Principle of Management

Directing
 Definition
• Managerial function of instructing, guiding,
supervising, inspiring & influencing people towards the
accomplishment of predetermined objectives.

• Putting plans into action.

• It Includes making assignments, explaining procedure,

seeing that mistakes are corrected providing on the job
instruction, & issuing order.

• It is a complex and practice-based function

 Nature of Directing
• Dynamic function:

• Universal function:

• Continuous function:

• Performance-Oriented function:

• Involves human factor

• Complex function
 Importance
• It initiates action.

• It helps in getting maximum out of individual.

• It integrates individual efforts.

• It facilitates change in the organization.

• It ensures stability and balance in the

organization.
 Principles of Directing
• Harmony of Objectives:

• Unity of Command:

• Direct Supervision:

• Management Communication :

• Individual Contribution:

• Effective Leadership:

• Efficient Motivation:

• Strategic use of informal organization:

 Motivation
• Motivation derived from the word ‘motive’.

• A ‘motive’ is an inner state that activates,

energizes or moves an individual &
channelizes his behavior towards goals.

• Motivation means a process of stimulating

people to action to accomplish desired goals.
 Characteristics of Motivation
• Psychological concept

• Dynamic process

• Continuous process

• Complex & difficult function

• Circular process

• Different from satisfaction

 Importance of Motivation
• Higher efficiency

• Low absenteeism & turnover

• Facilitates change

• Harmonious human relations

• Better corporate image

 Maslow’s Need Hierarchy Theory
• Abraham H. Maslow, an American psychologist developed this
theory

• The main points are:

– Man is a perpetually wanting animal & his needs are never fully
satisfied. As soon as one need is satisfied, another takes place.
– Human needs differ in importance and can be arranged in a series of
levels i.e, hierarchy
– Needs at a particular level on the hierarchy emerge only when the
lower-level needs are reasonably well-satisfied.
– Satisfied needs do not motivate behavior.
– The lower order needs are more finite than the higher level needs.
 Maslow’s Need Hierarchy
Theory(Cont.)
• According to Maslow human needs can be classified into five
categories:
– Physiological Needs: Needs that are essential for survival like food,
drink, air, sleep, clothing, shelter,etc.
– Safety Needs: Physical safety(protection against murder, fire, accident,
etc.) & Economic safety(protection against unemployment, theft,
sickness, disability, etc.)
– Social Needs: Acceptance & association in social groups i.e, affection,
friendship, etc.
– Ego needs: Self-Esteem(self respect, self-confidence, independence,
etc.) & Esteem of others(recognition, status, power, prestige, etc.)
– Self-actualization Needs: Realizing one’s full potential. Self- fulfillment
Maslow’s Need Hierarchy
Theory(Cont.)
 Maslow’s Need Hierarchy
Theory(Cont.)
Advantages:
– Helpful in analyzing & understanding human behavior
– Explain why people behaves differently in the same situation.
– Extends to all areas of human life & is not limited to the work situation
only.
– Complete theory of motivation & explain motivation of teachers,
ministers and other groups.
Disadvantages:
– Fails to explain the phenomenon of multiple motivation.
– The need priority order in all cases cant be same. It varies from
person-to-person.
– Movement in the need hierarchy is not always upward.
– The same need may cause different types of behavior.
McGregor’s Theory X and Theory Y
Douglas McGregor formulated two sets of assumptions regarding human
Behavior:-
Theory X:
Traditional or conventional approach to motivation & makes negative
assumption about people -
- Average human being is by nature lazy & will work as little as possible
- Average person lacks ambition, dislikes responsibility & prefer to be led.
- Average person is self-centered & indifferent to organizational goals .
- Average person is by nature resistant to change & wants security above
all.
- Average person lacks ambition, dislikes responsibility & prefer to be led.
- Average human being is not very bright.
McGregor’s Theory X and Theory Y
(Cont.)
Approach to Theory X:
- Hard approach is applied by providing close supervision, centralized
structure and tight controls.
- Management is responsible for organizing the factors of production like
money, material, equipment, machines, etc.
- Management involves directing and modifying efforts & behavior of
employees to fit needs of organization.
-Without intervention of management, people would be passive and even
resistant. They must be persuaded, rewarded, punished and controlled
them to put their efforts.
McGregor’s Theory X and Theory Y
(Cont.)
Theory Y:
The theory X assumptions are not a true representation of human nature and
hence following assumption about people proposed-
- Average human being doesn’t inherently dislikes work
- People will exercise self-direction and self control towards organizational
goals .
- Average person learns under proper working conditions and also seek
responsibility.
- Average person doesn’t lacks ambition & is full of creativity.
- Average human being is not explored to their degree of imagination.
McGregor’s Theory X and Theory Y
(Cont.)
Approach to Theory Y:
-Management characterized by democratic leadership, participation in
decision-making, self control, management by objectives, job enrichment,
decentralization, etc.
- Employees are treated as mature, responsible and self-motivated
individuals.

Amalgamation of both theories may be more effective in practice than either

of the two alone.
Theory X is more relevant for people whose lower level needs are relatively
unfulfilled & Theory Y is more relevant for people whose lower level needs
are relatively more fulfilled.
 Herzberg’s Two Factor Theory
• This theory is based on study conducted by Frederick
Herzberg and his associates.
• There are 2 set of Factors which affects satisfaction
or dissatisfaction of employees.
• Some job conditions primarily dissatisfy employees
when they are absent but their presence does not
motivate them in a strong way.
• These two factors are:
– Hygiene/Maintenance Factors or dissatisfiers
– Motivational factor or Satisfiers
 Herzberg’s Two Factor Theory (C)
Maintenance Factors: There presence is necessary to avoid
dissatisfaction among employees. It includes:
- Company policy & administration
- Technical Supervision
- Interpersonal relations with superiors, subordinates & peers
- Proper working conditions
- Salary
- Job security
- Status
- Personal life

These factors are extrinsic to the job i.e, environment centered

 Herzberg’s Two Factor Theory (C)
Motivational Factors: There presence is necessary to provide
strong motivation to employees. It includes:
- Feeling of achievement
- Recognition
- Challenging work itself
- Advancement
- Increased responsibility
- Opportunity of growth

These factors are intrinsic to the job i.e, job centered

The personality of employees determine which factor he more desire

 Leadership
• Important element of directing

• Activity of influencing people to work for desired

objectives

• The leader is a person who influences the attitudes &

behavior while followers follow the leader

• Leadership is different from management

 Nature of Leadership
• Personal quality
• Dynamic
• Reciprocal relationship
• Essence of leadership is followership
• It is an art
• Continuous process
• It includes community interests
 Importance of Leadership
• Motivating(desire to achieve) employees
• Morale(spirit to work) building
• Creating confidence
• Coordination
• Facilitates change
• Goal setting
• Representation
 Leadership styles
1. Autocratic or authoritarian leadership: Leader takes all the decisions himself
without consulting followers. It is characterized by close supervision, rigid
control, one-way communication, centralized authority, unilateral decision
making i.e, Boss-centered leadership.
2. Paternalistic leadership: Autocratic control but consideration for the
subordinates. It is characterized by work-centered, encouragement to work,
fulfillment of some needs of the followers, provision of good working
environment, etc.
3. Participative or democratic leadership: Participative leader permits followers to
participate in decision making. It is characterized by mutual consent, group
decision making, two way communication, mutual respect, decentralization of
authority i.e, full democratic leadership.
4. Laissez-Faire or free-Rein leadership: Leader allow followers to establish their
own goals. It is characterized by full decentralization of authority, no leader
intervention, leader as passive observer i.e, permissive leadership.
Directing

End of topic