Daily Archives: 22/03/2010

BBPP1103-Topic 1. What Is Management


Upon completion of the topic, one should be able to :

1) Describe the meaning of management
2) Identify the function of Management
3) Appraise the roles of managers
4) Review the main skills of managers
5) Discuss perspectives in management

Before going further with the subject, first of all, one should be able to differentiate between professional and manager.

As an illustration, professional like doctor, lawyer and architect use their skills in order to perform their tasks. They cannot be replaced by someone who has not qualified to perform the tasks.
Whereas manager job is to perform management. Management in a nutshell means directing people to perform tasks effectively and efficiently, thus achieve the objectives.
A manager does not necessarily need to know how to perform a specific job but needs to act as coordinator to ensure that the task is carried out smoothly.

Definition Of Management
Based on the illustration above therefore the management can be defined as :-

The process of overseeing and coordinating resources efficiently and effectively in line with the goals of the organizations

Who are Managers

A manager is an individual who is directly responsible for ensuring that tasks are performed by people or employees in an organisation

Functions of Management

Figure 1.1 Main Functions of Management
OUM Module Book (BBPP1103) p. 3
Roles of a Manager
A professor of Management, Professor Henry Mintzberg, carried out a detailed analysis of managers by walking around and observing what managers did at work. He observed other than playing function as PLOC, they also played important roles : Figurehead, Leader, Liaison Officer, spoke person, negotiator and Initiator -entrepreneurship, capability development process and reformation process .

Assentials Skills of Managers
A good managers require to have these three esseential skills as follows

1. Conceptual Skills
Conceptual skill refers to the ability to view the organization as a whole, and the impact of the different sections have on the organisation, as a whole and on each other. Also involved observing how an organisation adapts to or is affected by external environmental factors such as society, economic pressure, customers and competition.

2. Interpersonal Skills
Interpersonal skills refer to ability to work well with other people. Managers with good interpersonal skills work more effectively in a group, encouraging others employee to input their ideas and comments as well as being receptive to the needs and views of others.

3. Technical Skills
Technical skills refer to the ability to apply procedure, techniques and specialised knowledge required in certain tasks.

Types Of Managers

Basically there are three level of Managers, namely:

1. Top-Level Managers. The highest level managers in the organisations. They are commonly known as executives. Title given such as president, chief executive officer, vice president or chief financial officer. Most of the times spend on PLANNING and SETTING GOALS.

2. Middle-level managers. They are usually designated as managers. Most of their times use for define goals for specific projects for lower level managers to implement.

3. Lower-Level Managers or Line manager. The lowest in the management ladder. They are usually called supervisors. They include production supervisors, who oversee employees in a factory. They focus on giving instructions/directions and controlling their subordinates at work daily to ensure the success of the projects.

Evaluation of Management Theory
Figure 1.2 Evolution of Management Theory
OUM Module Book (BBPP 1103 ) p. 10
Since the 19th century until the 20th century, there are four (4) different classes of perspectives on management as follows (Refer to figure 1.2 above).

1. Classical Perspective. Existed in early 19th Century and early 20th century. It focused on the rational and sciectific approaches to the study of management, and on finding way to mould an organisation to become more efficient.There are three sub-classes in this perspective, namely :

1.1 Sciencetific Management. Existed when productivity was critical for businessmen. This perspective was used to improve the performance of employees. Among the researchers involved in developing sciencetific management were Frederick Winslow Taylor, Frank and Lilian Gilbreth and Henry Gantt.
Frederick Taylor (1856-1915). Suggested that the problem arose mainly due to management practices, and making decisions based on “rules of thumb” be substituited with established procedure.
His theory which stated that productivity of an employee could be increased through sciencetifically management practices earned him “the father of Sciencetific Management”.
His research on how to improve the work performance of employees entitled ” Time and Motions Study”, found five (5) principles of management that could boost the efficioency of employees, as follow:
1.1.1 Using theSciencetific approach to determine best practices and not relying on “rules of thumb”
1.1.2 Selecting suitable employees to perform a particular task. Suitability covers mental and physical aspects.
1.1.3 Training and developing employee so that he is able to perform a given task according to established procedures
1.1.4 Giving monetary incentives to ensure that employees perform a task accordingly
1.1.5 Reassigning all responsibilities relating to planning and organising to the manager.
Henry Grantt (1861-1919). Introduced Gantt chart whic is still popularly used until now. Focused on control system in the scheduling of production.
Frank (1868-1924) and Lilian Gilbreth (1878-1072) -Husband and wife.
Lilian Gilbreth was a pioneer in the field of industrial psychology. She believed that if the sciencetific management was widely used, the abilities of each employee would grow considerably.
1.2. Bureaucratic Management
An approach to management that is based on guidelines, hierachy, clear division of labour, and as well as rules and procedure.
Max Weber (1864-1920). A German social theorist whom introduced a lot of bereaucratic concepts. Among the bureaucratic concepts that he introduced were :
1.2.1 Authorithy and clearly defined responsibilities
1.2.2 Position in the organisation that are structured according to hierachy
1.2.3 Promotions based on qualifications
1.2.4 Recors of all administrative actions and decisions to ensure continuity of organisational rules
1.2.5 Saparation of management and ownership
1.2.6 Guidelines implemented to all employees without bias.
Bureaucratic approach strives to increase efficiency and ensure continuity of overall operations of the organisation.
1.3 Administrative Management
It focused on organisation as a whole.
Henry Fayol (1841-19250.
The pioneer of administrative theory as he introduced the Organisational Principle and Administrative functions.
He defined the management roles PLOC. He identified 14 principles of management.
1.3.1 Division of Labour. The concept on specialisation of work based on following assumptions
(a) No one can do all the work
(b) Each job requires different skills
(c) Repeatition of works will increase efficiency
1.3.2 Authority. The right to give directions and power to be complied with.
1.3.3 Disciplines. Based on respect and comformity.
1.3.4 Unity of Command. An employee should recieved instructions from one superior only.
1.3.5 Unity of direction. One superior and one direction for a particular activity with the same objective.
1.3.6 Subordination of individual Interests to the general interests. Personal interest should not precede or exceed over common interest.
1.3.7 Remuneration. Salary payment based on various factors.
1.3.8 Centralisation. The centralisation of works depends on the situation and formal communication channel,
1.3.9 Scalar Chain. This is about the line of authority and its formal communication channel.
1.3.10 Order. Resources are allocated in the right place at the right time.
1.3.11 Equity. Form out of justice and virtue
1.3.12 Stability of tenure. This is necessity in good human resources planning
1.3.13 Initiative. This is the hope that employees will work diligently and sincerity.
1.3.14 Esperit de Cotps. Loyalty and devotion in uniting the members of a group. It emphasises on harmony and unity in an organisation.