Introduction To Business Management
Introduction To Business Management
and MANAGEMENT
GRADE 11 – ABM/GAS
Prepared by
Ms. Mea A. Forfieda
MANAGEMENT
LEADING /
PLANNING
DIRECTING
STAFFING
ORGANIZING
CONTROLLING
PLANNING
Planning refers to deciding on
an organization’s goals and
strategies such defining
goals, establishing strategy
and developing sub plans
to choose alternatives and
coordinate activities.
ORGANIZING
Organizing is ensuring that
tasks have been assigned and
the structure of
organizational relationships
facilitates meeting goal like
deciding where decisions will
be made, who will do the jobs
and tasks, and who will work
for whom.
STAFFING
Staffing is the filling-
up of different job
positions as needed
in the organization’s
structure.
LEADING
Leading refers to
relating with others so
that their work efforts
achieve organizational
goals by means of
motivating and inspiring
your fellow coworkers.
CONTROLLING
Controlling is ensuring
actions are consistent to
the organization’s values
and standards. Monitoring
progress towards goal
achievement and taking
corrective action when
needed.
TYPES OF
MANAGEMENT
AUTOCRATIC
o This management type is a one-
way leadership where there is a
single authority. Team members
are only there to follow orders.
o The employees are given
rewards for a job well done but
are given punishment if they
fail.
TYPES OF
MANAGEMENT
PERSUASIVE
o The manager has a strong and
centralized controlling business
decisions like the autocratic type of
management. What differs is that in a
persuasive type, the manager
convenes with his colleagues before
he decides. Employees are motivated
not anymore by rewards and
punishment but by persuasive
TYPES OF
MANAGEMENT
CONSULTATIVE
o In a consultative style, leaders and
workers have two-way
communication. Team members
share their opinion in solving issues
of the company. Consequently, the
practice is costly, slow in decision
making and important changes are
delayed.
TYPES OF
MANAGEMENT
PARTICIPATIVE
o There is a distribution of
authority and power in
participative management.
The company’s project is a
shared responsibility, and
each member has self-
direction.
MANAGEMENT
THEORIES
Management theories
involve the improvement
of work management
methods from simple to
more complex ones
which also focus on
customer satisfaction and
conduct of people at
work.
It will help us understand
the beginning and present-
day management practices—
why some are no longer use
and others are still regarded
with great approval; and
why the expansion and
development of these
theories are important to
adjust to the changing
times.
MANAGEMENT
THEORIES
3. Discipline
Refers to obedience, proper conduct in relation to
others, respect of authority etc. It is essential for
the smooth functioning of all organizations. This
will also help shape the culture inside the
organization.
HENRI FAYOL’S MANAGEMENT
PRINCIPLES
4. Unity of Command
States that each subordinate should receive
orders and be accountable to one superior. If an
employee receives orders from more than one
superior, it is likely to create confusion and
conflict. Unity of Command also makes it easier
to fix responsibility for mistakes.
HENRI FAYOL’S MANAGEMENT
PRINCIPLES
5. Unity of Direction
All those working in the same line of activity must
understand and pursue the same objectives. All
related activities should be put under one group,
there should be one plan of action for them, and
they should be under the control of one manager.
HENRI FAYOL’S MANAGEMENT
PRINCIPLES
7. Remuneration/Pay
Workers must be paid sufficiently as this is a chief
motivation of employees and therefore greatly
influence productivity. The quantum and methods
of remuneration payable should be fair,
reasonable, and rewarding of effort.
Remuneration is paid to worker as per their
capacity and productivity. The main objective of
an organization is to maximize net profit and
wealth of the company.
HENRI FAYOL’S MANAGEMENT
PRINCIPLES
8. Centralization
The amount of power wielded with the central
management depends on company size.
Centralization implies the concentration of
decision-making authority at the top
management. Sharing of authority with lower
levels is called decentralization.
HENRI FAYOL’S MANAGEMENT
PRINCIPLES
1. Division of labor
2. Hierarchical identification of job
positions
3. Detailed rules and regulations
4. Impersonal connections with one
another
TOTAL QUALITY
MANAGEMENT
Total Quality Management or TQM was a
customer-oriented concept first introduced by
quality experts W. Edwards Deming (1900-
1993) and Joseph M. Juran (1904-2008) in the
1950s. It gives utmost attention and detail on
customer needs, expectations and their
satisfaction.
ORGANIZATIONAL
BEHAVIOR (OB)
APPROACH
As organizations are made up of teams and
individuals, the Organizational Behaviors (OB)
approach promotes that the behavior, actions,
and conduct of worker in the workplace must be
studied as basis for management decisions. It will be
very helpful to the manager as he carries out his
functions in leading, conflict resolutions, and
igniting team spirit to name a few.
ORGANIZATIONAL BEHAVIOR (OB)
APPROACH
Robert Owen
He proposed that workplace conditions
must be improved after observing the
conditions of workers in factories are
awful and dangerous for all
employees. He put an end to long
working hours, only accepted children
10 years old and up when before,
factories hire children as young as five
years old who are beaten up and work
in the same condition as adults. He
was known as the father of
personnel management.
ORGANIZATIONAL BEHAVIOR (OB)
APPROACH
Mary Parker
Follett
She is an American Social Worker
who introduced the idea that
individual or group behavior must
be considered in managing the
organization. She stressed that
working in groups is more important
than working individually. She
believes in the “power with”
approach to maintaining employee-
management relations rather than
“power over”.
ORGANIZATIONAL BEHAVIOR (OB)
APPROACH
Hugo
Munsterberg
He is a German-American psychologist and
was considered the father of
industrial/organizational psychology. He
recommended the administration of
psychological tests on aspiring employees so
that the right person will be hired for the right
job. It would be contributory to the
organization’s achievement of optimum
efficiency if psychological conditions,
particularly the individual’s behavior, will be in
sync with that of the organization’s goal. He
further stressed the importance of having
cooperation within the organization being a
social system.
ORGANIZATIONAL BEHAVIOR (OB)
APPROACH
Chester Barnard
He is an American business executive
and public administrator who viewed
organizations as cooperative systems
mainly because it is composed of at
least two persons working together for a
common end. As these common end or
goals emanate from the top, the
willingness to accomplish and achieve it
comes from the bottom going up which
can be obtained with the use of
inducements or incentives for the
employees.
ROLES,
FUNCTIONS,
and SKILLS of
a MANAGER
Definition of Terms
ROLE
Role is a socially expected
behavior pattern that is
usually determined by an
individual’s status in a
particular society; a
character assigned or
assumed.
Definition of Terms
FUNCTION
Function is the job
or duty of a person.
Definition of Terms
SKILL
Skill is a developed
aptitude or ability; a
learned power of doing
something competently.
A manager portrays a very
crucial part in the management
process or system of any
organization. The life and success
of all the organization really lies
on the hands of the manager
and how he/she will perform the
various functions and roles, from
optimizing all the resources of
the company, monitoring the
performance of the employees
and motivating them to ensure
high level of productivity,
handling of various problems
of the company and making
The Manager is the person
who is responsible for the
over-all operation of the
organization as well as the
people and all the resources
within his/her control to ensure
that every element is working
together towards its goals and
objectives. In doing so, manager
has to perform multiple roles and
functions according to the
level of management and must
need to possess the required
skills to successfully carry out all
those responsibilities.
MANAGERIAL
LEVELS
Each organization depending on their size or structure resulted
to dividing the management into various levels and this is very
necessary to ensure that the manager will be able to
closely supervise their subordinates and must see to it that
their performance is aligned with the company’s goals and
objectives. Organization is usually divided into three levels of
management in order to show the separation of the
various managerial positions within the company. The
various level of management clearly provides the
administrative ranks of the organization workers that
determines the chain of command, the scope of authority
and the status enjoyed by the managerial position.
TOP-LEVEL MANAGERS
Top-Level Managers are also known as the
general or strategic or corporate manager
and is accountable to the shareholders for
operating the business. It is usually composed of
the Board of Directors, President; Vice-President,
Chief Executive Officer (CEO); Chief Operating
Officer (COO), Chief Financial Officer (CFO) and
Chief Marketing Officer (CMO), who have
authority over the organization’s other human
TOP-LEVEL MANAGERS
Their functions are as follows:
• formulate policies and lay down the general and long- term
goals of the organization which focus on its sustainability,
development, and over-all efficiency and effectiveness.
• devise sound strategies that will support the realization of the
set goals and aligning competent managers to successfully
carry them out.
• appoints executives for middle-level management.
• controls and coordinates all the activities of the organization.
• handles inter-relationship with the external environment.
• provides guidance and direction to the whole organization.
MIDDLE-LEVEL MANAGERS
Middle-Level Managers are also known as the
tactical manager and is accountable to the top-
level managers for the activities of their
departments. They are made up of General
Manager, Regional Manager, Branch Manager,
District Manager, and Plant Manager. They are
more aware of the company’s problem compared
to the top-level managers because they have close
contacts with the frontline managers, customers,
MIDDLE-LEVEL MANAGERS
Their functions are as follows:
• serves as communicators between top and lower levels as they
transfer information, reports and various data of the company
to the top-level managers.
• in charge with the employment and trainings of the lower levels
• interpret and carry out the plans of the organization in
accordance with the policies and directions of the top-level
management.
• supervise and monitors the performance of the lower-level
managers
• develops creativity to provide sound ideas about operational
and problem solving skills to their subordinates.
FRONTLINE or LOWER-LEVEL
MANAGERS
Top Manager
• Strategic (Conceptual) Skills
Middle Manager
• Human Skills
Supervisory Manager
• Technical Skills
MANAGERIAL SKILLS
CONCEPTUAL SKILLS HUMAN SKILLS TECHNICAL SKILLS
Most common with Top-level Common with all levels of Most common with Frontline or
managers managers Lower-level managers
Prepared by
Ms. Mea A. Forfieda