PRINCIPLE OF MANAGEMENT
EMBA Program
DISTANCE LEARNING ASSIGNMENT
PRINCIPLE OF MANAGEMENT Quarter: Quart er: Winter 2015 2 015 , Deadline for Submission of Assignment: February 5, 2015 Attempt Attempt all questions questions given given below. below. Your answers answers should should not be copied, copied, word-for word-for-word, from the textbook. You may use the terms, concepts, examples from the textbook, but these must be written as your own, independent expression. 1. Define Management and explain basic management m anagement functions. 2. Describe the concept of an MBO in the context of management and explain
four different strategies of TOWS matrix. 3. What What is mean meantt b !spa !span n of mana manage geme ment nt"" and and expl explai ain n the the fact factor ors s that that influence the span of management. #. $ist categories of departmentation and explain departmentation b functions. %. Describe in details the term !line"& !staff" and !functional authorit". '. What are the critical factors in effecti(e organi)ing* +. ,xplain the -dams ,/uit theor of moti(ation. 0. $ist tpes of leadership approaches and explain !-utocratic -pproach". . Describe briefl the reasons for using !committees" and !groups" 1. Write a detailed note on the basic control process and also describe the re/uirement for establishing effecti(e control.
PRINCIPLE OF MANAGEMENT
Ques Questi tion on # 1: Defn Defne e mana manage geme ment nt and and e!" e!"ai ain n asi asi$ $ mana manage geme ment nt %un$tions& Ans'e(: Management Management is a !(o$ess o% designing and maintaining and en)i(onment in '*i$* indi)idua" 'o(+ing toget*e( in g(ou!s e,$ient"- to a$$om!"is* t*e se"e$ted aims. T*is $an e e"ao(ated as: as: 1. As manage(s manage(s !eo!"e !eo!"e $a(($a((- out t*e manage(i manage(ia" a" %un$tions %un$tions o% !"anning !"anning o(gani/ing sta,ng and $ont(o""ing 0. Managemen Managementt a!!"ies a!!"ies to anan- +ind o% o% o(gani/at o(gani/ation ion . It a!!"ies a!!"ies to manage manage(( at a"" o(ga o(gani/at ni/ationa" iona" "e)e"s "e)e"s 2. T*e aim o% o% a"" t*e manage( manage(s s is t*e same same to $(eate $(eate a su(!"us su(!"us 3. Managing Managing is $on$e(ned $on$e(ned 'it* !(odu$ti) !(odu$ti)itit- '*i$* a!!"ies a!!"ies e4e$ti)eness e4e$ti)eness and s4ei$ien"tFun$tion o% management Resea($*e( and manage(s *a)e %ound t*at t*e ana"-sis o% management is %a$i"itated - a use%u" and $"ea( o(gani/ation o% +no'"edge. Management is t*e(e%o(e (ea+ing into f)e manage(ia" %un$tions. Manage(ia" %un$tions a(e as %o""o's: 1. 0. . 2. 3.
P"ann "annin ing g O(ga O(gani ni/i /ing ng 5ta,ng Leading Cont Cont((o""i o""ing ng
T*e %(ame'o(+ o% management is used us ed and teste ested d %o( %o( num ume( o% de$ades. T*e em!*asis onstud- o% management %un$tions is on mange(s and tas+ t*at !e(tain to designing an inte(na" en)i(onment en)i(onment %o( !e(%o(man$e 'it* an o(ga o(gani ni/a /ati tion on.. As to mang mange( e(s s one one $annot !e(%om t*e and o!e(ate t*e ente( usiness ente(!(ise.
Planning
PRINCIPLE OF MANAGEMENT
Ques Questi tion on # 1: Defn Defne e mana manage geme ment nt and and e!" e!"ai ain n asi asi$ $ mana manage geme ment nt %un$tions& Ans'e(: Management Management is a !(o$ess o% designing and maintaining and en)i(onment in '*i$* indi)idua" 'o(+ing toget*e( in g(ou!s e,$ient"- to a$$om!"is* t*e se"e$ted aims. T*is $an e e"ao(ated as: as: 1. As manage(s manage(s !eo!"e !eo!"e $a(($a((- out t*e manage(i manage(ia" a" %un$tions %un$tions o% !"anning !"anning o(gani/ing sta,ng and $ont(o""ing 0. Managemen Managementt a!!"ies a!!"ies to anan- +ind o% o% o(gani/at o(gani/ation ion . It a!!"ies a!!"ies to manage manage(( at a"" o(ga o(gani/at ni/ationa" iona" "e)e"s "e)e"s 2. T*e aim o% o% a"" t*e manage( manage(s s is t*e same same to $(eate $(eate a su(!"us su(!"us 3. Managing Managing is $on$e(ned $on$e(ned 'it* !(odu$ti) !(odu$ti)itit- '*i$* a!!"ies a!!"ies e4e$ti)eness e4e$ti)eness and s4ei$ien"tFun$tion o% management Resea($*e( and manage(s *a)e %ound t*at t*e ana"-sis o% management is %a$i"itated - a use%u" and $"ea( o(gani/ation o% +no'"edge. Management is t*e(e%o(e (ea+ing into f)e manage(ia" %un$tions. Manage(ia" %un$tions a(e as %o""o's: 1. 0. . 2. 3.
P"ann "annin ing g O(ga O(gani ni/i /ing ng 5ta,ng Leading Cont Cont((o""i o""ing ng
T*e %(ame'o(+ o% management is used us ed and teste ested d %o( %o( num ume( o% de$ades. T*e em!*asis onstud- o% management %un$tions is on mange(s and tas+ t*at !e(tain to designing an inte(na" en)i(onment en)i(onment %o( !e(%o(man$e 'it* an o(ga o(gani ni/a /ati tion on.. As to mang mange( e(s s one one $annot !e(%om t*e and o!e(ate t*e ente( usiness ente(!(ise.
Planning
PRINCIPLE OF MANAGEMENT
T*e 'o(d planning in$o( in$o(!o( !o(ate ates s ot* ot* ideas: ideas: It means means dete( dete(min mining ing t*e o(gani/ation6s goa"s and defning t*e means %o( a$*ie)ing t*em. P"anning a""o's manage(s t*e o!!o(tunit- to ad7ust to t*e en)i(onment instead o% me(e"me(e"- (ea$t (ea$ting ing to it. P"anni P"anning ng in$(e in$(ease ases s t*e !ossi !ossii"it i"it- o% su()i) su()i)a" a" in usiness - a$ti)e"- anti$i!ating and managing t*e (is+s t*at ma- o$$u( in t*e %utu(e. P"anning is t*e %un$tion o% management t*at in)o")es setting o7e$ti)es and and dete dete((mini mining ng a $ou( $ou(se se o% a$tio a$tion n %o( %o( a$*i a$*ie) e)in ing g t*os t*ose e o7e o7e$t $ti) i)es es.. P"anning (e8ui(es t*at manage(s e a'a(e o% en)i(onmenta" $onditions %a$ing t*ei( o(gani/ation and %o(e$ast %utu(e $onditions. It a"so (e8ui(es t*at manage(s e good de$ision ma+e(s. ma+e(s. P"anni P"anning ng is a !(o$e !(o$ess ss $onsis $onsistin ting g o% se)e(a se)e(a"" ste!s ste!s.. T*e !(o$e !(o$ess ss egins egins 'it* en)i(onmenta" s$anning '*i$* sim!"- means t*at !"anne(s must e a'a(e o% t*e $(iti$a" $ontingen$ies %a$ing t*ei( o(gani/ation in te(ms o% e$onomi$ e$onomi$ $onditions $onditions99 t*ei( $om!etito( $om!etito(s9 s9 and t*ei( $ustome(s. $ustome(s. P"anne(s P"anne(s must t*en attem!t to %o(e$ast %utu(e $onditions. T*ese %o(e$asts %o(m t*e asis %o( !"anning. P"anne(s must esta"is* o7e$ti)es9 '*i$* a(e statements o% '*at needs to e a$*ie)ed and '*en. P"anne(s must t*en identi%- a"te(nati)e $ou(ses o% a$tion %o( a$*ie)ing o7e$ti)es. A%te( e)a"uating t*e )a(ious a"te(nati)es9 !"an !"anne ne(s (s must must ma+ ma+e de$i de$isi sion ons s aou aoutt t*e t*e est est $ou( $ou(se ses s o% a$ti a$tion on %o( %o( a$*ie) a$*ie)ing ing o7e$t o7e$ti)e i)es. s. T*eT*e- must must t*en t*en %o(mu" %o(mu"ate ate ne$ess ne$essa(a(- ste!s ste!s and ensu ensu((e
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$onstant"- e)a"uate t*e su$$ess o% t*ei( !"ans and ta+e $o((e$ti)e a$tion '*en ne$essa(-. ne$essa(-. T*e(e a(e a(e man- di4e(ent di4e(ent t-!es o% !"ans and !"anning !"anning 1. 5ta(at 5ta(ategi egi$ $ P"annin P"anning g 0. Ta$ti$a a$ti$a"" P"anni P"anning ng . O!e(at O!e(ation iona" a" P"anni P"anning ng
O(gani/ing
PRINCIPLE OF MANAGEMENT
O(gani/ing is t*e %un$tion o% management t*at in)o")es de)e"o!ing an o(gani/at o(gani/ationa" iona" st(u$tu( st(u$tu(e e and a""o$ating a""o$ating *uman *uman (esou( (esou($es $es to ensu(e ensu(e t*e a$$om!"is*ment o% o7e$ti)es. T*e st(u$tu(e o% t*e o(gani/ation is t*e %(ame' %(ame'o(+ o(+ 'it*in 'it*in '*i$* '*i$* e4o(t e4o(t is $oo(d $oo(dina inated ted.. T*e st(u$t st(u$tu( u(e e is usua"" usua""(e!( e!(esen esente ted d
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(e!(esentation o% t*e $*ain o% $ommand 'it*in an o(gani/ation. De$isions made made aout aout t*e st(u$t st(u$tu( u(e e o% an o(gan o(gani/a i/atio tion n a(e a(e gene(a gene(a""""- (e%e( (e%e((e (ed d to as o(gani/ationa" design de$isions. O(ga O(gani ni/i /ing ng a"so a"so in)o in)o") ")es es t*e t*e desi design gn o% indi indi)i )idu dua" a" 7os 7os 'it* 'it*in in t*e t*e o(gani/ation.
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(es!o (es!onsi nsii" i"iti ities es o% indi)i indi)idua dua"" 7os9 7os9 as 'e"" 'e"" as t*e manne manne(( in '*i$* '*i$* t*e duties s*ou"d e $a((ied out. De$isions made aout t*e natu(e o% 7os 'it*in t*e o(gani/ation a(e gene(a""- $a""ed 7o design; de$isions. O(gani/ing at t*e "e)e" o% t*e o(gani/ation in)o")es de$iding *o' est to de!a(tmen de!a(tmenta"i/e ta"i/e99 o( $"uste(9 $"uste(9 7os into de!a(tments de!a(tments to $oo(dinate $oo(dinate e4o(t e4e$ti)e"-. T*e(e a(e man- di4e(ent 'a-s to de!a(tmenta"i/e9 in$"uding o(gan o(gani/i i/ing ng - %un$ti %un$tion9 on9 !(odu !(odu$t9 $t9 geog(a geog(a!*!*-99 o( $ustom $ustome( e(.. ManMan- "a(ge( "a(ge( o(gani/ations use mu"ti!"e met*ods o% de!a(tmenta"i/ation de!a(tmenta"i/ation..
Stafng 5ta, 5ta,ng ng is t*e t*e !(o$ !(o$es ess s - '*i$ '*i$* * an o(ga o(gani ni/a /ati tion on $(ea $(eate tes s a !oo" !oo" o% a!!"i$ants and ma+es a $*oi$e %(om t*at !oo" to !(o)ide t*e (ig*t !e(son at t*e t*e (ig* (ig*tt !"a$ !"a$e e at t*e t*e (ig* (ig*tt tim time to in$( in$(ea ease se t*e t*e o(ga o(gani ni/a /ati tion ona" a" e4e$ti)eness. T*e sta,ng %un$tion %o""o's t*e !"anning and o(gani/ing %un$tion. It is a $ontin $ontinuou uous s !(o$e !(o$ess. ss. T*is T*is %un$ti %un$tion on in$"ud in$"udes es (e$(u (e$(uitm itment ent99 se"e$t se"e$tion ion99 t(ai t(aini ning ng99 de)e de)e"o "o!m !men ent9 t9 t(an t(ans% s%e( e(99 !(om !(omot otio ion n and and $om! $om!en ensa sati tion on o% !e(sonne". T*e ma7o( e"ements o% sta,ng a(e as %o""o's <
E4e$ti)e (e$(uitment and se"e$tion. P(o!e( P(o!e( $"assif$ation o% !e(sonne" and !a- fed %o( t*em. P(o!e( !"a$ement.
PRINCIPLE OF MANAGEMENT
Ade8uate and a!!(o!(iate t(aining %o( de)e"o!ment. 5atis%a$to(- and %ai( t(ans%e( = !(omotion. 5ound (e"ations*i! et'een management and 'o(+e(s. Ade8uate !(o)ision %o( (eti(ement.
Leadership O)e( t*e -ea(s t*e !*i"oso!*i$a" te(ms >management> and >"eade(s*i!> *a)e een used ot* as s-non-ms and 'it* $"ea("- di4e(entiated meanings. Deate is %ai("- $ommon aout '*et*e( t*e use o% t*ese te(ms s*ou"d e (est(i$ted and gene(a""- (e?e$ts an a'a(eness o% t*e distin$tion made - @u(ns 1B et'een >t(ansa$tiona"> "eade(s*i! $*a(a$te(i/ed - em!*asis on !(o$edu(es9 $ontingent (e'a(d9 management e$e!tion and >t(ans%o(mationa"> "eade(s*i! $*a(a$te(i/ed - $*a(isma9 !e(sona" (e"ations*i!s9 $(eati)it-. Management is o%ten asso$iated 'it* t*e %o(me( and "eade(s*i! 'it* t*e "atte(. Leade(s '*o demonst(ate !e(sisten$e9 tena$it-9 dete(mination9 and s-ne(gisti$ $ommuni$ation s+i""s 'i"" (ing out t*e same 8ua"ities in t*ei( g(ou!s. Good "eade(s use t*ei( o'n inne( mento(s to ene(gi/e t*ei( team and o(gani/ations and "ead a team to a$*ie)e su$$ess. In $ont(ast to indi)idua" "eade(s*i!9 some o(gani/ations *a)e ado!ted g(ou! "eade(s*i!. In t*is situation9 mo(e t*an one !e(son !(o)ides di(e$tion to t*e g(ou! as a '*o"e. 5ome o(gani/ations *a)e ta+en t*is a!!(oa$* in *o!es o% in$(easing $(eati)it-9 (edu$ing $osts9 o( do'nsi/ing. Ot*e(s ma- see t*e t(aditiona" "eade(s*i! o% a oss as $osting too mu$* in team !e(%o(man$e. In some situations9 t*e team meme(s est a"e to *and"e an- gi)en !*ase o% t*e !(o7e$t e$ome t*e tem!o(a(- "eade(s. Additiona""-9 sta4 e!e(ien$es ene(g- and su$$ess '*en ea$* team meme( *as a$$ess to e"e)ated "e)e"s o% em!o'e(ment. Leade(s*i! st-"e is a "eade(6s a!!(oa$* to'a(ds !(o)iding di(e$tion9 im!"ementing !"ans9 and moti)ating !eo!"e. It is t*e (esu"t o% t*e !*i"oso!*-9 !e(sona"it-9 and e!e(ien$e o% t*e "eade(. R*eto(i$ s!e$ia"ists *a)e a"so de)e"o!ed mode"s %o( unde(standing "eade(s*i! Di4e(ent situations $a"" %o( di4e(ent "eade(s*i! st-"es. In an eme(gen$-9 '*en t*e(e is "itt"e time to (ea$* an ag(eement and '*e(e a designated aut*o(it- *as signif$ant"- mo(e e!e(ien$e o( e!e(tise t*an t*e (est o% t*e team9 an auto$(ati$ "eade(s*i! st-"e ma- e most e4e$ti)e. o'e)e(9 in a *ig*"- moti)ated and a"igned team9 'it* a *omogeneous "e)e" o% e!e(tise9 a mo(e demo$(ati$ o( "aisse/%ai(e st-"e ma- e mo(e e4e$ti)e. T*e "eade(s*i! st-"e ado!ted s*ou"d e t*e one t*at most e4e$ti)e"-
PRINCIPLE OF MANAGEMENT
a$*ie)es t*e o7e$ti)es o% t*e g(ou! '*i"e a"an$ing t*e inte(ests o% its indi)idua" meme(s.
Controlling Meaning & Nature Cont(o"9 it is t*e "ast %un$tion o% an- management. T*e $ont(o""ing %un$tion 'i"" e unne$essa(- to t*e management i% ot*e( %un$tion o% management a(e !e(%o(med !(o!e("-. A$$o(ding to Hnoot/ = ODonne""9 Cont(o""ing is t*e measu(ement o% a$$om!"is*ment against t*e standa(ds and t*e $o((e$tion o% de)iations to assu(e attainment o% o7e$ti)es a$$o(ding to !"ans.; G.R.Te((- state t*at < Cont(o""ing is dete(mining '*at is eing a$$om!"is*ed9 t*at is9 e)a"uating t*e !e(%o(man$e and i% ne$essa(-9 a!!"-ing $o((e$ti)e measu(e so t*at t*e !e(%o(man$e ta+es !"a$e a$$o(ding to !"ans.; en(- Fa-o"9 Cont(o" $onsists in )e(i%-ing '*et*e( e)e(-t*ing o$$u(s in $on%o(mit-9 is 'it* t*e !"ans ado!ted t*e inst(u$tions issued and !(in$i!"es esta"is*ed. It *as %o( its o7e$t to !oint out 'ea+nesses and e((o(s in o(de( to (e$ti%- t*em and !(e)ent (e$u((en$e.; A$$o(ding to M$ Fa("and9 T*e !(esen$e in a usiness o% t*at %o($e '*i$* guides it to a !(edete(mined o7e$ti)e - means o% !(edete(mined !o"i$ies and de$isions.; T*e main s$o!es o% $ont(o" a(e as %o""o's < a $ d e %
Cont(o" o)e( o(gani/ation. Cont(o" o)e( !o"i$ies o% t*e $on$e(n. Cont(o" o)e( !(odu$tion. Cont(o" o)e( !u"i$ (e"ations. Cont(o" o)e( (esea($* = de)e"o!ment. Cont(o" o)e( too"s = e8ui!ment.
C*a(a$te(isti$s o% Cont(o" a(e < 1. 0. . 2. 3. J. .
Cont(o" is a $ontinuous !(o$ess. It is a management !(o$ess. It is emedded in ea$* "e)e" o% o(gani/ationa" *ie(a($*-. It is %o('a(d "oo+ing. It is $"ose"- "in+ed 'it* !"anning. It is a too" %o( a$*ie)ing o(gani/ationa" a$ti)ities. Cont(o" is an end !(o$ess.
T*is stud- is aout indi)idua"s9 g(ou!sKteams and o(gani/ations9 and t*e management o% t*em9 !eo!"e e*a)io(9 and t*e im!a$ts on o(gani/ationa"
PRINCIPLE OF MANAGEMENT
e4e$ti)eness. @e*a)io( is ana"-/ed to dete(mine '*at im!edes9 maintains9 and ad)an$es o(gani/ations9 in te(ms o% !(oftai"it- and $om!etiti)eness. It a"so !(o)ides an o)e()ie' o% t*e ma7o( e"ements o% o(gani/ationa" e*a)io( in$"uding: moti)ation9 !e($e!tion9 $ommuni$ation9 g(ou! d-nami$s9 "eade(s*i!9 st(u$tu(e9 $u"tu(e9 and en)i(onment.
PRINCIPLE OF MANAGEMENT
Question !" des#ri$e the #on#ept o% an M' in the #onte(t o% )anage)ent and e(plain the strategies o% T'*+ )atri(, Ans-er: Manage)ent . '$/e#ti0es" Management - o7e$ti)es M@O9 a"so +no'n as management (esu"ts M@R9 is a !(o$ess o% defning o7e$ti)es 'it*in an o(gani/ation so t*at management and em!"o-ees ag(ee to t*e o7e$ti)es and unde(stand '*at t*e- need to do in t*e o(gani/ation in o(de( to a$*ie)e t*em. T*e te(m >management - o7e$ti)es> 'as f(st !o!u"a(i/ed - Pete( D(u$+e( in *is 1B32 oo+ T*e P(a$ti$e o% Management One o% t*e most inte(esting de)e"o!ments in management du(ing t*e "atte( !a(t o% t*is $entu(- *as een t*e de)e"o!ment o% t*e $on$e!t o% Management - O7e$ti)es M@O. As t*e o(gani/ations g(e' mo(e $om!"e ot* in o(gani/ationa" st(u$tu(e as 'e"" as t*e etent o% o!e(ations t*e need %o( mo(e so!*isti$ated te$*ni8ues o% management a(ose. T*e main $on$e(n o% management is to !(odu$e t*e desi(ed (esu"ts e4e$ti)e"- and e,$ient"-. T*is *as een t*e %o$us o% t*e e)o"ution o% management a!!(oa$*es and te$*ni8ues. In t*e $ontet o% t*e sim!"e manage(ia" situation o% -este(da-s9 '*en t*e "e)e" o% te$*no"og- 'as "o' and t*e o(ganisationa" $om!"eities 'e(e non eistent9 so!*isti$ated te$*ni8ues 'e(e not needed. @ut 'it* t*e (a!id de)e"o!ment o% te$*no"og- at a"" "e)e"s9 'it* o(gani/ation !-(amids e$oming "a(ge( and mo(e $om!"e and 'it* t*e se!a(ation o% o'ne(s*i! and management9 ne' situations *a)e eme(ged '*i$* demand di4e(ent (es!onses. It is no' (e$ogni/ed t*at '*en t*e manage(s $ease to e (is+ ea(e(s9 it e$omes ne$essa(- to de)ise some means to in$(ease t*ei( sta+e in t*e out!ut o% o(gani/ation. T*e s-stem o% Management - O7e$ti)es M@O is designed to a$*ie)e t*at Ad0antages"
M@O !(og(ams $ontinua""- em!*asi/e '*at s*ou"d e done in an o(gani/ation to a$*ie)e o(gani/ationa" goa"s. M@O !(o$ess se$u(es em!"o-ee $ommitment to attaining o(gani/ationa" goa"s.
Disad0antages"
PRINCIPLE OF MANAGEMENT
T*e de)e"o!ment o% o7e$ti)es $an e time $onsuming9 "ea)ing ot* manage(s and em!"o-ees "ess time in '*i$* to do t*ei( a$tua" 'o(+. T*e e"ao(ate '(itten goa"s9 $a(e%u" $ommuni$ation o% goa"s9 and detai"ed !e(%o(man$e e)a"uation (e8ui(ed in an M@O !(og(am in$(ease t*e )o"ume o% !a!e('o(+ in an o(gani/ation.
T'*S Matri( ein/ ei*(i$* *as de)e"o!ed a mat(i $a""ed TO5 mat(i - $om!a(ing st(engt*s and 'ea+nesses o% o(gani/ation 'it* t*at o% ma(+et o!!o(tunities and t*(eats It *as een $(iti$i/ed t*at a%te( $ondu$ting t*e 5OT Ana"-sis manage(s %(e8uent"- %ai" to su$$ess%u""- dea" 'it* t*e st(ategi$ $*oi$es t*at t*e out$omes demand. TO5 Mat(i '*i"e using t*e same in!uts T*(eats9 O!!o(tunities9 ea+ness and 5t(engt*s (eo(gani/es t*em and integ(ates t*em mo(e %u""- into t*e st(ategi$ !"anning !(o$ess. T*e mat(i is out"ined e"o':
PRINCIPLE OF MANAGEMENT
PRINCIPLE OF MANAGEMENT
Question 1" *hat is )eant $. 2Span o% )anage)ent3 and e(plain the %a#tor that in4uen#e the span o% )anage)ent, Ans-er" Span '% Manage)ent 5!an o% management means t*e nume( o% !eo!"e managed e,$ient"- a sing"e o,$e( in an o(gani/ation. T*is is a"so $a""ed s!an o% management9 s!an o% aut*o(it-9 s!an o% su!e()ision9 s!an o% aut*o(it-9 s!an o% (es!onsii"it- o( "e)e"s o% o(gani/ation. T*is !(in$i!"e is ased on t*e !(in$i!"e o% (e"ations*i!. 5!an o% $ont(o" (e%e(s to t*e maimum nume(s e4e$ti)e"su!e()ised - a sing"e indi)idua". T*e nume( o% meme(s ma- e in$(eased o( de$(eased a$$o(ding to t*e natu(e o% 'o(+ done - t*e suo(dinate o( t*e ai"it- o% t*e su!e()ision. In t*e administ(ation a(ea9 unde( one ee$uti)e9 nea("- %ou( o% f)e suo(dinates ma- 'o(+. T*e s!an o% $ont(o" ena"es t*e smoot* %un$tioning o% t*e o(gani/ation. T*e te(m s!an "ite(a""- means t*e s!a$e t*e et'een t'o su!!o(ts o% a st(u$tu(e9 e.g. t*e s!a$e et'een t'o !i""a(s o% a (idge. T*e s!a$e et'een t'o !i""a(s s*ou"d e neit*e( too "a(ge no( to sma"". I% it is too "a(ge9 t*e (idge ma- $o""a!se and i% is too sma""9 it 'i"" en*an$e its $ost. *en t*is 'o(d is a!!"ied to management9 it (e%e(s to t*e nume( o% suo(dinates a manage( o( a su!e()iso( $an su!e()ise9 manage o( $ont(o" e4e$ti)e"- and e4e$ti)e"-. T*e(e%o(e9 s!an o% su!e()ision (e%e( to t*e o!timum nume( o% suo(dinates t*at a manage( o( su!e()iso( $an manage o( $ont(o" e4e$ti)e"-. An o(gani/ation is $*a(a$te(i/ed - t*e !(esen$e o% a nume( o% "e)e"s and de!a(tments. @ut mo(e t*e "e)e"s a(e $(eated mo(e 'i"" e t*e administ(ati)e $ost due to additiona" sta4 (e8ui(ed and mo(e 'i"" e t*e di,$u"t- to e en$ounte(ed in $ommuni$ation and $ont(o""ing. T*is is asi$a""- t*e !(o"em o% de$iding t*e nume( o% suo(dinates to (e!o(t di(e$t"- to ea$* manage(. A$$o(ding to t*is !(in$i!"e t*e(e is a "imit o% t*e nume( o% suo(dinates t*at ea$* manage(s $an e4e$ti)e"su!e()ise. @asi$a""- t*e(e a(e t'o t-!es o% s!an o% management < 1. Na((o' s!an o% management < It "eads to man- "e)e" in *e(ess-stem in o(gani/ation situation. Na((o' s!an a"so e4e$t em!"o-ees mo(a" ad)e(se"-.
PRINCIPLE OF MANAGEMENT
0. ide s!an o% management < ide s!ans o% management "eads to ?at o(gani/ation in '*i$* manage( *a)e a de)e"o!ing s+i"" and e!e(ien$e o% +no'"edge.
5a#tors in4uen#ing Span o% Control Im!o(tant %a$to(s in?uen$ing t*e dete(mination o% !(o!e( s!an o% $ont(o"Ksu!e()ision management a(e: 1. natu(e o% 'o(+ 0. ai"it- o% t*e su!e()iso( . $om!eten$e o% t*e suo(dinates 2. ai"it- o% sta4 se()i$es 3. a)ai"ai"it- o% time and ene(g- 'it* t*e su!e()iso( J. de"egation o% aut*o(it- . deg(ee o% de$ent(a"i/ation . !"anning (e8ui(ed - t*e su!e()iso( B. use o% o7e$ti)e standa(ds and 1. te((ito(ia" $ontiguit- o% %un$tions su!e()ised 67 Nature o% -or8" T*e s!an o% $ont(o" g(eat"- de!ends u!on t*e natu(e o% a$ti)ities and !(o"ems %a$ed - t*e su!e()iso(9 '*i$* in tu(n 'i"" de!end on natu(e and si/e o% !(odu$tion. In $ase t*e su!e()iso( $a((ies (outine t-!e o% 7o unde( set guide"ines9 *e need not de)ote mu$* time on t*e 'o(+e(s unde( *im. As t*e 7o is (e!etiti)e in natu(e9 s!an o% su!e()ision o( $ont(o" $an e "a(ge(. In ot*e( 'o(ds9 a su!e()iso( $an $ont(o" mo(e 'o(+e(s unde( *im. On t*e ot*e( *and9 in $ase o% $om!"e and $om!"i$ated 7os it 'ou"d e di,$u"t %o( t*e su!e()iso( to $ont(o" "a(ge nume( o% 'o(+e(s e4e$ti)e"-. T*e s!an o% $ont(o" 'i"" e na((o' in su$* $ases. !7 A$ilit. o% the super0isor" T*e ai"it- and s+i"" o% t*e su!e()iso( g(eat"- a4e$ts dete(mination o% s!an. A *ig*"- 8ua"ifed and e!e(ien$ed su!e()iso( 'it* s!e$ia"ised +no'"edge and te$*ni$a" s+i"" 'i"" e a"e to unde(ta+e e4e$ti)e"- a "a(ge( s!an t*an a su!e()iso( '*o is not 'e"" 8ua"ifed and e!e(ien$ed. 17 Co)peten#e o% the su$ordinates" T*e s!an o% $ont(o" su!e()ision is a"so g(eat"- a4e$ted - t*e 8ua"it- o% t*e suo(dinates to e su!e()ised - t*e su!e()iso(. I% suo(dinates a(e - and "a(ge e!e(ien$ed9 *a(d 'o(+ing and 'e"" )e(sed in t*ei( 7os9 t*e su!e()iso( $an manage "a(ge nume( o% 'o(+e(s and s!an $an e mo(e. T*e su!e()iso( $an (e"- on t*e !e(%o(man$e o% t*e 'o(+e(s and *e need not guide t*em time and again on$e inst(u$tions a(e issued to t*em. I% t*e sta4 unde( t*e $ont(o" o% su!e()iso( is ine!e(ien$ed and ine,$ient sa- $om!(ising o% ne' $ome(s9 t*e suo(dinates 'ou"d (e%e( to t*e su!e()iso( e)e(- no' and t*en %o( $"a(if$ations and guidan$e. T*e s!an o% $ont(o" in su$* a $ase 'i"" e na((o'.
PRINCIPLE OF MANAGEMENT
97 A$ilit. o% sta: ser0i#es" T*e te(m sta4 means t*e a!!ointment o% e!e(ts in t*e "ine o(ganisation %o( guiding9 ad)ising9 and e!e(t o!inion to t*e "ine o,$e(s. T*e su!e()iso( o( "ine su!e(io( is g(eat"- enefted and (e"ie)ed - t*e sta4 ad)i$e. e $an manage "a(ge nume( o% suo(dinates and t*e s!an 'i"" e "a(ge. I% sta4 se()i$es a(e not a)ai"a"e9 "esse( nume( o% suo(dinates s*ou"d e !ut unde( t*e $ont(o" o% one su!e()iso( '*i$* 'i"" "ead to na((o' s!an ;7 A0aila$ilit. o% ti)e and energ. -ith the super0isor" T*e a)ai"ai"it- o% time 'it* t*e su!e()iso( 'i"" de!end u!on t*e t-!e o% t*e !(o"ems9 sim!"e o( $om!"e9 ta$+"ed - *im and *e *as to do manot*e( t*ings "i+e !(e!a(ation o% (e!o(ts and !"anning. I% *e is us- in t*ese $om!"eities9 *e 'i"" not e a"e to manage "a(ge nume( o% suo(dinates. e(e t*e s!an o% $ont(o" 'i"" e na((o'. <7 Delegation o% authorit." In an ente(!(ise '*i$* is e4e$ti)e"- o(ganised and st(u$tu(ed9 management is a"e to in?uen$e and minimise t*e %(e8uen$- and se)e(ito% su!e(io( suo(dinate (e"ations*i!s and t*us in$(ease its s!an. An o(ganisation !oo("- $on$ei)ed $onsumes dis!(o!o(tionate time o% t*e manage( in $ounse""ing and guidan$e o% t*e suo(dinates An im!o(tant s-m!tom o% ine,$ient o(ganisation in?uen$ing s!an o% $ont(o" is to e %ound in amiguous o( inade8uate aut*o(it- de"egation. I% suo(dinate is not $"ea( aout '*at *e is e!e$ted to do o( is $a""ed u!on to do somet*ing e-ond t*e s$o!e o% *is aut*o(it-9 *e 'i"" ma+e mo(e demand on t*e senio( manage( and *en$e o!e(ate to (edu$e *is s!an. *e(e suo(dinates a(e de"egated aut*o(it- su,$ient to $a((- out t*e assigned duties and t*ei( aut*o(ities a(e $"ea("- defned9 !(o!e("- t(ained suo(dinates 'i"" $onside(a"- (edu$e t*e time and attention o% t*e senio( and t*us *e"! to in$(ease *is s!an. =7 Degree o% de#entrali>ation" I% a manage( is to ma+e man- de$isions *imse"%9 *e 'i"" *a)e "ess time to s!a(e %(om su!e()ising t*e 'o(+ o% *is suo(dinate and t*us must o!e(ate 'it* a na((o' s!an. On t*e ot*e( *and9 an ee$uti)e o!e(ating unde( de$ent(a"i/ed setu! is (e"ie)ed o% mu$* o% t*e u(den o% ma+ing !(og(ammed de$isions and *en$e $an a4o(d to su!e()ise (e"ati)e"- a "a(ge( nume( o% suo(dinates. ?7 Planning re@uired $. the super0isor:
PRINCIPLE OF MANAGEMENT
T*is %a$to( (e%e(s to t*e im!o(tan$e9 $om!"eit- and time to e s!ent t*e ee$uti)e in (e)ie'ing t*e o7e$ti)es9 !(og(amming t*e a$tions and de$iding aout a nume( o% !o"i$- matte(s. As t*e im!o(tan$e9 $om!"eitand time (e8ui(ed o% t*e manage( in !e(%o(ming *is !"anning %un$tion in$(eases9 it 'i"" e mo(e !(udent to (edu$e t*e nume( o% suo(dinates (e!o(ting to *im. 7 Bse o% o$/e#ti0e standards 5u!e()ising t*e suo(dinates (e8ui(es t*at management must +no' *o' %a( !"ans a(e eing %o""o'ed and to '*at etent t*ei( !e(%o(man$e tends to de)iate %(om !"ans. e $an +no' t*e de)iations eit*e( - !e(sona" ose()ation o( t*(oug* use o% o7e$ti)e standa(ds. In t*e "atte( $ase9 manage( is sa)ed o% man- time$onsuming (e"ations*i!s and $an $on$ent(ate on !oints o% st(ategi$ im!o(tan$e t*us 'idening *is s!an o% $ont(o".
Question 9" List #ategories o% depart)entation and e(plain depart)entation $. %un#tions Ans-er" Introdu#tion O(gani/ations a(e %o(med '*en a g(ou! o% indi)idua"s unite to a$$om!"is* a s!e$if$ goa". T*e- a(e (es!onsi"e %o( $(eating a 'o(+ en)i(onment t*at est uti"i/es (esou($es su$* as !eo!"e9 tas+s and te$*no"og-. @ut9 in o(de( to meet t*is o7e$ti)e9 t*e- 'i"" need to $(eate an o(gani/ationa" st(u$tu(e o( design. O(gani/ationa" st(u$tu(e and design in$"ude 'o(+ s!e$ia"i/ation9 de!a(tmenta"i/ation9 $*ain o% $ommand9 s!an o% $ont(o"9 $ent(a"i/ation and de$ent(a"i/ation and $ommon o(gani/ationa" designs. De!a(tmenta"i/ation is dis$ussed *e(e. Meaning o% depart)entation G(ou!ing o% a$ti)ities is an essentia" ste! in designing an o(ganisationa" st(u$tu(e. G(ou!ing o% a$ti)ities into de!a(tments o( ot*e( *omogeneous unit is +no'n as de!a(tmentation. De!a(tmentation o( de!a(tmenta"isation is t*e !(o$ess o% g(ou!ing tas+s into 7os9 t*e $omining o% 7os into e4e$ti)e 'o(+ g(ou!s and t*e $omining o% g(ou!s into identifa"e g(ou!s o( de!a(tments.
PRINCIPLE OF MANAGEMENT
Need and im!o(tan$e T*e asi$ !u(!ose o% de!a(tmentation is to ma+e t*e si/e o% ea$* de!a(tmenta" unit managea"e and to se$u(e ad)antages o% s!e$ia"i/ation. It is ne$essa(- on t*e a$$ount o% %o""o'ing (easons
5!e$ia"i/ation: De!a(tmentation ena"es an o(gani/ation to a)ai" t*e enefts o% s!e$ia"isation. E!ansion: One manage( $an su!e()ise and di(e$t on"- a %e' suo(dinates. Autonom-: De!a(tmentation (esu"ts in t*e di)ision o% ente(!(ise into semiautonomous units. Fiation o% (es!onsii"ities: De!a(tmentation ena"es ea$* !e(son to +no' t*e s!e$if$ !a(t *e is to !"a- in t*e tota" o(gani/ation. A!!(aisa": A!!(aisa" o% manage(ia" !e(%o(man$e e$omes easie( '*en s!e$if$ tas+s a(e assigned to s!e$if$ !e(sonne". Manage(ia" de)e"o!ment: De!a(tmentation %a$i"itates $ommuni$ation9 $oo(dination and $ont(o". Administ(ati)e $ont(o": De!a(tmentation is a means o% di)iding t*e "a(ge and $om!"e o(gani/ation into sma"" and ?ei"e administ(ati)e units.
5un#tional depart)entation" Fun$tiona" De!a(tmenta"i/ation g(ou!s 7os - t*e %un$tions t*at t*e!e(%o(m. en$e ea$* ma7o( o( asi$ %un$tion is o(gani/ed as a se!a(ate de!a(tment. T*e asi$ o( o(gani$ %un$tions a(e t*e %un$tions t*e !e(%o(man$e o% '*i$* is )ita" and essentia" to t*e su()i)a" o% t*e o(gani/ation. Fo( eam!"e9 +e- %un$tions o% a manu%a$tu(ing $om!anin$"ude !(odu$tion9 !u($*asing9 ma(+eting9 a$$ounting9 and !e(sonne". T*e %un$tions o% a *os!ita" in$"ude su(ge(-9 !s-$*iat(-9 nu(sing9 *ouse+ee!ing9 and i""ing. I% ne$essa(-9 a ma7o( %un$tion ma- e di)ided into mino( o( su%un$tions. A !(odu$tion de!a(tments a$ti)ities ma- $"assi%- into 8ua"it- $ont(o"9 !(o$essing o% mate(ia"s and (e!ai(s and maintenan$e. T*e !(o$ess o% %un$tiona" di4e(entiation $an $ontinue as "ong as t*e(e eists a sound asis %o( %u(t*e( di4e(entiation. It is t*e 'ide"- used asis %o( g(ou!ing a$ti)ities and eists a"most in e)e(- o(gani/ation at some "e)e". List o% departentation" 1. 0. . 2.
De!a(tmentation - Ente(!(ise De!a(tmentation - Te((ito(- o( geog(a!*De!a(tmentation - Custome( G(ou! De!a(tmentation - P(odu$t
PRINCIPLE OF MANAGEMENT
ENTERPRISE DEPARTMENTATI'N A met*od %o( se!a(ating t*e a$ti)ities !e(%o(med 'it*in an o(gani/ation into g(ou!s di4e(entiated - t*e %un$tion t*e- !e(%o(m. Fo( eam!"e9 a usiness em!"o-ing %un$tiona" de!a(tmenta"i/ation 'ou"d tend to g(ou! toget*e( 'o(+e(s t*at !e(%o(m a !a(ti$u"a( %un$tion9 su$* as a$$ounting9 t*at di4e(s sustantia""- %(om t*e tas+s !e(%o(med - ot*e( sta4 meme(s.
TERRIT'RIAL O(gani/ations fnd
DEPARTMENTATI'N t*at
a(e
s!(ead o)e( a 'ide a(ea ma-
ad)antages in o(gani/ing a"ong geog(a!*i$ "ines so t*at a"" t*e a$ti)ities !e(%o(med in a (egion a(e managed toget*e(. @an+9 insu(an$e $om!anies9 t(ans!o(t $om!anies9 dist(iution agen$ies a(e eam!"es o% su$* ente(!(ises. T*e a$ti)ities a(e di)ided into /ones9 di)isions and (an$*es. It is o)ious"- not !ossi"e %o( one %un$tiona" manage( to manage e,$ient"- su$* 'ide"- se!a(ated a$ti)ities t*is ma+es it ne$essa(- to a!!oint (egiona" manage(s %o( di4e(ent (egions.
PRINCIPLE OF MANAGEMENT
CBST'MER DEPARTMENTATI'N An o(gani/ation ma- fnd it ad)antageous to o(gani/e a$$o(ding to t*e t-!es o% $ustome(s it se()es. Fo( eam!"e9 a dist(iution $om!an- t*at se""s to $onsume(s9 go)e(nment $"ients9 "a(ge usinesses9 and sma"" usinesses ma- de$ide to ase its !(ima(- di)isions on t*ese di4e(ent ma(+ets. Its !e(sonne" $an t*en e$ome !(of$ient in meeting t*e needs o% t*ese di4e(ent $ustome(s. T*is fgu(e de!i$ts an o(gani/ation g(ou!ed $ustome(s and
ma(+ets.
PR'DBCT DEPARTMENTATI'N P(odu$t De!a(tmenta"i/ation 7os a(e g(ou!ed - !(odu$t "ine in '*i$* ea$* ma7o( !(odu$t a(ea is !"a$ed unde( t*e aut*o(it- o% a manage( '*om is (es!onsi"e %o( a"" as!e$ts o% t*e !(odu$t "ine. It is use%u" '*en !(odu$t e!ansion and di)e(sif$ation9 manu%a$tu(ing and ma(+eting $*a(a$te(isti$ o% t*e !(odu$t a(e o% !(ima(- signif$an$e. It is gene(a""- em!"o-ed '*en t*e !(odu$t "ine is (e"ati)e"- $om!"e and di)e(se (e8ui(ing s!e$ia"i/ed
PRINCIPLE OF MANAGEMENT
+no'"edge and a g(eat dea" o% $a!ita" is (e8ui(ed %o( !"ant and e8ui!ment. A I $om!an- 'it* di)e(sifed !(odu$t "ine ma- *a)e t*e %o""o'ing di)isions
PRINCIPLE OF MANAGEMENT
Question ;" Des#ri$e in detail the ter) 2Line3 2sta:3 and %un#tional Authorit.37 Ans-er" O(gani/ationa" st(u$tu(e in)o")es9 in addition to tas+ o(gani/ationa" ounda(- $onside(ations9 t*e designation o% 7os 'it*in an o(gani/ation and t*e (e"ations*i!s among t*ose 7os. T*e(e a(e nume(ous 'a-s to st(u$tu(e 7os 'it*in an o(gani/ation9 ut t'o o% t*e most asi$ %o(ms in$"ude sim!"e "ine st(u$tu(es and "ineandsta4 st(u$tu(es. In a "ine o(gani/ation9 to! management *as $om!"ete $ont(o"9 and t*e $*ain o% $ommand is $"ea( and sim!"e. Eam!"es o% "ine o(gani/ations a(e sma"" usinesses in '*i$* t*e to! manage(9 o%ten t*e o'ne(9 is !ositioned at t*e to! o% t*e o(gani/ationa" st(u$tu(e and *as $"ea( >"ines> o% distin$tion et'een *im and *is suo(dinates. T*e "ineandsta4 o(gani/ation $omines t*e "ine o(gani/ation 'it* sta4 de!a(tments t*at su!!o(t and ad)ise "ine de!a(tments. Most medium and "a(gesi/ed f(ms e*iit "ineandsta4 o(gani/ationa" st(u$tu(es. T*e distinguis*ing $*a(a$te(isti$ et'een sim!"e "ine o(gani/ations and "ine andsta4 o(gani/ations is t*e mu"ti!"e "a-e(s o% management 'it*in "ine andsta4 o(gani/ations. T*e %o""o'ing se$tions (e%e( !(ima(i"- to "ineand sta4 st(u$tu(es9 a"t*oug* t*e ad)antages and disad)antages dis$ussed a!!"- to ot* t-!es o% o(gani/ationa" st(u$tu(es. 5e)e(a" ad)antages and disad)antages a(e !(esent 'it*in a "ineandsta4 o(gani/ation. An ad)antage o% a "ineandsta4 o(gani/ation is t*e a)ai"ai"it- o% te$*ni$a" s!e$ia"ists. 5ta4 e!e(ts in s!e$if$ a(eas a(e in$o(!o(ated into t*e %o(ma" $*ain o% $ommand. A disad)antage o% a "ine andsta4 o(gani/ation is $on?i$t et'een "ine and sta4 !e(sonne".
LINEANDSTA55 P'SITI'NS A 'ide )a(iet- o% !ositions eist 'it*in a "ineandsta4 o(gani/ation. 5ome !ositions a(e !(ima(- to t*e $om!an-6s mission9 '*e(eas ot*e(s a(e se$onda(-n t*e %o(m o% su!!o(t and indi(e$t $ont(iution. A"t*oug* !ositions 'it*in a "ineandsta4 o(gani/ation $an e di4e(entiated in se)e(a" 'a-s9 t*e sim!"est a!!(oa$* $"assifes t*em as eing eit*e( "ine o( sta4. A "ine !osition is di(e$t"- in)o")ed in t*e da-toda- o!e(ations o% t*e o(gani/ation9 su$* as !(odu$ing o( se""ing a !(odu$t o( se()i$e. Line !ositions a(e o$$u!ied - "ine !e(sonne" and "ine manage(s. Line !e(sonne" $a((- out t*e !(ima(- a$ti)ities o% a usiness and a(e $onside(ed essentia" to t*e asi$ %un$tioning o% t*e o(gani/ation.
PRINCIPLE OF MANAGEMENT
Line manage(s ma+e t*e ma7o(it- o% t*e de$isions and di(e$t "ine !e(sonne" to a$*ie)e $om!an- goa"s. An eam!"e o% a "ine manage( is a ma(+eting ee$uti)e.
LineandSta: 'rgani>ation A"t*oug* a ma(+eting ee$uti)e does not a$tua""- !(odu$e t*e !(odu$t o( se()i$e9 *e o( s*e di(e$t"- $ont(iutes to t*e f(m6s o)e(a"" o7e$ti)es t*(oug* ma(+et %o(e$asting and gene(ating !(odu$t o( se()i$e demand. T*e(e%o(e9 "ine !ositions9 '*et*e( t*e- a(e !e(sonne" o( manage(s9 engage in a$ti)ities t*at a(e %un$tiona""- and di(e$t"- (e"ated to t*e !(in$i!a" 'o(+?o' o% an o(gani/ation. 5ta4 !ositions se()e t*e o(gani/ation - indi(e$t"- su!!o(ting "ine %un$tions. 5ta4 !ositions $onsist o% sta4 !e(sonne" and sta4 manage(s. 5ta4 !e(sonne" use t*ei( te$*ni$a" e!e(tise to assist "ine !e(sonne" and aid to! management in )a(ious usiness a$ti)ities. 5ta4 manage(s !(o)ide su!!o(t9 ad)i$e9 and +no'"edge to ot*e( indi)idua"s in t*e $*ain o% $ommand. A"t*oug* sta4 manage(s a(e not !a(t o% t*e $*ain o% $ommand (e"ated to di(e$t !(odu$tion o% !(odu$ts o( se()i$es9 t*e- do *a)e aut*o(it- o)e( !e(sonne". An eam!"e o% a sta4 manage( is a "ega" ad)ise(. e o( s*e does not a$ti)e"- engage in !(oftma+ing a$ti)ities9 ut does !(o)ide "ega" su!!o(t to t*ose '*o do. T*e(e%o(e9 sta4 !ositions9 '*et*e( !e(sonne" o( manage(s9 engage in a$ti)ities t*at a(e su!!o(ti)e to "ine !e(sonne".
LINEANDSTA55 ABT'RITF Aut*o(it- 'it*in a "ineandsta4 o(gani/ation $an e di4e(entiated. T*(ee t-!es o% aut*o(it- a(e !(esent: "ine9 sta49 and %un$tiona". Line aut*o(it- is t*e (ig*t to $a((- out assignments and ea$t !e(%o(man$e %(om ot*e( indi)idua"s.
LINE ABT'RITF7 Line aut*o(it- ?o's do'n t*e $*ain o% $ommand. Fo( eam!"e9 "ine aut*o(it- gi)es a !(odu$tion su!e()iso( t*e (ig*t to di(e$t an em!"o-ee to o!e(ate a !a(ti$u"a( ma$*ine9 and it gi)es t*e )i$e !(esident o% fnan$e t*e (ig*t to (e8uest a $e(tain (e!o(t %(om a de!a(tment *ead. T*e(e%o(e9 "ine aut*o(it- gi)es an indi)idua" a $e(tain deg(ee o% !o'e( (e"ating to t*e !e(%o(man$e o% an o(gani/ationa" tas+. T'o im!o(tant $"a(if$ations s*ou"d e $onside(ed9 *o'e)e(9 '*en dis$ussing "ine aut*o(it-: 1 "ine aut*o(it- does not ensu(e e4e$ti)e !e(%o(man$e9 and 0 "ine aut*o(it- is not (est(i$ted to "ine !e(sonne". T*e *ead o% a sta4 de!a(tment *as "ine aut*o(it- o)e( *is o( *e( em!"o-ees )i(tue o% aut*o(it- (e"ations*i!s et'een t*e de!a(tment *ead and *is o( *e( di(e$t"-(e!o(ting em!"o-ees.
PRINCIPLE OF MANAGEMENT
STA55 ABT'RITF7 5ta4 aut*o(it- is t*e (ig*t to ad)ise o( $ounse" t*ose 'it* "ine aut*o(it-. Fo( eam!"e9 *uman (esou($e de!a(tment em!"o-ees *e"! ot*e( de!a(tments - se"e$ting and de)e"o!ing a 8ua"ifed 'o(+%o($e. A 8ua"it$ont(o" manage( aids a !(odu$tion manage( - dete(mining t*e a$$e!ta"e 8ua"it- "e)e" o% !(odu$ts o( se()i$es at a manu%a$tu(ing $om!an-9 initiating 8ua"it- !(og(ams9 and $a((-ing out statisti$a" ana"-sis to ensu(e $om!"ian$e 'it* 8ua"it- standa(ds. T*e(e%o(e9 sta4 aut*o(itgi)es sta4 !e(sonne" t*e (ig*t to o4e( ad)i$e in an e4o(t to im!(o)e "ine o!e(ations.
5BNCTI'NAL ABT'RITF7 Fun$tiona" aut*o(it- is (e%e((ed to as "imited "ine aut*o(it-. It gi)es a sta4 !e(son !o'e( o)e( a !a(ti$u"a( %un$tion9 su$* as sa%et- o( a$$ounting. sua""-9 %un$tiona" aut*o(it- is gi)en to s!e$if$ sta4 !e(sonne" 'it* e!e(tise in a $e(tain a(ea. Fo( eam!"e9 meme(s o% an a$$ounting de!a(tment mig*t *a)e aut*o(it- to (e8uest do$uments t*e- need to !(e!a(e fnan$ia" (e!o(ts9 o( a *uman (esou($e manage( mig*t *a)e aut*o(it- to ensu(e t*at a"" de!a(tments a(e $om!"-ing 'it* e8ua" em!"o-ment o!!o(tunit- "a's. Fun$tiona" aut*o(it- is a s!e$ia" t-!e o% aut*o(it- %o( sta4 !e(sonne"9 '*i$* must e designated - to! management.
LINEANDSTA55 C'N5LICT Due to di4e(ent !ositions and t-!es o% aut*o(it- 'it*in a "ineandsta4 o(gani/ation9 $on?i$t et'een "ine and sta4 !e(sonne" is a"most ine)ita"e. A"t*oug* minima" $on?i$t due to di4e(en$es in )ie'!oints is natu(a"9 $on?i$t on t*e !a(t o% "ine and sta4 !e(sonne" $an dis(u!t an enti(e o(gani/ation. T*e(e a(e man- (easons %o( $on?i$t. Poo( *uman (e"ations9 o)e("a!!ing aut*o(it- and (es!onsii"it-9 and misuse o% sta4 !e(sonne" - to! management a(e a"" !(ima(- (easons %o( %ee"ings o% (esentment et'een "ine and sta4 !e(sonne". T*is (esentment $an (esu"t in )a(ious de!a(tments )ie'ing t*e o(gani/ation %(om a na((o' stan$e instead o% "oo+ing at t*e o(gani/ation as a '*o"e. Fo(tunate"-9 t*e(e a(e se)e(a" 'a-s to minimi/e $on?i$t. One 'a- is to integ(ate "ine and sta4 !e(sonne" into a 'o(+ team. T*e su$$ess o% t*e 'o(+ team de!ends on *o' 'e"" ea$* g(ou! $an 'o(+ toget*e( in e4o(ts to in$(ease !(odu$ti)it- and !e(%o(man$e. Anot*e( so"ution is to ensu(e t*at t*e a(eas o% (es!onsii"it- and aut*o(it- o% ot* "ine and sta4 !e(sonne" a(e $"ea("- defned. it* $"ea("- defned "ines o% aut*o(it- and (es!onsii"it-9 ea$* g(ou! ma- ette( unde(stand t*ei( (o"e in t*e o(gani/ation. A t*i(d 'a- to minimi/e $on?i$t is to *o"d ot* "ine and sta4 !e(sonne" a$$ounta"e %o( t*e (esu"ts o% t*ei( o'n a$ti)ities. In ot*e( 'o(ds9 "ine !e(sonne" s*ou"d not e enti(e"- (es!onsi"e %o( !oo( !e(%o(man$e (esu"ting %(om sta4 !e(sonne" ad)i$e.
PRINCIPLE OF MANAGEMENT
Lineandsta4 o(gani/ations $omine t*e di(e$t ?o' o% aut*o(it- !(esent 'it*in a "ine o(gani/ation 'it* sta4 de!a(tments t*at o4e( su!!o(t and ad)i$e. A $"ea( $*ain o% $ommand is a $onsistent $*a(a$te(isti$ among "ineandsta4 o(gani/ationa" st(u$tu(es. P(o"ems o% $on?i$t ma- a(ise9 ut o(gani/ations t*at $"ea("- de"ineate (es!onsii"it- $an *e"! minimi/e su$* $on?i$t.
PRINCIPLE OF MANAGEMENT
Question <" *hat are the #riti#al %a#tors in e:e#ti0e organi>ing, Ans-er" 'rgani>ation Ef#ien#. O(gani/ationa" e,$ien$- is t*e o(gani/ation6s deg(ee o% su$$ess in using t*e "east !ossi"e in!uts in o(de( to !(odu$e t*e *ig*est !ossi"e out!uts. O(gani/ationa" e,$ien$- is gauged using a nume( o% 8uantitati)e fgu(es su$* as !(odu$tion $osts and !(odu$tion times e$ause it is too (oad o% a $on$e!t to e en$a!su"ated in a sing"e fgu(e.
A0oiding Mista8es in 'rgani>ing $. Planning La#8 o% design in an organi>ation is illogi#al #ruel -aste%ul and inef#ient7 P"anning %o( t*e Idea"T*e sea($* %o( an idea" o(gani/ation to (e?e$t ente(!(ise goa"s unde( gi)en $i($umstan$es is im!etus to !"anning. T*e u"timate %o(m esta"is*ed9 "i+e a"" ot*e( !"ans9 se"dom (emains un$*anged9 and $ontinuous (emo"ding o% t*e idea" !"an is no(ma""- ne$essa(-. Ne)e(t*e"ess9 an idea" o(gani/ation !"an $onstitutes a standa(d9 and $om!a(ing t*e !(esent st(u$tu(e 'it* it9 ente(!(ise "eade(s +no' '*at $*anges s*ou"d e made '*en !ossi"e. An o(gani/e( must a"'a-s e $a(e%u" not to e "inded - !o!u"a( notions in o(gani/ing9 e$ause '*at ma- 'o(+ in one $om!an- ma- not 'o(+ in anot*e(. Modi#ation %or u)an 5a#tor I% a)ai"a"e !e(sonne" do not ft into t*e idea" st(u$tu(e and $annot o( s*ou"d not e !us*ed aside9 t*e on"- $*oi$e is to modi%- t*e st(u$tu(e to ft indi)idua" $a!ai"ities9 attitudes9 o( "imitations. A"t*oug* modif$ation ma- seem "i+e o(gani/ing a(ound !eo!"e9 in t*is $ase one is f(st o(gani/ing a(ound t*e goa"s to e met and a$ti)ities to e unde(ta+en and on"- t*en ma+ing modif$ation %o( t*e *uman %a$to(. Ad0antage o% 'rgani>ation Planning P"anning t*e o(gani/ation st(u$tu(e *e"!s dete(mine %utu(e !e(sonne" need and (e8ui(ed t(aining !(og(ams. Fu(t*e(mo(e o(gani/ation !"anning $an dis$"ose 'ea+ness su$* as9 du!"i$ation o% e4o(t9 un$"ea( "ines o% aut*o(it-9 and o)e("ong "ines o% $ommuni$ation.
A0oiding 'rgani>ational In4e(i$ilit. One asi$ ad)antage o% o(gani/ation !"anning is t*e a)oidan$e o% o(gani/ationa" in?eii"it-. An e4e$ti)e o(gani/ation must *a)e t*e ai"it-
PRINCIPLE OF MANAGEMENT
to ada!t to a $*anging en)i(onment and meet ne' $ontingen$ies. T*is (esistan$e to $*ange $an $ause $onside(a"e "oss o% e,$ien$- in o(gani/ations. A0oiding in4e(i$ilit. through Reorgani>ation A"t*oug* (eo(gani/ation is intended to (es!ond to $*anges in t*e ente(!(ise en)i(onment9 t*e(e ma- e ot*e( $om!e""ing (easons %o( (eo(gani/ation. 1. C*ange in o!e(ations $aused - t*e a$8uisition o( sa"e o% ma7o( !(o!e(ties9 $*ange in !(odu$t "ine o( ma(+eting met*od9 usiness $-$"e9 $om!etiti)e in?uen$es9 ne' !(odu$tion te$*ni8ues9 "ao( union !o"i$-9 go)e(nment (egu"ato(- and fs$a" !o"i$-. 0. Mo(eo)e(9 a ne' $*ie% ee$uti)e o,$e( and ne' )i$e !(esidents and de!a(tment *ead a(e "i+e"- to *a)e some defnite o(gani/ationa" ideas o% t*ei( o'n. . Fu(t*e(mo(e9 (eo(gani/ation ma- e $aused - demonst(ated def$ien$ies in an eisting st(u$tu(e. 5ome o% t*ese a(ise %(om o(gani/ation 'ea+nesses: e$essi)e s!ans o% management and $ommittees9 "a$+ o% union !o"i$-9 s"o' de$ision ma+ing9 %ai"u(e to a$$om!"is* o7e$ti)es9 inai"it- to meet s$*edu"es9 e$essi)e $ost o( (ea+ do'n o% fnan$ia" $ont(o". T*e need %o( (ead7ustment and $*angeIn addition to !(essing (easons %o( (eo(gani/ation9 t*e(e is a $e(tain need %o( mode(ate and $ontinuing (ead7ustment me(e"- to +ee! *e st(u$tu(e %(om e$oming stagnant.
Ma8ing Sta: *or8 E:e#ti0e T*e "inesta4 !(o"em is not on"- one o% t*e most di,$u"t t*at t*e o(gani/ations %a$e ut a"so t*e sou($e o% an et(ao(dina(i"- "a(ge amount o% ine,$ien$-. 5o")ing t*is !(o"em (e8ui(es g(eat manage(ia" s+i""s9 $a(e%u" attention to !(in$i!"es9 and !atient tea$*ing o% !e(sonne". nde(standing Aut*o(it- Re"ations*i!s Manage(s must unde(stand t*e natu(e o% aut*o(it- (e"ations*i!s i% t*e- 'ant to so")e t*e !(o"ems o% "ine and sta4. As "ong as t*e manage(s (ega(d "ine and sta4 as g(ou!s o% !eo!"e o( g(ou!ing a$ti)ities9 $on%usion 'i"" (esu"t. T*e "ine (e"ations*i! in)o")es ma+ing de$isions and a$ting on t*em. T*e sta4 (e"ations*i!9 on t*e ot*e( *and9 im!"ies t*e (ig*t to assist and $ounse". In s*o(t "ine mate"";9 ut sta4 must se"";. Ma8ing Lines Listen to Sta:
PRINCIPLE OF MANAGEMENT
Line manage(s s*ou"d e en$ou(aged o( (e8ui(ed to $onsu"t 'it* t*e sta4. Ente(!(ises 'ou"d do 'e"" to ado!t t*e !(a$ti$e o% $om!u"so(- sta4 assistan$e '*e(ein t*e "ine must "isten to sta4. Heeping Sta: In%or)ed Man- $(iti$isms a(ise e$ause sta4 assistants a(e not +e!t in%o(med on matte(s 'it*in t*ei( fe"d. Re@uiring Co)pleted Sta: *or8 Man- sta4 !e(sons o)e("oo+ t*e %a$t t*at in o(de( to e most *e"!%u"9 t*ei( (e$ommendations s*ou"d e $om!"ete enoug* to ma+e !ossi"e a sim!"e !ositi)e o( negati)e ans'e( - a "ine manage(. 5ta4 assistants s*ou"d e !(o"em so")e(s and not !(o"em $(eato(. Com!"eted sta4 'o(+ im!"ies !(esentation o% a $"ea( (e$ommendation ased on %u"" $onside(ation o% !(o"em9 $"ea(an$e 'it* !e(sons im!o(tant"- a4e$ted. 5*ou"d a (e$ommendation e a$$e!ted9 t*(oug* sta4 'o(+ !(o)ides "ine manage(s 'it* t*e ma$*ine(- to !ut in into e4e$t. Peo!"e in sta4 !ositions '*o "ea(n to do t*ese t*ings $an fnd t*emse")es *ig*"- )a"ued and a!!(e$iated. Ma8ing Sta: *or8 as a *a. or 'rgani>ational Li%e *e(e)e( sta4 is used9 its (es!onsii"it- is to de)e"o! and maintain a $"imate o% %a)o(a"e !e(sona" (e"ations. A sta4 assistant s*ou"d not attem!t to assume $(edit %o( an idea. Not on"- is t*is a su(e 'a- o% a"ienating "ine teammates '*o do not "i+e eing s*o'n u! - sta4 assistant9 ut o!e(ating manage(s '*o a$$e!t ideas a$tua""- ea( (es!onsii"it- %o( t*e im!"ementation o% t*e !(o!osa"s. Com!anies a"so em!"o- t*e outside assistan$e o% !(o%essiona" f(ms.
A0oiding Con4i#ts $. Clari#ation A ma7o( (eason %o( $on?i$t in o(gani/ations is t*at !eo!"e do not unde(stand t*ei( assignments and t*ose o% t*ei( $o'o(+e(s. No matte( *o' 'e"" $on$ei)ed an o(gani/ation st(u$tu(e ma- e9 !eo!"e must unde(stand it to ma+e it 'o(+. nde(standing is aided mate(ia""- - t*e !(o!e( use o% o(gani/ation $*a(ts9 a$$u(ate 7o des$(i!tions9 t*e s!e""ing out o% aut*o(it- and in%o(mationa" (e"ations*i!s and t*e int(odu$tion o% s!e$if$ goa"s %o( s!e$if$ !ositions. 'rgani>ation Charts E)e(- o(gani/ation st(u$tu(e9 e)en a !oo( one9 $an e $*a(ted. Ad)antages o% O(gani/ation C*a(ts: T*oug* it is a(gua"e t*at9 $*a(ts tends to ma+e !eo!"e o)e("- $ons$ious o% eing su!e(io(s o( in%e(io(s9 tend
PRINCIPLE OF MANAGEMENT
to dest(o- team %ee"ing a"so9 i% an o(gani/ation is "e%t un$*a(ted9 it $an e $*anged mo(e easi"-9 o(gani/ation $*a(ting is (e8ui(ed e$ause o% essentia" (e!o(ting (e"ations*i!s. it*out $*a(ting is "i+e9 !(e!a(ing a 'a%o( !o"iti$s9 int(igue9 %(ust(ation9 u$+!assing9 "a$+ o% $oo(dination9 du!"i$ated e4o(t9 )ague !o"i$-9 un$e(tain de$ision ma+ing9 and ot*e( e)iden$es o% o(gani/ationa" ine,$ien$-. 5in$e a $*a(t ma!s "ines o% de$isionma+ing aut*o(it-9 sometimes me(e"- $*a(ting an- o(gani/ation $an s*o' in$onsisten$ies and $om!"eities and "ead to t*ei( $o((e$tion. Li)itation o% 'rgani>ation Charts" A $*a(t s*o's on"- %o(ma" aut*o(it- (e"ations*i!s and omits t*e mansignif$ant in%o(ma" and in%o(mationa" (e"ations*i!s. It does not s*o' *o' mu$* aut*o(it- eists at an- !oint in t*e st(u$tu(e. Man- time manage(s *esitate o( neg"e$t o( (ed(a%t $*a(ts9 %o(getting t*at o(gani/ation st(u$tu(es a(e d-nami$ and t*at $*a(ts s*ou"d not e a""o'ed to e$ome oso"ete. Anot*e( di,$u"t- is t*at indi)idua"s ma- $on%use aut*o(it(e"ations*i! 'it* status sa"a(- and onus "e)e"s. Position Des#ription E)e(- manage(ia" !osition s*ou"d e defned. A good !osition des$(i!tion in%o(ms e)e(- one o% t*e in$uments (es!onsii"ities. It must states t*e asi$ %un$tion o% t*e !osition9 t*e ma7o( end(esu"t a(eas %o( '*i$* t*e manage( is (es!onsi"e9 and t*e (e!o(ting (e"ations*i!s in)o")ed. Des$(i!tion a"so $"a(ifes t*e !ositions aut*o(it-9 and it states t*e set o% )e(ifa"e o7e$ti)es %o( t*e end(esu"t a(eas. Its enefts in$"ude ana"-/ing 7os9 duties and (es!onsii"ities9 identif$ation o% a(eas o% neg"e$ting o( o)e("a!!ing duties. A"so enefts in$"ude t*e guidan$e t*e- !(o)ide in t(aining t*e ne' manage(s9 in d(a'ing u! $andidate (e8ui(ements9 and in setting u! sa"a(- "e)e"s. Fina""- it is a means o% $ont(o" o)e( t*e o(gani/ation. It gi)es standa(ds against '*i$* to 7udge a !osition is ne$essa(- and9 i% so9 '*at its o(gani/ationa" "e)e" and ea$t "o$ation in t*e st(u$tu(e s*ou"d e.
Ensure Bnderstanding o% 'rgani>ation A"" meme(s o% an ente(!(ise must unde(stand t*e st(u$tu(e o% t*ei( o(gani/ation in o(de( %o( t*at st(u$tu(e to 'o(+. Tea#hing the Nature o% 'rgani>ing A 'e"" '(itten o(gani/ation manua" < $ontaining a statement o% o(gani/ation !*i"oso!*-9 !(og(ams9 $*a(ts and an out"ine o% 7o des$(i!tions < goes %a( to'a(ds ma+ing o(gani/ing unde(standa"e.
PRINCIPLE OF MANAGEMENT
The Grape0ine In%o(ma" o(gani/ation tends to eist '*en meme(s o% a %o(ma" o(gani/ation +no' one anot*e( 'e"" enoug* to !ass on in%o(mation < sometimes on"- gossi! < t*at is some 'a- $onne$ted 'it* t*e ente(!(ise. 5in$e a"" %o(ms o% in%o(ma" o(gani/ation se()e essentia" *uman $ommuni$ation needs9 t*e g(a!e)ine is ine)ita"e and )a"ua"e. Ad)antages In%o(ma" O(gani/ation (ings a +ind o% $o*esi)eness to %o(ma" o(gani/ation. Man- manage(s9 unde(standing t*is %a$t9 $ons$ious"- use in%o(ma" o(gani/ations as $*anne"s o% $ommuni$ation and mo"de(s o% em!"o-ee mo(a".
Pro)oting an Appropriate 'rgani>ation Culture T*e e4e$ti)eness o% an o(gani/ation is a"so in?uen$ed - t*e o(gani/ation $u"tu(e9 '*i$* a4e$ts t*e 'a- t*e manage(ia" %un$tions o% !"anning9 o(gani/ing9 sta,ng9 "eading and $ont(o""ing a(e $a((ied out. Dening 'rgani>ation Culture Cu"tu(e is gene(a" !atte(n o% e*a)io(9 s*a(ed e"ie%s9 and )a"ues t*at meme(s *a)e in $ommon. Cu"tu(e $an e in%e((ed %(om '*at !eo!"e sa-9 do9 and t*in+ 'it*in an o(gani/ationa" setting. It in)o")es t*e "ea(ning and t(ansmitting o% +no'"edge9 e"ie%s9 and !atte(ns o% e*a)io( o)e( a !e(iod o% time9 '*i$* means t*at an o(gani/ation $u"tu(e is %ai("- sta"e and does not $*ange %ast. It o%ten sets t*e tone %o( t*e $om!an- and esta"is*es im!"ied (u"es %o( t*e 'a- !eo!"e s*ou"d e*a)e. Man- s"ogans gi)e a gene(a" idea o% '*at a !a(ti$u"a( $om!an- stands %o(. In?uen$e o% t*e Leade( on O(gani/ation Cu"tu(e
PRINCIPLE OF MANAGEMENT
Question =" E(plain the Ada)s E@uit. Theor. o% Moti0ation, Ans-er" Denition o% E@uit. Theor. In 1BJ9 o*n 5ta$e- Adams int(odu$ed t*e idea t*at %ai(ness and e8uita(e +e- $om!onents o% a moti)ated indi)idua". E8uit- t*eo(- is ased in t*e idea t*at indi)idua"s a(e moti)ated - %ai(ness9 and i% t*e- identi%ine8uities in t*e in!utKout!ut (atios o% t*emse")es and t*ei( (e%e(ent g(ou!9 t*e- 'i"" see+ to ad7ust t*ei( in!ut to (ea$* t*ei( !e($ei)ed e8uit-. Adams6 suggested t*at t*e *ig*e( an indi)idua"6s !e($e!tion o% e8uit-9 t*e mo(e moti)ated t*e- 'i"" e9 and )i$e )e(sa i% someone !e($ei)es an un%ai( en)i(onment9 t*e- 'i"" e demoti)ated. E(a)ples o% E@uit. Theor. T*e easiest 'a- to see t*e e8uit- t*eo(- at 'o(+9 and !(oa"- t*e most $ommon 'a- it does im!a$t em!"o-ees9 is '*en $o""eagues $om!a(e t*e 'o(+ t*e- do to someone e"se t*at gets !aid mo(e t*an t*em. E8uitt*eo(- is at !"a- an-time em!"o-ees sa- t*ings "i+e 6o*n gets !aid a "ot mo(e t*an me9 ut doesn6t do nea("- as mu$* 'o(+6 o( 6I get !aid a "ot "ess t*an ane9 ut t*is !"a$e $ou"dn6t o!e(ate 'it*out me6 In ea$* o% t*ose situations9 someone is $om!a(ing t*ei( o'n e4o(tto$om!ensation (atio to someone e"se6s and is "osing moti)ation in t*e !(o$ess.
E@uit. Theor.
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PRINCIPLE OF MANAGEMENT
As !e( t*e e8uit- t*eo(- o% . 5ta$e- Adams9 !eo!"e a(e moti)ated - t*ei( e"ie%s aout t*e (e'a(d st(u$tu(e as eing %ai( o( un%ai(9 (e"ati)e to t*e in!uts. Peo!"e *a)e a tenden$- to use su7e$ti)e 7udgment to a"an$e t*e out$omes and in!uts in t*e (e"ations*i! %o( $om!a(isons et'een di4e(ent indi)idua"s A$$o(ding"- :
.
I% !eo!"e %ee" t*at t*e- a(e not e8ua""- (e'a(ded t*e- eit*e( (edu$e t*e 8uantit- o( 8ua"it- o% 'o(+ o( mig(ate to some ot*e( o(gani/ation. o'e)e(9 i% !eo!"e !e($ei)e t*at t*e- a(e (e'a(ded *ig*e(9 t*e- ma- e moti)ated to 'o(+ *a(de(. o' to A!!"- t*e Adams6 E8uit- T*eo(It is im!o(tant to a"so $onside( t*e Adams6 E8uit- T*eo(- %a$to(s '*en st(i)ing to im!(o)e an em!"o-ee6s 7o satis%a$tion9 moti)ation "e)e"9 et$.9 and '*at $an e done to !(omote *ig*e( "e)e"s o% ea$*. To do t*is9 $onside( t*e a"an$e o( ima"an$e t*at $u((ent"- eists et'een -ou( em!"o-ee6s in!uts and out!uts9 as %o""o's: In!uts t-!i$a""- in$"ude:
PRINCIPLE OF MANAGEMENT
E4o(t. Lo-a"t-. a(d 'o(+. Commitment. 5+i"". Ai"it-. Ada!tai"it-. F"eii"it-. To"e(an$e. Dete(mination. Ent*usiasm. T(ust in su!e(io(s. 5u!!o(t o% $o""eagues. Pe(sona" sa$(if$e.
Out!uts t-!i$a""- in$"ude:
Finan$ia" (e'a(ds su$* as sa"a(-9 enefts9 !e(+s. Intangi"es t*at t-!i$a""- in$"ude: Re$ognition. Re!utation. Res!onsii"it-. 5ense o% a$*ie)ement. P(aise. 5ense o% ad)an$ementKg(o't*.
o se$u(it-. *i"e o)ious"- man- o% t*ese !oints $an6t e 8uantifed and !e(%e$t"$om!a(ed9 t*e t*eo(- a(gues t*at manage(s s*ou"d see+ to fnd a %ai( a"an$e et'een t*e in!uts t*at an em!"o-ee gi)es9 and t*e out!uts (e$ei)ed.
PRINCIPLE OF MANAGEMENT
Question ?" List the t.pes o% Leadership approa#hes and e(plain 2 Auto#rati# Approa#h3 Ans-er" Leade(s*i! *as een des$(ied as >a !(o$ess o% so$ia" in?uen$e in '*i$* a !e(son $an en"ist t*e aid and su!!o(t o% ot*e(s in t*e a$$om!"is*ment o% a $ommon tas+;. Fo( eam!"e9 some unde(stand a "eade( sim!"- as someod- '*om !eo!"e %o""o'9 o( as someod- '*o guides o( di(e$ts ot*e(s9 '*i"e ot*e(s defne "eade(s*i! as >o(gani/ing a g(ou! o% !eo!"e to a$*ie)e a $ommon goa">. M- +no'"edge aout "eade(s*i! sa-s t*at "eade(s*i! is t*e ai"it- to in?uen$e a g(ou! to'a(ds t*e a$*ie)ement o% a goa" o( goa"s. A"" *uman attem!ts desi(e a uni%-ing and moti)ating %o($e %o( )i$to(- and t*at d(i)ing !oten$- is fna""- t(a$ed to 'o(t*- "eade(s*i!. 5imi"a("- it is 'o(t* noting t*at e)e(- one o% us sometimes9 in some $a!a$it-9 o( some'*e(e is a "eade(9 e$ause a"most e)e(- !e(son *a)e sometimes some'*e(e9 some*o' !"a-ed a "eading (o"e in *is "i%e. Leade(s*i! is aout in?uen$ing and mo"ding !eo!"e9 t*ei( t*oug*ts9 t*ei( !(e%e(en$es9 t*ei( !(io(ities9 to'a(ds t*e goa". E)e(-one *as an inde!endent (ain9 to 7udge9 to !(e%e(9 to a$$e!t9 dea"ing 'it* a nume( o% su$* di)e(sifed (ains and "eading t*em to'a(ds a $ommon goa" 'it*out using an- un%ai( !o'e( o( unet*i$a" a$tions is t*e a$tua" "eade(s*i!. A "eade(s !e(sona"it-9 e*a)io(9 $*a(a$te( s*ou"d e ?a'"ess. e in?uen$es !eo!"e not on"- - 'o(ds o% mout* ut a"so - "anguage o% a$tions. Peo!"e 'i"" %o""o' t*e one9 '*o %o""o's *imse"% and t*e(e is no di4e(en$e in *is 'o(ds and a$ts. He- %a$to(s need and a(e %ound in "eade(s as 1. 0. . 2.
@eing Positi)e A!!(oa$*es t*e team 'it* a %o$us on Listening Com!(omise A!!(oa$*ing De$ision ma+ing
T.pes o% Leadership approa#hes" 1. 0. . 2.
T(ait A!!(ao$* C*a(ismati$ "eade(s*i! A!!(oa$* 5ituationa" o( Contigen$- Leade(s*i! T(ansa$tiona" o( T(ans%o(mationa" A!!(ao$*
Auto#rati# Approa#h" T*e auto$(ati$ "eade(s*i! st-"e is est used in situations '*e(e $ont(o" is ne$essa(-9 o%ten '*e(e t*e(e is "itt"e ma(gin %o( e((o(. *en $onditions a(e
PRINCIPLE OF MANAGEMENT
dange(ous9 (igid (u"es $an +ee! !eo!"e out o% *a(ms 'a-. Man- times9 t*e suo(dinate sta4 is ine!e(ien$ed o( un%ami"ia( 'it* t*e t-!e o% 'o(+ and *ea)- o)e(sig*t is ne$essa(-. Rigid o(gani/ations o%ten use t*is st-"e. It *as een +no'n to e )e(!ate(na"isti$9 and in *ig*"-!(o%essiona"9 inde!endent minded teams9 it $an "ead to (esentment and st(ained mo(a"e. Good fts %o( Auto$(ati$ Leade(s*i!:
Mi"ita(Manu%a$tu(ing Const(u$tion
o' to e e4e$ti)e 'it* t*is !osition: Its eas- to see t*e immediate goa" o% t*is t-!e o% "eade(s*i!: use -ou( e!e(tise to get t*e 7o done. Ma+e su(e t*at e)e(-one is ea$t"- '*e(e t*e- need to e and doing t*ei( 7o9 '*i"e t*e im!o(tant tas+s a(e *and"ed 8ui$+"- and $o((e$t"-. In man- 'a-s t*is is t*e o"dest "eade(s*i! st-"e9 dating a$+ to t*e ea("em!i(es. Its )e(- intuiti)e to te"" !eo!"e '*at needs to e done - '*en. It is di,$u"t a"an$ing t*e use o% aut*o(it- 'it* t*e mo(a"e o% t*e team. Too mu$* di(e$t s$(utin- 'i"" ma+e -ou( suo(dinates mise(a"e9 and eing too *ea)- *anded 'i"" s8ue"$* a"" g(ou! in!ut. @eing an e4e$ti)e auto$(ati$ "eade( means eing )e(- intentiona" aout '*en and *o' demands a(e made o% t*e team. e(e a(e some t*ings to +ee! in mind to e an e4e$ti)e '*en a$ting as an auto$(ati$ "eade(: Res!e$t -ou( 5uo(dinates: Its eas- to end u! as (igid as t*e (u"es -ou a(e t(-ing to en%o($e. Its im!o(tant t*at -ou sta- %ai( and a$+no'"edge t*at e)e(-one (ings somet*ing to t*e ta"e9 e)en i% t*e- dont $a"" t*e s*ots. Ma+ing suo(dinates (ea"i/e t*e- a(e (es!e$ted +ee!s mo(a" u! and (esentment "o' e)e(- %un$tiona" team is ui"t on a %oundation o% mutua" (es!e$t. E!"ain t*e (u"es: Sou( !eo!"e +no' t*e- *a)e to %o""o' !(o$edu(e9 ut it *e"!s t*em do a ette( 7o i% t*e- +no' '*-. e #onsistent"
PRINCIPLE OF MANAGEMENT
I% -ou( (o"e in t*e team is to en%o($e t*e $om!an- "ine9 -ou *a)e to ma+e su(e -ou do so $onsistent"- and %ai("-. Its eas- to (es!e$t someone o7e$ti)e9 ut *a(d to t(ust someone '*o a!!"ies !o"i$- di4e(ent"- in simi"a( $i($umstan$es. Edu#ate $e%ore .ou en%or#e" a)ing e)e(-one unde(stand -ou( e!e$tations u! %(ont 'i"" mean "ess su(!(ises do'n t*e (oad. @eing ao)e oa(d %(om t*e outset !(e)ents a "ot o% mis$ommuni$ations and misunde(standings. Listen9 e)en i% -ou dont $*ange: e a"" 'ant to %ee" "i+e ou( o!inions a(e a!!(e$iated9 e)en i% t*e- a(ent going to "ead to immediate $*ange and eing a "eade( means t*at -ou( team 'i"" 'ant to (ing t*ei( o!inions to -ou. Its im!o(tant to e $"ea( t*at t*e- a(e *ea(d9 no matte( t*e out$ome.
enets o% Auto#rati# Leadership Auto$(ati$ "eade(s*i! $an e enef$ia" in some instan$es9 su$* as '*en de$isions need to e made 8ui$+"- 'it*out $onsu"ting 'it* a "a(ge g(ou! o% !eo!"e. 5ome !(o7e$ts (e8ui(e st(ong "eade(s*i! in o(de( to get t*ings a$$om!"is*ed 8ui$+"- and e,$ient"-. a)e -ou e)e( 'o(+ed 'it* a g(ou! o% students o( $o'o(+e(s on a !(o7e$t t*at got de(ai"ed - !oo( o(gani/ation9 a "a$+ o% "eade(s*i!9 and an inai"it- to set dead"ines& I% so9 $*an$es a(e t*at -ou( g(ade o( 7o !e(%o(man$e su4e(ed as a (esu"t. In su$* situations9 a st(ong "eade( '*o uti"i/es an auto$(ati$ st-"e $an ta+e $*a(ge o% t*e g(ou!9 assign tas+s to di4e(ent meme(s9 and esta"is* so"id dead"ines %o( !(o7e$ts to e fnis*ed. In situations t*at a(e !a(ti$u"a("- st(ess%u"9 su$* as du(ing mi"ita($on?i$ts9 g(ou! meme(s ma- a$tua""- !(e%e( an auto$(ati$ st-"e. It a""o's meme(s o% t*e g(ou! to %o$us on !e(%o(ming s!e$if$ tas+s 'it*out 'o((-ing aout ma+ing $om!"e de$isions. T*is a"so a""o's g(ou! meme(s to e$ome *ig*"- s+i""ed at !e(%o(ming $e(tain duties9 '*i$* $an e enef$ia" to t*e g(ou!.
Do-nsides o% Auto#rati# Leadership *i"e auto$(ati$ "eade(s*i! $an e enef$ia" at times9 t*e(e a(e a"so man- instan$es '*e(e t*is "eade(s*i! st-"e $an e !(o"emati$. Peo!"e
PRINCIPLE OF MANAGEMENT
'*o ause an auto$(ati$ "eade(s*i! st-"e a(e o%ten )ie'ed as oss-9 $ont(o""ing9 and di$tato(ia"9 '*i$* $an "ead to (esentment among g(ou! meme(s. @e$ause auto$(ati$ "eade(s ma+e de$isions 'it*out $onsu"ting t*e g(ou!9 !eo!"e in t*e g(ou! ma- dis"i+e t*at t*e- a(e una"e to $ont(iute ideas. Resea($*e(s *a)e a"so %ound t*at auto$(ati$ "eade(s*i! o%ten (esu"ts in a "a$+ o% $(eati)e so"utions to !(o"ems9 '*i$* $an u"timate"- *u(t t*e !e(%o(man$e o% t*e g(ou!.*i"e auto$(ati$ "eade(s*i! does *a)e some !otentia" !it%a""s9 "eade(s $an "ea(n to use e"ements o% t*is st-"e 'ise"-. Fo( eam!"e9 an auto$(ati$ st-"e $an e used e4e$ti)e"- in situations '*e(e t*e "eade( is t*e most +no'"edgea"e meme( o% t*e g(ou! o( *as a$$ess to in%o(mation t*at ot*e( meme(s o% t*e g(ou! do not.
PRINCIPLE OF MANAGEMENT
Question " Des#ri$e $rie4. the reason %or using 2Co))ittees3 and 2Groups Ans-er" *e(e a(e 'ides!(ead uses o% $ommittee and a"so some st(ong (easons %o( using $ommittee t*e mo(e im!o(tant ones a(e dis$ussed e"o': Reasons %or Bsing Co))ittee 1. 5u!e(io( udgment: T*e most im!o(tant (eason %o( t*e use o% $ommittee is to a((i)e at a su!e(io( 7udgment t*(oug* g(ou! de"ie(ations. It is in$(easing"- eing (e$ogni/ed t*at most !(o"ems o% mode(n usiness (e8ui(e mo(e e!e(ien$e9 +no'"edge9 and 7udgment t*an an- indi)idua" !ossesses. Committees ma- *e"! t*e $"a(if$ation o% !(o"ems and de)e"o!ment o% ne' ideas. G(ou! inte(a$tions t*(oug* $ommittees *a)e een %ound to e es!e$ia""- en"ig*tening in !o"i$- matte(s. In $om!"e usiness situations9 *o'e)e(9 g(ou! inte(a$tions ma- e su!e(io( to indi)idua" 7udgment. 0. Moti)ations t*(oug* !a(ti$i!ation: Meme(s*i! o% $ommittees !e(mits 'ide( !a(ti$i!ation in de$isionma+ing. T*e(e a(e !eo!"e '*o seem to e against e)e(- mo)e un"ess t*e- *a)e een !(e)ious"- $onsu"ted. Committee meme(s*i! ma- *e"! im!(o)e t*e situation. Pe(sons '*o ta+e !a(t in de$isionma+ing t*(oug* $ommittee meme(s*i! usua""- %ee" mo(e ent*usiasti$ aout a$$e!ting and ee$uting it. . A)oiding $on$ent(ation o% aut*o(it- in a sing"e !e(son: T*e use o% $ommittee $an *e"! a)oid $on$ent(ation o% aut*o(it- in a sing"e !e(son. T*e(e ma- a"so e a $ommittee to ma+e (e$ommendations on a !(o"em e$ause t*e manage( does not 'is* to ta+e %u"" (es!onsii"it- %o( ma+ing a de$ision. Ma7o( fnan$ia" and $a!ita" in)estment !o"i$ies a(e a"so o%ten de)e"o!ed - $ommittees9 !a(t"- e$ause o% un'i""ingness to gi)e a sing"e indi)idua" $om!"ete aut*o(it- to ma+e ea$* im!o(tant de$ision. 2. 5*a(ing and t(ansmitting o% in%o(mation: Anot*e( (eason %o( using $ommittee is s*a(ing and t(ansmitting in%o(mation. A"" t*e meme(s o% a $ommittee $an "ea(n aout a !(o7e$t o( !(o"em simu"taneous"-. Mo(eo)e(9 de$isions and inst(u$tions $an e (e$ei)ed uni%o(m"- 'it* o!!o(tunities %o( $"a(if$ation. T*is ma- *e"! a)oid misunde(standing and sa)e time. 3. A$*ie)ing $oo(dination: Committees a(e )e(- use%u" %o( $oo(dinating a$ti)ities among )a(ious o(gani/ationa" units. T*e d-nami$s o% mode(n o(gani/ations !"a$e a *ea)- u(den on t*e mange(s to integ(ate !"ans and
PRINCIPLE OF MANAGEMENT
a$ti)ities. Committees $an *e"! a "ot in t*is di(e$tion - $oo(dinating !"ans and !o"i$ies as 'e"" as t*ei( im!"ementation. J. Re!(esentation o% inte(ested g(ou!s: Committees a(e o%ten %o(med 'it* meme(s*i! %(om di4e(ent inte(ested g(ou!s. Meme(s o% oa(d o% di(e$to(s a(e o%ten se"e$ted on t*e asis o% g(ou!s inte(ested in t*e $om!an- and9 !e(*a!s mo(e o%ten9 on t*e asis o% g(ou!s in '*i$* t*e $om!an- *as an inte(est. *en to! ee$uti)es *a)e inte(na" !(o"ems in)o")ing9 %o( eam!"e9 *eads o% )a(ious de!a(tments9 t*e- ma- $*oose $ommittee meme(s in su$* a 'a- as to gi)e t*ese de!a(tments (e!(esentation. . De"a-ing o( a)oiding a$tion: It is 'e"" +no'n t*at $ommittees a(e o%ten a!!ointed - mange(s '*en t*e- 'ant to de"a- o( a)oid a$tion. At times9 $ommittee meme(s a(e $*osen in a 'a- aimed at de"a-ing a$tion. Ca(e%u" mange(s +no' t*at one o% t*e su(est 'a-s to de"a- t*e *and"ing o% a !(o"em9 and e)en to !ost!one a de$ision indefnite"-9 is to a!!oint a $ommittee to stud- t*e matte(.
PRINCIPLE OF MANAGEMENT
Question 6J" *rite a detailed note on the $asi# #ontrol pro#ess and also des#ri$e the re@uire)ent %or esta$lishing e:e#ti0e #ontrol7 Ans-er" The asi# Control Pro#ess T*e @asi$ Cont(o" P(o$ess: Cont(o" te$*ni8ues and s-stems a(e essentia""t*e same %o( $ont(o""ing $as*9 o,$e !(o$edu(es9 mo(a"e9 !(odu$t 8ua"it-9 and an-t*ing e"se. T*e asi$ $ont(o" !(o$ess9 '*e(e)e( it is %ound and '*ate)e( is eing $ont(o""ed9 in)o")es t*(ee ste!s:
Esta"is*ing standa(ds Measu(ing !e(%o(man$e against t*ese standa(ds9 and Co((e$ting )a(iations %(om standa(ds and !"ans.
67 Esta$lish)ent o% Standards" @e$ause !"ans a(e t*e -a(dsti$+s against '*i$* manage(s de)ise $ont(o"s9 t*e f(st ste! in t*e $ont(o" !(o$ess "ogi$a""- 'ou"d e to esta"is* !"ans. o'e)e(9 sin$e !"ans )a(- in detai" and $om!"eit-9 and sin$e manage(s $annot usua""- 'at$* e)e(-t*ing9 s!e$ia" standa(ds a(e esta"is*ed. 5tanda(ds a(e sim!"- $(ite(ia o% !e(%o(man$e. T*e- a(e t*e se"e$ted !oints in an enti(e !"anning !(og(am at '*i$* measu(es o% !e(%o(man$e a(e made so t*at manage(s $an (e$ei)e signa"s aout *o' t*ings a(e going and t*us do not *a)e to 'at$* e)e(- ste! in t*e ee$ution o% !"ans. T*e(e a(e man- +inds o% standa(ds. Among t*e est a(e )e(ifa"e goa"s o( o7e$ti)es9 as suggested in t*e dis$ussion o% managing - o7e$ti)es. Sou 'i"" "ea(n mo(e aout standa(ds "ate(9 es!e$ia""- t*ose t*at !oint out de)iations at $(iti$a" !oints. !7 Measure)ent o% Per%or)an#e" A"t*oug* su$* measu(ement is not a"'a-s !(a$ti$a"e9 t*e measu(ement o% !e(%o(man$e against standa(ds s*ou"d idea""- e done on a %o('a(d "oo+ing asis so t*at de)iations ma- e dete$ted in ad)an$e o% t*ei( o$$u((en$e and a)oided - a!!(o!(iate a$tions. T*e a"e(t9 %o('a(d"oo+ing manage( $an sometimes !(edi$t de!a(tu(es %(om standa(ds. In t*e asen$e o% su$* ai"it-9 *o'e)e(9 de)iations s*ou"d e dis$"osed as ea("as !ossi"e. 17 Corre#tion o% De0iations"
PRINCIPLE OF MANAGEMENT
5tanda(ds s*ou"d (e?e$t t*e )a(ious !ositions in an o(gani/ation st(u$tu(e. I% !e(%o(man$e is measu(ed a$$o(ding"-9 it is easie( to $o((e$t de)iations. Manage(s +no' ea$t"- '*e(e9 in t*e assignment o% indi)idua" o( g(ou!s duties9 t*e $o((e$ti)e measu(es must e a!!"ied. Co((e$tion o% de)iations is t*e !oint at '*i$* $ont(o" $an e seen as a !a(t o% '*o"e s-stem o% management and $an e (e"ated to t*e ot*e( manage(ia" %un$tions. Manage(s ma- $o((e$t de)iations - (ed(a'ing t*ei( !"ans o( - modi%-ing t*ei( goa"s. T*is is an ee($ise o% t*e !(in$i!"e o% na)igationa" $*ange. O( t*e- ma- $o((e$t de)iations - ee($ising t*ei( o(gan/ing %un$tion t*(oug* (eassignment o( $"a(if$ation o% duties. T*ema- $o((e$t9 a"so9 - additiona" sta,ng9 - ette( se"e$tion and t(aining o% suo(dinates9 o( - t*at u"timate (esta,ng measu(ef(ing. Anot*e( 'ais to $o((e$t t*(oug* ette( "eading%u""e( e!"anation o% t*e 7o o( mo(e e4e$ti)e "eade(s*i!. Re@uire)ents o% E:e#ti0e Controls 67 5o#us on '$/e#ti0es and Needs T*e e4e$ti)e $ont(o" s-stem s*ou"d em!*asis attainment o% o(gani/ationa" o7e$ti)es and t*e(e%o(e it s*ou"d e designed in a$$o(dan$e 'it* !(a$ti$a" needs o% t*e ente(!(ise. Fo( eam!"e9 t*e ma(+eting de!a(tment ma- use !(e$ont(o"s %o( int(odu$tion o% ne' !(odu$ts into t*e ma(+et9 and $u((ent $ont(o" %o( s!e$if$ ad)e(tisements. 5imi"a("-9 mo(e so!*isti$ated and (oad (anging $ont(o"s ma- e de)e"o!ed %o( !(odu$tion manage(s t*an %o( a s*o! ?oo( su!e()iso(. T*us9 $ont(o"s s*ou"d e tai"o(ed to !"ans and !ositions. !7 Pro)pt Indi#ator An idea" $ont(o" s-stem $ou"d dete$t and (e!o(t signif$ant de)iation as !(om!t"- as !ossi"e so t*at ne$essa(- $o((e$ti)e a$tion ma- e ta+en ade8uate"- in time. T*is needs an e,$ient s-stem o% a!!(aisa" and ?o' o% in%o(mation. Ra!id (e!o(ting o% )a(iations o% t*e $o(e o% $ont(o". 17 5or-ard Loo8ing Cont(o" s*ou"d e %utu(eo(iented9 ma(+eting )a"ua"e %o(e$asts to t*e manage(s so t*at t*e- e$ome a'a(e o% t*e !(o"ems "i+e"- to $on%(ont t*em in t*e %utu(e. 97 Bnderstanda$le and E#ono)i#al Cont(o" too"s and te$*ni8ues ado!ted s*ou"d e su$* as a(e $"ea("unde(standa"e - t*e manage(s. T*e- must +no' a"" t*e detai"s and $(iti$a" !oints in t*e $ont(o" de)i$e as 'e"" as its use%u"ness. I% de)e"o!ed
PRINCIPLE OF MANAGEMENT
and $om!"e statisti$a" and mat*emati$a" te$*ni8ues a(e ado!ted9 t*en !(o!e( t(aining s*ou"d e im!a(ted to t*e !e(sons '*o a(e su!!osed to ee$ute su$* $ont(o" s-stem. @esides t*e $ont(o" s-stem s*ou"d e 'o(t* its $osts. E!ensi)e and e"ao(ate $ont(o" s-stem 'i"" not suit9 %o( eam!"e to sma"" ente(!(ise. ;7 Control $. 5un#tions and 5a#tor Cont(o" s*ou"d em!*asis %un$tion9 su$* as !(odu$tion9 ma(+eting9 fnan$e9 *uman (esou($es9 et$ it s*ou"d a"so %o$us on %ou( %a$to(s9 8ua"it-9 8uantit-9 time use and $osts. Not one ut mu"ti!"e $ont(o"s s*ou"d e ado!ted. <7 Strategi# Points Control E)e(- detai" o( t*ing is not e $ont(o""ed in o(de( to sa)e time9 $ost and e4o(t. Ce(tain st(ategi$ o( )ita" !oints in t*e %un$tioning o% an ente(!(ise must e identifed and a!!(o!(iate $ont(o" de)i$es s*ou"d e designed and im!osed at t*ose stages. T*us9 on"- $(iti$a"9 ma7o( de)iations s*ou"d e attended to and $ont(o" s*ou"d $on$ent(ate on e$e!tiona" !(o"ems on"-. Cont(o" s*ou"d e se"e$ti)e and $on$ent(ate on +e- (esu"t a(eas o% t*e $om!an-. =7 5le(i$le It means t*at t*e $ont(o" s-stem s*ou"d e a"e to a$$ommodate su$* modif$ations o( (e)isions as a(e made ne$essa(- in t*e 'a+e o% (a!id"$*anging and $om!"e o(gani/ationa" en)i(onment. Cont(o" must not e$ome ends in t*emse")es. T*e- must e suited to t*e en)i(onment in '*i$* an o(ganisation fnds itse"%. F"eii"it- in $ont(o" s-stem is gene(a""a$*ie)ed - t*e use o% a"te(nati)e !"ans o( ?ei"e udgets. ?7 '$/e#ti0e To t*e maimum !ossi"e etent9 $ont(o"s9 i.e.9 standa(ds o% !e(%o(man$e s*ou"d e o7e$ti)e uniased and s!e$if$. Fo( t*is !u(!ose $ont(o" measu(es s*ou"d e )e(ifa"e o( 8uantifed. 5tanda(ds s*ou"d e dete(mined ased on %a$ts and !a(ti$i!ation. 7 Indi#ati0e as -ell as Suggesti0e Cont(o"s s*ou"d not on"- e a"e to !oint to t*e de)iations9 ut t*es*ou"d a"so suggest $o((e$ti)e a$tion t*at is su!!osed to $*e$+ t*e (e$u((en$e o% )a(iations o( !(o"ems in %utu(e. 6J7 Corre#t A#tion at Corre#t Ti)e