Management Concepts

1
CHAPTER ONE OVERVIEW
INTRODUCTION TO MANAGEMENT
1.0 WHY WE STUDY MANAGEMENT
1.1
DEFINITION OF MANAGEMENT, ORGANIZATION AND MANAGERS.
1.2
MEASURING MANAGERIAL PERFORMANCE
1.3
MANAGEMENT PROCESS
1.4
LEVELS OF MANAGEMENT
1.5
MANAGERIAL SKILL
1.6
MANAGERIAL ROLES
1.7
MANAGERIAL ACTIVITIES
1.8
THE CHALLENGE OF MANAGEMENT
Learning objectives
After completing this chapter, you should be able to :
1.
Define what is management
2.
Familiarize with the different types of organizations.
3.
Explain the levels of management and management functions
4.
Know the different types of managerial roles and activities.
1.0
WHY WE STUDY MANAGEMENT ?
To enhance the understanding of events/ activities, challenges and skills that will give
Meaning to our future work experience and careers as managers or other professional
careers we may choose.
Make us become effective manager who will be able to help the organization achieve a
high level of performance through the utilization of its human and material resources.
Equip ourselves with effective management theories and practices that can be applied to
all types of organization and any occupational settings we may choose to be in the future.
Make us to become effective managers who will be able to detect and locate problems to
be solve, thus making good decision about appropriate solution and utilizing
organizational resources effectively to implement these solutions.
Enable us to assess the future, make plans for it, thus acting as good planners.
To be responsible and accountable for employees to be in the same track towards

accomplishment of organizational goals.
1.1
DEFINITION OF MANAGEMENTS, ORGANIZATION AND

MANAGERS.
a)
MANAGEMENT:
Earlier definition by Mary Parker Follet Management scholar as:
The art of getting things done through people
Stoner
The process of planning, organizing, leading and controlling the efforts of an
organization members and of using all other organizational resources to achieve
stated organizational goal.
Holt
The process of planning, organizing, leading and controlling resources in an
organizational
b)
ORGANIZATION:
Is a social unit in which two or more people interact to achieve a common goal or
a set of goal ( stoner) or
As a collection of people working together in a division of labor to achieve a
common purpose.( Schermerhon)
The structure of relationships that exists when two or more people mutually
cooperate to pursue common objectives (Holt).
TYPES OF ORGANIZATION:
1. Formal :
Consist of two or more people who are involve in a mutual effort with formal
authority to achieve common objectives ( Holt)
2. Informal organization
The shadow organization consist of two or more people involved in a mutual
effort without deliberate structures of authority or the necessity of the common
objectives.
c)
A MANAGER
A person in an organization who is responsible for work or performance of one or
more other persons ( Schermerhorn).
1.2
MANAGEMENT FUNCTIONS
Comprise of the activities of planning, organizing, leading and controlling.
Planning
- Includes defining goals, establishing strategy

And developing plans to coordinate activities.
Organizing
- Determine what tasks are to be done who is to do

them, how the tasks are to be grouped, who
reports to whom and where decisions are to be
made.
Leading
- Includes motivating subordinates, directing

others, selecting the most effective communication
channels, and resolving conflicts.
Controlling
- Monitoring activities to ensure that they are being

accomplished as planned and correcting any
significant deviations
Achieving the organizations stated purpose ( Goal / Mission)

1.3 MANAGEMENT LEVELS
a)
First line managers

The lowest level in the organization is that at which individuals are
responsible for the work of others. First- line or first level managers direct
operating employees only: They do not supervise other managers. E.g of
first line managers are the foreman or production supervisor in a
5
manufacturing plant, the technical supervisor in a research department,

and the clerical supervisor in a large office.
b)
Middle managers
Middle managers can include more than one level in an organization.
Middle managers direct the activities of lower level managers and
sometimes also those of operating employees. Middle managers
principles responsibilities are to direct the activities that implement their
organizations policies and to balance the demand of their superiors with
the capacity of their subordinates.
c)
Top managers
A comparative small group of executives, the top management is
responsible for the overall management of the organization. It establishes
operating policies and guide the organizations interactions with its
environment. Typical titles of top managers are chief executives officer,
president and senior vice- president. Actual titles vary from one
organization to another.
MANAGER
By their level in the

organization
By the range of
organizational activities
they are responsible
-first line manager

- middle manager
- Top manager
1.4
-functional manager
- General manager
MANAGEMENT SKILLS
A managers job is diverse and complex, and requires a range skills. Three basic
kind of skills : technical, human and conceptual
Technical skill- Is the ability to use the procedures, techniques and knowledge of
a specialized field. Surgeons, engineer, musicians and
accountants.
Human skill
- The ability to work with, understand and motivate other people

as individuals or in groups.
Conceptual skill ability to coordinate and integrate all of an organizations

Interests and activities.
Robert L.Katz. every manager needs all three but the amounts differ by their level
in organization.
FIRST-LINE
MANAGEMENT
MIDDLE
MANAGEMENT
TOP
MANAGEMENT
7
Conceptual
Conceptual
Human
Human
Technical
1.5
Technical
Conceptual
Human
Technical
MANAGERIAL ROLES
The specific classifications of managerial behavior.
According to Henry Mintzberg The nature of managerial work managers
perform ten interrelated roles in the organization. Ten roles classified under three
main roles :
They are :
1. Interpersonal roles
2. Informational roles
3. Decisional roles
A. Interpersonal Roles
1. Figurehead
- A department head performing ceremonial duties like
greeting visitors, signing legal documents etc.
2.
Leader
- A person who is responsible for hiring, training and

motivating subordinates in the organization.
3.
Liaison
- A person who perform and interacts with other people

outside the organization.
The interpersonal roles are to help the manager in managing organization smoothly.
B
Informational Roles
1.
Monitor
2.
Disseminator - Information received internally or externally will be transmitted

to the subordinates ,
3.
Spoke person - Information will be transmitted to people outside the

organization or unit
- Manager continuously seeks information that can be use to

advantage
Thus, the informational roles are to assist the manager in receiving and communicating
information to make the right decision.
C. Decisional roles
1.
entrepreneur
Manager tries to improved the unit and initiate the changes.
2.
Disturbance handler - managers is responsible for corrective actions when the

organization faces important, unexpected disturbances.
3. Resources
allocate
- Manager is responsible in allocating the resources of the
1.6
Managerial
Activities
organization
4.
1.
Managers are the people who deal with planning, organizing, leading and
Negotiator
Manager is responsible for representing the organization at
controlling. major negotiations .
Planning
- Include defining goals
establishing strategy and
developing plans to coordinates
uses activities
Goals:
a) types and number of books to be
produce
b) Improving the services for the
Organizing
Determining what tasks are to
Be done, who is to do them,
how the tasks are to be grouped,
who reports to whom and where
decisions are to be made.
3. Leading
Includes motivating,
subordinates, directing, selecting
the most effective
communication channels, and
resolving conflicts.
4. Controlling
- monitoring activities to
proton
Ensure that they are being
Accomplished as planned and
Correcting any significant
Deviations.
1.7
Production workers were assigned to

different supervisor assembly lines / unit
many productions activities were
rearrange so as to achieve the goals
Specified.
The production manager and supervisor

have created a certain environment
where workers will want to produce
more so as to meet the target.
Since the sales of proton wira and

Perdana exceed expectations
management has add mare shifts to meet
demand which will obviously increase
the market share.
THE CHALLENGE OF MANAGEMENT

In an environment which is rapidly and constantly changing, managers have to
face and contend with a wide variety of challenges in pursuing their mission.
10
This challenges can and do influence the work of managers and affect the
performance of the organization as a whole.
If the managers do not closely monitor this challenges or changes in the
organization environment or fail to respond quickly to this changes, they are
likely to find their organization survival at a brink. Success goes to the managers
who can recognize and seize the opportunities.
The current challenges that are considered as the important factors that affect today
business environment are:
a)
Globalization
Services or business not a local focus but must be global
b)
Total Quality management

Comprehensive effort to enhance an organization product or service quality
and reduce cost.
c)
Social responsibility and ethic

Focus on what an organization does affects the society in which ethics is the
discipline dealing with what is good and what is bad or right or wrong or with
moral duty or obligation.
d)
Organizational restructuring and consolidation.

Concept where organization is slimming down or downsizing operations in
order to focus on resources and boost profits or decrease expenses. This trend
will shape the managers environment through the movement towards more
streamlined, efficient organization.
e)
Re- engineering
A radical rethinking and re-designing organizations processes to achieve
drastic improvements in performance ( Micheal Hammer)
f)
Empowerment.
Current and poses another new challenge to management and organizational
today. An approach that involves granting employees the freedom and
responsibility to do their job as they think best, without constantly having to
appeal to higher authorities for permission. This will enable employees to
make quick decision without getting caught through the ladder of beauracracy
so they will be able to serve customers more effectively.
ACTIVITY
Can you define the following terms in your own words?
11
Management
Organization manager
Division of labor
Human skill
Technical skill
Conceptual skill
Management functions
Management process
planning
Organizing
leading
Effectiveness
Controlling
efficiency
Informational roles
Interpersonal roles
Decisional roles
Globalization
Re-engineering
Total quality management
Empowerment
Restructuring
First-line managers
Middle managers
Top managers
Functional manager
General manager
THINKING EXERCISE
1.
What is management and what is organization ?
2.
List and define four (4) management functions. Give examples of how they
would be used by the following person(s).
a) High School principal
b) Information professionals
3.
Why we need to study management?
REFERENCES :
1. Stephen P. Robbins, David A. Decenzo, Fundamental of Management, 6 th ed
2001, Prentice Hall.
2. Stoner, James A.F., Freeman Edwards R., Gilbert Jr. Daniel R, Management, 6 th
and,1995, Prentice Hall.
CHAPTER 2 OVERVIEW
EVOLUTION OF MANAGEMENT THEORIES
12
1.
THE FORMATION OF MANAGEMENT PRACTICES
2.
PRE CLASSICAL VIEW POINT
3.
CLASSICAL VIEW POINT
4.
BEHAVIORAL VIEWPOINT
5.
QUANTITATIVE SCIENCE APPROACH
6.
CONTEMPORARY VIEWPOINTS
Learning Objectives :
After completing this chapter student will be able to:
1.
Understand the beginning of management practice
2.
Explain several management theories .
3.
Apply several techniques of management practice.
2.0
EVOLUTION OF MANAGEMENT THEORIES

Begin from ancient civilization. Organized management practice in 2000 B.C
during King Hummurabi. Great Pyramid in Egypt, 100,000 workers involve.
13
Egyptian use mathematical to organize labor, supervise to built within specified

design and time.
China Sun Tzu War, touching on strategy, planning and leadership use by
military strategy.
2.1
THE FORMATION OF MANAGEMENT PRACTICES

Management thought started with industrial revolution around 1800. This point
saw the invention and use of machinery setting up factories and creation of
entrepreneurial capital that finance the industries.
People think ways to improve efficiency and effectiveness.
2.1.1
Pre classical view point.

The factories became widespread and large number of employees need to be
coordinated. Therefore the challenge had motivated a number of individuals to
think of ways and means to run the factories more effectively.
Management theories can classified into 5 view points that are :
Pre classical view point
Classical view point
Behavioral view point
Quantitative view point
Contemporary view point
PRE CLASSICAL CONTRIBUTORS

a)
Robert Oven ( 1772-1858)

A British entrepreneur and had a cotton mill in Scotland.
400-500 young children who worked 13 hrs (11hrs/2hrs off for
meals)
Concerned for the working and living condition of workers.
Tried to upgrading streets, houses, sanitation, educational system.
b)
Charles Barbage ( 1792-1871)

Known as father of modern computing
English mathematician, pioneered in computing and management.
The idea of work specialization work is divided into various jobs.
14
c)
2.1.2
Recognized specialized physical work as well as mental work

( specialists
Invented a profit sharing plan _ a bonus for useful suggestions and
portion of wages that was dependent on factory profits.
Ideas used in scanlon plan.
Henry R. Towne ( 1844-1942)

A Mechanical engineer, president of Yale and Towne
Manufacturing company.
Observed good engineering skills and good business skills were
rarely combined but both were equally important to run
organization.
Outlines the importance of management as a science
Called for the development of management principles.
CLASSICAL VIWEPOINT
A perspective on management that emphasizes finding ways to manage work
efficiently. Three different approaches :
a)
b)
c)
1.
Scientific management
Bureaucratic management
Administrative management
SCIENTIFIC MANAGEMENT
Approach that emphasizes findings ways to manage work efficiently. Three
different approach are:
a)
Frederick Winslow Taylor ) 1856-1915)

The father of scientific management.
Observed soldering by employees- working at less than full
capacity meaning feared that, Increasing their productivity would
cause them or others to lose jobs.
Faulty wage system encourages workers to operate at slow pace.
Generate rules handed down were inefficient.
Thus, developed science management :
15
1)
2)
3)
4)
Scientifically study each tasks and develop the best method for performing
the tasks.
Carefully select employees, train them by using scientifically developed
method.
Cooperate fully with employees to ensure them using proper method.
Divide work and responsibility. Management will plan work method using
scientific principles and employees are responsible for executing the work
accordingly.
Frederick made use of time and motion study to substantiate his theories and
increase productivity. He divide work into different task. He redesigned the work,
improve production by his principle- management should develop a science for
each tasks to be performed.
2.
b)
Frank and Lilian Gilbreath ( 1868-1924)

A brick layer
Observed inefficiencies were handed down from the inexperienced
employees propose motion studies to streamline the brick lying
process.
Lilian define scientific studies management must focus both
analysis and synthesis- which will help people to reach their
maximum potential by developing their skill and abilities.
b)
Henry L Gantt (1861-1919)

Gantt chart graphic aid to planning, scheduling and control.
Management tool that helps managers to schedule their work.
BUREAURATIC MANAGEMENT
a)
Max Weber (1864-1920)
German sociologist
An approach that emphasizes the need for organizations to operate in a
rational manner. (Ideal organization where activities and division of labor
were clear, formal rules, procedures, people promoted on merit)
CHARACTERISTICS
Specialization of labor
DESCRIPTION
Jobs broken down into routine, so
16
that members know what is

expected from them thus, become
more competent.
Formal rules and procedures
to ensure uniformity and facilitate

coordination
Impersonality
Rules, policies and sanctions are

applied uniformly without
prejudiced.
Well defined hierarchy
Multiple level of positions, carefully

reporting relationships among
levels, provide supervision of lower
offices by higher offices
Career advancement
based on Selection and promotion

based on the qualifications merit and
performance of members.
. ADMINISTRATIVE MANAGEMENT
An approach focuses on principles that can be used by managers to coordinate
the internal activities of organizations.
1.
Henri Fayol (1841-1925)

-French industrialist
-Outlined a number of principles in management :
a)
Diversion of work
Will result in efficiencies applicable

to
both managerial and technical
functions.
b) Authority
The right to give orders and power to

exact obedient. With authority comes
responsibilities.
c)
Necessary to run the organization, it

depends on the worthiness of its leaders.
Disciplines
17
2.
d)
Unity of command
Employees should received orders

from one superior only.
e)
Unity of direction
Activities aimed at the same objective, one

plan and one person in charge.
f)
Subordination of individual
The interest of one group of employees

should not interest to general interest prevail
the interest of the organization.
g)
Remuneration
Compensation should be fair to both the

employee and employer.
h)
Centralization
The amount depends on situation.

Objectives is to optimum use of the
capabilities of personnel.
i)
Scalar Chain
A scalar chain of authority extends from the

top to bottom of an organization and defines
the communication path .Horizontal comm..
is also encourage as long as managers are
informed.
j)
Order
Materials in the right place, easy to retrieve

and facilitate activities. Select right
employee for the right place and right time.
k) Equity
Employees treated with kindness and justice.
l)
High turn over is not rate will effect the

functioning tenure of organization.
Stability of personnel
m)
Initiative
managers encourage and develop

subordinates initiative to the fullest.
n)
Esprit de corps
Promoting team spirit unity in organization
Chester Barnard (1886-1961)
18
2.1.3
Acceptance theory of authority- argues that authority does not depends as

much on persons of authority who give orders as on the willingness to
comply of those who receive orders.
Employees willing to accept orders if they understand the communication,
see the communication consistent with the objectives of organization, feel
that the actions indicated are inline with their need and other employees
and view themselves as mentally and physically able to comply.
Managers real powers come from the degree of acceptance of his workers.
BEHAVIORAL VIEWPOINT
Emphasizes the importance of attempting to understand the various factors hat
affect human behavior in organizations.
1) Early behaviorist:
Hogo Munsterberg ( 1863-1916)
Mary Parker Follet (1868 1933)
a)
Hugo Munsterberg
Interested in identifying the conditions that would promote the individuals
best work and finding ways to influence workers to act in accord with
management interest.
b)
Mary Parker Follet

Focus in group dynamic- employees work together.
Power sharing
Conflict resolution
Integration of organizational system
d)
Hawthorne studies
A group of studies done at Hawthorne plant of Western Electric company.
1920s- early 1930s :
Monitored the five women assembling electrical relays.
Found that the women still increased their productivity period.
Concluded that the increase of productivity was due to the change
of supervisory arrangement that had been made to facilitate the
experiment.
= Hawthorne effect improve performance, may be due the added
attention they receive from researchers, rather than specific factors
been tested.
2) Human Relation Movement Two theorist :
19
a)
Abraham Maslow (1908-1970)

Contribute to the theory of motivation hierarchy of needs.
Once has satisfy basic need before other can be taken care. This
Dictated peoples motivation to perform task.
i)
ii)
iii)
iv)
v)
Physiological need ( lowest)

Safety
Belongingness
Esteem
Self Actualization
b.
Douglas Mcgregor (1906-1954)
Theory X and Y managers view their workers in one of the categories.

Theory X assume employees are lazy, little ambition, focused on security needs.
Theory Y- Employees are capable of self control, have capacity to be creative,
higher level need are often unmet on job.
Conclusion managers who assume best of their employees are rewarded with
committed and satisfied workers.
c.
Behavioral Science Approach
Emphasizes scientific research as the basic for developing theories about human
behavior in organizations- can be use to establish practical guidelines for
managers. It include management, psychology, sociology, anthropology and
economics.
managers can be used as guides in assessing various situations and
deciding appropriate actions.
Employees do better with attainable goals than without goals.
2.1.4
QUANTITATIVE MANAGEMENT VIEWPOINT

-
Emerged as a major force in world war 2

Focuses on the use of mathematics, statistics and information aids to
support managerial decision making and organizational effectiveness
1.
Management science/ operation research
2.
Operation management
3.
Management information systems
1.
Management science/ operation research
20
Aimed at increase decision effectiveness through the use of sophisticated

mathematical models and statistical methods.
2.1.5
2.
Operation Management
The function/ field of expertise for managing the product and delivery of
an organizations products and services. E.g work scheduling, production
planning, inventory analysis.
3.
Management Information System

The field of management that focuses on designing and implementing
computer based information systems for use by managements . e,g system
that run raw data to information- use by the organization.
CONTEMPORARY VIEWPOINTS
Major innovations in ways of thinking about management:
System theory
Contingency theories
1.
System theory
An approach based on the assumption that organizations can be visualized
as a systems.
System A set of interrelated parts that operate as a whole towards a
common goal.
Components of system
Inputs
Human material, financial, equipment and informational

resources required to produce goods and services.
Transformations
Managerial and Technological
Process
Abilities: Planning, Organizing, Controlling and technology
to converts inputs into outputs.
Feedback
Information about result and organizational status relative to
the environment
Advantages of Systems approach :
-
can be analyze at different levels.

Providers a framework for assessing how well the various parts of an
organization interact to achieve common goal.
Emphasize that a change in one part can affect others
It considers how an organization interacts with its environment- better to
operate in open system.
Open System
A system that operates in continual
21
Closed system
interaction with its environment.

Does little or no interaction with
environment, receives little feedback.
2.
Contingency Theories
Appropriate managerial action depends on particular parameters of

situations.
Identifies contingency principles to take action on the situation.
Successful companies operated differently depending on their technology

category- appropriate actions by managers depend on situation.
ACTIVITY :
1.
How did Industrial Revolution Influence Management Practice?
2.
Why did scientific management receive so much attention?. What were the
Hawthorne studies?
3.
Why was the human relations movement important to management

history?.
4.
What is contingency approach to the study of Management?.
REFERENCES :
CHAPTER 3 OVERVIEW
22
PLANNING
3.0
DEFINITIONS OF PLANNING AND PLANS
3.1
IMPORTANCE OF PLANNING IN ORGANIZATIONS
3.3
GOALS
3.4
OBJECTIVES
3.5
OPERATIONALIZING
3.6
THE NATURE OF MANAGERIAL DECISION MAKIG
3.7
THE RATIONAL OF DECISION MAKING
Learning objectives:
After completing this chapter, student should be able to :
3.1
1.
Explain the differences between planning and plans.
2.
Explain the importance of planning
3.
Explain what is goals and Objectives
4.
Apply various types of plans in planning
5.
Define what is decision making.
6.
Familiarize with types and nature of decision making.
7.
Outline the steps in decision making process.
DEFINITION OF PLANNING AND PLANS
23
3.1.1
PLANNING
Important to all organization. It is important because organization are effected by
change, economic, politic and social. Planning allows us to be more certain and to
plan for the future.
A process that begins with objectives, defined strategies, policies and detailed
plans to achieve them. Planning establishes an organization to implement
decisions and includes a review of performance and feedback to introduce a new
planning cycle. (STEINER) OR
Planning may be broadly defined as a concept of executive action that embodies
the skill of anticipating and controlling the nature and direction of change
( MC FARLAND) OR
The process of determining in advance what should be accomplished and how it
should be realized. ( MONDY) . Based upon the definition stated above, you can
infer that plans should be:
1.
2.
Formally prepared
Observable, factual, logical and realistic
Planning is a pervasive and continuous executive functions involving complexes

processes. Planning is an important managerial functions.
A manager must plan ahead to get things done through his subordinates
3.2
PLANS
According to Mondy, plans are statement of how objectives are to be
accomplished.
As a manager, whether he is top manager or lower level manager, he has to plan.
Through planning, managers can inform their subordinates about the expectations
of the management and the objective of the organization can be realized.
Whatever activities are planned by the managers, there are several questions that
need to be asked to realize the organizations goals.
1.
What activities are required to accomplish the objectives?
2.
When should these activities be carried out?
3.
Who is responsible for doing what?
4.
Where should the activities be carried out?
5.
When should the action be completed?.
3.3
THE IMPORTANCE OF PLANNING IN ORGANIZATIONS
24
Why do managers in organizations have to plan?

Why do you have to plan?
What is this activity important to an organization?
The reasons are :

1.
Planning helps to determine what opportunities there are to exploit. In other

words, the profitable alternatives that exist are identified through a planning
process.
2.
Planning enables us to identify the course of action by setting objectives and

choosing alternatives that will be most profitable.
3.
Without proper plans much will be left to chance an therefore to risk.
4.
Through plans, resources are efficiently and effectively utilized, thus resulting in
saving.
5.
What is really happening become more meaningful when we know what is really
expected.
6.
It help to achieve goals and reduces random activities and needless

overlapping.
7.
It provides for effective utilization of available facilities of an enterprise.
8.
It assists a manager in attaining confident and aggressive leadership. By means of

planning, a manager successfully copes with his affairs and problems, rather than
allowing them to dilute and negate his efforts. Not to plan is to manage as a
results of events rather than by use of foresight influence an action.
9.
Planning can point out the need for future changes. It can reveal opportunities for
new services. It guides management thinking to future desirable activities and
spells out how best to make the shift and what must be done to attain goals.
3.4
TYPES OF PLANS
25
Before any managers can plan the activities of the organization, managers do need
to know the various types of plan. The failure of some managers to recognize the
variety of plans will caused difficulty in making planning effective.
3.5
GOALS
Goal is one type of plan. Setting goals gives people a sense of control that leads
the action. Accomplishing goals leads to self- confident, Greater risk taking and
more action.
So, what are goals?.
Goals are the ends toward which activities is aimed. Weather a firm new or old,
large or small it must set goals. Goals is organizations provide the ends towards
which people direct their efforts. Goals that are clearly established an properly
communicated to employees stand the best chance of being reached.
Well defined goals provide a solid basis for managers to organized, lead and
control their departments or company successfully.
Characteristics of setting goals are:
1.
The goal must precise, specific and meaningful.
2.
The goal must be clear and coordinated
3.
The goal must be include long term and short term plans to be
successful.
Example of a Goal:
The goal of every manager is to create a clear and verifiable objectives that
facilitate measurement of a effectiveness and efficiency of managerial actions.
3.5.1
TYPES OF GOAL :
1.
Purpose
It is define as an intention to produce a specific good or service. E.g to
develop, manufacture and market pharmaceutical products that assure
strong growth and profitability.
2.
Mission
It is the purpose or reason for the existence of an organization. The
mission of an organizations is its products or services or markets or
customers .e.g, marketing pharmaceuticals products can be the mission of
a drugs manufacturing company.
26
3.6
3.
Objective
It is an estimated end result expected in the future. Objectives are
established at organizational, departmental or individual level. Increasing
the accounts handled from 20 to 25 percent within the next year, can be an
objective of a salesman.
4.
Strategy
It is the method of shaping a companys future and involves determining
the long run direction of the organization. A company may have the
strategy diversifying into related businesses within the next few years.
5.
Resource allocation
It distributes money, personnel, plant and equipment, land and other
tangible means of production for various uses.
6.
Strategic planning.
Process of making long term choices about an organizations mission,
overall objectives, strategies, policies and resource allocations.
7.
Tactical planning
Making detail, short term decisions of what to do, which will do and how
it is to be done. Developing annuals budgets for projects and departments.
Choosing specific means of implementing strategic plans.
OBJECTIVES
Objectives are the prime parts of the plans and are vital to an organization because
all the efforts an activities are focused on this objectives .
They provide a direction in which the organization should move.
They serve as standards of performance against which actual performance may be
compared and it is an important dimension of the control process. Objectives
determine the role an organization should play in a given environment. The efforts
an activities of the members of an organization can be coordinated with the help
of objectives.
A high degree of motivation can be maintained by setting objective for a members
of the organization an enabling them to achieve to those objectives.
3.6.1
The nature of objective:
27
1.
3.6.2
Hierarchy of objectives_
It is a series of objectives linked to one another at the various levels of
management such that each higher-level objective is supported by one or
more lower- level ones.
A hierarchy of objectives is important to any organization because:

a)
b)
c)
d)
e)
It helps to ensure the proper alignment of all organization levels with

the organizations purpose.
It helps to coordinates decision at all levels
It provides a basis for establishing standards facilitating performance
measurement at all management levels.
It helps to avoid sub- optimization, that is, having some sub- units
accomplish their objectives at the expense of the other sub- units in the
organization.
It helps to prevent displacement of objectives wherein means become
more important than ends that were original intended.
28
RELATIONSHIP
HIERARCHY
OF
OBJECTIVES
AND
THE
ORGANIZATIONAL
HIERARCHY OF OBJECTIVES
Board of
directors
Socio economic
purpose
1
Mission
Top level
managers
2
Overall objectives
of the organization
( LR strategies )
3
More specific overall
Objectives
( key result areas)
4
Middle
level
managers
Division objectives
5
Department and unit objectives
Lower
level
managers
6
Individual objectives
- performance
- Personal development objectives
Organizational hierarchy
29
3.6.3
EXPLAINATION:
1. The purpose of society that requires the organization contribute to the

welfare of the people by providing good and services at a reasonable cost.
2. The purpose of the business, which might be furnish convenient, low-cost
transportation for the average person.
3. The stated mission might be to produce market and service automobiles. These
aims are then translated into general objectives or strategies, like designing,
producing, marketing a low- cost, fuel- efficient automobile.
4. At the next level of the hierarchy, you find more specific objectives such as those
in the key result areas. These are the areas in which performance is essential for
the success of the enterprise.
5. These objectives have to be further divided into division department and unit
objectives down to the lowest levels of the organization.
3.6.4
1.
2.
3.
3.7
Multiplicity of Objectives
All organizations have multiple goals that must be recognized by management.
E.g the major goals of University are:
To provide education for student
To conduct research to advance the state of knowledge
To provide community service.
OPERATIONAL STRATEGY
In planning, managers have to make use of the different types of operational plans
for the effectiveness of the organization. This operational strategy is done at all
levels and involves directing the organizations day to day operations to achieve
overall strategic objectives consistent with the organizations mission and
policies.
There are two types of operational strategy ( operational plans)

1.
Single use plans

It is a detailed course of action that probably will not be repeated in the same
form in the future. It is designed for a specific purpose or period. The plan
ceases to exist when the goals are achieved.
Single use plans consists of program, project and budgets.
30
Programs
Deals with the who, what, where, when, how, and how much of an
activity. It covers a relatively large set of activities whereby it indicates:
- Major steps that are required to reach an objectives.
- The organization unit or member involved for each steps.
- The order and timing of each steps.
Program are the actual course of action designed to carry out the
established objective. Usually the programs may be accompanied by a
budget for the activities required.
Projects
Are similar to programs but smaller because each project has a limited
scope and distinct directive concerning assignments and time. Projects are
short-term in nature.
Budgets
Statements of financial resources set aside for specific activities in a given
period of time. Budgets are plans that commit resources to activities,
project or programs.
2.
Standing Plans
These plans serves as guidelines to managerial action and are designed to be
used again and again, These plans bring consistency to the operations. They
exist in the form of policies, procedures and rules.
Policies
policy is a standing use plan that communicates broad guidelines for
making decisions and taking action. It indicates what is permitted and
what is not. Policies found in all aspects of an organization.
Procedures
These are a series of steps in which activities are to be carried out.
e.g, how to operate a Photostat machine or how to handle employee
grievances.
Rules
These are very specific actions to be taken or not taken with respect to a
situation. E.g are wearing uniforms or reporting to work at a particular
time.
31
3.8
PLANNING PROCESS
Stating organizational
objectives
STEP 1
Listing alternatives
ways of reaching
objectives
STEP 2
Developing premises
upon which each
alternative is based
Choosing the best
alternatives for
reaching objectives
Developing plans to
pursue chosen
alternatives
Putting plan into
action
STEP 3
STEP 4
STEP 5
STEP 6
32
ACTIVITY :
1.
Contrast formal with informal planning?.
2.
Under what circumstances do you believe MBO would be most useful?

Discuss.
3.
How do single use and standing plans differ?
4.
How do you formulate strategies?
REFERENCES :
3. Locke, E.A and Latham, G.P.1990. A theory of Goal setting and Task
Performance. Eaglewood Cliffs NJ: Prentice Hall.
33
CHAPTER FOUR OVERVIEW
ORGANIZING
4.0
DEFINITION OF ORGANIZING
4.1
IMPORTANT OF ORGANIZATION
4.2
ORGANIZATIONAL STRUCTURE
4.3
ORGANIZATION CHART
4.4
DIVISION OF WORK
4.5
TYPES OFORGANIZATION STRUCTURE
4.6
AUTHORITY AND POWER
4.7
DECENTRALIZATION/ DEPARTMENTALIZATION
Learning objectives:
After completing this chapter student will be able to :
1)
Explain why organization need to organize
2)
Familiarize with organizational structure
3)
Explain how to prepare organizational chart
4)
Describe different types of organization structure
5)
Differentiate between centralization and decentralization of organization.
34
4.0
ORGANIZING
4.1
Definition :
The formal way for managers to divide work coordinate task, delegate authority and
responsibility to achieve organizational objectives.
To structure / arrange the relationship between people, the work done and facilities so that
goals are achieved.
4.2
Why organizing?
-
4.3
Divide work according to nature and similarity of tasks.

Pool resources, increase efforts which lead efficiency
Build continuity and synergy.
Important of Organizing
1.
2.
3.
4.
4.4
Important to management system.

To create and maintain relationship between all resources, by specifying
which resources to be used, when, where and how.
Minimize costly weaknesses
Accomplish better objectives by using coordinated efforts of people.
Organizational Structure :
Formal system that separates and integrates tasks :
Allocating people and resources to tasks.
Clarifying responsibilities through job descriptions, organizations charts
and lines authority.
Letting employees know what to expect by them establishing rules,
regulations operation procedures and performance standards.
4.5
Organizational structure can be divide into four elements :

1.
2.
3.
4.
Specialization
Standardization
Coordination
Authority
35
a)
Specialization :
Identifying specialized task, assigning to individuals/ work who are

trained.
Middle managers will be responsible for directing work, functional and
first line usually supervise such as marketing, accounting or quality
control.
b)
Standardization :
Developing the procedures an organization uses to ensure employees

perform their tasks in uniform and consistent manner.
How?
Description, instructions, rules and regulations to standardize subordinates
jobs success
Application forms will standardize the selection of employees.
On the job training programs will promote standardized skills and
reinforce values to organizations success.
c)
Coordination :
Formal and informal procedures that integrates both managerial and

employees activities.
How?
In bureaucratic organization rules and regulations. In less structure- coordination
requires knowledge of company wide problems, a willingness to share
responsibility and effective interpersonal communication.
d)
Authority :
Right to make decision and take actions. Various organization distribute authority
differently.
Centralized organization- top manages make decision, communicate to lower
managers.
Decentralized organization Greater decision making responsibility is given to
lower level managers.
36
4.6
ORGANIZATION CHART :
The way to describe the four elements including the location of positions,
departments and function within the organization. Five major information found
in the organization chart are:
1.
Tasks
Indicates the range of tasks within the organization.
2.
Subdivision
Each box represents a subdivision of the organization that is responsible for a
portion of the work.
3.
Type of work
Label in each box identifies the subdivision area of responsibility.
4.
Levels of managementManagement hierarchy, those reporting directly to the same individual are at the
same level.
5.
Lines of authority
Lines connecting the boxes show the official lines of authority and
communication.
4.7
DIVISION OF WORK :
Work is being divided among members and different jobs related to each other
.This division of work and the grouping together of people is done based on some
common characteristics linked between the activities involved.
4.7.1
Importance of division of work :

Increase productivity
Create specialization- Simplified tasks that are easily understood and
completed quickly.
Easy to assign tasks to individuals based upon their talents, interest and
positions.
Disadvantages:
-
Sense of control felt by managers will be different.

Create dissatisfaction and boredom of routine and specialize tasks.
37
4.8
Span Of Management:
Number of subordinates who report directly to a given manager.
Types of organization structure:
Flat and steep
4.8.1
Flat
Flat wide span of authority
SteepShort span of authority with

many organizations levels.
Advantages
Supervisors are forced to

delegate clear policies.
Subordinates must willing
to obey
Close
supervision
and
control.
Rapid
communication
between
subordinates and superior.
Disadvantages
Danger of superiors loss Superiors too involved

control. Good managers with subordinates. Many
needed to handle situations. levels costly excessive
distance between the lowest
and the highest level.
FLAT : few organization levels with flat wide span of authority.

Advantages :
Superiors are forced to delegate
Clear policies
Subordinates must willing to obey
Disadvantages :
decision not passed down because of managing subordinates.
Danger of the superiors loss control
4.8.2
STEEP : Short span of authority with many organization levels.

Advantages :
Close supervision and control
Rapid communication between subordinates and superior.
Disadvantages:
Superior too involved with subordinates
Many levels costly
Excessive distance between the lowest and the highest level.
38
4.9
AUTHORITY
The right to make decision with respect to work assignments and to require
subordinates to perform assigned tasks in accordance with the decision made.
Authority is delegate from top. Each employee and each superior should know
Job suppose to accomplish
Duties
Authority
His supervisor
Subordinates
Levels of performance
Authority is a type of power. It is legitimate.
4.9.1
Line authority
A manager is responsible for the work of his unit and its direct contributions to
the objectives of the organization.
4.9.2
Staff authority
Each individual or group pays a supporting role and contributes to the objectives
of the organization.
4.10
DELEGATION:
the passing of formal authority to another person.
Includes responsibility, authority and accountability.
Superior delegate authority to subordinates in order to facilitate work being
accomplished.
Why delegate?
Culture of organization
Specific situation involved.
Relationship behavior personalities and capabilities of the people in that
situation.
Guide lines for effective delegation authority.
Responsibility, authority and accountability.
Scalar principle:
To whom
Who can delegate
To whom they are accountable
Unity of command
Each employee report to only one superior.
39
4.11
4.12
POWER:
Ability to exert influence. A process where managers affect others behavior.
5 types of power:
a)
Reward power:
Money, acceptance, praise, promotion, status
b)
Expert power
Influence others through knowledge
c)
Referent power
Status, money, physical appearance, fame
d)
Coercive power
Pain, ridicule, penalty, rejection and denial of rewards.
f)
Legitimate power
Position- president, supervisor
CENTRALIZATION
The responsibility and authority concentrated in one place so that major decision
are made by central controlling body. In some situation all managerial decisions
have to be approved by the chief executive before operation.
Advantages :
It provides absolute control over organization.
Administration convenient and the focal point for each function.
Common standards for all in organization.
Disadvantages :
Each section may not have standard procedure.
More reporting and inspection may be needed than if the control were
centralized.
Control can be autocratic and inflexible. It will lead to frustration, managers
members of staff unable to use discretion but according to inflexible rules.
Bureaucratic control methods- Spread of forms and rigid procedures will thus
slow down the operations of the organization.
40
4.13
DECENTRALIZATION : DEPARTMENTALIZATION :It occurs where responsibilities for various functions and operations are taken
away from the center and rests at the point where operations occur.
Four Types :
By function
By product
By territory
By customer
Advantages
Disadvantages
By
Function
Mainly used by smaller firms

that offer limited line of
products because it makes
efficient use of specialize
resources.
Manager is expert in
a narrow range of
skill.
Easier
to
mobilized
special
skills.
Little
coordination
and
interpersonal
skills
needed.
Difficult to make
decision. Difficult
to
determine
accountability.
Does not foster
development
of
general managers.
Promote
conflict
over
product
practices, difficult
to
understand
responsibility
for
overall tasks.
By product
Functions and activities

based
on
products
manufactured
by
the
company.
Places attention and

focuses effort on
product
line.
Responsibility
for
profits at the division
level.
Improves
coordination
of
functions activities.
Allows growth and
diversity of products
and services.
Costly.
Requires
more
personnel
with the general
managers abilities
to fill up the
division
of
maintenance
of
central
services
becomes difficult
when
each
managers need his
own
services.
Division managers
fairly independent,
thus difficult for top
management
to
control.
41
By territory
Organized around the places Offers better services

where operations are located at
low
cost.
Responsible
for
profits at lower level.
Emphasizes on local
market and problems.
Offer better face to
face communication.
More staff required,

less control for top
management,
regional manager
are
fairly
independent.
By
Customer
Grouping of activities to Concentrate

on
reflect the interest of customers
needs.
different customers
Develops expertise in
customer handling
Difficult
to
coordinate
operations between
competing customer
demands. Requires
managers
and
employees expertise
in
customers
problem.
Advantages:
1.
2.
3.
4.
5.
Flexibility to meet changes

Rewarding to managers and staff because it enables them to exercise their
own judgment and initiative.
Promote job satisfactions
Provides good management experience to managers and supervisors.
Promotes personal development and their service becomes of greater value.
ACTIVITY :
1.
Can you identify the four ways to departmentalize?
2.
How do authority and power differ?
3.
How do centralization and decentralization differ?.
4.
How does size affect structure?
REFERENCES :
42
CHAPTER FIVE OVERVIEW :
CONTROLLING
1.
DEFINITION OF CONTROLLING
2.
IMPORTANCEOF CONTROLLING
3.
STEPS IN THE CONTROL PROCESS
4.
CHARACTERISTIC OF AN EFFECTIVE CONTROL
5.
TYPES OF CONTROL
Learning objectives :
After completing this chapter student will be able to :
1.
Understand the definition of controlling
2.
Explain the importance of controlling in organization
3.
Describe the steps in control process
4.
Describe the types of control practiced
5.
Apply the effective control system
CONTROLLING
43
5.0
Definition:
-
5.1
The Important of Controlling :

-
Assist the management process- PLOC by determine what is necessary,

when and why it is required.
Deals with the change, or uncertainty. Plans and goals set by organization
deals with future which is always uncertain and is constantly changing.
E.g market shift, product demand.
Deals with complexity- As organization grow in size and diversity, they

become complex. Control is needed to coordinate activities and
accomplish integration.
Deals with human limitation ( mistake) e.g wrong forecasts thus it help
tosspot mistake.
5.2
The process to assure that actual activities conform to planed activities

( J.F stoner).
The process of monitoring performance and taking action to ensure
desired results.
Ensure delegation and decentralization are operate smoothly. Enable

managers to check on performance.
The control process.:

Establish standards and methods for measuring the performance standard. E.g
customer waiting time.
Measure the performance e.g R & D gas in the air. Its depend on the situation
Determine whether performance matches standards. If the performance match the

standard no corrective action is needed.
5.3
Take corrective action if the performance does not match the standard then
corrective actions may be include
Characteristics Of Effective System:
44
1.
5.4
Accurate informationInaccurate will cause organization to make
wrong decision.
2.
TimelyInformation must be collected and evaluated quickly to enable managers

to solve problems on time.
3.
Objective and comprehensiveStandard set must be understandable and measurable. Focused on strategic
control points.(Strategic and results oriented)
4.
Focus on strategic control points ( strategic and result oriented)
5.
FlexibleIndividual judgment and is modified to fit new circumstance as they rise.
6.
Consistent
with
the
organizations
structure(organizational
realistic).Control must be exercised at all level of management.
Types Of Control ( Control Methods)

1.
Pre action control ( feed forward)

Control done at input level of production. To anticipate potential problems
and prevent them from occurring .e.g finance, human resource and
material resources.
2.
Steering control
To spot problems as they develop or work process, take corrective actions
before final result are achieve. E.g zero inflation campaign.
3.
Screening control ( yes or no control)

Check points before an activity proceeds further
approval of large amount of cheque.
4.
e.g bank procedure
Post action control

After an action is completed. Attempts to measure result of certain action.
If there are problem corrective, actions are done and applied to future
activities. E.g restaurant will ask how you find your meal after you have
taken it.
ACTIVITY :
45
1.
Why organization need to focus on controlling?
2.
What are the basic relationship between controlling and other

management functions?.
2.
Discuss steps use in controlling?
REFERENCES :
1.
Stephen P. Robbins, David A. Decenzo, Fundamental of Management, 6th

ed 2001, Prentice Hall.
2.
Stoner, James A.F., Freeman Edwards R., Gilbert Jr. Daniel R,

Management, 6th and,1995, Prentice Hall.
3.
Mondy, R. Wayne, Premeaux, Shane R. management Concepts, Practices

and skills . 6th edn,1993, Allyn and Bacon.
CHAPTER SIX OVERVIEW
46
TOTAL QUALITY MANAGEMENT

1.
Definition of quality
2.
The differences between Total quality management (TQM) and traditional

management.
3.
History of TQM
4.
A system approach in TQM
After completing this chapter student will be able to:
1.
Understand the difference between TQM and traditional management.
2.
Explain about the history of TQM
3.
Familiar with the system approach in TQM.
4.
Discuss the main ideas of Total quality management.
QUALITY
47
6.0
Definition :
Performance to the standard expected by the customer( Fred Smith, CEO of
Federal Express)
Meeting the customers need the first time and every time.(GSA)
quality involves meeting or exceeding customer expectations.
Quality applies to product, service, people, processes and environments.
(Boeing )
An ever changing state.( what is considered as quality today may not good
enough to be considered quality tomorrow)
6.1
Total Quality Management (TQM)

Integration of application functions and processes within organization in order to
achieve continuous improvement of the quality of goods and services. Goal is
customer satisfaction.
6.2
Differences between TQM and Traditional management:

TOTAL QUALITY MANAGEMENT
TRADITIONAL MANAGEMENT
Customer Focus
Management focus
Quality first
Profits first
Multiple quality dimensions
Single quality dimension
Management and worker involvement
No worker involve
Process oriented
Result oriented
6.3 History of TQM

Occurred in Japan after World War II. Japanese industry was completely destroyed and
had to be rebuilt from scratch. Number of American went to Japan and helped to built and
operate modern manufacturing facilities.
Contributors :
48
1.
2.
3.
4.
W. Edward Deming
Joseph M. Juran
Philip B. Cosby
Kooru Ishikawa
W. Edward Deming
Defines quality as predictable degree of uniformity and

dependability, at low cost and suited to the market.
Quality improves, costs will decrease and productivity
increase, resulting more jobs.
Joseph M. Juran
Fitness for use in terms of design conformance,

availability, safety and field use. Focuses on top down
rather than worker pride and satisfaction.
Philip B. Cosby
Quality is defined as conformance to requirements, not

goodness. The system for achieving quality is
prevention, not appraisal. The performance is zero
defect. The measurement of quality is the price of nonconformance.
Kooru Ishikawa
Contributing to the emergence of quality circle, workers

meet to discuss suggestions for improvements.
Focusing on the total quality effort on customers. Output
of one department should be given to another
department.
6.4 THE MAIN IDEAS OF TQM:

TQM is a process of continuously improving quality over the long run. There are five
main TQM ideas
A system approach :
Depends on understanding organizations as systems.
Parts of the system must work to support each other.
Systems:
A series of functions or activities within an organization that work
together for the aim of organization.
a)
Culture system:
Referred as social system. ( set of beliefs and resulting behaviors that are
shared throughout the organization).
49
6.5
b)
Technical system:
Factors such as technologies in the physical infrastructure include
ergonomics consideration, computer software, hardware configuration and
capital investments.
c)
Management system:
Define the effectiveness of those processes by which an organization
manages its human and physical assets.
THE
THREE
The managerial system

Managerial diagnosis
Managing and checking
points
Policy deployment
SYSTEM
IN
ORGANIZATION
The social system

Symbol, rewards, recognition.
Cross functional
Management goal setting
The technical system

Tools and techniques
The tool of TQM
Kaoru Ishikawa determine a good or bad

outcome in Fishbone diagram helps to
show possible causes of problems.
Benchmarking comparing own products
and process against the very best in the
world.
A focus on customers
Internal and external customers define

quality and employees produce it.
The role of management
Effort from all levels supervisors to senior

executive making TQM success. Know
how to pass on authority and responsibility
to the people they work and put extra effort
to cooperate with other departments.
50
Employee participation
Empowerment. Letting employees make

decision at all levels of an organization
without asking for approval from
managers.
ACTIVITY :
1.
What differ between traditional management and Total Quality Management?.
2.
What are the main ideas of TQM?
2.
Discuss the system approach in quality management?.
REFERENCES :
1. Stephen P. Robbins, David A. Decenzo, Fundamental of Management, 6th
3. Berry, T.H.1991. Managing the Total Quality Transformation. New York:
McGraw Hill.
CHAPTER SEVEN OVERVIEW
51
DECISION MAKING
7.0
Definition of Decision Making
7.1
Types of decision making
7.2
Steps in decision making process
7.3
States of nature types and decision
7.4
Condition that affect decision making
After completing this chapter, student will be able to:
1.
Explain what is decision making
2.
Explain types of decision making
3.
Apply all steps in decision making
4.
Familiarize types of state of nature in decision making.
5.
Know the condition that affect decision making
DECISION MAKING
52
7.0
7.1
DEFINITION
-
7
Process where a course is selected as the way to deal with a specific
problem.
Selection of one alternative from two or more alternative.
THE NATURE OF MANAGERIAL DECISION MAKING

Decision making is one of the vital tasks of a manager e.g in planning, organizing,
controlling.
Decision making is a process which affects all the managers operating functions.
The key to successful decision making depends on the proper formulation of the
specific problem at hand.
7.2
Types of decision making :

1. Programmed decisions
2. Non- program decision
PROGRAMMED DECISIONS
It is a repetitive decision that can be handle by a routine approach. It is usually
made in accordance with some established habit, rule or procedure (STONER).
Grievances procedures for employees are an example of programmed decisions.
NON- PROGRAMMED DECISION

This is a type of decision that deals with a unique, unusual or exceptional
problems. The nature of the problem that occurs is unstructured and something
different. Eng is the selection and training of personnel.
e.g
Nature of problems an decision making in organization
53
Highest level
Un structured
Non- programmed
nature of problem
programmed
nature of decision making
Organizational
hierarchy
structured
lowest level
organizational levels
Programmed decisions
Non programmed decision
A repetitive decision that can be handle by

routine approach. Well structured situations
using predetermine decision rules, related
rules and policies. E.g grievances
procedures for employees.
Unstructured,
unique,
unusual
or
exceptional problem, requires a higher
level management participation. E.g J.E.
Virus out break.
7.3
DECISION MAKING CONDITIONS

There are three different conditions under which decision are made. Each of those
conditions is based on degree to which the future outcome of a decision alternative is
predictable. These condition are:
1.
2.
3.
Certainty
Risk
Uncertainty
CERTAINTY:
The decision maker knows the out-come of the problems. Individual are fully
informed in terms of :
-
The nature of the problems

Possible alternatives
Result of alternatives
RISK
54
Future condition are unknown in advanced. Some information are available but
not enough to answer all questions and normally most of the management
decisions are made under this condition. Occurs in the situation in which an
individual can define as :
Nature problems
Possible alternatives
UNCERTAINTY
Individual cannot even assign subjective probabilities to possible state of nature
because the individual do have the information or intuitive judgment to use as
basis for assigning the probabilities to each state of nature.
7.1
STEPS IN DECISION MAKING

The understanding of the steps will enhance and improve the analytical and
decision making process.
Steps 1
Investigate the situation.
Define the problem
Diagnose the causes
Identify decision objectives
Step 2
Generate alternative solutions.
Consider as many alternatives as possible
Step 3
Evaluate and choose among alternative solutions
Once the possible solutions are developed, the decision maker has to
examine the probable desirable and undesirable consequences of each
alternative.
7.2
Step 4
Implement and monitor the chosen solution
Design the implementation for the chosen situation. Decision makers
responsible for reviewing the plan periodically and comparing the actual
performance with the planned solutions.
State Of Nature Types And Decisions
55
Routine
Decisions
Adaptive
decision
Certainty
Objective probabilities
Innovative
decision
Uncertainty
Subjective probabilities
RISK CONTINUUM
Routine :
Choices made in response to relatively well known problems. Solution obtained from
standard rules, operating procedures and computer programs.
Adaptive:
Combination of moderately. Unusual and partially known problems and alternative
solutions that are modifications of other known and well define solutions.
Innovative:
Involve combining the discovery, identification and diagnosis of unusual and ambiguous
problems with the unique. Novel and creative alternative solutions.
Represents a series of mini decisions made over a period of months or
several years.
Represents an individual decision, involve many people, many and various
time.
Do not unfold in a logical, orderly sequence.
Made in the midst of a lot other managerial tasks.
Differences:
ROUTINE
ADAPTIVE
Made under conditions of Moderate

levels
certainty, low level risk
uncertainty and risk.
7.3
INNOVATIVE
of High levels of risks and
certainty.
CONDITION THAT AFFECT DECISION MAKING
56
States of nature:
Condition, situations and events that managers cannot control, but influence their
decisions. e.g new technologies, entrance of new competitors into market, new laws and
political instability.
Certainty:
Managers are fully informed of the problem, alternative solutions that will lead to desired
result, probability that certain states of the nature will occur.
Objectives probability:
The likelihood that the state of nature will occur, based on hard facts and figures.
Rational decision and non- rational decision model:
Rational
Make optimal decision, possessing and understanding all information relevant to their
decisions at the time they are made.
Non-rational model
Information gathering and processing limitations make it difficult for managers to make
optimal decisions.
Rational decision :
Permits maximum achievement of an objective within limitations of environment in
which decisions are made. It merges the rationality of the decision maker and the decision
into sequence of basic steps:
1.
Problem awareness and diagnosis.

It include noticing, interpreting and incorporation
Noticing
Managers
Monitor
environmental
forces and decide which are
problems
2.
Interpreting
Managers
Assess the forces they have
notice determine what is
causing it
Incorporation
Managers
Relate their interpretation to
the current or desired state
of
their
department/
organization to the future
problems.
Set objectives
What to be achieve and by what date.
57
3.
Search for alternative solutions

Seeking additional information,
undertaking.
thinking
creative,
consulting
Compare and evaluate alternative solutions.

Emphasizes expected results, including relative cost of each alternatives.
5.
Choose among alternative solution.

Final choice
6.
Implement the solution selected.
experts,
ACTIVITY :
1.
Discuss two types of decision making?.
2.
What are the condition that affect the decision making?.
3.
Explain the step use in decision making?.
REFERENCES :
1. Stephen P. Robbins, David A. Decenzo, Fundamental of Management, 6th
CHAPTER EIGHT OVERVIEW
58
LEADERSHIP
7.0
DEFINITION OF LEADERSHIP
7.1
IMPORTANCE OF LEADERSHIP IN ORGANIZATION
7.2
TRAIT THEORIES OF LEADERSHIP
7.3
BEHAVIORAL THEORIES OF LEADERSHIP
7.4
LEADERSHIP FUNCTIONS
7.5
LEADERSHIP STYLES
7.6
MANAGERIAL GRID (Leadership grid)
7.7
CONTINGENCY APPROACH/ SITUATIONAL FACTORS INFLUENCING

MANAGERIAL STYLE.
7.8
PATH GOAL THEORY
After completing this chapter, student will be able to:
1.
Define what is leadership
2.
Explain the importance of leadership in organization
3.
Recognize several theories of leadership .
4.
Identify several leadership styles practice in organization.
5.
Familiarize with factors that influence managerial style.
LEADERSHIP
59
8.0
Definition :
Process of directing and influencing the tasks related activities of group members.
( stoner, J.A.F, management, Prentice Hall, New Jersey, 6th edition)
The process of directing human resource efforts toward organizational objectives
( Schermerhorn, John, R ., Management for productivity, John Wiley and Sons,2nd edn)
Four important facts are:
1)
Involves people- employer and employees.
2)
Involve unequal distribution of power between leaders and group members
3)
Involves the ability to use the different forms of power to influence, reward,
referent, expert power and legitimate power or authority.
5)
About
responsibilities towards employees.
values
8.1
Importance to organization
1)
Make contribution to organization
2)
Enhance and elicit cooperation
3)
Encourage teamwork
4)
Motivate employee to generate good work.
8.2
Trait theories of Leadership:
Moral,
obligation
and
The average persons definition of leadership are :

-
Evaluation and selection of leaders are based on their physical, mental and
psychological characteristics. Qualities such as intelligence, charisma,
decisiveness, enthusiasm, strength, bravery, integrity and self confidence.
Leaders have certain inborn personality or leaders are born with certain
characteristic.
60
Set of Traits that differentiate leaders:

Traits of leaders and non- leaders
Traits of effective leaders and noneffective leaders.

Physical appearance, charisma,, mental Intelligence, self assurance and
ability, behavior/attitude, personality managerial supervisory ability.
factors.
RESULT
Traits of leaders and non- leaders
Traits of Effective leaders and nonEffective leaders
Cannot point out the differences between

of
leader and followers, Traits can be gained
leaders
through learning process
Does not depend upon particular set

traits. It depends on how well the
traits match the requirement of the
situation that / she is in.
The traits theory failed to isolate prominent traits to distinguish between leaders
and non- leaders.
8.3
BEHAVIORAL THEORIES OF LEADERSHIP

This theory is believe that people can learn the characteristic of a leader or people
can be train to be a leader. Two aspects of leadership behavior :
Leadership function
Leadership styles
8.4
LEADERSHIP FUNCTION:
Considered to be effective when practices these functions:
Task related/ problem solving function. E.g suggesting solutions, offering
information, opinion, counseling.
-
Group maintenance/ social function. Help the group to operate smoothly.

E.g agreeing the work performed by his/ her workers practice empathy or
sensitive to her/his subordinates feeling.
An effective leader must performs both functions simultaneously.
61
8.5
LEADERSHIP STYLES :
Generate into two different leadership styles :
1.
-
2.
Task oriented function/ production centered.

Concern on getting the job done to her / his satisfaction rather than
develop or employee growth.
Plan and defines work to be done
Assigns task responsibilities
Sets clear work standards
Urges task completion and monitor results
Supervise employee.
Employee oriented/ people centered.

Managers try motivate rather than control the employees. Encourage to
participate in decision making. Trust and respect are developed. This show
high amount of consideration towards employees ideas and feelings.
Characteristic of Manager:
Warmth and has special rapport with subordinates.
Respect, sensitivity to others needs and mutual trust.
8.6
MANAGERIAL GRID ( leadership grid)

Developed by Robert Blake and Jane Mouton. It concern for both employeeoriented and task oriented styles of leadership to be practiced simultaneously.
62
The Managerial Grid

High
( 1.9)
Concern
For people
(9.9)
5.5
(1.1)
(9.1)
Concern for production

Managerial grid identifies five leadership behaviors :1.1
Impoverished management
Little concern for either

production- Laissez- fair
people
or
1.9
Country club management
Full attention to peoples need but low

concern for production.
5.5
Middle of the road
Moderate concern for people and production
9.1
Autocratic/ authoritarian/
management
9.9
Team/
High concern for people and production
participation/democratic/supportive relationships.
Work
accomplishment.
management.
Managers concern for feeling and interests of
the group members. ( Democratic)
Task High concern for production and low

concern for people. Leaders want work
schedule to be followed at all costs.
( Autocratic)
63
8.7
CONTINGENCY APPROACH/ SITUATIONAL APPROACH

Focuses on situational factors influencing managerial style.
It tries to identify :
-
Find out whether there is any leadership style appropriate in particular

situation.
Identify which style is most important at any circumstances.
Predict leadership style that will be most effective.
Result from theory:

-
No one leadership style appropriate in all situations.

Leadership behavior depends on situation such as leader- member
relationship, task structure, position power, employees characteristic,
experience, expectation, organization culture and policies.
Two leadership models developed:

1)
2)
8.7.1
Path goal model

Life- cycle or situational approach.
. PATH GOAL THEORY
Path goal Model By Robert J. House
Life Cycle theory or situational approach

( by Paul Hersey and Kenneth Blancard)
Leader :
-
Leader :
Make valued or desired Must change style of leadership
rewards.
according to level of maturity of employees
Clarify to employees the and demands of situation.
kind of behavior
Behavior will contribute to
employees satisfaction.
Increase goal attainment
Clearly
defines
job
requirements,
provide
training, assist employees.
Source for rewards. E.g leaders give
directive, supportive, participative
and
achievement
oriented.
Employees attributes ability, open
minded, self control and experience.
64
Path goal theory will enable managers to influence their subordinates by :

a)
Activating subordinates needs for rewards over which the leader has
control e.g A leader explaining to employee how they can qualify for
overtime pay.
b)
Increasing rewards to employees who achieve goals, e.g Recognition and

praises.
c)
Making the path to rewards easier through coaching and direction. E.g
training, helping them to reaching goals.
d)
Reducing frustration barriers to reach goals. E.g leader replace new

equipment.
8.7.2
LIFE CYCLE OR SITUATONAL APPROACH

Developed by Hersey and Kenneth Blanchard. This theory says that a leader
should change his style of leadership according to the level of maturity of his
employee and the demands of situation of the situation.
Life cycle Theory
high
Phase 3
Phase 2
High R/ship
Low Tasks
High Task
High R/Ship
Phase 4
Phase 1
Low Tasks
Low R/ ship
High Task
Low R/ ship
Low
Low
High
Task Behavior
Maturity
High
Moderate
Immature
Low
65
The diagram shows the relationship between :

1.
Amount of task behavior that the leader shows ( horizontal axis)

( e.g providing direction, guidelines, controlling and monitoring)
2.
The amount of relationship behavior the leader provides ( Vertical axis)

( e.g providing consideration and level of emotional support)
3.
The level of task maturity the followers ( employees) show towards achieving
specific goals ( tasks or functions) that the leader wants accomplished.
Maturity means :
1.
2.
3.
A desire for achievement.

The willingness and ability to accept responsibility
The education/ experience and skills relevant to particular
tasks.
Explanation :
1.
Phase 1 ( HT/LR)- Telling

Leader use one way communication. Defines the goals and roles of employees
and tell what, how and where to do task. Employee lack of task relevant
maturity. E.g employee relatively new and in experiences.
2.
Phase 2 (HT/HR) Selling

Employee are learning to do the job. High task relationship is needed because
employee lack of experience and skills. Managers provide high level of
emotional support and encouragement to develop trust and confidence .
3.
Phase 3 (HR/LT)- Participating

Employee show maturity in performing tasks. More experience and skilled as
well as achievement oriented. Being motivated to assume more responsibility.
Managers reduces the need for task relationship and continues to give
emotional support and consideration to increase employees level of
responsibilities.
4.
Phase 4 (LR/LT) Delegating

Highest level of employee maturity, possess a high level of task maturity.
They are skilled and experienced and motivated to assume more
responsibility. They are self directed and are able to exercise self control. They
no longer need high level of supportive or task behavior from their leaders/
managers.
66
ACTIVITY
1.
Discuss the relationship between leadership and management?
2.
If you a boss in any organization, what leadership style you may practice?
3.
In what way leader can increase productivity?.
REFERENCES
1. Robert Blake and Jane S. Mouton, The managerial grid III,1985 Houston : Gulf
Publishing.
2. Robbins, Stephen P, Management 6th edn 2001, Prentice Hall.
3. Mondy, R. Wayne, Premeaux, Shane R. Management Concepts, Practices and
Skills, 6th edn 1993, Allyu and Bacon.
67
CHAPTER NINE OVERVIEW

MOTIVATION:
9.0
DEFINITION
9.1
MOTIVATION PROCESS
9.2
EARLY VIEWS OF MOTIVATION
9.3
CONTEMPORARY THEORIES OF MOTIVATION

Hierarchy of needs
Theory X and theory Y
Life cycle theory or Situational approach
Two factors theory
After completing this chapter, you should be able to :
1.
Explain the concepts of motivation and its significance in the managerial process.
2.
Understand and apply contemporary theories of motivation.
68
9.0
DEFINITION :
The willingness to put forth effort in pursuit of organizational goals. ( R Wayne
Mondy, Management, 4th edition)
tangible higher pay, bonus and benefits
Intangible reputation, respect, recognition or achievement.
Needs ( unfulfilled)
Tension
Drive
Search behavior
Reduction tension
9.1
Satisfied Needs ( Needs fulfilled)
Motivation process.
Efforts are forces to perform- Individual, manager, employees. People need
organization to achieve goals and organization needs people to achieve its goals.
This lead to effective and efficient organization.
Good motivation practices will help leaders and managers:
1.
Be sensitive to the differences in needs and values. Increase your
employees expectations that their efforts lead to effective performance.
2.
Increase your employee expectation that their efforts will lead to effective
performance.
3.
Encourage your subordinates to set performance goals that are specific,
challenging and attainable.
9.3.
EARLY VIEWS OF MOTIVATION

69
There are three early views of motivation. They are :1.
The traditional model, associated with Frederick W. Taylor and Scientific

Management.
2.
The Human Relation Model, which related to Elton Mayo and Hawthorne
studies.
3. The Human Resources Model, Associated with Doughlas Mc Gregors Theory

X and Theory Y.
Traditional Model
Assumes
Management policies
Human Relation
Model
1)
Work
us 1)People want to
inherently
feel useful.
distasteful to most
people.
2) Need to belong
2) What people do to
a
group,
is less important organization to be
rather than what recognized.
they learn for
doing it.
3) Few people
want to work to
involve in work
that
requires
creativity,
self
direction or self
control.
1.Manager should 1.Manager should
closely supervise make each worker
and
control feel useful
subordinates.
2.Should
keep
2.Manager must subordinates
break down task informed
and
into
simple, listen to their
repetitive, easily objectives.
learned
operations.
3.
Allow
3. Must establish subordinates
to
detailed
work exercise
self
routine
and control and self
procedures
direction
on
routine matters.
Human
Resources
Model
1.People
want
to
contribute
to
meaningful goals.
2.
Most
people
exercise
more
creativity,
self
direction and self
control
than their
present job demand.
1.Manager make use

of
under
utilized
human resources.
2.Create environment
where members can
contribute.
3.
encourage
participation.
70
full
General expectations
1.People
can
tolerate work if
pay is decent and
boss is fair.
2. If tasks are
simple, people are
closely controlled
they will produce
work that is up to
standard.
9.4
1.
Sharing
information with
subordinate and
involving them in
routine decisions
will satisfy their
basic needs to
belong and to feel
important.
1.Expanding
subordinates influence
self direction and self
control will lead to
direct improvement.
2. Work satisfaction
may improve as a by
product
of
subordinates making
full use of their
resources.
CONTEMPORARY THEORIES OF MOTIVATION

a)
Need theory or Content theory
b)
Process theory
c)
Reinforcement theory
A)
NEED THEORY OR CONTENT THEORY

People need or require to live fulfilling lives, particularly with regard to
work. A person will be motivated when she or he has not yet attained
satisfaction with their life. Need vary among individuals. This is because
people are different in nature. ( Hierarchy of needs)
B)
PROCESS THEORY
Process where individuals give meaning to rewards that will allow them to
influence their behavior or process theory explain how individuals are
motivated or the steps that occur when individuals are motivated.
( Herzberg two factors theory/ hygiene theory)
C)
REINFORCEMENT THEORY
Describes how people learn patterns of behavior based on environmental
reinforcements. This means behavior with positive consequences tends to
be repeated, vise versa.( Theory X and Y.)
9.4.1
HIERARCHY OF NEEDS
71
Introduced by Abraham Maslow. He states that all people possessed a set of five
needs in them. These needs are arrange in a hierarchical order . They are the lower
order needs and the higher order needs.
Self- actualization needs
higher order
Self-esteem needs
Social needs
Safety needs
lower
Order needs
Physiological needs
1.
Physiological needs
These need are our basic needs. These are for our survival. E.g food, water,
and shelter from environment
2.
Safety or security needs

Deals with our physical and psychological safety from external threats.
Examples are job security, freedom from coercion and a need for clearly
defined regulations.
3.
Social needs or Belongingness

Need for companionship, or need for personal belongingness. E.g are love,
need to love somebody as well as the need for social interaction.
4.
Self esteem needs

It is also known as growth need. It is a need for self-esteem and self growth.
E.g are respect from others, opportunities for advancement, recognition,
achievement as well as prestige and status.
5.
Self Actualization needs
72
It comprises needs for the development of ones full potential or the

realization of ones own potential.
9.4.2
TWO FACTOR THEORY

Introduced by Frederick Herzberg by studying the job attitudes of 200 engineers
and accountants .
From the study, it was concluded that individuals work satisfaction and
dissatisfaction arise from two different sets of factors. The factors are:
a)
HYGIENE FACTORS
Also known as dissatisfier factor. It associated with the work setting of an
individual. Often called as job content. It causes feeling of job
dissatisfaction.
b)
SATISFIER FACTOR
Also known as motivating factor. It associated with job context, Satisfier
factor is related to the job content of individuals. Satisfier causes feelings
of satisfaction.
Source of job satisfaction and job Dissatisfaction

Factors that led to extreme job Factors That Led to extreme job
dissatisfaction
satisfaction
-Company policy and administration
Achievement
- Supervision
Recognition
-Relationship with supervisors/ boss
Work itself
-Working condition
Responsibility
-Relation with peers
Advancement
-Relation with workers
growth
-Status
-Security
How you apply this theory?
Both hygiene and satisfier factors are two separate entities. The absence of one
does not affect the other. Hygiene factor only affects job dissatisfaction.
Improving them, such as changing the rule, policy on dress code in the work
place can make people less dissatisfied but does not contribute to job satisfaction
or motivate the employees to increase their work effort.
73
The factors that will contribute to employees satisfaction will be the satisfaction
factor. Therefore, the managerial implications associated with the two factor
theory are:
1. Improvements made in the hygiene factors can prevent or eliminate job
dissatisfaction. However, they will not improve job satisfaction.
2. Improvements made in the satisfier factors can increase job satisfaction.
However they will not prevent job dissatisfaction.
To motivate, managers need to turn their attention away from hygiene factors and
focus on improving satisfier factors.
9.4.3
THEORY X AND THEORY Y

This theory was developed by Douglas Mc Gregor. This theory describes the
views or perception of managers with regard to their employees.
Managers of theory X view the employees in terms of the following
characteristics:
1.
2.
3.
4.
5.
6.
7.
8.
Inherently disliking work

Avoiding work whenever possible
Lacking in ambition
Irresponsible
Resistant to change
Feeling that work is of secondary importance
Preferring to be led than lead.
Having to be pushed by managers to work.
Here managers have a traditional or a pessimistic view of motivation with regard

to employees. These managers in order to make sure that their employees do their
work, have to apply the autocratic style of leadership where the employee have to
be constantly directed and controlled. Coercive power will be used.
Theory Y managers, view their employees in terms of the following
characteristics:
1.
2.
3.
4.
5.
Willing to work; work is as natural as play or rest.

Willing to accept responsibility, since work brings satisfaction.
Capable of directing themselves ( self direction)
Capable of self control
Frequently using imagination, ingenuity and creativity in accomplishing
tasks.
74
Theory T is optimistic view. To ensure high performance, managers need only to

apply the participative style of leadership, where employees are allowed more
participation, freedom and responsibility in their work. Theory Y manager will
delegate the authority and allow employees to participate in decision making.
Greater job autonomy and task-variety is offered to employees.
ACTIVITY
1.
Discuss how Herzberg two factors theory help in motivating employees?
2.
If you a manager, What can you do to motivate your staf?.
REFERENCES :
1.
Petri, H.L. (1990), Motivation, Theory, Research and Application 3 rd edn,

Belmont,C.A: Wadsworth Publishing.
2.
Holt. David H., Management, Principles and Practices, 3rd edn. Prentice
Hall, New Jersey,1993.
3.
Schermerhorn, John R., Management for Productivity, 2nd edn, John Wiley
and Sons.
4.
Stoner, J.A.F., Freeman, Edward R., and Gilbert, Daniel Jr.,Management,

6th edn, Prentice Hall, 1995.
75
CHAPTER TEN OVERVIEW

COMMUNICATION
1.
DEFINITION OF COMMUNICATION
2.
IMPORTANCE OF EFFECTIVE COMMUNICATION
3.
THE COMMUNICATION PROCESS
4.
CHANNELS OF COMMUNICATION
5.
BARRIERS TO EFFECTIVE LISTENING
6.
OVERCOMING BARRIERS
Learning Objectives :
After completing this chapter, student will be able to :
1.
Define what is communication
2.
Understand the importance of effective communication.
3.
Explain the communication process
4.
Explain different channels of communication.
5.
Overcoming barriers to effective communication.
76
COMMUNICATION
10.0
DEFINITIONS :
Websters dictionary the arts of expressing ideas. The science of transmitting
information.
OR
Oxford English dictionary Imparting, conveying or exchange of ideas,
knowledge etc.. by speech, writing or sign, bringing in with exchange.
OR
The process by which people seek to share meaning via the transmission of
symbolic messages.
In organization Disseminating of information through memos, letters, reports
and newsletters. Discuss face to face meeting. Organizational communication.
Process of sending and receiving messages among individuals and groups called
interpersonal communication.
10.1
IMPORTANCE OF EFFECTIVE COMMUNICATION

Convey information
Giving instruction/ commanding action
Persuading or influencing change
1.
Management function- PLOC requires effective communication.
2.
Everyone in the organization need to be informed of the objectives and

goals of the organization.
3.
Assist managers coordinating and integrating the work groups.
4.
Employees need information to conduct tasks.
5.
In leading and motivating managers need to inform employees of doing

the right tasks, allocating and correcting mistakes.
77
Managers is considered effective in his instruction when employees acts

according to instructions.
10.2
COMMUNICATION PROCESS
Classic model of communication developed by Shannon based on fine questionwhosays what---- in what way -----to whom----with what effect.
Noise
Sender
encording
message
Medium
decording
Noise
Receiver
Noise
Feedback
Sender
Person with information to communicate
Encoding
Ways in which the information is expressed. E.g spoken

English .
Medium
From in which the message is. The telephone
Message
The information itself as encoded by the sender. E.g Im

looking for a place on PR course.
Decoding
Interpretation- The receivers thought process on getting

The message.
Receiver
Person who receive the information. E.g switch board

Operator.
Feedback
The element of the receivers response which the receiver

communicates to the sender. E.g that course is full.
Noise
Any kind of interference which results in distortion. So that

the receiver gets a different message from the one that was
sent e.g incomplete information.
78
10.3
FORMAL COMMUNICATION
Information flows around organization whether or not they try to control it.
a)
Vertical communication:
Downward- In the form of instruction and information e.g policies,
procedures, rules, work schedules.
Upward through suggestion schemes or some other form of feedback to
management. Convey info to their superior.
b)
Lateral communication
Horizontal communication
at the same level.
INFORMAL COMMUNICATION
-
Grapevines between individuals and groups can be job related or

personal.
Information can be accurate/ inaccurate
Four types of chains show how individuals convey information.

Single strand
Z
Gossip
probability
L
DE F G H T I K
Cluster
N
J
B
I
D
A
B
B
A
79
10.4
10.5
LEVEL OF COMMUNICATION
1.
Intrapersonal communication
Between you and god
2.
Interpersonal communication
Deals with communication between people usually face to face.
3.
Group communication
Relates to the interaction of people in a small groups, usually in
decision making setting.
4.
Organizational communication
Occurs in large cooperative networks and include virtually all aspects
of both interpersonal and group communication.
5.
Mass Communication
Deals with public communication . Received by or used by large
number of people ( postal service, internet etc)
ORGANIZATION INVEST IN COMMUNICATION FOR SOUND

BUSINESS REASON.
1.
Effective employee performance
2.
Manageability
3.
Sharp- end feedback
4.
Motivation
5.
Team spirit
6.
Crisis preparation
7.
Participative staff
8.
Good relation with its public
80
10.6
Improving The Comunication Process

VERBAL COMMUNICATION
Spoken words, writing letters, memo,
newsletter, bulletin boards, letters,
mail, fax.
NON-VERBAL COMMUNICATION
Means of gestures and to express
feelings and emotions. Face expression
and movement, voice tone, posture,
hand gesture, body placement, clothing,
dress and appearance
It is in form record and evidence. Info Obtain feedback, learn to relax when
well kept, easy to retrieved.
communicate, use facial, hand and body
Verbal face to face, speed up gesture to supplement speech, avoid
exchanging ideas and get direct using the same non verbal, use role
feedback.
playing, use mirroring to establish
rapport.
10.7
Barriers to effective listening

1.
Poor listening
2.
Semantic
Certain words may be interpreted differently by different people.
3.
Filtering
Alteration of information to make it interesting, positive and acceptable to
the receiver.
4.
Credibility of the sender

Associated with persons feeling of love, anger, hate, jealousy, fear,
defensive, embarrassment and enthusiasm.
5.
Noise
Factor interferes, confuse or disturb the messages from reaching the
receiver.
81
10.8
OVERCOMING COMMUNICATION BARRIERS

1.
Obtain feedback
Ask question, repeat message, visit site.
2.
Use simple language

Technical terms must be clearly explained
3.
Recognized emotions
Empathy
4.
Do not make own conclusion

Listen to all issues carefully
5.
Avoid noise
Identify it cause or sources.
6.
Understand verbal and non- verbal communication

Facial expression, clothes, postures and gestures.
7.
Create openness, rational and trust

Instill an atmosphere of openness.
8.
Send message in an effective way

a- Plan and clarify ideas before communicating
b- Be specific
c- Use bias free language
d- Modify language and use words appropriate.
82
ACTIVITY :
1.
For what reason organization invest in communication?.
2.
Explain the important of the two communication channels in organization?.
3.
Effective communication importance to organization,

organization overcome ineffective communication process.
Discuss
how
REFERENCES :
1.
Holt. David H., Management, Principles and Practices, 3rd edn. Prentice
Hall, New Jersey,1993.
2.
Schermerhorn, John R., Management for Productivity, 2nd edn, John Wiley
and Sons.
3.
Stoner, J.A.F., Freeman, Edward R., and Gilbert, Daniel Jr., Management,
6th edn, Prentice Hall, 1995.
83
84
85

Management Concepts

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Management Concepts

Uploaded by

Copyright:

Available Formats

1

CHAPTER ONE OVERVIEW

DEFINITION OF MANAGEMENT, ORGANIZATION AND MANAGERS.

MEASURING MANAGERIAL PERFORMANCE

THE CHALLENGE OF MANAGEMENT

Define what is management

Familiarize with the different types of organizations.

Explain the levels of management and management functions

Know the different types of managerial roles and activities.

WHY WE STUDY MANAGEMENT ?

To be responsible and accountable for employees to be in the same track towards

DEFINITION OF MANAGEMENTS, ORGANIZATION AND

- Includes defining goals, establishing strategy

- Determine what tasks are to be done who is to do

- Includes motivating subordinates, directing

- Monitoring activities to ensure that they are being

Achieving the organizations stated purpose ( Goal / Mission)

First line managers

manufacturing plant, the technical supervisor in a research department,

By their level in the

-first line manager

- The ability to work with, understand and motivate other people

Conceptual skill ability to coordinate and integrate all of an organizations

- A person who is responsible for hiring, training and

- A person who perform and interacts with other people

Disseminator - Information received internally or externally will be transmitted

Spoke person - Information will be transmitted to people outside the

- Manager continuously seeks information that can be use to

Manager tries to improved the unit and initiate the changes.

Disturbance handler - managers is responsible for corrective actions when the

Production workers were assigned to

The production manager and supervisor

Since the sales of proton wira and

THE CHALLENGE OF MANAGEMENT

Total Quality management

Social responsibility and ethic

Organizational restructuring and consolidation.

Total quality management

What is management and what is organization ?

Why we need to study management?

EVOLUTION OF MANAGEMENT THEORIES

THE FORMATION OF MANAGEMENT PRACTICES

PRE CLASSICAL VIEW POINT

CLASSICAL VIEW POINT

QUANTITATIVE SCIENCE APPROACH

Understand the beginning of management practice

Explain several management theories .

Apply several techniques of management practice.

EVOLUTION OF MANAGEMENT THEORIES

Egyptian use mathematical to organize labor, supervise to built within specified

THE FORMATION OF MANAGEMENT PRACTICES

Pre classical view point.

PRE CLASSICAL CONTRIBUTORS

Robert Oven ( 1772-1858)

Charles Barbage ( 1792-1871)

Recognized specialized physical work as well as mental work

Henry R. Towne ( 1844-1942)

Frederick Winslow Taylor ) 1856-1915)

Thus, developed science management :

Frank and Lilian Gilbreath ( 1868-1924)

Henry L Gantt (1861-1919)

Max Weber (1864-1920)

that members know what is

to ensure uniformity and facilitate