Organization Management Reviewer Internal Environment

Top Management
What is Management?
Refers to the process of coordinating and integrating
Work activities so that they are completed efficiently
and effectively with through other people (Robbins and
Coulter)
The attainment of organizational goals in an effective
and efficient manner through planning, organizing,
leading and controlling organizational resources
(Richard Daft)
The process of designing and maintaining an
environment in which individuals, working together in
groups, efficiency and accomplish selected aims
(Koontz ad Weilrich)
The 6 M’s of organizational resources
 Money-financial and economic resources
 Materials-“supplies”
 Machines-organizational resources that process
the materials
 Methods-refers to the styles, culture, systems,
and procedures
 Moments-time allotted for all the work
activities of the organization.
 Manpower-people have the capacity on how to
handle the rest of the resources.
Why is management both an art and science?
An art? Because it entails the creative abilities of the
manager in various areas of the business or
organization: problem- solving, product
conceptualization and innovation, interpersonal
relationship and his other decision-making
responsibilities.
A science? Because it involves careful and step- by step
study and research of both the external and internal
environments of the firm, to arrive at a sound and
effective strategy or decision, that shall enable the firm
to attain its goals.
External Environment of the Firm
Support Service
Human Resource Development
Finance
Operation
Marketing
Research and Development
Who is a Manager?
 An organizational member who integrates and
coordinates the work of other.
VERTICAL DIFFERENCE
 Top Managers – who responsible for making
organization-wide decisions and establishing
policies ( Executive VP, President, CEO,
Managing Director, COO, Chairman of the
Board)
 Middle Managers- All levels of management
between the supervisory level and the top level
of the organization ( Department Head, Agency
Head, Project Leader, Plant Manager, Unit
Chief, Dean, Division Manager)
 First Line Mangers- Supervisors, the Lowest
level management.
HORIZONTAL DIFFERENCES
 Functional Managers- Responsible for
departments that perform a single
functional task and have employees with
similar training and skills
 General Managers- Responsible for several
department that perform different
functions
2 ESSENTIAL MANAGERIAL VIEWPOINTS
 Helicopter point of view – WHOLE
organization
 Forest point of view- HANDS ON manner
 Managing by walking around ( TOM PETERS)
 HAND INFORMATION
Efficiency- DOING THINGS RIGHT
Effectiveness- DOING THE RIGHT THING
Organization- distinct purpose, deliberate structure,
People

Socio- Cultural, Demographic and Environmental Forces Management Functions

Competitive Forces
Political, Legal and Governmental Forces Planning—strategy and planning
Technological Forces Organizing- what needs to be done and how it will be
Economic Forces done, and who is to do it
Leading- motivating
Controlling- monitoring
Interpersonal Roles- that requires managers to perform
duties that involve people and other duties that are
ceremonial in nature
 Figurehead- Symbolic head, obliged to
perform a number of routine duties of
legal or social nature
 Leader- responsible for the motivating
and activation
staffing, training and associated duties
 Liaison- self developed network
Informational Roles-that includes receiving, collecting
and disseminating information
 Monitor- seeks and receives wide
variety of special of special
information to develop through
understanding of organization and
environment emerges
 Disseminator- transmits information
received from outsiders or from
subordinates to member of the
organization
 Spokesperson-Transmit information
to outsider on organization’s plans,
policies, action result.
Decisional Roles- Roles which revolve making choices
 Entrepreneur- improvement project
 Disturbance Handler- for corrective action when
organization faces important unexpected
disturbance
 Resource Allocator- allocation of organizational
resource
 Negotiator- Representing the organization at
major negotiations.
Management Skills
 Technical Skills- knowledge of and proficiency,
engineering, computer, finance or
manufacturing
 Human Skills- The ability to work well with
other people both individually and in a group
 Conceptual Skills- the ability to think and
conceptualize a whole
 Top management – conceptual skills
 Middle management- human skills
 Lower management- technical skills
Historical Forces Shaping Management
 Social Forces- the aspect of a culture that guide
and influence relationship among people- their
values, needs and standard
 Social Contract- refers to the unwritten
common rules and perceptions about
relationship among
 Political Forces- the influence of political and
legal institution on people and organization
 Economic Forces- that affect the availability,
production and distribution of a society
resources among competing users
Classical Perspective
 3000 B.C
 First government by Sumerian and Egyptian
 Early study
 Classical perspective, which emerged
during the nineteenth and early twentieth
centuries
 Factory system 1800
 Tooling
 Organizational management structure
 Training employees
 Scheduling
 Dealing with labor dissatisfaction
Scientific Management
 Frederick Taylor -Scientific management,
change of management is determined only by
scientific study, precise procedures developed
after careful study of individual situations
 Henry Gantt -The Gantt Chart as a tool to
measure each stage of production by time
elapsed
 Frank B. Gilbreth -Time and motion study, the
concept of one best way of doing work
 Lilian M. Gilbreth -The field of industrial
psychology, personnel management
 Max Weber- Bureaucracy and bureaucratic
organizations, the concept of rational authority
Humanistic perspective
 Abraham Maslow -The pyramid of human needs
 Douglas McGregor Theory X and Theory Y in the
workplace. Behavioral sciences approach
Management science perspective
 Operations management- refers to the field
of management that specializes in the
physical production of goods or services
 Management information systems- timely
and cost efficient manner
Administrative Principles
 A subfield of the classical management
perspective that focused on total
management rather than individual
 Henri Fayol- a French mining engineer
 Unity of command- each subordinates
receives orders from one superior
 Division of work-a managerial and technical
work are amenable to specialization to
produce more and better work with the
same amount of effort
 Unity of Direction- similar activities in an
organization should be grouped together
under one manager
 Scalar Chain- a chain of authority extends
from the top to the bottom of the
organization and should include everyone
employee.
 Fayol also identified five basic function of
management , planning, organizing,
commanding, coordinating and controlling
 System Theory- an extension of the
humanistic perspective that describe
organization as open system.
 System- as whole
 Open System- must interact with the
environment to survive
 Close System- Organizations needs not to
interact
 Entropy- run down and die
 Synergy- whole greater than the sum and
its part
 Subsystem- depend on one another.