LESSON 1

REVIEW OF MANAGEMENT CONCEPTS

TOPICS: LEARNING OUTCOMES:

 Definition of Management At the end of the lesson,
 Efficiency and Effectiveness students must be able to:
 Functions of Management 1. Explain basic management
 Management Roles concepts.
 Management Skills 2. Differentiate efficiency and
effectiveness.
3. Discuss the five functions of
management.
4. Exhibit management roles and
skills.

Topic 1: Definition of Management

Management can be
considered as one of the most
important activities of human life.
Some people may not be aware, but,
management is practiced by everyone
every day. It may start from setting
personal goals and accomplishing
these at the end of the day. Below are
worth mentioning definitions of
management:
Henri Fayol: “Management is
conduct of affairs of business, moving towards its objective through a continuous
process of improvement and optimization of resources”.
Koontz: “Management is the process of designing and maintaining an
environment in which individuals, working together in groups, efficiently accomplish
selected aims”.
Mary Parker Follett: “Management is the art of getting things done through
people”.
Peter F. Drucker: “Management is work and as such it has its own skills, its own
tools and its own techniques”.
In general, management involves coordinating and overseeing the work activities
of others so that their activities are completed efficiently and effectively. It is the life
giving element of any organization.

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 Topic 2: Efficiency and Effectiveness

These two are one of the most common terms used in management and
business. Performance of businesses or organization may be measured using efficiency
and effectiveness. These two are different from each other but they are inseparable. To
be exact, a manager or business must be effective and efficient at the same time. There
should be a balance between the two, as
Peter Drucker stated, efficiency supports
profit and effectiveness may drive growth.
Efficiency is getting the most output
from the least amount of inputs in order to
minimize resource costs. It is often referred to
as “doing things right”. In simple terms, it is
achieving goals or outputs with minimized
resources and less waste as much as possible.
Effectiveness is completing activities
so that organizational goals are attained. It is
often described as “doing the right things”.
Thus, it is all about achieving what is supposed to be achieved.

Topic 3: Functions of Management

In this part, the significance

of the functions of management and Planning

how business organizations apply

them in their day-to-day operations
will be discussed. Remember that Controlling Organizing
these functions interact and support
each other. Failure in one function
will result to problems in other
functions.
Planning involves defining Leading Staffing
goals, establishing strategies for
achieving those goals, and
developing plans to integrate and coordinate activities.
Organizing involves arranging and structuring work to accomplish the
organization’s goals. It also includes provision of necessary resources (physical, financial
and human) needed by the organization to carry out its plans and achieve its objectives.
Staffing involves selection and acquiring the workforce needed by the
organization. It is all about “putting the right man, for the right job”.
Leading involves working with and through people to accomplish organizational
goals. Motivation is integral in this function. It deals with keeping all the human
resource in one path towards the set goals and objectives of the organization.
Controlling involves monitoring, comparing, and correcting work performance. It
includes identifying deviations and errors, then implementing corrective actions to
correct them.

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 As a figurehead, a manager has social, ceremonial and legal responsibilities. He is
expected to be a source of inspiration. His subordinates look up to him as a person with
authority.
As a leader, a manager must lead his department or the entire organization and
manage the performance and responsibilities of everyone in the group.
As a liaison, a manager must communicate with internal and external contacts.
He needs to be able to network effectively on behalf of the organization.
Informational roles include monitoring, disseminating, and spokesperson
activities. These roles focus on processing information.
Monitoring incorporates regular collection of information related to the
organization and industry and looking for relevant changes in the environment. A
manager must also monitor his team, in terms of both their productivity and their well-
being.
Disseminating involves communication potentially useful information to the
team and entire organization.
As a spokesperson, a manager must represent and speak for their organization.
He is responsible for transmitting information about the organization and its goals to
the external stakeholders.
Decisional roles include entrepreneur, disturbance handler, resource allocator,
and negotiator. These roles involve using information.
As an entrepreneur, a manager must create and control change within the
organization. This means solving problems, generating new ideas and implementing
them.
As a disturbance handler, a manager must take charge when his team or the
organization hits unexpected difficulties. He also needs to help mediate disputes within
it.
As a resource allocator, a manager needs to determine where organizational
resources are best applied. This involves allocating funding, as well as assigning staff and
other organizational resources.
As a negotiator, a manager must take part in and direct, important negotiations
within his team, department or organization.

Topic 5: Management Skills

Performing management roles will not be enough without the skills which
complement them. These skills are essential in utilizing management to the fullest and
reaping its benefits. These skills may be innate for some managers, but also can be
learned and acquired through experience and hard work.

•Job-specific knowledge and techniques needed to proficiently

perform specific tasks
Technical Skills •Managers must possess knowledge of the tasks performed by
his/her subordinates.

•The ability to work well with other people individually and in a

group.
Human Skills •It should be easy for a manager to approach and to be
approached by people around him/her.

•The ability to think and to conceptualize about abstract and

complex situations.
Conceptual Skills •These skills are needed in making strategic decisions for the
organization.

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ACTIVITY/ TASK

Answers on the activity/task shall be written on whole sheet/s of yellow paper

and must be submitted not later than the agreed deadline. Late submissions will not
be accepted and will result to a failing grade.

ESSAY: As a student, how will you apply the following in your day-to-day activities?
Please provide scenarios that will support your answers.
 Management
 Efficiency
 Effectiveness
 Management Roles
 Management Skills

ASSESSMENT

QUIZ: Identify whether the following implies efficiency or effectiveness. Write the
word “efficient” if the situation shows efficiency and “effective” if it shows
effectiveness. Write your answers on a ½ crosswise yellow paper.

1. Producing the quota for the day.

2. Saving 10% of the production cost.
3. Production with 0% waste
4. Utilizing an hour to accomplish numerous tasks
5. Finishing the product on time.
6. Producing product with exact specifications and details.
7. Purchasing ingredients lesser than the projected price.
8. Attaining the optimum number of outputs from inputs usually used
9. Manufacturing finished products above the target for the week
10. Submitting compliances exactly on the deadline

QUIZ: Read the case carefully before answering the following questions. Answers shall
be written on whole sheet/s of yellow paper and must be submitted not later than the
agreed deadline. Late submissions will not be accepted and will result to a failing
grade.

DIVOC Enterprises is a business that manufactures “face masks” in San Jose,

Occidental Mindoro. Its owner, Mr. Suriv, acts as the manager for the entire business
which is composed of 100 workers. As the manager, he ensures that the business
produces the quota of 10,0000 face masks per day. In doing so, the business ensures all
the ingredients are fully utilized and nothing is wasted. This practice helped the business
cut their expenses for ingredients. Aside from being the manager, he also acts as a
father and role model for his employees who look up to him. He makes decisions with
the consent of the group and disseminates information to all the members whenever
needed. He knows the tasks and responsibilities of each employee and work well with
them. With him as the manager, the business seems to have a brighter future.

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In answering the questions below, please cite the instances from the case above to
support your answers.

1. Is the business efficient?

2. Are they effective?
3. What are the management role/s performed by Mr. Suriv?
4. What are the management skill/s possessed by Mr. Suriv?

RUBRICS FOR WRITTEN OUTPUT

This criterion shall include the reliability and
ingenuity of the output. Its reliability shall be
Content evaluated based on the truthfulness, while 50%
ingenuity indicates the originality and creativity
of the incorporated ideas and concepts.
This criterion encompasses the ways how the
Organization of ideas and concepts are presented. Coherence
30%
Ideas and structure of the content are the focus of the
criterion.
Grammar & This criterion shall include the grammatical
20%
Mechanics correctness, format and use of punctuations.
TOTAL 100%