COURSE CODE : MGT 111

COURSE DESCRIPTION : Fundamentals of Management

TARGET POPULATION : All 1st year Students of Business Administration
COURSE FACILITATOR : MR. ELMORE
MAREKIT Q. NOCOS
C. EVARISTO

WEEK 2

CHAPTER 2. MANAGEMENT: FUNCTIONS, ROLES AND STYLES

Learning Objective:

Upon completion of this module, students are expected to:

1. Explain the nature and functions of management
2. Describe the managerial roles and activities
3. Assess their managerial skills and competencies
4. Identify and discuss the different levels of management
5. Describe the changing nature of managerial work

Lesson 1. Nature of Management

Management is the art of getting things done through people.
This means that managers are task oriented, achievement oriented and at the same time, people
oriented
Management is power. So much more has been achieve by people who were able to leverage
their talents and abilities by knowing the art of influencing others to work for them.
Management is a science. As it is concerned with running the entire organization, it utilizes
various scientific tools such as scientific study of work methods to improve workers’ productivity
and mathematics to aid problem solving and decision-making.
Management is a discipline of getting things right. Managers are responsible for organizational
performance – a measure of how efficiently and effectively managers use resources to achieving
organizational objectives.
Efficiency is the means of attaining organizational goals. To be efficient means is to use
resources such as people, money, raw materials, and the like – wisely and cost effectively.
Effectiveness is the organization’s end, the goals. To be effective means to achieve results, to
make the right decisions and successfully carry them out so that they achieve the organization’s
goals.
Lesson 2. Management Functions
Are the process used by the managers in achieving the organization’s goal.
1. Planning. It is basically the starting point of management process. It involves setting of
goals or objectives and designing the course of action on how to achieve them. Planning
provides the focus for people in the organization.
2. Organizing. In order to implement the plans, managers arrange and delegate the various
tasks and resources to people assigning their authority, responsibility and work
relationships.
Staffing – the process of selecting, training, and evaluating employees.
3. Leading. It is the process where managers motivate, direct and influence people to work
hard to achieve the desired organizational objectives.

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 Managers must communicate the organization’s objectives to employees and motivate
them to achieve the objectives.

4. Controlling. A management process that is concerned with achieving the objectives

within the established standards. In here, managers monitor, evaluate, and compare
performances with the organization’s goals and established standards, and taking
corrective actions needed. The success of controlling process depends on the managers’
conceptual and decision making skills an interpersonal and communication skills.
Lesson 3. Management Roles and Activities
1. Interpersonal Roles. Provide direction and supervision for both employees and the
organization as a whole.
Management activities that are traced in the interpersonal roles are the following:
a. Figurehead role. Managers play this role when they represent the organization or
department in ceremonial and symbolic activities, provide example in ethical
guidelines to employees or establish appropriate ways to behave in the
organization. When you greet visitors and provide them a tour of in the different
departments of the company, then you are performing the figurehead role.
b. Leadership role. Managers perform the leadership role when they motivate, train,
communicate with and influence others. As a leader you assume full responsibility
for the actions of your subordinates, since their success and failures reflect on
you.
c. Liaison role. Managers play the liaison role when they develop alliances with other
people outside the organization, work and interact with them in order to gain
information and favors to help achieve the organization’s goals.
2. Informational Roles. Are closely associated with the tasks necessary to obtain and
transmit information.
The manager’s informational roles include the following management activities:
a. Monitor role. Managers play the monitor role when they are constantly alert for
useful information, whether gathered from newspaper stories about the
competition or gathered from conversation with subordinates. The managers
serve as the “nerve center” to gain a comprehensive and systematic
understanding of the organization and its environment.
b. Disseminator role. Managers play the disseminator role when they transmit
information needed by the organization to update the concerned employees.
The information drive may be through email, meetings or bulletins. This would
quickly and effectively influence the employees’ work attitudes and behaviour.
c. Spokesperson role. Managers plays the spokesperson role when they speak
on behalf of the organization to people outside about its plan, policies, actions
and results.
3. Decisional Roles. Are closely associated with the methods managers use to plan
strategy and utilize resources. The critical part of manager’s job is making judgment.
The four decision-making roles are categorized into the following managerial activities:

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 a. Entrepreneur role. Managers perform entrepreneurial role when they innovate,
constantly search for new business opportunities and initiate new projects or
improvements for the benefit of the entire organization.
b. Disturbance handler role. Managers act on this role when they take corrective
action during crises, unforeseen problems from product defects to international
currency crises or other conflicts within the organization in order to provide
service and product satisfaction and maintain smooth business operation.
c. Resource allocator role. Managers perform this role when they apportion the
organization’s scare resources setting priorities about their use. This could be
done through budgeting, scheduling, proper authorization and programming of
activities.
d. Negotiator role. Managers play this role when they bargain with other
organization to obtain the most economical materials and services the business
requires. The negotiator role is also performed within the company when the
managers serve as the mediator to settle conflicts, economic package and other
issues within the organization.
Lesson 4. Management Skills
The fundamentally important management’s responsibility is to perform its function, roles
and achieve its organization’s goal competitively.
Basically, the following management skills should be possessed by a manager:
a. Technical skills. Involve the ability to use methods and technique to perform a
task in a specialized field.
Generally, technical skills are special knowledge acquired through
formal/informal education, trainings, and experiences.
b. Conceptual and decision-making skills. Center on the ability to understand
and simplify abstract ideas and select alternatives to solve problems or issues
confronting an organization.
Conceptual thinking is system thinking. A manager should have the ability to
understand an organization/department as a whole and the interrelationship
among its parts.
c. Interpersonal and communication skills. Also called people or human’s skills
reflect the manager’s ability to work well with people in teams to accomplish
organizational objectives.
Lesson 5. Management Competencies
Are the managerial qualities combined with organizational resources that can be productively
used by effective workers.
These management competencies are known as:
1. Resources. Managers allocate time, money, materials, space and workers.
The management skills which are technical, conceptual and decision-making as well as the
management functions of planning, organizing and controlling are all related to the proper
utilization of organization's resources.

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2. Interpersonal skills. Managers are working on teams, teaching others, serving customers,
leading, negotiating, and working well with people from different cultural backgrounds.
This is related to the application of management skills regarding the communication and human
skills and management functions of organizing and controlling.
3. Information. Managers acquire and evaluate data, organize and maintain files, interpret and
communicate and use technology such as computers in processing information.
This competency uses the management skills of communication and human skills and the
management functions of organizing, leading and controlling.
4. Systems. Managers acquire, understanding of the social, organizational and technological
systems, monitor and correct performance and designs or improve the processes used in
achieving the organization's goals.
5. Technology. Managers select equipment and tools, apply, maintain and trouble shoots
theoretical knowledge to improve specific task.
This competency is related to the technical skills of management and the planning, organizing
and controlling of management functions.
Lesson 6. Foundations of Management Competencies
The management competencies require the following essential foundation in order that
managers could effectively and efficiently perform a solid job:
1. Basic Skills. These skills refer to the reading, writing, arithmetic and mathematics which are
all needed in the use of management functions and skills.
2. Thinking Skills. These involve the managers' ability to think creatively, make significant
decisions, solve problems, anticipate events, learn and reason. All the management
functions and skills require the thinking skills particularly the conceptual and decision-making
and management skills.
3. Personal Qualities. These include the managers character related to their individual
responsibility, self-esteem, sociability, self-management and integrity.
Desirable personal qualities can be developed. These qualities affect the person's management
skills and how the performs management functions.
Lesson 7. Resources Used by Managers
Managers used resources to accomplish their purposes. These resource may be classified into
the following:
1. Human resources. Managers are commonly influence to choose employee based on the
goal and work to be accomplished.
2. Financial resources. The money used by the organization to reach organizational goal. For
profit organizations, financial resources are sourced from profits, investors, and creditors. For
nonprofit organization, financial resources are sourced from donations, grants, financial aids,
taxes, membership fees and borrowings.
3. Physical resources. The tangible goods at the disposal of the organization to accomplish its
goal. These may be in the form of inventories, real estate, office space, facilities, equipment
and machines.
4. Information resources. The data that the organization use to accomplish its goal. Managers
utilize newspaper, internet, data banks, advertisements, etc. as an information resource.

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Lesson 8. Levels of Management
The degree of importance of the managerial functions (planning, organizing, leading and
controlling) to any manager depends on his position in the management ladder. The amount of
time and effort spend in planning and organizing resources to maintain and improve
organizational performance increases as they ascend to the hierarchy of management.
Management may be classified into three major levels – Top, Middle and First-Line.

1. Top Managers. They establish organizational goals, decide how departments should
work together, and monitor the performance of middle managers. They are the ultimate
responsible for the success or failure of the organization.
These executive positions have titles such as chairman of the board, chief executive
officer, chief operating officer or vice president.
The chairman of the board head the company’s board of directors, who is the policy
maker of the organization.
The CEO is the company’s most senior manager who is known to be the company’s
president.
The COO refers to the top manager who is being groomed to take over the CEO when
current CEO retires or leave the company.
The vice president are the other top managers who head the different departments such
as operations, marketing, finance, and human resource department.
2. Middle Managers. These managers are responsible for finding the best way to use
resources to achieve organizational goals.
They are responsible for implementing top management’s strategy by developing
short-term operating plans. They generally report to the top management and supervise
the work of the first-line managers.
People holding these positions have titles such as branch manager, area manager, sales
manager or department head. Middle managers spend equal time on all four managerial
functions.
3. First-Line Managers. They are responsible for implementing the operational plans of the
middle managers and supervising the non-managerial employees who perform the many
specific work to produce gods and services.
Managers belong to this group are called supervisors, head nurse, office manager.
First-line managers spend more time in leading and controlling non-managerial
employees.
Lesson 9. Types of Managers
The three types of managers include general, functional and project managers.
1. General Manager. Include top managers ad some middle managers because they
supervise the activities of several departments or organizational activities as a whole.
2. Functional Managers. They are the manager of specialists because they supervise the
work of employees engaged in specialized fields. Include the middle and first-line
managers because they supervise the activities of related tasks.
Marketing managers are responsible for advertising and selling the products or services.

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 Financial /Accounting managers administer the organization’s funds and investments as
well as the keeping of records business conditions and results of operations.
Production/Operations managers are in charged for making of products and providing
services for the clients.
Human Resource managers are responsible for forecasting future employee needs,
recruiting, selecting, evaluating and compensating employees.
3. Project managers. They are responsible to coordinate employees and the other
resources across several departments to accomplish specific task such as development
of new product or product innovation.
4. Administration. They are managers who work in a public (government) or non-profit
organization rather than in a business firm. Among these managerial positions are
hospital administrators, city administrators, housing administrator, etc.
5. Entrepreneurs. These refers to person who found and operate an innovate business.
They start from small business and make it big. They become managers when their
respective firms grow. A major characteristics of entrepreneurs is their passion for work.
6. Team Leader. The emergence of a team leader is one of the major developments in
types of managerial position. A team leader coordinates the work of a small group of
people, while acting as a facilitator or catalyst.

Reference/s:
Edwin G. Valencia, et. al, 2009, Principle of Management and Organization, the first edition,
Valencia Educational Supply

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ACTIVITY #2

Name: Year/Set:

Subject: Score:

Direction: Read and understand this module. Provide what is being asked. Write your answer at
the back and use long bond paper if necessary (Hand Written).

Case: Managerial and Leadership Skills of Moses

Instruction: Read the following accounts in the book of Exodus.
Based on the Biblical accounts, answer the following:
1. Describe the management skills and competencies of Moses.
2. What are the strengths and weaknesses of Moses as a leader?
3. Is Moses a good leader? If yes, then why? If no, then why?
4. Are managers and leaders born or made?

End of second week

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