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Philosophies and Principles of Management. Introduction
Philosophies and Principles of Management. Introduction
Introduction:-
One of the most important human activities is managing. Management is the
process of designing and maintaining an environment in which individuals, working
together in groups, efficiently accomplish selected aims, managers are changed with
the responsibility of taking actions that will make it possible for individuals to make their
best contributions to group objectives. Management thus applies to small and large
organizations.
Management:-
Management is the process involving planning, organizing, staffing, directing and
controlling human efforts to achieve stated objectives in an organization.
(L.M.Prasad 2001).
To manage to forecast and to plan, to organize, to co-ordinate and to control
(Henry fayol, 2002).
Philosophy:-
According to Brightman, “philosophy is an attempt to think truly about human
experience or to make experience intelligence”.
8. CENTRALIZATION:-
1. It means concentration of authority at one place or at one level in the
organization refers dispersal of authority to the lower levels in the organization.
2. According to fayol, the question of centralization or decentralization is a simple
question of proportion.
3. In small organization, order go directly to subordinates, in a big organization
authority has been delegated to lower levels to the maximum possible extent.
9. SCALARCHAIN:-
1. This is the line of authority from superiors to subordinate, from the very top to the
bottom of the business.
2. In each aspect of the business, the chain must be unbroken , ie at each level a
man must have an immediate boss, who himself has a boss, and so on up to the
managing director.
3. The scalar chain is the channel of authority, for communication up and down, and
for decision-making. The one exception to its use is when, with the consent of
their respective bosses, two men on different chain can make direct contact
across’ the gang plank’, reach a decision, and inform their bosses of the decision
reached.
4. Fayol suggested that a “Gangplank” or the Horizontal communication like could
be used without weakening the chain of common. By this D1 can contact directly
D2 or D2 contact with D1 directly, i.e. D1&D2 to deal with each other in few hours
with some question otherwise the scalar chain will pass through transmission.
10. ORDER:-
1. There must be “a place for everything an everything in its place” that is what is
meant by order.
2. Fayol dealt with order in material things and also social order.
3. There is a place for everything and everyone then everything and everyone are
to be put in their place, the right man will automatically find the right job.
11. EQUITY:-
1. Equity refers fair judgment in dealing with human resources.
2. Personal must be related with kindness and equity if devotion and loyalty are
expected of them.
3. The principle of equity suggests that manager should treat their employees with
‘kindness’ because the desire for equity and equality reprents aspirations which
should be taken in to account while dealing with the employees. A manager must
strive to install a “sense of equity” at all level of scalar chain.
12. STABILITY OF TENURE OF PERSONNAL:
1. Organization should provide a career structure so that its manager may continue
to stay and progress with in the organization.
2. Unnecessary turnover is the cause as well as effect of poor management.
3. This principle calls for lowest possible turnover of personal for the well being of
the concern. Moreover the employees should not be roated at different jobs very
frequently because considerable time is required to learn each job.
13. INITIATIVE;-
1. The employees with initiative should be encouraged within limits of authority and
discipline.
2. Fayol wanted that the subordinates should be given on opportunity to take some
initiative in thinking out and executing. The Plano. Employees get satisfaction
when they are followed to take initiative.
14. ESPIRIT DE CORDS (union is strength)
The phrase ‘Espirit de corps’ means ‘the spirit of loyalty and devotion’ which
unites the members of the honour of the group to which one belongs. This principle calls
for harmonious human relations in the organization so that the employees are loyal to
the organization.
Conclusion:-
It may be concluded that differences of opinion on transferability of management
knowledge between countries and cultures has largely arisen from semantics.
Management know how refers to the effective application of knowledge, it includes
knowledge of management principles, its nature , needs also and art of applying it in a
given situation.
Concept of management
Introduction
One of the human activities is managing ever since people began forming groups
to accomplish aims they could not achieve as individuals, managing has been essential
to ensure the coordination of individual efforts concepts are building blocks of they and
principles. The concept of management must be clear to those who use them.
Definition of management
Management is the process of designing and maintaining an environment in
which individuals, working together in groups, efficiently accomplish selected items.
Management has been defined as the creation and maintenance of internal
environment in an enterprise where individuals working together in groups, can perform
efficiently and towards the attainment of group goals.
- Koontz and O’Donell
Management may be defined as the art of applying the environment principles
that underline the control of men and material in the enterprise under consideration.
- Kimball and Kimball
Important reasons for management concepts
To
1) Increase managerial efficiency
2) Develop a science of management and to crystallize the nature of management
3) prepare and study research projects every year
4) acquire social achievement
i) Top management
Responsible for planning. It lays down the polices and programmes for the
enterprise. It thus, provides a framework within which the entire enterprise works. Top
management is responsible for providing leadership, guidance and supervision.
ii) The middle order management
Responsible for executive work at the second tier which certainly functions as the
second order to the top management.
iii) The lowest level management
Like the middle order responsible for the execution for the plans, polices and
programmes. This level is directly involved in the operation of job while the middle order
management, the second tier, is indirectly responsible for execution.
stages of analysis directed towards the achievement of an objective or set of objectives.
Trends in management
Management development
During the last hundred years, management has become a more scientific
discipline with certain standardized principles and practices. It is two parts-
1) Early management
2) Modern management
1) Early management
i) Scientific management
ii) Administrative management
iii) Human relation movement
iv) Illumination experiments
2) Modern management
i) Classical approach
ii) Behavioural approach
iii) Quantitative approach
iv) System approach
V) Contingency approach
DECISION MAKING MODEL
DEFINITION OF DECISION
Decision is a choice where by a person comes to a conclusion about a situation. It
represents a course of behaviour or action about what must or must not be done (Prasad .M,
2003).
A decision is an act of choice where in an executive forms a conclusion about what must
be done in a given situation. A decision represents a course of behaviour chosen from a number
of possible alternative (Chhabra .T.N, 2003).
CHARACTERISTICS OF A DECISION
1. It is normally rational and based on reason.
2. It is selective and involves selection of best.
A manager must apply intelligence while selecting the best course from among the
available alternative course.
3. It is usually purposive and relates means to the end – the manager must know the solution to
any problem provides an effective means to the desired end or goal.
4. It is normally positive but we may have even a negative decision.
TYPES OF DECISION
1. Administrative decisions
Administrative decisions are mainly related with structuring of the firm and how finance
can be obtained for the development of the firm. This decision is taken to run the firm smoothly
and efficiently.
Programmed decisions
It involves organization which can develop specific process for handling these decision.
P C
R O
O N
V Problem Decision Decision Decision S
I makers process U
D M
E E
R R
S S
Mission Objectives
Cultural and
Technological social changes
changes
PHASES OF DECISION MAKING
There are three phases in decision making includes;
Intelligence activity
Decision activity
Choice activity
1. Intelligence activityThis phase consist of searching the environment for conditions calling
for the decision. This is also called an initial phase.
2. Decision activity
In this phase, inventing, developing and analyzing the possible courses of actions are
taken into consideration.
3. Choice activity
The last phase is the actual choice selecting a particular course of action from those
available.
3. Collection of data
A lot of information is required to classify any problem. The collection of right type of
information is very important in decision making. Before gathering information one must be
clear as to how much time and money he can spend in gathering information he needs.
4. Developing alternatives
Without resorting to the process of developing alternatives, a manager is likely to be
guided by his limited imagination. Once the manager starts developing alternatives, various
assumptions come to his mind which he can bring to the conscious level.
8. Follow-up
It is better to check the results after putting the decision into practice. The reasons for
following up of decisions are as follows:
If the decision is a good one, one will know what to do if faced with the similar
problem again.
It the decision is bad one, one will know what not to do the next time.
If the decision is a bad and one follows up soon enough, corrective action may
still be possible.
In order to achieve proper follow-up, the management should device an efficient system
of feedback information.
3. Operational research
This is a scientific method of analysis of decision problems to provide the executive the
needed quantitative information in making these decisions.This seek to replace the process by an
analytic, objective and quantitative basis based on information supplied by the system in
operation and possibly without disturbing the operation.
4. Linear programming
Linear programming is a technique devised for determining the optimum combination of
limited resources to achieve a given objectives. It is applicable in areas like production
planning, transportation, ware house location and utilization of production and ware housing
facilities at an overall minimum cost.
5. Network analysis
It is used for planning and controlling the project activities. Under this a project is
brokendown to small operations which are engaged in a logical cycle. A network diagram may
be drawn to present the relationship between all the operations involved.
1. Principles of autonomy
This principle is form of personal liberty also referred to as freedom of choice or
accepting the responsibility for one’s choice.
2. Principle of beneficence
The principle status that the actions one takes should be done in an effort to promote good.
3. Principle of paternalism
This principle is related to positive beneficence in that one individual assumes the
authority to make a decision for another individual.
4. Principle of utility:This principle reflects a belief in utilitarianism on the belief that what is
best for the common good outweighs what is best for individuals.
5. Principle of justice
This principle states that equals should be treated and unequal should be treated
according to their differences.
6. Principles of truth telling and deceptionThese principles are used to explain how the
individual feels about the need for truth or acceptability of deception.
i. Rationalist approach
This approach considers reason as a superior source of knowledge and expands the ability
of the manager to avoid unsought and undesired consequences.
DEFINITION OF DECISION
Decision represents a judgment, a final resolution of a conflict of needs, mean or goals
and a commitment to action made in face of uncertainty complexity and even irrationally.
Lopez
“It is the art of determining in one’s own mind upon an opinion or course of action”.
Webster’s Dictionary
Decision is the commitment of the decision maker to act there by committing the
personnel, material and financial resources of the organization; towards the action objectives.
Isnwar Dayal
Donald J. Clough
TYPES OF DECISION MAKING
Mechanistic Decision
It is routine and repetitive in nature occurs in a situation involving a limited number of
decision variables where the outcome of each alternative is known. It solves problem by habitual,
responses, standards opening procedures or lyrical routine. Tool includes charts, lists, matrices,
decision tree etc. It is useful in daily routine and scheduled activities.
Analytical Decision
Involves a problem with a large number of decision variables where the outcomes of each
decision alternative can be computed. Techniques used to find optimal solution are linear
programming, network, analysis, inventory recorder model, statistical analysis. It helps to solve
complex problem.
Judgmental Decision
It involves a problem with a limited number of decision variables but the outcomes of
decision alternatives are unknown. To increase the desired out comes good judgment is needed.
It is useful in marketing, investment and to solve personal problems.
Adaptive Decisions
Involves a problem with a large number of decision variables where outcomes are not
predictive because of the complexity and uncertainty of problem decision makers are not able to
agree on their nature or on decision strategies. So it required contribution of many people with
diversed technical background. In this situation, strategies have to be frequently modified to
accommodate new development in technology and environment. E.g. Research finding.
Strategies Decision
These are made by top executives that commit valuable agency resources to achieve
major long term goals. The nurse executives were successful in making these decisions with the
help of extensive supports network to obtain crucial problem, information, used mixed scanning
to analyze problem causes and obtaining support of the agencies dominant coalition in shifting
through alternatives for the best problem solution.
1. Administrative decision
2. Mid level Managers
Operational Decision
These are routine decision governing day to day events that name been delegated to first
level managers and are made according to the proscribed rules and regulations and instructions.
Programmed Decision
These are routine, repetiaitive, mandated through structured or burean cratic technique
(Standard operative Procedures) which are needed in problem solution, where it is immediately
apparent what information is needed and where the information can be obtained.
Non-programmed Decision
Non unstructured creative decision that are made to solve problem for which no well
defined strategies are available. It must be made by managers using available information and
their on judgment and is made under the pressure of time.
Routine Decision
It is more routine recurring and certain. E.g. assigning daily pre coverage. Routine
decision are more predictable, where as outcome of the non routine is uncertain.
1) Intelligence activity
This phase of searching the environment for condition calling for the decision.
This is also called an “initial phase”.
2) Design activity
In this phase inventing, developing analyzing possible conduct of action are taken
in to consideration
3) Choice Activity
The last phase is the actual choice selecting a particular course action from those
available.
Decision maker.
1. Problem Identification
Diagnosing the problem is an essential step for nurse to make rational decision
making. The first and most important task before the decision makers is to find
and define the problem before he takes any decision. Eminent author of the
subject are of this opinion that a problem well defined is half solved and a good
decision cannot be taken up unless the decision taken has good grasp of the
problem. Sufficient time should be spent on defining the problem as it is not
always easy to define the problem and to see the fundamental thing that is causing
difficulty and that needs correction. Right answer to the right question we can
have by only having clear definition.
2. Problem Analysis
It is the next step in successful problem solving classification is necessary in order
to know who should take the decision and who should be consulted in taking it
without proper classification the effectiveness of a decision may be jeopardized.
The problem should be classified keeping in the view of the following factors.
The nature of decision making
The impact of the decision on other functions
The futurity of the decision
The periodicity of the decision
The limiting factor relevant to the decision.
3. Determining possible Alternatives
This is a difficult step in decision making. The nursing personnel should keep in mind all
logical solution to the problems and not only these which tend to shape up had
preconceived or pert solution. The emphasis should be to minimize the impact of
previous solution to the problem. There is nothing wrong to take into consideration the
previous solutions but the thing to be avoided however is relying on these previous
solutions as the only source of ideas.
4. Evaluate the impact of each Alternatives
In brief, we can list four steps for determining possible alternatives, and examining their
impact.
a) Identify resources – List every thing available to assist in solving the problem.
b) Develop alternative solution – develop various resources leading to problem
solution.
c) Test each alternatives – Analysis for:
Suitability – will it solve the problem partially, permanently – or temporarily?
Feasibility – will it work and how much will it cost/ can we afford it?
Acceptability – It is acceptance to know involved and responsible.
d) List benefits, cost and risks associated with each alternatives, each alternative and
improvement, its benefits any cost of action be weighed. What are the odds and
successes of each alternative?
5. Selection of an Alternative
This is the final stage of the decision making. There are four important criteria for
picking the best solution.
I. Management of the risks and gains
The nurse has to weigh the risk of each course of action against the expected gains he/she
is to find out the ratio between the expected gains and the anticipated risks.
II. Economy
That course of action may be adopted which would give the greatest result with the least
effort.
III. Timing
Decision concerning timing is very difficult to systematize. In a predominantly unhealthy
and malnourished country, decisions have to be taken in time otherwise the
communicable diseases may spread.