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Unit 1 - Organization and Management

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104 views38 pages

Unit 1 - Organization and Management

Uploaded by

Nathefa Layne
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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COLLEGE OF BUSINESS AND MANAGEMENT

SCHOOL OF BUSINESS ADMINISTRATION

INTRODUCTION TO MANAGEMENT

Lecture One
• Define Management and the
Organization
• Differentiate the functions of
management and the types of
management activities associated with
each.
• Contrast efficiency and effectiveness and
state their importance.
Objectives • Describe the managerial levels and their
horizontal and vertical differences.
• Evaluate the conceptual, human, and
technical skills of various roles
• Differentiate the various roles under the
categories of informational, decisional
and interpersonal, that managers
perform in organizations
• Managers solve difficult
problems, turn organizations
around and achieve astonishing
performances
• Good managers get things done
What do through their organizations
• Managers are the executive
Managers function of the organization
responsible for building and
Do ? coordinating an entire system

 Every organization needs good


managers
Fundamentals of Management

What is
Management?
Management
The process of
planning, organizing,
leading and controlling
the work of
organization members
and of using all
available organizational
resources to reach
stated organizational
goals
Management
The attainment of organizational
goals in an effective and efficient
manner through planning,
organizing, leading and controlling
organizational resources
(Daft & Marcic, 2011)
Management
• Irrespective of the type of organization the
business must be managed to ensure it is meeting
its objectives/goals
• Management has been called “the art of getting
things done through people”
• Managers achieve organizational goals by
arranging for others to perform whatever tasks
may be necessary, not by performing the tasks
themselves
Organization

• An organization is a social entity that is goal


directed and deliberately structured.
• An organization is a systematic grouping of people
brought together to accomplish some specific purpose.
• There are a variety of legal types of organizations,
including corporations, governments, non-
governmental, political, international, armed forces,
charities, not-for-profit corporations, partnerships,
cooperatives, and educational institutions etc.
• Sagicor, Tastee, Tesla, VMBS, etc.
Common Characteristics of
Organizations
All organizations, regardless of their size or
focus, have three common characteristics:

A Purpose
Composed of People
A Systematic Structure
Management Functions

 Planning
 Organizing
 Leading
 Controlling
Why is planning so
Management
Functions important to an
organization?
Planning
• Planning implies that managers think through
their goals and actions in advance that their
actions are based on some method, plan or logic.
• Plans give the organization its objectives and set
up the best procedure for reaching them
• Allocation of Resources
Planning
• Defining goals for future organizational
performance and deciding on the tasks and
resources needed to attain them.

• Planning: is the function of management


that involves setting objectives and
determining a course of action for
achieving those objectives.
Organizing
• The process of arranging and allocating
work, authority and resources among an
organization’s members so they can
achieve an organization’s goal efficiently.
• Different goals require different structure
• Organizational design, matching an
organizational structure to its goal and
resources
Organizing
• Includes arranging and grouping jobs,
allocating resources, and assigning work so
that activities can be accomplished as
planned.
• Organizing is the process of assembling and
assigning the human, financial, physical,
informational, and other resources needed
to achieve goals (Bateman & Snell, 2013).
Leading
Involves directing, influencing and
motivating employees to perform essential
tasks.

• Involves working with people


• By establishing the proper atmosphere,
managers help employees to do their best
Leading
• Involves the use of influence to motivate
employees to achieve the organization’s
goals.
• Leading consists of motivating employees
and influencing their behavior to achieve
organizational objectives.
• Leading focuses on managing people , such
as individual employees, teams and groups
rather than tasks
Controlling
• The manager must be sure the action of the
organization’s members do in fact move the
organization towards its stated goals.

• Establishing standards of performance

• Measuring current performance

• Comparing performance to established standard


Controlling
• Monitoring employees’ activities, keeping the
organization on track toward its goals, and making
corrections as needed.
• Controlling consists of verifying whether everything
occurs in conformities with the plans adopted,
instructions issued, and principles established.
• Controlling ensures that there is effective and
efficient utilization of organizational resources to
achieve the planned goals.
Effectiveness vs Efficiency
• For managers to be able to apply these
important functions to achieve
organizational goals, functions must be
performed

Effectively
Efficiently
Fundamentals of Management
• Effectiveness – The degree to which the
organization achieves a stated goal.
– Target is 90% vs actual is 89%
• Efficiency – The use of minimal resources –
raw materials, money, and people, to
produce a desired volume of output.
– How many bar of soap can be made of one pan
of mixture.
Difference Between
Efficiency & Effectiveness
• Whilst Effectiveness means doing the right task, Efficiency
means doing things right.

• Efficiency and effectiveness can both be high


in the same organization.

• Efficiency is the ability to produce an intended


result in the way that results in the least waste of
time, effort, and resources.
• Effectiveness is the ability to produce a better
result, one that delivers more value or achieves a
better outcome.
Organizational Levels
• Vertically, there are four distinct levels in an
organization.
• The top three are management and the
lowest is non-management.
• At the Vertical Level, there are three (3)
managerial Levels:
• Top Managers
• Middle Managers and
• First-Line Managers
Vertical Structure
Organizational Level
Horizontally, management is viewed at a
single level of the hierarchy, where
management jobs occur across, rather than
from top to bottom.

Here, the different types of managers would


be viewed one level at a time, for example,
at the top level, CEOs, Managing Directors
or Presidents
Horizonal Organizational Structure
Classifications of Skills
• Conceptual Skills –The cognitive ability to see the
organization as a whole and the relationships among them.
– The ability to coordinate and integrate all an organization’s
interests and activities.
• Human Skills – the ability to work with, understand and
motivate other people, as individual or in groups
• Technical Skills – the ability to use the procedures,
techniques and knowledge of a specialized field.
– Technical skills become less important than human and
conceptual skills as managers move up the hierarchy.
Management
Manager Roles
• Managers are organizational planners,
organizers, leaders and controllers every
manager takes on a much wider range of
roles to move the organization toward its
stated objectives.
– Interpersonal Roles
– Information Roles
– Decision Making Roles
Interpersonal Roles
• Figurehead – managers performs duties as head
of the unit, greeting visitors, taking customers to
lunch, signing legal documents
• Leader – Direct and motivate subordinates; train,
counsel and communicate with subordinates
• Liaison – able to work with everyone inside or
outside the organization who can assist to achieve
organizational goals – networking, use of email,
phone calls and meetings
Informational Roles
Receiving and communicating information
• Monitor – collects unsolicited information
through networks of contacts, scan periodicals
and reports
• Disseminator – distribute important information
to subordinates, forward information to other
organization members
• Spoke-person – transmit information to outsiders
through speeches, reports, memos
Decisional
Information is the basic input to decision
making for manager
• Entrepreneur – managers try to improve
their units, launch a development project,
initiate change, identify new ideas
• Disturbance Handler – take corrective
action during disputes, resolve conflicts
Decisional
• Resource Allocator – Decide who gets
resources; strike a balance between goals
and needs, prioritize
• Negotiator – Managers handle
negotiation inside and outside the
company, mediator; represent
departmental interests
Questions
1. How an organization goes about
accomplishing a plan is a key part
of the management function of
2. A social entity that is goal directed
and deliberately structured is
referred to as a(n)
Answers

• Organizing

• Organization
EL FIN!!

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