Unit 1 Introduction to Managers and Management

1. Introduction
Management is a vital aspect of organizational success. It involves
coordinating and overseeing the activities of individuals within an
organization to achieve specific goals efficiently and effectively.

2. Definition of Management
Management can be defined as the process of planning, organizing,
leading, and controlling resources (human, financial, material) to
achieve organizational goals.

3. Role of Management
The role of management is multifaceted and includes:
 Setting goals and objectives
 Planning strategies to achieve these goals
 Organizing resources effectively
 Leading and motivating employees
 Controlling and evaluating performance
 Making decisions and problem-solving

4. Functions of Managers
Managers perform various functions:
 Planning: Setting goals and devising strategies to achieve them.
 Organizing: Structuring resources and tasks.
 Leading: Guiding and motivating employees.
 Controlling: Monitoring performance and taking corrective
actions.
5. Levels of Management
There are typically three levels of management:
 Top Management: Responsible for setting overall direction and
goals.
 Middle Management: Coordinates activities between top and
lower levels.
 Frontline Management: Directly supervises employees and
operations.

6. Management Skills and Organizational Hierarchy

Management skills include:
 Technical skills: Expertise in a specific area.
 Human skills: Ability to work effectively with people.
 Conceptual skills: Capacity to understand complex situations
and make decisions.
Organizational hierarchy refers to the structure of authority within an
organization, indicating the chain of command and reporting
relationships.

7. Social and Ethical Responsibilities of Management

a. Arguments for and against Social Responsibilities of Business
Arguments for social responsibility include:
 Enhanced reputation and brand image
 Improved employee morale and motivation
 Positive impact on society and environment
 Arguments against social responsibility include:
 Focus on profit maximization
 Potential conflicts with shareholders' interests
 Increased costs
b. Social Stakeholders
Social stakeholders are individuals or groups affected by an
organization's actions, including employees, customers, suppliers,
communities, and the environment.

c. Measuring Social Responsiveness and Managerial Ethics

Social responsiveness can be measured through various indicators
such as CSR (Corporate Social Responsibility) reports, stakeholder
engagement, and sustainability initiatives.

Managerial ethics involves making decisions based on moral

principles and values. Ethical dilemmas may arise when there is a
conflict between personal interests and organizational goals.

d. Omnipotent and Symbolic View

The omnipotent view suggests that managers have significant control
over organizational outcomes, while the symbolic view implies that
external factors, such as the economy and market conditions, have a
more substantial influence.

e. Characteristics and Importance of Organizational Culture

Organizational culture refers to shared values, beliefs, and norms
within an organization. It influences employee behavior, decision-
making, and organizational performance.
f. Relevance of Political, Legal, Economic, and Cultural
Environments to Global Business
Global businesses must consider various factors, including political
stability, legal regulations, economic conditions, and cultural
differences when operating in different countries. These factors
impact market entry strategies, operations, and overall success.

g. Structures and Techniques Organizations Use as They Go

International
Organizations may adopt various structures and techniques when
expanding internationally, including:
 Global, multidivisional, or matrix structures
 Joint ventures, mergers, acquisitions
 Localization or adaptation of products and services
 Cross-cultural training for employees

Examples:
Social Responsibility: Patagonia's commitment to environmental
sustainability and fair labor practices.
Managerial Ethics: The Enron scandal, where executives engaged in
fraudulent accounting practices.
Organizational Culture: Google's emphasis on innovation, employee
autonomy, and a casual work environment.
Global Business Environment: McDonald's adapting its menu to suit
local tastes and cultural preferences in different countries.
Structures and Techniques: Toyota's use of lean manufacturing
principles across its global operations to enhance efficiency and
quality.
In conclusion, effective management is essential for organizational
success, encompassing various functions, levels, skills, and ethical
responsibilities. Managers must navigate complex social, ethical, and
global environments while ensuring alignment with organizational
goals and values.
Unit 2
Planning: Nature & Purpose

1. Nature of Planning
 Planning involves setting objectives, identifying actions to
achieve them, and allocating resources effectively.
 It is a systematic and future-oriented process aimed at achieving
organizational goals.
 Planning is continuous and involves making decisions in
advance.

2. Purpose of Planning
 Provides a framework for decision-making and action.
 Helps in goal setting and resource allocation.
 Improves coordination and control within the organization.
 Enhances organizational efficiency and effectiveness.

Steps involved in Planning

1. Establishing Objectives
 Defining specific, measurable, achievable, relevant, and time-
bound goals.
 Objectives serve as benchmarks for evaluating performance.

2. Identifying Actions
 Determining the tasks and activities required to achieve
objectives.
 Allocating resources such as manpower, finances, and materials.
3. Formulating Strategies
 Developing plans and approaches to accomplish objectives.
 Considering alternative courses of action and selecting the most
suitable strategy.

4. Implementing Plans
 Putting plans into action through delegation, coordination, and
supervision.
 Ensuring that resources are utilized effectively to achieve
desired outcomes.

5. Monitoring and Controlling

 Evaluating progress against objectives.
 Taking corrective actions if deviations occur.
 Adjusting plans based on changing circumstances.

Objectives: Setting Objectives

Objectives should be SMART:
 Specific: Clearly defined and focused.
 Measurable: Quantifiable and observable.
 Achievable: Realistic and attainable.
 Relevant: Aligned with organizational goals.
 Time-bound: Have a specific timeframe for achievement.
Process of Managing by Objectives (MBO)
 Involves setting clear objectives for individuals or teams.
 Establishing performance standards and measures.
 Monitoring progress and providing feedback.
 Linking individual goals with organizational objectives.

Strategies, Policies & Planning Premises

1. Strategies
 Long-term plans designed to achieve organizational goals.
 Include decisions on resource allocation, market positioning,
and competitive advantage.
2. Policies
 Guidelines or rules governing organizational behavior and
decision-making.
 Provide consistency and direction in decision-making.
3. Planning Premises
 Assumptions about future conditions and events.
 Form the basis for planning and decision-making.

Competitor Intelligence
 Gathering information about competitors' strategies, strengths,
and weaknesses.
 Helps in identifying market trends, opportunities, and threats.
 Enables organizations to develop competitive strategies.
Benchmarking
 Comparing organizational processes, performance, and practices
with industry standards or best practices.
 Identifying areas for improvement and implementing changes to
enhance competitiveness.

Forecasting
Predicting future trends and events based on historical data and
analysis.
Helps in planning and decision-making by anticipating changes
and uncertainties.

Directing: Scope, Human Factors

1. Scope of Directing
 Involves guiding and influencing employees to achieve
organizational objectives.
 Includes communication, motivation, leadership, and
supervision.
2. Human Factors
 Recognizing the importance of human behavior and psychology
in directing employees.
 Understanding individual differences, motivations, and needs.

Creativity and Innovation

 Encouraging employees to generate new ideas and solutions.
 Fostering a culture that values experimentation and risk-taking.
Harmonizing Objectives
 Aligning individual and organizational goals to ensure mutual
compatibility and support.
 Resolving conflicts and promoting cooperation among
stakeholders.

Leadership: Types of Leadership

1. Directing
 Providing guidance and instructions to employees.
 Setting expectations and clarifying goals.
2. Managers as Leaders
 Managers play a crucial role in motivating and inspiring
employees.
 Leading by example and fostering a positive work environment.

Early Leadership Theories

1. Trait Theories
 Focus on identifying personal characteristics or traits associated
with effective leadership.
 Traits include intelligence, confidence, integrity, and
decisiveness.
2. Behavioral Theories
 Emphasize the behaviors and actions of leaders rather than their
traits.
 Differentiate between task-oriented and people-oriented
leadership styles.
3. Managerial Grid
 Classifies leadership styles based on concern for production and
concern for people.
 Identifies five leadership styles, including team leadership and
country club leadership.
4. Contingency Theories of Leadership
 Suggest that effective leadership depends on situational factors
such as the task, followers, and environment.
 Examples include Fiedler's Contingency Model and Hersey-
Blanchard's Situational Leadership Theory.
5. Path-Goal Theory
 Focuses on the leader's role in clarifying goals, removing
obstacles, and providing support to achieve objectives.
 Identifies different leadership styles based on the needs and
characteristics of followers.

Contemporary Views of Leadership

 Emphasize the importance of adaptive leadership in complex
and dynamic environments.
 Highlight the role of emotional intelligence, resilience, and
ethical leadership.

Cross-Cultural Leadership
 Recognizes the influence of cultural differences on leadership
styles and practices.
 Requires leaders to adapt their approach when working with
diverse teams and stakeholders.
Leadership Training
 Provides managers with the knowledge, skills, and tools to
effectively lead and motivate employees.
 Focuses on communication, decision-making, conflict
resolution, and team building.

Substitutes of Leadership
 Factors that can mitigate the need for direct leadership, such as
employee experience, task structure, and technology.
 Can reduce the impact of ineffective leadership on
organizational outcomes.

In conclusion, planning and directing are essential functions of

management that involve setting objectives, formulating strategies,
guiding employees, and fostering innovation and leadership. Effective
planning ensures organizational success by aligning actions with
objectives and adapting to changing conditions. Directing involves
motivating, communicating, and influencing employees to achieve
desired outcomes while recognizing the importance of human factors
and cultural differences. Leadership plays a critical role in directing
organizational efforts, with various theories and approaches
highlighting the traits, behaviors, and situational factors associated
with effective leadership.