CHAPTER 1

What is management?

 The word Manage is from Italian word maneggiare means to handle especially to handle/or train horses.
This traces back to Latin word manus means hand.

 In 16th century manage was quickly extended to operations of war and in sense of taking control, taking charge, or directing.

 Later it became confused with French words menager means to use carefully. In 17th & 18th centuries the word manage and mnage overlapped in usage and todays meaning of Manager is coloured by these variations.

 Management originally used to indicate the process for managing, training or directing. It was first applied to sports, then to house-keeping and later to government and business. (McFarland (1979) Management Foundations & Practice)

MANAGEMENT AS A PROCESS
Definitions: 1. Management is therefore defined as the process by which managers create, direct, maintain and operate purposive organizations through coordinated, cooperative human effort. (McFarland 1979)

2. Management has been called the art of getting things done through people.

 This definition by Mary Parker Follet, calls attention to the fact that managers achieve organization goals by arranging for others to perform whatever tasks may be necessary not by performing the tasks themselves. (James A.F.Stoner, 1982, Management)

3. Management is the process of planning, organizing, leading and controlling the efforts of organization members and resources to achieve the stated goals.

MODEL

MANAGEMENT
P L A N I N G O R G A N I Z I N G L E A D I N G I N G C O N T R O L

(Smith, Carroll, Kefales and Watson (1980 in their book Management Making Organization Perform)

4. Management is the process of optimizing human, material and financial contribution for the achievement of the organizational goals. (John Pearce
II & Richard Robinson, Jr. 1989 in their book titled as Management)

5. Management is concerned with accomplishment of objectives through the efforts of other people. (Mondy, Holmes and Edwin B.Plippo 1983 in their book titled as Management: Concept and Practices) For example: Pass courses to get MBA and then seek job.

For this purpose, you need to do the following:

Planning: Determine what is to be achieved Organizing: Allocate resources and establish means to achieve the plans / goals. Influencing/Directing: Motivate and lead personnel. Controlling: Compare results achieved with the planned goals.

Classic Definition by Henri Foyal (1916)

6. To Manage is to forecast and plan, to organize, to command, to coordinate and to control.

Definition by E.F.L. Brech (1957)

Management is a social process the process consists of planning, control, coordination and motivation.

Koontz and ODonnell (1976) Managing is an operational process initially best dissected by analyzing the managerial functions.
The five essential managerial functions are: Planning, Organizing, Staffing, directing and leading and controlling.

Terry (1977)
Management is a distinct process consisting of planning, organizing, actuating and controlling performed to determine and accomplish stated objectives by the use of human beings and other resources.

Basic Resources The 6 Ms

Fundamental function The Process of Management

Stated Objectives End Results

Planning
Men & Women

Actuating

Materials
Machines Methods Money

Organizing
Market

Controlling

For given objectives, the resources are manpower physical resources i.e., material and financial.

Management is a process of responsibility for deploying resources to accomplish given objectives.

Terry (1977) Management as a science:

Management science is body of systematized knowledge accumulated and accepted with reference to understanding of general truths concerning management.

Management as Art:
Arts mean personal creative power plus skill in performance. Fullet defines Management as an Art.

Henry Boettinger (1975)

argues that Management is an Art. As imposition of order on chaos i.e., Painting, Poetry requires three components (i) artists vision, (ii) knowledge of craft and (iii) successful communication.

 Schein (1968) argues Management as a Profession.

Key Characteristics
1. Professionals based their decision on general principles e.g., praise in public and criticize in private.

2. Professionals achieve professional status through performance. (difficult than lawyer or surgeon) 3. Code of Ethics for professional that protect client whereas no code of Ethics for Management.

4. Borje Saxberge suggest fourth characteristic i.e., dedication and commitment. According to this criterion, countless managers are professionals.

Characteristics for understanding Management

1. Management is purposeful. 2. Management makes things happen. 3. Management is an activity, not a person or group of persons. 4. Management is accomplished by, with and through efforts of others.

Characteristics for understanding Management

5. Management is intangible. 6. Management is aided not replaced by the computer. 7. Management has an outstanding impact on human life.

Characteristics of the New Manager (Fulmer 1989)

1. 2. 3. 4. An orientation towards people A concern with implementation Competitive spirit An external perspective

5. An orientation towards systems. (Information based system) 6. Pragmatism, flexibility and ability to deal with an ambiguity. 7. An orientation towards the future.

What Managers Do? (Stoner 1982)

1. Managers work with and through other people. 2. Managers act as channels of communication. 3. Managers are responsible and accountable.

4. Managers balance competing goals and set priorities. 5. Managers must think analytically and conceptually. 6. Managers are mediators. 7. Managers are politicians.

8. Managers should develop other political skills. 9. Managers are diplomats. 10.Managers make difficult decisions.
A Manager is what manager does.