1. MGT-100: PRINCIPLES OF
MANAGEMENT
 There are 3 lecturers taking you through this
course
 during this semester. There will be 12 to 13
weeks of teaching/Tutorials for this course
before you write the final examination.
 2 CA Tests---40%
 Final exam---60%

2.  We will be dealing mainly with :
 Management
 Manager
 Historical Back ground of
Management
 Evolution of Management
 Functions of Management

3. Organisation defined
 Organisation
 is group of people with formally
assigned roles who work together to
achieve the goals of the group.
 Characteristics:
common purpose/goals
organizational structure

4. Determinants of Organisation
 1. Organisation size
 2.Diversity of operations
 3.Characteristics of personnel
 External factors
 Environment, Resources
 Technology
 Government regulations

5.  Clients and customers
 Legal environment
 Competitors
 Social systems

6. Cont’d
Manager
 is a person who plans, organizes,
leads, and controls the work of
others so that the organisation
achieves its goals. Therefore a
manager:
gets things done through the
efforts of other people.
is skilled at the management
process.

7. An Introduction to Management
1–7
 Organization  Types of
 A group of
Organizational Goals
people working  Profit-seeking
together in  National defense
structured and
Discovery of
coordinated
knowledge
fashion to
 Coordination
achieve a set of
 Social needs
goals
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Cengage Learning, Inc. All
rights reserved.

8. Cont’d
Management Process
 Refers to the manager’s four
basic functions of planning,
organizing, leading, and
controlling.

9. Another process: POSDCORB
 PLANNING,
 ORGANISING, STAFFING,
 DIRECTING,
 COORDINATING/CONTROLLING,
 REPORTING,
 BUDGETING

10. Management Defined
1. Dessler (2004) defined
management as a process of
getting work done through other
people. Therefore:
 a manager set goals to be
achieved.
 arrange for resources.
 motivate employees and monitor
their activities.

11. Cont’d
Other resources like:
 Financial resource
 Material resource
 information resource
 Machinery
 Manpower

12. Other definitions of
Management
The art of getting things done
through people” (M.P. Follet)
“The process of planning,
organizing, leading, and
controlling the efforts of
organizational resources to
achieve stated organizational
goals” (Stoner)

13. Another definition
 Management is the process of setting
objectives and coordinating the
efforts of personnel in order to attain
them. It involves getting things done
through other people--- Richard
Hodgetts
 Doing things efficiently and
effectively is good management

14.  Efficiency-Getting the work
done with minimum effort,
expense, or waste
 Effectively-Accomplishing
tasks to the best satisfaction
of end users.

15. Basic Responsibility of
Management
EFFICIENTLY
Using resources wisely and
in a cost-effective way
and
EFFECTIVELY
Making the right decisions and
successfully implementing them
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rights reserved.

16. What is Management?
 Engaging in a set of
activities
 Planning and decision
making, organizing,
leading, and
controlling
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17.  Using an organization’s resources
 Human, financial, physical, and
information
 Achieving organizational goals
in an e ffic ie nt and e ffe c tive
manner.

18. Management: Science or Art or
both?
 The Science of Management
 Assumes that problems can be
approached using rational, logical,
objective, and systematic ways.
 Requires technical, diagnostic, and
decision-making skills and
techniques.
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19.  The Art of Management
 Requires a blend of intuition,
experience, instinct, and personal
insights.
 Requires conceptual,
communication, interpersonal, and
time-management skills to
accomplish managerial tasks
activities.

20. Management as Science and
Art
 As science- requires to use of
logic and analysis. Manager
arrives at a decision by
observing, classifying and
studying facts in relation to the
problem at hand.

21.  As an Art- It requires the use of
behavioural and judgmental skills
that can not be quantified or
categorised like in the case of
chemistry, biology and physics it
is an art of acting by motivating,
leading by using Judgment,
intuition,etc.

22. Contd---
 Art- Managers approach
management as an art when
dealing with people
 Science- Mangers approach
management as science dealing
with material things.

23.  The approach varies at different
levels of Management
 Lower levels- Use Scientific
techniques
Upper levels- use judgment,
thought and intuition

24. Management as a profession
 In addition to being an art and a
science, management is also
considered as profession.
Management changes its role
depending on the situation.

25.  Profession is a vocation whose
practice is founded upon an
understanding of the theoretical
structure of some department of
learning or science, and upon the
abilities accompanying such
understanding

26. Characteristics of a Profession
 To qualify as profession, an
occupation must meet five major
criteria
 1.Knowledge-Accumulation of
knowledge
 2.Competent application-
Application of knowledge

27.  3.Social responsibility-Assuming
Social Obligations
 4.Self Control/Ethics- for effective
management
 5.Community Sanction-
contribution to social programs

28. Management-The Importance
of Theory and History
 Why Theory?
 Provides a conceptual framework
for organizing knowledge and
providing a blueprint for action.
Management theories are
grounded in reality.
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29. Managers develop their own
theories.
Avoidsmistakes of others in
the past and develop further

30.  Why History?
 An awareness and
understanding of historical
developments in management
are important.
Furthers
development of
management practices.

31. Early Management Pioneers
 Robert Owen (1771–1858)
 Recognized the importance of
human resources and the
welfare of workers.
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32. ADMINISTRATION
 According to Theo Haimann, It
means “overall determination of
policies, setting of major objectives,
the identification of general purposes
and laying down of broad
programmes and projects”. It refers to
the activities of higher level. It lays
down basic principles of the
enterprise.

33.  According to Newman,
“Administration means guidance,
leadership & control of the efforts
of the groups towards some
common goals”.

34. MANAGEMENT

Where as management involves
conceiving, initiating and bringing
together the various elements;
coordinating, actuating, integrating
the diverse organizational
components while sustaining the
viability of the organization towards
some pre-determined goals.

35.  In other words, it is an art of
getting things done through &
with the people in formally
organized groups.
 Administration and
Management should go
together

36.  Charles Babbage (1792–1871)
 Focused on creating production
efficiencies through division of
labor, and application of
mathematics to management
problems.

37. Basic functions of Management
 Planning.
 Organising.
 Leading .
 Controlling

38. Planning
 Planning is a process of
establishing goals and deciding
how to accomplish them. It is one
of the best ways to improve
performance

39. Organising
 Organising is the process of
grouping resources and activities
to accomplish the end result in an
efficient and effective manner.
 It also means deciding where
decisions will be made , who will
do what jobs and tasks and for
whom.

40. Leading
 Leading is the process of
influencing people to work
toward a common goal .It
includes inspiring and motivating
people to work hard to achieve
organisational objectives

41. Controlling
 Controlling is the process of
evaluating and regulating ongoing
activities to ensure that goals are
achieved.
 Or
 is a process of setting
standards(such as sales quota or
quality standards), comparing actual
performance with standards set and
taking corrective action at the right
time.

42. 1.2 The Management Process
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43. What is a Manager?
 Someone whose primary responsibility is to
carry out the management process.
 Plans and makes decisions, organizes, leads,
and controls human, financial, physical, and
information resources.
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rights reserved.

44. Manager roles
 A role is an organized set of
behaviours.
 Managers perform various roles
in organisation to achieve
organisational goals.

45. Cont’d
Henry Mintzberg identified ten roles
common to all Managers.
These ten roles are divided into three
main groups depending on their
nature:

46. Managerial Roles

47. Cont’d
1.Interpersonal roles.
2.Informational roles.
3.Decisional roles.

48. Interpersonal roles
 1.Leader- managers are leaders in
their organisation. Is responsible for
hiring, training, counseling and
directing subordinates. The leader
has to motivate and encourage
workers to accomplish the goals of
the organisation

49.  2.Figurehead-( Representative
figure) Manager represent the
organisation in all formal
functions and meet important
people. This is a ceremonial role
so to say speaking on behalf of
the organisation

50. Cont’d
 3.Liaison/relationship- managers
maintains good relationship within
the organisation and outside.
(public).Interacts with people at
the same level of hierarchy. The
manager spends more or less
equal time both with outsiders
and insiders.

51. Cont’d
Internal relations involve Top
Management, other managers and
employees.
External relations with-suppliers,
bankers, the government and
customers.

52. Information role
Focal point of receiving and sending
information.
1.Monitor- performance, opportunities and
threats outside e.g. customer behaviour.
Basically talks to subordinates and
gathers information required in running
the organisation
Eg:Journals, News Papers and other
electronic means, websites

53. Cont’d
2.Analyses/ disseminator-
analyses information and passes
relevant data on to colleagues,
superiors and subordinates.
Eg: e-mail, voice mail and now
Face book and Twitter

54. Cont’d
 3.Spokesperson – managers acts
as spokesperson in their department and
outside the organization. Provides
information either to inform the public
about the organisation or to satisfy
influential people who control the
organisation.
 Eg: at the Company Annual Meetings with
Share holders/Board of Directors

55. Decisional roles
Use of information.
 1.Allocation of resources -The
Manager allocates resources and
decides who gets what. Eg: salaries,
assistance, hisher own time. Also
designs the organisation structure
and decides who will do what.

56.  2.Entrepreneur role -Mangers are
entrepreneurs- use information to
achieve a positive change e.g.
new product development or idea
or restructuring the business and
other innovations

57. Cont’d
 3.Negotiator’s role- interact with
employees, other department or
business to negotiate goals. This
is the major part of manager’s job
as he is the only one who has
authority to decide and commit
resources for any activity.

58. Examples of this role
 Schedules
 Outcomes
 Performance standards.
 resources
 trade union agreements.
 New contracts

59. 4. Trouble shooter or
disturbance handler role- try to
resolve problems before they
become serious/out of hands-
Responds to problems with
immediate action.
 Deals with strikes, shortages and
equipment breakdowns

60. Managerial skills
 A Skill is an ability to translate
knowledge into action that results in
desired performance.
 Robert Katz identified 3 different
kinds of Managerial Skills, they are:
 1.Technical skills 2. Human skills and
3.Conceptual skills.

61. 1.Technicasl Skills
 Ability to use the techniques.
 Ability to use procedures.
 Ability to use tools of a specific
field.
 Important at lower levels(First line
Managers and Team Leaders).

62.  To know how the work is done.
 Able to demonstrate the work.
 Main concern is to get the work
out.
 Once equipped with these
skills ,easy to direct subordinates
effectively and also to assist them
when they have problems.

63. Eg; of technical Skills:
 For Sales Managers; technical
skills involve ability to find new
sales prospects depending on the
needs of the consumers.

64. 2. Human skills(Interpersonal
Skills)
 An understanding of human
behavior and group processes, and
the feelings, attitudes, and motives
of others, and ability to
communicate clearly and
persuasively.
 Ability to deal with people effectively
both inside and outside the
organization.

65. Cont’d
 Ability to communicate, motivate
and lead individuals and groups
are key to their success
 It’s a skill of persuading,
negotiating and coordinating
activities of others e.g.
distributing work and solving
conflicts.

66. cont.
 The Jobs are more Human than
Technical in nature
 These skills are necessary to all
managers but more so with
Middle level Managers

67.  Middle level Managers’ are
concerned with directing lower
level supervisors and other
middle level Managers.
 The manager here is situated in
between Top level and Lower
Level Management

68.  The manager here takes top
management directives and turn
them into Operational Plans and
passes them on to the Lower
management for action.
 Here the Manager is like a politician
who is trying to balance various
needs or concerns of groups with
different interests.

69.  Further the manager here should
know:
 1.How to relater people in higher
level positions
 2. how to acquire communication
skills on a one-to-one basis

70.  3. How to improve their skills in
sizing up the employees
 4. How to use time more
effectively
 5. how to become results oriented
than activity oriented
 6. How to deal with
Organisational politics.

71.  Managers here are more
sensitive to others’ needs and
view points, and are good
listeners and communicators.
 Top/ Upper level Managers spend
most of their time in dealing with
people.

72. 3. Conceptual Skills
 Is the ability to plan, coordinate
and integrate all of the
organisation’s interests and
activities.

73. Contd---
 Good judgment, creativity, and
the ability to see the “big
picture” when confronted with
information.
 Involves planning and thinking
process.
 One must be intelligent and
practical.

74. Cont’d
 More crucial to top managers
than for middle management or
first line managers, because
long range forecasting and
planning are the principal
activities at this level.

75. Contd---
 The top management must be
able to balance the demands of
the organisation’s various
departments and units with the
demands of the external
environment,i,e;Local community,
social and economic forces,
customers and competition.

76. Characteristics of top Managers
 Among others they include:
 1. The capacity to abstract-
conceptualise, organise, and
integrate different ideas into a
coherent frame work
 2.Tolerance for ambiguity- ability
to with stand confusion until it is
clear.

77.  3.Intelligence-Capcity not only to
abstract but also to be practical
 4.Judgment-The ability to know
when to act.

78. Four possible mistakes of
Managers
 1. Insensitive to others by the
intimidating management style
 2. Becoming Often cold, aloof, or
arrogant in their behaviours
thinking he knows everything and
he is superior to others

79.  3. Betrayal of trust- making others
look bad by not doing what you
said you would do when you said
you would do it. It is failure to
admit mistakes.
 4. becoming overly political and
ambitious- unable to delegate, and
build a team.

80. Middle Level Top Level
First line Managers Managers
Managers
Conceptual=10 Conceptual=15 Conceptual=35
% % %
Human=40% Human=55% Human =50%
Technical=50% Technical=30% Technical=15%

81. What Skills Do Managers
Need?
Technical
Interpersonal Conceptual
Fundamental
Management
Diagnostic Skills Communication
Decision Time
Making Management
© 2012 South-Western,
1–81 Cengage Learning, Inc. All
rights reserved.