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Introduction to

Management
DR. M MANJUNATH
SHETTIGAR
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Introduction to Principles
and Functions of
Management
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Management:
Meaning, Principles and
Functions of Management.

Different Schools of
Management and
Management Thought.
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Efficiency
Getting work
done through
others Effectiveness
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Principles of Management
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F.W. Taylor

Develop a science for each element of a mans work,


which replaces the old rule-of-thumb method.

Scientifically select and then train, teach, and


develop the workmen.

Cooperate with the men to ensure all work is done in


accordance with the principles of the science.

There is almost equal division of work and


responsibility between management and workmen.
Time & Motion Studies:
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Frank & Lillian Gilbreth

Time Study
Timing how long it takes good workers
to complete each part of their jobs.

Motion Study
Breaking each task into its separate
motions and then eliminating those that
are unnecessary or repetitive.
14 Principles of Management
Henry Fayol 8

1. Division of Work: allows for job specialization. Work


should be divided among individuals and groups.
2. Authority and Responsibility: Authority right to
give orders. Responsibility involves being answerable
Whoever assumes authority assumes responsibility
3. Discipline: Common efforts of workers. Penalties
4. Unity of Command: Employees should have only
one boss.
5. Unity of Direction: A single plan of action to guide
the organization.
6. Subordination of individual interests to the
general interests of organization
14 Principles of Management
Henry Fayol 9

7. Remuneration: An equitable uniform payment


system that motivates and contribute to success.
8. Centralization: The degree to which authority rests
at the top of the organization.
9. Scalar Chain: Chain like authority scale.
10. Order: The arrangement of employees where they
will be of the most value to the organization.
11. Equity: The provision of justice and fair dealing
12. Stability of Tenure of Personnel
13. Initiative
14. Esprit de corps: Harmony, general good feeling
among employees
Functions of
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Management
Planning and
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Decision Making

Defining goals,
establishing
strategy and
developing sub
plans to choose
alternatives and
coordinate activities
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Deciding where
decisions will be made

Who will do what jobs


and tasks

Who will work for


whom
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Inspiring

Leading
Motivating
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Monitoring
progress towards
goal achievement
and taking
corrective action
when needed
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Levels of Management
Top managers

Middle managers

First-line managers

Areas of Management
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Creating a context for change

Developing commitment
and ownership in employees

Creating a positive organizational


culture through language and action

Monitoring their business environments


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Plan and allocate resources to meet objectives

Coordinate and link groups,


departments, and divisions

Monitor and manage the performance


of subunits and managers who report to them

Implement changes or strategies


generated by top managers
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Manage the performance of


entry-level employees

Encourage, monitor, and reward


the performance of workers

Teach entry-level employees how to do


their jobs
Make detailed schedules and operating
plans
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Interpersonal Informational Decisional


Figurehead Monitor Entrepreneur

Leader Disseminator Disturbance


Handler
Liaison Spokesperson
Resource
Allocator

Adapted from Exhibit 1.4


Negotiator
H. Mintzberg, The Managers Job: Folklore and Fact:. Harvard Business Review, July-August 1975.
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Technical Skills Human Skills

Motivation to
Conceptual Skills
Manage
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Ethics

Knowledge
Management Diversity

MANAGER
Innovation Globalization

Customers E-Business
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Quality
Viewpoint
Contingency
Viewpoint
Systems
Viewpoint
Behavioral
Viewpoint
Traditional
Viewpoint
1900 1910 1920 1930 1940 1950 1960 1970 1980 1990 2000
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Administrative
Management

Bureaucratic Goals:
Efficiency
Management
Consistency

Scientific
Management
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Rulesformal guidelines for the behavior of


employees on the job

Impersonalityemployees are evaluated


according to rules and objective data

Division of Laborsplitting work into


specialized positions
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Fourteen
Principles of
Management
given by
Henry Fayol
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Focuses on dealing effectively with the


human aspects of organizations

Started in the 1930s

Emphasis on working conditions

Workers wanted respect

Workers formed unions to bargain


with management
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Problem or Situation

Important
Contingencies

Solution or Solution or Solution or


Action A Action B Action C
Source: Van Fleet, David D., Contemporary Management, Second Edition. Copyright 1991 by Houghton Mifflin Company.
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Positive
Lower Costs
Company
and Higher
Image
Market Share

Decreased
Product Liability
Quality
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