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    Fundamental of Management Mgt162

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    HafeezAbdullah
    This document defines management and provides an overview of management concepts discussed in Chapter 1 of a fundamentals of management textbook. It defines management as the process of planning, organizing, leading, and controlling resources to achieve organizational goals. It also defines organizations as groups that work together toward common goals and managers as those responsible for administering organizational resources. Additionally, it discusses why organizations are needed, the management process, managerial levels and skills, ways to measure managerial performance, and managerial roles.

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    Fundamental of Management Mgt162

    Uploaded by

    HafeezAbdullah
    424 views5 pages
    This document defines management and provides an overview of management concepts discussed in Chapter 1 of a fundamentals of management textbook. It defines management as the process of planning, organizing, leading, and controlling resources to achieve organizational goals. It also defines organizations as groups that work together toward common goals and managers as those responsible for administering organizational resources. Additionally, it discusses why organizations are needed, the management process, managerial levels and skills, ways to measure managerial performance, and managerial roles.

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    Mgt162

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    This document defines management and provides an overview of management concepts discussed in Chapter 1 of a fundamentals of management textbook. It defines management as the process of planning, organizing, leading, and controlling resources to achieve organizational goals. It also defines organizations as groups that work together toward common goals and managers as those responsible for administering organizational resources. Additionally, it discusses why organizations are needed, the management process, managerial levels and skills, ways to measure managerial performance, and managerial roles.

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Download as pdf or txt
    424 views5 pages

    Fundamental of Management Mgt162

    Uploaded by

    HafeezAbdullah
    This document defines management and provides an overview of management concepts discussed in Chapter 1 of a fundamentals of management textbook. It defines management as the process of planning, organizing, leading, and controlling resources to achieve organizational goals. It also defines organizations as groups that work together toward common goals and managers as those responsible for administering organizational resources. Additionally, it discusses why organizations are needed, the management process, managerial levels and skills, ways to measure managerial performance, and managerial roles.

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    © All Rights Reserved
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    Download as pdf or txt
    of 5

    5/8/2012

    Definition Of Management
    FUNDAMENTAL OF MANAGEMENT
    (MGT162)
    CHAPTER 1 (part 1): INTRODUCTION TO
    MANAGEMENT

    The process of administering and coordinating resources

    effectively, efficiently, and in an effort to achieve the goals of


    the organization (Lewis)
    The process of planning, organizing, leading & controlling
    that encompasses human, material, financial & information
    resources in an organizational environment(Holt)
    The process of planning, organizing, leading & controlling
    the efforts of an organization members & of using all other
    organizational resources to achieve stated organizational
    goals(Stoner)

    Definition of Organization & Manager

    Why do we need an organization?

    Organization
    A group of individuals who work together toward common goals
    (Lewis)
    The structure of relationships that exits when 2 or more people
    mutually cooperates to pursue common objectives (Holt)
    An organization is a social unit in which 2 or more people
    interact to achieve a common goal or a set of goals (Stone)
    Manager
    An organizational member who is responsible for planning,
    organizing, leading and controlling the activities of the
    organization so that its goals are achieved (Lewis)

    1.
    o
    o
    2.
    o
    o

    Accomplish objectives
    To help us to achieve our objectives
    E.g.You come to UiTM to study & obtain a diploma
    Preserve knowledge
    Organization is also needed because it is a place where
    knowledge / information is preserved.
    E.g. To know about our countrys history, we can go to
    museum.

    5/8/2012

    Planning

    Why do we need an organization?


    Serve society
    Organization is also needed to serve society
    o E.g. We can always go to hospitals or clinics if we are not
    feeling well or if we have certain illnesses
    4. Provide Careers
    o Organization also provide us with career opportunities.
    E.g. Some of us works in banks, others in some other
    organizations. Those organizations provide individuals a
    place to go for work & earn salary every month.
    3.

    Organizing

    Performance can be measured by looking at 2 criteria


    1. Performance efficiency (doing right things)
    The ability to do the things right
    An efficient manager is a manager who can achieve
    outputs/results as expected. Managers who are able to utilize &
    minimize the cost of resources such as staff, finance, equipment
    & raw materials.
    2. Performance effectiveness (doing the right things)
    The ability to choose the right goals
    E.g. If the demand in the market for cars are small, compact &
    economical cars, but the manager chooses to produce &
    manufacture big, luxury & expensive cars, the manager is
    considered to be ineffective.

    GOALS

    Controlling

    Performance effectiveness & Performance efficiency


    as foundations for productivity &Managerial Success
    High

    Goals Attainment (achieve/not)


    -Effectiveness

    Measuring Managerial Performance

    Communication
    Leading

    Low
    Poor

    Effective but not efficient. Some


    resources are wasted.

    Effective and efficient. Goals are


    achieve & resources are well
    utilized, area of high
    productivity

    Neither effective nor efficient,


    Efficient but not effective. No
    goals are not achieved, resources wasted resources , but goals not
    wasted in the process
    achieved

    Resources Utilization (wasted/not)


    -Efficiency

    Good

    5/8/2012

    The Management Process

    Managerial Levels

    Management is a process that contains several functions. It comprises of the

    There are 3 levels of management :

    Planning

    Includes defining goals, establishing strategy & developing plans to coordinate


    activities

    Organizing

    Determine what tasks are to be done, who is to do them, how the task are to
    be grouped, who reports to whom & where decisions are to be made.

    Leading

    Includes motivating subordinates, directing others, selecting the most


    effective communication channels & resolving conflicts

    Controlling

    Monitoring activities to ensure that they are being accomplished as planned &
    correcting any significant deviations

    LEADS
    TO

    3 levels of management

    activities of Planning, Organizing, Leading & Controlling (POLC)

    Establish objective, policy & strategy, make


    long-term decisions. E.g. CEO , President

    Top
    managers

    Interpret top management directives into


    operating plans, make implementation
    decision. E.g. Marketing Manager, H.R.
    Manager

    Middle
    managers
    First-line
    managers/ Lower
    level manager
    Non-managerial
    personnel

    Direct & support work on non-managerial


    personnel , make short-term operating
    decision. E.g. clerk.

    Perform variety of task activities, using


    technical skills. E.g. driver.

    ACHIEVING THE ORGANIZATIONS STATED PURPOSE


    (GOALS/MISSIONS)

    Type of managers
    Manager

    By their level in
    the organization
    Top Mangers

    Responsible for a single area


    of activity. E.g. Finance
    Manager, Marketing Manager
    By the range of
    organization
    activities they are
    responsible
    Functional Mangers

    Middle Managers
    General Mangers
    First-line Managers

    Managerial Skills
    There are 3 basic skills required by managers :

    Technical skills (T)


    Ability to use the
    procedures, techniques &
    knowledge of a specialized
    field.
    E.g. accountant, a heart
    surgeon, & a civil
    engineer has a special
    knowledge relating to the
    specialize field.

    Human skills (H)


    Is a skill that gives a
    manager the ability to work
    effectively with other
    people. It includes the ability
    to motivate, understand,
    lead & communicate, which
    a manager needs throughout
    his work.

    Conceptual skills (C)


    They are mental capabilities
    that help managers see the
    whole enterprise as well as
    the relationships that exist
    among the various parts in
    the organization. This skill
    gives the manager the ability
    to coordinate & integrate the
    organizations interests and
    activities.

    Responsible for more complex units that


    include many functional areas of activity. E.g.
    Plant Manager

    5/8/2012

    Relative Skills needed for effective performance at


    different level of management

    Managerial Roles
    According to Henry Mintzberg , managers perform ten (10)

    Top
    managers
    Middle
    managers
    First-line
    managers/ Lower
    level manager

    different inter-related roles in the organization

    C
    H

    Interpersonal roles
    Informational roles
    3. Decisional roles
    1.

    2.

    Managerial Roles

    Interpersonal roles

    Informational roles

    Interpersonal roles (help manager in managing the

    Informational roles (assists the manager in receiving &

    organization smoothly)
    Figurehead : A department head performing ceremonial
    duties like greeting visitors, signing legal documents.
    Leader : A person who is responsible for hiring, training &
    motivating subordinates in the organization.
    Liaison : A person who perform & interacts with other
    people outside the organization.

    communicating the information to make the right decision)


    Monitor : Manager continuously seeks information that can

    be used to advantage.
    Disseminator : Information received internally or externally

    will be transmitted to the subordinates.


    Spokesperson : Information will be transmitted to people

    outside the organization or unit.

    5/8/2012

    Decisional roles
    Decisional roles (assists managers in making decisions that

    solve problem or analyze & take advantage of opportunities)

    Entrepreneur : Manager tries to improve the unit & initiate

    the changes.

    END OF CHAPTER 1 PART 1


    Write by : Nurfaizah Sahimi

    Disturbance handler : Manager is responsible for corrective

    actions when the organization faces important, unexpected


    disturbances.
    Resource allocator : Manager is responsible in allocating the
    resources of the organization.
    Negotiator : Manager is responsible for representing the
    organization at major negotiations.

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