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Principles and
Contemporary Practices
of Management
UNIT 1: INTRODUCTION TO MANAGEMENT

Introduction to Management

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WHO IS THE FATHER OF MANAGEMENT???

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Generalized Definition of Management:

• Management is a distinct ongoing process of allocating inputs of an organisation

(human and economic resources) by typical managerial functions (planning,
organising, directing and controlling) for the purpose of achieving stated
objectives, viz., output of goods and services desired by its customers
(environment).
• In the process, work is performed with and through personnel of the
organisation in an ever-changing business environment.

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This definition include principal ideas of any school of management thought:

APPROACHES TO MANAGEMENT

• (1) Functional school sees management as a process of planning, organising, directing and
controlling.
• (2) Behavioural school is not interested in the process only but rather in the way the process
affects the organisation, i.e., with and through personnel or human resources.
• (3) Quantitative school wants to improve the quality of decision making, i.e., fulfilling the
stated objectives of the enterprise.
• (4) Systems approach concentrates on the entire organisation, i.e., inputs-process-outputs.
• (5) Contingency approach emphasises dynamic nature of management process in an ever-
changing business environment.

Precise Definition of Management:

• Let us formulate a precise definition of management. It should be the basis of our
study of the principles of management. The substance of management should be
identified as a process. A process is something that a person does.
• A process also implies ongoing and unceasing cyclical operations. In management
we have planning-action-control cycle. Our definition must incorporate this
management cycle. A process indicates the dynamic nature of management.
• It also implies that change is a constant reality of organisational life and management
is the management of change. Lastly, management is regarded as a social process
because it is directly concerned with management of human resources in order to
secure cooperation and teamwork from the people in their performance,

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There are twin purposes of the management process:

• (1) Maximum productivity or profitability and

• (2) Maximum human welfare and satisfaction.

• There are five parts to a definition of management as a process:

• first, the co-ordination of resources;
• second, the performance of managerial functions as a means of achieving co-
ordination;
• the third, establishing the objective or purpose of management process, i.e., it
must be purposeful managerial activity; the fourth aspect is that management is
a social process,
• and the fifth is its cyclical nature.

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• 1. Management is Co-Ordination:
• The manager of an enterprise must effectively coordinate all activities and resources of the
organisation, namely, men, machines, materials and money the four M’s of management.
• 2. Management is a Process:
• The manager achieves proper co-ordination of resources by means of the managerial functions
of planning, organising, staffing, directing (or leading and motivating) and controlling.
• 3. Management is a Purposive Process:
• It is directed toward the achievement of predetermined goals or objectives. Without an
objective, we have no destination to reach or a path to follow to arrive at our destination, i.e., a
goal, both management and organisation must be purposive or goal-oriented.
• 4. Management is a Social Process:
• It is the art of getting things done through other people.
• 5. Management is a Cyclical Process:
• It represents planning-action-control-re-planning cycle, i.e., an ongoing process to attain the
planned goals.

Features of Management
• Management is the process of setting and reaching goals effectively
and efficiently. Management process has some qualities or features;
• Management is Associated with Group Efforts
• Management is Purposeful
• Management is Accomplished Through the Efforts of Others
• Management is Goal-oriented
• Management is Indispensable
• Management is Intangible
• Management can Ensure Better Life

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• Management is Associated with Group Efforts

• It is usual to associate management with a group.
• Although people as individuals manage many personal affairs, the
group emphasis on management is universal. Every enterprise
entails the existence of a group to achieve goals. It is now established
that goals are achieved more readily by a group than by any one
person alone.

• Management is Purposeful
• Wherever there is management, there is a purpose. Management
deals with the achievement of something definite expressed as a goal
or objective.
• Management success is commonly measured by the extent to which
objectives are achieved. Management exists because it is an effective
means of getting the necessary work accomplished.

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• Management is Accomplished Through the Efforts of Others

• Management is sometimes defined as “getting things done through others’ efforts.”
• Besides the manager of a firm, there may be accountants, engineers, system analysts,
salesmen and a host of other employees working but it is the manager’s job to
integrate all their activities.
• Thus it can well be said that participation in management necessitates relinquishing
the normal tendency to perform all things oneself and getting tasks accomplished
through group efforts.

• Management is Goal-oriented
• Managers focus their attention and efforts on bringing about
successful action. Successful managers have an urge for
accomplishment.
• They know when and where to start, what to do with keeping things
moving, and how to follow a goal-oriented approach.

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• Management is Indispensable
• Management can neither be replaced nor substituted by anything else.
• Even the computer which is the wonderful invention of the twentieth century can
only aid but not replace management.
• We know that the computer is an extremely powerful tool for management.
• It can widen a manager’s vision and sharpen his insight by supplying more and
faster information for making key decisions.
• The computer has enabled the manager to conduct analysis far beyond the normal
analytical capacities of man.
• But what happens, in reality, is that the computer can neither work by itself nor
can it pass any judgment.
• The manager plays his/her role by providing judgment and imagination as well as
interpreting and evaluating what the information/data mean in each case.

• Management is Intangible
• Management is often called the unseen force; its presence is
evidenced by the results of its efforts – motivation among
employees, discipline in the group, high productivity, adequate
surplus, etc.
• Conversely, the identity of management may also be felt by its
absence or by the presence of its direct opposite mismanagement.
The consequence of mismanagement is anybody’s guess.

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• Management can Ensure Better Life

• A manager can do much to improve the work environment, stimulate
people to perform better, achieve progress, bring hope and accomplish
better things in life.
• The study of management has evolved into more than just the use of
means to achieve ends; today it includes moral and ethical questions
concerning the selection of the right ends towards which managers
should strive.

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Management is both a Science as well as an Art

• Management is both a science as well as an art. The science of management
provides certain general principles which can guide the managers in their
professional effort. The art of management consists in tackling every situation in
an effective manner. As a matter of fact, neither science should be over-
emphasised nor should be the art discounted; the science and the art of
management go together and are both mutually interdependent and
complimentary. Management is thus a science as well as an art. It can be said
that-”the art of management is as old as human history, but the science of
management is an event of the recent past.”

What is Business Management

• Business management is the coordination and organization of
business activities. Business managers oversee operations and
help employees reach their top productivity levels. A business
manager may also supervise or train new employees, help a
business reach its operational and financial objectives.

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Management Process
• A management process is a system of coordinating work
activities, and actions so that they are completed efficiently and
effectively. The managerial process includes planning, organizing,
staffing, directing, and controlling. The management process helps
to ensure that an organization's goals are met

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Who is a Manager?
• A Manager is the person responsible for planning and directing the work of a
group of individuals, monitoring their work, and taking corrective action when
necessary. For many people, this is their first step into a management career.
Managers may direct workers directly or they may direct several
supervisors who direct the workers. They are the individuals charged with
examining the workflow, coordinating efforts, meeting goals and providing
leadership. Thus a manager must be familiar with the work of all the groups
he/she supervises, but need not be the best in any or all of the areas. It is more
important for a manager to know how to manage the workers than to know how
to do their work well.

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Types of MANAGERS

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Team leaders

• A team leader is someone who is appointed to manage a particular task or activity.

The team leader is responsible for overseeing all the parts of their assignment. This
includes making sure that all the members of the team are aware of their roles and
responsibilities, and that they are working together to achieve the desired outcome
• The team leader also reports to a first-line or middle manager. In some cases, the
team leader may also be responsible for leading training sessions or providing
feedback to team members. However, the most important duty of a team leader is to
ensure that the team is able to work together effectively and efficiently to achieve its
specific goals

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7 types of management styles

• 1. Authoritarian/Autocratic management style

• 2. Visionary management style
• 3. Affiliative management style
• 4. Coaching management style
• 5. Pacesetting management style
• 6. Democratic management style
• 7. Laisezz-Faire management style

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Conclusion
• When it comes to management, there is no one-size-fits-all approach. The most
important thing is to find the style that works best for you and your team. Different
types of managers and management styles can be more or less effective in different
situations.
• The key is to experiment and try different approaches to see what gets the best
results. One approach that may work well in one situation may not work as well in
another. The key is to be flexible and adaptable and to always be learning and
growing as a manager.
• With so many different types of managers and management styles out there, the only
way to find the right one for you is to experiment and learn from your mistakes

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Roles of a Manager
• To achieve results, they shift gears and restructure and reorganise things
continually. The diverse roles played by managers in discharging their duties
have been summarised by Henry Mintzberg in the late 1960s, under three broad
headings: interpersonal roles, informational roles and decisional roles. Let us
understand them one by one

Managerial Roles

• Managerial roles are behaviors adopted to perform various management

functions, like leading and planning, organizing, strategizing, and solving
problems. Within an organization, managers of different levels have different
responsibilities that may overlap.

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Interpersonal roles:
• Three interpersonal roles help the manager keep the organisation running smoothly.
Managers play the figurehead role when they perform duties that are ceremonial and
symbolic in nature. These include greeting the visitors, attending social functions
involving their subordinates (like weddings, funerals), handing out merit certificates to
workers showing promise etc. The leadership role includes hiring, training, motivating
and disciplining employees. Managers play the liaison role when they serve as a
connecting link between their organisation and others or between their units and other
organisational units. Mintzberg described this activity as contacting outsiders who
provide the manager with information. Such activities like acknowledgements of mail,
external board work, etc., are included in this category.

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Informational roles:

• Mintzberg mentioned that receiving and communicating information are perhaps the most
important aspects of a manager’s job. In order to make the right decisions, managers need
information from various sources. Typically, this activity is done through reading magazines
and talking with others to learn about changes in the customers’ tastes, competitors’ moves
and the like. Mintzberg called this the monitor role. In the disseminator role, the manager
distributes important information to subordinates that would otherwise be inaccessible to
them. Managers also perform the spokesperson role when they represent the organisation
to outsiders

Decisional roles:
• There are four decision roles that the manager adopts. In the role of
entrepreneur, the manager tries to improve the unit. He initiates planned
changes to adapt to environmental challenges. As disturbance handlers,
managers respond to situations that are beyond their control such as strikes,
shortages of materials, complaints, grievances, etc. In the role of a resource
allocator, managers are responsible for allocating human, physical and monetary
resources. As negotiators, managers not only mediate in internal conflicts but
also carry out negotiations with other units to gain advantages for their own
unit.

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Skills of an Effective Manager

• An effective manager must possess certain skills in the areas of planning, organising,
leading, controlling and decision-making in order to process activities that are
presented to him from time to time. In order to be effective, a manager must possess
and continuously develop several essential skills. Robert L. Katz has identified three
basic types of skills –
• technical,
• human and
• conceptual –
• which he says are needed by all managers.

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Technical skill
• It is the ability to use the tools, procedures or techniques of a specialised field.
Technical skill is considered to be very crucial to the effectiveness of lower level
managers because they are in direct contact with employees performing work
activities within the firm. For instance, the success of a drilling supervisor of an
oil rig depends a great deal on his technical knowledge of drilling. However, as
one moves to higher levels of management within the organisation, the
importance of technical skill diminishes because the manager has less direct
contact with day-to-day problems and activities. Thus, the president of an oil
company does not need to know much of the technical details of drilling for oil
or how to refine it

• Human skill: It is the ability to work with, understand and motivate other
people. This skill is essential at every level of management within the
organisation, but it is particularly important at lower levels of management
where the supervisor has frequent contact with operating personnel.

• Conceptual skill: It is the mental ability to coordinate and integrate the

organisation’s interests and activities. It refers to the ability to see the ‘big
picture’, to understand how a change in any given part can affect the whole
organisation

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Changing Job of Managers

• As times change, so too must the job roles that have existed since the dawn of production.
Managers have always been the individuals responsible for maintaining the productivity of a
team, and that is the same across every industry.
• While every company still needs managers to perform these duties, the job role has changed
slightly in the modern age. Things haven’t altered much, but some changes should be of note to
anyone pursuing the role of manager. Read on to find out more.
• Proactive Methods
• Management has always had an authoritarian label attached. The role requires you to set tasks
for those who work for you, all while accepting full responsibility for anything that does not
meet expectations. As such, you do have a sense of authority to maintain.
• Cont…….

Changing Job of Managers

• However, this authoritarian approach to management has slipped in recent years. You are just as likely
to see a manager being proactive and hands-on in their job role as you are to see a manager that only
deals with higher responsibilities. It is more acceptable for managers to work as equal team members
while maintaining their role as team leaders.
• Equality In The Workplace
• Speaking of equality, this is one aspect that many businesses are trying to address as we move forward
into a more progressive era. A few years ago, it wasn’t uncommon for all managers in a company to be
men but that is slowly changing as more women are opting to join executive roles.
• Some modern universities and colleges offer women in leadership courses for anyone looking to work
in women’s management. Therefore, the role of management is no longer one that is solely occupied by
men. Now, anyone can give it a go if they have the relevant qualifications.

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Changing Job of Managers

• New Leadership
• Advancement is a great factor in any job role. As such, your current role as manager won’t last long
before you are offered more senior positions. Most companies nowadays promote people within the
company rather than hiring external people whenever a new management position opens.
• Therefore, a big part of modern management is preparing the employees on your team for the next step
in their careers. This means engaging with them and sharing some of the knowledge that relates to your
job role.
• Merging Departments
• As companies become more inclusive and innovative, people are encouraged to share more within the
workplace. There used to be a time when every department head focused solely on their team and its
productivity; however, technology has made sharing data in real-time a reality.
• As a result, it is more common for department heads to collaborate in today’s business climate.
Everyone should be pulling toward the same goal, which means that modern managers need to know
how to communicate with other department heads during a standard workday.

• Summary
• As you can see, there are many societal factors that have changed the way we
view management. Fortunately, you should be trained for your next role
adequately thanks to this shift into equality, making the job of a manager easier
and fairer than it has ever been.

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The changing Perspectives (Viewpoint) on

Organization:

• The organization is defined and viewed differently at different time period.

Previously, it was only considered as a people gathering place where workers do what
the employer asked them to do, there was no concerned about the relation of work
and people performance.
• But as the time passes by, the concept of work, workers and workplace has been
gradually changing. Organization is not only the gathering place, it is a place where
people are embrace as an asset and help them to groom their abilities and make them
competent to accept and overcome any environmental changes.
• The changing perspectives on organization are as follows:

The changing Perspectives (Viewpoint) on

Organization:

• Mechanistic viewpoint on Organization

• Organization as an Open System
• A business organization as per open system
• Organization as political System
• Organization as culture
• Organization as a learning system

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Mechanistic viewpoint on Organization

• This perspective states that organization as a machine.
• Many classical theories of organization represent this view. It believes on
fixed working hours, production schedules, maintenance schedules, financial
control system, quality control system, sales targets, code of conduct, clear job
description and procedures etc. The aim of these efforts is to routinize the
activities and reduce uncertainty of operation. These types of organization
ignore the human aspects and their effectiveness. It does not give priority to
imagination, innovation and creativity. Thus, this perspective is suitable in
stable environment and for those organizations where there is requirement of
maximum blue collar workers.

Organization as an Open System

• Business Organization are perceive as open adaptive system.
• Any organism can be considered as an energy system which has inputs,
transformation process and outputs. E.g. the inputs for a university would be
students, teaching materials, books, money and so on. The transformation process
would consist of lectures, seminars, assignments, research, study, discussion,
counseling etc. The output would be educated, cultured and discipline individuals
ready to enter the real world of business or employment. In general, the term
system is applied to any activity or any collection of facts, ideas or principles
which are so arranged as to present a united a whole. All operation of system will
be methodical, thorough and regular and above all as per plan to achieve set
objectives. In business many division and departments are organized on
functional bases and all act as coordinated whole to achieve the basic objectives of
the firm.

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A business organization as per open system

Organization as political System

• According to this perspective, organizations are viewed as “complex system of
individual and coalitions, each having its own interest, beliefs, values,
preferences, perspectives and perception.
• The coalitions continuously compete with each other for scarce organizational
resources”. It states that organizations are not about hierarchies and structures
but also about the internal politics that prevails in them. Understanding and
assessing an organization from this perspective is important to know its
current activities and predict its behaviour.

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Organization as culture
• The organizational cultural perspective states that many organizational
behaviour and decisions are predetermined by the pattern of basic
assumptions (beliefs, rituals, values) held by the members of an organizations.
Different studies suggested that, organizational culture acts as powerful forces
in influencing organizational life..

Organization as a learning system

• From this perspective organization is describe as a living and thinking open
system. Organization continuously learn from their history, experience and
environment and adjust accordingly .To be an effective, organization have to
learn and develop new capabilities on a continuous basis. Sharing knowledge,
experience and ideas is habit of learning organization. Thus, learning
competency of organization plays an important role in strategic planning
process.

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