Introduction, planning, organizing, co-ordination,controlling,decision-making.

1. Prepared By Prof. Pratiksha Patil
1

2. Sr no. Chapters Pg no
1. Meaning & Nature of Management 3-6
2. Ethics in Managing & Social Responsibility 7-16
3. Evolution Of Management Thoughts 17-73
4. Planning 74-114
5. Decision-Making 115-153
6. Organizing 154-191
7. Co-ordination & Control 192-212
2

3.  Management is the act of getting people together to
accomplish desired goals and objectives using available
resources efficiently and effectively.
 Management comprises planning, organizing, staffing,
leading or directing, and controlling an organization (a
group of one or more people or entities) or effort for the
purpose of accomplishing a goal.
 Resourcing encompasses the deployment and manipulation
of human resources, financial resources, technological
resources and natural resources.
3

4.  Planning
 Organizing
 Staffing
 Directing
 Controlling
4

5.  Top level-Conceptual skills
 Middle level-Human skills
 Low level- Technical
5

6.  Interpersonal
- Figurehead
- Leader
- Liaison
 Informational
- Monitor
- Disseminator
- Spokesperson
 Decisional
- Entrepreneur
- Disturbance handler
- Resource allocator
- Negotiator
6

7. 7

8.  Socialresponsibility is defined as the
obligation and commitment of managers to
take steps for protecting and improving
society‟s welfare along with protecting their
own interest.
8

9.  Social Responsibility of Management
- Responsibility towards owners
- Responsibility towards employees:
- Responsibility towards consumers
- Responsibility towards the Governments
- Responsibility towards the community and
society
9

10.  Corporate Social Responsibility:
 Corporate social responsibility is involved
with theimpact of the company‟s actions on
the society.
 Social Responsiveness:
 Social responsiveness means the ability of
acorporation to relate its operations &
policies to thesocial environment in ways
that are mutuallybeneficial to the company
and to the society.
10

11.  Obligationof managers to take actions that protect
and improve the welfare of society as a whole along
with their own interests
11

12.  To produce customized products
 To establish fair prices of products consistent with
quality, efficiency and reasonable profit to the firm.
 To provide prompt, adequate, courteous, and friendly
service to customers.
 To ensure fairly wide distribution of products among all
sections of consumers.
 To improve their standard of living in society by
producing goods and services which they need
12

13.  Fairremuneration
 Job security and safety
 Proper working conditions and employee welfare
 Trade union rights
 Employee promotion and code of conduct
 Employee participation in management.
13

14. 1. Take corrective action before it is required.
2. Work with affected constituents to resolve mutual
problems.
3. Work to establish industry-wide standards and self-
regulation.
4. Publicly admit your mistakes.
5. Get involved in appropriate social programs.
6. Help correct environmental problems.
7. Monitor the changing social environment.
8. Establish and enforce a corporate code of conduct.
9. Take needed public stands on social issues.
10. Strive to make profits on an ongoing basis.
14

15. • Changed public expectations
• Better environment for business
• Balance power with responsibility
• Business has resources
• Prevention is better
• Moral responsibility
• Globalization
• Better employees
15

16. • Profit maximization
• Society has to pay the cost
• Lack of social skills
• Social overhead cost
• Lack of broad support
• Experts‟ views
16

17. 17

18.  Connect between management & human
civilization
 Human groups
 Organizational Activities
 Approaches in management
 Evolution of theories of management
18

19.  Theory is known as body of principles
 It gives clear,systematic view about the subject
 These theories make management teachable
 Method by which meaning is given to managerial
jobs.
19

20.  It presents systematic view of the subject.
 Abstract knowledge of any art as opposed to the
practice of it
 It is integrated group of fundamental principles
20

21.  It is application of science to management.
 Artof knowing what exactly you want from your
men to do &then seeing that it is done in the best
possible manner.
21

22.  F.W.Taylor is known as father of Scientific
management
 He enriched management with few principles
and scientific techniques.
 He basically worked towards improving
industrial efficacy.
 F.W.Taylor is also called „‟Father of Scientific
Management‟‟
 His principles were highly influential in
progressive era.
22

23.  One best way to do work
 Most remembered for developing the
time and motion study.
 Break a job into components and measure
the efficient time frame.
 But unfortunately he was unsuccessful at
Bethlehem Steel.
 Management could be an academic
discipline.
23

24.  Scientific management was developed to counter the
problem of workers deliberately working below full
capacity.
 Taylor pioneered time and motion study.
 Created best work method rather than traditional
method.
 Implemented his theory at Bethlehem steel in two
famous studies involving shoveling and pig-iron
handling.
 His primary contribution remains redefining the role of
manager in management theory.
24

25.  Replace the rule of thumb by science
 Scientific
selection, training and
development of workers
 Spirit
of cooperation between workers and
management
 Division
of work between workers and
management.
25

26.  Improvement of efficiency and maximization
of profit.
 Organizational interest before self interest.
 IncreasedSize of labour to obtain division of
labour and specialization of task
26

27.  Science not the rule of thumb
 Harmony not discard
 Scientific selection ,training and development.
 Division of work/responsibility
 Mental Revolution.
27

28.  Raise countries standards.
 Still
tools being developed by scientific
management adopted today
28

29.  HenryLaurence Gantt –management
consultant-mechanical engineer.
 Developed the Gantt chart in 1990
 Applied on projects such as Hoover Dam and
inter state highway projects.
29

30.  Itused for scheduling multiple overlapping
tasks over a period of time.
 Focused on motivational schemes
 Emphasizing the greater effectiveness of
rewards for good work.
 Pay incentive system with a guaranteed
minimum wage and bonus systems for people
on fixed wages.
30

31.  The Gantt chart.
 The task and bonus system
 The social responsibility of business
 Workers training
 Stress on human element in management.
 Role of preaching and teaching workers.
31

32.  They can be understood by wide audience
 Can be difficult for projects having more than 30
activities.
 Chart does not represent the magnitude of the
project
32

33.  Henry
Fayol is known as Father of
Administrative Management(1841)
 Contributed 14 principles of management.
 Management is a universal activity that
applies well to family as well as corporation.
33

34.  Specialization of labour
 Authority
 Discipline
 Unity of command
34

35.  Unity of Direction
 Subordination of individual interests
 Remuneration
 Centralization
 Scalar chain
35

36.  Order
 Equity
 Personnel tenure
 Initiative
 Esprit de corps
36

37. Elton Mayo (180-1949)
Contribution towards management with the
famous Hawthorne Studies.
 Wrote a book" The human Problems of an
Industrialized Civilizations”
 Peoples performance is related to social
issues and job content.
 Logic of sentiment Vs Logic of cost
&efficiency.
37

38.  Illumination experiment
 Relay Assembly test room experiment.
 Mass Interviewing programme
 Bank Wiring observation room experiment
- Group of 14 male worker put together under observation for 6
months
It was thought that more efficient worker put pressure on less
efficient worker to provide higher out put
It was concluded that the group has established its own standards of
output & these standards where implemented through social
pressure.
38

39.  In the 1920s, the Hawthorne Works of the General Electric
Company, Chicago employed around 30,000 workers and
manufactured equipment for Bell Telephone System.
 Although it was a progressive organization, its managers were
disturbed by the large number of complaints and high level of
dissatisfaction among workers.
 In 1924, the company hired efficiency experts to find out the
cause of the problem, but the investigations failed.
 Later, the company requested the National Academy of Sciences
to help them find a solution.
 In order to find the relationship between worker efficiency and
level of illumination in the workshop, the Academy conducted
various experiments which came to be known as the Illumination
Experiments.
39

40. The illumination experiments
 In these set of experiments, researchers modified the level of
illumination i.e. the intensity of light, to determine its effect on
productivity.
 Two groups of employees, namely, the control group and the
experimental group, were selected to study the effect of varied
illumination levels on their productivity. Illumination was not changed
for the control group throughout the course of the experiments, while it
was changed constantly for the experimental group.
 It was observed that when the illumination was enhanced for the
experimental group, its productivity increased as anticipated by the
researchers. However, the productivity in the control group also went
up despite having no change in its illumination level. The researchers
then lowered the illumination intensity for the experimental group, but
surprisingly, the productivity still shot up. These experiments showed
that productivity of workers was influenced by some other variable and
not merely by illumination.
 These experiments revealed that there is some other variable beyond
wages, hours of work, working conditions that made a significant
impact on productivity.
40

41. Relay assembly room experiments
 This series of experiments began in 1927. These experiments
were conducted by a team led by Prof. Elton Mayo of Harvard
Business School, along with his colleague, Fritz Roethlisberger
and some company representatives.
 Many management theorists consider these experiments to be
the actual beginning of the Hawthorne Studies since the
Illumination Studies failed to come out with any conclusion.
 Initially, two girls were selected for these experiments and they
were, in turn, asked to choose four other girls. Thus, a group of
six was formed. These girls were placed in a test room where
they had to assemble telephone relays.
 A telephone relay is a small but complex device in which forty
separate parts have to be assembled.
 The girls were seated on a lone bench where they assembled the
parts and the assembled relay was dropped into a chute.
41

42.  An active observer was present with the girls in the workshop
who kept a record of all the happenings, informed the girls about
the experiments, obtained feedback from them and listened to
their grievances
 The rate of production was determined by counting the relays
that were dropped in the chute. The researchers noted the basic
rate of production at the start of the experiments.
 They wanted to find out how productivity could be improved by
introducing certain variables like rest pauses and modifying
other variables like cutting down on work hours, and
decreasing temperature and humidity.
 Various changes like change in the number of hours in a work
week, number of hours in a work day, the number of breaks,
lunch timings, etc. were planned and informed to the girls.
 Subsequently, these changes were introduced and their
effectiveness was measured by noting the increase or decrease in
the production of relays.
42

43. Findings of the relay assembly room experiments
 An overall increase in the productivity.
 This disagreed with the prevalent theory of Taylor, which stated
that workers were motivated only by economic rewards.
 The researchers realized that since the girls were given a great deal
of freedom, they had formed an informal group which also included
the observer.
 They had a jovial time at work and also engaged in social meetings
after work.
 The researchers thus discovered the concept of informal
organization.
 They found that workplaces were social environments that gave
employees scope to interact with each other.
 It was also realized that there were factors other than just economic
self-interest. An important conclusion drawn from such observation
was that every aspect of an industrial work environment had a social
value.
43

44.  The presence of a friendly observer rather than an
authoritarian supervisor at work added to their happiness.
 They felt valued and important when the observer
informed them in advance about the changes in work
pattern.
 As the supervisor was able to secure their whole-hearted
cooperation, the productivity increased despite the
withdrawal of many amenities at a later stage.
44

45. Bank wiring observation room experiments
 These experiments were undertaken by researchers in the later
part of the Hawthorne Experiments conducted during 1931-1932.
 The bank wiring observation room experiments were aimed to
understand the power of an informal group and peer pressure
on worker productivity.
 In this study, a group of fourteen men were engaged in 'bank-
wiring,' i.e. attaching wires to switches for certain parts of
telephone equipment.
 The fourteen participants in the experiment were asked to
assemble telephone wiring to produce terminal banks.
 This time no changes were made in the physical working
conditions.
 The workers were paid on the basis of an incentive pay plan,
under which their pay increased as their output increased.
45

46.  Researchers observed that output stayed at a fairly
constant level, which was contrary to their expectations.
 Their analysis showed that the group encouraged neither
too much nor too little work.
 Thus, these experiments provided some insights into
informal social relations within groups.
 It was concluded that the group has established its own
standards of output & these standards where implemented
through social pressure.
46

47. Interview phase, Hawthorne Studies
 During the course of the experiments, about 21,000 people were
interviewed over a three-year period - between 1928 and 1930 -
to explore the reasons for human behavior at work.
 It was concluded that productivity can be increased if workers
are allowed to talk freely about matters that are important to
them.
47

48.  The social and psychological factors are responsible for workers'
productivity and job satisfaction. Only good physical working
conditions are not enough to increase productivity.
 The informal relations among workers influence the workers'
behaviour and performance more than the formal relations in the
organisation.
 Employees will perform better if they are allowed to participate
in decision-making affecting their interests.
 When employees are treated with respect and dignity, their
performance will improve.
 Good communication between the superiors and subordinates can
improve the relations and the productivity of the subordinates.
 Special attention and freedom to express their views will improve
the performance of the workers.
48

49.  SocialFactor in output
 Group Influence
 Leadership
 Supervision
 Communication
49

50.  Mannot machinery,sensitive factors of
production.
 Employee oriented approach
 Group attitude
 Moraleof employee has direct impact on
productivity of an enterprise.
50

51.  Chester Irving Barnard (1886-1961)
 Looked at organization as system of
cooperation
Contributed two theories:
 Theory of authority
 Theory of incentives.
- Every one should know channel of communication
- Should have access to formal channel of communication.
- LOC should be short & direct as possible
51

52.  In his BOOK in 1960 The Human Side of
Enterprise
 Introduced two theories
 Theory X and Theory Y
 Theory projects managements role is to
assemble all factors of production including
people.
 Purpose being economic benefit.
52

53.  Humans dislike work and try to avoid.
 As they dislike work they have to be forced
 Average employee would like to be directed.
 People don‟t like responsibility.
 Average human wants to feel secure at work
 Shop floors, mass manufacturing…
53

54.  People view work as being natural as play
and rest.
 Motivate people and they woul be self
directing.
 Average human seek responsibility naturally.
 People are imaginative and creative.
 Professional services, knowledge workers
54

55.  Satisfaction and dissatisfaction at work arose from
different factors
 It is also called as two factor theory.
 According to theory people are influenced by two
factors.
 Satisfaction and psychological growth are results
of motivational factors.
 Dissatisfaction is a result of a lack of hygiene
factors
55

56.  Motivation needs
 Hygiene needs
 Challenge
 Policy.
 Autonomy
 Relation with
supervisor  Intrinsic interests
 Work conditions  Creative
opportunities.
 Salary
 Personal growth
 Company car
56

57.  Dreams
 Achievement
 Responsibility
 Personal growth
57

58.  Research on human behaviour asserts that to
achieve maximum productivity
 He has identified four system
 Exploitive –authoritative system
 Benevolent- Authoritative system
 Consultative System
 Participative-Group System
58

59.  Exploitive–authoritative system
- Decisions imposed on subordinates
- Motivation is by threats
- Little communication
- No teamwork
 Benevolent- Authoritative system
- Motivation by rewards
- Manager feel responsibility
- Little communication & little team work
59

60.  Consultative System
- Leadership is by superior
- No trust on subordinates
- Motivation by rewards & some involvement
- Moderate amount of teamwork
 Participative-Group System
- Complete confidence on subordinates
- Motivation by economic rewards based on goals
- More communication
60

61. Self
Esteem
Social
safety
Physilogical
61

62.  Work simplification
 Organized application of common sense.
 A simpler way of laying brick but a faster way in order
to meet 100% efficiency
 Employer –Employee board.
 E.g.-process charts,micro-motion,factory layout
model
62

63.  BUREAUCRACY
 Division of labour.
 Hierarchy
 Formalized rules.
 Impersonality
 Selection and promotion of employees based on
ability.
63

64.  Emphasis on mgmt functions and principles
involved in performing function.
 Mgmt functions are universal in nature.
 Conceptual frame work can be constructed
on the basis of analysis of mgmt process.
 Coreof mgmt revolves round planning,
organizing ,staffing, directing and controlling
64

65.  Management is essentially decision making
 Members of org are decision makers and
problem solvers.
 Org can be treated as combination of various
decision centers.
 Quality of decision affects the organizational
effectiveness.
65

66.  All factors affecting decision making are area
of study for managers.
 Other factors affecting the decisions are
process, information systems, social and
psychological aspects of decision makers.
66

67. TRANSFOR
OUTPUT
MATION
INPUTS
MATERIALS
RAW PRDT
FINACE
HRC SERVICES
INF
TECHNOLOGY
OPERATION METHOD
FEED BACK
67

68.  Closedsystems which do not interact with
environment.
 Opensystem are those system which have
exchange
68

69.  Negative entropy :New energy.
 Synergy: ability to sum its parts.
 Thesystem view point: managers are more
successful
69

70.  Competition
 People
 Technology
 Regulation
 Opportunities.
70

71.  Tom Peters and Robert Waterman had been
consultants at McKinsey&Co
 They published this in the “Structure is not
organization”
 “The Art of Japanese Management”
71

72.  Strategy
 Structure
 System
72

73.  Skills
 Shared values
 Staff
 Style
73

74. 74

75.  Planning is a mental predisposition to do things in
an orderly way, to think before acting &to act in
the light of the fact rather than guesses.
75

76.  Long term& short term plans.
 Standing plans:
 e.g-policies,objectives,strategies
rules,procedures,mission.
 Single use plans:budgets,targets,quotas.
76

77.  Standing plans  Single use plans
 Made to meet  Made to meet
situation recurring specific situation
in nature.
 It is used time  Usedonly for fixed
&again. purpose
 Brings unity &
uniformity  Ceases to exist after
its purpose.
77

78.  Strategic
plans: They are detailed action steps
mapped out to reach strategic goals.
 They are organization wide
 Developed by top management.
78

79.  They are means to support the strategic plans.
 They are more specific and concrete.
 The time taken is 1-3 years.
79

80.  Theyare means devised to support
implementation of tactical plans.
 Operational plans spell out specifically what
must be done to achieve operational goals.
 Time horizon is relatively short term less
than 1 year.
80

81.  Identification of area of study
 Collection & analysis of data.
 Setting of objectives
 Establishing planning premises.
81

82.  Searching Alternatives
 Comparing and selecting the best.
 Formulating derivative course of action.
 Implementation
 Follow up.
82

83.  Frequent revision
 Resistance to formalized planning
 Pressure of day-day responsibilities.
 Managers may be poorly prepared.
83

84.  PlanningShould be supported by proper
planning.
 Planningneeds to be done in small groups.
planning staff)
 Contingency planning is the development of
alternative plans.
84

85.  Objectivesare the goals, aims or purpose that
organizations want to achieve over varying periods of
time.
 Nature of objectives is as follows.
 Every organisation has an objective
 These may be broad or specific, wide or narrow, for
long term or short term.
85

86.  These are clearly defined.
 Objectives have hierarchy
 They are created within social norms.
 They may have multiple objectives.
86

87.  These
are done based on the value system of
managers.
 Organizational strengths and weakness.
 External environment.
87

88.  Itmust be clearly specified
 They must be set keeping all factors in mind.
 Should be consistent with organizational
mission.
 Should be realistic and rational.
 Should yield specific results when achieved.
 Should be consistent over a period of time.
88

89.  Peter Ducker was the person who
popularized Management by objectives in the
year-1954.
 MBO is concerned with goal setting for
individual and their units.
 Essence of it is joint goal setting between
superior and subordinate.
 Managers work with their subordinates to
establish the performance.
 MBO focuses attention on appropriate goals
and plans.
89

90.  Strategicplanning is the process of deciding on
the objectives of the organisation ,on changes in
these objectives on the resources used to attain
objective & on the policies that will govern the
acquisition ,use & disposition of these resources.
90

91.  Systematic means of analyzing the environment.
 Assessing the organizations strengths and
weakness.
 Identifying opportunities that would give the
organisation a competitive advantage.
 Provide a sense of direction so that the
organisation members know where to expend their
efforts.
91

92.  Mission &objectives
 Environmental scanning.
 Strategy formulation.
 Strategy implementation
 Evaluation and control.
92

93. Mission
 Mission is a reason for the company being
there.
 It projects a sense of purpose to employees
and projects accompany image to customers.
 It states a statement which sets the mood of
where the company should go.
Objectives
 Objectives are concrete goals that the
organization seek to reach.
 The objectives should be challenging but
achievable.
93

94.  Environmental analysis:
External environment has two aspects,
Macro environment that affects all firm and a micro
environment that affects only firms in a particular
industry.
PEST Analysis.
94

95.  Michael Porter‟s 5 forces framework that is useful
for industry analysis.
 It includes, barriers to
entry,customers,suppliers,substitute products and
rivalry among competing firms.
95

96.  Company culture.
 Company image.
 Organizational structure.
 Key staff.
96

97.  Access to natural resources
 Position on the experience curve.
 Operational efficiency.
 Operational Capacity.
97

98.  Brand awareness
 Market share.
 Financial resources.
 Exclusive contracts and patents and trade
secrets.
98

99.  Itcan be formulated on the basis of
Michael Porter model.
 Cost leadership, Differentiation…
 He focused on 3 generic strategy.
 With one generic being pursued.
99

100.  It needs to be developed at each level.
 Marketing
 Research and development.
 Procurement.
 Production
 Human resource and Information system.
100

101.  Theentire process after being implemented
needs to be controlled.
 Standards of performance needs to be taken
into consideration.
 The actual performance is measured.
 Appropriate action taken for success.
101

102. Strengths Weakness
Opportunities Threats
102

103.  The technique is credited to Albert
Humphrey.
 SWOT analysis is a tool for auditing an
organization and its environment.
 Strengths and Weakness are internal factors.
 Opportunities and Threats are external
factors.
103

104.  Also known as BCG Matrix
 BCG Growth share matrix is a portfolio –
planning model.
 Itis developed by Bruce Henderson of the
BCG in 1970.
104

105. 105

106. To assess :
 Profiles of products/businesses
 The cash demands of products
 The development cycles of products
 Resource allocation and divestment decisions
106

107.  Anticipated environment.
 Assumed premises.
 Known premises.
 External premises and Internal premises.
107

108.  Estimation of time series, cross-sectional or
longitudinal data.
 Demand planning for manufacturing.
 Statistical forecasting and consensus process.
108

109.  Quantitative
forecasting relies on numerical
data and mathematical model.
 Time-Series model.
 Explanatory or causal models.
109

110.  Regression models.
 Econometric models.
 Leading indicators.
110

111.  Technological forecasting.
 Judgmental forecasting.
 Jury of executive opinion.
 Sales force composite.
111

112.  Have a short to medium time horizon.
 Require a short period of time.
 Often have development cost.
 Low accuracy and difficult to understand.
112

113.  Medium to long term horizon.
 Medium development cost.
 Medium accuracy in identifying patterns.
113

114.  Have a short to long time horizon
 Require a short time.
 Have low development costs.
 Medium accuracy.
114

115. 115

116. A decision is a course of action which is
consciously chosen for achieving a desired
result.
 It is a selection of one behavior alternative
from two/more possible alternatives.
 Considers the fact.
116

117.  Understand the concept of decision making
 Takebusiness decisions by using the steps of
decision making.
 Explain decision making.
117

118.  Management and decision making go side by side.
 Structured decision making important.
 Future
of organization depends on the decision taken
by management.
118

119. A crisis problem.
A non crisis problem
 An opportunity problem.
119

120.  Defining the problem.
 Analyzing the problem.
 Establishing criteria by which it can be
evaluated.
 Identifying alternate solutions.
 Selecting the best one
 Implementing the decision.
 Evaluating the decision.
 Developing Alternatives.
120

121.  Decision
maker intends to maximise
economic gains.
 He is objective and rational.
 He can identify the problem clearly.
 Has full information about alternatives.
 Complete freedom to choose alternatives.
121

122.  Decision under certainity.
 Decision under uncertainty.
122

123.  Routine& Strategic Decisions.
 Operating decisions.
 Organizational & Personal decisions.
123

124.  Programmed & Non Programmed.
 Individual & Group decisions.
 Irreversible &Reversible decisions.
 Experimental Decisions.
124

125.  Trialand error decisions.
 Made in Stages Decisions.
 Caution Decisions.
 Conditional decisions.
 Delayed decisions.
125

126.  Well-Structured problems are straight forward,
familiar and easily defined.
A programmed decision or repetitive decision can
be used.
126

127.  Procedure.
 Rule.
 Policy.
127

128. Unusual problems or information.
These are best handled by non programmed
decision.
Unique decision which requires custom made
solution.
128

129.  Individual style of decision making.
 Two dimension style, two matrix style.
129

130.  Directive style
 Analytical style.
 Conceptual style.
 Behavioral style.
130

131.  Information.
 Time factor.
 External environment factors.
 Internal factors.
131

132.  Personality of the decision maker.
 Participation,Acceptance and
Implementation.
 Precedent
 Experience of a decision maker.
132

133.  Experience of a decision maker.
 Power to decide.
 Escalation of commitment.
 Bounded Rationality
 Problem perception.
133

134.  Engage
in COMPLETE RATIONAL DECISION
PROCESS.
 Optimal decisions.
 Possess
and understand all information
relevant to their decision.
134

135.  Identifying a problem.
 Decision criteria.
 Developing alternatives.
 Selecting an alternative
 Choosing a course of action.
 Evaluating the decision effectiveness.
135

136.  It‟s a predictive model.
 Mapping of observation of an item.
 Synergy of mathematical and computing
techniques.
 Aidsin description,categorisation and
generalization of a given set of data.
136

137.  Simple to understand.
 Require little data
 Ableto handle both nominal and categorical
data.
 Use a white box model
137

138.  Validate a model using statistical tests.
 Arerobust, perform well with large data in
short time.
138

139.  Classification tree.
 Regression tree.
 CART analysis: Classification and regression
trees.
139

140. Market research
Through development
good
New product moderate
poor
Rapid
Consolidated development
product
Strengthen products
Reap products
140

141.  When all the members together take a
decision it is called as group decision.
 Features
 Used when problem is complicated.
 Time consuming process.
 Leads to higher quality of decisions.
 Legal requirements and group behavior.
141

142.  Group brings more diverse effects.
 Increased number of alternatives.
 Greater understanding and acceptance of the
final decisions.
 Members develop knowledge and skills for
future.
142

143.  Group decision making is more time
consuming.
Disagreements may delay decisions and cause
hard feelings.
 The discussion may be dominated by one or
few group members.
 Group think is the tendency in cohesive
group.
143

144.  Individuals with information needs to be
involved.
 Heterogeneous groups have been found with
diverse behaviour.
144

145.  Brain storming.
 Nominal group technique.
 Delphi technique.
 Consensus Making.
145

146.  Delphi method
 Scenario Analysis.
 Deming TOOL for improvement.
 Nominal group technique.
146

147.  Creativityis a cognitive process of
developing an idea,concept ,commodity or
discovery.
 Creativity has two types of thinking.
 Convergent thinking, Divergent thinking.
147

148.  Domain relevant skills.
 Creativity relevant skills.
 Task motivation.
148

149.  Preparation involves the individuals
immersion.
 Gathering initial information.
 Generating alternatives.
149

150.  Advantages
- Better performance
- More performance
- Less mistakes
 Disadvantages
- Time consuming
- Creates chaos
- More competition
150

151.  Brainstorming
 Delphitechnique
 Nominal technique
151

152.  Decision tree learning, used in statistics,
data mining and machine learning, uses a
decision tree as a predictive model which
maps observations about an item to
conclusions about the item's target value.
 More descriptive names for such tree models
are classification trees or regression trees.
In these tree structures, leaves represent
class labels and branches represent
conjunctions of features that lead to those
class labels.
152

153. Decision trees used in data mining are of two main
types:
 Classification tree analysis is when the predicted
outcome is the class to which the data belongs.
 Regression tree analysis is when the predicted
outcome can be considered a real number (e.g. the
price of a house, or a patient‟s length of stay in a
hospital).
 The term Classification And Regression Tree (CART)
analysis is an umbrella term used to refer to both of
the above procedures, first introduced by Breiman et
al.
 Trees used for regression and trees used for
classification have some similarities - but also some
differences, such as the procedure used to determine
where to split.
153

154. 154

155. A group of people that have been established for
the pursuit of relatively specific objectives on a
more or less on continuous basis.
155

156.  Discipline
 Division of work
 Better coordination.
 Increase in efficiency.
156

157.  Securityand support.
 Avoid duplication of work
 Adaptability
 Better human relation.
 Achievement of goal.
157

158.  Assigning individuals with formal tasks.
 Formal reporting ,lines of authority, decision
responsibility, hierarchical levels and span of
management control.
 Design of systems.
158

159.  Review plans.
 List tasks.
 Group the tasks into jobs.
 Group jobs.
159

160.  Assignment of duties.
 Delegation of authority.
160

161.  Formal pattern of interactions and coordination
designed by management to link the tasks of
individuals and groups in achieving organizational
goals.
161

162.  It consists primarily of four elements.
 Job design.
 Departmentalization.
 Vertical coordination
 Horizontal coordination.
162

163. Bases:
- Functions
- Process
- Product
- Location
- Customers
- Time
163

164.  Itis a group combined together for
performing certain functions of similar
nature.
 Departmentalization is the process of
combining related jobs into larger group.
164

165. 165

166.  Authority flow is in a direct chain.
 Top of the company to bottom.
 Chain of command is an unbroken line.
 Unity of command
 Span of control.
166

167.  More limited to advice.
 Authority that is based on expertise.
 Staff members are advisors and counselors.
 They are advisors such as accounting ,human
resource, information technology.
167

168.  Committees or work team involved.
 They work with minimum supervision.
 They are empowered to plan and organize
their own work.
 Empowered to create their own schedules.
 Facilitates to detect and react to changes in
the environment.
168

169.  Authorities have power to get things done.
 Involving
employees to set their objectives
empowers them.
169

170.  Legitimate power
 Coercive power
 Reward power.
 Expert power.
 Referent power.
170

171.  Delegation consists of granting authority or the
right to decision –making in certain defined areas
& charging the subordinate with responsibility for
carrying through the assigned task.
 Togive offer and allot a part of authority to
subordinate.
171

172.  SMARTER
 Specific
 Measurable
 Agreed
 Realistic
 Time bound
 Ethical & Recorded.
172

173.  Authority
 Responsibility
 Accountability.
173

174.  Low degree of delegation.
 Moderate degree of delegation.
 High degree of delegation.
174

175.  Clarifying the assignment.
 Specify the subordinates range of discretion.
 Allow the subordinate to participate.
175

176.  Inform others that a delegation has occurred.
 Establish feedback control.
176

177.  Preparing
 Planning
 Discussing
 Auditing and Appreciating
177

178.  Lacking confidence
 Lacking trust
 May create bottleneck in process
 Fear of losing status and position
 No delegation may discourage person
178

179.  Superiors love for authority.
 Maintenance of tight control.
 Fear of subordinates.
 Negative attitude towards subordinates etc…
179

180.  Making the potential delegator feel secure.
 Creatingawareness for the need of
delegation.
 Determining decision & tasks to be deligated.
180

181.  Delegating wisely.
 Tying delegation with planning.
 Delegating authority for whole job.
181

182.  Decentralizationrefers to the systematic effort to
delegate to the lowest levels all authority except
that which can be exercised at central points.
182

183.  Centralizedorganization systematically
works to concentrate authority at the upper
levels.
 Decentralized organization.
Management consciously attempts to spread
authority to the lower organization levels.
183

184.  Reduction burden.
 Facilitates growth and diversification.
 Considers
good philosophy to motivate
managers.
 Encourages development.
184

185.  Organization is large.
 Operation are geographically dispersed.
 Topmanagers can not keep up with complex
technology.
185

186.  Political decentralization.
 Administrative decentralization.
 Fiscal decentralization
 Economic or Market Decentralisation
186

187.  Topmanagers can concentrate on major
issues.
 Thejobs of lower level employees are
enriched by the challenge of making
decisions.
 Decisions can be made faster.
187

188.  Individuals
at lower levels may be closer to
the problem and be in a better position to
make decisions.
188

189. A term which originated during the military
organization.
 Span of management also called span of
control, span of supervision.
 Should have neither toomany nor few
subordinates.
189

190.  Capability of workers: if workers are highly
capable, need little supervision, and can be
left on their own, they need not be
supervised much as they are motivated and
take initiative to work; as such the span of
control will be wider.
 Similarity of task.
190

191.  Capacity of superior.
 Capacity of subordinates.
 Nature of work.
 Use of staff assistance.
191

192. 192

193.  Co-ordination is orderly arrangement of group
efforts to provide unity of action in the pursuit of
a common purpose.
193

194.  Coordination pulls all function.
 Itbrings satisfaction to all people in the
organization.
 Smooth flow of information and resources.
194

195.  Constant change
 Passive leadership
 Large personnel
 Functional differentiation.
 Specialization.
195

196.  Clearly defined goals.
 Clear lines of authority &responsibility.
 Comprehensive programmes and policies.
 Staff meetings.
196

197.  Cooperation.
 Effective communication.
197

198.  Controlis a management function which implies
measurement and correction of performance of
subordinates to ensure that the predetermined
objectives are accomplished.
 Taking actual steps to bring results.
198

199.  Makes plan effective.
 Make sure activities are accurate.
 Makes organization effective and efficient.
 Feedback on project status & decision
making.
199

200.  Cope with uncertainty.
 Alert to possible opportunities.
 Enables to handle complex situation.
200

201.  Control is forward looking
 An essential function of management.
 Controls continuous activity.
 It is dynamic process.
201

202.  Control is also backward looking system.
 It is based on planning
 It aims to achieve results.
 Manage both human and physical factors.
202

203.  Establish performance standards.
 Measure actual performance
 Compare measured performance against
established standards.
 Take corrective action.
203

204.  Feedforward control/ preliminary/
preventive/steering
 Concurrent control/screening/yes-no
 Feed back controls/post action /output.
204

205.  Traditional technique
 Modern technique.
205

206.  Budgetary control
 Top down budgeting
 Bottom-up budgeting
 Zero based budgeting
 Flexible budgeting.
206

207.  Statistical data and reports
 Marginal costing: ascertainment of marginal
cost & of the effect on profit of changes in
volume or type of output by differentiating
between fixed and variable cost.
 Break even analysis: the position of profit,
loss at different levels of activity.
207

208. Modern techniques
 Management audit
 PERT: Programme evaluation and review
technique.
 CPM: Critical path method, marks critical
activities in a project.
- construction aerospace, & defense, software
development, research projects, product
development, engineering & plant
maintenance
 MIS: Management information system
208

209.  Japanese believe in is lifetime employment.
 Besides job security Japanese companies believe in
trust.
 Not to be promoted till one works for 10 years.
209

210.  Do not give set target
 Whiledecision making whole company should
be involved.
 One individual should not be rewarded.
210

211.  Short
term  Life employment.
employment.
 Individual decision  Collective decision
making making
 Individual  Collective
responsibility Responsibility
211

212.  Rapid
evaluation &  Slow evaluation &
promotion promotion
 Specialized career  Non specialized
path career path
212