The document discusses different perspectives on management from various authors such as Taylor, Fayol, Drucker and Follet. It also summarizes the key characteristics and functions of management, including planning, organizing, directing, controlling and coordinating. Finally, it covers different types of business organizations such as sole proprietorships, partnerships, and joint stock companies.
The document discusses different perspectives on management from various authors such as Taylor, Fayol, Drucker and Follet. It also summarizes the key characteristics and functions of management, including planning, organizing, directing, controlling and coordinating. Finally, it covers different types of business organizations such as sole proprietorships, partnerships, and joint stock companies.
The document discusses different perspectives on management from various authors such as Taylor, Fayol, Drucker and Follet. It also summarizes the key characteristics and functions of management, including planning, organizing, directing, controlling and coordinating. Finally, it covers different types of business organizations such as sole proprietorships, partnerships, and joint stock companies.
The document discusses different perspectives on management from various authors such as Taylor, Fayol, Drucker and Follet. It also summarizes the key characteristics and functions of management, including planning, organizing, directing, controlling and coordinating. Finally, it covers different types of business organizations such as sole proprietorships, partnerships, and joint stock companies.
Unit 1 - Introduction Management by Different Authors F.W. Taylor - “Art of knowing what you want to do and then seeing that it is done the best and cheapest way”.
Henry Fayol – “To Manage is to forecast, to plan, to organize,
to command, to co-ordinate and to control”.
Peter F.Drucker – ”Management is work and as such it has its
own skills, its own tools and its own techniques”.
Mary Parker Follet - “Management is the art of getting things
done through and with people”.
George R.Terry – “Consisting of planning, organizing, actuating
and controlling”.
3 Management Contd…. Management – Process of designing and maintaining an environment in which individuals, working together in groups, effectively accomplish selected aims. Business organizations Non – Business organizations
4 Characteristics of Management Is a Process /a function. Is a Social Process. Involves Group Effort. Aims at achieving predetermined objectives. Required at all levels of management. Is a profession. Is an art and science.
5 Management functions/The process of Management Newman and Summer – organizing, planning, leading and controlling. Henri Fayol and Koontz and O’Donnell – Planning, organising, commanding, coordinating and controlling. Gulick – POSDCORB Warren Haynes and Joseph Massie – Decision making and communicating. “External element affect the operation”
6 Functions Of Management Planning Look ahead and chart out future course of operation Formulation of Objectives, Policies, Procedure, Rules, Programmes and Budgets Organizing Bringing people together and tying them together in the pursuit of common objectives. Enumeration of activities, classification of activities, fitting individuals into functions, assignment of authority for action. Human organisation and Material Organisation.
7 Functions Of Management Directing Act of guiding, overseeing and leading people. Motivation, leadership, decision making. Financial and Non-financial. Controlling Laying standards, comparing actuals and correcting deviation-achieve objectives according to plans. Co-ordination Synchronizing and unifying the actions of a group of people.
8 Functions of Management Innovation Finding new uses for old ones. Representation Various outside groups. “Blend into each other”
9 Functions@different Organisational levels
10 Skills and Management levels
11 Roles of a Manager Achieve objectives through and with people. Identify and Utilize resources – optimum. Types Interpersonal Roles Figurehead, leader and Liaison Informational Roles Monitor, Disseminator, Spokesman Decisional Roles Entrepreneur, Disturbance Handler, Resource allocator and Negotiator
12 Management – A Science or an ART? Art Practical know how Technical skills Concrete results Creativity Personalized nature Science Empirically Derived Critically tested General principles Cause and effect relationship Universal applicability
“MANAGEMENT AS A SCIENCE PROVIDES PRINCIPLES AND AS AN ART HELPS IN
TACKLING SITUATIONS”.
13 Development of Management Thought Early Management Approaches
Scientific Management Administrative Management Theory Human Relations Movement
14 Early Management Approaches Scientific Management “F.W.Taylor(1856-1915) – Father of scientific Management”
His Contributions are
1. Time and Motion study 2. Differential Payment 3. Drastic Reorganization of Supervision 4. Scientific recruitment and training 5. Intimate friendly cooperation between management and workers
“Gantt introduced new features in Taylor’s scheme”
15 Early Management Approaches contd… Administrative Management “Henri Fayol(1841-1925) – Father of scientific Management”
He laid down 14 Principles
Division of work Authority and Responsibility Discipline Unity of Command Unity of Direction Subordination of Individuals Interest to general Interest Remuneration
16 Early Management Approaches contd…. Principles Contd….
Centralization Scalar Chain Order Equity Stability Initiative Esprit de corps
17 Early Management Approaches contd… Human Relations Movement “Prof, Elton Mayo(1927-1932) – Father of Human Relations”
His Contributions are
1. Social System 2. No Correlation 3. Not by Time and Motion study 4. Employee Centered 5. Non-financial rewards 6. Informal group
18 Modern Management Approaches 1. Empirical or Case Approach
2. Managerial Roles Approach
3. Contingency or Situational Approach
4. Mathematical or Management Science Approach
5. Decision theory Approach
6. Re-Engineering Approach
7. Systems Approach
19 Modern Management Approaches contd… 8. Socio-technical Systems
9. Co-operative social Systems
10. Group Behavior Approach
11. Interpersonal Behavior Approach
12. McKinsey’s 7-S Frame work
13. TQM Approach
14. Management Process or Operational Approach
20 Modern Management Approaches contd…
Empirical Managerial Roles
21 Modern Management Approaches contd…
Contingency Mathematical
22 Modern Management Approaches contd…
Decision Theory Re-Engineering
23 Modern Management Approaches contd…
Systems Operational
24 Modern Management Approaches contd…
25 26 Modern Management Approaches contd…
27 Modern Management Approaches contd…
Socio-Technical Systems Co-Operative Social Systems
28 Modern Management Approaches contd…
Group Behavior Interpersonal behavior
29 Modern Management Approaches contd…
McKinsey’s 7-S Framework TQM Approach
30 Management and Administration
31 Business Organization Definition Process of identifying and grouping the work to be performed, defining and delegating responsibility and authority and establishing relationship for the purpose of enabling people to work most effectively together in accomplishing objectives
Types of Business organizations
Individualistic Institutions – Sole traders, Joint stock company, Co – operative and Multinational companies
Government Institutions – Departmental undertaking, Public
corporation, Government company and Board organization
32 Individualistic Institutions Sole Trading Sole proprietorship is that form of business organization which is owned and controlled by a single individual. He receives all the profits and risks all of his property in the success or failure of the enterprise Characteristics One man ownership and control, Unlimited liability, Enjoyment of entire profit, No separate legal entity, Simplicity, Self employment and Secrecy Advantages Easy to form the business, Take decision making, full control and so on Disadvantages Short life, Risks and Uncertainity
33 Individualistic Institutions Contd… Partnership Group of men who have joined capital or serves for the prosecution of some enterprise Features of Partnership Agreement, Multiplicity of person, Lawful business, sharing of profits, Contractual relations, Mutual agency, Unlimited liability, Registration, Common management, Utmost good faith Kinds of partners Active partner, Sleeping partner, Normal partner, Partner in profit only, Sub partner, Secret partner and Minor as a partner Rights of a partner Rights to express his option, participation, Share profits, Get interest on the capital etc.,
34 Individualistic Institutions Contd… Partnership Contd… Advantages Easy to form Registration is not compulsory Larger financial resources Promptness in decision making Growth and expansion of business Disadvantages Unlimited liability increases Lack of harmony Limited resources Difficulties in expansion
35 Individualistic Institutions Contd… Joint Stock Company Association of many persons who contribute money to a common stock and employ it in some trade or business and also share the profit and loss as the case may be arising there from. Two types are Private Limited Company Has a minimum paid up capital as may be prescribed It restricts the rights to transfer the shares Can work with only two directors Public Limited Company Capital is collected from the public by issuing shares No restriction on the transfer of shares Maximum number of members is unlimited
36 Individualistic Institutions Contd… Joint Stock Company Contd…. Advantages More stable Limited liability Shares are freely transferable Company can easily expand Large financial resources Disadvantages Time consuming Lack of motivation Difficult to maintain secrets Delayed decision and actions
37 Individualistic Institutions Contd… Co – operative Organization Voluntary association of persons for mutual benefit and its aims are accomplished through self help and collective effort Mutual help i.e., one for all and all for one Characteristics of Co – operatives Voluntary association, Equal voting rights, service motive, separate legal activity, open membership, state control, liability, No share transfer, Statuary audit and cash trading Merits Easy formation, Low operation cost, exempts from income tax Demerits Lack of motivation, Lack of secrecy and non – transferability of shares
38 Government Institutions Public Enterprises or State Enterprises Autonomous or semi autonomous corporations controlled by the state and engaged in industrial and commercial activities Characteristics Financed by government, Government management, Public services, Legislative control and monopoly enterprises Merits Complete government control Proper use of funds Demerits Inefficiency Tax burden to public
39 Government Institutions Contd… Public Corporation Autonomous body corporate created by a special statue of a state or central government It has separate legal entities created for specific purpose Merits Finance from government Internal autonomy Protect public welfare Flexibility Demerits Limited autonomy Inefficient operation Misuse of power
