Management

Organization

An organization is a deliberate arrangement of people to accomplish some specific purpose.

Characteristics of Organizations Distinct Purpose Deliberate Structure People

Managers and Managing

` ` ` ` m All types of organization Small - Large All Organizational Areas (Manufacturing, Marketing, Human Resources, Accounting Information System, etc) All types of Organization – Profit or non-profit Management needed in …. ` ` ` ` m All organization levels Bottom - Top

Management involves ensuring that work activities are completed efficiently and effectively by the people responsible for doing them. Efficiency – “ doing things right”- getting the most output from the least amount of inputs. Effectiveness – “doing the right things” – doing those work activities that will help the organization reach its goals.

Managers - are the people responsible for supervising/ managing the organization’s resources to meet its goals. They are responsible for the works of people directly working to them

Manager – someone who coordinates and overseas the work of other people so that organizational goals can be accomplished. Helping others do their work Coordinating the work of a departmental group Supervising a single person

Administration Middle English word administracioun, which is in turn derived from the French administration, itself derived from the Latin administratio - a ad ("to") and ministratio ("give service") is the management of any institution, public or private. Interpretation of the policy set by an organization’s board of directors, and its translation into executive action.

Supervision To inspect, to guide, evaluate. And improve work performance pf employees through a criteria against which the quality and quantity of work production and utilization of time and resources are made The act of looking over or directing and inspecting the performance of workers or work

MANAGER LEADER SUPERVISOR The Difference between a Leader is a person who influences a group of people towards the achievement of a goal – (person, people, purpose)

Managers are expected to lead. To lead, you must be competent, understand your business, and be able to communicate. A good leader is not always a manager, but a good manager is always a leader. Dickey Townley – Manager, Environmental Health and Safety, Holly Energy Partners LP, New Mexico

Management is a career. Leadership is a calling. A supervisor looks over or directs and inspects the performance of the workers or the work

"A leader knows what's best to do; a manager knows merely how best to do it." - Ken Adelman

Management Levels Organizations often have 3 levels of managers: 1-13 Management Levels Organizations often have 3 levels of managers: First-line Managers: responsible for day-to-day operation. They supervise the people performing the activities required to make the good or service. Middle Managers: Supervise first-line managers. They are also responsible to find the best way to use departmental resources to achieve goals Top Managers: Responsible for the performance of all departments and have cross-departmental responsibility. They establish organizational goals and monitor middle managers.

Three Levels of Management 1-14 Three Levels of Management Top Managers Middle Managers First-line Managers Non-management

Roles of Managers (Mintzberg) Interpersonal role Informational role Decisional role

Managerial Skills There are three skill sets that managers need to perform effectively. (Katz) All skills are enhanced through formal training, reading, and practice.

1. Conceptual skills: the ability to analyze and 1. Conceptual skills: the ability to analyze and diagnose a situation and find the cause and effect. 2. Human skills: the ability to understand, alter, lead, and control people’s behavior. - dealing with people and how to ‘get along’ with them 3. Technical skills: the job-specific knowledge required to perform a task. - Proficiency in performing an activity in the correct manner with the right technique - Common examples include marketing, accounting, and manufacturing.

Skill Type Needed by Manager level 1-22 Skill Type Needed by Manager level Top Managers Middle Managers Line Managers Conceptual Human Technical Figure 1.5

according to Summer Knowledge – ideas, concepts, or principles that can be expressed and are accepted Attitude – beliefs, feelings, and values Interest, confidence, responsibility, respect, and desire Ability – art, skill, judgment, and wisdom

Managerial Functions Henri Fayol was the first to describe the four managerial functions when he was the CEO of a large mining company in the later 1800’s. Fayol noted managers at all levels, operating in a for profit or not for profit organization, must perform each of the functions of: Planning, organizing, leading, controlling.

4 functions of Management Planning Organizing Leading Controlling

1-9 Planning Planning is the process used by managers to identify and select appropriate goals and courses of action for an organization. 3 steps to good planning : 1. Which goals should be pursued? 2. How should the goal be attained? 3. How should resources be allocated? The planning function determines how effective and efficient the organization is and determines the strategy of the organization.

1-10 Organizing Organizing is the process of assigning tasks, allocating resources, and coordinating work activities Success begins with organizing In organizing, managers create the structure of working relationships between organizational members that best allows them to work together and achieve goals.

Managers will group people into departments according to the tasks performed. They also lay out lines of authority and responsibility for members. An organizational structure is the outcome of organizing. This structure coordinates and motivates employees so that they work together to achieve goals.

1-11 Leading Leading is the process of arousing people’s enthusiasm to work hard and inspiring their efforts to fulfill plans and accomplish objectives - In leading, managers determine direction, state a clear vision for employees to follow, and help employees understand the role they play in attaining goals.

Leadership involves a manager using power, influence, vision, persuasion, and communication skills. The outcome of the leading function is a high level of motivation and commitment from employees to the organization.

1-12 Controlling Controlling is the process of measuring performance and taking action to ensure desired results. In controlling, managers evaluate how well the organization is achieving its goals and takes corrective action to improve performance. Managers will monitor individuals, departments, and the organization to determine if desired performance has been reached. Managers will also take action to increase performance as required.

The outcome of the controlling function is the accurate measurement of performance and regulation of efficiency and effectiveness.

Four Functions of Management 1-8 Four Functions of Management Planning Figure 1.2 Choose Goals Controlling Organizing Monitor & measure Working together Leading Coordinate

MANAGEMENT THEORIES Scientific Management (F. Taylor, F. and L. Gilbreth) Bureaucratic Theory (Max Weber) Administrative Principles (M.P. Follet, H. Fayol, C. Barnard, L. Gullick and L. Urwick, and J. Mooney) Human Relations/ Organizational Behavior (E. Mayo, F. Roethlisberger) Selective content of Motivation theories (A. Maslow, F. Herzberg, D.McGregor, W. Ouchi)

Replace rule-of-thumb work methods with methods based on a scientific study of the tasks. Scientifically select, train, and develop each employee rather than passively leaving them to train themselves. Provide "Detailed instruction and supervision of each worker in the performance of that worker's discrete task" (Montgomery 1997: 250). Divide work nearly equally between managers and workers, so that the managers apply scientific management principles to planning the work and the workers actually perform the tasks

14 Principles of Management Henri Fayol’s 14 Principles of Management    Division of work    Authority    Discipline    Unity of command    Unity of direction    Subordination of individual interest    Remuneration    Centralization    Scalar chain    Order    Equity    Stability of tenure    Initiative    Esprit de corps

Fayol’s 5 Functions of Management Roles and Actions: to forecast and plan examine the future and draw up plans of action to organise build up the structure, material and human of the undertaking to command maintain activity among the personnel to co-ordinate bind together, unify and harmonise activity and effort to control see that everything occurs in conformity with policy and practise

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