`Lecture no.

1: Management and importance; Extension management: Meaning, concept,

nature and importance; theories of management.

Management is universal in the modern industrial world and there is no substitute for good
management. It makes human effects more productive and brings better technology, products and
services to our society. It is a crucial economic resource and a life giving element in business.
Without proper management, the resources of production (men, machines and materials, money)
cannot be converted into production. Thus management is a vital function concerned with all
aspects of the working of an organization. Management is a must to accomplish desired goals
through group action. It is essential to convert the disorganized resources of men, machines,
materials and methods into a useful and effective enterprise. Thus management is the function of
getting things done through people and directing the efforts of individuals towards a common
objective

Meaning of Management
Management is the art of maximizing efficiency, as a social process, a method of getting things
done through others a plan of action and its direction by a co-operative group moving towards a
common goal.
Effective utilisation of available resources to achieve same objective is management.

Management is a comprehensive function of Planning, Organising, Forecasting Coordinating,

Leading, Controlling, Motivating the efforts of others to achieve specific objectives.
Management can precisely be called the rule – making and rule – enforcing body.

Definitions of Management:
According to Harold Koontz, Management is the art of getting things done through and with
formally organized groups “.

According to Peter F. Drucker, a multipurpose organ that manages a business and manages
managers and manages workers and works “.

According to J.Lundy, Management is what management does. It is the task of planning executing
and controlling “.

According to Lawrence Appley, Management is the development of people and not the direction
of things

According to F.W. Tylor , Management is the art of knowing what you want to do in the best and
cheapest way “.
 Meaning of
Managemnt

deep co-ordination
art and science of an art of taking
of human resources what a manager
decision making work done through
and factors of does
and leadetship others
production

Defination
Managemnt

Tradition Modern
al view view

Art of getting prime mover of

things done by organization
others making it functional
and productive
process of planning,
organizing, staffing,
leading and
coordinating process of creating
conductive and proper
internal environment in the
mobilising and utilising organization
physical and human process of coping with
resources for achieving changing external
organizational goal environment by
relating strengthes and
weakness of
organizations with it.

In nut shell it can be said that management as such is a science of managing men, machines,
money materials and methods. It embraces all duties and functions that pertains to the initiation of
an enterprise, its financing, the establishment of all major policies the provisions of all necessary
equipment, the entailing of general form of organization, under which enterprise is to operate and
the selection of the principal officers.

Characteristics of Management:
1. Management is a group activity: It is a group activity. Nobody can satisfy all his desires
himself. Therefore he unites which his fellow- beings and works in an organized group to
 achieve what he cannot achieve individually. Massie has rightly called management as a
“Co-operative group “.
2. Management is Goal-oriented: According to Theo Haiman “Effective management is
always management by objectives." Group efforts are directed towards the achievements
of some predetermined goals. Management is concerned with establishment and
accomplishment of these objectives.
3. Management is a factor of Production: Management is not an end in itself. It is a means
to achieve the group objectives. It is a factor of production that is required the co-ordinate
with the other factors of production for the accomplishment of predetermined goals and
objectives.
4. It is a Universal Character: Management is essential in all types of concerns. It
somewhere there is some human activity, management is must there. The basic principles
of management are universal. These can be applied in all types of concerns i.e. business,
social, religious, cultural, sports, educational a International technology.
5. Management is needed at all levels of the enterprise: On the basis of the nature of work
or target and the scope of authority, management is needed at all levels of the organisations
e.g., top level, middle level and supervisor level.
6. It is a distinct function: Management is a distinct function performed to fix and achieve
stated objectives by the use of manpower and other factors of production. Different from
the activities, techniques and procedures, the process of management consists of such
functions as planning, organizing, staffing, directing, coordinating, motivating and
controlling.
7. It is a Social Process: Management is taken as a social process. It has a social
responsibility to make reasonable use of scarce resources keeping in view the benefit of
the community as a whole.
8. System of Authority: Authority is the power to compel men to work in a specific manner.
Management cannot work in the absence of authority. There is a chain of authority and
responsibility among people working at different levels of the organization. There cannot
be an efficient management without well-defined lives of command a superior subordinate
relationship at the every levels of decision making.
9. It is a dynamic function: Management has to be performed continuously, in a rapidly
every changing business environment. It is constantly engaged in the molding of the
enterprise. It is also concerned about the change of environment itself so as to ensure the
success of enterprise. Hence it is on-going function.
10. Management is Intangible: It can be seen in the form of results and could not be actually
seen. For ex: when we are not able to produce desired quantity, we say it is the result of
poor management.
11. It is Art as well as Science: Management is a science since its principles have universal
application. Management is an art as the results of management depends upon the personal
 skill of managers. The art of the manager is essential to make the best use of management
science. Thus management is both science and art.
12. It is a Profession: It has systematic and specialized body of knowledge consisting of
principles, techniques, rules and laws. It can be taught as a specialized subject.

Significance of Management: Management plays a unique role modern society. Peter F.

Drucker has summarized the essence of management as “under developed countries are under
managed, it denotes the multidimensional significance of management. The significance of
management can be broadly classified into the groups.

o Advantages to the organization.

o Advantages to the society

Importance of Management: Management is overall the most important factor because no

business runs on itself, even no momentum. Every business needs repeated stimulus which can
only be provided by management. Thus, management is dynamic, life giving element without
which the “factors of production “will remain as were factors not become “Production’’. The
following points bring out the importance of management.

o Accomplishment of group goals.

o Efficient operations of business.
o Sound organization structure.
Management Function
There are five major functions of management, viz., planning, organizing, staffing, leading,
controlling. Management functions.

Most of the Management organizations have used managerial functions in achieving success
through the acronym POSDCORB. Four more functions have been added to the earlier seven
functions and thus the recent listing of management functions includes POSDCORB-COMEU.
Planning – Organizing- Staffing- Directing- Coordinating- Reporting—Budgeting
Communication- Monitoring- Evaluation- Utilisation

Planning: Planning is a decision making process and it involves selecting and integrating the
courses of action that ill organisation and the individuals in it will follow to attain its objectives.
Planning is virtually deciding in advance as to what to do, how to do, when to do, who is to do,
and with what results. In Extension planning is done for possible future situations which are not to
occur but may occur, and this exercise is called contingency planning

Organising: It' is the establishing of effective behavioral relationships among persons. So that
they may work together efficiently and gain personal satisfaction of doing selected tasks in an
enterprise, for achieving selected objectives. The line and staff functions indicate the pattern of
distribution of authority in an organization.
Staffing: It is the process of selecting, maintaining and developing personnel in position, to fulfill
the organization objectives. The process is also referred to as human resource management. The
effective staffing requires well defined organisational roles, selection and placement of qualified
personnel, written job charts, in-service training and performance assessment

Directing: It is the continuous task of decision making and embodying decisions in instructions
for and serving as the leader of the enterprise. The effective directing/ leading requires motivating
Development the members to work for attaining the objectives: harmonizing goals of the personnel
with tllose of the enterprise, consistent communication and use of appropriate informal
organization.

Coordination: The term coordination refers to establishing harmonious relationships between the
efforts of individuals and groups in order to achieve the desired objectives. You are aware that the
coordination is essential even among the members of your family for its smooth running; so, it is
with an organisation as well. It is desirable to have cordial relationship and coordination not only
of the staff within an organization but also with other line organizations.

Reporting: As you are aware a report refers to a formal record of performance which generally
reflects file achievements or failures of a project or a programme. The report serves as a written
documents of what has been done and provides feedback information to the funding agency and
the general public.

Budgeting: Budgeting refers to the allocation of the funds for different sectors of the project
programme. Budgeting aims at achieving better results with the least cost possible. Budgeting
allows for utilizing the resources and funds properly as per the directions of the funding agency.

Communication: In any extension organisation communication is very essential and it refers to

sending information for effective implementation of the programme, and receiving the feedback
information. In any organisation the communication flows downward-upward and horizontally.
The communication may be verbal or written.

Monitoring: Monitoring refers to keeping track of the ongoing programme and taking corrective
measures if it is not going according to the predetermined objectives. Such intervention by an
external agency provides for objective assessment of the performance.

Evaluation: Evaluation is the process of systematic and objective appraisal of an organisation an

extension programme or a project. Such evaluation can be done during the implementation of' the
programme or at the completion of the programme or a project. Both are equally important for
knowing the achievements of the programme against the targets fixed.
Utilisation: Here, the utilization refers to making use of the Monitoring and Evaluation Units in
the generation of valid data regarding the programmes for critical analysis and then taking
appropriate action to overcome the deficiencies if any.

Extension Management
Extension management organizations are characterized by many strategies, wide spans of control,
democracy, and autonomy.

Concept, Nature and importance

Managing people effectively in extension programmes is a skill that requires constant planning
and development. An extension programme manager can be defined as the person who is vested
with formal authority over an organization or one of its sub units. He or she has status that leads
to various interpersonal relations, and from this comes access to information. Information, in turn,
enables the manager to devise strategies, make decisions, and implement action (Mintzberg, 1988).

Management is concerned with the optimum attainment of organizational goals and objectives
with and through other people. Extension management organizations are characterized by many
strategies, wide spans of control, democracy, and autonomy. Their management practices cannot
be reduced to one standard set of operating guidelines that will work for all organizations
continually. However, all managers of professional organizations face the same challenge: to
manage one's time, objectives, and resources in order to accomplish tasks and implement ideas
(Waldron, 1994).

Managers of extension programmes are painfully aware of the need for revision and development
of the new skill sets held by today's high performers. If change is not handled correctly, it can be
more devastating then ever before. High performers reflect, discover, assess, and act. They know
that a new focus on connecting the heads, hearts, and hands of people in their organization is
necessary. Astute managers know what needs to be done but struggle with how to do it. Quite often
they prefer to consider themselves as teachers or communicators rather than managers. This results
in under-utilization of the increasing amount of literature on management theory and practice. The
root of the problem is implementation. They must learn how to motivate others and build an
efficient team.

Management is the process by which people, technology, job tasks, and other resources are
combined and coordinated so as to effectively achieve organizational objectives. A process or
function is a group of related activities contributing to a larger action.

Management functions are based on a common philosophy and approach.

 1. Developing and clarifying mission, policies, and objectives of the agency or
organization
2. Establishing formal and informal organizational structures as a means of delegating
authority and sharing responsibilities
3. Setting priorities and reviewing and revising objectives in terms of changing
demands
4. Maintaining effective communications within the working group, with other
groups, and with the larger community
5. Selecting, motivating, training, and appraising staff
6. Securing funds and managing budgets; evaluating accomplishments and
7. Being accountable to staff, the larger enterprise, and to the community at large
(Waldron, 1994b).

Basic Element in Extension Management

Some of the elements that are important in Extension Management (Benor and Baxter - 1981;
Bhatnagar and Desai - 1987) need to be understood by everyone and these are:

Professionalizing: Any extension organisation must have technically qualified staff to understand
the problems of the farmers and guide them properly in adopting the agricultural technologies.
Hence, their professional competence needs to be enhanced through in-service training. Every care
has to be taken to select people of desired professional background depending upon the job
requirements. They have to also understand the needs aspirations, and attitude of farmers towards
technology in order to plan appropriate educational programmes/activities.

Organizational Structure; An Extension organization must have a sound organizational

structure. The single line of command is always helpful than the dual control especially at the
operational level. The single line of command is give greater emphasis in National Agricultural
Extension programme (T & V System) in India. Defective organizational structural leads too many
organizational problems,' making the agency ineffective.

Concentration of Efforts: The grass roots level extension workers would be more effective if
they coelenterate their work on any one area like, agriculture, horticulture animal husband^ or
fisheries. Otherwise, he/she may not be able to comprehend all the technical problems related to
these subject matter areas and provide solutions to farmers. The farmers always look for expert
knowledge and guidance. The World Bank has advocated only agriculture in T & V System. The
management of the system is easy if it has unified development goal.

Theories of Management
Modern management is characterized by two approaches, the systems and the contingency
approach. The systems approach views the organization as a total system comprised of interacting
subsystems, all of which are in complex interaction with the relevant external environment
(Lerman & Turner, 1992).

Systems theory

Organizations are pictured as "input-transformation-output systems" that compete for resources.

The survival and prosperity of an organization depend on effective adaptation to the environment,
which means identifying a good strategy for marketing its outputs (products and services),
obtaining necessary resources, and dealing with external threats.

Survival and prosperity also depend on the efficiency of the transformation process used by the
organization to produce its goods and services, on worker motivation, and on cooperation.
Efficiency of the transformation process is increased by finding more rational ways to organize
and perform the work and by deciding how to make the best use of available technology, resources,
and personnel. Top management has primary responsibility for designing an appropriate
organizational structure, determining authority relationships, and coordinating operations across
specialized subunits of the organization (Yuki, 1994). A system can survive only when it delivers
an output that can be exchanged for new inputs as well as for maintaining the system. Similarly,
an extension service is expected to produce some beneficial output.

Contingency theory

Theories that explain management effectiveness in terms of situational moderator variables are
called contingency theories. The contingency or situational approach recognizes that neither the
democratic nor the autocratic extreme is effective in all extension management situations.
Different traits are required in different situations. Table 1 describes the major features of five
contingency theories and the Vroom and Yetton (1973) normative decision model. The table
makes it easier to compare the theories with respect to content and validation.

 Path-Goal Theory examines how four aspects of behaviour influence subordinate

satisfaction and motivation.
 Leadership substitute theory identifies aspects of the situation that make leadership
behaviour redundant or irrelevant.
 Multiple linkage model uses a model of group performance with six intervening variables
to explain leadership effectiveness.
 Fiddler's LPC model deals with the moderating influence of three situational variables on
the leadership between a leader trait (LPC) and subordinate performance.
 Cognitive resources theory examines the conditions under which cognitive resources
such as intelligence, experience, and technical expertise are related to group performance.
 Lecture 2: Administration and Supervision: meaning, definition and scope
Administration:
Meaning: Administration is referenced from a Latin word ‘ministiare’, meaning to serve people.
In extension context administration indicates public administration, it is an important discipline
that involves process to execute the policy of government.

Public administration comprises of human resource and management, process at work to ensure
employees work collectively. Public interchangeably helps to form an administration process.
Articles outline, an essential element of public administration operates in private, public
institutions, social and political settings

It involves the efficient and effective organisation of people, information, and other resources to
achieve organisational objectives. Information is key to extension organization, and people are the
resources who make use of information to add value to an organisation.

Definition: According to Theo Haimann, “Administration means overall determination of

policies, setting of major objectives, the identification of general purposes and laying down of
broad programmes and projects”. It refers to the activities of higher level. It lays down basic
principles of the enterprise. According to Newman, “Administration means guidance, leadership
& control of the efforts of the groups towards some common goals”.

The management of administration has become an important function for every successful
organisation and plays an essential role in ensuring that operations run smoothly. Administrative
Management is the process of managing information through people. This usually involves
performing the storage and distribution of information to those within an organisation. Anyone
involved in the planning, co-ordinating, directing, or controlling aspects of a business can be
considered an Administrative Manager.

Depending on the organisation, administrative managers may be involved in a variety of

responsibilities such as:

 Project management
 Finance
 Developing budgets
 Performing cost reduction research
 Handling accounts receivable/payable
  Human Resources
 Recruiting and training Employees
 Processing payroll
 Reporting on employee performance
 Office and facilities management
 Clerical tasks
 Writing contracts
 Using database systems

The difference between Management and Administration can be summarized under 2 categories:

1. Functions
2. Usage / Applicability

On the Basis of Functions

Basis Management Administration

Management is an art of getting things It is concerned with formulation of broad
done through others by directing their objectives, plans & policies.
Meaning
efforts towards achievement of pre-
determined goals.
Management is an executing function. Administration is a decision-making
Nature
function.
Management decides who should as it Administration decides what is to be
Process
& how should he dot it. done & when it is to be done.
Management is a doing function Administration is a thinking function
Function because managers get work done under because plans & policies are determined
their supervision. under it.
Skills Technical and Human skills Conceptual and Human skills
Level Middle & lower level function Top level function

On the Basis of Usage:

Basis Management Administration

Applicability It is applicable to business It is applicable to non-business concerns
concerns i.e. profit-making i.e. clubs, schools, hospitals etc.
organization.
Influence The management decisions are The administration is influenced by public
influenced by the values, opinions, opinion, govt. policies, religious
organizations, customs etc.
 beliefs & decisions of the
managers.
Status Management constitutes the Administration represents owners of the
employees of the organization enterprise who earn return on their capital
who are paid remuneration (in the invested & profits in the form of dividend.
form of salaries & wages).

There is no difference between management & administration. Every manager is concerned with
both - administrative management function and operative management function as shown in the
figure. However, the managers who are higher up in the hierarchy denote more time on
administrative function & the lower level denote more time on directing and controlling worker’s
performance i.e. management.

Administration is a Part of Management:

Administration is that part of management which is concerned with the installation and carrying
out of the procedures by which the programme is laid down and communicated and the progress
of activities is regulated and checked against plans.

1. Administration is Different from Management:

Administration is a higher level activity while management is a lower level activity.
Administration is concerned with the determination of overall objectives and policies of an
enterprise while management is concerned with planning, coordinating and controlling of business
activities for attaining the enterprise objectives.

2. Administration is a Part of Management:

Administration and organisation are a part of management. Brech has propounded this view. In his
words, “Management is the generic term for the total process of executive control involving
responsibility for effective planning and guidance of the operations of an enterprise.
Administration is that part of management which is concerned with the installation and carrying
out of the procedures by which the programme is laid down and communicated and the progress
of activities is regulated and checked against plans. The European school of thought considered
administration as a part of management. Kimball and Kimball and Rickman were also of the same
view.

3. Administration and Management are one:

Administration and management are used interchangeably and there is no distinction between the
two. In the words of Newman, “management or administration is the guidance, leadership and
control of the efforts of a group of individuals towards some common goods.” In Henry Fayol’s
opinion every undertaking requires same functions and observes same principles. Other authors
such as George Telly, Allen, Koontz and O’Donnell also feel that both the terms mean the same
thing. In general practice administration is used more in government or other public organisations
while management is used in business world.

Scope of Public Administration

Scope of Public Administration consists of important views and perspectives introduced by man
named L.D. White, the traditional perspective of public administration by Gullick and scientific
management by Frederick Taylor in 1980. Important types of public administration models,
include classical public administration, post-modern public administration, Bureaucracy, and neo-
classical public administration.

Public administration scope, consist of three main important perspectives: POSDCORB

perspective, Broad perspective and Prevailing view.

i. POSDCORB perspective: According to Luther Gullick the narrow perspective

called POSDCORB view consists of important elements needed in enhancing
the affairs of government organizations. Narrow perspective functions include;
Planning, Organizing, Staffing, Directing, Coordinating, Reporting and
Budgeting

POSDCORB functions improve work executives and managers by separating duties from those of
non-managerial and personnel controls. Six generic functions of public administration, coordinates
activities within the organization to ensure everything is properly done with the highest esteem of
professionalism through managerial techniques.

ii. Broad perspective: Woodrow Wilson public Administration consists of three

major branches of the government. Hence the scope of Public Administration
today acts as a comparative structure part of politics, but advised to practice
politics dichotomy.
iii. Administrative theory: This theory deals with activities of an organizations,
theory behavior, personal administration, applied administration, political
functions and responsibilities. Finance control, planning, strategic formulation,
educational procedures, social welfare, local administration and foreign policy.
Basic principle of Public Administration
1. Principle of Hierarchy: it is also known as the ‘scaler process’ wherein lines of positional
authority and responsibility run upward and downward through several levels with a broad
base at the bottom and a single head at the top in order to preserve the ‘unity of command’
2. Principle of authority: The authority principle refers to a person's tendency to comply
with people in positions of authority, such as government leaders, law-enforcement
representatives, doctors, lawyers, professors, and other perceived experts in different fields
3. Principle of responsibility with matching authority: Authority means power to take
decision. Responsibility means obligation to complete the job assigned on time. According
to this principle there must be balance or parity between the authority and responsibility
4. Principle of span of control: span of control means the manageable number of
subordinates of a superior. The bigger the number of the subordinates a manager controls,
the broader is her/his span of control.
5. Principe of communication: Communication should be done at proper time and with the
appropriate level of impact and urgency, to ensure that messages can be understood and
acted upon to achieve their objective. It should be possible to differentiate Urgent and
Import information and understand the time scale for any actions
6. Principle of organizational structure: The key principle of an organizational structure is
how authority is passed down and around the company. Understanding what everyone's
roles and responsibilities are helps to create accountability for individuals, teams and
departments.

Supervision:
Meaning:
Supervision is a Latin Word. Super means ‘from the above’ and vision means ‘to see’. In ordinary
sense of the term, supervision means overseeing the activities of others

In management supervision means “Overseeing the subordinates at work with authority and with
an aim to guide the employees, if he is doing wrong.
Definition: According to;

Toft Hartley Act, 1947 (USA), ‘Supervisors are those having authority to exercise independent
judgement in hiring, discharging, disciplining, rewarding and taking other actions of a similar
nature with respect to employees’.

A.S. Barr : “Supervision is an expert technical service primarily concerned with studying and
improving the conditions that surround learning and pupil growth.”
Chester T. Mc Nerney: “Supervision is the procedure of giving direction to, and providing critical
evaluations of the instructional process. The end result of all supervision should be to provide
students at all levels with better educational services. ”

T.H. Briggs & Joseph Justman: ‘ In general Supervision means to coordinate, stimulate and
direct the growth of the teachers in the power to stimulate and direct the growth of every individual
pupil through the exercise

Nature of Supervision
As regards its nature, modem supervision is a cooperative enterprise, experimental in its approach.
The scope of modem supervision extends to the improvement of the whole teaching learning
situation. So it is concerned with the pupils, teachers, curriculum and the socio-physical
environment and their improvement.

1. Supervision is a creative and dynamic expert technical service.

2. It provides leadership with expert knowledge & superior skills.
3. It promotes cooperative educational effort in a friendly atmosphere.
4. It gives coordination, direction and guidance to teachers’ activities.
5. It stimulates the continuous growth of teachers and development of pupils.
6. It improves instruction and the teaching learning process.
7. It helps achievement of appropriate educational aims and objectives.
8. It helps to decide and order execution and assists in improving instruction.
9. It represents a portion of the whole enterprise of school management.
10. It saves us from the victimization of soul killing administration

Scope:
The scope of educational supervision extends to all the areas of educational activity with the larger
purpose of improving the product of education through the upgrading of the quality of instruction
and other school practices. “Education is now conceived as a powerful social force for the
development of personality and the values of the democratic social order. Democratic philosophy
extends the scope of supervision to the ultimate goals and values of education determined
democratically through the participation of all the people concerned with the educative process.
Democracy requires supervision should he made more and more participatory and cooperative. ”.

In India we believe, in democratic philosophy. So our conduct, behaviour and activities should be
governed by the democratic philosophy of life. This is true of education and also educational
supervision. One important source of the true of education and also educational supervision is
therefore the democratic philosophy of life and living. Hence supervision should be a cooperative
enterprise in which everyone has the right to contribute. Democratic supervision provides full
opportunity to discussion, free expression of views and opinions, enlists participation of all persons
and welcomes and utilizes their contribution for the improvement of the teaching-learning situation
and process.
So supervision is planned cooperatively by all educational workers. Its programmes are flexible
and related to the situation, and include analysis and improvement of the situation, of the final
product of education and of its own effectiveness. Supervision employs various techniques such
as observation, demonstration, visitation, workshops, seminars, conferences, and teacher’s guides,
handbooks of suggestions, professional journals and in-service education. Supervision
continuously makes its best effort to evaluate and improve the work environment of the pupils and
teachers with their help and community’s assistance and cooperation. It also continuously
maintains an atmosphere of mutual trust, integrity, loyalty, freedom, goodwill, responsibility and
self-direction.

Henri Fayol 14 Principles of Management

Henry Fayol, also known as the ‘father of modern management theory’ gave a new perception of
the concept of management. He introduced a general theory that can be applied to all levels of
management and every department. The Fayol theory is practised by the managers to organize and
regulate the internal activities of an organization. He concentrated on accomplishing managerial
efficiency.

The fourteen principles of management created by Henri Fayol are explained below.
1. Division of Work-
Henri believed that segregating work in the workforce amongst the worker will enhance the quality
of the product. Similarly, he also concluded that the division of work improves the productivity,
efficiency, accuracy and speed of the workers. This principle is appropriate for both the managerial
as well as a technical work level.
2. Authority and Responsibility-
These are the two key aspects of management. Authority facilitates the management to work
efficiently, and responsibility makes them responsible for the work done under their guidance or
leadership.
3. Discipline-
Without discipline, nothing can be accomplished. It is the core value for any project or any
management. Good performance and sensible interrelation make the management job easy and
comprehensive. Employees good behaviour also helps them smoothly build and progress in their
professional careers.
4. Unity of Command-
This means an employee should have only one boss and follow his command. If an employee has
to follow more than one boss, there begins a conflict of interest and can create confusion.
5. Unity of Direction-
Whoever is engaged in the same activity should have a unified goal. This means all the person
working in a company should have one goal and motive which will make the work easier and
achieve the set goal easily.
6. Subordination of Individual Interest-
This indicates a company should work unitedly towards the interest of a company rather than
personal interest. Be subordinate to the purposes of an organization. This refers to the whole chain
of command in a company.
7. Remuneration-
This plays an important role in motivating the workers of a company. Remuneration can be
monetary or non-monetary. However, it should be according to an individual’s efforts they have
made.
8. Centralization-
In any company, the management or any authority responsible for the decision-making process
should be neutral. However, this depends on the size of an organization. Henri Fayol stressed on
the point that there should be a balance between the hierarchy and division of power.
9. Scalar Chain-
Fayol on this principle highlights that the hierarchy steps should be from the top to the lowest.
This is necessary so that every employee knows their immediate senior also they should be able to
contact any, if needed.
10. Order-
A company should maintain a well-defined work order to have a favourable work culture. The
positive atmosphere in the workplace will boost more positive productivity.
11. Equity-
All employees should be treated equally and respectfully. It’s the responsibility of a manager that
no employees face discrimination.
12. Stability-
An employee delivers the best if they feel secure in their job. It is the duty of the management to
offer job security to their employees.
13. Initiative-
The management should support and encourage the employees to take initiatives in an
organization. It will help them to increase their interest and make then worth.
14. Esprit de Corps-
It is the responsibility of the management to motivate their employees and be supportive of each
other regularly. Developing trust and mutual understanding will lead to a positive outcome and
work environment.
Classifications of functions of management

1. Planning
It is the basic function of management. It deals with chalking out a future course of action &
deciding in advance the most appropriate course of actions for achievement of pre-determined
goals.

According to KOONTZ, “Planning is deciding in advance - what to do, when to do & how to do.
It bridges the gap from where we are & where we want to be”. A plan is a future course of actions.
It is an exercise in problem solving & decision making.

Planning is determination of courses of action to achieve desired goals. Thus, planning is a

systematic thinking about ways & means for accomplishment of pre-determined goals. Planning
is necessary to ensure proper utilization of human & non-human resources. It is all pervasive, it is
an intellectual activity and it also helps in avoiding confusion, uncertainties, risks, wastages etc.

2. Organizing

It is the process of bringing together physical, financial and human resources and developing
productive relationship amongst them for achievement of organizational goals.

According to Henry Fayol, “To organize a business is to provide it with everything useful or its
functioning i.e. raw material, tools, capital and personnel’s”. To organize a business involves
determining & providing human and non-human resources to the organizational structure.
Organizing as a process involves:

 Identification of activities.
 Classification of grouping of activities.
 Assignment of duties.
 Delegation of authority and creation of responsibility.
 Coordinating authority and responsibility relationships.

3. Staffing

It is the function of manning the organization structure and keeping it manned. Staffing has
assumed greater importance in the recent years due to advancement of technology, increase in size
of business, complexity of human behavior etc.

The main purpose of staffing is to put right man/woman on right job i.e. square pegs in square
holes and round pegs in round holes. According to Kootz & O’Donell, “Managerial function of
staffing involves manning the organization structure through proper and effective selection,
appraisal & development of personnel to fill the roles designed un the structure”. Staffing involves:

 Manpower Planning (estimating man power in terms of searching, choose the person and
giving the right place).
 Recruitment, Selection & Placement.
  Training & Development.
 Remuneration.
 Performance Appraisal
 Promotions & Transfer.

Directing
It is that part of managerial function which actuates the organizational methods to work efficiently
for achievement of organizational purposes. It is considered life-spark of the enterprise which sets
it in motion the action of people because planning, organizing and staffing are the mere
preparations for doing the work.

Direction is that inter-personnel aspect of management which deals directly with influencing,
guiding, supervising, motivating sub-ordinate for the achievement of organizational goals.
Direction has following elements:

Supervision- Motivation- Leadership- Communication

Supervision- implies overseeing the work of subordinates by their superiors. It is the act of
watching & directing work & workers.
Motivation- means inspiring, stimulating or encouraging the sub-ordinates with zeal to work.
Positive, negative, monetary, non-monetary incentives may be used for this purpose.
Leadership- may be defined as a process by which manager guides and influences the work of
subordinates in desired direction.
Communications- is the process of passing information, experience, opinion etc from one person
to another. It is a bridge of understanding.
Controlling- According to Koontz & O’Donell “Controlling is the measurement & correction of
performance activities of subordinates in order to make sure that the enterprise objectives and plans
desired to obtain them as being accomplished.
Levels of Management:
1. Administrative, Managerial, or Top Level of Management: This level of
management consists of an organization’s board of directors and the chief executive or
managing director. It is the ultimate source of power and authority, since it oversees the
goals, policies, and procedures of a company. Their main priority is on the strategic
planning and execution of the overall business success.
2. Executive or Middle Level of Management: The branch and departmental
managers form this middle management level. These people are directly accountable to top
management for the functioning of their respective departments, devoting more time to
organizational and directional functions. For smaller organizations, there is often only one
layer of middle management, but larger enterprises can see senior and junior levels within
this middle section.
3. Supervisory, Operative, or Lower Level of Management: This level of
management consists of supervisors, foremen, section officers, superintendents, and all
other executives whose work must do largely with HR oversight and the direction of
operative employees. Simply put, managers at the lower level are primarily concerned with
the execution and coordination of day-to-day workflow that ensure completion of projects
and that deliverables are met.

Lecture 4: Qualities and skills of a manager; Interpersonal relations in the organization

According to American social and organizational psychologist Robert Katz, the three basic types
of management skills include:
1. Technical Skills
Technical skills involve skills that give the managers the ability and the knowledge to use a variety
of techniques to achieve their objectives. These skills not only involve operating machines and
software, production tools, and pieces of equipment but also the skills needed to boost sales, design
different types of products and services, and market the services and the products.

2. Conceptual Skills
These involve the skills managers present in terms of the knowledge and ability for abstract
thinking and formulating ideas. The manager is able to see an entire concept, analyze and diagnose
a problem, and find creative solutions. This helps the manager to effectively predict hurdles their
department or the business as a whole may face.

3. Human or Interpersonal Skills

The human or the interpersonal skills are the skills that present the managers’ ability to interact,
work or relate effectively with people. These skills enable the managers to make use of human
potential in the company and motivate the employees for better results.

The following are six essential management skills that any manager ought to possess for them to
perform their duties:

Lecture 5: Reporting and Budgeting

Budget A budget is an organisational plan in financial terms. The financial

document is used to estimate future income and expenses. A budget can also
serve as a plan for action for achieving quantified objectives, standard for
measuring performance and a device for coping with foreseeable adverse
situations.
Brought forward A balance which is entered in a general ledger at the start of a year (1
balances January) and represents the net balance of income less expenditure for a
fund, at the end of the preceding year (31 December).
Forecast Is a projection about the year-end position, based on a number of factors
including the use of historical data and current information and knowledge.
It is developed in conjunction with the financial planning and budget team
and budget managers during the year.
Management Management reporting is a detailed report of the actual year to date position
Reporting and a full year forecast. It includes a Profit and Loss statement, cash flow
balances and a Balance Sheet.

Lecture 6: Extension management (POSDCORB) in public sector

POSDCORB is an acronym which means Planning, Organizing, Staffing, Directing,
Coordinating, Reporting and Budgeting which was first coined in a paper on administrative
management that was written for the Brownlow Committee by Luther Gulick and Lyndall Urwick.
POSDCORB can be used as a systematic framework for efficiently executing business processes
in a company or by an individual.

Importance of POSDCORB
Every business needs to have systematic framework in ensuring there is maximum output,
minimum wastage and higher margins. POSDCORB is one such method in management where
workforce and employees can be managed in a way which would be beneficial for a company.

This concept helps organizations to break down the work into multiple processes and help in
getting maximum value out to each employee. These steps and stages of POSDCORB help the HR
team to deliver to the needs of a company.

Indian agricultural extension has wide mandates and despite the pluralistic extension approaches,
its coverage and use of services is limited; particularly in rain-fed regions that are represented by
marginal and smallholder farmers’. Hence, there is need to develop “need-based” capacity building
of small-scale men and women farmers, as well as gaining access to reliable information in
increasing their productivity and profitability for livelihoods improvements.

There are five major agricultural public sector extension systems devoted to extension work in
India:

(i) the Ministry of Agriculture at central level, including the Indian Council of Agricultural
Research (ICAR) and the Directorate of Extension (DoE);
(ii) State Departments of Agriculture (DoA), as well as the State Agricultural Universities
(SAUs);
(iii) the Departments of Agriculture (DoA), Animal Husbandry (DAH), Horticulture
(DoH) and Fisheries (DoF), as well as the Krishi Vigyan Kendra (KVKs) and, more
recently, the Agricultural Technology Management Agency (ATMA) at the District
level;
(iv) there are a wide variety of producers groups, including cooperatives and federations
of milk, fruits, cotton, oilseeds, coconut, spices etc.; as well as
(v) Civil society organizations, such as the Non-governmental Organization (NGOs). In
agricultural innovation systems, there are still large gaps between research and
extension approaches.

Hence, there is need to evaluate the performance and socio-economic impacts of research and
extension programs. Also, a greater understanding of Public Private Partnership is also
required; including the mechanisms that help encourage partnerships. There is a want for a
thorough evaluation of extension approaches in order to identify best practices and to
understand their impact on farming communities in reaching small-scale and marginal farmers.
Lecture 7: Department of Agriculture, Agricultural Technology Management Agency
(ATMA), Krishi Vigyan Kendra (KVK), SAUs, ICAR Institutes, Private sector,
Cooperatives, NGOs, FPOs etc.

Department of Agriculture:
The DA&FW is organized into 28 Divisions and has five attached offices and twenty-one
subordinate offices which are spread across the country for coordination with state level agencies
and implementation of Central Sector Schemes in their respective fields.

Divisions
Administration Crops Official Language Mechanization and Technology
Agriculture Drought Horticulture Natural Resources Management
Census Management
Agricultural Economic Digital Agriculture Oilseeds
Marketing Administration Division
Price Support Extension Integrated Nutrient Plan Coordination
Management
Credit General International Plant Protection
Coordination Cooperation
Policy Rainfed Farming Rashtriya Krishi Agriculture Trade Policy,
System Vikas Yojana Promotion and Logistics
Development Division
 Vigilance Farmers Welfare
Division

Agricultural Technology Management Agency (ATMA)

A Centrally sponsored scheme ‘Support to State Extension Programmes for Extension

Reforms’ was launched by the ICAR in 1999. This scheme is a major initiative towards
revitalizing agricultural extension in the States to make the extension system decentralized
and demand driven. The scheme is implemented through autonomous district level institutions
established in the States in the form of Agricultural Technology Management Agency
(ATMA). ATMA is managed by Project Director at district level.

Goals of ATMA
(i) Decentralize decision-making to the district level.
(ii) Increase farmer input into programme planning and resource allocation, especially
at the block level.
(iii) Increase programme coordination and integration, and to increase accountability
to stakeholders.
As a society, it would be able to receive and expend project funds, entering in to contracts and
agreements and maintaining revolving accounts that can be used to collect fees and thereby
recovering operating cost.

ATMA networking: It would have linkage with all the line departments, research
organizations, NGOs, and agencies associated with agricultural development in the district.
Research and Extension Units within the project districts such as ZRS or substations, KVKs
and the key line departments of Agriculture, Animal Husbandry, Horticulture and Fisheries
etc. would become constituent members of ATMA.

ATMA Governing Board: The ATMA Governing Board is a policy making body and
provides guidance as well as review the progress and functioning of the ATMA. The
composition of the ATMA Governing Board is as follows.
(i) Chairman: District Magistrate/Collector
(ii) Vice-Chairman: Chief Executive Officer (CEO)/Chief Development Officer (CDO)
(iii) Members: Joint Director/Deputy Director (Agriculture)
A representative from KVK, One farmer representative, One livestock producer, One
horticulture farmer, Representative of Women Farmers Interest Group, One SC/ST farmer
representative, A representative of NGO, Lead Bank Officer of the district, A representative
of District Industrial Centre. Note: Sub-divisional Agricultural Officers are nominated as
members. On the basis of local requirement other members may be nominated.
Key functions of ATMA Governing Board
(i) Review and approve Strategic Research and Extension Plan (SREP) and annual
work plans that are prepared and submitted by the participating units.
(ii) Receive and review annual reports presented by the participating units, providing
feedback and direction to them as needed, for various research and extension
activities being carried out within the district.
(iii) Receive and allocate project funds to carry out priority research, extension and
related activities within the district.

ATMA management Committee: The Management Committee would be responsible for

planning and executing the day-to-day activities of ATMA. The ATMA management
committee shall be constituted as follows.
(i) Chairman: Project Director of ATMA
(ii) Members: District Heads of Departments of Agriculture, Horticulture, Animal
Husbandry, Fisheries, Sericulture Sub divisional Agricultural Officers, One
representative of NGO in-charge of farmers organization, two representative of farmers
organizations (one year rotation basis)
Key functions of Management Committee
(i) Carryout Participatory Rural Appraisals (PRAs) to identify the problems and
constraints faced by different socioeconomic groups and farmers within the district.
(ii) Prepare an integrated, Strategic Research and Extension Plan (SREP) from the district.
(iii) Prepare annual work plans that would be submitted to the ATMA Governing Board for
review, possible modification and approval.

Linkage mechanism:

Organizational Structure of Agricultural Technology Management Agency (ATMA)

ATMA has a sound Research-Extension-Farmer (REF) linkage mechanism. This approach of

transfer of technology envisages both top-down and bottom-up linkage (Das and Saha, 2002).
Cooperation and coordination among sister departments is the key for successful whole farm
management.

Advantages
(i) ATMA is more effective in technology generation as it encourages location-specific
solutions, keeping the resources of the farmers in mind.
(ii) As ATMA ensures a greater coordination among sister departments, it helps in better
management of farms by the farm families.
(iii) Participation is the basic principle of ATMA. Involvement of women in both ATMA
Governing Board and Management Committee would bring about women
 empowerment.
(iv) ATMA seeks a greater linkage with research and extension.
(v) ATMA provides a single window extension system by creating FIAC at the block level.
Farmer can get any advice and suggestions from there only.
(vi) ATMA has an effective feedback mechanism.

Strategic Research and Extension Plan

ATMA is mandated to develop a demand driven, situation specific, multi-actor oriented Strategic
Research and Extension Plan (SREP) to accelerate agriculture development in the project
district. The SREP is the basic document which not only decides the development activities that
need to be carried out but also in which manner and by whom it has to be done.

What is strategic planning?

(i) A process in which the stakeholders of an organization join in strategic thinking and
acting to create the best fit between the organization and its environment.
(ii) It is planning from outside in and from inside out.
(iii) iii. It aims to unearth strengths, weaknesses, opportunities and threats in terms of the
organization its mission, its vision and its environment of an organization.
(iv) In brief, strategic planning is:
a. What is intended to be achieved in future?
b. How to get there?

Need for SREP: The present Agricultural Technology Service (Research & Extension) is:
(i) Centralized in nature.
(ii) Its approach is top down.
(iii) It focuses on individual commodities/ enterprises rather than on holistic/ integrated
approach.
(iv) It is adhoc in nature and does not involve participation of all actors.
(v) The farmers are considered as receivers of benefits rather than as responsible persons
who can influence the production process.

Procedure For Srep Preparation: In order to prepare SREP for a district, representative mandals
and villages will be selected for data collection. Secondary data is collected from records and again
at village level primary data is collected from farmers by Agro Ecological Situation Team (AES)
by use of participatory methods.

How to Develop SREP

SREP is to be demand driven while it is in consonance with the prevailing Agro-ecological, socio-
economic situations and also the development goals of various government departments. This is
developed with a bottom – up approach. While it gives importance to the main clients i.e. the
farming community, it does consider the views of the other stakeholders in the agricultural
development scenario. Hence, the methodology for developing SREP for any NATP district is
different from the method presently in vogue in different line departments of the government in
formulating plans and strategies for their activities. The steps for developing SREP are outlined
here under:

Steps in Developing SREP

(i) Orientation of District Level Officers and Scientists on SREP.
(ii) Identification of Agro-eco-situations (AESs) within the district,
Constitution of AES teams and Logistic arrangements
(iii) Training of AES teams
(iv) Participatory Field data collection
(v) Rechecking and analysis of data and information
(vi) Developing strategies for research and extension in the district
(vii) Developing Activity Schedules
(viii) Approval of SREP

Krishi Vigyan Kendra (KVK)

The first KVK was established in 1974 at Puducherry. The number of KVKs has risen to 645 and
106 more KVKs are to be established in the newly created districts and some larger districts. The
KVK scheme is 100% financed by Govt. of India and the KVKs are sanctioned to Agricultural
Universities, ICAR institutes, related Government Departments and Non-Government
Organizations (NGOs) working in Agriculture.
KVK, is an integral part of the National Agricultural Research System (NARS), aims at assessment
of location specific technology modules in agriculture and allied enterprises, through technology
assessment, refinement and demonstrations. KVKs have been functioning as Knowledge and
Resource Centre of agricultural technology supporting initiatives of public, private and voluntary
sector for improving the agricultural economy of the district and are linking the NARS with
extension system and farmers.
KVK System: Mandate and Activities

The mandate of KVK is Technology Assessment and Demonstration for

its Application and Capacity Development. To implement the mandate effectively, the following
activities are envisaged for each KVK
1. On-farm testing to assess the location specificity of agricultural technologies under various
farming systems.
2. Frontline demonstrations to establish production potential of technologies on the farmers’
fields.
3. Capacity development of farmers and extension personnel to update their knowledge and skills
on modern agricultural technologies.
4. To work as Knowledge and Resource Centre of agricultural technologies for supporting
initiatives of public, private and voluntary sector in improving the agricultural economy of the
district.
5. Provide farm advisories using ICT and other media means on varied subjects of interest to
farmers

In addition, KVKs produce quality technological products (seed, planting material, bio-agents,
livestock) and make it available to farmers, organize frontline extension activities, identify and
document selected farm innovations and converge with ongoing schemes and programs within the
mandate of KVK.

State Agricultural Universities

S.No. Name of University
Andhra Pradesh
1 Acharya NG Ranga Agricultural University, Guntur
2 Dr. YSRHU (APHU), Venkataramannagudem
3 Sri Venkateswara Veterinary University, Tirupati
Assam
4 Assam Agricultural University, Jorhat
Bihar
5 Bihar Agricultural University, Sabour, Bhagalpur
6 Bihar Animal Sciences University, Patna
Chhattisgarh
7 Indira Gandhi Krishi Viswa Vidhyalaya, Raipur
8 Chhattisgarh Kamdhenu Visvavidyalaya, Durg
Gujarat
9 Sardar Krushinagar Dantiwada Agricultural University, Dantiwada
10 Anand Agricultural University, Anand
11 Navsari Agricultural University, Navsari
12 Junagarh Agricultural University, Junagarh
13 Kamdhenu University, Gandhinagar
Haryana
14 Chaudhary Charan Singh Haryana Agricultural University, Hisar
15 Lala Lajpat Rai University of Veterinary & Animal Sciences, Hisar
16 Haryana State University of Horticultural Sciences, Karnal
Himachal Pradesh
17 Ch. Sarwan Kumar Himachal Pradesh Krishi Viswavidyalaya, Palampur
18 Dr. Yaswant Singh Parmar University of Horticulture & Forestry, Solan
Jharkhand
19 Birsa Agricultural University, Ranchi
Jammu & Kashmir
20 Sher-e-Kashmir University of Agricultural Science & Technology, Srinagar
21 Sher-e-Kashmir University of Agricultural Science & Technology, Jammu
Karnataka
22 University of Agricultural Sciences, Bangalore
23 Karnataka Veterinary, Animal and Fisheries Sciences University, Bidar
24 University of Agricultural Sciences, Raichur
25 University of Agricultural Sciences, Dharwad
26 University of Horticulture Science, Bagalkot
27 University of Agriculture & Horticulture Sciences, Shimoga

Kerala
28 Kerala Agricultural University, Thrissur
29 Kerala University of Fisheries and Ocean Studies, Panangad, Kochi
30 Kerala Veterinary and Animal Sciences University, Pookode, Wayanand, Kerala
Madhya Pradesh
31 Rajmata Vijayaraje Scindia Krishi VishwaVidyalaya, Gwalior
32 Nanaji Deshmukh Pashu ChikitsaVisvaVidyalaya, Jabalpur
33 Jawaharlal Nehru Krishi Viswa Vidyalaya, Jabalpur
Maharashtra
34 Dr. Balaesahib Sawant Kokan KrishiVidyapeeth, Dapoli
35 Maharastra Animal & Fisheries. Sciences University, Nagpur
36 Vasantrao Naik Marathwada Krishi Vidyapeeth, Parbhani
37 Mahatma Phule Krishi Vidyapeeth, Rahuri
38 Dr. Punjabrao Deshmukh KrishiViswaVidyalaya, Akola
Orissa
39 Orissa University of Agricultural & Technology, Bhubaneswar
Punjab
40 Guru Angad Dev Veterinary and Animal Sciences University, Ludhiana
41 Punjab Agricultural University, Ludhiana
Rajasthan
42 Maharana Pratap University of Agriculture & Technology, Udaipur
43 Swami Keshwanand Rajasthan Agricultural University, Bikaner
44 Rajasthan University of Veterinary & Animal Sciences, Bikaner
45 SKN Agriculture University, Jobner
46 Agriculture University, Kota
47 Agriculture University, Jodhpur
Tamil Nadu
 48 Tamil Nadu Agricultural University, Coimbatore
49 Tamil Nadu Veterinary & Animal Sciences University, Chennai
50 Tamil Nadu Fisheries University, Nagapattinam
Telangana
51 Sri Konda Laxman Telangana State Horticultural University, Hyderabad
52 Sri PV Narsimha Rao Telangana Veterinary University, Hyderabad
53 Professor Jayashankar Telangana State Agricultural University, Hyderabad
UttraKhand
54 G.B. Pant University of Agriculture & Technology, Pantnagar
55 VCSG Uttarakhand University of Horticulture & Forestry, Bharsar
Uttar Pradesh
56 Chandra Shekhar Azad University of Agricultural & Technology, Kanpur
57 Narendra Deva University of Agriculture & Technology, Faizabad
58 Sardar Vallabhbhai Patel University of Agriculture & Technology, Meerut
59 U.P. Pt. Deen Dayal Upadhyaya Pashu Chikitsa VigyanVishwaVidhyalaya Evem Go
Anusandhan Sansthan, Mathura
60 Banda University of Agricultural and Technology, Banda
West Bengal
61 Bidhan Chandra Krishi Viswa Vidhyalaya, Mohanpur
62 West Bengal University of Animal & Fishery Sciences, Kolkata
63 Uttar Banga Krishi Viswavidhyalaya, Cooch Behar

Central Agricultural Universities

 Central Agricultural University, P.O. Box 23, Imphal-795004, Manipur.

 Rani Laxmi Bai Central Agricultural University, Jhansi, Uttar Pradesh.
 Dr. Rajendra Prasad Central Agricultural University, Pusa (Samastipur)

Deemed Universities - 4
1. ICAR-Indian Agricultural Research Institute, New Delhi
2. ICAR-National Dairy Research Institute, Karnal
3. ICAR-Indian Veterinary Research Institute, Izatnagar
4. ICAR-Central Institute on Fisheries Education, Mumbai
Institutions - 65
1. ICAR-Central Island Agricultural Research Institute , Port Blair
2. ICAR-Central Arid Zone Research Institute, Jodhpur
3. ICAR-Central Avian Research Institute, Izatnagar
4. ICAR-Central Inland Fisheries Research Institute, Barrackpore
5. ICAR-Central Institute Brackishwater Aquaculture, Chennai
6. ICAR-Central Institute for Research on Buffaloes, Hissar
7. ICAR-Central Institute for Research on Goats, Makhdoom
8. ICAR-Central Institute of Agricultural Engineering, Bhopal
9. ICAR-Central Institute for Arid Horticulture, Bikaner
10. ICAR-Central Institute of Cotton Research, Nagpur
11. ICAR-Central Institute of Fisheries Technology, Cochin
12. ICAR-Central Institute of Freshwater Aquaculture, Bhubneshwar
13. ICAR-Central Institute of Research on Cotton Technology, Mumbai
14. ICAR-Central Institute of Sub Tropical Horticulture, Lucknow
15. ICAR-Central Institute of Temperate Horticulture, Srinagar
16. ICAR-Central Institute on Post harvest Engineering and Technology, Ludhiana
17. ICAR-Central Marine Fisheries Research Institute, Kochi
18. ICAR-Central Plantation Crops Research Institute, Kasargod
19. ICAR-Central Potato Research Institute, Shimla
20. ICAR-Central Research Institute for Jute and Allied Fibres, Barrackpore
21. ICAR-Central Research Institute of Dryland Agriculture, Hyderabad
22. ICAR-National Rice Research Institute, Cuttack
23. ICAR-Central Sheep and Wool Research Institute, Avikanagar, Rajasthan
24. ICAR- Indian Institute of Soil and Water Conservation, Dehradun
25. ICAR-Central Soil Salinity Research Institute, Karnal
26. ICAR-Central Tobacco Research Institute, Rajahmundry
27. ICAR-Central Tuber Crops Research Institute, Trivandrum
28. ICAR-ICAR Research Complex for Eastern Region, Patna
29. ICAR-ICAR Research Complex for NEH Region, Barapani
30. ICAR-Central Coastal Agricultural Research Institute, Ela, Old Goa, Goa
31. ICAR-Indian Agricultural Statistics Research Institute, New Delhi
32. ICAR-Indian Grassland and Fodder Research Institute, Jhansi
33. ICAR-Indian Institute of Agricultural Biotechnology, Ranchi
34. ICAR-Indian Institute of Horticultural Research, Bengaluru
35. ICAR-Indian Institute of Natural Resins and Gums, Ranchi
36. ICAR-Indian Institute of Pulses Research, Kanpur
37. ICAR-Indian Institute of Soil Sciences, Bhopal
38. ICAR-Indian Institute of Spices Research, Calicut
39. ICAR-Indian Institute of Sugarcane Research, Lucknow
40. ICAR-Indian Institute of Vegetable Research, Varanasi
41. ICAR-National Academy of Agricultural Research & Management, Hyderabad
42. ICAR-National Institute of Biotic Stresses Management, Raipur
43. ICAR-National Institue of Abiotic Stress Management, Malegaon, Maharashtra
44. ICAR-National Institute of Animal Nutrition and Physiology, Bengaluru
45. ICAR-National Institute of Natural Fibre Engineering and Technology, Kolkata,
Kolkata
46. ICAR-National Institute of Veterinary Epidemiology and Disease Informatics,
Hebbal, Bengaluru
47. ICAR-Sugarcane Breeding Institute, Coimbatore
48. ICAR-Vivekananda Parvatiya Krishi Anusandhan Sansthan, Almora
49. ICAR-Central Institute for Research on Cattle, Meerut, Uttar Pradesh
50. ICAR-National Institute of High Security Animal Diseases, Bhopal
51. ICAR-Indian Institute of Maize Research,Ludhiana
52. ICAR- Central Agroforestry Research Institute , Jhansi
53. ICAR-National Institute of Agricultural Economics and Policy Research, New Delhi
54. ICAR- Indian Institute of Wheat and Barley Research, Karnal
55. ICAR- Indian Institute of Farming Systems Research, Modipuram
56. ICAR- Indian Institute of Millets Research, Hyderabad
57. ICAR- Indian Institute of Oilseeds Research, Hyderabad
58. ICAR- Indian Institute of Oil Palm Research, Pedavegi, West Godawari
59. ICAR- Indian Institute of Water Management, Bhubaneshwar
60. ICAR-Indian Institute of Rice Research, Hyderabad
61. ICAR- Central Institute for Women in Agriculture, Bhubaneshwar
62. ICAR-Central Citrus Research Institute, Nagpur
63. ICAR-Indian Institute of Seed Science, Mau
64. ICAR-Indian Agricultural Research Institute, Post Box No. 48, Hazaribag 825 301,
Jharkhand
65. ICAR-National Institute for Plant Biotechnology, New Delhi
National Research Centres - 14
1. ICAR-National Research Centre for Banana, Trichi
2. ICAR-National Research Centre for Grapes, Pune
3. ICAR-National Research Centre for Litchi, Muzaffarpur
4. ICAR-National Research Centre for Pomegranate, Solapur
5. ICAR-National Research Centre on Camel, Bikaner
6. ICAR-National Research Centre on Equines, Hisar
7. ICAR-National Research Centre on Meat, Hyderabad
8.. ICAR-National Research Centre on Mithun, Medziphema, Nagaland
9. ICAR-National Research Centre on Orchids, Pakyong, Sikkim
10. ICAR-National Research Centre on Pig, Guwahati
11. ICAR-National Research Centre on Seed Spices, Ajmer
12. ICAR-National Research Centre on Yak, West Kemang
13. ICAR-National Centre for Integrated Pest Management, New Delhi
14. Mahatma Gandhi Integrated Farming Research Institute ,Motihari
 National Bureaux - 6
1. ICAR-National Bureau of Plant Genetics Resources, New Delhi
2. ICAR-National Bureau of Agriculturally Important Micro-organisms, Mau, Uttar
Pradesh
3. ICAR-National Bureau of Agricultural Insect Resources, Bengaluru
4. ICAR-National Bureau of Soil Survey and Land Use Planning, Nagpur
5. ICAR-National Bureau of Animal Genetic Resources, Karnal
6. ICAR-National Bureau of Fish Genetic Resources, Lucknow
Directorates/Project Directorates - 13
1. ICAR-Directorate of Groundnut Research, Junagarh
2. ICAR-Directorate of Soybean Research, Indore
3. ICAR-Directorate of Rapeseed & Mustard Research, Bharatpur
4. ICAR-Directorate of Mushroom Research, Solan
5. ICAR-Directorate on Onion and Garlic Research, Pune
6. ICAR-Directorate of Cashew Research, Puttur
7.. ICAR-Directorate of Medicinal and Aromatic Plants Research, Anand
8. ICAR-Directorate of Floricultural Research, Pune, Maharashtra
9. ICAR-Directorate of Weed Research, Jabalpur
10. ICAR-Project Directorate on Foot & Mouth Disease, Mukteshwar
11. ICAR-Directorate of Poultry Research, Hyderabad
12. ICAR-Directorate of Knowledge Management in Agriculture (DKMA), New Delhi
13. ICAR-Directorate of Cold Water Fisheries Research, Bhimtal, Nainital

Private sector
Diverse agricultural extension funding and delivery arrangements have been undertaken since the
mid-1980s by governments worldwide in the name of "privatization." This chapter reviews these
actions and their implications.
When agricultural extension is discussed, privatization is used in the broadest sense - of
introducing or increasing private sector participation, which does not necessarily imply a transfer
of designated state-owned assets to the private sector. In fact, various cost-recovery,
commercialization, and other so-called privatization alternatives have been adopted to improve
agricultural extension.
Forces for change: The evolution of public agricultural extension arrived at a worldwide turning
point in the 1980s, one that represented the end of a major phase in the growth of publicly funded
extension in both the developed and developing world. Agricultural extension increasingly has
become defined as one or other of (apparently) differentiated activities of technology transfer or
rural development. In many situations, the transfer of technology, heretofore considered the
purview of public sector systems, has been reconceived. Such changes suggest a refocussing of
paradigms for the delivery of public sector extension.

In developed industrialized countries, which often provide models for extension service delivery
elsewhere, the declining relative importance of agriculture for economic growth, the increasing
education and affluence of smaller populations of rural producers, and the increasing use of
externally purchased inputs have changed the nature of publicly funded extension services and led
to a questioning of the means of delivery of extension services by governments (Cary, 1993a). In
developing countries, where publicly funded extension is often more important, there has been
considerable questioning of the structure and forms of extension delivery.

Global Competition

The consequence of the ratification of the General Agreement on Tariffs and Trade (GATT) is that
countries will have to more actively develop comparative agricultural advantages in the production
and marketing of food and fibre. Coincidental with a shift toward more conservative political
ideologies and free-market economics, global developments suggest increased competition in
agriculture. While countries will focus more on their comparative advantages, they also, in many
cases, still face national food security concerns and abject rural poverty.

Reassessment of Public Extension

While "modern" extension has existed since the nineteenth century, agricultural extension is quite
young worldwide as a formal institution, with the majority of countries initiating such services
since the 1950s and 1960s. Even in high-income countries where extension began at earlier dates,
fiscal commitment took significant upswings following World War II when a backlog of science
and technology had accumulated. In an FAO survey of 207 agricultural extension organizations in
115 countries (Swanson, Farner, & Bahal, 1990), 50 per cent of these organizations had been
established or were reorganized in the previous two decades.

Against this background, governments in recent times have found that they are less able to continue
providing all the services previously provided. With costs rising, limited resources available, and
changes in the prevailing philosophy of the appropriate extent of government intervention,
governments have been slow to increase appropriations for many publicly funded activities. Some
functions of government have been curtailed, and others have been privatized. Such changes have
been particularly significant in the formerly centrally managed economies.
Because extension worldwide has large numbers of staff, the recurrent costs of extension are of
significant magnitude. In the FAO Report of the Global Consultation on Agricultural
Extension, Swanson et al. (1990) reported that there were approximately 600,000 agricultural
extension personnel worldwide, with 95 per cent of these working in public agricultural extension
systems. In the United States, there are about 9,000 extension agents, 4,000 subject-matter
specialists, and 1,000 directors and administrative support personnel (USDA, 1993 data).

Cooperatives:

A cooperative is an autonomous association of persons united voluntarily to meet their common

economic, social and cultural needs and aspirations through a jointly owned and democratically
controlled enterprise.

An agricultural cooperative, also known as a farmers' co-op, is a cooperative in

which farmers pool their resources in certain areas of activity.
A broad typology of agricultural cooperatives distinguishes between agricultural service
cooperatives, which provide various services to their individually-farming members, and
agricultural production cooperatives in which production resources (land, machinery) are pooled
and members farm jointly.
Examples of agricultural production cooperatives include collective farms in former socialist
countries, the kibbutzim in Israel, collectively-governed community shared agriculture, Longo
Maï co-operatives and Nicaraguan production co-operatives.
The default meaning of "agricultural cooperative" in English is usually an agricultural service
cooperative, the numerically dominant form in the world.
There are two primary types of agricultural service cooperatives: supply cooperatives and
marketing cooperatives.
Supply cooperatives: supply their members with inputs for agricultural production,
including seeds, fertilizers, fuel, and machinery services.
Marketing cooperatives: are established by farmers to undertake transportation, packaging,
pricing, distribution, sales and promotion of farm products (both crop and livestock).
Farmers also widely rely on credit cooperatives as a source of financing for both working capital
and investments.

NGOs:
A non-governmental organization (NGO) is a group that functions independently of any
government. It is usually non-profit. NGOs, sometimes called civil society organizations, are
established on community, national, and international levels to serve a social or political goal
such as a humanitarian cause or the protection of the environment.

For example, NGOs might focus on activities in areas involving health or health emergencies,
education, infrastructure, advocacy of minority rights, support of the poor, and the reduction of
crime.

1. Universal Versatile Society (UVS)

The NGO is into several critical areas such as agriculture, environment, rural development,
education, and women empowerment. Its mission is to serve the communities by connecting the
donors with community-based projects and use its expertise to promote sustainable development
projects. The efforts of UVS are directed towards preventing farmer suicides by providing basic
education, raising awareness, imparting employable skills, infrastructure development and small
enterprise development, leading to income generation and employment opportunities in a
sustainable way.

2. Gramya Resource Center for Women

Founded in 1993 to promote women’s rights, Gramya’s vision is to create a just society with equal
opportunities for women, especially tribals and Dalits. In the rural areas, Gramya works for the
well-being and rights of the farming community, by addressing the crisis of farmer suicides and
assisting victims’ families. Their collective efforts are helping thousands of distressed farmer
families. Gramya also promotes child rights with a focus on the girl child and education, and works
closely with community-based organisations to seek justice for marginalised communities.

3. Dilasa Sanstha
Established in 1994, Dilasa Sanstha works in close cooperation with several smaller NGOs in
Maharashtra’s Vidarbha and Marathwada regions. It advocates innovative and sustainable
irrigation methods to support agricultural development for tribal people and small Indian farmers.
The low-cost technical solutions provided by Dilasa help the farmers improve irrigation methods
and practice mixed cropping.

Dilasa has also created 7,650 self-help groups (SHGs) for women to encourage organic farming.
The organisation also runs a farmers support centre to inform them about various government
schemes. So far, over 125,000 people have directly reaped the benefits from its programmes and
over 100,000 others have been positively affected.

4. End Poverty
End Poverty was started in 2009 with the purpose of poverty reduction in India through sustainable
livelihood creation, girls’ education, rural development and civil society development. The
nonprofit has been working in the states of Rajasthan, Haryana, Karnataka, Madhya Pradesh and
Delhi. Its main beneficiaries are poor, landless agricultural Indian farmers, small and marginal
farmers, traditional artisans, poor women, uneducated girl children, unemployed youth, etc. It
provides capacity building and training to support diverse groups.

End Poverty develops and delivers innovative and self-sustaining programmes for social impact.
It has carried out development works of over ₹60 crore in the last three years benefitting nearly
24,000 people.

5. Swades Foundation
Founded by Ronnie and Zarina Screwvala, Swades Foundation operates with the aim of
empowering rural India by incorporating innovative practices and the use of modern technology.
Swades aims to empower one million rural Indians every 5-6 years through holistic development
with a focus on health, education, water and sanitation, and economic development. The
organisation connects rural communities with corporates, young urban India, not-for-profit
organisations and governments, enabling marginalised communities to improve their lives. Their
1,600 member strong team includes 1,300 community volunteers and 300 full-time staff of
specialists and professionals working at the grassroots level.

6. Marathwada Navnirman Lokayat (MANAVLOK)

Established in 1982, MANAVLOK is a voluntary organisation dedicated to the socio-economic
upliftment of the rural poor. Headquartered at Ambajogai, in Maharashtra’s Beed district, it
operates through seven sub-centres in Beed, Latur and Osmanabad districts. MANAVLOK aims
to achieve equality in the lives of women, landless labourers, and the farming community.

Its endeavours comprise community-based monitoring programmes, watershed development

programme, Trupti Kitchen for senior citizens, Krushak Panchayat, free legal aid centre and others.
MANAVLOK also works in the areas of sanitation, provides relief services for the victims of
natural disasters and monitors and evaluates government schemes and programmes.

7. Watershed Organisation Trust (WOTR)

WOTR is a well-established organisation in Maharashtra and is engaged in comprehensive rural
development initiatives. It focuses on agriculture, allied sector development, climate change
adaptation, watershed, natural resource management, social development, training, and capacity
building.

WOTR is dedicated to transforming the lives of millions of poor villagers across India through
participatory watershed development, ecosystem restoration, and climate-resilient, sustainable
agriculture. Its special emphasis is on building vulnerable communities, farmers, and women.
WOTR was awarded the prestigious Land for Life Award 2017 instituted by the United Nations
Convention to Combat Desertification (UNCCD) for achieving Sustainable Development Goals
(SDGs).

8. Vrutti
Active for over 23 years, Vrutti has significantly improved the lives and livelihoods of over one
million poor and marginalised individuals and households. Vrutti’s efforts are directed towards
improving people’s well-being through knowledge, innovation and transformative actions. It
adopts an ecosystem approach to integrate and deliver end-to-end services that empower small
producers to become profitable and escape poverty.

Vrutti’s flagship model of ‘3Fold’ covers over 40,000 smallholder Indian farmers, enabling them
to access multiple services (farm, financing, market, institutions) and become independent and
resilient. Its portfolio also includes similar models for women-owned businesses, marine
fisherfolk, Micro, Small and Medium Enterprises (MSMEs) and people in special circumstances
like sex workers and transgender persons.

9. Professional Assistance for Development Action (PRADAN)

Founded in 1983, PRADAN works in the area of rural poverty alleviation by promoting sustainable
livelihoods in rural pockets, particularly among tribal and vulnerable groups. Its efforts are
focussed on long term collaboration with the government and donors to alleviate rural poverty.

PRADAN also trains and places well-educated people with empathy at the grassroots level to
support and engage women-run collectives. As of 2020, PRADAN worked with over 862,300
families belonging to the most vulnerable groups such as Dalits and tribals in over 8,600 villages
across seven states.

10. Seven Sisters Development Assistance (SeSTA)

SeSTA literally means ‘effort’ in Assamese and since its inception in 2011, the organisation has
been working towards creating an equitable society in Northeast India. It works directly with 8,000
families in 100 villages across four districts of Assam: Chirang, Bongaigaon, Goalpara and
Kamrup.
So far, it has helped over 8,600 small and marginal farmers improve the productivity of crops like
paddy and maize. SeSTA is planning to expand its works to other parts of Assam and the Northeast,
hoping to reach over 30,000 rural poor families in the next three years.

FPOs etc.

What is a Producer Organisation (PO)?

A Producer Organisation (PO) is a legal entity formed by primary producers, viz. farmers, milk
producers, fishermen, weavers, rural artisans, craftsmen. A PO can be a producer company, a
cooperative society or any other legal form which provides for sharing of profits/benefits among
the members. In some forms like producer companies, institutions of primary producers can also
become member of PO.
What is the need for PO?
The main aim of PO is to ensure better income for the producers through an organization of their
own. Small producers do not have the volume individually (both inputs and produce) to get the
benefit of economies of scale. Besides, in agricultural marketing, there is a long chain of
intermediaries who very often work non-transparently leading to the situation where the producer
receives only a small part of the value that the ultimate consumer pays. Through aggregation, the
primary producers can avail the benefit of economies of scale. They will also have better
bargaining power vis-à-vis the bulk buyers of produce and bulk suppliers of inputs.

What is a “Farmers Producer Organisation” (FPO)?

It is one type of PO where the members are farmers. Small Farmers’ Agribusiness Consortium
(SFAC) is providing support for promotion of FPOs. PO is a generic name for an organization of
producers of any produce, e.g., agricultural, non-farm products, artisan products, etc.

Can there be a PO for non-farmers?

Yes. The PO is an organization of the primary producers. If the produce in question is a nonfarm
item (for example, handloom or handicraft), then the PO will be that of non-farmers. The objective
of the PO is to ensure better income realization to its members (who are producers) through
aggregation and, if feasible, value addition.

What are the essential features of a PO?

a. It is formed by a group of producers for either farm or non-farm activities.
b. It is a registered body and a legal entity.
c. Producers are shareholders in the organization.
d. It deals with business activities related to the primary produce/product.
e. It works for the benefit of the member producers.
f. A part of the profit is shared amongst the producers.
g. Rest of the surplus is added to its owned funds for business expansion.

Who owns the PO?

The ownership of the PO is with its members. It is an organization of the producers, by the
producers and for the producers. One or more institutions and/or individuals may have promoted
the PO by way of assisting in mobilization, registration, business planning and operations.
However, ownership control is always with members and management is through the
representatives of the members.

Who can promote a PO?

Any individual or institution can promote a PO. Individual persons or institutions may promote
PO using their own resources out of goodwill or with the noble objective of socioeconomic
development of producers. If, however, the facilitating agency wishes to seek financial and other
support, then they have to meet the requirements of the donor/financing agency.

Who provides support for promotion of PO?

NABARD, SFAC, Government Departments, Corporates and Domestic & International Aid
Agencies provide financial and/or technical support to the Producer Organisation Promoting
Institution (POPI) for promotion and hand-holding of the PO. Each agency has its own criteria for
selecting the project/promoting institution to support.

Can an NGO promote PO?

Yes, it can. The NGO may be a non-profit organization, but not the PO. The NGO can promote
PO which will provide better income to the members. Sharing of profit among members is an
important objective of the PO.

What are the different legal forms of PO?

Producer Organisation can be registered under any of the following legal provisions:

a) Cooperative Societies Act/ Autonomous or Mutually Aided Cooperative Societies Act of the
respective State
b) Multi-State Cooperative Society Act, 2002
c) Producer Company under Section 581(C) of Indian Companies Act, 1956, as amended in 2013
d) Section 25 Company of Indian Companies Act, 1956, as amended as Section 8 in 2013
e) Societies registered under Society Registration Act, 1860
f) Public Trusts registered under Indian Trusts Act, 1882

Which legal form is preferable for a PO?

Institutions registered as cooperative societies and producer companies have legal provisions for
sharing of profit earned by the PO by way of dividend. Other legal forms do not explicitly provide
for profit sharing. However, the PO can offer better price for the produce it procures from the
members, thus, benefiting the latter. Similarly, it can procure inputs/raw material in bulk and sell
to members with low margin. Such activities are permissible for POs under all legal forms. A
comparative chart of important features of Cooperative Society and Producer Company is given
below:

Key differences between Producer Companies and Cooperative Societies

Parameter Cooperative Society Producer Company

Registration Cooperative Societies Act Indian Companies Act
Objectives Single object Multi-object
Area of Operation Restricted, discretionary Entire Union of India
 Membership Individuals and cooperatives Any individual, group, association,
producer of goods or services
Share Non tradable Not tradable but transferable; limited to
members at par value
Profit sharing Limited dividends on shares Commensurate with volume of business
Voting rights One member, one vote, but One member, one vote. Members not
Government and Registrar of having transactions with the company
Cooperatives hold veto power cannot vote
Government Highly patronized to the extent Minimal, limited to statutory
control of interference requirements
Extent of Limited in “real world scenario” Fully autonomous, self-ruled within the
Autonomy provisions of Act
Reserves Created if there are profits Mandatory to create every year
Borrowing power Restricted as per bye-law. Any Borrowing limit fixed by Special
amendment to bye-law needs to Resolution in general meeting.
be approved by the Registrar and Companies have more freedom to raise
time consuming. borrowing power
Relationship with Transaction based Producers and corporate entity can
other corporate / together float a producer company.
business houses /
NGOs

Can a PO be registered under Acts governing non-profit institutions?

Yes. Institutions can be built for promoting common interests of members/producers. The
limitation is that surplus generated by such a PO cannot be divided among members by way of
dividend etc. The PO can re-invest the surplus to grow the business.

Is registration mandatory for a PO?

It is preferable for the PO to work as a legal entity. Only such an entity can enter into legally valid
contracts including mobilization of funds from other institutions. There are specific Acts under
which the PO could be registered. It is also possible for a PO to migrate from one legal form to
another. While choosing a legal form, the following factors may be kept in view:

a) Primary producers should benefit from the surplus generated by the PO.
b) Process of Registration should not be too demanding in terms of time and resources.
c) The legal form needs to fit into its business needs, organizational priorities, social capital and
management capacity.

What are the important activities of a PO?

The primary producers have skill and expertise in producing. However, they generally need
support for marketing of what they produce. The PO will basically bridge this gap. The PO will
take over the responsibility of any one or more activities in the value chain of the produce right
from procurement of raw material to delivery of the final product at the ultimate consumers’
doorstep. In brief, the PO could undertake the following activities:

a. Procurement of inputs
b. Disseminating market information
c. Dissemination of technology and innovations
d. Facilitating finance for inputs
e. Aggregation and storage of produce
f. Primary processing like drying, cleaning and grading
g. Brand building, Packaging, Labeling and Standardization
h. Quality control
i. Marketing to institutional buyers
j. Participation in commodity exchanges
k. Export

How would a PO help the members?

A PO will support the members in getting more income by undertaking any/many/all of the
activities listed under point 1.14 above. By aggregating the demand for inputs, the PO can buy in
bulk, thus procuring at cheaper price compared to individual purchase. Besides, by transporting in
bulk, cost of transportation is reduced. Thus reducing the overall cost of production. Similarly, the
PO may aggregate the produce of all members and market in bulk, thus, fetching better price per
unit of produce. The PO can also provide market information to the producers to enable them hold
on to their produce till the market price become favorable. All these interventions will result in
more income to the primary producers.

What are other benefits for the members of a PO (other than better income)?
A PO is a collective of farmers (and non-farmers) who are the primary producers of a product (an
agricultural produce or a manufactured product). It, therefore, can work as a platform to facilitate
better access to government services, like PDS, MNREGA, Scholarships and Pensions, etc. It can
liaison with the Government Departments for convergence of programmes, like drinking water,
sanitation, health and hygiene.

Who can become member of a PO?

PO is an organization of the producers, specifically the primary producers. All primary producers
residing in the relevant geography, and producing the same or similar produce, for which the PO
has been formed, can become member of the PO. Membership is voluntary. The procedure for
obtaining PO membership depends on the bye-laws of the PO. The founder-members are those
who were there at the time of formation of the PO. Other members join the PO later. However, all
members enjoy equal rights. A primary producer can become member of a PO by submitting an
application and a nominal membership fee. Some POs also charge annual membership renewal
fee. Although primary producers obtain membership of PO voluntarily, the promoting institution
should make efforts to bring all producers into the PO, especially the small producers.

Who is a primary producer?

Any person engaged in any activity connected with or related to any primary produce will be
treated as producer. Primary produce means the produce of farmers from agriculture and allied
activities or produce of persons engaged in handloom, handicrafts and other cottage industries,
including any by-product and product resulting from ancillary activities thereof. Primary produce
also includes any activity intended to increase the production or quality of aforementioned
products or activities. Persons engaged in agriculture, horticulture, animal husbandry, fishery,
sericulture, apiary, handloom, handicrafts, etc., can become members of appropriate PO. Persons
engaged in collection of minor forest produce are also eligible for membership of PO although
they gather these from forests and strictly are not producers.

Can a person become member of more than one PO?

Family is the unit of production in rural areas. Benefits from the PO will accrue to members in
proportion to the volume/value of produce given to the PO. Therefore, one person from a family
can provide the whole produce of the family to the PO and get the same amount of benefit as
multiple members providing the same volume/value. If however there are two different POs in the
vicinity, each for a different type of produce, say vegetables and milk, one person can become
member of both these POs, if the family produces both milk and vegetables.

Lecture 8: Organizational Structure, relations between different units- Challenges in

management.
Organizational structure refers to how individual and team work within an organization are
coordinated. To achieve organizational goals and objectives, individual work needs to be
coordinated and managed. Structure is a valuable tool in achieving coordination, as it specifies
reporting relationships (who reports to whom), delineates formal communication channels, and
describes how separate actions of individuals are linked together. Organizations can function
within a number of different structures, each possessing distinct advantages and disadvantages.
Although any structure that is not properly managed will be plagued with issues, some
organizational models are better equipped for particular environments and tasks.

Four aspects of structure that have been frequently studied in the literature: centralization,
formalization, hierarchical levels, and departmentalization.
Centralization
Centralization is the degree to which decision-making authority is concentrated at higher levels in
an organization. In centralized companies, many important decisions are made at higher levels of
the hierarchy, whereas in decentralized companies, decisions are made and problems are solved at
lower levels by employees who are closer to the problem in question.

Formalization
Formalization is the extent to which an organization’s policies, procedures, job descriptions, and
rules are written and explicitly articulated. Formalized structures are those in which there are many
written rules and regulations. These structures control employee behavior using written rules, so
that employees have little autonomy to decide on a case-by-case basis. An advantage of
formalization is that it makes employee behavior more predictable. Whenever a problem at work
arises, employees know to turn to a handbook or a procedure guideline. Therefore, employees
respond to problems in a similar way across the organization; this leads to consistency of behavior.
Hierarchical Levels
Another important element of a company’s structure is the number of levels it has in its hierarchy.
Keeping the size of the organization constant, tall structures have several layers of management
between frontline employees and the top level, while flat structures consist of only a few layers.
In tall structures, the number of employees reporting to each manager tends to be smaller, resulting
in greater opportunities for managers to supervise and monitor employee activities. In contrast,
flat structures involve a larger number of employees reporting to each manager. In such a structure,
managers will be relatively unable to provide close supervision, leading to greater levels of
freedom of action for each employee.

Example of a Pharmaceutical Company with a Functional Departmentalization Structure

Lecture 9: Decision making – Concept, Types of decisions, Styles and techniques of decision
making, Steps in DM Process, Guidelines for making effective decisions
Decision making is the process of making choices by identifying a decision, gathering
information, and assessing alternative resolutions.
Types of Decision Making
The managers or non-managers have to make decisions at some point to get their organizational
goals done. These decisions are categorized further. The types of decision making in an
organization are as follows:
1. Programmed and Non-Programmed Decisions:

Programmed decisions are routine and repetitive in nature. These decisions deal with common and
frequently occurring problems in an organization such as buying behaviour of consumers,
sanctioning of different types of leave to employees, purchasing decisions, salary increment, etc.

Non-programmed decisions are not routine or common in nature. These are related to exceptional
situations in which guidelines or routine management is not set. For example, problems arising
from a decline in market share, increasing competition in the business environment. The majority
of the decisions taken by managers do fall in this non programmed category.
2. Operational and Strategic Decisions:

Operational decisions are just the normal functioning of the organization. These decisions do not
require much time and take a shorter time as compared to other decisions taken. Ample of
responsibilities are delegated to subordinates. The main decision is to create harmony in an
organization and to see whether the management is proper or not.

Strategic decisions include all present issues and problems. The main idea is to achieve better
working conditions, better equipment, and efficient use of existing equipment, etc. These all fall
under this category. Usually, strategic decisions are taken by top-level management.
3. Organizational and Personal Decisions:

If the decision is taken collectively keeping in mind the organizational goal, it is known as the
organization goal, and if the manager takes any decision in the personal capacity (affecting his/her
life). It is known as personal decisions. These decisions may sometimes affect the functioning of
the organization as well. For example, if the employee has decided to leave the organization, it
may affect the organization. The authority of taking personal decisions cannot be delegated and is
dependent on the individual itself.
4. Major and Minor Decisions:

These are classified as the type of decision-making in management where decision-related to

purchase of new premises is a major decision. These are taken by top management whereas the
purchase of stationery is a minor decision. Minor decisions can be taken by the superintendent.
5. Individual and Group Decisions:
When the decision is taken by an individual, it is categorized as an individual decision. Usually,
routine decisions are taken by individuals within the policy framework of the organization.
Group decisions are taken by a group of individuals in the form of a standing committee.
Generally, important types of decisions in management are shifted to this committee. The main
aim of a group decision is to involve the maximum number of individuals in the process of decision
making.
6. Tactical and Operational Decisions:

Decisions that are pertaining to various policy matters in the organization are known as policy
decisions. These are taken by top management and do have a long-term impact on the organization.
For example, decisions regarding the location of the plant or volume of production. These are
tactical decisions

Operational decisions are all day-to-day decisions that need to be taken for the proper functioning
and operation of the organization. These can be taken by middle or lower-level managers. For
example, the Calculation of bonuses given to each individual is an operational decision and is
performed by middle or lower-level managers.

These were the types of managerial decisions that are performed by top, middle and lower-level
management in the organization to get things done in alignment and to achieve the organizational
goal effectively and efficiently.
Styles of DM:

1. Affinity diagrams

Key use: brainstorming/mind mapping

When engaged in brainstorming ideas, how can you avoid information overload? Affinity
diagrams help leaders and teams visually organise numerous ideas and data points in a simplified
visual form.

2. Analytic hierarchy process (AHP)

Key use: complex decisions

This decision-making technique helps to mitigate any subjectivity or intuition that goes into a
decision. Going with the gut or being blinkered by a subjective perspective is perfectly natural –
it’s human nature, and in some ways is a remarkable survival technique as it can lead to fast
decisions based on personal lived experience. However, it’s uncommon for a business issue to
involve outrunning a non-allegorical sabre-toothed tiger. Leadership often requires decision
making to be analytical and as objective as possible.

AHP, first developed in the 1970s by Dr. Thomas Saaty, combines the Multiple Criteria decision-
making technique with Paired Comparison and a splash of maths to explore multiple criteria and
options which might result in a single overall goal. The AHP decision making technique is
normally reserved for group solutions to complex challenges.

3. Conjoint analysis

Key use: market research

Market researchers will be familiar with this stats-oriented technique. Conjoint analysis is often
used to help forecast how accepting consumers will be of proposed changes. It’s also used to
help determine a brand’s positioning in the market. Conjoint analysis is a survey-based technique
that helps reveal how consumers might value the attributes (such as the function, features or
benefits) of a product or service.

4. Cost/benefit analysis

Key use: financial decision making

This technique is solely for making decisions of a financial nature. It can also be used to acquire
any financial data you might wish to use as part of another decision-making technique.

5. Decision making trees

Key use: assessing multiple outcomes prior to tough decision making

The outcomes aren’t always clear when business decisions need to be made. A business might,
for example, be required to choose between conflicting strategies while hampered by limited
resources or other impediments to success. A decision-making tree can provide a visual aid when
considering the various phases of proposed solutions with unclear outcomes.

6. Game theory

Key use: negotiating with third parties or making strategic decisions that involve third parties

Game theory can help business leaders make decisions by putting themselves in the shoes of a
third party – e.g. a client, competitor or consumer – and anticipating what their actions, reactions
and motives might be. Playing out these scenarios in a safe hypothetical space can help a leader
make decisions based on the outcomes of the game.

Game theory can be a useful decision-making technique if you need to take into account exterior
third parties like competitors, clients or legislative authorities. It was invented in 1944 by John
von Neumann and Oskar Morgenstern. Since then, around 20 leading scientists and economists
have been awarded the Nobel Prize in Economic Sciences for their evolution of game theory, so
it’s clearly an important aspect of modern decision-making and analysis.

Game theory models the strategic interaction between two or more players in a situation that
involves set rules. Games are typically co-operative or non co-operative. There are various
Players, Actions, Payoffs and Information (known as PAPI). Players formulate strategies and try
to gain as much benefit as they can.

Key opportunities to use game theory in decision making:

Bargaining and negotiating

Product/service launch decisions

Supply chain decisions (e.g. outsourcing)

7. Heuristic methods

Key use: save time on making decisions where a perfect result isn’t required first time round

Heuristic methods are used to refine a product or service over time, using trial and error. They’re
not accurate, but they can get the job done. Heuristic methods often have the benefit of saving
time and resource and reducing initial expenditure.

For example, decisions relating to a website launch could be resolved using heuristic methods, if
it’s determined the website doesn’t need to be perfect on launch. It can meet 80% of desired
requirements, and be improved in terms of content and function over time.

8. Influence diagrams approach (IDA)

Key use: reducing the risk of human error in decision making

IDA is a technique used in the field of human reliability assessment. It can be used in all kinds of
sectors, from business and HR to the healthcare and nuclear industries.

Decision making sometimes depends greatly on the people involved and their level of reliability.
In some projects, the reliability of the team can make or break a situation. An influence diagram
can provide a visual aid to determine how human error might influence a decision or project, and
how much that might affect outcomes.
9. Linear programming (LP)

Key use: making the most of limited resources

Linear programming uses maths to represent requirements as linear equations. It is, for example,
useful when making decisions relating to problems cropping up in operations research.

10. Multiple criteria decision analysis

Key use: making business decisions that reach a compromise between logical analysis and
intuition

This decision-making technique allows a business to assess and evaluate various options against
a set of defined business criteria. Typical examples of criteria might be cost/price, level of
quality, customer/client satisfaction, or high returns.

This analysis technique is somewhat like a cost/benefit analysis, except it’s not limited to cost.
We make thousands of decisions every day - often intuitively, but some part of us is weighing up
the various criteria. When we buy a car, we weigh up cost, comfort, safety, fuel economy,
function, form and aesthetics. When we buy a latte, we consider everything from cost and quality
to the environmental friendliness of the packaging.

Multiple criteria decision analysis enables leaders to weigh up different criteria. How does one
measure apples against cheese, or cost against comfort? The following MCDA steps can help.

Multiple criteria decision analysis in 5 steps

Specify the context

Identify available options

Confirm the objectives and select criteria that represent key values

Measure each of the criteria in order to figure out their relative importance

Calculate the different values by averaging out scores and weighting

11. Multi-voting

Key use: making fair and balanced group decisions

When making decisions as a group, use multi-voting to weed out lower priority options. You can
then use other, more exacting techniques to make key decisions on a smaller (and therefore more
manageable) group of options.

Multi-voting can be as simple as giving each member of the group a list of ideas and telling them
they can only vote for the three ideas they consider most important or beneficial. Tally up the
votes to determine which options are deemed most important by the group.

12. Net present value (NPV) and present value (PV)

Key use: making decisions relating to investment and capital budget

The value of money flexes with time. A house bought twenty years ago might be worth far more
now, leading to questions of whether (and when) to sell or buy. Pension payments might rise
substantially the longer a person remains in employment, leading to questions of when to retire.

Calculation of NPV or PVC can help a business compare financial options representing future
cash flows. It’s key to use critical thinking to question all assumptions when making these
calculations in order to make a genuinely informed decision.

13. Paired comparison analysis

Key use: making decisions relating to comparing two options

The less experienced, cheaper hire or the more expensive, more experienced hire?

Creating a product/service in-house or buying/outsourcing it?

The quick, cost-effective option or the expensive, delayed, future-proofed option?

We often have to compare two options in order of importance. Paired comparison analysis can
help with that – and we do it intuitively all the time, but it’s advantageous in business to bring
structured analysis into the mix.

If paired comparison analysis has a catch, it’s that this technique doesn’t really surface any
information identifying the criteria supporting each option. You have to do the legwork yourself
– but it’s a good starting point.

14. Pro/con technique

Key use: making decisions relating to comparing two options

The pro/con technique can be used in tandem with paired comparison analysis, and weighing up
the pros and cons of a decision is a tale as old as time.

Similar techniques include the plus/minus/interesting (PMI) technique and force field analysis.

15. Scientific method

Key use: taking a scientific approach to business decisions

The scientific method of decision making can also be called a heuristic method, since it’s best
used in circumstances where you don’t need 100% perfection first time round.

We all learned the drill in school – hypothesis, method, results, conclusion. There are a few more
steps to the scientific method, but in essence the format is the same as that of science
experiments in school.

Using the scientific method in 7 steps:

Question – formulate a question

Research – do background research to gather as much clarity as possible

Hypothesis - Based on your research, form a hypothesis, or statement you want to test the
validity of

Experiment – test, test, test!

Observations – collect data from the experiment

Results – formulate results based on the data you’ve collected

Conclusion – determine the validity of your hypothesis

16. Trial and error

Key use: a general and popular approach to making low-risk decisions

Decision making based on trial and error sounds chaotic but it has an established place in
business strategy.
Several of the decision-making techniques outlined above have their basis in a structured
approach to trial and error. Heuristic methods and the scientific method feature trial and error as
the backbone of their process. Agile project management is a very flexible management style
that incorporates trial and error into its process with minimum risk.

When using the trial and error method to make decisions, it’s important to acknowledge that any
failure as a result of decisions made is low risk. It’s also vital to reflect deeply on the results in
order to understand the causes of the failure and further remove the risks and challenges on the
next iteration of the trial and error process. Going in circles is not progression. Heading upwards
in a spiral is.

Steps in DM Process:
Using a step-by-step decision-making process can help you make more deliberate, thoughtful
decisions by organizing relevant information and defining alternatives. This approach increases
the chances that you will choose the most satisfying alternative possible.

Step 1: Identify the decision

You realize that you need to make a decision. Try to clearly define the nature of the decision you
must make. This first step is very important.

Step 2: Gather relevant information

Collect some pertinent information before you make your decision: what information is needed,
the best sources of information, and how to get it. This step involves both internal and external
“work.” Some information is internal: you’ll seek it through a process of self-assessment. Other
information is external: you’ll find it online, in books, from other people, and from other sources.

Step 3: Identify the alternatives

As you collect information, you will probably identify several possible paths of action, or
alternatives. You can also use your imagination and additional information to construct new
alternatives. In this step, you will list all possible and desirable alternatives.

Step 4: Weigh the evidence

Draw on your information and emotions to imagine what it would be like if you carried out each
of the alternatives to the end. Evaluate whether the need identified in Step 1 would be met or
resolved through the use of each alternative. As you go through this difficult internal process,
you’ll begin to favor certain alternatives: those that seem to have a higher potential for reaching
your goal. Finally, place the alternatives in a priority order, based upon your own value system.

Step 5: Choose among alternatives

Once you have weighed all the evidence, you are ready to select the alternative that seems to be
best one for you. You may even choose a combination of alternatives. Your choice in Step 5 may
very likely be the same or similar to the alternative you placed at the top of your list at the end of
Step 4.

Step 6: Take action

You’re now ready to take some positive action by beginning to implement the alternative you
chose in Step 5.

Step 7: Review your decision & its consequences

In this final step, consider the results of your decision and evaluate whether or not it has resolved
the need you identified in Step 1. If the decision has not met the identified need, you may want to
repeat certain steps of the process to make a new decision. For example, you might want to gather
more detailed or somewhat different information or explore additional alternatives.

Guidelines to effective decision Making:

the following are some such effective guidelines:

1) Multiple decentralized centres

Centralization of powers is always a hindrance in large organizations. This is because such
business structures have people with diverse responsibilities functioning at various levels. In this
case, it is inadvisable to hoard decision-making powers in a few hands at the top level.

This is why managers at all levels must have adequate decision-making powers. Furthermore, they
must also be answerable to a centralized authority at the top. This makes decision-making quick
as well as effective.

2) Distribution of workload
The responsibilities of decision-making must exist at all levels in reasonable proportions. If the
top level of management keeps more powers with itself, its workload increases. This, in turn,
makes it less efficient.

3) Effective communication
Apart from distribution of workload at all levels, there must be an effective communication system
as well. Co-ordination between all levels makes work easier, efficient and consistent.

4) Advisory units
Each level of decision-making must have a team of advisory units. These units could comprise of
staff members as well as outsiders in a limited capacity. The main responsibility of these units is
to provide intelligent and creative expertise in decision-making.
5) A regulatory framework for decision making
This is one of the most important guidelines for effective decision making. There must always be
several tools for regulating the process of decision-making.

For example, managers must frame effective rules, policies, goals, and procedures for this purpose.
Furthermore, the management must ensure that they update this regulatory framework as per
requirements. They should also communicate all changes to managers immediately.
6) Decision support systems

All levels of management must have effective decision support systems. These include information
and control systems that make communication easier for managers. The management at all levels
should use these systems to get logistical support for decision-making.

Lecture 11 & 12: Human Resource Management: Manpower planning, Recruitment,

Selection, Placement and Orientation, Training and Development.

Human resource management (HRM) is the practice of recruiting, hiring, deploying and
managing an organization's employees. HRM is often referred to simply as human resources (HR).
A company or organization's HR department is usually responsible for creating, putting into effect
and overseeing policies governing workers and the relationship of the organization with its
employees. The term human resources was first used in the early 1900s, and then more widely in
the 1960s, to describe the people who work for the organization, in aggregate.

The importance of human resource management

The role of HRM practices are to manage the people within a workplace to achieve the
organization's mission and reinforce the culture. When done effectively, HR managers can help
recruit new professionals who have skills necessary to further the company's goals as well as aid
with the training and development of current employees to meet objectives.

What is human resources?

Human resources (HR) is the job function that manages people in an organization by providing an
assortment of activities and policies and procedures, which relate to developing, utilizing,
maintaining and retaining the appropriate number, and skills, of employees to accomplish your
organization’s goals and objectives.

You can implement human resources into your organization by creating a human resources plan.
It can include:

 employee recruitment and selection

 training and development
 organizational structure (who reports to whom/pecking order, job skills and knowledge)
  labour relations (managing compliance with various legislation and regulations)
 employee performance management and succession planning
 human relations (discipline, performance management, complaint handling, counselling
and coaching)
 employee benefits
 health and safety
 employee communications
 strategic planning
 management of employee records
HRM as manpower planning: Manpower Planning which is also called as Human Resource
Planning consists of putting right number of people, right kind of people at the right place, right
time, doing the right things for which they are suited for the achievement of goals of the
organization.

HRM as Recruitment function: Recruitment in HRM is a systematic process for hiring talent. It
starts with identifying, recruiting, screening, pre-screening, selecting, and finally hiring the
potentially best candidate to fill the vacancies in a company.

Selection Process in HRM: Selection is the process of putting right men on the right job. It is a
procedure of matching organisational requirements with the skills and qualifications of people.
Effective selection can be done only when there is effective matching.

Orientation and placement in HRM: The nature of Orientation program varies with the
organizational size, i.e., smaller the organization the more informal is the Orientation and larger
the organization more formalized is the Orientation programme. Proper Placement of employees
will lower the chances of employee's absenteeism.

Training and Development as HR function: Training and Development is one of the most
important functions of Human Resource management in any of the organization. The objective of
this Training is to enhance employees’ skills behavior and expertise by putting them into learning
new techniques of doing work.

Employee Training and Development helps in updating employees’ skills and knowledge for
performing a Job which at the end results in increasing their work efficiency and increase the
productivity of an organization.

Why is it necessary to implement human resources into your agriculture organization?

A skilled and effective employee is key to your organization’s success and sustainability. Human
resources helps you select, attract and keep employees by guiding and aligning them with your
organization’s goals and objectives. All organizations – no matter their size or structure – benefit
from HR. The key is to create and implement a successful human resources plan.
What is a human resources evaluation?
A HR evaluation helps ensure the current HR plan is working efficiently, identifies areas that need
improvement, and helps to plan for the future.
An HR evaluation assesses:

• HR policies and procedures of an organization

• documentation
• the hiring process
• employee retention
• training
• employee compensation
• management and employee relations

Your organization should conduct an HR self-evaluation annually. This is to account for its
workforce, and the efficiency with which your organization deals with its people – from the
beginning to the end of their employment with you. Managing your workforce gives your
organization a competitive advantage, especially when labour and skills are limited. Assessing the
effectiveness of your current HR practices can help ensure that you attract and retain not just
qualified workers, but the best people for the job.

What is recruiting?
Recruiting means finding and attracting employees. Many organizations struggle with recruiting
–seeking, sourcing and locating employees - often believing that they can’t find good people.
Recruiting employees requires a strategy, effort and commitment. Think strategically about:

 Skills needed in your organization.

 The type of person and behaviours that fit best with your leadership style and the culture
of your organization.
 What value your organization offers a successful candidate.
 Key places to advertise so you can find the right person.
Recruiting is a proactive process versus a reactive process. In fact, many organizations that hire
reactively (i.e. when they are in a panic) end up with bad hires that ultimately cost the organization
money. By hiring proactively, you’ll understand what job needs to be filled, the skill sets required,
the personality attributes important for the position, and what type of person would best fit with
the organization.

How do we recruit?
Recruiting has changed in the past few years, particularly in the agriculture industry. As
organizations continue to grow, and some rural populations decline, it may be harder to find staff
nearby with the right skills for the job.

Also, today’s younger generation wants to find employment with an organization that offers more
than a pay-cheque. Use your profile, and the qualities that differentiate you from other
organizations, to create job ads that are interesting and appealing. You need to let potential
employees know not only what you’re looking for, but what you can offer them.

You also need to know where to find potential employees. The rise of social media has changed
how organizations recruit. Use LinkedIn, Twitter, Facebook and other social-media sites will help
promote your job openings and organization. Don’t ignore the growing demand and importance of
social media for recruiting.

What is hiring?
The hiring process helps you pick the best person for the job and your organization. An employee
is there to add value to your organization.

Traditionally, organizations simply hired someone that another board member recommended. It
was quick and easy – no need to go through applications or interviews. However, it was also
common for the individual hired to have had little or no experience, which led to problems.

When you make the mistake of hiring someone who can’t do the job, or won’t do the job the way
you want, the cost to your organization is incredibly high. Your stress level increases and your
efficiency decreases. Your board members are no longer focused on running an organization, but
rather, on ensuring the bad hire isn’t making mistakes or causing problems.
To create a hiring process, follow these five simple steps:

1. Establish who in your organization should be involved in shortlisting and

interviewing candidates.
2. Review the applications.
3. Shortlist applicants.
4. Interview.
5. Make a written offer of employment to the candidate.

What is new employee orientation and training?

New employee orientation is the way new employees learn the knowledge, skills, and behaviours
to become effective and productive workers. Employees who start off on the right foot tend to be
happier, more productive, and stay with your organization longer.

Your new employee orientation and training process should cover all aspects of job
responsibilities, people, policies, and procedures to ease employees into the job and make them
feel comfortable and confident. It should also help new employees to:
 • know the purpose of the job and what to do
• understand the processes involved and what you expect of them
• know where to go for assistance
• know how to do the job safely and correctly

Don’t assume that the new employee knows everything you know about the job, the organization,
process and culture. Something as simple as showing the new employee where he or she can eat
lunch can remove stress.

Orientation and training helps you incorporate new employees into the culture of your
organization. It also creates a faster employee ROI (return on investment), also known as return
on individual. The time you put in now to orient and train your employee will be returned in how
quickly the employee can become a productive worker.

Orientation and training also helps your new employees work smarter and safer. When an
employee can’t work due to an accident, it can cost you money, time, and stress. When employees
are trained to perform their jobs in the correct manner from the beginning, they will have less
frustration, better morale, higher productivity and safety.

What is communication?
Communication is the sharing of ideas and information. It’s an essential part of work and life and,
at times, it’s not easy to do. Differences in people’s personalities, communication styles and skills
can play a part in how well we communicate with each other.
Being an effective communicator starts with an understanding of how you communicate. Below
is a list of communication skills to think about and work on:

1. Message: Know what message you want to communicate. Organize your thoughts so that your
message will be clear and easy to understand. Unorganized thoughts can lead to misunderstandings
and be confusing to the listener.

2. Plan: Important conversations should be planned. When planning a conversation, think about
the different scenarios, reactions and outcomes that can occur and also the personality and
behaviour of the person you will be communicating with. Plan what you will say and do with each
reaction, and prepare a solution for each reaction, so that you know beforehand how you will
respond.

3. Body Language: Non-verbal signals (body language) play a significant role in communication.
Your facial expression, posture and gestures directly impact your message. Your body language
should be aligned with your words in order for your communication to be clear.
4. Positive language and tone: Stay positive during the conversation. Negative statements often
elicit a negative reaction, while positive statements often elicit a positive response.
5. Listening: It’s very important that you listen to what the other person has to say. Sometimes,
the hardest part of good communication is listening. You have a million things you need to take
care of and it’s hard to concentrate on the conversation. Below are some tips to help you listen
better during a conversation:

 Concentrate on what the other person has to say.

 Listen for content and emotion to understand the entire message.
 Maintain steady eye contact so the other person knows they have your attention.
 Provide feedback to confirm your understanding of what they are saying.
 Stay patient.
 Acknowledge feelings that are important to the message you’re hearing.
 Listen without passing judgment and don’t rush in to give advice.
 Communicate with respect in every interaction regardless of whether you like the person
or not.
 Focus on issues, not personalities, when you discuss work matters and problems.

Lecture 14 & 15: Leadership – Concept, Characteristics, Functions, Approaches to

leadership, Leadership styles
Concepts of Leadership
I used to think that running an organization was equivalent to conducting a symphony orchestra.
But I don't think that's quite it; it's more like jazz. There is more improvisation.
—Warren Bennis

Good leaders are made not born. If you have the desire and willpower, you can become an effective
leader. Good leaders develop through a never ending process of self-study, education, training,
and experience (Jago, 1982). This guide will help you through that process.

To inspire your workers into higher levels of teamwork, there are certain things you must be, know,
and, do. These do not come naturally, but are acquired through continual work and study. Good
leaders are continually working and studying to improve their leadership skills; they are NOT
resting on their laurels.

1.1 Definition of Leadership:

Leadership is a process by which a person influences others to accomplish an objective and directs
the organization in a way that makes it more cohesive and coherent. This definition is similar to
Northouse's (2007) definition — Leadership is a process whereby an individual influences a group
of individuals to achieve a common goal. Leaders carry out this process by applying their
leadership knowledge and skills. This is called Process Leadership (Jago, 1982). However, we
know that we have traits that can influence our actions. This is called Trait Leadership (Jago,
1982), in that it was once common to believe that leaders were born rather than made. While
leadership is learned, the skills and knowledge processed by the leader can be influenced by his or
hers attributes or traits; such as beliefs, values, ethics, and character. Knowledge and skills
contribute directly to the process of leadership, while the other attributes give the leader certain
characteristics that make him or her unique. Skills, knowledge, and attributes make the Leader,
which is one of the:
Four Factors of Leadership: There are four major factors in leadership (U.S. Army, 1983):

Leader: You must have an honest understanding of who you are, what you know, and what you
can do. Also, note that it is the followers, not the leader or someone else who determines if the
leader is successful. If they do not trust or lack confidence in their leader, then they will be
uninspired. To be successful you have to convince your followers, not yourself or your superiors,
that you are worthy of being followed.

Followers: Different people require different styles of leadership. For example, a new hire requires
more supervision than an experienced employee does. A person who lacks motivation requires a
different approach than one with a high degree of motivation. You must know your people! The
fundamental starting point is having a good understanding of human nature, such as needs,
emotions, and motivation. You must come to know your employees' be, know, and do attributes.
Communication: You lead through two-way communication. Much of it is nonverbal. For
instance, when you “set the example,” that communicates to your people that you would not ask
them to perform anything that you would not be willing to do. What and how you communicate
either builds or harms the relationship between you and your employees.

Situation: All situations are different. What you do in one situation will not always work in
another. You must use your judgment to decide the best course of action and the leadership style
needed for each situation. For example, you may need to confront an employee for inappropriate
behavior, but if the confrontation is too late or too early, too harsh or too weak, then the results
may prove ineffective. Also note that the situation normally has a greater effect on a leader's action
than his or her traits. This is because while traits may have an impressive stability over a period of
time, they have little consistency across situations (Mischel, 1968). This is why a number of
leadership scholars think the Process Theory of Leadership is a more accurate than the Trait Theory
of Leadership.

Various forces will affect these four factors. Examples of forces are:
• Your relationship with your seniors.
• The skill of your followers.
• The informal leaders within your organization.
• How your organization is organized.

Bass' Theory of Leadership:

Bass' theory of leadership states that there are three basic ways to explain how people become
leaders (Stogdill, 1989; Bass, 1990). The first two explain the leadership development for a small
number of people. These theories are:

 Some personality traits may lead people naturally into leadership roles. This is the Trait
Theory.
 A crisis or important event may cause a person to rise to the occasion, which brings out
extraordinary leadership qualities in an ordinary person. This is the Great Events
Theory.
 People can choose to become leaders. People can learn leadership skills. This is the
Transformational or Process Leadership Theory. It is the most widely accepted theory
today and the premise on which this guide is based.

Principles of Leadership:
To help you be, know, and do, follow these eleven principles of leadership (U.S. Army, 1983).
The later chapters in this Leadership guide expand on these principles and provide tools for
implementing them:

1. Know yourself and seek self-improvement - In order to know yourself, you have to
understand your be, know, and do, attributes. Seeking self-improvement means continually
strengthening your attributes. This can be accomplished through self-study, formal classes,
reflection, and interacting with others.
2. Be technically proficient - As a leader, you must know your job and have a solid familiarity
with your employees' tasks.
3. Seek responsibility and take responsibility for your actions - Search for ways to guide your
organization to new heights. And when things go wrong, as they often tend to do sooner or
later — do not blame others. Analyze the situation, take corrective action, and move on to
the next challenge.
4. Make sound and timely decisions - Use good problem solving, decision making, and
planning tools.
5. Set the example - Be a good role model for your employees. They must not only hear what
they are expected to do, but also see. We must become the change we want to see -
Mahatma Gandhi
6. Know your people and look out for their well-being - Know human nature and the
importance of sincerely caring for your workers.
7. Keep your workers informed - Know how to communicate with not only them, but also
seniors and other key people.
8. Develop a sense of responsibility in your workers - Help to develop good character traits
that will help them carry out their professional responsibilities.
9. Ensure that tasks are understood, supervised, and accomplished - Communication is the
key to this responsibility.
Leadership Styles:
Autocratic leadership, also known as authoritarian leadership, is a leadership style characterized
by individual control over all decisions and little input from group members. Autocratic leaders
typically make choices based on their own ideas and judgments and rarely accept advice from
followers. Autocratic leadership involves absolute, authoritarian control over a group.

Characteristics of Autocratic Leadership

 •Little or no input from group members

 •Leaders make the decisions
 •Group leaders dictate all the work methods and processes
 •Group members are rarely trusted with decisions or important tasks

Benefits of Autocratic Leadership

Autocratic leadership can be beneficial in some instances, such as when decisions need to be made
quickly without consulting with a large group of people. Some projects require strong leadership
in order to get things accomplished quickly and efficiently. Have you ever worked with a group of
students or co-workers on a project that got derailed by poor organization, a lack of leadership,
and an inability to set deadlines? If so, chances are that your grade or job performance suffered as
a result. In such situations, a strong leader who utilizes an autocratic style can take charge of the
group, assign tasks to different members, and establish solid deadlines for projects to be finished.

In situations that are particularly stressful, such as during military conflicts, group members may
actually prefer an autocratic style. It allows members of the group to focus on performing specific
tasks without worrying about making complex decisions. This also allows group members to
become highly skilled at performing certain duties, which can be beneficial to the group.
Downsides of Autocratic Leadership

While autocratic leadership can be beneficial at times, there are also many instances where this
leadership style can be problematic. People who abuse an autocratic leadership style are often
viewed as bossy, controlling, and dictatorial, which can lead to resentment among group members.
Because autocratic leaders make decisions without consulting the group, people in the group may
dislike that they are unable to contribute ideas. Researchers have also found that autocratic
leadership often results in a lack of creative solutions to problems, which can ultimately hurt the
performance of the group. While autocratic leadership does have some potential pitfalls, leaders
can learn to use elements of this style wisely. For example, an autocratic style can be used
effectively in situations where the leader is the most knowledgeable member of the group or has
access to information that other members of the group do not.

Democratic leadership, also known as participative leadership, is a type of leadership style in

which members of the group take a more participative role in the decision-making process.
Researchers have found that this learning style is usually one of the most effective and lead to
higher productivity, better contributions from group members, and increased group morale.

Characteristics of Democratic Leadership

 •Group members are encouraged to share ideas and opinions, even though the leader retains
the final say over decisions.
 •Members of the group feel more engaged in the process.
 •Creativity is encouraged and rewarded.

Benefits of Democratic Leadership

Because group members are encouraged to share their thoughts, democratic leadership can leader
to better ideas and more creative solutions to problems. Group members also feel more involved
and committed to projects, making them more likely to care about the end results. Research on
leadership styles has also shown that democratic leadership leads to higher productivity among
group members.

Downsides of Democratic Leadership

While democratic leadership has been described as the most effective leadership style, it does have
some potential downsides. In situations where roles are unclear or time is of the essence,
democratic leadership can lead to communication failures and uncompleted projects. In some
cases, group members may not have the necessary knowledge or expertise to make quality
contributions to the decision-making process.

Democratic leadership works best in situations where group members are skilled and eager to share
their knowledge. It is also important to have plenty of time to allow people to contribute, develop
a plan and then vote on the best course of action.

Laissez-faire leadership, also known as delegative leadership, is a type of leadership style in

which leaders are hands-off and allow group members to make the decisions. Researchers have
found that this is generally the leadership style that leads to the lowest productivity among group
members.
Laissez-faire leadership is characterized by:

 •Very little guidance from leaders

 •Complete freedom for followers to make decisions
 •Leaders provide the tools and resources needed
 •Group members are expected to solve problems on their own
Laissez-faire leadership can be effective in situations where group members are highly skilled,
motivated and capable of working on their own. While the conventional term for this style is
'laissez-faire' and implies a completely hands-off approach, many leaders still remain open and
available to group members for consultation and feedback.
Downsides of Laissez-Faire Leadership

Laissez-faire leadership is not ideal in situations where group members lack the knowledge or
experience they need to complete tasks and make decisions. Some people are not good at setting
their own deadlines, managing their own projects and solving problems on their own. In such
situations, projects can go off-track and deadlines can be missed when team members do not get
enough guidance or feedback from leaders.

Lecture 16 & 17: Authority and responsibility, Delegation and decentralization, line and staff
relations, Challenges of co-ordination in extension organizations;
Authority: The right of an individual to command his subordinates and take actions within the
power allocated to him is known as Authority. The concept of authority arises when an
organisation follows the Scalar chain, which defines positions and roles. Thus, we can say that it
arises by the virtue of position. Authority grants the power to an employee to take actions for the
work assigned to him. It always flows from top to bottom and the extent of authority is highest at
the top level of management. It reduces as we go downwards in a hierarchical setting. If more
authority is granted than required for a position, then it may lead to misuse of authority, and if less
authority is given than required, it makes a person ineffective.

Responsibility: The obligation of a subordinate to perform the work assigned properly is known
as Responsibility. It arises from a superior-subordinate relationship as a subordinate is bound to
perform the work assigned to him by the superior. Thus, it flows upwards from bottom to top.

Accountability: The obligation to carry out responsibility or being answerable for the assigned
work is known as Accountability. It cannot be delegated and flows upwards, i.e., a subordinate
will be accountable and responsible for the work assigned to him. It cannot be denied once
authority is delegated and responsibility is accepted. It must be kept in mind that if the subordinate
fails to perform the delegated work, the superior would still be accountable for the work delegated.

Asis For Authority Responsibility

Comparison
Meaning Authority refers to the power or Responsibility denotes duty or obligation
right, attached to a particular job or to undertake or accomplish a task
designation, to give orders, enforce successfully, assigned by the senior or
rules, make decisions and exact established by one's own commitment or
compliance. circumstances.
What is it? Legal right to issue orders. Corollary of authority.
Results from Formal positon in an organization Superior-subordinate relationship
Task of Delegation of authority Assumption of responsibility
manager
Requires Ability to give orders. Ability to follow orders.
 Flow Downward Upward
Objective To make decisions and implement To execute duties, assigned by superior.
it.
Duration Continues for long period. Ends, as soon as the task is accomplished

Delegation of authority means assigning work to subordinates and giving them authority to do it.
Delegation takes place when a superior grants some discretion to a subordinate. The subordinate
must act within the limits prescribed by the superior. Delegation enables managers to distribute
the workload to others. By reducing the workload for routine matters, they can concentrate on
more important work. It helps to improve the job satisfaction, motivation and morale of
subordinates. It satisfies their needs for recognition, responsibility and freedom.

Decentralisation means the dispersal of authority throughout the organisation. It refers to a

systematic effort to delegate to the lowest levels all authority except which can be exercised at
central points. It is the distribution of authority throughout the organisation. In a decentralised
organisation, the authority of major decisions is vested with the top management and balance
authority is delegated to the middle and lower levels.
Decentralisation is much more than delegation. In delegation, there is a transfer of authority from
one individual to another. But in decentralisation, there is diffusion of authority throughout the
organisation.

Basis Delegation Decentralisation

Meaning Delegation of authority means Decentralisation refers to a

assigning work to subordinates and
giving them authority to do it.
Freedom of As control is in the hands of
action superior, less freedom is given to
subordinates.
Status This process is done as a result of
division of work.
Scope It has narrow scope as it is limited
to the superior and his subordinate.
Aim It aims to reduce workload of
superior.
Nature It is a necessary act because no
individual can perform all tasks on
his own.
systematic effort to delegate to the
lowest levels all authority except
which can be exercised at central
points.
More freedom is given to
subordinates to take decisions.
This is the result of policy decision
of top level.
It has wide scope as it is extended to
the lowest level of management.
It aims to enhance the role of
subordinates in the organisation.
It is an optional policy decision and
is done at the discretion of top
management.
 Responsibility It is responsibility of every It is the responsibility of top level
manager. management.
Authority The maximum authority is retained Authority is systematically
at top level. distributed at every level.

A formal organization is a social system formed by clearly laid down rules, set goals, and that
function relies on the division of labour with a clearly defined hierarchy of power.
In Line and Staff organization, a manager is responsible to establish the goals and directions that
are to be fulfilled by the staff and other workers. A line-staff organizational structure made an
effort to offer large and complex organizations more flexibility without giving up managerial
authority.

Process of Organization
The process of organization involves the following steps.

1. Determination and classification of the activities of the firm

2. Categorizing the activities into workable departments
3. Allotment of authorities and responsibilities on the departmental executives for managing
the assigned tasks.
4. Developing relationships amidst superior and subordinate, within the department or unit
5. Preparing policies for proper coordination between the superior and subordinate and
creating specific lines of supervision.
There are two main categories of organisation, (i) Formal Organisation & (ii) Informal
Organisation. Formal organisation is an organisation structure where authorities and
responsibilities are clearly defined. It has a defined delegation of authority and roles and
responsibilities for the members. Formal organisation structure is created by the management with
the motive of attaining the organisational goals.

There are several types of formal organisation based on their structure, which are as follows:

 Line Organisation
 Line and Staff Organisation
 Functional Organisation
 Project Organisation
 Matrix Organisation

Characteristics of Formal Organizations

The following are the characteristics of formal organizations.
 1. Allocation of labor and related hierarchy of power and authority

2. Documented authorities, policies, practices, and goals

3. Individuals act together to achieve a shared goal, not individually

4. A specific chain of command is followed by communication

5. A specified system for replacing members within the organization

6. This type of organizational structure is not dependent on the existence or participation of

specific individuals.

Line and Staff Organization

In a centralized structure, decisions are made by the managers and the decisions are flown
downward through the enterprise. However, as an organization grows in scope, complexity
increases, they need to be flexible with the control as centrally applied. The principle of line-staff
organization introduces this flexibility into hierarchical lines of authority, in a try to maintain a
unified command structure.

Line groups are engaged in tasks that focus on the technical core of the firm. They are involved in
achieving the primary objective of the enterprise. Line groups have the final decision-making
authority in relation to the technical organizational purposes.

Staff groups are in tasks that provide support to the line groups. Their work is like that of advisory
(legal), service (human resource), or control (the accounting) groups. Staff groups support those
who are engaged in the central productive activity of the enterprise. They back up their work. Staff
groups help the organization in analyzing, researching, counseling, monitoring, and evaluating
activities.
Difference between Line and Staff Organization
The difference between the line and staff is better than we draft in points.

Difference 1. Purpose
Line Organization’s purpose is to work directly toward the organisational goals, while staff
advises, assists, and back to the line group to work towards the set goals. This is the main
difference.

Difference 2. Authority
Yet another important difference is authority. Line authority is considered or visualised as the
formal authority which is created by the organisational hierarchy. Staff groups do not get any such
recognition.
Difference 3. Personality of Individuals
The final point of difference between the line and staff in some organisations arises from the
personality possessed by such individuals who are involved in these groups. Line managers are
usually the senior people, and tend to be partially educated, and have risen through the hierarchy
of the organisational staff, while specialists are the younger ones, to be much educated, and to have
been hired directly into the upper-level staff positions because of their expertise in their field. This
difference might be a major source of line-staff conflict.

Advantages of Line and Staff Organization

This organisation has the following advantages:
1. Specialization: Line and staff organisation introduces a specialization in a very systematic
manner. Specialized knowledge and hierarchy roles are combined here.

2. Better Discipline: The unity of command is maintained by the line managers hence in this type
of organisation discipline is maintained. The workers get command from the line personnel and
are accountable directly to them. This creates a better moral and discipline among the employees.

3. Balanced and Prompt Decisions: The managers have the advantage of expert advice from the
staff managers while taking important decisions. Also the staff are too consulted to investigate and
advise, and thus dual advice creates balanced and prompt decisions.

4. Growth and Expansion: The line and staff organisation, both are well suited for the growth
and expansion.

5. Development of Employees: This organisation provides great scope for advancement of career
to the talented employees.

6. Lesser Burden on Line Officers: With the assistance of staff officers, the burden of the line
officers is greatly reduced. The specialist’s advice helps the line officers in deciding their work of
specialization.

7. Quick Actions: The line officers have sufficient time to work. When there is a need for certain
decisions, they will be able to give time and decide the things as part of their decisions are also
handled by the staff managers.

Lecture 19 &20: Managing interdepartmental coordination and convergence between KVK,

ATMA and line departments, Coordinating pluralism in extension services
Krishi Vigyan Kendras (KVK), the farm science centres, have been claimed as one of the major
institutional innovations of the NARS (National Agricultural Research System) in India. KVKs
act as knowledge and resource centres for the district extension system in India. KVKs are fully
sponsored by the Indian Council of Agricultural Research (ICAR) and are authorised to organise
technology assessment and refinement. Apart from this they also organise demonstrations to
provide technological backstopping to state agencies at the district level and training to farmers
(Box 1). Agriculture is considered to be a state subject which means that states are mainly
responsible for agricultural development. But KVKs are centrally sponsored. The KVKs work
closely with the state governments in providing information and knowledge on latest innovations,
along with technologies and updates on agriculture and allied sectors for district agricultural
development.

Why Convergence for KVK?

There is a general misunderstanding that a KVK has to cover the whole district (as it is a district
level organisation) with its extension services. The latest directive speaks on Technology
Assessment and Demonstration for its Application and Capacity Development. The earlier
directive had also mentioned Technology Assessment, Refinement and Demonstration.
Additionally many consider and feel that KVK is a training centre. Training of KVKs are part of
the demonstration programmes and a standalone activity. Demonstrations too differ from the state
government’s way of demonstration as it is unique being a Front Line Demonstration (FLD). The
FLDs of KVKs means that a cutting edge innovation/technology is demonstrated for the first time
in the district involving scientists and extension workers of the state government.

Though the mandates of KVKs clearly indicate that it is entirely different from a full time extension
agency, many expect it to function like a district level extension agency. For instance, if a
technology being assessed by KVK is found to be feasible and productive for farmers, many
believe that it is the role of KVK to extend its outreach to the entire district. But it must be kept in
mind that KVKs are not appointed to play this role. Apart from this, they are also not in a position
to do this because they lack adequate budget and manpower. However, it is possible for KVKs to
expand viable, assessed and demonstrated technologies if they work with other partners at the
district level.
Agricultural Technology Management Agency (ATMA) Scheme was launched during 2005-
06. It aims at making extension system farmer driven and farmer accountable by way of new
institutional arrangements for technology dissemination in the form of an Agricultural Technology
Management Agency (ATMA) at district level to operationalize the extension reforms. ATMA has
active participation of farmers/farmer-groups, NGOs, KrishiVigyanKendras (KVKs), Panchayati
Raj Institutions and other stakeholders operating at district level and below. Release of funds under
ATMA scheme is based on State Extension Work Plans (SEWPs) prepared by the State
Governments. Allocation of resources for activities related to extension is linked to number of
farm households and Blocks. At present, the Scheme is under implementation in 614 districts in
28 States and 3 UTs in the country.

In order to promote key reforms under the Scheme, ATMA Cafeteriam, 2010 continues to support
activities in line with the following policy parameters:

 Multi-agency Extension Strategies : At least, 10% of allocation on recurring activities at

district level is to be used through non-governmental sector viz. NGOs, Farmers
Organization (FOs), Panchayati Raj Institutions (PRIs), Para-Extension workers,
AgriPreneurs, Input Suppliers, Corporate Sector, etc.

 Farming System Approach : The activities specified in the cafeteria are broad enough to
promote extension delivery consistent with farming systems approach and extension needs
emerging through Strategic Research and Extension Plan (SREP).

 Farmer Centric Extension Services : The Cafeteria provides for group-based extension
and it has necessary allocation for activities related to organizing and supporting farmer
groups. In order to supplement these efforts, a provision for rewards and incentives to the
best organized farmer groups has also been provided.

 Convergence: The SREP and SEWP are mechanisms for ensuring convergence of all
activities in extension. At present, resources for extension activities are being provided
under different Schemes of the Central/State Governments. It is mandated that the SEWP
to be submitted by the State Governments shall specify the activities to be supported from
the resources of other ongoing Schemes as well as from this Scheme. Convergence between
Research & Extension is being established in the field as per a joint circular issued by DAC
& ICAR.
 Mainstreaming Gender Concerns : Gender Budgeting enunciates that at least 30% of
resources on programmes and activities are utilized for women farmers.
 Sustainability of Extension Services :At least, 10% contribution should be realized from
beneficiaries with respect to beneficiary oriented activities.
The important features of the Revised cafeteria include
  Support for specialists and functionaries at State, District and Block Level
 Innovative support through a ‘Farmer Friend’ at Village Level @ 1 Farmer Friend per two
villages
 Farmers Advisory Committees at State, District and Block levels
 Farm Schools in the field of outstanding farmers being promoted at Block/ Gram
 Panchayat level by integrating the Progressive farmers into Agricultural Extension
System (AES) (3-5 Farm Schools/ block).
 Farmer-to-farmer extension support at the village level to be promoted through Farmers’
Group.
 Farmers’ Awards instituted at Block, District and State levels.
 Community Radio Stations (CRS) set up by KVKs/SAUs are being promoted under the
Programme.
 For Non-Governmental implementing agencies, States have been given the flexibility of
having Extension Work Plans prepared and approved at the State level. Minimum 10 per
cent of outlay of the Programme is to be utilized through them. Non-governmental
implementing agencies (excluding the corporate sector) are also eligible for service charge
up to a maximum of 10 percent of the cost of the extension activities implemented through
them. Apart from other NGOs, financial assistance is also available for implementation of
extension activities through agri-preneurs.,
 Public extension functionaries being made more effective through trainings and exposure
visits. National Institute of Agricultural Extension Management (MANAGE), Hyderabad
is offering PG Diploma in Agriculture Extension Management for public extension
functionaries which is fully funded under the ATMA Programme.

Lecture 21: Challenges in managing public-private partnerships (PPPs) at different levels in

agricultural development in general and extension in particular
An agri-PPP or a PPP for agribusiness development is defined as a formalized partnership
between public institutions and private partners designed to address sustainable agricultural
development objectives, where the public benefits anticipated from the partnership are clearly
defined, investment contributions and risks are shared, and active roles exist for all partners at
various stages throughout the PPP project life cycle.

Essential related concepts include the following:

 Public partners include national and decentralized government agencies, publically funded
research and education institutions, State banks and State-owned enterprises (SOEs).
International donors are also considered to be public partners.
 Private partners include agribusinesses, farmer associations, individual farmers and non-
governmental organizations (NGOs).
 Public benefits are the expected (positive) outcomes from public-sector support to the
partnership as defined by the goals and objectives outlined under national agricultural
policy and strategy documents. Examples of public benefits include rural employment and
income generation; food safety and food security; and environmental protection.
 Agribusiness enterprises are any firms or business entities that produce or provide inputs,
produce raw materials and fresh products, process or manufacture food or other agricultural
products, transport, store or trade agricultural production, or retail such products. In this
study, family farms and micro- and small enterprises that operate in the informal sector are
not included in the target set of agribusiness enterprises.
 Formal agreement is agreement for which consent alone is not enough, i.e. the agreement
has to be embodied in a written document. Such agreement can range from project-level
documents such as a memorandum of understanding (MOU), to formal contracts, equity
arrangements and the establishment of new companies specifically for the purpose of the
PPP.

Typology of The PPP Cases

 partnerships that aim to develop agricultural value chains (VCD);
 partnerships for joint agricultural research, innovation and technology transfer (ITT);
 partnerships for building and upgrading market infrastructure (MI); and
 partnerships for the delivery of business development services to farmers and small
enterprises (BDS)
Infrastructure Contract Nomenclature
Contract Overview Description and Reference Type of Functions Payment
Nomenclature Asset Transferre Source
d
Design-Build- Under this nomenclature, the range of New As captured Can be either
Finance- PPP contract types is described by the infrastructu by contract government
Operate- functions transferred to the private re name or user pays
Maintain sector. The maintain function may be
(DBFOM); left out of the description (so instead of
Design-Build- DBFOM, a contract transferring all
Finance- those functions may simply be
Operate described as DBFO, with responsibility
(DBFO); for maintenance implied as part of
operations). An alternative description
Design-
along similar lines is Design-Construct-
Construct-
Manage-Finance (DCMF), which is
Manage-
equivalent to a DBFOM contract.
Finance
(DCMF)
Build-Operate- This approach to describing PPPs for New Typically, Can be either
Transfer new assets captures legal ownership and infrastructu design, government
(BOT), Build- control of the project assets. Under a re build, or user pays
Own-Operate- BOT project, the private company owns finance,
Transfer the project assets until they are maintain,
(BOOT), transferred at the end of the contract. and some or
Build- BOOT is often used interchangeably all
Transfer- with BOT, as Yescombe (Yescombe operations
Operate (BTO) 2007) describes. In contrast, a Build-
Under some
Transfer-Operate (BTO) contract, asset
definitions,
ownership is transferred once
BOT or
construction is complete.
BTO may
As Delmon (Delmon 2015, 20–
not include
21) describes, ownership rights mainly
private
affect how handover of assets is
finance,
managed at the end of the contract.
whereas
BOOT
always
includes
private
finance
Rehabilitate- In either of the naming conventions Existing As above, As above
Operate- described above, Rehabilitate may take infrastructu but rehabilit
Transfer (ROT the place of Build where the private re ate instead
) party is responsible for rehabilitating, of build
upgrading, or extending existing assets.
Concession Concession is used for a range of types New or Design, Usually user
of contract, as described existing rehabilitate, pays—in
in Delmon (Delmon 2010, Box 1 on infrastructu extend or some
page 9). In some jurisdictions, re build, countries,
concession may imply a specific type of finance, depending on
contract; while in others it is used more maintain, the financial
widely. In the PPP context, a concession and viability of
is mostly used to describe a user-pays operate— the
PPP. For example, in Brazil, the typically concession,
Concession Law applies only to user- providing the private
pays contracts; a distinct PPP Law services to party might
regulates contracts that require some users pay a fee to
payment from government. On the other government
hand, concession is sometimes used as a or might
catch-all term to describe a wide range receive a
of PPP types—for example, all recent subsidy
PPPs in Chile have been implemented
under the Concession Law, including
fully government-pays contracts.
Private The United Kingdom was one of the New Design, Government
Finance first countries to introduce the PPP infrastructu build, pays
Initiative (PFI) concept under the term Private Finance re finance,
Initiative, or PFI. It is typically used to maintain—
describe a PPP as a way to finance, build may include
and manage new infrastructure. some
operations,
but often not
providing
services
directly to
users
Operations O&M contracts for existing assets may Existing Operations Government
and come under the definition of PPP where infrastructu and pays
Maintenance these are performance-based, long-term, re maintenance
(O&M) and involve significant private
investment (sometimes also called
performance-based maintenance
contracts).
Affermage An affermage contract is similar to a Existing Maintain User pays—
concession, but with the government and operate, private party
typically remaining responsible for providing typically
capital expenditures. Affermage in services to remits part of
particular may have a specific meaning users user fees to
in some jurisdictions. The World government
Bank’s explanatory notes on water to cover
regulation (Groom et al. 2006, 36– capital
42) describe lease contracts, as well as expenditures
concessions. Such contracts may or may
not come under the definition of PPP,
depending on the duration of the
contract.
Management The state retains asset ownership, and Existing Operations Management
Contract capital expenditure is the responsibility and fees extended
of the public sector, whereas operation maintenance to the
and maintenance is the handled by the contractor
private sector. These types of contracts
are 3-5 years in duration.
*Franchise Franchise is sometimes used to describe Existing or May include User or
an arrangement similar to either a new design, government
concession or a lease or affermage build, and pay
contract, as described finance, or
in Yescombe (Yescombe 2007). may be
limited to
maintaining
and
operating an
asset
Lecture 22: Performance appraisal – Meaning, Concept, Methods.
• A performance appraisal is a systematic and periodic process of measuring an
individual's work performance against the established requirements of the job.
• It's a subjective evaluation of the employee's strengths and weaknesses, relative worth to
the organization, and future development potential.

• Performance appraisals are also called performance evaluations, performance reviews,

development discussions, or employee appraisals.
Components of Performance appraisal:

1. Define expectations
2. Measure and evaluate
3. Provide feedback
4. Record performance

Traditional Methods of Performance Appraisal

 Ranking Method
 Essay Appraisal
 Paired Comparison
 Checklist Method
 Critical Incidents Method

Modern Methods of Performance Appraisal

 Management by Objectives (MBO)
 Behaviorally Anchored Rating Scale (BARS)
 Assessment Centres
 360-Degree Appraisal
 Cost Accounting Method
 Human Resource Accounting Method

Lecture 23 & 24: Managing work motivation – Concept, Motivation and Performance,
Managing work motivation –Approaches to motivation.
Motivation: The driving force behind human actions

The term "motivation" describes why a person does something. It is the driving force behind
human actions.
Motivation is the process that initiates, guides, and maintains goal-oriented behaviors.
Types of Motivation:
• Extrinsic motivation arises from outside of the individual and often involves external
rewards such as trophies, money, social recognition, or praise.
• Intrinsic motivation is internal and arises from within the individual, such as doing a
complicated crossword puzzle purely for the gratification of solving a problem.

Why Motivation Is Important

• Increase your efficiency as you work toward your goals
• Drive you to take action

• Encourage you to engage in health-oriented behaviors

• Help you avoid unhealthy or maladaptive behaviors, such as risk-taking and addiction
• Help you feel more in control of your life

• Improve your overall well-being and happiness

Theories of Motivation:
Content theories:
1. Maslow’s hierarchy of needs
2. Herzberg’s two factor theory
3. McClelland’s three needs theory
4. McGregor’s theory of X & Y
5. Alderfer’s ERG theory
6. Mayo’s Motivation theory

Process theories
1. Adam’s equity theory
2. Vroom’s expectancy theory
3. Taylor’s motivation theory
4. Bandura’s self-efficacy theory
5. Skinners reinforcement theory
6. Locke’s goal setting theory

What are the Different Approaches to Motivation?

There are three distinct approaches to the motivational phenomena to ensure and boost worker
productivity. They are the stick approach, the carrot approach and the combined carrot and stick
approach.
 1. The Stick or Authoritarian approach
This approach represents the oldest or classical view which compels performance through threats
of penalties for failure. The industrialist was a dictator. He believed that might is right. With stick
in hand the manager controls his subordinates.

This was in vogue in the days of slavery. There are instances of slaves put to death for not doing
what they were told to do.
During these periods workers were completely under the thumb of their masters, subject to
arbitrary overtime, arbitrary punishment, arbitrary fines and arbitrary dismissal.

This approach is still followed in prison and military administration in all countries. In effect, the
management tells the employee, ‘Do what I tell you, otherwise I will sack you.’
This approach represents a negative attitude. Without positive motivation no good result can be
obtained. The threat of punishment may dampen the spirit of the employees.

2. The Carrot or Paternalistic approach

This approach suggests that employees should be treated in a fatherly way as if the business
organisation is a family and they are its dependent members. The employees are given rewards
unconditionally.

There is only carrot and no stick. The employers think that because of these rewards the employees
will remain loyal and grateful and work hard,

This approach does not motivate the workers. Ordinary workers do not have that sense of gratitude
which the paternalist manager expects from them. So unconditional rewards will be just absorbed
by them without any reciprocities behaviour.

If one man has to play the role of benevolent supervisor, another has to play the role of grateful
subordinate. No man can play the role of paternalistic employer successfully unless others will
play the reciprocal roles of child-like employees.

Paternalism means that papa know best. Management tells the employee- ‘You do what I tell you
because I shall look after your needs.’ By its very nature the paternalistic approach is unlikely to
work with mature adult employees many of whom do not like their interests to be looked after by
a “god father”. They regard themselves as more competent to do so.

This approach, however, can work, when the existing socio-cultural structure is congenial to the
type of superior-subordinate relationship as in Japan and India and there are no strong labour
organisations to challenge the manager’s decisions about what should be done for the employees.
3. The Carrot and Stick or Exchange approach

This combined approach suggests that with the stick in one hand, the manager will extract work
against the threat of penalty and with the carrot in another; he will induce the worker to work
harder in the hope of good rewards.

The carrot and a stick approach is essentially a penalty-reward approach. If the worker produces
more, he is given a bonus and if he produces less, he is penalised.
The carrot approach provides for unconditional rewards, whereas the carrot and stick approach
provides for both rewards and penalties which are linked directly to the level of performance.

This approach can be identified with Taylor’s Differential Piece Rate System or with incentive
wages system of modern times. It is also known as an exchange theory because it proposes to
purchase quality and quantity of output.

But the incentive scheme is not quite sound. It is based on the assumptions that the worker is
fundamentally and continually motivated by economic considerations. The Hawthrone
experiments proved that financial incentives are not enough.

It is being increasingly realised that an employee works to satisfy some basic needs within himself.
Consequently high employee productivity can be obtained when the organisation provides
adequate opportunities for satisfaction of those needs through the work done.

Lecture 25: Organizational Communication – Concept, Process, Types, Networks, Barriers

to Communication
Organizational communication is one of the essential prerequisites for building a successful
business. Its impact on employee engagement, collaboration, and workplace trust and employee
experience makes it an important part of every workplace strategy.

1. Formal communication ⁠
Being formal, clear and specific is a great way to ensure a proper flow of information in the
workplace. With formal communication, everyone is informed about and aligned with the business
goals.

2. Informal communication
As you might have guessed, this type of communication is the opposite of formal communication.
It is also known as “grapevine communication“. In essence, it includes dialogues, chats, phone
conversations as well as the “water cooler talks” that usually take place near the coffee maker that
don’t rely on any formalities.

3. Horizontal communication
This type of organizational communication occurs amongst teams, groups, or individuals at the
same hierarchical level. Horizontal communication plays an important role in breaking down silos
and improving cross-departmental collaboration in the workplace. It plays a critical role in aligning
tech, marketing and sales teams and making sure that everyone is on the same page.
4. Vertical communication

The most common form of communication within structured organizations follows an up-and-
down vertical pattern. It includes communication between business leaders, team leaders and
employees. This type of communication is essential in the workplace. Without vertical
communication, it wouldn’t be possible to share guidelines, feedback, or ideas.

Effective organizational communication impacts organizational success in many ways. Some

of them include:
 Creating a positive employee experience increases employee morale, satisfaction and
engagement.
 Helping employees understand the terms and conditions of their employment and driving
their commitment and loyalty.
 Encouraging employees’ share of voice significantly improves employees’ satisfaction
with their employer.
 Helping to decrease misunderstandings and the spread of misinformation in the workplace.
 Improving cross-departmental communication and collaboration among employees
 Helping employees align with the company’s mission, vision and core values.
 Driving higher employees’ engagement by keeping employees informed at all times.
 Making it easy for employees to find important and relevant information whenever they
need it.
 Streamlining the flow of information within the organization.
 Improving employee productivity by eliminating waste of time spent on information search
and communication on irrelevant topics.
 Improving processes and procedures and ultimately creating greater efficiencies and cost
reductions.
 Building better relationships between employees and their managers.
 Improving trust in the workplace.
 Making communication more fun.
 Improving communication with non-wired, remote and deskless employees.

Communication Networks:
1. Vertical Network: The communication which passes from one person or process to another
person or process in a vertical pattern is called Vertical Network. It can happen either in the top to
bottom or bottom to top format. This communication provides an immediate response as the
receiver receives the information faster than any other network. We can call this network as a
formal network. The best example is the communication between top level and bottom level
employees. Miscommunication does not happen in this network as this is a type of direct
communication.

2. Chain Network: This network is in a hierarchical level and follows a series of commands. Here
bottom to top communication does not happen. Superiors ordering the subordinates is the best
example of this type of network. Also, the leader leading the group of people is an example of
Chain Network. The message has to reach from top-level to bottom level without any alteration of
meaning or words. Care should be taken to avoid the same. This network is not fast and few people
who don’t understand the message will remain in the loop.

3. Circuit Network: When the communication between two people happens simultaneously in a
circuit is called Circuit Network. Though it works like Vertical Network, there are no superiors or
subordinates or at least not considered like them. Here the communication is a two-way
communication. The messaging or information reception is continuous and the people involved
can be at the same hierarchical level.

4. Wheel or Spoke Network: The commands or information is from a single superior and
subordinates form a wheel in the network. The entire network is highly centralized format and
expects immediate feedback once the message is given to the receiver. And due to this, we can call
this communication as a type of micromanagement. This network is an improved form of Chain
Network. Since the information is received directly from the central authority, there is no chance
of miscommunication and the communication is very powerful. Startups mostly use this type of
network.

5. Star Network: Several people are involved in this network and the process forms a star shape.
This network enables people to communicate with each other or with people who are involved in
the same process. This network can be considered as a development of a wheel network with no
central person to control the way of communication. All are free to communicate with each other.
No restrictions are present to block the communication between people in the process. Teamwork
is built using this communication. A WhatsApp group which is related to work is a good example
of Star Network.

Barriers of Communication:
 Semantic Barriers
 Psychological Barriers
 Organisational Barriers
 Personal Barriers
i. Semantic Barriers
The branch of science that deals with the meaning of words and sentences is known as Semantic.
The problems and obstructions in the process of encoding and decoding message into words or
impressions is known as Semantic barriers. This barrier arises because different words mean
different things to different people. A breakdown in communication can occur when two
individuals attach different meanings to a word. For example, for organisations, ‘Profits’ may
mean growth and efficiency, but for employees, it may mean excess funds generated by paying
inadequate wages and benefits.

Some of the common forms of Semantic Barriers are as follows:

Badly Expressed Message: When a message lacks clarity and precision, it is said to be a badly
expressed message. Communication becomes ineffective when the language of the message is
vague, imprecise, or there is the use of wrong words or omission of needed words.

Symbols with Different Meanings: The same words may carry different meanings to different
people, and can convey different meanings under different situations. For example, words like
effect and affect, ideal and idle, advice and advice, bear and bare, etc., sounds similar, but they
have different meanings.

Faulty Translations: Sometimes, people do not understand the language in which a message is
given by the sender. In such cases, it becomes necessary to translate the message into a language,
which is understandable by the receiver. The translator should be proficient enough to translate the
language, otherwise, this can also be a barrier to communication.

Unclarified Assumptions: The receiver may have different assumptions if the sender does not
clarify the assumptions about the message. For example, a boss may say, ‘Complete the work’.
Here, the boss has not mentioned the day and date when the work has to be completed. He may
mean to complete the work by tomorrow, but subordinates may understand it as a week’s target.
Technical Jargon: Technical Jargon or terminology are used by many experts and specialists to
communicate messages. Such jargon is not understood by the common people, which leads to poor
communication.

Body Language and Gesture Decoding: Non-verbal or gestural communication is also an

effective means of communication. Facial expressions, gestures, body language, etc., should
correspond to the language. The receiver may get confused and can misunderstand the message if
verbal language does not match the body language.

ii. Psychological Barriers

Barriers which arise on the account of emotional and psychological status of the sender and
receiver of the message are known as Psychological Barriers. For example, a person who is under
stress cannot communicate properly.

Some of the common forms of Psychological Barriers are as follows:

Premature Evaluation: The tendency of forming a judgement before listening to the entire
message is known as premature evaluation. This distorts understanding and acts as a barrier to
effective communication. This can also lead to prejudices against communication.

Lack of Attention: Communication can be less effective, and the message can be misunderstood
if proper attention is not given to it. This inattention may arise due to the preoccupied mind of the
receiver. For example, a superior gave instructions to operate a new software, however, the
subordinate was preoccupied with other personal issues. Such lack of attention makes the
communication process one-way and ineffective.

Loss by Transmission and Poor Retention: There is loss of or transmission of inaccurate

information when communication passes through various levels or channels in the organisation. It
is more common in the case of oral communication. Poor retention also acts as a barrier when
people are unable to retain the information for a long time.

Distrust: Lack of mutual trust between the sender and the receiver also acts as a barrier to
communication. Parties involved in communication cannot understand the message in an original
sense when they do not believe each other.

iv. Organisational Barriers

In an organisation, communication has to pass through various levels and channels, hence it may
not reach the same place as it was sent by the sender. Organisation structure, rules and regulations,
authority relationships, etc., act as a barrier to effective communication.

Some of the Organisational Barriers are as follows:

Organisational Policy: Effectiveness of communication is affected by organisational policy. The
communication process is hampered if the policy is not supportive of the free flow of
communication. For example, in a centralised organisation, free communication is not encouraged,
and communication has to follow through a proper channel only.
Rules and Regulations: The process of communication is affected by rigid and cumbersome rules
and regulations. The channels and the subject matter are already prescribed through, which the
messages are to be communicated. These prescribed rules, regulations, and channels are rigid and
can act as barriers.

Status: Psychological distance is created between superior and subordinate because of status. Such
statuses stand in the way of true and accurate communication. Subordinates are also not allowed
to express their feeling freely if the manager is status conscious.

Complexity in Organisation Structure: Organisation structure can also act as a barrier to

communication. If there are many managerial levels in an organisational structure, then
communication gets delayed and distorted.
Organisational Facilities: If facilities like frequent meetings, conferences, suggestion boxes,
complaint boxes, etc., are absent in an organisation, then effective communication is hampered.

v. Personal Barriers
The effectiveness of communication is influenced by the personal factors of both sender and the
receiver.

Some of the Personal Barriers are as follows:

Fear of Challenge to Authority: If a superior fears that a particular communication can hamper
his authority, then he may withhold such communication, as he always wants to maintain a higher
position and prestige in the organisation.
Lack of Confidence of Superior on his Subordinates: When superiors do not have faith or
confidence on the competence of their subordinates, then communication is said to be hampered.
When there is a lack of trust and confidence in subordinates, the superior may not take advice or
suggestions from the subordinates.

Unwillingness to Communicate: Unwillingness to communicate can be another reason for

ineffective communication. Many times, subordinates do not communicate with their superiors
because they believe that if the information is not correct or appropriate, it will adversely affect
them.

Lack of Proper Incentives: Subordinates also do not take initiative to communicate, when there
is no motivation or incentives for communication. For example, if there is no reward for the
suggestion given by the subordinates, then they will not take initiative.

Lecture 27: Mentoring, Time management, Team work and team-building strategies;
Mentoring is a reciprocal and collaborative at-will relationship that most often occurs between a
senior and junior employee for the purpose of the mentee’s growth, learning, and career
development. Often the mentor and mentee are internal to an organization, and there is an emphasis
on organizational goals, culture, career goals, advice on professional development, and work-life
balance. Effective mentors often act as role models and sounding boards for their mentee and
provide guidance to help them reach their goals.

Mentoring can be formal or informal. In an informal environment, mentees set goals, but they are
usually not measurable and the relationships are unstructured. For a formal mentoring relationship,
there are actionable and measurable goals defined and set with determined requirements.

Mentoring is not coaching and not counseling. Mentoring relationships are based upon advice
giving and direction while coaching is not. Counseling is a paid-relationship in which underlying
mental or psychological issues are addressed with solutions given by a medical professional.
Why Is Mentoring Important?
A good mentor can help the mentee become more effective at work, learn new skills, develop
greater confidence, and make better decisions for their overall career growth.

Mentors report many benefits as well, including satisfaction from seeing others develop; expanded
generational and cultural perspectives; strengthening of technical, leadership, and interpersonal
skills; and continuing to experience new ideas and insights mentoring diagram: one-on-one
mentoring, group mentoring, peer mentoring, distance or e-mentoring, reverse mentoring, speed
mentoring

Mentoring Techniques or Models

One-on-One Mentoring: This type of mentoring is the most traditional of all the types of
mentoring. Only the mentor and mentee are involved in this type of mentoring, and it is usually a
more-experienced individual paired with a less-experienced or much younger mentee.

Group Mentoring: In this model, one or several mentors work with a group of mentees. Schools
and youth programs often apply this model because there may not be enough time or resources to
have one mentor for each participant.

Peer Mentoring: Participants in this model are from the same role or department or have shared
or similar experiences, whether in their professional or personal lives. These peers pair up to offer
support for each other. This can be a group or a one-on-one mentoring relationship.

Distance or E-Mentoring: With such advanced technology, the mentorship relationship no longer
has to be face-to-face. Using online software or even email, participants in this type of mentoring
can connect virtually without losing the personal touch.

Reverse Mentoring: This mentoring relationship is flipped from the traditional model. Instead of
a senior professional mentoring a more junior employee, the junior employee mentors a more
senior professional. This relationship is usually for the younger or more junior professional to
teach the skills or a new application or technology to the more senior one.

Speed Mentoring: This type of mentoring is a play on speed dating and usually occurs as part of
a corporate event or conference. The mentee has a series of one-on-one conversations with a set
of different mentors and usually moves from one mentor to the next after a brief meeting. The
mentee should come prepared with questions for advice from the senior level professionals.

Time Management:
Time Management is the process of planning and exercising conscious control of time spent on
specific activities, especially to increase effectiveness, efficiency, and productivity. It involves a
juggling act of various demands upon a person relating to work, social life, family, hobbies,
personal interests and commitments with the finiteness of time. Using time effectively gives the
person "choice" on spending/managing activities at their own time and expediency.
 Time management may be aided by a range of skills, tools, and techniques used to manage time
when accomplishing specific tasks, projects, and goals complying with a due date. Initially, time
management referred to just business or work activities, but eventually the term broadened to
include personal activities as well.

A time management system is a designed combination of processes, tools, techniques, and

methods. Time management is usually a necessity in any project development as it determines the
project completion time and scope. It is also important to understand that both technical and
structural differences in time management exist due to variations in cultural concepts of time.
The major themes arising from the literature on time management include the following:
• Creating an environment conducive to effectiveness
• Setting of priorities
• The related process of reduction of time spent on non-priorities
• Implementation of goals

Benefits of Time Management

The ability to manage your time effectively is important. Good time management leads to
improved efficiency and productivity, less stress, and more success in life. Here are some benefits
of managing time effectively:
1. Stress relief

Making and following a task schedule reduces anxiety. As you check off items on your “to do”
list, you can see that you are making tangible progress. This helps you avoid feeling stressed out
with worry about whether you’re getting things done.
2. More time

Good time management gives you extra time to spend in your daily life. People who can time
manage effectively enjoy having more time to spend on hobbies or other personal pursuits.
3. More opportunities

Managing time well leads to more opportunities and less time wasted on trivial activities. Good
time management skills are key qualities that employers look for. The ability to prioritize and
schedule work is extremely desirable for any organization.
4. Ability to realize goals

Individuals who practice good time management are able to better achieve goals and objectives,
and to do so in a shorter length of time.
 For Effective Time Management After considering the benefits of time management, let’s look
at some ways to manage time effectively:
1. Set goals correctly

Set goals that are achievable and measurable. Use the SMART method when setting goals. In
essence, make sure the goals you set are Specific, Measurable, Attainable, Relevant, and Timely.
2. Prioritize wisely

Prioritize tasks based on importance and urgency. For example, look at your daily tasks and
determine

 which Are Important and urgent?: Do these tasks right away.

 which Are Important but not urgent?: Decide when to do these tasks.
 Urgent but not important: Delegate ? these tasks if possible.
 Not urgent and not important: Set these aside to do later.
3. Set a time limit to complete a task

Setting time constraints for completing tasks helps you be more focused and efficient. Making the
small extra effort to decide on how much time you need to allot for each task can also help you
recognize potential problems before they arise. That way you can make plans for dealing with
them.
4. Take a break between tasks

When doing a lot of tasks without a break, it is harder to stay focused and motivated. Allow some
downtime between tasks to clear your head and refresh yourself. Consider grabbing a brief nap,
going for a short walk, or meditating.
5. Organize yourself

Utilize your calendar for more long-term time management. Write down the deadlines for projects,
or for tasks that are part of completing the overall project. Think about which days might be best
to dedicate to specific tasks. For example, you might need to plan a meeting to discuss cash flow
on a day when you know the company CFO is available.
6. Remove non-essential tasks/activities

It is important to remove excess activities or tasks. Determine what is significant and what deserves
your time. Removing non-essential tasks/activities frees up more of your time to be spent on
genuinely important things.
7. Plan ahead
Make sure you start every day with a clear idea of what you need to do – what needs to get done
THAT DAY. Consider making it a habit to, at the end of each workday, going ahead and writing
out your “to do” list for the next workday. That way you can hit the ground running the next
morning.

Implications of Poor Time Management: Let’s also consider the consequences of poor time
management.
1. Poor workflow

The inability to plan ahead and stick to goals means poor efficiency. For example, if there are
several important tasks to complete, an effective plan would be to complete related tasks together
or sequentially.
2. Wasted time
Poor time management results in wasted time. For example, by talking to friends on social media
while doing an assignment, you are distracting yourself and wasting time
3. Loss of control

By not knowing what the next task is, you suffer from loss of control of your life. That can
contribute to higher stress levels and anxiety.
4. Poor quality of work

Poor time management typically makes the quality of your work suffer. For example, having to
rush to complete tasks at the last minute usually compromises quality.
5. Poor reputation

If clients or your employer cannot rely on you to complete tasks in a timely manner, their
expectations and perceptions of you are adversely affected.
Highly Effective Time Management Skills
Time management is a skill that takes time to develop and is different for each person. You just
need to find what works best for you.

Here are 10 ways that you can use to improve time management skills and increase
productivity:
1. Delegate Tasks

It is common for all of us to take more tasks than our desired potential. This can often result in
stress and burnout. Delegation is not running away from your responsibilities but is an important
function of management. Learn the art of delegating work to your subordinates as per their skills
and abilities and get more achieved.
2. Prioritize Work
Before the start of the day, make a list of tasks that need your immediate attention. Unimportant
tasks can consume much of your precious time. Some urgent tasks need to be completed on that
day only while other unimportant tasks could be carried forward to next day. In short, prioritize
your important tasks to focus on those that are more important.
3. Schedule Tasks

Carry a planner or notebook with you and list all the tasks that come to your mind. Make a simple
‘To Do’ list before the start of the day, prioritize the tasks and focus on the essentials. Make sure
that these tasks are attainable too. To better manage your time management skills, you may think
of making 3 lists: work, home and personal.
4. Set up Deadlines

When you have a task at hand, set a realistic deadline and stick to it. Try to set a deadline few days
before the task so that you can complete all those tasks that may get in the way. Challenge yourself
and meet the deadline; reward yourself for meeting a difficult challenge.
5. Overcome Procrastination

Procrastination is one of the things that badly affect productivity. It can result in wasting essential
time and energy. It could be a major problem in both your career and your personal life. Avoid
procrastination at all cost. Learn from this step-by-step guide and stop procrastinating
6. Deal with Stress Wisely

Stress often occurs when we accept more work than our ability. The result is that our body starts
feeling tired which can affect our productivity.
7. Avoid Multitasking

Most of us feel that multitasking is an efficient way of getting things done but, the truth is that we
do better when we focus and concentrate on one thing. Multitasking hampers productivity and
should be avoided to improve time management techniques. Make use of to-do lists and deadlines
to help you stay focus! This way you can do better at what you’re doing.
8. Start Early

Most of the successful men and women have one thing in common — they start their day early as
it gives them time to sit, think and plan their day. Here’s the reason: This is Why Productive People
Always Wake Up So Early. When you get up early, you are more calm, creative and clear-headed.
As the day progresses, your energy levels starts going down which affects your productivity and
you may not perform as well.
9. Take Regular Breaks
Whenever you find yourself feeling tired and stressed, take a break for 10 to 15 minutes. Too much
stress can take a toll on your body and affect your productivity. And even better, schedule your
break times. It helps you to relax and gets back to work with energy again later. Take a walk, listen
to some music or do some quick stretches. The best idea is to take off from work and spend time
with your friends and family.
10. Learn to Say No

Politely refuse to accept additional tasks if you think that you’re already overloaded with work.
Take a look at your ‘to do’ list before agreeing to take on extra work.

Three P's of time management: Planning, Prioritizing and Performing.

Types of Time Management Techniques

1. Pareto Analysis (a.k.a., the 80/20 rule)
2. Pomodoro Technique
3. Eisenhower Matrix
4. Parkinson’s Law
5. Time Blocking Method
6. Getting Things Done (GTD) Method
7. Rapid Planning Method (RPM)
8. Pickle Jar Theory
9. Eat That Frog Technique

Team work and team-building strategies

Team work: “The process of working collaboratively with a group of people in order to achieve
a goal. Teamwork is often a crucial part of a business, as it is often necessary for colleagues to
work well together, trying their best in any circumstance.

Tips for a better team work

Think about your team first - Every individual should think of his team first and his personal
interests should take a backseat. Do not mix your personal issues with your professional life. Keep
them separate.

Never underestimate your team member - Do not neglect any of the members, instead work
together and also listen to them as well. Never try to impose your ideas on any member. Avoid
demotivating any team member.
Discuss - Before implementing any new idea, it must be discussed with each and every member
on an open platform. Never ever discuss with anyone separately as the other person feels left out
and reluctant to perform and contribute to the team.

Avoid criticism - Stay away from criticism and making fun of your team members. Help each
other and be a good team player. Be the first one to break the ice and always create a friendly
ambience. If you do not agree with any of your team member, make him understand his mistakes
but in a polite tone and do guide him. Avoid negativity within the team.

Transparency must be maintained and healthy interaction must be promoted among the
team members. The communication must be effective, crystal clear and precise so that every team
member gets a common picture. Effective communication also nullifies misunderstandings and
confusions. Confusions lead to conflicts and individuals waste their time and energy in fighting
rather than working.

The team leader must take the responsibility of encouraging the team members to give their
level best and should intervene immediately in cases of conflicts. The personality of the leader
should be such that every team member should look up to him and take his advice whenever
required. He should not be partial to any member and support each of them equally. It is the duty
of the team leader to extract the best out of his team members.

For better team work, try to understand your team members well. Do not just always talk
business, it is okay if you go out with your team members for lunch or catch a movie together. It
improves the relations and strengthens the bond among the team members. The team members
must trust each other for maximum output.

Avoid conflicts in your team. Don’t fight over petty issues and find faults in others. One should
be a little adjusting with each other and try to find an alternative best suited to all the team
members.

Rewards and Recognition - Healthy competition must be encouraged among the team members.
The performance of every team member must be evaluated timely and the best performer should
be rewarded suitably so that the other members also get motivated to perform. Recognitions like
“The Best Team Player” or the “The Best Performer” go a long way in motivating the team
members. Appreciate the member who performs the best or does something unique.

Team building
Team building is an ongoing process that helps a work group evolve into a cohesive unit. The
team members not only share expectations for accomplishing group tasks, but trust and support
one another and respect one another's individual differences. Your role as a team builder is to lead
your team toward cohesiveness and productivity. A team takes on a life of its own and you have
to regularly nurture and maintain it, just as you do for individual employees. Your Employee
Relations Consultant can advise and help you.
List of team building strategies
1. Promote a respectful environment
2. Open the lines of communication
3. Articulate a clear, achievable vision
4. Define team roles
5. Trust in your team’s efficacy
6. Lean on your team’s strengths
7. Reward and acknowledge excellence
8. Create a safe space
9. Encourage mentorship
10. Master conflict resolution
11. Engage in collective activities or retreats
12. Hold employees accountable

Lecture 28: Modernization of information handling

Data Modernization
The process of migrating siloed data to modern cloud-based databases or lakes from legacy
databases is known as data modernization. It enables organizations to be agile and eliminate
bottlenecks, inefficiencies, and complexities of legacy systems.
A modernized data platform helps in efficient data migration, faster ingestion, self-service
discovery, near real-time analytics and more key benefits.

Types of IT modernization:
 Cloud migration
 Hybrid cloud
 Multicloud

Lecture 30: Supervision – Meaning, Responsibilities, Qualities and functions of supervision,

Essentials of effective supervision;
Meaning of Supervision:
‘Supervision’ comprises two words, namely ‘super’, that is, superior or extra, and ‘vision’, that is,
sight or perspective. The literal meaning of the term ‘supervision’ is to ‘oversee’ or ‘to inspect the
work of other persons’.

Thus, ‘supervision’ refers to an act by which any person inspects or supervises the work of other
people, that is, whether they are working properly or not.
In business organisations, there are ‘supervisors’ and ‘subordinates’.
According to M. S. Vitoles, Supervision refers to the direct, immediate guidance and control of
subordinates in the performance of their jobs.

Supervision is direction, guidance and control of working force with a view to see that they are
working according to plan and are keeping time schedule.
Meaning: “Supervision is a creative and dynamic process giving friendly guidance and direction
to teachers and pupils for improving themselves and the teaching-learning situation for the
accomplishment of the desired goals of education.” –R.P. Bhatnagar & I.B. Verma

Supervision is a Latin Word. Super means ‘from the above’ and vision means ‘to see’. In ordinary
sense of the term, supervision means overseeing the activities of others. In management
supervision means “Overseeing the subordinates at work with authority and with an aim to guide
the employees, if he is doing wrong.”

 Overseeing is to be done at all levels of management from top to bottom;

 Lower-level management or first-line supervisors oversee the work of operative
staff,
 While, middle and top management remain busy in overseeing the work of their
subordinate management members.
 But, in the ordinary sense of the word, supervision is concerned with directing and
guiding non-management members of the organisation.

Definitions Supervision
According to the Toft Hartley Act, 1947 (USA), ‘Supervisors are those having authority to exercise
independent judgement in hiring, discharging, disciplining, rewarding and taking other actions of
a similar nature with respect to employees’.

According to Vitiates, “Supervision refers to the direct and immediate guidance and control of
subordinates in the performance of their task.”

According to A.S. Barr: “Supervision is an expert technical service primarily concerned with
studying and improving the conditions that surround learning and pupil growth.”
According to Chester T. Mc Nerney: “Supervision is the procedure of giving direction to, and
providing critical evaluations of the instructional process. The end result of all supervision should
be to provide students at all levels with better educational services. ”

According to T.H. Briggs & Joseph Justman: ‘In general Supervision means to coordinate,
stimulate and direct the growth of the teachers in the power to stimulate and direct the growth of
every individual pupil through the exercise of his talents towards the richest and the most
intelligent participation in the civilization in which he lives. ”

According to John A. Bartky: “Good supervision is always concerned with the development of the
teachers, the growth of the pupil and the improvement of the teaching-learning process.”

According to H.R. Douglass & others: “Supervision is the effort to stimulate, coordinate and guide
the continued growth of teachers, both individually and collectively, in better understanding and
more effective performance of all the functions of instruction, so that they will be better able to
stimulate and direct each student’s continued growth towards a rich and intelligent participation in
society. ”

According to Glen G Eye & A.L. Netzer: “Supervision is that phase of school administration which
deals primarily with the achievement of the appropriate selected instructional expectations of
educational service.”

From the above definitions, some focal points may be drawn which would give a complete
idea of supervision.
a) Supervision is a creative and dynamic expert technical service.
b) It provides leadership with expert knowledge and superior skills.
c) It gives coordination, direction and guidance to teacher’s activities.
d) It stimulates the continuous growth of teachers and development of pupils.
e) It improves instruction and the teaching-learning process.

Nature of Supervision
As regards its nature, modem supervision is a cooperative enterprise, experimental in its approach.
The scope of modem supervision extends to the improvement of the whole teaching-learning
situation. So it is concerned with the pupils, teachers, curriculum and the socio-physical
environment and their improvement.

Supervision as Function of Management

 i. According to Davis: “Supervision is the function of assuring that the work is being done in
accordance with the plan and instruction.”
ii. According to G.R. Terry “Supervision is the task of achieving the desired results by means
of intelligent utilization of human talents and utilizing resources in a manner that provides
a challenge to human talent. It is concerned with initiating action, putting into effect the
plan and decision by stimulation of the human resources of the enterprise.”

Supervision concerned with three main functions of management, i.e., direction, immediate
guidance and control
i. To see, they are working, according to plans, policies, programmes, instructions and the
time schedule,
ii. To guide them at the work if they are doing something inconsistent to directions given and
need help so as to let them able to accomplish their assigned task, and
iii. To give them directions to get the work done, if necessary.

Significance of Supervision
Supervision is primarily concerned with overseeing or watching the performance of workers under
his control. He plays an important role in the management set up. He is the person who is directly
connected with the workers and acts as a vital link between the management and workers.
The significance of supervision as follows:

1. Issue of Orders and Instructions: The workers require guidance of supervisor at every
step.
2. Planning and Organizing the Work: A superior acts as a planner and a guide for his sub-
ordinates.
3. It is Important at All Levels: Supervision means overseeing and watching sub-ordinates.
The time devoted by top management to supervision is only 20% whereas supervisor (or
foreman or overseer or superintendent or section officer) devotes about 80% of his time to
supervision.
4. Vital Link between Workers and Management: Supervisor communicates the policies
of the management to workers (downward communication) and also provides feed back to
the management as to what is happening at the lowest level (upward communication).
5. Motivating Subordinates: A supervisor is a leader, he serves as a friend, philosopher and
guide to workers. He inspires team work and secures maximum co-operation from the
employees.
6. Feedback to Workers: A supervisor compares the actual performance of workers against
the standards laid down and identifies weaknesses of workers and suggests corrective
measures to overcome them
 7. Proper Assignment of Work: A supervisor makes systematic arrangement of activities
and resources for his group.

Roles and Functions of a Supervisor in an Organization

Supervisor’s organizational roles are as follows:

1. As a Key Man in the Management: A supervisor is the key figure in the organisation
because he/she makes decisions, controls work and interprets policy of the management to
the work-ers. He/she represents management to the workers.
2. Person in the Middle: According to this view, a supervisor has to work between two
forces, namely the management and the workers.
3. Supervisor as the Marginal Man: According to this sociological concept, supervisor is
either left out of main activities and influences affecting his/her department or he/she is
just on the margin.
4. Supervisor as Another Worker: According to this view, a supervisor is just like a worker
lacking authority and having a feeling that he/she is not part of management. Only his/her
designation is changed.
5. Supervisor as a Human Relations Specialist: As per this view, a supervisor is considered
to be a human relations specialist looking after the human side of operations.

Functions of Supervisor: A supervisor has to:

1. Help his/her workers to develop their innate qualities to improve their performance
2. Help his/her subordinates to adjust to their job requirements and to develop
3. Make the workers loyal towards their organisation
4. Provide expertise, skills, knowledge and experience to make workers learn without fear
and hesitation
5. Encourage free communication
6. Develop employee potential to an extent where they need no supervision
7. Cooperate with other supervisors
8. Prove a good link between the management and workers
9. Solve personal problems of his/her subordinates to the extent possible
10. Maintain discipline
11. Correct the mistakes of his/her subordinates
12. Explore new fields of knowledge
13. Introduce new, useful and scientific methods of production and administration
14. Have a clear understanding about his/her plan of action
15. Know his/her job, duties, responsibilities, authority, and accountability and so on
 16. Divide responsibilities and duties to his/her subordinates rationally and scientifically
17. Listen and look into the grievance of his/her subordinates
18. Delegate authority and win their confidence.

Factors describing the per-formance of the best supervisor:

(1) Favourable Work Climate: Favourable work climate can secure acceptance of his
authority voluntarily from his people so that obedience and loyalty can be easily secured
from workers.
(2) Personal Maturity and Sensitiveness: The best super-visor acquires personal maturity
and emotional stability as well as empathy, i.e., sensitiveness to the feelings of others and
capacity to understand feelings and emotions of those wor-king under his command.
(3) Human Relations Specialist: As a leader of his section, he has to capitalise human
emotions, sentiments, and attitudes for maximum productivity without sacrificing
employee satisfac-tion.
(4) Technical Job Knowledge: Supervisor has sufficient knowledge and information to
understand any technical problem quickly and to devise the best workable solution.
(5) Self-Development and Subordinate Development: The effective supervisor is deeply
interested in the development of human resources. He gives equal emphasis on his personal
growth as well as on the growth of his subordinates.
(6) Knowledge and Execution of Company Plans and Policies: The best supervisor
knows fully the plans and policies of management and he executes them thoroughly.

Requisite qualities for effective supervision are:

i. Tact and discretion,
ii. Social skills,
iii. Technical competence,
iv. Empathy,
v. Honesty,
vi. Courage,
vii. Self-confidence,
viii. Communication skills,
ix. Teaching and guiding ability and
x. Strong common sense.

The employee-centred supervisor in all functional areas of business as a first-line manager

is expected to perform following activities to secure higher productivity with employee
satisfaction-
 i. Organise work and allot assignments to each employee;
ii. Hear and redress grievances and complaints;
iii. Recommend promotions, transfer, pay increases;
iv. Enforce rules and regulations with equity and justice;
v. Keep subordinates well informed;
vi. Keep subordinates posted about their progress;
vii. Give people tools and materials; and
viii. Planning, directing motivating and controlling responsibilities.

Supervision – Span of Supervision:

Meaning of ‘Span of Supervision and Control’:
Span of supervision means the number of subordinates whom a supervisor can competently
direct, guide and control. If he is tasked to supervise a large number of subordinates doing
a number of different or unrelated jobs, it will naturally place him under heavy mental and
physical strain.
For example, if a supervisor has a large number of subordinates, engaged in a large
number of unrelated jobs, the following effects are bound to be felt:
a) Lack of proper communication with subordinates.
b) Indifference to ideas, suggestions and grievances of subordinates.
c) A feeling among subordinates that their supervisor does not wield enough influence
with his superior.
d) Frequent clash of views between supervisor and his superior.
Why Proper Span of Supervision is Necessary:
1. A manager is a human being with natural limitations as regards the time and energy he
can devote to the activities falling under his supervision.
2. There is also limitation as regards the multiple complex jobs that he can effectively
supervise.
3. Given his limited time and energy, long hours of strenuous work involved in effective
supervision may affect his physical and mental health.

Guidelines for evolving the optimum span of supervision are:

I. Managers at higher level in the management pyramid or hierarchy should have a span of
three to seven operating subordinates.
II. For first-line supervisors or managers of routine activities the optimum span of supervision
may be from fifteen to twenty employees.
III. Several points are considered while having a wise decision on the span of supervision-
a) Variety and importance of activities supervised,
b) Other duties in addition to supervision.
c) Stability of operations or lack of it.
d) Capacity of subordinates and degree of delegation.
 e) Relative importance of supervisory pay roll.

Problems Arising from Levels of Supervision:

(1) Costly to Create Levels of Supervision or to Add to them
(2) Problems of Communication between Different Levels
(3) Several Levels of Supervision Make Planning and Control Difficult

Main Requisites of Effective Supervision:

Supervision deals with instructing, guiding and inspiring human beings towards greater level
of performance. The effectiveness of supervision is determined by the degree of performance
extracted from the subordinates. Effective supervision gives proper guidance to the
subordinates and motivates them properly for the achievement of organisational objective.

1. Skill in Leading,
2. Skill in Instructing,
3. Human Orientation,
4. Technical Knowledge and
5. Knowledge of Rules

On the basis of the research studies conducted by the University of Michigan, Harrell has
mentioned the following four supervisory practices which are consistently related to the
productivity of a group –
1. Differentiation of supervisory role – More productive supervisors perform functions
more associated with leadership.
2. Closeness of supervision – High-producing supervisors generally do not supervise as
closely as low-producing supervisors.
3. Employee orientation – High-producing supervisors take more personal interest in their
subordinates—their training, promotion, motivation and so on.
4. Group cohesiveness – High-producing supervisors believe in high group cohesiveness.

Lecture 31: Managerial Control – Nature, Process, Types, Techniques of Control,

Observation, PERT and CPM.
Management control is often mistaken for accounting or a means of monitoring the economic
and commercial activity of a company or organization. Indeed, when it was set up at the beginning
of the 20th century in industrial companies, the management control was intended to control the
smooth running of the firm's activities.
What are the interests of management control?
The management control allows the manager to have a clear vision of his company and to
understand the history of the company in order to make decisions. It is therefore, on the one hand,
a decision-making function for management. In fact, by evaluating the company's financial,
economic, commercial or social data, management control provides elements that make it possible
to carry out a company policy. On the other hand, it should be known that management control
interacts with the various functions of the company and not exclusively with the management and
the accounting function, to which it is too often assimilated. From this point of view, we can affirm
that the "management control" function is an information management system intended to drive
corporate performance.
The objectives of the management control are:

1. To contribute to the definition of the strategy;

2. To monitor the implementation of the strategy;
3. To prepare the allocation of resources in line with short-term objectives and strategic
objectives
4. To measure the organizational performance;
5. To control the activity and take corrective actions

Phases of the process

Planning: The starting point of management control is the planning phase in which the
objectives are defined, then translated into operational acts through marketing, investment,
human resources management and financial management policies. In this phase, a strategy
must be defined operationally regarding: the product / market pairs; investments and
divestments; the organization and management of HR, the adaptation of the production tool
where appropriate;
Budgeting: The budget phase begins with the setting of the short-term objectives, which are
derived from the medium-term action programs, but take into account the constraints and the
plans of action decided for the coming year. Most of this phase is in the definition, coordination
and approval of the company's action plans.
Action and follow-up of achievements. The overriding phase that follows budgeting is the
execution of the action plans and their translation into facts in order to achieve the objectives.
The control process is therefore inseparable from the management of the company, and its
implementation is done through the use of various tools, including long-term and medium term
plans, one-off economic studies, statistics, general accounting and cost accounting, ratios,
dashboards...etc.
Measure results. The final step is to analyse the results with the aim of identifying the
necessary corrective actions. Today, decision-makers not only ask management control to
calculate costs and measure results afterwards, but to continuously monitor the performance
 of all activities in order to help in real time decision-making throughout the strategic and
operational process.
Benefits of effective management control: The purpose of any business is to generate profit,
and generally, it is through general accounting that one determines whether the company has
generated profits or losses during a given period. However, these data do not allow to define
what was the margin generated for the sale of a product or a service. It is only through cost
accounting that we can calculate the costs of production and we can see the profit made for
each piece of product sold. The management control also makes it possible to evaluate the
expenses borne by each service within the company.

Traditional Types of Control Techniques in Management

I. Budgetary Control
II. Standard Costing
III. Financial Ratio Analysis
IV. Internal Audit
V. Break-Even Analysis
VI. Statistical Control

PERT and CPM

1. Project Evaluation and Review Technique (PERT) :
PERT is appropriate technique which is used for the projects where the time required or needed
to complete different activities are not known. PERT is majorly applied for scheduling,
organization and integration of different tasks within a project. It provides the blueprint of
project and is efficient technique for project evaluation.
2. Critical Path Method (CPM) :
CPM is a technique which is used for the projects where the time needed for completion of
project is already known. It is majorly used for determining the approximate time within which
a project can be completed. Critical path is the largest path in project management which always
provide minimum time taken for completion of project

Difference between PERT and CPM:

S.No. PERT CPM

1. PERT is that technique of project
management which is used to manage
uncertain (i.e., time is not known)
activities of any project.
2. It is event oriented technique which means
that network is constructed on the basis of
event.
CPM is that technique of project
management which is used to manage
only certain (i.e., time is known) activities
of any project.
It is activity oriented technique which
means that network is constructed on the
basis of activities.
 3. It is a probability model. It is a deterministic model.
4. It majorly focuses on time as meeting time It majorly focuses on Time-cost trade off
target or estimation of percent completion as minimizing cost is more important.
is more important.
5. It is appropriate for high precision time It is appropriate for reasonable time
estimation. estimation.
6. It has Non-repetitive nature of job. It has repetitive nature of job.
7. There is no chance of crashing as there is There may be crashing because of certain
no certainty of time. time boundation.
8. It doesn’t use any dummy activities. It uses dummy activities for representing
sequence of activities.
9. It is suitable for projects which required It is suitable for construction projects.
research and development.

Network diagram for the Critical Path Method problem and Project Evaluation and Review
Technique

Lecture 32: Management Information Systems (MIS): Concept, tools and techniques, MIS
in extension organizations
Definition
"An integrated user-machine system for providing information to support operations, management
and decision making functions in an organization. The system utilizes computerized and manual
procedures; models for analysis, planning, control and decision making; and a database."

MIS principal concerns

Facilitate decision making by supplying the information needed in an up-to-date and accurate
form
i. to the people who need it
ii. on time
iii. in a usable form

MIS Elements in Management Functions:

 Planning
 Controlling
 Decision making

Steps in Planning
1. Selecting objectives
2. Identifying activities required to achieve the stipulated objectives
3. Describing the resources or skills, or both, necessary to perform the activities
4. Defining the duration of each activity to be undertaken
5. Determining the sequence of the activities
Requirements during the Planning Process
1. Supplying the information needed by the planner at each step
2. Establishing procedures for procuring the information at each step (including the means
to view alternatives)
3. Arranging for storage of the approved plans as information for the control process
4. Devising an efficient method for communicating the plans to other members in the
organization

Controlling involves

1. Establishing standards of performance in order to reach the objective

2. Measuring actual performance against the set standards
3. Correcting deviations to ensure that actions remain on course

Requirements for Controlling

1. Defining expectations in terms of information attributes
 2. Developing the logic for reporting deviations to all levels of management prior to the
actual occurrence of the deviation

Levels of decision making

i. Strategic
ii. Tactical
iii. Technical
Elements of decision making
· Model
· Constraints
· Optimization

System: "A set of elements forming an activity or a procedure/scheme seeking a common goal or
goals by operating on data and/or energy and/or matter in a time reference to yield information
and/or energy and/or matter."

Perceiving The System

1. Some components, functions and processes performed by these various components

2. Relationships among the components that uniquely bind them together into a
conceptual assembly which is called a system
3. An organizing principle which is an overall concept that gives it a purpose
4. The fundamental approach of the system is the interrelationship of the sub-systems of
the organization

Basic Parts Of The Organization

1. The individual
2. The formal and informal organization
3. Patterns of behaviour arising out of role demands of the organization
4. The role perception of the individual
5. The physical environment in which individuals work

WHY A SYSTEMS APPROACH

1. Developing and managing operating systems (e.g., money flows, manpower systems)
2. Designing an information system for decision making
3. Systems approach and MIS
 4. MIS aims at interrelating, coordinating and integrating different sub-systems by providing
information required to facilitate and enhance the working of the sub-systems and achieve
synergistic effects

Information

A set of classified and interpreted data used in the decision making process"

Information has also been defined as some tangible entity which serves to reduce uncertainty
about future state or events

In the context of different levels of decision making, information can be described as:
1. source
2. data
3. inference and predictions drawn from the data
4. value and choices (evaluation of inferences with regard to the objectives, and then
choosing courses of action)
5. action which involves a course of action

The value of management information lies in its content, form and timing of presentation

Conceptual Basis of MIS

1. Concepts of organization
2. Organizational theories, principles, structure, behaviour and processes such as
communication, power and decision making
3. Motivation and leadership behaviour

Implications of the Organizational Structure for MIS

Hierarchy of authority
Specialization
Formalization
Centralization
Modification of the basic model
Information model of organization
Organizational culture
Organizational power
Organizational growth cycle
Goal displacement
Organizational learning
Project model of organizational change
Case for stable system
Systems that promote organizational change
Organizations as socio-technical systems

INFORMATION REQUIREMENTS FOR MIS

1. Assessing information requirements
2. Levels of information requirements

i. Organizational level
ii. Application level
iii. Technical
iv. Database