Introduction to Management &

Planning
Sutapa Bhattacharjee
 Who is a manager
• A manager is a person who usually
coordinates and oversees work of other
people so that organizational goals can be
achieved.
 Levels of management
• First line managers
• Middle level managers
• Top level mangers
 Management
• Management involves coordinating and
overseeing the work activities of others that
their activities are completed efficiently and
effectively.
 Efficiency and Effectiveness
• Efficiency refers to getting the most output
from the least amount of input.
• Effectiveness is often described as doing those
work activities that will help the organization
reach its goals.
 Management Functions
• Planning
• Organizing
• Leading
• Controlling
 Mintzberg’s Managerial Roles
• Interpersonal role
– Figurehead
– Leader
– liaison
• Informational role
– Monitor
– Disseminator
– Spokesperson
• Decisional role
– Entrepreneur
– Disturbance handler
– Resource allocator
– Negotiator
 Management Skill
• Conceptual skill
• Human skill
• Technical skill
Theoretical approaches to management

• Scientific management by F. W. Taylor

– One best way for a job to be done
• General administrative theory by Henri Fayol
• 14 principles of management
– Division of work
– Authority
– Discipline
– Unity of command
– Unity of direction
– Subordination of individual interest to the general
interest
• 14 principles of management contd……
– remuneration
– Centralization
– Scalar chain
– Order
– Equity
– Stability of tenure
– Initiative
– Esprit de corps
• Behavioral approach
– Hawthorne studies
• Quantitative approach
– Total quality management (TQM)
• Contemporary approach
– System
• Close system
• Open system
• Contingency approach, also known as
situational approach says that organizations
are different, face different situations and
requires different ways of managing.
 Foundation of planning
• Planning involves defining the organization’s
goals, establishing the strategies for reaching
those goals and developing plans for to
integrate and coordinate work activities. It’s
concerned with both ends (what) and means
(how).
 Why do managers plan?
PLANNING -
• Provides direction
• Reduces uncertainty
• Reduces waste and redundancy
• Establishes the goals or standards used in
controlling.
 Goals and plans
• Goals are desired outcomes or targets.
• Plans are documents that outline how goals
are going to be met.
 Types of goals
• Stated goals
– Official statement of what an organization says
and what it wants its stakeholders to believe, its
goals are.
• Real goals
– Those goals an organization actually pursues –
observe what organizational members are doing.
Actions define priorities.
 Types of plans
• Breadth
– Strategic
– operational
• Time frame
– Long term
– Short term
• Specificity
– Directional
– Specific
• Frequency of use
– Single use
– Standing
 Approaches to setting goals
• Traditional goal setting
• Means-ends chain
• Management by objective (MBO)
 Steps of MBO
• The organization’s overall objectives and strategies are
formulated
• Major objectives are allocated among divisional and
departmental units.
• Unit managers collaboratively set specific objectives for
their units withy their mangers.
• Specific objectives are collaboratively set with all
department members.
• Action plans, defining how objectives are to be achieved,
are specified and agreed upon by managers and employees.
• The action plans are implemented
• Progress toward objectives is periodically
reviewed and feedback is provided.
• Successful achievement of objectives is
reinforced by performance based rewards.
 Strategic management
• Strategic management is what managers do to
develop the organization’s strategies.
The strategic management process
• Step 1: Identifying the organization’s current
mission, goals and strategies
• Step 2: Doing an external analysis
• Step 3: Doing an internal analysis
• Step 4: Formulating strategies
• Step 5: Implementing strategies
• Step 6: Evaluating results.
 Types of corporate strategy
• Growth
• Stability
• Renewal
 Porter’s five forces model
• Threat of new entrants
• Threat of substitutes
• Bargaining power of buyers
• Bargaining power of suppliers
• Current rivalry