MBA ppt

1. Introduction to
Management

2. What is management?
• In today’s tough and uncertain economy, a company needs
strong managers to lead its staff toward accomplishing
business goals.
• But managers are more than just leaders — they’re problem
solvers, cheerleaders, and planners as well.
• Managers fulfill many roles and have many different
responsibilities at each level of management within an
organization.
• Through this presentation we will discover those roles and
functions, but you also find out the truth about several
common misconceptions about management.

3. Definition
• Management is the creation and maintenance of an internal
environment in an enterprise where individuals, working in
groups, can perform efficiently and effectively towards the
attainment of group goals.
—Harold Koontz and Cyrill O’Donnell

4. • Management is the art of knowing what you want to do and then
seeing that it is done in the best and cheapest way.
—F.W. Taylor
• To manage is to forecast and to plan, to organize, to command, to
coordinate and to control.
—Henry Fayol

5. Management
• Management refers to the tasks and activities involved in directing an
organization or one of its units: planning, organizing, leading, and
controlling.
• The process of reaching organizational goals by working with and
through people and other organizational resources.

6. Management
Organization
Two or more people who work together in a
structured way to achieve a specific goal or set of
goals.
Goals
Purpose that an organization strives to achieve;
organizations often have more than one goals, goals
are fundamental elements of organization.
The Role of Management
To guide the organizations towards goal
accomplishment

7. Resources {Assets}
7 categories of resources:
 People
 Money
 Time
 Work Procedures
 Energy
 Materials
 Equipment

8. Goals
• Profit Levels or Maximum cost levels
• Maintenance or growth of financial strength
• Quality standards
• Guest employee & management concerns
• Professional obligations
• Societal concerns (setting up a plant)

9. CONCEPTS OF MANAGEMENT
The term management has been interpreted in several ways;
• Management as an Activity
• Management as a Process
• Management as an Economic Resource
• Management as a Team
• Management as an Academic Discipline
• Management as a Group

10. Management as an Activity
• Management is defined as the art of getting things done
through the efforts of other people. Management is a group
activity wherein managers do to achieve the objectives of the
group.
• The activities of management are:
o Interpersonal activities
o Decisional activities
o Informative activities

11. Management as a Process
• Management consists of getting the objectives of an
organisation and taking steps to achieve objectives. The
management process includes planning, organising, staffing,
directing and controlling functions.
• Management as a process has the following implications:
(i) Social Process: Management involves interactions among
people.
(ii) Integrated Process: Management brings human, physical
and financial resources together to put into effort so as to
maintain harmony among them.
(iii) Continuous Process: Management involves continuous
identifying and solving of problems.

12. Management Process and Goal Attainment

13. Management and Organizational
Resources

14. Management as an Economic
Resource

15. Management as a Team/Group
• As a group of persons, management consists of all those
who have the responsibility of guiding and coordinating
the efforts of other persons in order to achieve their
goals
Management as an Academic Discipline
• Management has emerged as a specialised branch of
knowledge. It comprises principles and practices for
effective management of organisations. Management
offers a very rewarding and challenging career.

16. Nature and Characteristics of
Management
• Management is goal-oriented: It is a group goals or
organisational goals. The basic goal of management is to
ensure efficiency and economy in the utilisation of
human, physical and financial resources.
• Management is universal: All types of
organisations,e.g., family, club, university, government,
army, cricket team or business.
• Management is an Integrative Force: It
integrates and coordinates human and other
resources to achieve the goals.

17. • Management is a Social Process:
Management is done by people, through people and for people. It
is a social process because it is concerned with interpersonal
relations.
• Management is multidisciplinary:
Management depends upon wide knowledge derived from several
disciplines like engineering, sociology, psychology, economics,
anthropology,etc. The vast body of knowledge in management
draws heavily upon other fields of study.
• Management is a continuous Process:
Management is a dynamic and an on-going process. The cycle of
management continues to operate so long as the organization
exists.

18. • Management is dynamic: Management tries to visualise
problems before they turn into emergencies.
According to Drucker, Managers do not wait for the future,they
make their future.
• Management is Intangible: Management is an unseen or
invisible force. It cannot be seen but its presence can be felt
everywhere in the form of results. However, the managers who
perform the functions of management are very much tangible and
visible.
• Management is an Art as well as Science:
It contains a systematic body of theoretical knowledge and it also
involves the practical application of such knowledge.

19. Objectives Of Management
Organizational objectives:
• Reasonable profits so as to give a fair return on the capital
invested in business
• Survival and solvency of the business, i.e., continuity.
• Growth and expansion of the enterprise
• Improving the goodwill or reputation of the enterprise.

20. Objectives Contd..
Personal objectives: Employees
• Fair remuneration for work performed
• Reasonable working conditions
• Opportunities for training and development
• Participation in management and prosperity of the enterprise
• Reasonable security of service.

21. Objectives Contd..
• Social objectives: Society
• Quality of goods and services at fair price to
consumers.
• Honest and prompt payment of taxes to the
Government.
• Conservation of environment and natural resources.
• Fair dealings with suppliers, dealers and
competitors.
• Preservation of ethical values of the society.

22. ROLE AND IMPORTANCE OF
MANAGEMENT
• According to Peter Drucker,“ management is a dynamic life
giving element in an organisation, without it the resources of
production remain mere resources and never become
production”.

23. ROLE AND IMPORTANCE CONTD…
• Achievement of goals:
Management is goal oriented. In order to achieve the
goals, management reconciles the objectives of the
group with those of its members so that each one of
them is motivated to make his best contribution
• Optimum utilisation of resources:
Managers forecast the need for materials, machinery,
money and manpower. Ensures adequate resources plus
no idle resources. They create and maintain an
environment conducive to highest productivity.

24. • Minimisation of cost:
In the modern era of cut-throat competition no business can
succeed unless it is able to supply the required goods and services
at the lowest possible cost per unit. Managers ensures no wastage.
Reduces costs, improving efficiency, managers enable an enterprise
to be competent to face competitors and earn profits.
• Survival and growth:
An enterprise has to adapt and update itself to the changing
demands of the market and society. Management takes steps in
advance
to meet the challenges of changing environment. SWOT analysis is
conducted. Managers enable the enterprise to minimise the risks
and maximise the benefits of opportunities.

25. • Generation of employment:
By setting up and expanding business enterprises, managers create
jobs for the people. Managers also create such an environment that
people working in enterprise can get job satisfaction and happiness
which satisfies the economic and social needs of the employees.
• Development of the nation:
Efficient management and quality resources are the most crucial
factors in economic and social development. By producing wealth,
management increases the national income and the living
standards of people. That is why management is regarded as a key
to the
economic growth of a country.

26. MANAGEMENT AND ADMINISTRATION
• Oliver Sheldon in his “The Philosophy of Management”
defines
‘Administration as a function is concerned with the
determination of the corporate policy, the coordination
of finance, production and distribution,the settlement of
the structure of the organisation, under the ultimate
control of the executive.’
Management is concerned with the execution of the
policy, within the limits set up by administration and the
employment of the organisation for the particular
objects before it.

27. MANAGEMENTAND ADMINISTRATION

28. MANAGEMENTAND ADMINISTRATION
-Difference

29. SCOPE OF MANAGEMENT
• Production Management:
Planning, organizing, directing and controlling the production
function so as to produce the right goods, in right quantity, at
the right time and at the right cost. It includes the following
activities:
(a) designing the product
(b) location and layout of plant and building
(c) planning and control of factory operations
(d) operation of purchase and storage of materials
(e) repairs and maintenance
(f) inventory cost and quality control
(g) research and development etc.

30. PRODUCTION MANAGEMENT

31. • Marketing Management:
Refers to the identification of consumers needs and supplying
them the goods and services which can satisfy these wants. It
involves the following activities:
(a) marketing research to determine the needs and
expectation of consumers
(b) planning and developing suitable products
(c) setting appropriate prices
(d) selecting the right channel of distribution, and
(e) promotional activities like advertising and salesmanship to
communicate with the customers

32. MARKETING MANAGEMENT

33. • Financial Management:
Seeks to ensure the right amount and type of funds to business at
the right time and at reasonable cost. It comprises the following
activities:
(a) estimating the volume of funds required for both long-term
and short-term needs of business
(b) selecting the appropriate source of funds
(c) raising the required funds at the right time
(d) ensuring proper utilisation and allocation of raised funds so
as to maintain safety and liquidity of funds and the creditworthiness and
profitability of business, and
(e) administration of earnings
Thus, financial management involves the planning, organising and
controlling of the financial resources.

34. FINANCIAL MANAGEMENT

35. • Personnel Management:
Involves planning, organising and controlling the procurement,
development, compensation, maintenance and integration of
human resources of an organisation. It consists of the following
activities:
• (a) manpower planning
• (b) recruitments,
• (c) selection,
• (d) training
• (e) appraisal,
• (f) promotions and transfers,
• (g) compensation,
• (h) employee welfare services, and
• (i) personnel records and research, etc.

36. Management and
Organizations
Organizations –
• Groups of individuals constantly join forces to accomplish common
goals.
• Sometimes, the goals of these organizations are for profit, such as
franchise restaurant chains or clothing retailers.
• Other times, the goals are more altruistic, such as nonprofit
churches or public schools.
• But no matter what their aims, all these organizations share two
things in common:
• They’re made up of people, and
• certain individuals are in charge of these people.

37. Requirement of managers
• Managers appear in every organization — at least in organizations
that want to succeed.
• These individuals have the sometimes unenviable task of making
decisions, solving difficult problems, setting goals, planning
strategies, and rallying individuals.
• Managers administer and coordinate resources effectively and
efficiently to achieve the goals of an organization.
• In essence, managers get the job done through other people.

38. The Intricacies of
management
• No matter what type of organization they work in, managers are generally
• responsible for a group of individuals’ performance.
• As leaders, managers must encourage this group to reach common business
goals, such as bringing a new product to market in a timely fashion.
• To accomplish these goals, managers not only use their human resources, but
they also take advantage of various material resources as well, such as
technology.
• Think of a team, for example. A manager may be in charge of a certain
department whose task it is to develop a new product. The manager needs to
coordinate the efforts of his department’s team members, as well as give them
the material tools they need to accomplish the job well. If the team fails,
ultimately it is the manager who shoulders the responsibility.

39. Greater the authority and higher the responsibility.
Levels of management differ from one organization to another, depending on the size of
business activity, philosophy of management, span of control and other related factors.
Management Level and Skills

40. Levels of management
• Two leaders may serve as managers within the same
company but have very different titles and purposes.
• Typical management levels fall into the following
categories:
• Managers at this level ensure that major performance
objectives are established and accomplished.
• Middle managers report to top managers and are in
charge of relatively large departments or divisions
consisting of several smaller units.
• The initial management job that most people attain is
typically a first-line management position, such as a
team leader or supervisor
Top Level
Middle Level
Low Level

41. Functions of Managers
Planning
Organizing
Staffing
Leading
Controlling
• This step involves mapping out exactly how to
achieve a particular goal.
• After a plan is in place, a manager needs to
organize her team and materials according to her
plan. Assigning work and granting authority are
two important elements of organizing.
• After a manager discerns his area’s needs, he
may decide to beef up his staffing by recruiting,
selecting, training, and developing employees.
• Leading involves motivating, communicating,
guiding, and encouraging.
• He needs to continuously check results against
goals and take any corrective actions necessary
to make sure that his area’s plans remain on
track.

42. Roles performed by
managers
• A manager is not only a team leader, but he is also a planner,
organizer, cheerleader, coach, problem solver, and decision
maker — all rolled into one.
• These roles fall into three categories:
• Interpersonal: This role involves human interaction.
• Informational: This role involves the sharing and analyzing of
information.
• Decisional: This role involves decision making.

43. CATEGORY ROLE ACTIVITY
Informational Monitor Seek and receive information; scan periodicals and reports;
maintain personal contact with stakeholders.
Disseminator Disseminator Forward information to organization members
via memos, reports, and phone calls.
Spokesperson Transmit information to outsiders via reports,
memos, and speeches.
Interpersonal Figurehead Perform ceremonial and symbolic duties, such as greeting
visitors and signing legal documents.
Leader Direct and motivate subordinates; counsel and communicate
with subordinates
Liaison Maintain information links both inside and outside
organization via mail, phone calls, and meetings.
Decisional Entrepreneur Initiate improvement projects; identify new ideas and delegate
idea responsibility to others.
Disturbance
Handler
Take corrective action during disputes or crises; resolve
conflicts among subordinates; adapt to environments.
Resource
Allocator
Decide who gets resources; prepare budgets; set schedules
and determine priorities.
Negotiator Represent department during negotiations of union contracts,
sales, purchases, and budgets.
Mintzberg’s
set of ten
roles

44. Skills needed by managers
• Not everyone can be a manager. Certain skills, or abilities to
translate knowledge into action that results in desired
performance, are required to help other employees become more
productive. These skills fall under the following categories:
Technical
Human
Conceptual
 This skill requires the ability to use a special proficiency or
expertise to perform particular tasks.
 This skill demonstrates the ability to work well in
cooperation with others..
 This skill calls for the ability to think analytically. Analytical
skills enable managers to break down problems into
smaller parts, to see the relations among the parts, and to
recognize the implications of any one problem for others.

45. Books for reference
• Principles of Management – Thomas N Duening and
John.M.Wancevich.
• Management - V.S.P Rao and V.Hari Krishna.