Management Concepts and Applications of Management

Management Concepts

and

Applications of Management

Management Process

            As there is no universally accepted definition for management, it is difficult to define it.

            But a simple traditional definition, defines it as the "art of getting things done by others". This definition brings in two elements namely accomplishment of objectives, and direction of group activities towards the goal. The weaknesses of this definition is that firstly it uses the word "art", whereas management is not merely an art, but it is both art and science. Secondly, the definition does not state the various functions of a manager clearly.

            A more elaborate definition given by George R. Terry, defines management as a process "consisting of planning, organizing, actuating and controlling, performed to determine and accomplish the objectives by the use of people and resources." Firstly it considers management as a "process" i.e. a systematic way of doing things. Secondly it states four management activities: Planning, organizing, actuating, and controlling. Planning is thinking of an actions in advance. organizing is coordination of the human and material resources of an organization. Actuating is motivation and direction of subordinates. Controlling means the attempt to ensure no deviation from the norm or plan. Thirdly it states that manager uses people and other resources. For example a manager who wants to increase the sales, might try not only to increase the sales force, but also to increase advertising budget. And fourthly, it states that management involves the act of achieving the organization's objectives.

Management: Art or science?

            Management involves characteristics of both art and science. While certain aspects of management make it a science, certain others which involve application of skills make it an art. Every discipline of art is always backed by science which is basic knowledge of that art. Similarly, every discipline of science is complete only when it is used in practice for solving various kind of problems. Whereas under "science" one normally learns the "why" of a phenomenon, under "art" one learns the "how" of it. In the words of Robert H. Hilkert: "In the area of management, science and art are tho sides of the same coin".

            In the beginning of development of management knowledge, it was considered as an art. There was a jungle of management knowledge. Any one used it to get things done in his own way. But later by codifying and systemizing the management, it became a science as well as being an art.

Management: A profession?

The following criteria identifies the statues of a profession to management:

·         Profession is a body of specialized knowledge.

·         Professional knowledge in systemized and codified form can be learned through formal education system.

·         A profession emphasizes on having a central body to formulate a code of behavior for its members.

·         A profession calls for rendering competent and specialized services to clients.

·         A profession maintains the scientific attitude and commitment for discovering new ideas and upgrading in order to improve quality of service and level of efficiency provided to clients.

·         A profession requires members to exercise restraint and self-discipline.

            Management knowledge meets the first two criteria because it has grown into a systematic body of knowledge and also it can be acquired and learned through the formal education.

Professionalization of management

The following reasons are in support of the professionalization of management:

·         In joint stock company, ownership has been separated from its management and control. This situation has really contributed to the development of management as a profession.

·         Rapid expansion and growth of management universities and institutions is an indicative of management professionalization trend.

·         In a high-tech industrial society, manifold changes have occurred in the role of managers.

·         In the context of globalization of economic operations, many strategic areas have been developed which require professional expertise and specialized knowledge (e.g. strategic planning, etc).

·         Increased utilization of specialized management services (e.g. consultancy, human resource development, etc) requires a team of professional managers.

Family management

            Family management implies management and control of business operations by a group of members belonging to a particular family, regardless of their knowledge about management. Thus the decisions and policies are largely influenced by family interest. Disputes and disagreements relating to family matters also tend to have a direct bearing on the functioning of the business organization. But in a professionally-managed enterprise, ownership is separated from management and control. Authority to manage and control business operations is delegated to professionally-qualified managers.

Levels of Management

Top Level of Management

It consists of board of directors, chief executive or managing director. The top management is the ultimate source of authority and it manages goals and policies for an enterprise. It devotes more time on planning and coordinating functions.

The role of the top management can be summarized as follows -

   Top management lays down the objectives and broad policies of the enterprise.

   It issues necessary instructions for preparation of department budgets, procedures, schedules etc.

   It prepares strategic plans & policies for the enterprise.

   It appoints the executive for middle level i.e. departmental managers.

   It controls & coordinates the activities of all the departments.

   It is also responsible for maintaining a contact with the outside world.

   It provides guidance and direction.

   The top management is also responsible towards the shareholders for the performance of the enterprise

Middle Level of Management

            The branch managers and departmental managers constitute middle level. They are responsible to the top management for the functioning of their department. They devote more time to organizational and directional functions. In small organization, there is only one layer of middle level of management but in big enterprises, there may be senior and junior middle level management. Their role can be emphasized as -

   They execute the plans of the organization in accordance with the policies and directives of the top management.

   They make plans for the sub-units of the organization.

   They participate in employment & training of lower level management.

   They interpret and explain policies from top level management to lower level.

   They are responsible for coordinating the activities within the division or department.

   It also sends important reports and other important data to top level management.

   They evaluate performance of junior managers.

   They are also responsible for inspiring lower level managers towards better performance.

Lower Level of Management

            Lower level is also known as supervisory / operative level of management. It consists of supervisors, foreman, section officers, superintendent etc. According to R.C. Davis, “Supervisory management refers to those executives whose work has to be largely with personal oversight and direction of operative employees”. In other words, they are concerned with direction and controlling function of management. Their activities include -

   Assigning of jobs and tasks to various workers.

   They guide and instruct workers for day to day activities.

   They are responsible for the quality as well as quantity of production.

   They are also entrusted with the responsibility of maintaining good relation in the organization.

   They communicate workers problems, suggestions, and recommendatory appeals etc to the higher level and higher level goals and objectives to the workers.

   They help to solve the grievances of the workers.

   They supervise & guide the sub-ordinates.

   They are responsible for providing training to the workers.

   They arrange necessary materials, machines, tools etc for getting the things done.

   They prepare periodical reports about the performance of the workers.

   They ensure discipline in the enterprise.

   They motivate workers.

Skills and Functions of a manager

Manager should have applied & practiced skills. Skills may or may not be tailor made but as they have to deal with the most precious asset i.e. the human element a due care is necessary for practising the skill so as not to bring adverse result.

The basic skills needed are:

·         Calmness

·         Maturity

·         Friendlyness

·         Tolerance

·         Appreciable

·         Tolerable

·         Adorable

SUMBER:

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