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Issue # 1 Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved Principles of Management / BSG – 201 Introduction to Principles and Functions of Management (Text Book Chapters – 1 & 2) 1 1

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Page 1: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201

Introduction to Principles and Functions of

Management

(Text Book Chapters – 1 & 2)

1

1

Page 2: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201

Contents

Management: Meaning, Principles and Functions of Management.

Different Schools of Management and Management Thought.

2

Page 3: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 3

Management Is…

Effectiveness

EfficiencyGetting workdone through

others

Page 4: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 4

Efficiency and

Effectiveness

Page 5: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 5

Principles of Management –

F.W. Taylor

Develop a science for each element of a man’s work,which replaces the old rule-of-thumb method.

Scientifically select and then train, teach, and develop the workmen.

Cooperate with the men to insure all work is done inaccordance with the principles of the science.

There is almost equal division of the work and theresponsibility between management and workmen.

Page 6: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 6

Time & Motion Studies:

Frank & Lillian Gilbreth

Time StudyTiming how long it takes good workers to complete each part of their jobs.

Motion StudyBreaking each task into its separatemotions and then eliminating those that are unnecessary or repetitive.

Page 7: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 7

14 Principles of Management

– Henry Fayol

1. Division of Work: allows for job specialization. Work should be divided among individuals and groups.2. Authority and Responsibility: Authority right to give orders. Responsibility involves being answerable Whoever assumes authority assumes responsibility3. Discipline: Common efforts of workers. Penalties4. Unity of Command: Employees should have only one boss.5. Unity of Direction: A single plan of action to guide the organization.6. Subordination of individual interests to the general interests of organization

Page 8: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 8

14 Principles of Management

– Henry Fayol

7. Remuneration: An equitable uniform payment system that motivates and contribute to success.8. Centralization: The degree to which authority rests at the top of the organization.9. Scalar Chain: Chain like authority scale.10. Order: The arrangement of employees where they will be of the most value to the organization.11. Equity: The provision of justice and fair dealing 12. Stability of Tenure of Personnel13. Initiative14. Esprit de corps: Harmony, general good feeling among employees

Page 9: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 9

Functions of

Management

Page 10: Intro to Mngt

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Principles of Management / BSG – 201 10

Planning and

Decision Making

Defining goals, establishing strategy and developing sub plans to choose alternatives and coordinate activities

Page 11: Intro to Mngt

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Principles of Management / BSG – 201 11

Organizing

• Deciding where decisions will be made

• Who will do what jobs and tasks

• Who will work for whom

Page 12: Intro to Mngt

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Principles of Management / BSG – 201 12

Leading

Motivating

Inspiring

LeadingLeading

Page 13: Intro to Mngt

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Principles of Management / BSG – 201 13

Controlling

Monitoring progress towards goal achievement and taking corrective action when needed

Page 14: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 14

Levels and Areas

of Management

Marketi

ng

Administrat

ion

Other

Human re

source

s

Operatio

ns

Finance

Middle managers

Areas of Management

Levels of Management

First-line managers

Top managers

Page 15: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 15

Role of Top Managers

Creating a context for change

Developing commitmentand ownership in employees

Creating a positive organizational culture through language and action

Monitoring their business environments

Page 16: Intro to Mngt

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Principles of Management / BSG – 201 16

What Middle Managers Do?

Coordinate and link groups, departments, and divisions

Monitor and manage the performance of subunits and managers who report to them

Implement changes or strategies generated by top managers

Plan and allocate resources to meet objectives

Page 17: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 17

Responsibilities of

First-Line Managers

Manage the performance of entry-level employees

Encourage, monitor, and reward the performance of workers

Teach entry-level employees how to do

their jobs

Make detailed schedules and operating plans

Page 18: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 18

Managerial Roles

H. Mintzberg, “The Manager’s Job: Folklore and Fact:.” Harvard Business Review, July-August 1975.

Adapted from Exhibit 1.4

Interpersonal Informational DecisionalFigurehead

Leader

Liaison

Monitor

Disseminator

Spokesperson

Entrepreneur

Disturbance Handler

Resource Allocator

Negotiator

Page 19: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 19

Managerial Skills

Technical Skills Human Skills

Conceptual Skills

Motivation to

Manage

Page 20: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 20

Managerial Challenges:

Chapter 1, Stephen P. Robbins, Mary Coulter, and Nancy Langton, Management, Eighth Canadian Edition.Copyright © 2005 Pearson Education Canada Inc.

Ethics

MANAGER

E-Business

Globalization

Diversity

Customers

Innovation

KnowledgeManagement

Page 21: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 21

History: Schools of

Management Thought (start)

Traditional Traditional ViewpointViewpoint

Behavioral Behavioral ViewpointViewpoint

Systems Systems ViewpointViewpoint

Contingency Contingency ViewpointViewpoint

Quality Quality ViewpointViewpoint

19001900 19101910 19201920 19301930 19401940 19501950 19601960 19701970 19801980 19901990 20002000

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Principles of Management / BSG – 201 22

Traditional Viewpoint

Goals:Efficiency

Consistency

Administrative Management

Bureaucratic Management

ScientificManagement

Page 23: Intro to Mngt

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Principles of Management / BSG – 201 23

Characteristics of

Bureaucratic Management

Rules—formal guidelines for the behavior of employees on the job

Impersonality—employees are evaluated according to rules and objective data

Division of Labor—splitting work into specialized positions

Page 24: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 24

What is Scientific

Management?

Page 25: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 25

Administrative

Management

Fourteen Principles of Management given by Henry Fayol

Page 26: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 26

What is Behavioral

ViewpointFocuses on dealing effectively with the

human aspects of organizations

Started in the 1930’s

Emphasis on working conditions

Workers wanted respect

Workers formed unions to bargain with management

Page 27: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 27

Systems View of

Organizations

Page 28: Intro to Mngt

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Principles of Management / BSG – 201 28

What is Contingency

Approach?Problem or Situation

Solution or Action B

Solution or Action A

SSolution or Action C

Important Contingencies

Source: Van Fleet, David D., Contemporary Management, Second Edition. Copyright © 1991 by Houghton Mifflin Company.

Page 29: Intro to Mngt

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Principles of Management / BSG – 201 29

Quality Approach:

Lower Costs and Higher

Market Share

PositiveCompany

Image

DecreasedProduct Liability Quality

Page 30: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 30

Islamic Management

Perspective:

1. Work is an act of Worship

2. Work as Trust – Amana

3. Discipline

4. Reliance on Own Self

5. Proper placement depending upon Skills & Talent

6. Fairness and Proper Treatment of Employees

7. Quality – Itqan

8. Consultative and decision making skills – Shura

Page 31: Intro to Mngt

Issue # 1Copyright ©2007 by South-Western, a division of Thomson Learning. All rights reserved - Edited by Dr. Naseer Khan

Principles of Management / BSG – 201 31

Thank You