What is management?

Management according to Mary Parker Follett,

is “the art of getting things done through
people.”
Management is the process by which human
resources are coordinated and used with other
resources to accomplish goals and objectives
of the organization.
Drucker Corrects Misconceptions
 Peter F. Drucker, in his latest book,
Management Challenges for 21th Century,
corrects the wrong assumption that “
Management is Business Management.”
 Principles of management apply to any and

all organizations; “ the differences are mainly

in application rather than in principles.
Organization & Management
 The principles of Management is practiced in
an organization, whether formal or informal,
private or government, for profit or non
profit, small, medium or large, single
proprietorship, partnership, or corporation
whether domestic or national, and so on.
Concept of Organization
1. Organization is a system designed to achieve
a goal driven by or based on human needs.
2. Organization is a social entity that is goal
directed and deliberate structured.
3. Organization consists of two or more
persons engaged in a systematic effort to
produce goods and services.
4. An organization is any collection of people
and activities formed for a specific purpose.
Function of Management
1. Planning- is the management function
concerned with defining goals for future
organizational performance and deciding on
the tasks and resources to be used to attain
them.
2. Organizing- concerned with assigning tasks,
grouping tasks into departments, and
allocating resources to departments.
3. Leading-the management function that
involves the use of influence to motivate
employees to achieve the organizational
goals.
4. Controlling- concerned with monitoring
employees’ activities, keeping the
organization on tract toward its goals, and
making corrections as needed.
Efficiency and Effectiveness
Efficiency is the use of nominal resources-
materials , money, and men/women-to
produce the desired volume of output.

Effectiveness is the degree to which the

organization achieves a stated goal.

Effectiveness is achieving the goals and

objectives of an organization.
Goal and Objectives
Goal is a desired future state that the organization
attempts to realize.

Objective is an instrumental means to arrive where

management wants the organization to go or a
specific target to achieve the goal.

Goal is a general statement of what is to be

accomplished, while objective is more specific,
quantifiable, and qualitatively benchmarking
target.
Managerial Roles
Role is a set of expectations from a person’s
behavior. Role is the expected behavior from
a person based on his/her demographic
profile.
Three categories of behavior and 10
Roles
1. Interpersonal
◦ Figurehead
◦ Perform ceremonial and symbolic duties of legal
and social nature such as greeting visitors,
officials or dignitaries, handling out awards of
recognition, signing documents, opening a
conference or meeting, handling out Christmas or
anniversary bonuses or tendering a party.
. Leader
Direct , motivate, and build relationship with
subordinates; train, counsel, coach, mentor, inspire, and
communicate with subordinates to achieve
organizational goals and vision.

 Liaison
Build and maintain network of contacts or information
links both inside and outside the organization; use
mail, phone calls, meetings,
2. Informational
 Monitor
Seek and receive information, scan periodicals, reports,
journals, other print and broadcast media, internet or
websites for issues and developments that affect the
organization; maintain environmental scanning and
personal contacts.
 Disseminator
Forward information to others in the organization, send
memos and reports, make phone calls; use telefax, email
and internet to transmit information affecting the
organization.

 Spokesperson
Transmits information to others through speeches, reports,
memos, e-mail, pres conference, print and broadcast
media.
3. Decisional
 Entrepreneur
Acts as initiator, conceptualizer, designer and champion
of change and innovation; trigger or identify innovative
ideas, programs, projects; create a team and delegate
responsibility to others.
 Disturbance Handler
Take corrective action during disputes or crises, resolve
conflicts among subordinates; adapt to environmental
crises.
 Resources Allocator
Decide who gets resources, how much, when and where;
schedule, budget, set priorities.
 Negotiator
Represent department or organization during
negotiation of union contrasts, sales, purchases,
budgets; represent department or organizational
interests in dealing with stakeholders.
 Figure 1.1 Organizational
Stakeholders

Employees Customers

Onions Social and Political

Action Group

Shareholders

Competitors
Organization

Communities
Trade and Industry
Association
Suppliers
Media Governments