the
organization. These resources can be financial resources or human
resources etc.

Process of Planning

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Setting objectives
Objectives are the targets for which planning is done. These are the
prime parts of a plan. Setting objectives is like a winning line for
an athlete. It is referred as a desired future. These objectives
provide the path which leads in achieving the organizational goals.
For example if a player wins the match. This win can give him the
cup. Same is with the objectives, if the objectives are achieved
they are as the whole goal is achieved for which the planning is
done. Objectives are vital for the process of planning because all
the efforts and hard work is done for the achievement of the
objectives. These are like the road map towards success.

Situational Analysis
This is the second step in the planning process. In this step the
planner must assess and appraise his weaknesses and strengths. It
is a very essential activity and must be done precisely to the points.
If there is some mistake it can even collapse the whole plan and the
organization will and must bear unbearable losses.

Environmental Opportunities
This step involves an appraisal and assessment of external
environment. Such as competition, market situation, government
policies, economic conditions, technology, current investment and
profit earning ranks etc.
Some of the scholars put both step two and three in one basket and
call them SWOT (Strength weakness opportunity and threat)
analysis.

Course of Action
Based on the assessment of internal and external environment and
goals in mind, a proper course of action must be designed. Course
of action de facto converts your ideas and perceptions in to formal
form or plan. It translates your perceptions about the opportunities
and threats. The course of action must be near to exact if not exact,
it should not engineered on the bases of false perceptions and
fool’s sandwiches. Once the course of action is build, its cost
should be compared with the benefits and risk elements must be
pointed out.

Budgetary Allocations
Once the best course of action is opted, the next step in planning
process is to set specific targets and allocate Resource. These
resources must be expressed in Quantitative manner.

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Budgets are allocation of resources in a proper manner; they help

us to assess the total cost of a plan. It also warns us if we are on
astray or if the plan is of raised bars as compared to our financial
position.

Implementation and review

The last step in the process of planning is to implement the course
of action. And to put short term pegs (objectives) and observe if
the course of action is practical and helpful in achieving our goals.
If the course of action is working perfectly then it should be carry
on and if there is any problem then the whole process is to be
scrutinized for the beginning and rectified the step necessary.

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What is organizing?
The term organization has been discussed from different perspectives with different
aspects of usage. Some of the writers think that is merely a collaboration of a group of
people for the achievement of some objectives or for the fulfillment of certain goals.
People from different walks of life have defined it according to their own views but there
are some factors which are found in common in all the definitions willingness to serve,
group of people, sharing common interest or objectives.

Types of Organization
There are various types of organization for example formal,
informal, profitable, unprofitable etc.

1. Formal organization
The type of organization which has a planned
structure with certain rules, laws, an effective
channel of communication, delegation of authorities
and responsibility, respect for each other with a
mission to achieve certain goals.
Examples: business organizations, government
organizations, certain social organizations.
2. Informal organization
These organizations are not formally planned and
there are no specific rules or responsibilities, these
organizations are created by the combination of
people who are having some common interests or
habits in general like a community of friends,
smokers, back benchers etc.

3. Profitable organization
These are groups of people, who put there efforts
and skills in order to earn profit. Like the laborers
of a production unit who combine there whole
efforts in order to bring out the production needs
against which they are rewarded with salaries and
incentives etc.
4. Non-profitable organizations
People who are not organized in order to earn profit
are called non-profitable organization. These
organizations are commonly social service
organizations who are to serve the humanity or they
may be government organizations in order to give
humans non-profitable services like polio
organization or population control department etc.

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Goals of an Organization
All the organizations are commonly made or they become for some
specific goals and these goals are in common of the interest of all
the members. These goals can be financial reward, French benefits,
incentives or psychological needs like love affection, brother hood
etc. all these goals can be divided into further three types.

1. Official
These goals are not confidential and are not harmful if expressed in
general masses and even some times they are required to be expressed.
Like the rules regulations of an organization, prospectus etc.

2. Operative
These are the goals which are aimed to rectify the working process of an
organization; they may affect the working speed, performance level and
quality management matters etc.

3. Operational
These are the measuring-points for the success of an organization. They
are like pegs of success and are commonly short term, once they are
approached the organization estimates the exact and acquired standard and
then analyzes the ratio if the ratio is effective then the goals are applied as
a permanent part of course of action if not then they are commuted

Environment of an Organization
The environment of an organization is divided into two types.
1. Internal Environment
2. External Environment

Internal Environment
The internal environment contains factors which are near to the
organization and almost under the control and influence of the
organization. Organization can easily improve them and innovate in the
current status of the organization. These factors include the technology of
present in the organization, labor, working system, process, raw material,
supplier and so on. If some problem arises in the internal environment the
organization can easily approach and rectify it.

External Environment
The external environment contains factors which are far more inaccessible
to the organization. Organization can neither control them nor influence
them as it wants. If there is some problem in the external environment it
can not be solved by the organization. Factors which can externally affect
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the organization are Demographics, Political conditions, competitors,

Government, financial institution, public, customers, etc.

Skills Required by Manager

There are various skills required by a manger to Perform effectively some of which are as
under.

Organization

Management requires an orderly approach. Organized files, strong time

management skills and personal efficiency are key to the Management.
You’re dealing with people’s lives and careers here, and when a manager
requests a personnel file or a compensation recommendation that lines up
with both the organization and the industry, it won’t do to say, “Hold on.
I’ll see if I can find it.”

Multitasking

Manager will deal with an employee’s personal issue one minute, a benefit
claim the next and a recruiting strategy for a hard-to-fill job the minute
after. Priorities and business needs move fast and change fast, and
colleague A who needs something doesn’t much care if you’re already
helping colleague B. You need to be able to handle it all, all at once.

Discretion and Business Ethics

Managers are the conscience of the company, as well as the keepers of

confidential information. As you serve the needs of top management, you
also monitor officers’ approaches to employees to ensure proper ethics are
observed. You need to be able to push back when they aren’t, to keep the
firm on the straight and narrow. Not an easy responsibility! Of course, you
always handle appropriately, and never divulge to any unauthorized
person, confidential information about anyone in the organization.

Dual Focus

Management professionals need to consider the needs of both employees

and management. There are times you must make decisions to protect the
individual, and other times when you protect the organization, its culture,
and values. These decisions may be misunderstood by some, and you may
catch flak because of it, but you know that explaining your choices might
compromise confidential information. That’s something you would never
do.

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Employee Trust

Employees expect manager to advocate for their concerns, yet you must
also enforce top management’s policies. The manager who can pull off
this delicate balancing act wins trust from all concerned.

Fairness

Successful Management professionals demonstrate fairness. This means

that communication is clear, that peoples’ voices are heard, that laws and
policies are followed, and that privacy and respect is maintained.

Dedication to Continuous Improvement

Manager needs to help, coach and develop their employees. The goal is
continued improvement and innovation as well as remediation. And
looking to their own houses, the Management professional also uses
technology and other means to continuously improve the Manger’s
function itself.

Strategic Orientation

Forward-thinking Management professionals take a leadership role and

influence management’s strategic path. In gauging and filling the labor
needs of the company, devising compensation schemes, and bringing on
board new skill sets leading to business growth, they provide the proof for
the often-heard management comment, “People are our most important
asset.”

Team Orientation

Once, companies were organized into hierarchies of workers headed by

supervisors. Today, the team is king. Managers must consequently
understand team dynamics and find ways to bring disparate personalities
together and make the team work.

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Leadership
A lot of research is done on the concept of leadership. The researchers have contributed
considerable amount of efforts and knowledge in order to clarify the exact meaning and
definition of leadership and therefore it has been defined by from different perspectives
by different scholars. Below are discussed some of the definitions and concepts proposed
by different scholars.
Leader ship is the ability to influence the thoughts and ideas of others in order to
achieve certain goals.
Or
Leadership is the ability which changes deviation to goal directed behavior.
Or
Leadership is the relationship between two lots of people one leader and the other
follower.
Or
Leadership style is the manner and approach of providing direction, implementing
plans, and motivating people.

Leadership Styles

Autocratic

This style is used when leaders tell their employees what they want done
and how they want it accomplished, without getting the advice of their
followers. Some of the appropriate conditions to use it is when you have
all the information to solve the problem, you are short on time, and your
employees are well motivated.
Some people tend to think of this style as a vehicle for yelling, using
demeaning language, and leading by threats and abusing their power. This
is not the authoritarian style, rather it is an abusive, unprofessional style
called bossing people around. It has no place in a leader's repertoire.
Such style of leadership is built by power. The subs are commonly
motivated by fear. When the leader asks a subordinate to do a task, the
subordinate is supposed to do the task without questioning.

Democratic

This style involves the leader including one or more employees in the
decision making process (determining what to do and how to do it).
However, the leader maintains the final decision making authority. Using
this style is not a sign of weakness; rather it is a sign of strength that your
employees will respect.

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This is normally used when you have part of the information, and your
employees have other parts. Note that a leader is not expected to know
everything. this is why you employ knowledgeable and skillful
employees. Using this style is of mutual benefit. it allows them to become
part of the team and allows you to make better decisions. The leader of
such style encourages the subordinates to take part in the decision making
group there is relation of respect and dignity amongst the lots of leading
and followers. Humans are valued as humans and not animals they are
motivated by fulfilling their needs (physiological, psychological).

Job-Centered/ Production-centered (Likert)

In this style of leadership the leader keeps his subordinates under pressure
and forces them by any mean to increase the production. The leader does
not focus on the human aspects of the subordinates. In this style the
production or performance is judged on daily bases and salaries and wages
are rounded off if there is a bit problem in the achievement of daily
production performance.

Employee-centered (Likert)

Under this style the subs are given the freedom to do the job as they would
please to do. There is no pressure and unnecessary influence from the
leader. The objectives and the duration of achievement is made clear to the
subs and they are given freedom to achieve the goals the way which is
more feasible and convenient to them. Good performance is praised as
well as rewarded with bonuses and incentives.

Reality-Centered (Argyris)

According to this view the proponent says that the leadership style should
be adopted according to the situation. If the subordinates are obtuse or
blunt and are not willing to work the way they should do then there should
be punishment for them, and if they are willingly interested in their jobs
are good in their performance then they should be valued.

Declarative

In this style, the leader allows the employees to make the decisions.
However, the leader is still responsible for the decisions that are made.
This is used when employees are able to analyze the situation and
determine what needs to be done and how to do it. You cannot do
everything! You must set priorities and delegate certain tasks.

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This is not a style to use so that you can blame others when things go
wrong, rather this is a style to be used when you fully trust and confidence
in the people below you. Do not be afraid to use it, however, use it wisely!

Theory X

This view was proposed by Mc Gregor he said that these are the basic
views which leaders have about their subs. Leaders who are in favor of
theory x think that average people are dull and don’t want to work and it is
a human inheritance so they should be force in the way which suits best.

Theory Y
Leaders who are in favor of theory Y are more concerned with human
aspects. In this regard they think that humans are not machines and
therefore should not be forced or punished, instead they should be
motivated by incentives and bonuses. If they subs are given the best level
of self esteem they can also shoulder the responsibilities which they are
asked to.

Charismatic Leadership

A Charismatic leader is one who provides an environment full of energy

and positive reinforcement. If you are naturally charismatic, you are very
fortunate! This is a trait that is not so easily learned.
Charismatic leaders inspire others and encourage them to be their best.
Employees and group members want to impress a charismatic leader, so
they work hard and strive to succeed.

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The Product Life Cycle

A product's life cycle (PLC) can be divided into several stages characterized by the
revenue generated by the product. If a curve is drawn showing product revenue over time,
it may take one of many different shapes, an example of which is shown below:

Product Life Cycle Curve

The life cycle concept may apply to a brand or to a category of product. Its duration may
be as short as a few months for a fad item or a century or more for product categories
such as the gasoline-powered automobile.

Product development is the incubation stage of the product life cycle. There are no sales
and the firm prepares to introduce the product. As the product progresses through its life
cycle, changes in the marketing mix usually are required in order to adjust to the evolving
challenges and opportunities.

Introduction Stage

When the product is introduced, sales will be low until customers become aware of the
product and its benefits. Some firms may announce their product before it is introduced,
but such announcements also alert competitors and remove the element of surprise.
Advertising costs typically are high during this stage in order to rapidly increase
customer awareness of the product and to target the early adopters. During the
introductory stage the firm is likely to incur additional costs associated with the initial
distribution of the product. These higher costs coupled with a low sales volume usually
make the introduction stage a period of negative profits.

During the introduction stage, the primary goal is to establish a market and build primary
demand for the product class. The following are some of the marketing mix implications
of the introduction stage:

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• Product - one or few products, relatively undifferentiated

• Price - Generally high, assuming a skim pricing strategy for a high profit margin
as the early adopters buy the product and the firm seeks to recoup development
costs quickly. In some cases a penetration pricing strategy is used and
introductory prices are set low to gain market share rapidly.
• Distribution - Distribution is selective and scattered as the firm commences
implementation of the distribution plan.
• Promotion - Promotion is aimed at building brand awareness. Samples or trial
incentives may be directed toward early adopters. The introductory promotion
also is intended to convince potential resellers to carry the product.

Growth Stage

The growth stage is a period of rapid revenue growth. Sales increase as more customers
become aware of the product and its benefits and additional market segments are
targeted. Once the product has been proven a success and customers begin asking for it,
sales will increase further as more retailers become interested in carrying it. The
marketing team may expand the distribution at this point. When competitors enter the
market, often during the later part of the growth stage, there may be price competition
and/or increased promotional costs in order to convince consumers that the firm's product
is better than that of the competition.

During the growth stage, the goal is to gain consumer preference and increase sales. The
marketing mix may be modified as follows:

• Product - New product features and packaging options; improvement of product

quality.
• Price - Maintained at a high level if demand is high, or reduced to capture
additional customers.
• Distribution - Distribution becomes more intensive. Trade discounts are minimal
if resellers show a strong interest in the product.
• Promotion - Increased advertising to build brand preference.

Maturity Stage

The maturity stage is the most profitable. While sales continue to increase into this stage,
they do so at a slower pace. Because brand awareness is strong, advertising expenditures
will be reduced. Competition may result in decreased market share and/or prices. The
competing products may be very similar at this point, increasing the difficulty of
differentiating the product. The firm places effort into encouraging competitors'
customers to switch, increasing usage per customer, and converting non-users into
customers. Sales promotions may be offered to encourage retailers to give the product
more shelf space over competing products.

During the maturity stage, the primary goal is to maintain market share and extend the
product life cycle. Marketing mix decisions may include:

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• Product - Modifications are made and features are added in order to differentiate
the product from competing products that may have been introduced.
• Price - Possible price reductions in response to competition while avoiding a
price war.
• Distribution - New distribution channels and incentives to resellers in order to
avoid losing shelf space.
• Promotion - Emphasis on differentiation and building of brand loyalty.
Incentives to get competitors' customers to switch.

Decline Stage

Eventually sales begin to decline as the market becomes saturated, the product becomes
technologically obsolete, or customer tastes change. If the product has developed brand
loyalty, the profitability may be maintained longer. Unit costs may increase with the
declining production volumes and eventually no more profit can be made.

During the decline phase, the firm generally has three options:

• Maintain the product in hopes that competitors will exit. Reduce costs and find
new uses for the product.
• Harvest it, reducing marketing support and coasting along until no more profit can
be made.
• Discontinue the product when no more profit can be made or there is a successor
product.

The marketing mix may be modified as follows:

• Product - The number of products in the product line may be reduced.

Rejuvenate surviving products to make them look new again.
• Price - Prices may be lowered to liquidate inventory of discontinued products.
Prices may be maintained for continued products serving a niche market.
• Distribution - Distribution becomes more selective. Channels that no longer are
profitable are phased out.
• Promotion - Expenditures are lower and aimed at reinforcing the brand image for
continued products.

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