Unit-1 Management

CONCEPTS OF MANAGEMENT
• Management is the art of getting things done

through and with people in formally organized
groups.
• It is the art of creating an environment in which
people can perform as individuals and yet
cooperate towards the attainment of group goals.
• It is the art of removing blocks to such
performance, and a way of optimizing efficiency
in reaching goals.
Cont.
• Management involves a set of activities
directed at the efficient and effective
utilization of resources human. financial
and physical through planning,
organizing, leading and controlling
functions.
• It is based on economic resources, goals,
processes and authority.
THEORIES OF ADMINISTRATION AND MANAGEMENT
• There are several theories of Administration

and Management. the word "Theory" may
not be very correct to use at the present
stage of administration. Since the term
"Theory" is used because of its popularity.
Actually the systematic study and analysis of
organisation started in the later part of 19th
century and early 20th centuries.
Frederic Winslow Taylor (1857-1915).
• Taylor believed that the principle "best

management is a true science. The term
"Science" means a body of knowledge,
ascertained through observation and
experimentation, whose principles are
universally accepted or have reached the
greatest projection.
HENRI FAYOL (1841-1925):
• henri Fayol was born in France, educated

as an Engineer at the National School of
Mines, employed as Mining Engineer and
then as General Manager of a coal and
steel company. He divided all activities in
an Organisation into following six
groups i.e. technical, financial security,
accounting and administrative.
• Fayol broke down the key function of
administration into five main aspects, to
plan, to organise, to command, to co-
ordinate and to control.
• Actually it will be seen that there are
forecasting and planning, organising
commanding, co-ordinating and
controlling.
•
• These six aspects of administration, falling
into two main groups related as to process
and effect as follows
Process Effect
1. Forecasting Plan
2. Organisation Co-ordination
3. Command Control

Luther Gulick
Luther Gulick a classicist was influenced

by Taylor and Fayol. He used Fayorl's five
elements of administration. Planning,
Organising. Command, Co-ordination and
Control as a frame work for his neutral
principles. Gulick condensed the duties of
administration into a famous acronym
"POSDCORB.’’ Each letter in the acronym
stands for one of the seven activities of the
administrator as given below
• Planning (P) Working out the things that need
to be done and the methods for doing them to
accomplish the purpose set for the enterprise.
• Organising (O) Establishment of the formal
structure of authority through which work
subdivisions are arranged, designed and co-
ordinated for the defined objective, Staffing
(S).The whole personnel function of bringing
in and training the staff, and maintaining
favourable conditions of work.
• Directing (D) Continuous task of making decisions
and embodying them in specific and general
orders and instructions, and serving as the Leader
of the enterprise.
• Co-ordinating (CO) All important duties of
interrelating the various parts of the work.
• Reporting (R) Keeping the executive informed as
to what is going on, which includes keeping
himself and his subordinates informed through
records, research and inspection.
• Budgeting (B) All that goes with budgeting in the
form of fiscal planning, accounting and control.
Gulick was very much influenced by Fayol's 14 basic elements of
administration in expressing his principles of administration as
follows
•Division of work or specialization
•Bases of departmental organisation
•Co-ordination through hierarchy
•Deliberate co-ordination
•Coordination through committees Decentralisation
•Unity of command
• Staff and line
•Delegation and
• Span of control.

Lyndal Urwick
Lyndal Urwick also concentrated his efforts on the
discovery of Principles and identified eight
Principles of Administration applicable to all
organisations as given below:
• 1. The Principle of Objective that all
organisations should be an expression of a
purpose
• 2. The Principle of Correspondence that
authority and responsibility must be co-equal
• 3. The "Principle of Responsibility that the
responsibility of higher authorities for the work of
subordinate is absolute
4. The "Scalar Principle-that a pyramidical type of structure
is built up in an organization.
5. The "Principle af Span of Control
6. The "Principle of Specialisation-limiting one's work to
single function
7. The Principle of Co-ordination"
8. The Principle of Definition-Clear prescription of every
duty

Max Weber
Max Weber (1864-1920) was a German

intellectual with no managerial experience, who
studied at the University of Heidelberg, taught
Law at the University of Berlin and Economics
of Frieberg University, then studied Politics,
sociology and economics as a Private scholar.
Weber described a bureaucracy as having a
well-defined hierarchy of authority, division
of work based on specialisation, highly
specific rules governing worker's duties and
rights, debuted work procedures,
impersonal interpersonal relationships and
promotion based on technical competence.
Weber also claimed that bureaucracy was superior to
other forms of organisation, because it provides greater
stability, precision and reliability in controlling
employees. Interestingly "Bureaucracy which he
considered highly efficient in dealing with changing
circumstances is seen as too rigid and ponderous to
respond to today's rapid societal change.

Kurt Lewin
Kurt Lewin a social psychologist, developed
the Field theory of human behaviour (1951), He
claimed that a worker's on-the-job behaviour is
influenced by interactions between workers
personality, work group structure and socio-
technical climate of the work place.
Lewin concluded that the process of
behaviour changes occurs in three phases:
• Unfreezing: When an alteration in Social and
Psychological forces is perceived, an
individual's equilibrium is distributed,
facilitating attitudinal and behavioural
change.
• Changing: The individual demonstrates the
desired attitudes and behaviour either by
mimicking behaviour of a role model who
portrays those behaviours or by "discovering the
desired attitudes and behaviours when placed in
a situation that required trend.
• Refreezing: The individual integrates the newly
acquired attitudes and behaviour into daily
activities and organising relationships. Whether
the new behaviours are learned through
identification or self-discovery, the individual
will not display permanent behaviour change
unless the desired behaviour is continually
reinforced by superior, peers, and subordinates.

Abraham Maslow
• Maslow in his classic paper "A Theory of

Human Motivation (1943) outlined an overal
theory of motivation. He analysed the
relationship between the human beings and
organisations from the stand point of "human
needs".
• The meaning of these needs in relation to
administration is as follows:
1. Physiological needs includes the basic things
necessary for human survival, eg- hunger, thirst,
shelter etc.
2. Security needs include job security or safety and the work
place, thus giving psychological security to human beings
Safety includes both physical and emotional safety-Human
being is a safety seeking mechanism. Once safety and
security is ensured, they no longer motivate the human
being.
.
3. Social needs represent the relationship between and
among groups of people working in the organisation.This
need provides emotional security to people and also gives
a sense of belongingness and association
4. Esteem needs represent higher level needs of human
beings.
At this level, they strive for power, achievement and status.
Esteem connotates both self-esteem and esteem from
others.
5.Self-actualisation is a higher level need represents

culmination of all other needs. The fulfilment of this need
gives a higher degree of satisfaction to individual in work
and life.

Unit-1 Management

Uploaded by

Copyright:

Available Formats

Unit-1 Management

Uploaded by

Document Information

Original Description:

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Unit-1 Management

Uploaded by

Copyright:

Available Formats

CONCEPTS OF MANAGEMENT

• Management is the art of getting things done

• There are several theories of Administration

• Taylor believed that the principle "best

• henri Fayol was born in France, educated

Luther Gulick a classicist was influenced

Max Weber (1864-1920) was a German

• Maslow in his classic paper "A Theory of

5.Self-actualisation is a higher level need represents

You might also like