UNIT-I: Introduction: Management

Concept and Nature –Types of Managers- Responsibilities and skills of Professional Manager- Functions of Management–Fayol’s
Principles of Management – Administration vs. Management– Management Process

– Levels of Management – Approaches to the study of Management.

Concept and Nature of Management

Management is the process of planning, organizing, leading, and controlling resources to achieve organizational goals efficiently and
effectively. It involves coordinating human, financial, and physical resources to meet the objectives of an organization. The nature of
management is both an art and a science:

 Art: Management is an art because it requires creativity, intuition, and personal skills to handle people and situations.
 Science: Management is also a science as it involves systematic knowledge, principles, and practices that can be studied and
applied.

Types of Managers

Managers can be classified into various categories based on their roles, levels, and functions within an organization:

1. Top Managers: These are executives like CEOs, presidents, and vice presidents who are responsible for making long-term
decisions and setting the overall direction of the organization.
2. Middle Managers: These managers, such as department heads and division managers, are responsible for implementing the
strategies set by top management and coordinating activities within their departments.
3. First-line Managers: These are supervisors or team leaders who manage the day-to-day operations and directly oversee the
work of non-managerial employees.

Responsibilities and Skills of a Professional Manager

A professional manager has several key responsibilities, including:

 Planning: Setting goals and determining the best way to achieve them.
 Organizing: Arranging resources and tasks to achieve the organization's objectives.
 Leading: Motivating and directing employees to work towards the organization's goals.
 Controlling: Monitoring performance and making necessary adjustments to meet objectives.

To fulfil these responsibilities effectively, a manager needs the following skills:

 Technical Skills: Knowledge and proficiency in a specific field or task.

 Human Skills: The ability to work well with others, understand their needs, and motivate them.
 Conceptual Skills: The ability to see the big picture, understand complex situations, and make decisions that benefit the
organization as a whole.
 Decision-Making Skills: The ability to analyze information, assess risks, and make informed choices.

Functions of Management

Management can be broken down into several core functions:

1. Planning: Determining the organization's goals and the means to achieve them.
2. Organizing: Structuring the organization and allocating resources to execute the plans.
3. Staffing: Recruiting, hiring, and developing the organization's workforce.
4. Leading: Directing and motivating employees to achieve organizational goals.
5. Controlling: Monitoring performance, comparing it with goals, and taking corrective actions if necessary.

Fayol’s Principles of Management

Henri Fayol, a French industrialist, introduced 14 principles of management that are still widely recognized and applied today:

1. Division of Work: Specialization increases productivity.

2. Authority and Responsibility: Managers must have the authority to give orders and the responsibility to ensure they are
carried out.
3. Discipline: Employees must obey and respect the rules of the organization.
 4. Unity of Command: An employee should receive orders from only one superior.
5. Unity of Direction: The organization should have a single plan of action to guide its activities.
6. Subordination of Individual Interests: The interests of the organization should take precedence over individual interests.
7. Remuneration: Employees should be fairly compensated for their work.
8. Centralization: Decision-making should be balanced between central authority and local control.
9. Scalar Chain: There should be a clear line of authority from top to bottom.
10. Order: Resources and people should be in the right place at the right time.
11. Equity: Managers should be fair and just to their employees.
12. Stability of Tenure: Long-term employment is important for organizational stability.
13. Initiative: Employees should be encouraged to take initiative.
14. Esprit de Corps: Promoting team spirit will build harmony and unity within the organization.

Administration vs. Management

 Administration: Focuses on setting policies, plans, and objectives, often at the top levels of an organization. It deals with the
overall direction of the organization.
 Management: Involves the implementation of these policies and plans through the coordination of resources and people. It
operates at all levels of the organization.

Management Process

The management process refers to the series of activities that managers perform to achieve organizational goals. It includes:

1. Planning: Setting objectives and determining how to achieve them.

2. Organizing: Arranging resources and activities in a structured way.
3. Leading: Motivating and directing employees to work towards objectives.
4. Controlling: Monitoring progress and making adjustments to stay on track.

Levels of Management

There are three main levels of management in an organization:

1. Top-Level Management: Comprises executives who make strategic decisions and set long-term goals.
2. Middle-Level Management: Involves managers who implement the strategies set by top management and coordinate
operations.
3. Lower-Level Management: Includes supervisors who oversee daily activities and directly manage employees.

Approaches to the Study of Management

Several approaches can be used to study management:

1. Classical Approach: Focuses on efficiency, specialization, and formal organization structures. It includes scientific
management, administrative management, and bureaucratic management.
2. Behavioural Approach: Emphasizes the importance of human behavior, motivation, and leadership in the workplace.
3. Quantitative Approach: Uses mathematical models, statistics, and algorithms to solve management problems.
4. Systems Approach: Views the organization as a system of interrelated parts that work together to achieve goals.
5. Contingency Approach: Suggests that management practices should be tailored to fit the specific circumstances of each
situation.