Topic 1- What is Management?

The Planning, Organizing, Leading,

and Controlling (PLCo) of human and
other resources to achieve
organizational goals effectively and
efficiently

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 Managerial Functions
 Managers at all levels in all
organizations perform each of the
functions of planning, organizing,
leading, and controlling {PLCo}

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 Four Functions of Management
P

O
C

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 Levels of Management

Figure 1.3
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 Types of Managers
First line managers (e.g. supervisor &
officer) - Responsible for day-to-day
operations. Supervise people
performing activities required to make
the good or service e.g. give instruction,
training, briefing, etc.

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 Types of Managers
First line managers
 Lowest level of management

Middle managers (e.g. Executive, Assistant

manager)–

Supervise first-line managers. They find

the best way to use departmental
resources to achieve goals (coordinator &
implement goal set by Top Manager)
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 Types of Managers

Top managers (e.g. GM, MD, CEO, President) -

Responsible for the performance of all
departments and have cross-departmental
responsibility. Establish organizational
goals and monitor middle managers

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 Managerial Roles and Skills
Managerial role - The set of specific
tasks that a person is expected to
perform because of the position he or
she holds in the organization

Mintzberg identified three categories of

roles – Decisional, Informational,
Interpersonal {diRi}
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 Decisional Roles
Roles associated with methods managers use in
planning strategy and utilizing resources.
Entrepreneur—deciding which new projects or
programs to initiate and to invest resources in.
Disturbance handler—managing an unexpected event
or crisis.
Resource allocator—assigning resources between
functions and divisions, setting the budgets of lower
managers.
Negotiator—reaching agreements between other
managers, unions, customers, or shareholders.

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 Informational Roles
Roles associated with the tasks needed to obtain
and transmit information in the process of
managing the organization.
Monitor—analyzing information from both the internal
and external environment.
Disseminator—transmitting information to influence
the attitudes and behavior of employees.
Spokesperson—using information to positively
influence the way people in and out of the organization
respond to it.
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 Interpersonal Roles
Roles that managers assume to provide direction
and supervision to both employees and the
organization as a whole.
Figurehead—symbolizing the organization’s mission
and what it is seeking to achieve.
Leader—training, counseling, and mentoring high
employee performance.
Liaison—linking and coordinating the activities of
people and groups both inside and outside the
organization.
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 Managerial Skills
 Conceptual skills
To visualize, anticipate threat & opportunity, take
proactive measure due to his/her farsightedness
and exposure.
 Human skills
To interact well with employees from all levels.
 Technical skills
To coach, counsel, motivate employees.

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 F.W. Taylor and Scientific
Management
 Scientific Management
The systematic study of the relationships
between people and tasks for the purpose
of redesigning the work process for higher
efficiency.
 Taylor sought to reduce the time a
worker spent on each task by optimizing
the way the task was done.
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 Four Principles of Scientific
Management
 Principles to increase efficiency:
1. Study the ways jobs are performed now and determine new
ways to do them.
 Gather detailed time and motion information.

 Try different methods to see which is best.

2. Codify the new methods into rules.

 Teach to all workers the new method.

3. Select workers whose skills match the rules.

4. Establish fair levels of performance and pay a premium for

higher performance.
 Workers should benefit from higher output

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 Weber’s
Principles of
Bureaucracy

© Copyright
FigureMcGraw-
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 Fayol’s Principles of Management
 Division of Labor: allows for job specialization.
 Fayol noted jobs can have too much specialization
leading to poor quality and worker dissatisfaction.
 Authority and Responsibility

 Fayol included both formal and informal authority

resulting from special expertise.
 Unity of Command

 Employees should have only one boss.

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 Fayol’s Principles of Management
(cont’d)
 Equity
 The provision of justice and the fair and impartial
treatment of all employees.
 Order

 The arrangement of employees where they will be

of the most value to the organization and to
provide career opportunities.
 Initiative

 The fostering of creativity and innovation by

encouraging employees to act on their own.
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 Organizational Environment Theory
 Organizational Environment
The set of forces and conditions that
operate beyond an organization’s
boundaries but affect a manager’s ability to
acquire and utilize resources.

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 The Open-Systems View
 Open System
 A system that takes resources for its external
environment and converts them into goods and
services that are then sent back to that
environment for purchase by customers.
 Inputs: the acquisition of external resources.

 Conversion: the processing of inputs into goods

and services.
 Output: the release of finished goods into the
environment.
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