Unit 1: Management
MANAGEMENT
Management is the process of planning, organizing, directing, and controlling the resources of an organization to achieve goals efficiently and effectively.
Management means getting things done through people using available resources like money, machines, materials, time, and technology.
Definition of Management
Some popular definitions:
By F.W. Taylor
“Management is the art of knowing what you want to do and then seeing that it is done in the best and cheapest way.”
By Henry Fayol
“To manage is to forecast and plan, organize, command, coordinate, and control.”
General Definition
Management is a continuous process of planning, organizing, staffing, directing, and controlling organizational activities to achieve desired objectives.
Need for Management
Management is needed because:
- Achieves goals in a systematic way
- Efficient use of resources
- Maintains discipline and coordination
- Improves productivity
- Helps in decision-making
- Ensures innovation and growth
- Handles competition and changes
- Creates good working environment
Scope of Management
Scope means “areas covered by management”.
Major areas:
| Area | Explanation |
|---|---|
| Planning | Setting goals, strategies |
| Organizing | Allocating tasks, resources |
| Staffing | Recruitment, training, development |
| Directing | Motivating, leading employees |
| Controlling | Monitoring performance |
| Coordination | Bringing all departments together |
| Communication | Flow of information |
| Decision Making | Choosing best alternative |
| Innovation | Adapting to technology and market changes |
The Process of Management
Management process consists of five major functions.
1. Planning
- Deciding what to do in future
- Setting goals and strategies
2. Organizing
- Assigning work
- Creating structure
- Allocating resources
3. Staffing
- Recruitment, selection
- Training and development
- Performance appraisal
4. Directing
- Guiding and motivating employees
- Leadership and communication
5. Controlling
- Comparing actual vs planned performance
- Taking corrective actions
Development of Management Thought
Management theories evolved over many years.
A. Scientific Management — F.W. Taylor
F.W. Taylor is known as the Father of Scientific Management.
Principles:
- Science, not rule of thumb
- Harmony, not discord
- Cooperation, not individualism
- Maximum output
- Development of each worker
Techniques introduced:
- Time Study
- Motion Study
- Standardization of tools
- Differential Piece Rate System
B. Administrative Management — Henry Fayol
Henry Fayol is known as the Father of Modern Management.
14 Principles of Management:
- Division of Work
- Authority and Responsibility
- Discipline
- Unity of Command
- Unity of Direction
- Subordination of Individual Interest
- Remuneration
- Centralization
- Scalar Chain
- Order
- Equity
- Stability of Tenure
- Initiative
- Esprit de Corps (Team Spirit)
C. Hawthorne Studies (Elton Mayo)
Conducted at Western Electric Company, Hawthorne plant (USA).
Major Findings:
- Human relations are important
- Workers work better when they feel valued
- Informal groups influence productivity
- Leadership and communication improve performance
Conclusion
Productivity depends not only on machines and methods, but also on:
- Motivation
- Group behavior
- Personal relations
Qualities of an Efficient Manager
An efficient manager must have:
| Quality | Explanation |
|---|---|
| Leadership | Ability to guide and influence team |
| Communication skill | Clear verbal & written communication |
| Decision-making ability | Choosing correct alternatives |
| Technical knowledge | Understanding of work and processes |
| Human skills | Understanding people, motivation |
| Integrity | Honesty and ethics |
| Time management | Completing tasks on time |
| Confidence | Self-belief |
| Problem-solving skill | Handling challenges effectively |
| Team-building skill | Creating cooperation among employees |
Quick Revision (Short Notes)
- Management = Getting work done effectively
- Need → achieves goals, saves resources, improves productivity
- Scope → planning, organizing, staffing, directing, controlling
- Taylor = scientific management, time & motion study
- Fayol = 14 principles of management
- Hawthorne = importance of human relations
- Good manager = leadership, communication, decision-making, honesty