Module 1: Management

Meaning of Management
Management is the process of efficiently utilizing human and material resources to
achieve an organization's objectives. It focuses on planning, organizing, directing, and
controlling resources to ensure goals are met effectively.

Definitions of Management

1. F.W. Taylor:
"Management is the art of knowing what to do, when to do, and ensuring it is
done in the best and cheapest way."

2. Mary Parker Follett:

3. George R. Terry:
"Management is a process of planning, organizing, actuating, and controlling to
determine and accomplish objectives through people and resources."

4. Harold Koontz:
"Management is the art of creating an environment in which people can perform
and individuals and groups can achieve their goals."

5. Henri Fayol:
"Management involves forecasting, planning, organizing, commanding,
coordinating, and controlling."

Features of Management

1. Goal-Oriented:
Management always aims to achieve pre-defined organizational goals, such as
customer satisfaction or profitability.

2. Integration of Resources:
It harmonizes human, physical, and financial resources to work together
efficiently.

3. Continuous Process:
Management is ongoing and involves constant problem-solving and adaptation.

4. Pervasive Function:
Management applies to all organizations—businesses, governments, or social
institutions—irrespective of size or type.
 5. Group Activity:
Management focuses on collective efforts rather than individual
accomplishments.

6. Social Process:
Management deals with human beings, making social interaction and behavior
critical elements.

7. Situational:
Decisions and strategies vary depending on circumstances, requiring flexibility.

8. Multi-Disciplinary:
It draws knowledge from various fields like psychology, sociology, economics,
and mathematics.

9. Both Science and Art:

10. Intangible:
The presence of management is felt through results, as it cannot be physically
seen.

Levels of Management

1. Top-Level Management:

o Includes: Board of Directors, Chief Executive Officers (CEOs).

o Responsibilities:

▪ Formulating policies and strategies.

▪ Coordinating and controlling activities.

▪ Maintaining external relations.

▪ Ensuring organizational growth and stability.

2. Middle-Level Management:

o Includes: Departmental Heads, Branch Managers.

o Responsibilities:

▪ Translating policies into operational plans.

▪ Coordinating between top and lower management.

3. Lower-Level Management:

o Includes: Supervisors, Foremen, Section Officers.

o Responsibilities:

▪ Directing workers.

▪ Addressing grievances.

▪ Ensuring quality and productivity.

▪ Providing on-the-job training.

Functions of Management

1. Planning:

o Deciding what to do, how to do it, and who will do it.

o Steps:

▪ Setting objectives.

▪ Establishing premises (internal and external factors).

▪ Identifying alternatives.

▪ Evaluating and choosing the best course of action.

▪ Follow-up to ensure plans are effective.

2. Organizing:

o Coordinating resources and activities to achieve objectives.

o Key Steps:

▪ Identifying activities.

▪ Grouping tasks into departments.

▪ Assigning responsibilities.

▪ Establishing authority and hierarchy.

3. Staffing:

o Acquiring and developing human resources.

o Involves:
 ▪ Workforce planning.

▪ Recruitment and selection.

▪ Training and development.

▪ Performance appraisal.

▪ Determining compensation and benefits.

4. Directing:

o Guiding and motivating employees to perform effectively.

o Key Elements:

▪ Leadership: Influencing team behavior.

▪ Communication: Ensuring clarity of instructions.

▪ Motivation: Encouraging high performance.

▪ Supervision: Overseeing work progress.

5. Controlling:

o Monitoring activities to ensure alignment with plans.

o Steps:

▪ Setting performance standards.

▪ Measuring actual performance.

▪ Comparing results with standards.

▪ Taking corrective actions as needed.

Objectives of Management

1. Efficient Use of Resources:

2. Customer Satisfaction:
Deliver quality goods and services to meet customer needs.

3. Profit Maximization:
Achieve reasonable returns on investments.

4. Employee Satisfaction:
Ensure fair wages, good working conditions, and job security.
5. Good Supplier Relations:
Foster partnerships with suppliers to ensure smooth operations.

6. National Contribution:
Contribute to national development by optimizing resource use.