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Introduction To Business Management

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72 views67 pages

Introduction To Business Management

Lesson Presentation

Uploaded by

MeyForfieda
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PPTX, PDF, TXT or read online on Scribd
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ORGANIZATION

and MANAGEMENT
GRADE 11 – ABM/GAS

Prepared by
Ms. Mea A. Forfieda
MANAGEMENT

Is the act of getting people


together to accomplish desired
goals and objectives using
available resources efficiently and
effectively in all business and
organizational activities.
MANAGEMENT

It is the process of planning,


organizing, leading and controlling
human and other organizational
resources towards the effective
achievement of organizational
goals.
FUNCTIONS OF 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

 SCIENTIFIC MANAGEMENT THEORY


 GENERAL ADMINISTRATIVE THEORY
 TOTAL QUALITY MANAGEMENT
 ORGANIZATIONAL BEHAVIOR (OB)
APPROACH
SCIENTIFIC
MANAGEMENT
THEORY

This management theory makes use of the


step-by-step, scientific methods for finding the
single best way for doing a job. Frederic W.
Taylor, the Father of Scientific Management, is
the proponent of this
theory.
TAYLOR’S SCIENTIFIC
MANAGEMENT PRINCIPLES

1.Develop a science for each element of an


individual’s work to replace the old rule of thumb
method.
2. Scientifically select then train, teach, and develop
the workers.
3. Heartily cooperate with the workers to ensure
that all work is done following the principles of the
science that has been developed.
4. Divide work and responsibility almost equally
between management and workers.
TAYLOR’S SCIENTIFIC
MANAGEMENT PRINCIPLES

1.Develop a science for each element of an


individual’s work to replace the old rule of thumb
method.
2. Scientifically select then train, teach, and develop
the workers.
3. Heartily cooperate with the workers to ensure
that all work is done following the principles of the
science that has been developed.
4. Divide work and responsibility almost equally
between management and workers.
TAYLOR’S SCIENTIFIC
MANAGEMENT PRINCIPLES

1.Develop a science for each element of an


individual’s work to replace the old rule of thumb
method.
2. Scientifically select then train, teach, and develop
the workers.
3. Heartily cooperate with the workers to ensure
that all work is done following the principles of the
science that has been developed.
4. Divide work and responsibility almost equally
between management and workers.
GENERAL
ADMINISTRATIVE
THEORY
This theory concentrates on the manager’s functions
and what makes up good practice or implementation.
Henri Fayol is the contributor of this theory who
believes that management is an activity that all
organizations must practice and view it as separate
from all other organizational activities such as
marketing, finance, research and development, and
others.
HENRI FAYOL’S MANAGEMENT
PRINCIPLES

1. Work division or Specialization


 according to this principle, the whole work is
divided into small tasks. The specialization of the
workforce according to the skills of a person, creating
specific personal and professional development within
the labor force, and therefore increasing productivity,
leads to specialization which increases the efficiency
of labor. By separating a small part of work, the
worker’s speed and accuracy in his/her performance
increases. This principle applies to both technical as
well as managerial work.
HENRI FAYOL’S MANAGEMENT
PRINCIPLES

2. Authority and Responsibility


 This refers to the issue of commands followed by
responsibility for their consequences. Authority
means the right of a superior to give enhanced order
to his subordinates; responsibility means an
obligation for performance. This principle suggests
that there must be parity between authority and
responsibility. They are co-existent and go together,
and are two sides of the same coin, and the authority
must be commensurate with responsibility.
HENRI FAYOL’S MANAGEMENT
PRINCIPLES

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

6. Subordination of individual interest to


general interest-
 The management must put aside personal
considerations and put company objectives first.
Therefore, the interests of goals of the
organization must prevail over the personal
interests of individuals.
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

9. Scalar chain of authority


 Refers to the chain of superiors ranging from top
management to the lowest rank. The principle
that there should be a clear line of authority from
top to bottom linking all managers at all levels. It
is considered a chain of command. However,
there is a concept called a “gang plank” in which
a subordinate may contact a superior in case of
an emergency, defying the hierarchy of control.
In this event, the immediate superiors must be
informed about the matter.
HENRI FAYOL’S MANAGEMENT
PRINCIPLES

10. Maintenance of order


 Social order ensures the fluid operation of a
company through authoritative procedure.
Material order ensures safety and efficiency in
the workplace. Orders should be acceptable and
under the rules of the company.
HENRI FAYOL’S MANAGEMENT
PRINCIPLES

11. Equity / Fairness


 Employees must be treated kindly, and justice
must be enacted to ensure a just workplace.
Managers should be fair and impartial when
dealing with employees, giving equal attention
toward all employees.
HENRI FAYOL’S MANAGEMENT
PRINCIPLES

12. Stability / Security of Tenure of Workers

 The period of service should not be too short,


and employees should not be moved from
positions frequently. An employee cannot
render useful service if he or she is removed
before he/she becomes accustomed to the work
assigned to him/her.
HENRI FAYOL’S MANAGEMENT
PRINCIPLES

13. Employee Initiative

 Using the initiative of employees can add


strength and new ideas to an organization.
Initiative on the part of employees is a source
of strength for an organization because it
provides new and better ideas. Employees are
likely to take greater interest in the functions of
the organization.
HENRI FAYOL’S MANAGEMENT
PRINCIPLES

14. Promotion of Team Spirit or Esprit de Corps

 Refers to the need of managers to ensure and


develop morale in the workplace individually
and as a group. Team spirit helps develop an
atmosphere of mutual trust and understanding.
Team spirit helps finish the task on time.
WEBER’S
BUREAUCRACY

Max Weber, A German Sociologist, wrote in


the early 1900s that ideal organizations,
especially the large ones, must have authority
structures and coordination with others based
on what he referred to as bureaucracy.
WEBER’S BUREAUCRACY

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

Frontline or Lower-Level Managers also


known as the operational managers.
They are composed of Supervisors,
Foreman, Store or Office Managers, and
Team Leaders.
FRONTLINE or LOWER-LEVEL
MANAGERS
Their functions are as follows:
• assigning of tasks and jobs to other subordinates.
• supervise the day to day activities of the organization.
• directly responsible for the quality and quantity of worker’s
production.
• serves as a bridge between management and non-
management employee.
• maintain discipline in the organization.
• supervise, guides, and motivates subordinates.
• make necessary decisions on their levels.
MANAGERIAL ROLES

According to Henry Mintzberg, a professor


at McGill University, who conducted a
research on what real managers do, he
classified the managerial roles in three
categories: interpersonal,
informational and decisional or
decision making.
MANAGERIAL ROLES
INTERPERSONAL

This pertains to the role that has


something to do with building a
good relationship with others and
related to human skills.
MANAGERIAL ROLES
INTERPERSONAL
Some of the interpersonal roles of a manager are:
a. Figure Head – stands as a source of inspiration and a symbol of
legal authority to his employees and performs social, ceremonial
duties like signing of documents and receiving visitors.
b. Leader – hires, trains, and motivates his personnel and he also
communicates performance goals and evaluates the performance of
the employees.
c. Liaison – the manager interacts and communicates with internal
and external members of the organization and this networking
activity is critical in realizing the organizational goals especially
concerning with the customers.
MANAGERIAL ROLES
INFORMATIONAL

This role involves generating and


sharing of important information to
successfully attain the company’s
objectives.
MANAGERIAL ROLES
INFORMATIONAL
Some of the interpersonal roles of a manager are:
a. Monitor – he takes the role as the receiver and collector of useful
information that can be obtained through meetings, conversations,
and documentations to keep abreast of the current and industry
standards as well as the changes occurring in both internal and
external business environments.
b. Disseminator – takes and distributes information to the
appropriate individuals or subordinates regularly.
c. Spokesperson – transmits information about the organization to
outside parties or individuals.
MANAGERIAL ROLES
DECISIONAL or DECISION-MAKING

This role entails processing and using of


information to make decisions in order
for the managers to get things done.
MANAGERIAL ROLES
DECISIONAL or DECISION-MAKING
Some of the interpersonal roles of a manager are:
a. Entrepreneur – the one who design and initiate change within the
organization and usually involves improvement that will contribute in the
achievement of future goals.
b. Mediator – handles and resolves conflicts among employees, difficult
problems, and non-routine situations like strikes.
c. Resource Allocator – the manager decides on how to allocate or
distribute the resources and with whom to work closely to attain desired
outcomes.
d. Negotiator – this role is where the manager represents a team or
departments when negotiating an issue with the suppliers, individual
employees, unions, customers, the government, and outside parties.
MANAGERIAL SKILLS
Required Managerial Skills for each Managerial Level

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

Is the knowledge and


Ability of the managers to
Enable managers in all levels proficiency in activities that
think of possible solutions to
to relate well with people involves methods, processes
complex problems
and procedures
Lower-level managers find
Communicating, leading,
Through the ability to see “the these skills very important
inspiring and motivating will be
big picture”, allows to because they are the ones who
easy with the help of human
recognize significant elements manage the non-management
skills especially in dealing with
in the situation and to workers who usually use varied
people both in the internal and
understand its relationships techniques and tools to be able
external environment of the
among the elements to produced good quality
organization
products and services
End of
Presentation

Prepared by
Ms. Mea A. Forfieda

Template from CANVA

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