ORGANIZATION

&
MANAGEMENT
Quarter 1 -Module 1
Nature and Concept of Management

Jesilo O. Crisostomo
Compiler/Contextualizer
Organization and Management - Grade 11
Quarter 1 – Module 1: Nature and Concept of Management

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work of the Government of the Philippines. However, prior approval of the government
agency or office wherein the work is created shall be necessary for exploitation of such
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Borrowed materials (i.e., songs, stories, poems, pictures, photos, brand names,
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holders. Every effort has been exerted to locate and seek permission to use these
materials from their respective copyright owners. The publisher and authors do not
represent nor claim ownership over them.

Published by the Department of Education-CEBU CITY DIVISION

Region VII

Development Team of the Module

Compliers/Contextualizers:
Jesilo O. Crisostomo- Teacher 1- Apas National High School

Editors / Reviewers:
Alice Ganar, Anna Hazel Vasaya, John Paul Kapuno, Joy Andilab,
Remus C. Mariñas, Daisy Von Dy and Florenda Geyroza
Illustrator:
Jesilo O. Crisostomo- Teacher 1- Apas National High School
Management Team:
RHEA MAR A. ANGTUD, EdD
Schools Division Superintendent

DR. GRECIA F. BATALUNA

Chief, Curriculum Implementation Division

DR.LUIS DERASIN, Jr.

EPS- Araling Panlipunan/SHS Division Coordinator

VANESSA L. HARAYO,LLB
EPS-in-charge of LRMS

Department of Education – School Division of Cebu City, Region VII

Office Address: New Imus Ave., Barangay Day-as Cebu City
Telephone No: (032) 253 2559
E-mail Address: cebu.city@deped.gov.ph

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Introduction
Welcome to this alternative delivery module on Organization and Management. An
applied subject in Senior High School offered in Grade 11. This module is designed to
make learning more engaging, meaningful, and challenging in a way that the student
will learn in a flexible and independent learning at their own pace and time.
It is our desire that this module on Organization and Management will provide you
a better understanding on different organizational structure and management set-up
in the 21st century industry setting.
Where there are gaps in knowledge and lack of access to the right opportunities, we
are committed to reach out our students to ensure that no one is left out in progress.
The quality of education is our topmost priority and that the students is able to
meaningfully continue their learning in this time of pandemic.
The motivation behind this effort is the recognition to guide and enhanced students
learning in such a way that they will have a better perspective on the path that they
are tracking. Furthermore, this is to prepare the future workforce of this country be
equipped with ideas and background on how organization work with respect to
management principles.
About the Module
This module was collaboratively designed to assist learning delivery mode of senior
high school curriculum following the set of competencies based on Most Essential
Learning Competencies (MELCs) released by DepEd central office. As facilitators for
learning, teachers will guide and assist students to achieve the required learning set of
standards in the K-12 curriculum while keeping learners safe in their respective
homes in this time of pandemic.
This learning resource material will enable the learners to engage themselves in a
guided and independent set of learning activities at their own pacing. Thus, this also
aims to help learners acquire the needed 21st century skills while taking into
consideration their needs and circumstances.
To the Learners
Enjoy your journey as you unfold the most interesting and worthwhile activities in this
creative undertaking of the Department of Education.
This module was designed to provide you with fun and meaningful opportunities for
guided and independent learning at your own pace and time. You will be enabled to
process the contents of the learning resource while being an active learner.

This module has the following parts and corresponding icons:

What I Need This will give you an idea of the skills or competencies
you are expected to learn in the module.
to Know
This part includes an activity that aims to check what

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 you already know about the lesson to take. If you get
What I Know
all the answers correct (100%), you may decide to
skip this module.
This is a brief drill or review to help you link the
What’s In current lesson with the previous one.
In this portion, the new lesson will be introduced to
you in various ways; a story, a song, a poem, a
What’s New problem opener, an activity or a situation.
This section provides a brief discussion of the lesson.
What is It This aims to help you discover and understand new
concepts and skills.
This comprises activities for independent practice to
What’s solidify your understanding and skills of the topic.
More You may check the answers to the exercises using the
Answer Key at the end of the module.
What I This includes questions or blank sentence/paragraph
Have to be filled in to process what you learned from the
Learned lesson.
This section provides an activity which will help you
What I Can
transfer your new knowledge or skill into real life
Do
situations or concerns.
This is a task which aims to evaluate your level of
Assessment mastery in achieving the learning competency.

In this portion, another activity will be given to you to

Additional enrich your knowledge or skill of the lesson learned.
Activities
This contains answers to all activities in the module.
Answer Key

At the end of this module you will also find:

References: This is a list of all sources used in developing this module.

The following are some reminders in using this module:

1. Use the module with care. Do not put unnecessary mark/s on any part of the
module. Use a separate sheet of paper in answering the exercises.
2. Don’t forget to answer What I Know before moving on to the other activities
included in the module.
3. Read the instruction carefully before doing each task.
4. Observe honesty and integrity in doing the tasks and checking your answers.
5. Finish the task at hand before proceeding to the next.
6. Return this module to your teacher/facilitator once you are through with it.
If you encounter any difficulty in answering the tasks in this module, do not
hesitate to consult your teacher or facilitator. Always bear in mind that you are not
alone.

III
 First Quarter
Week 1- Module 1
Nature and Concept of Management

Content Standard : The learners have an understanding of basic

concepts and theories of management.

Performance Standard : The learners shall be able to apply management

theories and concepts in solving business cases.

Competency/Code : Explain the meaning, functions, types and theories of

management. (ABM_AOM11-Ia-b-1), (ABM_AOM11-Ia-b-2)

What I Know

Multiple Choice: Choose the letter of the correct answer and write it on a separate
sheet of paper.

________1. It is the art of getting things done through and with people in a formally?
organized group.

a. Organization c. Association
b. Management d. Corporation
________2. It is the function of manning the organization structure and keeping it
manned.
a. Organizing c. Controlling
b. Planning d. Staffing
________3. It requires the ability to motivate and effectively direct people. It is the part of
managerial function which actuates the organizational methods to work
efficiently for achievement of organizational purposes.

a. Leading c. Staffing
b. Planning d. Controlling

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_______4. It is an evaluating performance to see whether objectives are being met and
the application of corrective actions. This refers to all the processes that
leaders create to monitor success.

a. Leading c. Staffing
b. Planning d. Controlling
_______5. It is designing a formal structure of tasks and authority in which personnel
and material sources are arranged to carry plans and objectives. It brings
resources together to achieve the goals established in the planning function.

a. Organizing c. Controlling
b. Planning d. Staffing
_______6. It is an act of supervising and directing people, tasks, and things.
a. Directing c. Organizing
b. Management d. Planning
_______7. It is a type of management concept wherein management is the co-
ordination of all resources through the process of Planning, Organizing,
Directing and Controlling in order to attain stated objectives.

a. Traditional Concept c. Basic Concept

b. Strategic Concept d. Modern Concept
______8. It is a type of management concept wherein things are done through others.
a. Traditional Concept c. Basic Concept
b. Strategic Concept d. Modern Concept
______9. It is define as a collection of understandings and findings that help managers
best support their teams and goals. It helps the organizations to focus,
communicate and evolve.

a. Management Theory c. Behavioral Theory

b. Scientific theory d. Administrative Theory
______10. It is a type of management theory which is often called the human relations
movement because it addresses the human dimension of work.

a. Scientific Management c. Bureaucratic Management

b. Administrative Management d. Behavioral Management

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 What I Need to Know

We hope that through this material, you will experience meaningful learning
and gain deep understanding of the relevant competencies. You can do it!

The 21st century has brought with it a new workplace, one in which everyone
must adapt to a rapidly changing society with constantly shifting demands and
opportunities. The economy has become global and is driven by innovations and
technology. Thus, organizations have to transform themselves to serve new customer
expectations. Today’s economy presents challenging opportunities as well as dramatic
uncertainty. The new economy has become knowledge based and is performance
driven.

Organization and Management is designed to familiarize the students with

the basic concepts, principles and processes related to business organization and
functional areas of management. Particular emphasis will be given to the study of
management functions like planning, organizing, leading and controlling, and orient
the students on the importance of these functions and the role of each area in
entrepreneurship.

This module will assist you in understanding the following lessons:

 Definition and functions of management

 Theories of Management

After going through this module, you are expected to be able to:

1. discuss the meaning and functions of management;

2. cite various types of management theories; and
3. apply management theories in solving business cases.
.

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Lesson
Nature and Concept of
1 Management

For over a decade, the term management has been interpreted in several ways.
But for us to have a better understanding on the basic nature of management, we can
simply analyze management in terms of arts and sciences, administrative relation, and
profession. Theories have been developed also in order to support its nature and
concept as well as its principle in order to achieve its purpose and goal.

What’s In

Activity: Management in your daily life

Instruction: Identify the type of management that you encounter in your daily life
operation and future goals. Write the letter of the correct answer on a separate sheet
of paper.
a. Time management
b. Financial management
c. Household management
d. Budgetary management
e. Career management
_____1. It refers to the various task and chores associated with the organization of your
daily activity and day to day home operations

_____2. It refers to the general management principle on how you spent your money
wisely.

_____3. It is the ability to use one’s time effectively or productively, especially during
study time, work and play.

_____4. It is the process of tracking the amount of money that your parents gave you as
your “baon” versus the expenses that you spent in school and other related
activities.

_____5. It is conscious planning of one’s activity and engagements in the job that you
are going to pursue. It is a sequential process that starts from understanding
oneself and encompasses occupational awareness.

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 What’s New

Activity: Identifying Management Functions

Direction: Below are the duties of a management in an organization. Pair the
management functions located below the illustration with its corresponding duties
found in the diagram. Write your answers on a separate sheet of paper.

-
-

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 What is It

The Management
Management comes from Italian word, “Maneggiare”. Maneggiare means to
handle and is derived from two latin words “manus” (hand) and “agere” (to act).
According to Harold Koontz from the definition of his book “The Management Theory
Jungle”, Management is the art of getting things done through and with people in
formally organized group. According to F.W. Taylor, Management is an art of knowing
what to do, when to do and see that it is done in the best and cheapest way. Also,
management can be defined in the following categories:
1. Management as a process
2. Management as an activity
3. Management as a discipline
4. Management as a group
5. Management as a science
6. Management as an art
7. Management as a profession
Concept of Management
A. Traditional Concept
 Management is the art of getting things done through others. (Mary
Parker Follet)
 Management consist of getting things done through others. A manager is
one who accomplishes organizational objectives by directing the efforts of
others. (C.S. George)
B. Modern Concept
 Management is the co-ordination of all resources through the process of
Planning, Organizing, Directing and Controlling in order to attain stated
objectives. (F.W. Taylor)
 Management is establishing an effective environment for people operating
in formal organizational group. (koontz and op’donnel)

Basic Functions of Management

1. Planning
- Involves selecting a course of action and specifying how the action will be
implemented to attain the organization’s objectives.
- It is the process of evaluating the goals of the company and then setting a
course for success.

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 2. Organizing
- Is designing a formal structure of tasks and authority in which personnel
and material sources are arranged to carry plans and objectives. It brings
resources together to achieve the goals established in the planning function.
3. Staffing
- It is the function of manning the organization structure and keeping it
manned.
- The main purpose of staffing is to put the right man on the right job.
4. Leading
- Requires the ability to motivate and effectively direct people. It is the part of
managerial function which actuates the organizational methods to work
efficiently for achievement of organizational purposes.
5. Controlling
- Evaluating performance to see whether objectives are being met and the
application of corrective actions. This refers to all the processes that leaders
create to monitor success.
- The purpose of controlling is to ensure that everything occurs in
conformities within the standards.

What’s More

Activity: Let’s check your understanding of Management.

Direction: On a sheet of paper, answer the guide questions on the box.

1. What is management?
_______________________________________________________
_______________________________________________________

2. What are the basic functions of a management?

_______________________________________________________
_______________________________________________________

3. How would you differentiate each function from the rest?

_______________________________________________________
_______________________________________________________

4. As a student, how would you apply these function in real life

situation?
_______________________________________________________
_______________________________________________________

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Management Theory
First, let’s break down the term. Theories help us understand our
experiences by using research and observable facts. Management is the act of
supervising and directing people, tasks, and things. So, we simply define management
theory as a collection of understandings and findings that help managers best support
their teams and goals. It helps the organizations to focus, communicate and evolve. By
understanding management theory, basic assumptions about management styles and
goals can be assume and can save time during daily interactions and meetings within
an organization.
Importance of Management Theories
1. Management theories help organizations to focus, communicate and evolve.
2. Using management theory in the workplace allows leadership to focus on their
main goals.
3. Management theory allow us to better communicate with people we work with
which in turn allow us to work more efficiently.
By understanding management theory, basic assumptions about management
styles and goals can be assumed and can save time during daily interactions and
meetings within an organization.

Types of Management Theory

1. Theory of Scientific Management - Frederick Taylor (1890-1940)
Taylor’s theory of Scientific Management aimed at improving economic
efficiency especially labor productivity. He felt that workers should get a fair day
pay for a fair day’s work, and that pay should be linked to the amount produced.
Scientific management focuses on worker and machine relationships.
2. Administrative Management Theory - Henri Fayol (1841-1925)
Henry Fayol was known as the Father of Management. He laid down 14
principles of management. The administrative view proposed by Henry Fayol
and Max Weber highlighted the importance of operational efficiency on the
whole organization to develop a general theory explaining the good management
of the elements required which include infrastructure.
3. Bureaucratic Theory of Management - Max Weber (1864-1920)
Weber made a distinction between authority and power. He believed that power
educes obedience through force or the threat of force which induces individuals
to adhere to regulations. Based on the bureaucratic management of Weber,
authority is the power to hold, and people is accountable for their actions.
Positions in the firm should be held based on performance and not in social
contacts. Lines of authority should be clearly identified. Workers know who
reports to. A bureaucracy should have hierarchy of authority, system of task
relationships, written rules, fair evaluation and reward.

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 4. Behavioral Theory of Management- Elton Mayo
The behavioral management theory is often called the human relations
movement because it addresses the human dimension of work. Behavioral
theorists believed that a better understanding of human behavior at work, such
as motivation, conflict, expectations, and group dynamics, improved
productivity.

Activity: Application of business management theories

Instruction: Below is a situation of corrugated box manufacturing firm. Read the

situation below in order for you to solve the problem of Company X by applying the
different management theories. Write your answers on a separate sheet of paper.

Situation: A 25-year-old company X is producing corrugated boxes intended for dry

goods. One of its clients ordered a monthly production of 100,000 pieces of box to be
used for water bottle packaging. Unfortunately, Company X did not meet the client’s
expectations due to low performance of machinery. Internally, Company X has a
problem with its employee due to less benefits and low salary. Also, Company X is
facing poor quality production from other clients. If you are the manager of Company X,
how do you apply the different management theory in order to maintain better customer
relation and satisfaction, and increase production of good quality?

1. Theory of Scientific Management

______________________________________________________________________________
______________________________________________________________________________

2. Administrative Management Theory

______________________________________________________________________________
______________________________________________________________________________

3. Bureaucratic Theory of Management

______________________________________________________________________________
______________________________________________________________________________

4. Behavioral Theory of Management

______________________________________________________________________________
______________________________________________________________________________

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 What I Have Learned

Instruction: Write your answers on a separate sheet of paper.

a. In this module, I have learned that management is
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________
______________________________________________________________________________

b. Draw a diagram of the functions of management.

What I Can Do

Activity: Managing COVID-19

Instruction: Based on the current situation that we have, IATF was tasked to
manage the spread and control of the virus. Write four (4) activities under each
management functions. Write your answers on a separate sheet following the sample
table below.

Management functions IATF Activities

1. Plan to set-up more isolation facilities
2.
Planning 3.
4.
5.
1. Organize Safety and Health protocols
2.
Organizing 3.
4.
5.
1. Lead the implementation of

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 Health and Safety protocols as
Leading required by DOH
2.
3.
4.
5.
1. Recruit qualifies personnel for
contact tracers
Staffing 2.
3.
4.
5.
1. Implement border-controlled points
2.
Controlling 3.
4.
5.

Assessment

Multiple Choice: Choose the letter of the correct answer and write it on a separate
sheet of paper.

________1. It is the art of getting things done through and with people in a formally
organized group.

a. Organization c. Association
b. Management d. Corporation
________2. It is a type of management theory that focuses on worker and machine
relationships.

a. Scientific Management c. Bureaucratic Management

b. Administrative Management d. Behavioral Management
________3. It Requires the ability to motivate and effectively direct people. It is the part
of managerial function which actuates the organizational methods to work
efficiently for achievement of organizational purposes.

a. Leading c. Staffing
b. Planning d. Controlling

11
_______4. It is a type of management theory which is often called the human relations
movement because it addresses the human dimension of work.

a. Scientific Management c. Bureaucratic Management

b. Administrative Management d. Behavioral Management

_______5. It is a theory that allow us to better communicate with people we work with
which in turn allow us to work efficiently.

a. Management Theory c. Organization Theory

b. Theory of Evolution d. Scientific Theory
_______6. It is the act of supervising and directing people, tasks, and things.
a. Directing c. Organizing
b. Management d. Planning
_______7. It is a type of management concept wherein management is the co-
ordination of all resources through the process of Planning, Organizing,
Directing and Controlling in order to attain stated objectives.

a. Traditional Concept c. Basic Concept

b. Strategic Concept d. Modern Concept
______8. It is a type of management concept wherein things are done through
others.

a. Traditional Concept c. Basic Concept

b. Strategic Concept d. Modern Concept
______9. It is defined as a collection of understandings and findings that help
managers best support their teams and goals. It helps the
organizations to focus, communicate and evolve.

a. Management Theory c. Behavioral Theory

b. Scientific theory d. Administrative Theory
______10. He is known as the Father of Management.
a. Frederick Taylor c. Max Weber
b. Henry Fayol d. Elton Mayo

______11. He felt that workers should get a fair day pay for a fair day’s work, and that
pay should be linked to the amount produced.

a. Frederick Taylor c. Max Weber

b. Henry Fayol d. Elton Mayo

12
______12. He believed that power educes obedience through force or the threat of force
which induces individuals to adhere to regulations.

a. Frederick Taylor c. Max Weber

b. Henry Fayol d. Elton Mayo

______13. He believed that a better understanding of human behavior at work, such as

motivation, conflict, expectations, and group dynamics, improved
productivity.

a. Frederick Taylor c. Max Weber

b. Henry Fayol d. Elton Mayo

______14. He believed that a bureaucracy should have hierarchy of authority, system

of task relationships, written rules, fair evaluation and reward.

a. Frederick Taylor c. Max Weber

b. Henry Fayol d. Elton Mayo

______15. He proposed the administrative theory and laid down 14 principles of

management.

a. Frederick Taylor c. Max Weber

b. Henry Fayol d. Elton Mayo

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Answer Key

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References:
Online Sources:

- Management –planning, organizing, staffing, directing.www.cabrillo.edu › ~mhassan ›

Bus20 › Chap007

-Defining Management for the Twenty First Century.

https://www.researchgate.net/publication/4981980_

- LalaineCazar/nature-and-concept-of-management
https://www.slideshare.net/johnpadua/principles-of-management-chapter-2-the-
nature-and-concept?next_slideshow=1

- https://smallbusiness.chron.com/five-functions-management-leading-56418.html

- https://courses.lumenlearning.com/wm-organizationalbehavior/chapter/history-of-
management-theory/

- https://www.enotes.com/homework-help/main-function-managers-50499

- https://www.slideshare.net/PritiKore1/skills-of-manager?qid=74e365c5-824d-4b40
b192-431d9b365715&v=&b=&from_search=12

- https://www.cliffsnotes.com/study-guides/principles-of-management/the-evolution
of-management-thought/behavioral-management-theory

- https://www.lollydaskal.com/leadership/story-everybody-somebody-anybody-
nobody/

- https://faberinfinite.com/7-keys-to-daily-work-management/

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