Pme(lec 01)

Lecture-01Principles of Management and

EconomicsRGIIIT, B.Tech (IT) 2ND Semester

PresentedBy

MONARK BAGLecturer

Indian Institute of Information Technology, Allahabad

11/01/2012 1Indian Institute of Information Technology, Allahabad

Learning Objectives

• Define Managers And Management.

• Explain What Managers Do.

• Describe The Competencies Used In Managerial Work And Assess Your Current Competency Levels.

11/01/2012 Indian Institute of Information Technology, Allahabad 2

Management: A Competency Base Approach


Introductory Concepts: What AreManagerial Competencies?

Competency – a combination of knowledge, skills, behaviors, and attitudes that contribute to personal effectiveness

Managerial Competencies – sets of knowledge, skill, behaviors, and attitudes that a person needs to be effective in a wide range of positions and various types of organizations


Why are Managerial Competencies Important?

You need to use your strengths to do your best

You need to know your weaknesses

You need developmental experiences at work to become successful leaders and address your weakness

You probably like to be challenged with new learning opportunities

Organizations do not want to waste human resources

Globalization deregulation, restructuring, and new competitors add to the complexity of running a business


A Model of Managerial Competencies

TeamworkCompetencyTeamwork

Competency

GlobalAwareness

Competency

GlobalAwareness

Competency

StrategicAction

Competency

StrategicAction

Competency

Planning andAdministrationCompetency


Self-ManagementCompetency


CommunicationCompetency



A Model of Managerial Competencies

TeamworkCompetencyTeamwork

Competency

GlobalAwareness

Competency

GlobalAwareness

Competency

StrategicAction

Competency

StrategicAction

Competency







ManagerialEffectivenessManagerial

Effectiveness


What Is An Organization?

A formal and coordinated group of people who function to achieve particular goals

These goals cannot be achieved by individuals acting alone

An organization has a structure.


ManagementManagementOrganization

Two or more people who work together in a structured way to achieve a specific goal or set of goals.

Goals

Purpose that an organization strives to achieve; organizations often have more than one goals, goals are fundamental elements of organization.

The Role of Management

To guide the organizations towards goal accomplishment.


- People responsible for - People responsible for directing the efforts aimed directing the efforts aimed at helping organizations at helping organizations achieve their goals. achieve their goals.

- A person who plans, - A person who plans, organizes, directs and organizes, directs and controls the allocation of controls the allocation of human, material, financial, human, material, financial, and information resources and information resources in pursuit of the in pursuit of the organization’s goals.organization’s goals.


Management

Management refers to the tasks and activities involved in directing an organization or one of its units: planning, organizing, leading, and controlling.

The process of reaching organizational goals by working with and through people and other organizational resources.


Functional Managers: A manager responsible for just one organizational activity such as accounting, human resources, sales, finance, marketing, or production

Focus on technical areas of expertise

Use communication, planning and administration, teamwork and self-management competencies to get work done

Function: A classification referring to a group of similar activities in an organization like marketing or operations.


General Managers: responsible for the operations of more complex units—for example, a company or division

Oversee work of functional managers

Responsible for all the activities of the unit

Need to acquire strategic and multicultural competencies to guide organization

(cont’d)

Many Other types of managers


Basic Managerial Functions

OrganizingOrganizing

PlanningPlanning

ControllingControlling

LeadingLeading


Management Process and Goal Attainment


Management and Organizational Management and Organizational ResourcesResources

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Planning Planning involves tasks involves tasks that must be performed to that must be performed to attain organizational goals, attain organizational goals, outlining how the tasks outlining how the tasks must be performed, and must be performed, and indicating when they indicating when they should be performed.should be performed.


Planning

Determining organizational goals and means to reach them

Managers plan for three reasons

1. Establish an overall direction for the organization’s future

2. Identify and commit resources to achieving goals

3. Decide which tasks must be done to reach those goals


Organizing means assigning the planned tasks to various individuals or groups within the organization and cresting a mechanism to put

plans into action. . 11/01/2012 19Indian Institute of Information Technology, Allahabad

Organizing

Process of deciding where decisions will be made, who will perform what jobs and tasks, and who will report to whom in the company

Includes creating departments and job descriptions


Leading (Influencing) means guiding the activities of the organization members in appropriate directions. Objective is to improve productivity.


Leading

Getting others to perform the necessary tasks by motivating them to achieve the organization’s goals

Crucial element in all functions


1. Gather information that measures recent performance1. Gather information that measures recent performance2. Compare present performance to pre-established standards2. Compare present performance to pre-established standards3. Determine modifications to meet pre-established standards3. Determine modifications to meet pre-established standards


Controlling

Process by which a person, group, or organization consciously monitors performance and takes corrective action


Basic Levels of Management

Top Managers

Middle Managers

First-Line Managers

Non managers

Top Managers

Middle Managers

First-Line Managers

Non managers


Levels of Management

• First-line Managers: have direct responsibility for producing goods or services Foreman, supervisors, clerical supervisors

• Middle Managers:– Coordinate employee activities

– Determine which goods or services to provide

– Decide how to market goods or services to customers

Assistant Manager, Manager (Section Head)

• Top Managers: provide the overall direction of an organization Chief Executive Officer, President, Vice President


First-line Managers

Directly responsible for production of goods or services

Employees who report to first-line managers do the organization’s work

Spend little time with top managers in large organizations

Technical expertise is important

Rely on planning and administration, self-management, teamwork, and communication competencies to get work done


Middle Managers

Responsible for setting objectives that are consistent with top management’s goals and translating them into specific goals and plans for first-line managers to implement

Responsible for coordinating activities of first-line managers

Establish target dates for products/services to be delivered Need to coordinate with others for resources Ability to develop others is important Rely on communication, teamwork, and planning and

administration competencies to achieve goals


Top Managers

Responsible for providing the overall direction of an organization

Develop goals and strategies for entire organization

Spend most of their time planning and leading

Communicate with key stakeholders—stockholders, unions, governmental agencies, etc., company policies

Use of multicultural and strategic action competencies to lead firm is crucial


Management Level and SkillsManagement Level and Skills

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Six Core Managerial Competencies:What It Takes to Be a Great Manager

Communication Competency

Planning and Administration Competency

Teamwork Competency

Strategic Action Competency

Multicultural Competency

Self-Management Competency


Communication Competency

Ability to effectively transfer and exchange information that leads to understanding between yourself and others

Informal Communication Used to build social networks and good

interpersonal relations

Formal CommunicationUsed to announce major events/decisions/

activities and keep individuals up to date

NegotiationUsed to settle disputes, obtain resources,

and exercise influence11/01/2012 32Indian Institute of Information Technology, Allahabad

Deciding what tasks need to be done, determining how they can be done, allocating resources to enable them to be done, and then monitoring progress to ensure that they are done

Information gathering, analysis, and problem solving from employees and customers

Planning and organizing projects with agreedupon completion dates

Time management

Budgeting and financial management11/01/2012 33Indian Institute of Information Technology, Allahabad

Accomplishing tasks through small groups ofpeople who are collectively responsible andwhose job requires coordination

Designing teams properly involves havingpeople participate in setting goals

Creating a supportive team environment gets people committed to the team’s goals

Managing team dynamics involves settlingconflicts, sharing team success, and assign tasksthat use team members’ strengths


Strategic Action Competency

Understanding the overall mission and values of the organization and ensuring that employees’ actions match with them

Understanding how departments or divisions of the organization are interrelated

Taking key strategic actions to position the firm for success, especially in relation to concern of stakeholders

Leapfrogging competitors


Snapshot

“Sony must sell off businesses that don’t fit its core strategy of fusing gadgets with films, music, and game software. That means selling off its businesses in its Sony Financial Holdings, which are very profitable.”

Howard Stringer, CEO, Sony


Understanding, appreciating and responding to diverse political, cultural, and economic issues across and within nations

Cultural knowledge and understanding of the events in at least a few other cultures

Cultural openness and sensitivity to how others think, act, and feel

Respectful of social etiquette variations

Accepting of language differences

Multicultural Competency



Developing yourself and taking responsibility

Integrity and ethical conduct

Personal drive and resilience

Balancing work and life issues

Self-awareness and personal development activities


Snapshot

“My strengths and weaknesses haven’t changed a lot in 51 years. The important thing is to recognize the things you don’t do well and build a team that reflects what you know the company needs.”

Anne Mulcahy, CEO, Xerox



Learning Framework for Managing

Part I: Overview of Management

Part II: The Challenges of Management

Part III: Planning and Control

Part IV: Organizing

Part V; Leading


Text Books

1. Management , Stoner et al(PHI)

2. Management- A global Perspective, Weihrich and Koontz(TMH)

3. Management: Text and cases , R.Satya Raju and A. Parthasarathi (PHI)

4. Fundamentals of Management , Robins and DeCenzo (PHI)

5. Management, Bartol and Martin(McGraw-Hill)



Business

Pme(lec 01)