Definition

Process

designing and maintaining an environment

individuals, groups, efficiently accomplish selected aims.

Management Properties
Managers carry out Managerial Functions

Applies to any kind of Organization.

Applies to managers at all organizational levels

Aim to create a surplus

Concerned with Productivity

Managerial Skills
Technical Skill Knowledge of and proficiency in activities involving methods, processes and procedures. It involves working with tools and specific techniques. Human Skill Ability to work with people. Includes cooperative effort, teamwork, environment creation. Conceptual Skill Ability to see the big picture, To recognize significant elements in a situation To understand relationships among the elements.

Design Skill
Ability to solve problems in ways that will benefit the enterprise. Ability to work out a practical solutions/workable solution to a problem.

Managerial Roles

Planning

Controlling Management Functions

Organizing

Leading

Staffing

Management Functions
Planning
selecting missions and objectives Actions to achieve them It requires decision making No real plan exist until a decision-a commitment of human or material resoures or reputation-has been made

Organizing
Establishing an intentional structure of roles for people to fill in an organization. Purpose is to help create an environment for human performance It is an management tool and not an end in and of itself.

Management Functions
Staffing
Filling & keeping filled, the positions in the organization structure.

Leading
Influencing people sothat they will contribute to organization and group goals.

Controlling
Measuring and correcting individual & organizational pereformance to ensure that events conform to plans.

Fayols 14 Principals
Division of Work Authority & Responsibility

Discipline
Unity of command Unity of direction

Subordination of individual interests to general interests

Remuneration Centralization Scalar chain Order Equity Stability of tenure Intiative Exprit de corps

8 Types of Plan
1. Purposes or Mission
Identifies the basic function or task of an enterprise or any part o fit.

2. Objectives or Goals
The ends toward which activity is aimed. It is not only the end point of planning but also the end toward which other managerial functions are aimed.

3. Strategies
Determination of basic long term objectives Adoption of course of action Allocation of resources necessary to achieve these goals.

4. Policies
General statements or understandings that guide and channel thinking in decision making. Defines an area within which a decision is to be made and ensure the decision will be consistent with and contribute to an objective. Can be both implicit and explicit.

8 Types of Plan
5. Procedures
Establish a required method of handling future activities. Chronological sequence of logical actions. Guides to action rather than to thinking.

6. Rules
Spell out specific required actions or nonactions, allowing no scope for discretion.

7. Programs
A complex of goals, policies, procedures, rules, task assgnments, steps to be taken, resources to be employe and other elements necessary to carry out a given course of action They are ordinarily supported by Budgets

8. Budgets
A statement of expected results expressed in numerical terms. A numberized program Its also a control device.

Steps in Planning
1. Being aware of opportunities 2. Establishing objectives 3. Developing premises

6. Selecting a course

5. Evaluating alternative courses

4. Developing alternative courses

7. Formulating derivative plans

8. Numbering plans by budgeting.

Hierarchy of Objectives
Socioeconomic purpose Mission Overall objectives of the organization(long range, strategic) More specific overall objectives(E.G. Key result areas)

Board of Directors Top Level Managers

Division Objectives

Mid Level Managers

Department & unit objectives

Lower Level Managers

Individual objectives

To be measurable, Objectives must be verifiable.

Non verifiable
1. To make a reasonable profit
2. To improve communication 3. To improve productivity of the production department 4. To develop better managers 5. To install a computer system.
5. 1. 2.

Verifiable
To achieve a return on investment of 12% at th end of the current fiscal year. To issue a two page quarterly newsletter beginning July 1 , 2012, involving not more than 40 working hours of preparation time. To increase production output by 5% by December 31, 2012, without additional costs while maintaining the current quality level. To design and conduct a 1-hour-in-house program on the fundamentals of management, to be completed by Dec 31, 2012, involving not more than 10 working hours of management development staff and with at least 90% managers passing the exam. To install a computerized control system in the production department by Dec 31, 2012, requiring not more than 500 working hours of system analysis and operating with not more than 10% downtime during the first three months or 2% thereafter.

3.

4.

Setting Objectives
Not too long but to cover main features

Verifiable in terms of what and when

Objectives

Quality desired & projected cost mentioned.

Be challenging, indicate priorities & promote personal & Professional growth & development.

Checklist for Manager Objectives

1. 2. 3. 4. Do the objectives cover the main features of my job? Is the list of objectives too long? If so, can I combine some objectives? Are the objectives verifiable, that is, will I know at the end of the period whether they have been achieved? Do the objectives indicate:
a) b) c) d) Quantity (how much)? Quality(how well, or specific characteristics)? Time(When)? Cost?

5. 6.

Are the objectives challenging yet reasonable? Are priorities assigned to the objectives(ranking, weight etc.)? Are the objectives coordinated with those of other managers and organizational units? Are they consistent with the objectives of my superior, my department, and the company? Are the objectives coordinated with those of other managers and organizational units? Are they consistent with the objectives of my superior, my department, and the company?

7.

Checklist for Manager Objectives

8. Does the set of objectives also include: a) Improvement objectives? b) Personal development objectives? Have I communicated the objectives to all who need to be informed? Are the short-term objectives consistent with the long-term aims? Are the assumptions underlying the objectives clearly identified? Are the objectives expressed clearly, and are they in writing? Do the objectives provide for timely feedback so that I can take any necessary corrective steps? Are my resources and authority sufficient for achieving the objectives? Have I given the individuals who are expected to accomplish the objectives a chance to suggest their objectives? Do my subordinates have control over the aspects for which they are assigned responsibility?

9. 10. 11. 12. 13.

14. 15.
16.

Management by Objectives

Control Process

Establishing Standards

Measuring and Comparing

Correcting deviations

Control Process in Details

Desired Performance Actual Performance Measurement of actual performance

Analyses of causes of deviations

Identification of deviations

Comparison of actual against standard

Program of corrective action

Implementation of correction

Types of Control

Preventive

Feedback

Concurrent

Types of Critical Point Standards

Revenue Program

Cost

Intangible

Physical

Goals

Capital

Standards

Strategic Plans

Organizing
Enterprise objectives Supporting objectives, policies and plans Identification & Classification of required activities

Grouping of activities in light of resources & situations

Authority delegation to group heads

Horizontal & vertical coordination of authority and info relationship

Organizing
Top Level
Mid Level

Lower Level

Span of Management

Delegation Training Plans

Maturity

Willingness

Factors for Span

Manager Specialties at upper level

Verifiable objectives

Environmental changes

Simple task

Structure & communication

Formal vs Informal Organization

Structure of Organization