Introduction to management, functions of management, levels of management

By
ABHISHIKTH SANDEEP ABRAHAM
M.Phil, M.Com, MA(Pub.Rel & Journl), MBA (HR),B.Ed, BCJ,
ICWAI(I), PGDT, PGDCMP, Dip.Tax, CDT, UGC-NET,APSLET,
(PhD),UGC-MAN Research Fellow Awardee in Devp. Studies

Appreciation of need for management
 An ORGANIZATION may be defined as –
A framework within which managerial and operational tasks are
performed. It specifies the relationship between people, work &
resources required to achieve a particular purpose (organizational
goal).
 The following comprise of the RESOURCES in an organization.
( also known as 5 M’s)
1. Men (Human Resources)
2. Material (Material Resources– Raw material, consumables & Finished goods )
3. Machinery
4.Methods ( Techniques of production)
5. Money (Financial Resources)
These resources are to be leveraged for the benefit of the
organization so as to achieve EFFICIENCY, and ultimately
organizational goals.
This is made possible through MANAGEMENT
Abhishikth Sandeep .A.

Contd….
Management is that function which :
 Helps bring about a coordination between the 5 M’s
 Is essential for an organization to survive & achieve its goals
(both Economic & Non Economic).
 Leads to a systematic accomplishment of tasks and establish
a peaceful, cooperative atmosphere at the workplace.
 Enables in the optimum use of resources
Thus, we say that Management is one of the factors of
production along with LAND,LABOUR , CAPITAL.

Management – In Perspective
 1. It refers to the efficient handling of the resources of the
organization, including its employees to achieve its goals.
 2. It is the coordination of all resources through the functions (set
of principles)of management (process of planning, organizing,
directing, controlling etc.) to attain stated objectives.(by F W Taylor)
 3. It refers to the art of getting people together on a common
platform to make them work towards a common predefined goal.
 4. It is a process of getting things done by others with the aim of
achieving goals effectively and efficiently.(leads to higher profitability)
Thus , management lays emphasis on four aspects:
1. Process- Consists of a series of steps/sequence of activities
2. Art- Performed differently by each person-depends on skill, creativity &
practice of manager
3. Effectiveness – Refers to doing things right to achieve goal ( Finishing
task), irrespective of Cost involved -DOING THINGS RIGHT
4. Efficiency – Refers to finishing the task with minimum cost – DOING THE
RIGHT THINGS IN THE RIGHT MANNERAbhishikth Sandeep .A.

Management – Defined
 1. “Management is the art of knowing what you want to do
and seeing that you do it in the best & cheapest way”
(Management as an ART) FW Taylor
 2. “Management is the art of getting things done through
others & with formally organized organization groups.”
(Management as a GROUP ACTIVITY) Henry Koontz
 3. “Management is a distinct process consisting of planning,
organizing, directing & controlling; utilizing both science &
art to achieve predetermined objectives.” (Management as a
PROCESS) Terry
 4. Management is what a manager does…..

CHARACTERISTICS OF MANAGEMENT
 It is a GOAL ORIENTED PROCESS-Helps achieve org. objectives
 It is ALL PERVASVE- IT IS UNIVERSAL- Applicable to all types of org, all sizes of
org. , all levels of org, to org. all over the world, both business & non business (profit &
non profit )org.
 It is MULTI DIMENSIONAL- Applicable to all types of activities – be it
a) WORK- enables work to be done efficiently thereby achieve org. goals.
b) PEOPLE (Human Resources) – Takes care of needs of an employee –both as an
individual & as a group- enables completion of work through people
c) OPERATIONS – Covers all activities involved in production process. (Combination of
mgt. of work & mgt. of people- together to achieve org. goals)
Note: This categorization leads to the divisions of the functions of management
& functional areas in an org.
Eg: Management of work -gives rise to the functions of Planning, Organizing & Staffing
Management of people - gives rise to the functions of Staffing ,Directing &Coordinating
Management of operations -gives rise to the functional areas of production,sales,
finance, purchases.
 It is a CONTINUOUS PROCESS- Mgt. Is a continuous process &
performed continuously by the manager.Abhishikth Sandeep .A.

CHARACTERISTICS OF MANAGEMENT….contd
 It is a GROUP ACTIVITY- It refers to managing the activities of
groups of people- affects both group effort & individual effort.
 It is DYNAMIC –The managerial activities are continuously tuned
to the ever changing environment of the business (Internal &
External)
 It is INTANGIBLE – Management activities cannot be seen or
touched, but its presence or absence can be felt.
 It is a DELIBERATE process- it is done purposefully to achieve a
pre-specified objective

OBJECTIVES OF MANAGEMENT
 OBJECTIVES- DEFINED : They are the ends sought to be achieved in
future & towards which the org. directs all its activities
Org. Objectives
ORGANIZATIONAL OBJ.SOCIAL OBJ. PERSONAL OBJ.
COMMITMENT OF ORG.
TOWARDS SOCIETY
1. Supply quality goods @
reasonable prices
2. Contribute to socially
desirable activities (CSR)
3. Provide employment
4. Organize educational ,
health awareness prg.
5. Active participation in
govt. societal activities
6. Be environment friendly
( methods & products
produced)
7. Upliftment activities of
weaker sections
8. Invest in development of
surrounding areas
FOR PROSPERITY & GROWTH OF
ORG.
1. SURVIVAL: To recover costs &
Survive in a competitive market in
the long run
2. PROFIT: To be able to earn profits
to ensure its survival, growth
&expansion- Reward for
entrepreneurship.
3. GROWTH : To expand its market
area & increase sales vol. size of
org., no. of products produced
etc.
FOR MOTIVATING &
SATISFYING EMPLOYEES SO
THAT THEY CONTRIBUTE TO
THEIR MAXIMUM POTENTIAL
1. Good, healthy working
conditions
2. Competitive Salary structure –
Fair wage to be paid.
3. Employee recognition- self
respect, esteem etc.
4. Social recognition – status,
prestige etc.

IMPORTANCE OF MANAGEMENT
 It helps achieve group objectives by integrating individual
efforts with organizational goal
( ∑individual effort = organizational goal)
 It gives a unity of direction to individual efforts
 It helps improve efficiency (Min.Cost & Min. wastage of resources & max.
productivity)
 It helps create a dynamic organization- Motivates mgt.& employees to
adapt to changes in the environment , thus remain competitive
 It helps achieve individual objectives through the
achievement of organizational objectives – synthesis org. objectives
to help achieve individual obj.
 It contributes to development of the firm as well as the
society- (supply of goods at reasonable prices, adjusting qty. of production to
market demand, create employment opportunities, CSR activities, etc.

Source: Business Studies-Class 12, CBSE.
R.K.Singla. VK Publications

 1. In an organization if there is no chaos and the employees are happy & satisfied. Which
characteristic if management is being talked about?
 2. “To be successful the management should constantly keep its ears to the changing
environment”- Which characteristic if management is being talked about?
 3.The goal of a Supermarket is to increase its sales, whereas the goal of a NGO is social
service. The concepts of management are applicable throughout all the levels of both the
organizations. Identify the various characteristics of management in the above.
 4. In a manufacturing company, a product is produced, while in a garment store, the
need of a customer is satisfied and in a hospital, a patient is treated. Identify the
dimensions of management.
 5. Sand Co. ltd. Laid emphasis on producing environment friendly goods & employing
women.Identify the organizational objectives set forth by the Co.
 6. Define Efficiency
 7. Define Effectiveness
 8. Why is management called as a group activity?
 9. Elaborate on the Organizational objectives of management.
 10. How does management contribute to the development of the firm as well as the
society?

By
M.Phil, M.Com, MA(Pub.Rel & Journl), MBA (HR), B.Ed, BCJ,

Nature
of
Management
Is Management- an Art or
Science or Profession?

Levels of
Management

 1. Interpreting organizational policies is the function of which level of
managers?
 2. Supervising & directing the operational workforce is the job profile
of _____ level of management.
 3. Determining organizational objectives is the function performed
by the personnel at the _____ level of management.
 4. Why management cannot be called as a pure science?
 5. “Management is a systematized body of knowledge.”- Identify the
nature of management.
 6. At which level of management does the CEO of an organization
operate?
 7. If a person is working as a Finance manager in a company, At which
level is he working? What are the functions performed by him?
 8. If a person is working as a Plant superintendent in a company, At
which level is he working? What are the functions performed by him?
 9. Why can management be said to be a profession? What are the
characteristic features which make it so?
 10. Due to which characteristic features can management be called as
an art?

By
M.Phil, M.Com, MA(Pub.Rel & Journl), MBA (HR) ,B.Ed, BCJ,

Functions of mgt.
 Managers working throughout the organization are expected
to perform certain functions (Tasks), these are known as the
functions of management. They are as follows:-
 PLANNING: This is the FIRST function performed by a manager, (function of
PRIMACY). It may be defined as – deciding in advance - what to do, how to do, when
to do, and who is going to do a task / activity. It is FUTURISTIC ( bridges the gap
between the present ( where we are) & future ( where we want to be)
 ORGANIZING: This function calls for bringing together the resources (5M’s),
in the right place at the right time & in the right proportions and arranging them . It
seeks to :
1. Organize activities-
2. Establish an org. structure- deciding the posts (designations) required, no. of posts ,
assigning the superior- subordinate relationship (arranging the posts in hierarchy) &
responsibillity etc.
 STAFFING: It refers to the activities involving filling up of the posts in the org.
and keeping the posts filled always. (It consists of activities like recruitment, selecting,
training, grievance handling , wage payment, evaluation of worker performance, etc.)

Functions of mgt….contd.
 DIRECTING: This function is concerned with instructing , motivating, guiding &
leading employees such that their individual efforts are synchronized to achieve
organizational goal. ( it deals with telling employees what to do and seeing that they do
it in the best possible manner.
 CONTROLLING: It compares the actual performance with the planned
performance of work .it determines any deviations ,if any & the reasons thereof.
Thereby enabling the manager to suggest remedial measures.
 CO-ORDINATION: It enables synchronization of efforts & the sequence of
execution.
It brings together the resources and the activities to be done upon them & bring about
harmony amongst them to achieve obj. at minimum cost.

 1. The _____ function of management deals with preparing a plan
of action for the future.
 2. The _____ function of management is concerned with the
filling up of vaccant positions in an organization.
 3. The ____ function of management deals with the
synchronization of individual efforts to achieve organizational
goal.
 4. The ___ function of management is related to the setting up of
the organization structure and determining the hierarchical
levels in an organization
 5. What is meant by “organizing as a function of management”?
 6. In order to perform the _____ function of management there is
a need to create conducive environment which inspires the
employees to do the job in the best possible manner.
 7. The first function that is to be performed by a manager is ___.
 8. The _____ function of management seeks to reduce the
com[plexities in large organizations.Abhishikth Sandeep .A.

Co-ordination as a Function of Mgt.
 CO-ORDINATION: This function brings about a synchronization of efforts of the
manager and the sequence of execution for the achievement of group goals.
It brings together the resources and the activities to be done upon them & bring about
harmony amongst them to achieve obj. at minimum cost.
CO-ORDINATION –DEFINED: It is the process where a manager develops an
orderly pattern of group efforts among his subordinates & secures unity of
action to achieve common purpose.(By Mcfarland)
It is referred to as the essence of management as:
A) This function is performed by managers at all levels of mgt. & in all departments.
For eg. Top level – integrate all activities and lead individuals to work in one direction (
unity of direction)
Middle level- Integrate activities of all departments ( functional areas) to fit into one
common plan.
Lower level – Ensure coordination of activities of workers on work floor & integrate the
activities of each individual worker to achieve org. obj.
B) It is required to perform all other functions of mgt. – coordination is that function which
goes hand in hand with every other function of mgt. NOTE: see next slide
(hence also referred to as the primary function of mgt.)
C) It is necessary to ensure orderly arrangement of individual & group efforts & for the org.
to survive in the long run.

RELATIONSHIP BETWEEN
CO-ORDINATION & OTHER FUNCTIONS OF MGT.
Source: Business Studies-Class 12, CBSE.

FEATURES OF CO-ORDINATION-
 It integrates group efforts to achieve common org. goal.
 It strives for unity of action (every department (section)
working to achieve a common purpose)
 It is a continuous process
 It is all pervasive- (required at all levels, in all departments&
in all types of org.)
 It is the responsibility of managers at all levels of mgt.
 It is purposeful/ deliberate
 Helps avoid confusion and chaos in the org.

Importance of Co-ordination
 To minimize chaos & interdepartmental conflicts
 To synchronize individual goals with organizational goals
 To coordinate the activities of all specialists (functional area
managers)& ensure timely completion of work
 To minimize inter departmental differences
 To minimize wastages of resources and associated costs
 Vital for achieving organizational goals/ objectives

Source: Business Studies-Class 12,
CBSE.

 1.How does coordination ensure unity of action in
management?
 2. State the characteristics of Coordination.
 3. “Coordination is the essence of management”- Discuss
 4. At which levels of management is coordination required? –
Why?
 5. The purpose of making a time table for a school is an
example of which function of management?
 6. How is coordination a continuous process?
 7. Mention any 3 reasons why coordination is necessary for an
organization.
 8. Why is coordination important for the efficient achieving of
organization goals?
 9. Why can it be said that Coordination is all pervasive?
 10. “Coordination brings about the synchronization of the
efforts and sequence of execution of a manager”-Explain.

Introduction to management, functions of management, levels of management

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Introduction to management, functions of management, levels of management