The principle of Management• The concept of Management

According to Peter Drucker, the pioneer of management described management as ‘an objective function determined by tasks’.

According to him, management should be aimed towards performance. He perceived management as work that compromises skill sets, tools and techniques.

The term Management is used in various contexts where the term could refer to management as:

• A field of study with reference to managing business,• A team of people who lead organizations and • A process of planning , organising and leading activities for attaining goals and

objectives of an organisation or institution .

Various definitions of Management.

• W. Jack Duncan states, ‘ Management consists of all organisational activities that involve goal information and accomplishment, performance, appraisal and the development of an operating philosophy that ensure the organization’s survival within the social system’.

• The following three tasks have been added to his definition:• Goal formation. • Development of an operating philosophy and • Operation within the social system.

• The American Management Association (AMA) defines management as ‘guiding human and physical resources into dynamic organization units.

• Harold Koontz and Cyril O’ Donnell, in their book Essentials of Management, define Management as ‘ the creation and maintenance of an internal environment in an enterprise where individuals, working together in groups can perform efficiently and effectively towards the attainment of group goals.

Ethics in Management

• Ethics in management refers to the principles of right and wrong that govern the conduct of a profession. It also involves understanding the moral issues involved in the business and acting as per acceptable moral standards laid down by society and policy makers.

• In a competitive business scenario, management may face many difficult situations unethical decisions seem to become the apparent and answer to the problem, but modern business practices caution the management to refrain from unethical behaviour. Ethics in business is important for most types of organizations. But it is especially accounting firms, information providers and pharmaceutical and chemical companies.

Roles of Managers

• Henry Mintzberg had broadly identified some primary managerial roles which can be describes as follows:

1. Interpersonal Roles:

a. The figurehead role for performing social and cultural duties as the organisation’s representative.

b. The leadership role to lead and guide the employees to accomplish the goals and mission of the company while ethical practices.

c. The liaison role to communicate and negotiate with different parties concerned with the business in order to achieve the set goals.

Roles of Managers

2. Informational Roles:

a. The recipient role involves receiving and reviewing information about operations.

b. The communicator’s role involves passing relevant information to all in the organisation for a better understanding of tasks and functions.

c. The spokesperson role compromises providing relevant information to use outside the organisation to enhance the clarity and transparence.

Roles of Managers 3. Decisional Roles:

a. The entrepreneurial role to create a sense of enthusiasm and encourage innovation in the organisation.

b. In the trouble-shooter role, where the managers attempts to ensure smooth functioning of the operations.

c. The planner role involves organizing and allocating resources.

d. The negotiator role involves dealing with the problems in the organization to ensure its smooth functioning.

Management v/s. Administration

• Oliver Sheldon was the first to differentiate between the Management and Administration in 1923.

• According to him, ‘Administration is the function concerned the with the determine of corporate policy, co-ordination of finance, production and distribution, whereas management is concerned with the execution of policy within the limits set up by the administration’.

• Kimball and Kimball • According to him, ‘Management is a generic term with wide functions including

administration, which is a narrow function’. Another Management expert Edward Brech also said, ‘Administration is the part of management which is concerned with carrying out of procedures by which the programmer is laid down and communicated and the progress of activity is regulated and checked by the plans.