2. Definitions of Management.
‘ Management is the art of getting things done
through and with others in formally organised
groups’
-- Koontz O’donnel.
‘A manager in management has to manage the
work, workers and the managers.’
--Peter F. Drucker.
3. Principles of Management
Henri Fayol, A French management expert,
has
outlined 14 fundamental principles of
Management to be adopted by managers for
achieving effective administration. Later on a
few more principles such as ‘Span of control,
Delegation of Authority, Dcentralisation’ have
also been added to the same. These principles
have universal application in all walks of life.
4. Principles of Management.
1. Initiative 10.Scalar Chain of
2. Unity of Direction. Authority.
3. Unity of command. 11.Security of tenure.
4. Division of work. 12. Subordination of
5. Centralisation. individual interest to
group interest.
6. Order.
13.Remuneration.
7. Equity.
8. Discipline. 14.Espirit de corps.
9. Parity of Authority and 15. Delegation of Authority
duty.. 16.Span of Control
17. Decentralisation.
5. Organisation Structures.
The term organisation structure refers to the
hierarchical relationship that exists between the
various levels of the organisation.
Structures in general have been classified into two
broad categories namely ‘traditional structures’
and ‘modern structures’.
Traditional structure comprises of ‘Line, Functional
and Line and Staff’ structures.
Modern structure comprises of ‘Matrix’ and
‘Committees’
6. Traditional Structures.
Line Structure:- This is the oldest of management structures.
It is based on the
military model of administration. It comprises of an autocratic
superior who
administers the unit by acting as a dictator.
The subordinates merely execute his
orders. It functions through a formal
downward Communication channel.
7. Traditional Structures continued…
2. Functional Structures:-This comprises of a
team of functional experts who are
coordinated
by a Chief Executive Officer.
In this structure each expert can control his
subordinates as well as subordinates in other
departments in relation to his area of
operation.
It lacks Unity of command and presents a
complex picture.
8. Traditional Structures continued…
3.Line and Staff structure:- This structure combines in
itself the merits of both Line and Functional
structures.
It comprises of two sets of officers, namely ‘Line’ and
‘Staff’ executives.
The Line manager has decision making authority.
The Staff officers act as expert advisors who advice the
Line managers. The staff officers do not enjoy
decision making authority. However this structure
suffers on account of Line and Staff conflicts.
9. Modern Structures.
1.Matrix Structure:- This structure comprises of two
sets of activities. The unit would undertake a major
activity in a continuous manner. The finished product of
the major activity would constitute the main input for
several short term Projects. Each project would be
managed by a Project Manager. He would be assisted
by functional experts drawn from the major activity.
The projects provide maximum liquidity and flexibility
to the unit.
10. Modern Structures continued….
2.Committees:- A committee is a group of
individuals who are entrusted with a specific
task. Committees are democratic in their
approach. The members of the committee
exercise their voting rights on the basis of
‘one man one vote’. Committees’ require a
quorem, an agenda and a chair person for
their official functioning.