Basics of Management
Organization
Organizations are groups of people, with ideas and resources, working
toward common goals.
OR
A systematic arrangement of people brought together to accomplish some
specific purpose is called organization.
Characteristics of Organization
Distinct Deliberate
Purpose Structure
People
Manager
❑ A manager is someone who
coordinates and oversees the
work of other people so that
organization goals can be
accomplished
❑ Changing nature of organizations
and work has blurred the clear
lines of distinction between
managers and non-managerial
employees
❑ A manager’s job is not about
personal achievement, it is about
helping others to do their work
Managerial skills
Managerial Skills
Primary Skills Secondary Skills
• Conceptual Skill • Design Skill
• Technical Skill • Communication Skill
• Human Skill • Leadership Skill
Managerial skills Cont’d
❑ Conceptual skills:
▪ This refers to the ability to think and conceptualize abstract
situations. These abilities are required for making complex
decisions.
▪ In short it is:
The mental capacity to develop plans, strategies and
vision
❑ Human or interpersonal skills:
▪ This includes the ability to understand other people and
interact effectively with them. The human skills are also
important in creation of an environment in which people
feel secure and free to express their opinions.
▪ In short it is:
The ability to work with other people in teams
Managerial skills Cont’d
❑ Technical skills:
▪ These skills include the knowledge, abilities of and
proficiency in activities involving methods, processes
and procedures in the relevant fields as accounting,
engineering, manufacturing etc.
▪ Or in short:
The ability to use the knowledge or techniques of a
particular discipline to attain ends
❑ Design skills:
▪ These skills enable a manager to handle and solve
any kind of unforeseen or actual problems, that may
crop up in the organization. Such problems could
arise due to internal factors or external factors and/or
both.
▪ In short it is:
The problem solving skill
Managerial skills Cont’d
❑ Communication skills:
▪ The abilities of exchanging ideas and information effectively
▪ To understand others and let others understand
comprehensively
❑ Leadership skills :
▪ The abilities to influence other people to achieve the common
goal
Skill distribution at various
management levels
Roles of manager
Role: a set of expectation for one’s
behavior
In 1960, Henry Mintzberg conducted a study to
understand about the managerial roles. He
identified 10 managerial roles that are common
to all managers. These 10 managerial roles are
grouped under: Interpersonal, decisional, and
informational roles
Roles of Manager
Decisional Informational
Interpersonal
• Entrepreneur • Monitor
• Figurehead
• Disturbance handler
• Leader • Disseminator
• Resource allocator
• Liaison • Spokesperson
• Negotiator
Roles of manager Cont’d
A: Inter-personal Role
1. Figurehead: Represents the company on social occasions.
Attending the flag hosting ceremony, receiving visitors or
taking visitors for dinner etc
2. Leader: In the role of a leader, the manager motivates,
encourages, and builds enthusiasm among the employees.
Training subordinates to work under pressure, forms part of
the responsibilities of a manager
3. Liaison: Consists of relating to others outside the group or
organization. Serves as a link between people, groups or
organization. The negotiation of prices with the suppliers
regarding raw materials is an example for the role of liaison
Roles of manager Cont’d
B: Decisional Role:
1. Entrepreneur: Act as an initiator and designer and
encourage changes and innovation, identify new ideas,
delegate idea and responsibility to others.
2. Disturbance handler: Take corrective action during
disputes or crises; resolves conflicts among
subordinates; adapt to environmental crisis.
3. Resource allocator: Decides distribution of resources
among various individuals and groups in the
organization.
4. Negotiator: Negotiates with subordinates, groups or
organizations- both internal and external. Represents
department during negotiation of union contracts, sales,
purchases, budgets; represent departmental interests
Roles of manager Cont’d
Informational role:
1. Monitor: Emerges as nerve center of internal and
external information about Information
2. Disseminator: Transmits information received from
other employees to members of the organization
3. Spokesperson: Transmits information to the people who
are external to the organization, i.e., government, media
etc. For instance, a manager addresses a press
conference announcing a new product launch or other
major deal
Functions of management
1 Planning is the process of setting goals, and charting the best way of action for
Planning achieving the goals. This function also includes, considering the various steps to
be taken to encourage the necessary levels of change and innovation.
2 Organizing is the process of allocating and arranging work, authority and
Organizing resources, to the members of the organization so that they can successfully
execute the plans.
3 Staffing is the process of filling the positions in the organization and keeping them
Staffing filled. Staffing is the process of recruiting and selecting the right person for the
right job at the right time in the right place.
4 Leading involves directing, influencing and motivating employees to perform
essential tasks. This function involves display of leadership qualities, different
Leading leadership styles, different influencing powers, with excellent abilities of
communication and motivation.
5 Controlling is the process of devising various checks to ensure that planned
performance is actually achieved. It involves ensuring that actual activities
Controlling conform to the planned activities. Monitoring the financial statements, checking
the cash registers to avoid overdraft etc., form part of this process.
Levels of management
1. Top Level:
▪ Top management sets the mission and goals, develops policies,
evaluates the overall performance of various departments,
responsible for the business as a whole and is concerned mainly
with long-term planning
2. Middle Level:
▪ Middle level management develops departmental goals, executes
the policies, plans and strategies determined by top management ,
develops medium- term plans and supervises and coordinate
lower-level managers’ activities
3. Lower (Supervisory, frontline) Level:
▪ Lower level management takes charge of day-to-day operations, is
involved in preparing detailed short-range plans, is responsible for
smaller segments of the business, executes plans of middle
management , guides staff in their own subsections and keep close
control over their activities
Levels of management
Top
Management
President, CEO,
Executive
Vice Presidents
Middle Management
Plant Managers, Division Managers,
Department Managers
First-Line Management
Foreman, Supervisors, Office Managers
Non- Managerial Employees
Most
Least
Important
Important
Planning
Organizing
Staffing
Top
Managers
Directing
Controlling
Planning
Organizing
Middle Staffing
Managers
Directing
Controlling
Planning
Organizing
Staffing
First-Line
Managers
Directing
Controlling
Importance of management functions to managers in each level
MONITORING AND EVALUATION OF AN ENTERPRISE
❑It is regular systematic collection and analysis of information to
track the progress of programme implementation, careful
check of project activities over a period of time
❑Clarifies program objectives
❑Links activities and their resources to objectives
MONITORING AND EVALUATION OF AN ENTERPRISE
❑Translates objectives into performance indicators and sets
targets
❑Routinely collects data on these indicators, compares actual
results with targets
❑Reports progress to managers and alerts them to problems
❑ Evaluation:
▪ It is an objective assessment of an
ongoing or recently completed project, or
program
▪ It is assessing or estimating the value, worth
or impact of an intervention and is typically
done on a periodic basis –perhaps annually
or at the end of a phase of a project or
program
▪ Analyzes why intended results were or were
not achieved
▪ Assesses specific casual contributions of
activities to results
▪ Examines implementation process
▪ Explores unintended results
▪ Provides lessons, highlights significant
accomplishments or program potential and
offers recommendations for improvement
Thank you
