unit1

1. COURSE CODE:: MP101
Course ::Management theory
and Practice
Unit -1::NATURE AND SCOPE OF MANAGEMENT

2. OBJECTIVES
 Explain the concept of management
 Discuss the evolution of management
 Learn the management process
 Draw differences between management and administration
 Highlight the role of managers

3. INTRODUCTION
Management refers to a process or science of organizing resources and directing human efforts for the successful
accomplishment of organizational goals and objectives. In other words, management can be defined as a universal
phenomenon that involves making optimum utilization of available resources to achieve predetermined goals. The main
objective of management is to draw maximum output out of minimum efforts and resources. Therefore, it is essential for
organizations to inculcate an efficient management process. Effective management helps in ensuring the smooth and
coordinated functioning of an organization, which, in turn, increases the overall organizational productivity. In addition, it
enables an organization to keep pace with changes in the dynamic business environment.
The overall efficiency of management depends on the skills and abilities of managers. The functioning of today’s modern
organizations is influenced by the efficiency of managers to a large extent. The main role of managers is to encourage,
guide, and supervise employees to work toward the fulfillment of organizational goals and objectives. They are also
responsible for integrating and synchronizing organizational resources in such a manner so that organizations can
achieve their purposes. An ideal manager should possess various skills, such as technical skills, conceptual skills, and
communication skills.

4. CONCEPT OF MANAGEMENT
 Management consists in guiding human and physical resources
into dynamic, hard-hitting organization unit that attains its
objectives to the satisfaction of those served and with a high
degree of morale and sense of attainment on the part of those
rendering the service.-- Lawrence A. Appley
 Management is the coordination of all resources through the
process of planning, organizing, directing, and controlling in order
to attain stated objectives. -- Henry L. Sisk

5. NEED FOR MANAGEMENT
 Achievement of Goals
 Optimum Utilization of Resources
 Cost Minimization
 Survival and Growth
 Employment Generation
 Development of the Nation

6. Objectives
of
Managemen
t
Organizatio
n
WorkforceSociety
OBJECTIVES OF MANAGEMENT

7. EVOLUTION OF MANAGEMENT
Evolution of management thoughts can be drawn around 100
years ago, which is continuing till date. The history of
management evolution shows that several approaches are
designed for understanding the concept of management.
Following are the basic schools of thought broadly developed:
 Classical School of Thought
 Scientific School of Thought
 Behavioral School of Thought
 Modern Approach to Management

8. Planning
Organizin
g
StaffingDirecting
Controllin
g
MANAGEMENT PROCESS

9. MANAGEMENT vs. ADMINISTRATION
Differences Administration Management
Nature It is a determinative or
thinking function
It is an executive or
doing function
Type of Work It is concerned with the
determination of major
objectives and policies
It is concerned with the
implementation of
policies
Levels of Authority It is a mainly top level
function
It is largely a middle and
lower level function
Influence Administrative decisions
are influenced mainly by
public opinion
Influenced by objectives
and policies of the
organization

10. MANAGEMENT vs. ADMINISTRATION (CONTD.)
Direction of Human
Efforts
It is not directly
concerned with the
direction of human efforts
It is actively concerned
with the direction of
human efforts
Main Functions Planning and controlling
are the main functions
involved in it
Directing and organizing
are the main functions
involved in it
Skills Required Conceptual and human
skills
Technical and human
skills
Usage Usage largely in
government and public
sector
Used mainly in business
organizations

11. MANAGERS-EXECUTORS OF MANAGEMENT
 The basic responsibility of managers is to
encourage employees to work for the achievement
of the set organizational goals and objectives.
 Managers while carrying out the activities to
achieve organizational goals and objectives,
influence the attitude of employees regarding their
work.

12. Types of
Manager
s
Top
Manager
s
Middle
Mangers
Lower
Manager
s
TYPES OF MANAGERS

13. Styles of
Manager
s
Entreprene
ur Style
Conservativ
e Style
Scientific
Style
Professiona
l Style
STYLES OF MANAGERS

14. QUALITIES OF A GOOD MANAGER
The roles and responsibilities of a manager depend on the scope of activities
being managed by him/her. Following are the responsibilities of a manager:
 Making timely and accurate decisions
 Coordinating with different levels in the organization
 Administering and managing the performance of employees
 Analyzing the performance of subordinates and providing feedback
 Striving to achieve business goals and departmental objectives
 Contributing in various organizational activities, such as selection, career
management, and training and development of employees
 Determining the compensation and reward systems
 Ensuring adherence to quality standards
 Following the rules and regulations of the organization
 Focusing on wealth maximization

15. SUMMARY
 Management is a process of creating and maintaining an environment
in which individuals work together to achieve predefined goals by
making the optimum utilization of all the available resources.
 Management process is a set of interrelated activities that are carried
out together in a particular order for the purpose of attaining
predefined organizational goals and objectives.
 In organizational context, manager can be defined as an individual
who performs the four management functions, namely, planning,
organizing, directing, and controlling.
 Mangers should be highly skilled in handling and managing changes
in internal and external business environment of an organization.
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