MANAGEMENT- DEFINITION,

OBJECTIVES,CHARACTERISTICS
AND FUNCTION
Objectives

• Understand the Meaning and the

definitions of Management
• Features of , Functions and
importance of management
• Know and Understand the relation
between Administration and
Management
Introduction

• With the increasing complexities,

managing the business concern
becomes difficult.
• Every business unit has objectives of
its own.
• The need of existence has
increased tremendously.
Meaning and
Definition Of
Management

• Meaning of Management:
– Management if the art of getting things
done by a group of people with the
effective utilization of available
resources

• Definitions of Management:
– According to various experts like Peter F.
Drucker, Ralph C. Davis etc.
Definition of
Management

• Joseph L. Massie: Management is the

process by which a cooperative group
directs actions towards common goal

• James D. Monny: Management is

the art of directing and inspiring
the people
Definition of
Management

• G.E. Millward: Management is the

process and the agency through
which execution of policy is planed
and supervised

• Management is the process

consisting the functions of:
– Planning
– Organizing
 Characteristics of
Management
Three common characteristics of the organization
purpose Every organization has its distinct
Organizations are made up of
purpose, which is typically
people. Making a goal into
expressed in terms of a goal or
reality entirely depends on set of goals.
people’s
decisions and activities in the
organization. All organizations develop

Organization a systematic structure

that defines and limits the
behavior of its members.

People Structure
Characteristics of
Management

• Art as well as Science

• Management is an activity

• A continuous Process

• Management achieving Pre-defined

objectives
Characteristics of
Management

• Organized Activities

• Management is a Factor of
Production
Characteristics of
Management

• Management as system of
activity

• Management is a discipline
Characteristics of
Management

• Management is a purposeful
activity

• Management is a distinct entity

• Management aims at
maximizing profit

• Decision making

• Management is a profession
Characteristics of
Management

• Universal Application

• Management is getting
things done

• Management as a class of a
team

• Management as a career
Characteristics of
Management

• Direction and control

• Dynamics

• Management is needed at
all levels

• Leadership activity
 Functions of
Management

Planning Organizing Leading Controlling

1.Defining goals 1.Determining 1.Directing Monitoring
2.Establishing what needs to 2.Motivating activities to
strategy done all involved ensure that Achieving the
Resulting in organization’s
3.Developing 2.How it will parties they are
sub plans be to done 3.Resolving accomplished stated purpose
coordinate 3.who is to do conflicts as planned
activities it
Functions of
Management

• Planning:
– Primary function of Management
– specifying the goals to be achieved and
deciding in advance the appropriate
actions taken to achieve those goals
– delivering strategic value - planning
function for the new era
• a dynamic process in which the
organization uses the brains of its
members and of stakeholders to identify
opportunities to maintain and increase
competitive advantage
Functions of
Management

• Organizing:
– Distribution of work in Group wise or
section wise for effective performance.
– Assembling and coordinating the human,
financial, physical, informational, and
other resources needed to achieve goals
– The future requires building flexible
organizations
Functions of
Management

• Staffing:
– Activities of selection and placement of
competent personnel.
– Filling and keeping filled with qualified
people all positions in the business.
– Managers must be good at mobilizing
people to contribute their ideas
Functions of
Management

• Directing:
– The actual performance of a work starts
with this.
– Stimulating people to be high
performers.
– Influencing people's behavior through
motivation, communication, group
dynamics, leadership and discipline.
Functions of
Management

• Co-coordinating :
– All the activities are divided group wise
or section wise under organizing
function
– Such activities are co-ordinated towards
the accomplishment of objectives of the
organization.
– monitors progress and implements
necessary changes
– makes sure that goals are met
– new technology makes it possible to
Functions of
Management

• Motivating or actuating:
– All the goals are achieved
– Increasing the speed of
performance
Functions of
Management

• Controlling:
– Ensures the confirmation of the achieved
objectives to preplanned objectives
Functions of
Management

• Innovation:
– The presentation of personnel and
organization to face the changes made
in the business world

• Representation:
– Manager is the representative of the
company

• Decision-making:
Functions of
Management

• Communication:
– The transmission of human thoughts

• Classification of functions of
management according to Luther
Gullik
– POSDCORB
Importance of
Management

• Management meet the challenges

of change

• Accomplishment of group goals

• Effective utilization of business

Importance of
Management

• Effective functioning of
business

• Resource development

• Sound organization
structure
Importance of
Management

• Management directs the

organization

• Integrates the various

interests

• Stability
Importance of
Management

• Innovation

• Co-ordination and team-

spirit

• Tackling problems

• A tool for personality

development
 Administration &
Management

Top Level
Board of Directors Administration

General Managers Department Manager

Supervisor Management

Workers
Difference between
Administration &
Management

• Oliver Sheldon: Administration is

concerned with the determination of
the corporate policy. Management is
concerned with the execution of policy
within the limits set up by
administration

• William R. Spiregal: Administration is

concerned with overall determination
of industrial objectives. Management
is concerned with carrying out of the
Difference between
Administration &
Management

• E.F.L. Brech: Management is a social

process entailing responsibilities for
the effective and economical
planning. Administration is a part of
management concerned with
installation and carrying out of he
procedures.

• Theo Heimann: each manager

performs both activities and spends
 Difference between
Administration &
Management
S. No. Basis of Administration Management
distinctio
n
1. Policy and Determines policy Implements the
objectives to be followed and policy and achieves
decide the the objectives
objectives to be
achieved
2. Directing of Not directly involves Directly involves in the
human efforts in the execution of execution of plan and
plan and achieving objectives
achievements of
objectives
3. Main function Planning organizing and Direction, motivation and
staffing
4. Levels of Top level executives Lower level executives
executives
Summary

• A business develops in course of

time with complexity

• Management aims at maximizing

profit

• Many times the terms

administration and management
are used synonymously
 End of Chapter 1
Nature Of Management