MEANING,NATURE,SCOPE,PROCESS OF MANAGEMENT & SYSTEM

APPROACHPresented By:Group No.-2

Group Name:- “SYNERGY”

Member’s Name:SADHIKA KATIYARRUPESH KUMAR MISHRAGAURAV KATIYARPOOJA RAGHAVPRANAY RANJAN

“A Group of Donkeys lead by a lion can

defeat a group of lions lead by a donkey” --Socrates

Topics of the Presentaion

After this presentation you will be able to define-

Introduction Of Management Nature OF Management Scope Of Management Process Of Management System Approach

ABSTRACTMan is a social being as he likes to live together with other people. It is by working and living together in organised groups and institutions that people satisfy their economic and social needs. As a result there are several types of groups like family, school, government, army, a business firm, a cricket team. Such formal groups can achieve their goals effectively only when the efforts of the people working in these groups are properly coordinated and controlled.

The task of getting results through others by coordinating their efforts is known as management. Just as the mind coordinates and regulates all the activities of a person, management coordinates and regulates the activities of various members of an organisation.

What is Management?“Management is the process involving planning, organizing, staffing, directing and controlling human efforts to achieve stated objectives in an organization.”

The definition by some of the leading management thinkers are given below-

“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

“Management is a multipurpose organ that manage a business and manages Managers and manages Workers and work.” -Peter Drucker

Why Study Management…

The Value of Studying Management:

The universality of management Good management is needed in all

organizations.

The reality of work Employees either manage or are

managed.

Rewards and challenges of being a manager Management offers challenging, exciting

and creative opportunities for meaningful and fulfilling work.

Successful managers receive significant monetary rewards for their efforts.

Universal Need for Management

Efficiency and Effectiveness in Management

• Managerial Concerns Efficiency

“Doing things right”-Getting the most output for the least inputs

Effectiveness “Doing the right things”

-Attaining organizational goals

Efficiency and Effectiveness in Management

Who is the person responsible for supervising the use of an organization’s resources to

meet its goals?

A. Team leaderB. ManagerC. PresidentD. Resource allocator

A person who plans, organizes, directs and controls the allocation of human, material, financial, and information resources in pursuit

of the organization’s goals.

MANAGER

Managerial Competencies

CommunicationCompetency

Planning andAdministrationCompetency

StrategicAction

Competency

Self-ManagementCompetency

GlobalAwareness

Competency

TeamworkCompetency

ManagerialEffectiveness

Nature of Management

Management is Goal-oriented.Management is Universal.Management is an Integrative Force.Management is a Social Process.Management is Multidisciplinary.Management is Continuous Process.Management is Intangible.Management is an Art as well as Science.

Management is Goal-Oriented:

Management has no justification to exist without goals. Management goals are called 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. The success of management is measured by the extent to which the established goals one achieved.

Management is Universal:Management is an essential element of every organised activity irrespective of the size or type of activity.Wherever two or more persons are engaged in working for a common goal, management is necessary. All types of organisations, e.g., family, club, university, government, army, cricket team or business, require management. Thus, management is a pervasive activity. The fundamental principles of management are applicable in all areas of organised effort. Managers at all levels perform the same basic functions.

Management is an Integrative Force:The essence of management lies in the coordination of individual efforts in to a team. Management reconciles the individual goals with organisational goals.

Management is a Social Process:Management is a social process because it is concerned with interpersonal relations. Human factor is the most important element in management. According to Appley, “Management is the development of people not the direction of things. A good manager is a leadernot a boss. It is the pervasiveness of human element which gives management its special character as a social process”.

Management is Multidisciplinary:

Management has to deal with human behaviour under dynamic conditions. Therefore, it 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 there is organised action for the achievement of group goals.

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:Management is also a discipline involving specialised training and an ethical code arising out of its social obligations. On the basis of these characteristics, management may be defined as a continuous social process involving the coordination of human and material resources in order to accomplish desired objectives. It involves both the determination and the accomplishment of organisational goals.

McKINSEY 7-S FRAMEWORK:

STRATEGY :-means to achieve organizational purpose.STRUCTURE:-basic framework to designate responsibilities and functions.SYSTEMS:-management tools for planning, decision making , communication and control.STAFF:-human resources of the organization.SKILLS:- organizational and individual capabilities.SHARED VALUES:-values , goals , objectives which the organization pursues.

Scope Of Management

Production Management:a) Designing the productb) Location and layout of plant and

buildingc) Planning and Control of factory

operationsd) Operation of purchase and storage of

materialse) Inventory cost and Quality Controlf) Research and Development etc.

PRODUCTION MANAGEMENT SYSTEM:

Marketing Management:a) marketing research to determine the

needs and expectation of consumersb) planning and developing suitable

productsc) setting appropriate pricesd) selecting the right channel of

distribution, ande) promotional activities like advertising

and salesmanship to communicate with the customers

MARKETING MANAGEMENT:

Financial Management:

a) Selecting the appropriate source of funds

b) Raising the required funds at the right time

c) Administration of earnings d) Estimating the volume of fund.

Personnel Management:a) manpower planningb) recruitments,c) selection,d) traininge) appraisal,f) promotions and transfers,g) compensation,h) employee welfare services, andi) personnel records and

research, etc.

Levels Of Management

Top Level Management-The top level management is generally occupied by the ownership group. It is the highest level in the managerial hierarchy and the ultimate source of authority in the organisation.

Middle Level Management-In

order to fill up the gap which exists between functional and operative level, some managerial positions are created at the middle level of management. Middle level management consists of departmental managers, deputy managers,foreman and administrativeofficers etc.

Lower Level or Supervisory Level Management- It consists of factory supervisors, superintendents, foremen, sales supervisors, accounts officers etc. They directly guide and control the performance of rank and file workers. They issue orders and instructions and guide day to-day activities.

Management Level and Skills

PROCESS OF MANAGEMENT

The father of modern management “Henrifayol”, described firstly the processof managementin 5-terms-

Planning : 

Planning is the first step which is basically a logical thinking process that decides what needs to be done in order to achieve organization's goals and objectives. It focuses on the broader perspective of the business as well as taking into consideration, the tactical methods to get the desired results.

Steps in the Planning Process

Deciding which goals the organization will pursue.

Deciding what courses of action to adopt to attain those goals.

Deciding how to allocate organizational Resources.

Organizing : Organizing is about setting up and maintaining the internal organizational structure in accordance with objectives mentioned in planning stage. It also involves assigning tasks to various individuals for the larger goal of organization's missions and objectives.

Organizing:

Involves grouping people into departments according to the kinds of job-specific tasks they perform.Managers lay out lines of authority and responsibility.Decide how to coordinate organizational resources.

Staffing : Staffing is the process of choosing right people for organization. It can be associated with human resource management and involves recruitment, hiring, training and compensating the workforce.

Directing : Directing is guiding people in the organization through the means of counseling, instructing, motivating.

Controlling : Controlling The process of leading and influencing the task related activities of group members or an entire organization.

SYSTEM APPROACH

SYSTEM: A Definition

“A set of detailed methods, procedures, and routines

established or formulated to carry out a specific activity, perform a duty, or solve a

problem.”

NATURE OF A SYSTEM A system is a combination of parts and

sub systems.

Parts and sub parts of a system are mutually related to each other.

Arrangement in a system is more important.

System transforms inputs into outputs.

Prevalence of boundary.

Closed and open system.

FEATURES OF MANAGEMENT AS A

SYSTEM

Management as a social systemManagement as open systemAdaptiveDynamicProbabilisticMulti level and multidimensionalMultivariableAn integrated approach

System approach to Management

It is a collection of interrelated parts acting together to achieve some goals which exists in the environment. Also system is defined as a set of object working together with relationship between the objects and the attributes related to each other and to environment.

Therefore, system in simple term in respect to management, it is a set of different independent parts working together in interrelated manner to accomplish a set of objectives.

Elements of System Approach

An Organization is a unified and purposeful system consisting of several interconnected, interacting and interdependent parts.

The parts of a system are called sub-systems. Each sub-system influences the other sub systems and the system as a whole.

The position and function of each sub-system can be analyzed and understood only in relation to other sub-systems and to organization as a whole.

Elements of System Approach

Each sub-system derives its strength by its association and interaction with the other sub-systems. As a result the collective contribution of the organization is greater than the aggregate of individual contribution of its sub-systems. This is known as SYNERGY.

Each system has a boundary that separates it from its environment. The boundary determines which parts are internal to organization and which are external.

Elements of System Approach

The reactions or response of the environment to the output is known as FEEDBACK. Feedback is useful in evaluating and improving the functioning of the system.

Organizations operates on the principle that they have several alternative ways of doing the same thing or achieving the same goal.

Process of System Approach

CLASSIFICATION OF SYSTEMS

OPEN SYSTEMCLOSED SYSTEM

OPEN SYSTEM

An open system actively interacts with its environment. By interacting with other systems, it tries to establish exchange relationships.Open systems

have feedbackMechanism.

CLOSED SYSTEM Closed systems have no

interaction with environmentClosed system are self

contained and self maintainingClosed systems are mechanicalClosed systems are like

closed loops.

Advantages of System Approach

It aims at meaningful analysis of organizations and their management.It facilitates the interaction

between organization and its environment.It guides managers to avoid

analysing problems in isolation and to develop an integrated approach

Limitations of System Approach

Over-conceptualThe approach does not recognize

the differences in systems.Systems philosophy does not

specify the nature of interactions and inter-dependencies.Unpractical: It cannot be easily

and directly applied to practical problems.

 

We are very thankful to our respected sir Prof. S.K. SRIVSTAVA for his guidance and

motivation to this presentation.