SMU Learning Centre, Alwar

LC Code 03034 1
Contents
After this session you will be able to understand:
Introduction
Learning Objectives
Management functions
Management roles and skills
Effective vs. successful managerial activities
Summary

SMU Learning Centre, Alwar

LC Code 03034 2
Introduction
 Organizational behavior is a field of study that
investigates the impact that individuals, groups
and structure have on behavior within an
organization, then applies that knowledge to make
organizations work more effectively.
-----(Robbins, 2003)

SMU Learning Centre, Alwar

LC Code 03034 3
• Organizational Behavior is defined as “the
understanding, prediction and management of human
behavior in organizations”.
------Fred Luthans

• Organizational Behavior is defined as the systematic

study and application of human aspects in management
of an organization.

SMU Learning Centre, Alwar

LC Code 03034 4
Changes in Organizational
Setup
 End of traditional hierarchical structure
 Workforce has different expectations from
organizations.
 Advancement of information Technology
 Importance of empowerment and teamwork
has increased.
 Employees have become more concerned for
work-life balance.

SMU Learning Centre, Alwar

LC Code 03034 5
Focus of a Manager
 Task performance – It is the quality and
quantity of the work produced.

 Job satisfaction – It is people’s feelings

about their work and work setting.

SMU Learning Centre, Alwar

LC Code 03034 6
Learning Objectives
Management Managerial roles
functions Informational roles

Planning Decisional roles

Interpersonal roles
Organizing
Management skills
Commanding
Technical skills
Coordinating Human skill
Controlling Conceptual skill

SMU Learning Centre, Alwar

LC Code 03034 7
Management Functions
• Management is the art of getting things done
through people. ----(Follett, 1933)
• Fayol, in 1949, classified management
functions as follows
– Planning
– Organizing
– Commanding
– Coordinating
– Controlling

SMU Learning Centre, Alwar

LC Code 03034 8
 Recently,
management functions have
been grouped into four categories,
namely,
 Planning
 Organizing
 Leading
 Controlling

SMU Learning Centre, Alwar

LC Code 03034 9
1) Planning
 Planning is the process of setting goals,
making strategy for achieving these goals,
and developing plans to manage activities.
 Planning should be linked to strategic goal of
an organization.
 So, planning is strategic in nature and hence it
is called strategic planning.

SMU Learning Centre, Alwar

LC Code 03034 10
Strategic Planning
 It is the process of developing and analyzing
the organization’s missions, goals, general
strategies and allocating resources.
 Top level managers engage chiefly in
strategic planning.
 It is a long term planning.

SMU Learning Centre, Alwar

LC Code 03034 11
Steps in Strategic Planning
Process
Define the mission

Conduct a
situational or
SWOT analysis
Set goals and
objectives
Develop related
strategies (tactical
and operational)

Monitor the plan

SMU Learning Centre, Alwar

LC Code 03034 12
SWOT Analysis
 SWOT analysis is the analysis of an organization’s
strengths, weaknesses, opportunities and threats.
 Strengths and weaknesses are internal factors
whereas opportunities and threats are external
factors.
 It is most important for creating any strategic
plan.
 It is used as a baseline for future improvement, as
well as gap analysis.

SMU Learning Centre, Alwar

LC Code 03034 13
SWOT ANALYSIS

SMU Learning Centre, Alwar

LC Code 03034 14
SMU Learning Centre, Alwar
LC Code 03034 15
Important questions for assessing
the strengths of the organization
 What makes the organization distinctive?

 How efficient is our manufacturing?

 What is our market share?

 Do we have a superior reputation?

 What financing is available?

 How skilled is our workforce?

SMU Learning Centre, Alwar

LC Code 03034 16
Important questions for assessing
the weaknesses of the
organization
What are the vulnerable areas of the organization
that could be exploited?

Are the facilities outdated?

Is research and development adequate?

Are the technologies obsolete?

SMU Learning Centre, Alwar

LC Code 03034 17
Important questions for assessing
the opportunities of the
organization
In which areas is the competition not meeting customer
needs?

What are the possible new markets?

What is the strength of the company?

Are our rivals weak?

What are the emerging technologies?

SMU Learning Centre, Alwar

LC Code 03034 18
Important questions for assessing
the threats of the organization
Are there new competitors?

Is there a shortage of resourses?

Are market tastes changing?

What are the new regulations?

What substitute products exist?

SMU Learning Centre, Alwar

LC Code 03034 19
2) Organizing
It is the process of designing, structuring, and
coordinating work to achieve organizational
goals.
It determines-------
What to do?
Who will do?
Who should report to whom?
Where decisions will be made?

SMU Learning Centre, Alwar

LC Code 03034 20
Steps in Organizing Process
Review plans

List all tasks

Divide tasks into

groups
Group related jobs
together
Assign work to
individuals
Delegate authority

SMU Learning Centre, Alwar

LC Code 03034 21
3) Leading
Leadership is the influence of one person on
another.

An organization’s success depends on the

leadership quality of its supervisors.

SMU Learning Centre, Alwar

LC Code 03034 22
Functions of Leading
• Team building – Building teams of employees to
help knowledge based and innovative decision
making.
• Consensus building – It means working together
with others to achieve a common goal.
• Selecting – An organization gains competitive
advantage by selecting competent and well
performing employees.
• Training – It is the orientation program of an
employee to introduce him to his job. Training
improves an employee’s knowledge, skills and
attitudes to perform his job.
SMU Learning Centre, Alwar
LC Code 03034 23
4.controlling
It is the process of monitoring the employees’
behavior and take actions to improve them.
Employee activities are monitored and
corrective action is taken.

SMU Learning Centre, Alwar

LC Code 03034 24
Steps in the control
process
Establish performance
standards

Measure actual performance

Compare measured
performance against
established standards

Take corrective action

SMU Learning Centre, Alwar

LC Code 03034 25
Types of Control
• Feed forward controls – These controls aim to prevent
problems that may occur in future. Example:
maintenance on automobiles and machinery.
• Concurrent controls – These controls apply to
processes as they happen. Example: direct supervision,
automated systems and quality programs.
• Feedback controls – these controls focus on the results
of operations. They help in future planning, inputs and
process designs. Example: weekly, monthly, quarterly or
annual reports so that immediate adjustment can be
made.

SMU Learning Centre, Alwar

LC Code 03034 26
Management Roles and
Skills
Managerial roles
Mintzberg (1973) has classified managerial roles
as follows:
 Informational roles – In this role, managers
collect and spread information.
 Decisional roles – In this role, managers take
decisions.
 Interpersonal roles – In this role, managers
perform activities with people working in the
organization.

SMU Learning Centre, Alwar

LC Code 03034 27
Management Roles

SMU Learning Centre, Alwar

LC Code 03034 28
Management skills
According to Katz (1974), there are three
management skills:
Technical – It is the application of specialized
knowledge or expertise to perform a job.
Human – It is the ability to work with people,
understand them and motivate them.
Conceptual – It is the ability to analyze a
situation and find a realistic solution to the
problem.

SMU Learning Centre, Alwar

LC Code 03034 29
Management Skills
Technical skills

Human skills

Conceptual skills

SMU Learning Centre, Alwar

LC Code 03034 30
 Effective Vs. Successful Managerial
Activities
According to Luthans(1988),all managers engage in four managerial activities-
1. Traditional management- this activity consists of planning, decision making
and controlling.
Average manager spent 32% of his/her time on this activity.
Successful manager & effective managers spent 13% on this activity.

2. Communication- this activity consists of exchanging daily information and

processing paperwork.
Average manager spent 29% of his/her time on this activity.
Successful manager spends 28% of his/her time on this activity.
Effective managers spend 44% of his/her time on this activity.

SMU Learning Centre, Alwar

LC Code 03034 31
Contd.
3. Human resource management- this activity consists of motivating, disciplining,
managing conflict,staffing and training.
Average manager spent 20% of his/her time on this activity.
Successful managers spends 11% of his/her time on this activity.
Effective managers spends 26% of his/her time on this activity.
4. Networking- it involves socializing, politicking, and interacting with outsiders.
Average manager spent 19% of his/her time on this activity.
Successful manager spends 48% of his/her time on this activity.
Effective managers spend 11% of his/her time on this activity.

SMU Learning Centre, Alwar

LC Code 03034 32
SMU Learning Centre, Alwar
LC Code 03034 33