FUNCTIONS OF MANAGEMENT.pptx
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The document discusses the key concepts of management by objective (MBO). It explains MBO as a formal process that establishes common goals for managers and subordinates and reviews progress toward those goals. The steps in MBO are outlined as establishing long and short-term organizational and individual objectives, periodic performance reviews, and encouraging manager responsibility. Benefits of MBO include planning, accountability, participative management, job enrichment, and feedback.
FUNCTIONS OF MANAGEMENT.pptx
- 1. By: Dr. Parveen Vashisth Assistant Professor, CDLU Sirsa
- 2. Management By Objective MBO is formal set or procedure that establishes and review progress toward common goals for managers and subordinates. Steps in MBO 1 • To establish long-term and short-tem organizational goals 2 • To establish long-term and short-term objectives for each manager, clarifying the key performance standards 3 • Periodic review of performance 4 • Encouraging managers to accept responsibility
- 3. The need for planning will be recognized It provides for objectives and accountability for performance It encourages participative management It helps in job enrichment It provides for a good feedback system
- 5. PLANNING ORGANIZING STAFFING DIRECTING CONTROLLING
- 6. • Planning is determining the objectives and formulating the methods to achieve them. It is more simply said than done. A job well planned is half done. During planning one needs to ask oneself the following: What am I trying to accomplish i.e. what is my objective? What resources do I have and do I need to accomplish the same? What are the methods and means to achieve the objectives? Is this the optimal path? Planning is deciding in advance what to do, how to do, when to do it who is to do it.
- 7. Types of Planning Planning Based on Scope Strategic Plan Tactical Plan Operational Plan Based on Time Short Term Intermediate Long Term Based on Frequency of Use Single Use Plan Standing Plan Based on Specificatio n Specific Plan Directional Plan
- 8. Take Time to Plan Planning can be Top to Down or Bottom to Top Involve and Communicate with all those Concerned Plans must be Flexible and Dynamic Evaluate and Revise
- 9. Strategy A Systematic & detailed plan of Action. Level of Strategy Corporate Level Business Level Functional Level
- 10. Process of Planning 1 • Determination of Goals & Objectives 2 • Discovering the environmental changes 3 • Developing the alternatives 4 • Detailing the alternatives 5 • Deciding on best alternative 6 • Describing the plan details 7 • Discussing the plan outcome
- 11. Forecasting To See at Future “what will happen if the firm tries to implement a given strategy in a given possible environment” Importance of Forecasting: Better Anticipation Develop situational awareness Better responsiveness Improved coordination Better customer service Better utilization of services Lower cost Types of Forecasting Short-term forecasting (Less than 18 months) Long-term forecasting
- 12. Organizing The process of designing jobs, grouping the jobs into units and establishing pattern of authority between jobs & units. Principles of Organizing Coordination Delegation Flexibility Authority & Responsibility Unity of Command Unity of Direction Span of Control Specialization
- 13. Process of Organizing Determine what is to be done/ Division of Work Assign Tasks: Departmentalization Link Departments: Hierarchy Development Decide how much Authority to Designate/ Authority, Responsibility and Delegation Decide the Levels at which Decisions are to be made / Centralization vs. Decentralization Decide how to Achieve Coordination
- 14. STAFFING It refers to filling and keeping filled posts with people. Characteristics: 1. Related to Human being. 2. A separate managerial function. 3. Essential at all managerial levels. 4. Related to social responsibility. 5. Effect on external & internal environment. Scope & Process of Staffing: 1. Determining requirement of Man-power. 2. Recruitment 3. Selection 4. Placement 5. Retention 6. Training 7. Performance Appraisal 8. Promotion 9. Transfer 10. Separation
- 15. DIRECTING/LEADING It refers to instructing, guiding, communicating and inspiring people in organization. Features: 1. It initiates Action 2. Take place at every level of management 3. Continuous Process 4. Flows from Top to Bottom Importance 1. It initiates Action 2. Integrate employees efforts 3. It is mean of motivation 4. It facilitate to implement changes 5. Create balance in organization Elements of Directing 1. Supervision 2. Communication 3. Leadership 4. Motivation
- 16. Coordinating To establish a harmony between various parts of a system. Nature of Coordinating An ordely arrangement of group efforts Essence of Management Continuous Process Equal importance at all managerial levels It is more than mere cooperation. Need & Importance of Coordinating Division of work Interdependence of different processes Clash of interest Complexities of large scale organization.
- 17. Principles of Coordination Early Start Direct Contract Continuity Reciprocal Relationship Difficulties of Coordination 1. Difference b/w organizational & individual goal 2. Difference b/w goals of individuals 3. Difference in work progress evaluation 4. Complicated organizational Structure
- 18. Controlling Process of taking steps to bring actual results & desired results closer together. Objectives To Evaluate the Work Progress Apply to corrective Measures To Gain Maximum Cooperation of HR To maximize utilization of Material & Machine To fix responsibility To motivate employees To face the changing environment To check & avoid undesirable activities
- 19. Controlling Process 2. Measurement of Actual Performance 1. Setting Performance Standards 3. Comparison of Actual with Standard 4. Analyzing Deviation 5. Taking Corrective Action Do Noting Do Noting Do Noting Do Noting Is standard being attained? Is deviation acceptable? Is standard acceptable? Revising the standard Y Y Y Y N N N
- 20. Feed Forward Control-Control that attempts to identify and prevent deviations before they occur is called feed forward control, sometimes called preliminary or preventive control. Concurrent Control-Control that monitors ongoing employee activities during their progress, to ensure they are consistent with quality standards, is called concurrent control. Feedback Control-In this case, the control takes place after the action. Sometimes called post- action or output control
- 21. Establish Standards of Performance Measure Actual Performance Compare Performance to Standards: Take Corrective Action
- 22. Effective controls are timely. Control standards should encourage compliance. Setting effective standards is important Use management by exception. Employees should get fast feedback on performance. Do not over rely on control reports. Fit the amount of control to the task.