Notre Dame of Jolo College

CBME-SM

Introduction to Management

Definition of Management

 Management is the art of getting things done through and within formally organized group. (Harold Koontz)

 Management is that function of an enterprise which concerns itself with direction and control of the various
activities to attain business objectives. Management is essentially an executive function; it deals with the active
direction of the human effort. (William Spriegal)

 Management is concerned with seeing that the job gets done, its tasks all centre on planning and guiding the
operations that are going on in the enterprise. (E.F.L. Brech)

 Management is the creation and maintenance of an internal environment in an enterprise where individuals,
working in groups, can perform efficiently and effectively toward the attainment of group goals. (Koontz and
O’Donnel)

 Management is a process consisting of planning, organizing, actuating and controlling, performed to determine
and accomplish the objectives by the use of people and other resources. (George R. Terry)

Management is the sum-total of all activities that:

(i) Determine objectives, plans, policies and programmes;

(ii) Secure men, material, machinery cheaply

(iii) Put all these resources into operations through sound organization

(iv) Direct and motivate men to work

(v) Supervises and control their performance and

(vi) Provide maximum prosperity and happiness for both employer and employees and public at large.

Management Functions

Newman and Summer

1. Planning

2. Organizing

3. Commanding

4. Coordinating

5. Controlling
Luther Gulick (POSDCORB)

1. Planning

2. Organizing

3. Staffing

4. Directing

5. Coordinating

6. Reporting

7. Budgeting

Planning

o The most fundamental and the most pervasive of all management functions.

o Planning is concerned with ‘what’, ‘how, and ‘when’ of performance.

o It is deciding in the present about the future objectives and the course of action for their achievement.

Planning involves:

(a) Determination of long and short-range objectives;

(b) Development of strategies and courses of actions to be followed for the achievement of these objectives; and

(c) Formulation of policies, procedures, and rules, etc., for the implementation of strategies, and plans

Organizing

o Organizing involves identification of activities required for the achievement of enterprise objectives and
implementation of plans; grouping of activities into jobs, assignment of these jobs and activities to departments
and individuals; delegation of responsibility and authority for performance, and provision for vertical and
horizontal coordination of activities.

Sub-functions:

(a) Identification of activities required for the achievement of objectives and implementation of plans.

(b) Grouping of activities so as to create self-contained jobs.

(c) Assignment of jobs to employees.

(d) Delegation of authority so as to enable them to perform their jobs and to command the resources needed for
their performance.

(e) Establishment of a network of coordinating relationships.

o Staffing is a continuous and vital function of management.

o The procurement of suitable personnel for manning the jobs.

o Since the efficiency and effectiveness of an organization significantly depends on the quality of its personnel and
since it is one of the primary functions of management to achieve qualified and trained people to fill various
positions, staffing has been recognized as a distinct function of management.

Sub-functions:

(a) Manpower planning involving determination of the number and the kind of personnel required.

(b) Recruitment for attracting adequate number of potential employees to seek jobs in the enterprise.

(c) Selection of the most suitable persons for the jobs under consideration.

(d) Placement, induction and orientation.

(e) Transfers, promotions, termination and layoff.

(f) Training and development of employees.

Directing

o Directing is the function of leading the employees to perform efficiently, and contributes their optimum to the
achievement of organizational objectives.

o Jobs assigned to subordinates have to be explained and clarified, they have to be provided guidance in job
performance and they are to be motivated to contribute their optimum performance with zeal and enthusiasm.

Sub-functions:

(a) Communication

(b) Motivation

(c) Leadership

Coordination

o Coordinating is the function of establishing such relationships among various parts of the organization that they
all together pull in the direction of organizational objectives.

o It is the process of tying together all organizational decisions, operations, activities and efforts so as to achieve
unity of action for the accomplishment of organizational objectives.
Sub-functions:

(a) Clear definition of authority-responsibility relationships

(b) Unity of direction

(c) Unity of command

(d) Effective communication

(e) Effective leadership

Controlling

o Controlling is the function of ensuring that the divisional, departmental, sectional and individual performances
are consistent with the predetermined objectives and goals.

o Deviations from objectives and plans have to be identified and investigated, and correction action taken.

Process:

(a) Measurement of performance against predetermined goals.

(b) Identification of deviations from these goals.

(c) Corrective action to rectify deviations.