2. Perspective Management
List of books to be read
1. Management- Principles & Guidelines-Duening & Ivancevich
2. Management-A Competency-Based Approach- Hellreigel, Jackson &
Slocum
3. Management- A Global Perspective- Weihrich & Koontz
4. The Practice of Management- Peter F. Drucker
5. Organization Theory-Structure, Design and Applications-Stephen P.
Robbins
6. Management-A Global & Entrepreneurial Perspective-
Weihrich,Cannice & Koontz
7. Principles of Management- Tripathi & Reddy
3. Basic Definitions connected with Management
Organization: An organization has four essential elements
(a) Group of people
(b) Interacting with each other
(c )In a structured manner
(d) Towards a common objective
Management: Implies getting things done through and with people
Manager: He is the dynamic, life-giving element in every organization.
And it is the quality and performance of its managers which is the only
effective advantage an enterprise in a competitive economy can have and
particularly in a business enterprise.
Three elements stand out in a manager- competence, integrity and
performance
Who is a manager? The CEO or the middle manager or the supervisor?
A manager‟s decision-making,action and behaviour are all geared
towards „Economic Performance’.The objective of a business
enterprise could be Survival, Profit and /or Growth ? Peter Drucker feels
otherwise-‟creating a customer‟.
4. Basic Definitions connected with Management
The Manager has the following responsibilities:
1. Managing Managers
2. Managing Worker and Work
3. Managing a Business
4. Managing Time
A Manager has to manage Resources- 5 Ms- Money, Materials,
Machines, Methods and Man. One of these resources is different
from the others. Which one and why?
What about Time as a resource?
A manager also performs the following functions:
Planning, Organizing.Staffing, Directing and Controlling or
Leading,Planning,Organizing and Controlling
Planning –determines what results the organization will achieve
Organizing- specifies how it will achieve the results
Controlling –determines whether the results will be achieved
Leading- through planning, organizing and controlling managers
exercise leadership
5. Perspective Management
An Organization is a coordinated group of people who function to
achieve a particular goal
A Manager is a person who plans, organizes,leads, and controls the
allocation of human,material, financial, and information resources in
pursuit of organizational goals.
He hires, trains, and motivates others to manage people who do that job
Management refers to a group of managers
They perform tasks like planning, organizing, leading, and controlling
the work of the organization.
Management refers to the tasks and activities involved in directing an
organization or one of its units: planning ,organizing, leading and
controlling
Types of Managers:
Functional managers-supervise employees having expertise in one area,
such as accounting, human resources,sales, finance, marketing, or
production
General managers-are responsible for the operations of more complex
6. Perspective Management
Managing a Business
The Manager has the skills, the competence and the experience that are
common and therefore transferable in the form of analytical and
administrative skills which are extremely important but secondary to the
primary objectives of the enterprise.
The manager can improve his performance in all areas of management,
including managing the business, through the systematic studies of the
principles,the acquisition of organized knowledge and the systematic
analysis of his own performance
But the ultimate test of a manager is achievement rather than
knowledge. Results,remain,of necessity, both proof and aim.
Besides,because of the importance of the business enterprise in today‟s
world, Management inevitably has become one of the most influential
groups.
Management is not only a creature of the economy but a creator as well.
and to manage a business means managing by objectives
7. Perspective Management
Managing Managers
For achieving Economic Performance , the manager has to make
productive use of material and human resources and implies performing
the function of managing managers. It is only the human resources who
are capable of enlargement. Man alone can grow and develop.
Leadership and the „spirit of the company‟ is provided by management.
The goals are for management people and the performance is
management performance and if the enterprise fails it is manage,nt who
is responsible.
Management is also the most costliest resource and therefore has to be
properly utilized and is a multifaceted thing and vital to the business
8. Perspective Management
Managing Worker and Work
Work has to be performed from unskilled to highly skilled, from worker
to vice president. The human resource requires motivation,leadership,
status, participation, satisfactions, incentives and rewards and
function and it is only management, and management alone which
can provide the same, Management is the activating organ within the
organization.
Time Management
Furthermore there is one more important factor in every management
problem, every decision, every action- not properly speaking a fourth
function of management but a fourth dimension-time management.
a) It is the essence of economic and technological progress that the
time-span for the fruition and proving out of a decision is steadily
lengthening
b) Management ,almost alone has to live always in the both the present
and the future. Research expenditures incurred today affect
tomorrow‟s results
9. PERSPECTIVE MANAGEMENT
GOALS:Most sciences share four goals-to describe, understand,predict
and control some phenomena. O.B. has the following goals
1.Describe, systematically, how people behave under a variety of
circumstances
2.Understand why people behave as they do.
3.Predicting future employee behaviour
4.Control at least partially, and develop some human activity at work
Managers can utilize the tool of O.B.to influence human
behaviour.skill development, team effort and productivity
FORCES: There are a wide array of issues and trends that affect the
nature of organizations today. They can be classified under four areas
PEOPLE, STRUCTURE, TECHNOLOGY and the ENVIRONMENT
11. PERSPECTIVE MANAGEMENT
Effective Managers are required in all types of organizations-big or
small,manufacturing or service,profit-making or philantrophic. In
fact, having talented people is so essential or the success of the
organization expressed as “the ability to attract, develop and keep
talented people.”
Managers have to have certain competencies for being effective.
“Competencies are a combination of knowledge, skills, behaviours, and
attitudes that contribute to personal effectiveness.”
Managerial Competencies are sets of knowledge, skills, behaviours, and
attitudes that a person needs to be effective in a wide range of
positions and various types of organizations.
There are six key managerial competencies:
1. Communication
2. Planning and Administration
3. Teamwork
4. Strategic Action
5. Global Awareness
12. Perspective Management
A Model of Managerial Effectiveness
Managerial
Effectiveness
Teamwork
Global
Awareness
Strategic
Action
Planning &
Administration
Communication
Self-Management
13. Perspective Management
Managerial functions are generally the same for first-line superiors,
middle managers and top executives. Besides managers obtain the results
by establishing an environment for effective and efficient performance of
individuals working together in groups.
Managerial knowledge is classified according to functions of Planning,
Organizing, Staffing, Leading and Controlling .
The Manager has to deal with the Internal and External Environment
Organization
Internal
Environment
External
Environment
( PESTLIED )
( OCTAPACE)
14. Perspective Management
Definition of Management
Management is the process of designing and maintaining an environment
in which individuals, working together in groups, efficiently accomplish
selected aims.
This definition when expanded means the following:
1.As managers, people carry out the managerial functions of planning,
organizing, staffing, leading and controlling
2. Management applies to any kind of organization
3. It applies to managers at all levels
4. The aim of all managers is the same: to create a surplus
5. Managing is concerned with productivity; this implies efficiency and
effectiveness
Efficiency is „doing things right‟;that is ,it is a measure of how well
resources are used to achieve results
Effectiveness is „doing the right things‟;this is about selecting the
right objectives to pursue in the first place
Managers should be both Efficient and Effective but effectiveness is the
critical issue.
15. Perspective Management- Planning
A manager‟s most essential task is to see that everyone understands the
group‟s purposes and objectives and its methods of attaining them
Planning involves selecting missions and objectives and the actions to
achieve them; that is choosing from among alternatives future
courses of action.
Planning bridges the gap from where we are to where we want to be.
Planning by its very nature consists of 4 major aspects:
1. Its contribution to purpose and objectives
2. Its primacy among the manager‟s tasks
3. Its pervasiveness
4. The efficiency of resulting plans
Planning and controlling are very closely connected and are inseparable.
A plan without controlling aspects included or controls without
planning both are useless for the manager and serve no purpose
16. Perspective Management- Planning
Plans/Objectives
& how to
achieve them
What kind of
O.S.to have
What kind of
people we need
and when
How most
effectively
to lead people
By furnishing
standards
of control
Which helps
us know
Which affects the kind
of leadership we have
and direction
In order to ensure
success of plans
O
S
L
C
17. Perspective Management- Planning
Terminology used in planning:
1. Objectives and Goals:They represent not only the end point in
planning but also the end point for organizing,staffing, leading and
controlling
2. Strategies: is defined as the determination of the basic long-term
objectives of an enterprise and the adoption of courses of action and
allocation of resources necessary to achieve these goals.
3. Policies:are also plans and define an area within which a decision is
to be made and ensure that the decision will be consistent with, and
contribute to, an objective.
4. Procedures: are plans that establish a required method of handling
future activities
5. Rules: spell out specific required actions or non-actions, allowing no
discretion
6. Programs: are a complex of goals, policies, procedures, rules, task
assignments, steps taken, resources to be employed, and other
elements necessary
18. Perspective Planning- Planning
Planning is a vital and necessary management function. The functions of
organizing, leading, and controlling all carry out the objectives and
goals determined by planning. All organizations operate in uncertain
environments and Planning helps it to adapt to change and
uncertainty.Formal Planning is an activity that distinguishes
managers from non-managers. Formal Planning distinguishes
effective managers from ineffective ones.
Planning includes all the activities that lead to the definition of
objectives and to the determination of appropriate courses of
action to achieve those objectives.
There are the following 4 benefits to planning:
1. Planning forces managers to think ahead
2. It leads to the development of performance standards that enable
more effective management control
3. Having to formulate plans forces management to articulate clear
objectives
4. Planning enables an organization to be better prepared for sudden
developments
19. Perspective Management- Planning
The 4 aspects can be explained in terms of:
(a) Increasing time spans between present decisions and future results
(b) Increasing organizational complexity
(c) Increased external change
(d) Planning and other management functions
Types of Planning:
Although effective planning focuses on the custome and on issues of
quality and competitiveness, planning activity differs in scope, time-
frame, and level of detail.
Scope: refers to the range of activities covered by the plan
Time frame: is the period considered by the plan, ranging from short
term and long term
Level of detail: concerns the specificity of the plan
There are 3 types of Plans:
1. Strategic
2. Operational
3. Tactical
20. Perspective Management-Planning
Strategic Planning:The activities that lead to the definition of objectives
for the entire organization and to the determination of appropriate
strategies for achieving those objectives
Operational Planning:Translates the broad concepts of the strategic
plan into clear numbers, specific steps, and measurable objectives in
the short term
Tactical Planning: planning that deals more with issues of efficiency
than with long term effectiveness
There are the following elements in Planning:
1. Objectives
2. Actions
3. Resources
4. Implementation
e.g. achieve a 12% ROI by end of 2009
introducing 5 new products in 2009
resources of Rs. 10 m.
assignment and direction of personnel
21. Perspective Management- Planning
The Planning Process
Establish
objectives
Take
Specific
actions
Use
Resources
efficiently
Monitor
The
implementation
Feedback
Conflict among Objectives:
1. Short-term profits vs long-term growth
2. Direct sales effort vs development effort
3. Greater penetration of present markets vs developing new markets
4. Achieving long- term growth through related businesses vs unrelated businesses
5. Profit objectives vs non-profit objectives( i.e. CSR )
6. Growth vs stability
7. Low-risk environment vs high-risk environment
22. Perspective Management- Planning
Measurement of objectives is an essential part of the planning exercise
and consists of 5 important dimensions including:
1. Profitability
2. Competitiveness
3. Efficiency
4. Flexibility
5. Quality
Profitability: There are various ratios like ROI,etc.
“ stated mission of the company is to create value over time for the
owners of the business.” This is for three reasons:
1. Increasing shareowner value over time is the job the economic
system demands of management
2. Increased shareowner value contribution to society in very
meaningful ways;
3. Focusing on creating value over the long term keeps executives from
acting shortsighted
23. Perspective Management- Planning
Competitiveness:Well-managed organizations establish objectives that
concentrate on specific rates of increase in sales and market share.I f the
economy is growing at a particular rate then the company should grow at
a much higher rate. The main factors include the following:
1.Customer values- Customer Value= Benefit/Price
2.Shareholder values- satisfactory return on investment in the short,
medium and long term
3.The ability to act and react within a competitive environment
Efficiency- short-run efficiencies to bring about the prospect of long-run
profitability. Ratios include return on assets( net profit divided by total
assets) when compared with similar organizations,.
Efficiency directly influences performance of both human and non-
human resources
Flexibility-quality of organizations to continually develop new strategies
and adapt to market realities, and then to shift all aspects so that they are
congruent with the new strategies. Flexible organizations use their
structure as a source of competitive advantage.
24. Perspective Management- Planning
Quality:The main proponents of Quality have been W. Edwards Deming,
Phil Crosby and Joseph Juran. All of them laid down various principles
of Quality which derive from meeting or exceeding the customer‟s
expectations.
Deming‟s 14 points regarding Total Quality Management are as under:
1.Create constancy of purpose for improvement of products and services
2.Adopt the new philosophy
3.Cease dependence on mass inspection
4.End the practice of awarding business on price tag alone
5.Improve constantly the system of production and service
6.Institute training
7.Institute leadership
8.Drive out fear
9.Break down barriers between staff areas
10Eliminate slogans, exhortations and targets for the workforce
11Eliminate numerical quotas
12Remove barriers to pride of work
13Institute a vigorous program of education and retraining
14Take action to accomplish the transformation
25. Perspective Management- Planning
ACTIONS:Whatever the name, a planned action is directed towards
changing a future condition-that is, achieving an objective.
e.g. productivity increases can be achieved through a variety of means ,
including improved technology, employee training, management
training, reward systems and improved working conditions.
Planning is a management process, deductive in nature and designed to
produce orderly results.
1) Forecasting:is an important element of the planning function that
must make two basic determinations
(a)W hat level of activity can be expected during the planning period
(b)What level of resources will be available to support the projected
business activity
In a business organization, the critical forecast is the sales
forecast.The sales forecast includes past and current information
about the firm‟s product, price, advertising and cost of goods
sold.External conditions to be measured include the price of
competing products, the levels of consumer income, consumer credit
interest rates, and other measures of local economic activity.
26. Perspective Management-Planning
One important aspect which is connected with forecasting is Scenario
Construction. This is a technique for combining possible environmental
developments in a systematic way to help managers assess possible
consequences of alternative courses of action.
There are some factors within the control of managers while there are
others beyond their control.
e.g.actions affecting sales include price changes, marketing and sales
activities, and product development
External factors include price of competing activities, substitute
products, competitors‟ sales and marketing activities and general
economic conditions( expansion, recession, inflation)
Resources:Resources are defined as financial, physical, human, time or
other assets of the organization. These resources are controlled by
Budget which is a predetermined amount of resources linked to an
activity.
A close relationship exists between budgeting as a planning activity and
budgeting as a control technique. Further elaboration is given below:
27. Management‟s Objectives for the Organization
Sales Budget
Forecast of quantities sold
Forecast of rupee income
Other Income
Interest Income
Miscellaneous Income
Production B Mktg B Admn.B Misc. B
Units to be prod. Promotion C For each Interest on
Cost of materials Selling expenses dept. Loans
Direct labor costs by territories Other
Financial Budget
Budgeted balance sheet
Less
Results in
The Budgeting Process
28. Perspective Management-Evolution of Management Thought
Frederick Winslow Taylor: He is known as the „Father of Scientific
Management‟.He had studied firsthand the problems and attitudes of
the shop-floor workers and was able to see the possibilities of
improvement in the quality of management.
Taylor‟s major concern throughout most of his life was to increase the
efficiency in production, not only to reduce the costs and raise profits
but also to make possible increased pay for workers through their
higher productivity.Taylor saw productivity as the answer to higher
profits an higher wages,emphasizing what constitutes a “a fair day‟s
work” and “a fair day‟s wage”.Taylor‟s precepts which are the
fundamental belies of the modern manager are as follows:
1. Replacing rules of the thumb with science( organized knowledge)
2. Obtaining harmony in group action, rather than discord
3. Achieving co-operation amongst human beings, rather than chaotic
individualism
4. Working for maximum output, rather than restricted output
5. Developing all workers to the maximum extent possible for their own
and their company‟s highest prosperity.
29. Perspective Management- Evolution of Management Thought
Henry l. Gantt & Frank and Gillian Gilbreth- followers of Taylor
Gantt emphasized the need for „ harmonious cooperation‟ between
management and labor and the importance of systems and that amongst
all problems of management the human element is the most important
one.He is well-known for his graphic methods of describing plans and
methods of management control as also emphasizing time, cost etc.He is
the author of the Gantt Chart which became the forerunner of modern
techniques of PERT/CPM.
Frank and Lillian Gilbreth-both of them put Taylor‟s ideas to practical
application in the form of Time and Motion study thereby reducing the
number of motions of the bricklayer‟s job from 18 to 5 and doubling his
productivity without incurring any greater additional expenditure.
While Frank emphasized efficiency, Lillian took interest in the human
aspects of management
30. Perspective Management-Evolution of Management Thought
Henri Fayol: He is perhaps the real father of modern management
theory. He had described the activities of an industrial undertaking in
terms of 6 activities as under:
F
i
n
a
n
c
i
a
l
Commercial
Technical
Financial
Security
Accounting
Managerial
Planning
Organization
Command
Coordination
Control
Manager‟s
Activities
31. Perspective Management- Evolution of Management Thought
Henri Fayol’s General Principles of Management:
1. Division of Work
2. Authority and Responsibility
3. Discipline
4. Unity of Command
5. Unity of Direction
6. Subordination of Individual to General Interest
7. Remuneration
8. Centralization
9. Scalar chain
10. Order
11. Equity
12. Stability of tenure
13. Initiative
14. Esprit de corps
While emphasizing planning, organizing,commanding,coordinating and
controlling, Fayol maintained that these principles apply not only to
business but to political, religious,philanthropic, military and others.
32. Perspective Management-Evolution of Management Thought
Emergence of Behaviour Sciences:Psychology and Social Theory
Hugo Munsterberg- the father of Industrial Psychology made it clear
that his objectives were as follows:
1.How to find people whose mental qualities best fit them for their job
2. Under what psychological conditions the greatest and most
satisfactory output can be obtained from the work of every person
3. How a business can influence workers in such a way as to obtain the
best possible results from them. Like Taylor he also wanted a mutuality
of interests between Management and labor and hoped to reduce their
working hours, increase their wages, and raise their “level of life”.
Max Weber: On the sociological side, it was Max Weber who wrote
with empirical analysis about the church, government, military and
business.He wrote extensively on hierarchy,authority and bureaucracy
stating that clear rules,definition of tasks and discipline are the
foundation of all social organizations.
33. BUREAUCRACY
‘Bureau’ means desk; ‘Cracy’ means rule ; Bureaucracy means ’rule of the desk’
Common qualities attributed to a bureaucracy;
(a) Inefficiency
(b) Red Tapeism Other Aspects….
(c) Paper shifting (a) Equity-just treatment for everyone
(d) Rigid application of rules (b) Goal-directed rational behaviour
(e) Redundancy of efforts (c )Emphasize technical expertise
(d) Discount tradition or charisma
(e) Rules and regulations apply to all-
Features of a Bureaucracy no special favors
• Hierarchy (f) Competence basis for entry and progress
Record keeping in system
• Regulation
• Impersonality
• Administrative staff
• Formal selection
34. Perspective Management-Evolution of Management Thought
Behavioural Sciences contd.
Hawthorne Studies-Elton Mayo:The studies which were conducted to
see the impact of illumination and other conditions on workers and their
productivity. These experiments were conducted in Western Electric
Company first between 1924 and 1927 and then from 1927 and 1932.It
was found that productivity improved when illumination was either
increased or decreased. This was further investigated and social factors
like morale, interrelationships, „sense of belonging‟ and effective
management. Group behaviour through interpersonal skills as
motivating,counseling,leading and communicating. This phenomenon is
called the Hawthorne Effect.
These experiments led to increased emphasis on the behavioural sciences
as applied to management and to the recognition that managers operate in
a social system. In other words, business operations do not only consist of
machinery and methods but a social system- there is therefore a
sociotechnical system in operation. It is extremely important to have a
deeper and greater understanding of the same.
35. Perspective Management-Evolution of Management Thought
Managerial Roles Approach
Henry Mintzberg: Describes what roles managers play from CEOS to
first-line supervisors.His view was that managers do not perform the
classical management functions like planning, organizing,co-ordinating
And controlling but engage in a variety of other activities
Interpersonal Roles
Figurehead
Leader
Liaison
Decisional Roles
Entrepreneur
Disturbance handler
Resource allocator
Negotiator
Informational Roles
Monitor
Disseminator
Spokesperson
37. Perspective Management-ORGANIZING
Good people can make any organization work but vagueness in
organization is a good thing in that it forces teamwork. However,
there can be no doubt that good people and those who want to
cooperate will work together most effectively if they know the parts
they are to play in any team operation and the way their roles relate
to one another.Designing and maintaining these systems of roles is
basically the managerial function of organizing.
Organizing is :
1) The identification and classification of required activities
2) The grouping of activities necessary to attain objectives
3) The assignment of each grouping to a manager(delegation) necessary
to supervise it
4) The provision for coordination horizontally( on the same or a similar
organizational level)and vertically( for example corporate
headquarters,division, and department) in the organizational structure
Organization implies a formalized intentional structure of roles and
positions
38. Perspective Management- Organizing
Aspects of Organizing:
(a)Formal and Informal
(b)Span of Control
(c )Problems with levels in organization
(1) Levels are expensive
(2) Levels complicate communication
(3) Levels complicate planning and control
The principle of the span management states that there is a limit to the
number of subordinates a manager can effectively supervise, but the
exact number will depend on the impact of underlying factors
(d) Gracuinas‟ formula:
n-1
C= n ( 2 + n-1 ) c= number of relationships
n= number of subordinates
(e) Richman‟s case
39. Perspective Management- Organizing
Factors which affect the span of control:
1. Amount of training
2. Clarity and delegation of authority
3. Clarity of plans and repetitiveness of operations
4. Verifiability of objectives
5. Changes in external and internal environments
6. Communications techniques
7. Interaction between superior and subordinates
8. Meetings effectiveness
9. Number of specialities at lower and middle levels
10. Competence and training of the manager
11. Complexity of the task
12. Subordinates‟ willingness to assume responsibility
13. Maturity of subordinates
40. Perspective Management- Organizing
Job Design:Jobs are the building blocks of Organizational Structure. Job
Design refers to the process by which managers determine individual
job tasks and authority. Apart from issues of effectiveness in
economic, political and monetary terms, job designs have social and
psychological implications. Job can provide income,meaningful life
experiences,self-esteem,esteem from others, regulation and patterns
of work flow, and association with others.
Besides seeking the most efficient way to do a series of tasks there is the
issue of Quality of Work Life which refers to a satisfaction of
worker‟s personal needs.
Job design and redesign techniques attempt
1. To identify the most important needs of employees and the
organization and
2. To remove obstacles in the workplace that frustrate those needs
41. Perspective Management- Organizing
Procedure for obtaining
facts about a job
Job title
Duties
Machines used
Materials used
Supervision
Working conditions
Hazards
Education
Work experience
Judgment
Vision
Physical skills
Communication skills
Ability to work with
others
JOB ANALYSIS
JOB DESCRIPTION JOB SPECIFICATION
42. Perspective Management- Organizing
Steps in a typical Job Analysis:
1.Examine the overall organization
2.Select the jobs to be analysed
3.Collect data on jobs
4.Prepare job description
5.Prepare job specification
Job Design:
Job range: The number of tasks assigned to a particular job
Job depth: The relative freedom that the job holder has in the
performance of assigned duties
Job relationships:Consists of departmentalization and spans of control
N. B. The above aspects are termed job characteristics. However the job
characteristics model (JCM) an consist of 5 important core dimensions.
This is called the Perceived Job Content
43. Perspective Management- Organizing
Perceived Job Content consists of:
Skill variety: The degree to which the job requires a variety of different
activities in carrying out the work
Task identity: The degree to which the job requires completion of an
identifiable task or output
Task significance:The degree to which the job has an impact on the
other jobs within the organization or related organizations
Autonomy: The degree to which the job provides the worker with the
freedom and discretion insetting work schedules, and in
determining the appropriate means of doing the job
Feedback: The degree to which individuals are able to obtain data
concerning the fulfillment of the job requirements
44. Perspective Management-Organizing-The Job Characteristics Approach
High internal
Work motivation
High-quality
Work performance
High satisfaction
With work
Low absenteeism
And turnover
Skill variety
Task identity
Task significance
Autonomy
Feedback
Experienced
meaningfulness
of work
Experienced
responsibility
for outcomes
of work
Knowledge of
actual results
of work activities
Strength of
employees‟ need
for growth
Core Job
Dimensions
Critical Psychological States Personal and Work
Outcomes
45. Perspective Management- Staffing
The managerial function of staffing is defined as filling and keeping
filled,positions in the organizational structure.This is done by identifying
workforce requirements, inventorying the people and
1.Recruiting
2.Selecting
3.Placing
4.Promoting
5.Appraising
6.Planning the careers of
7.Compensating
8.Training & Developing
n.b. The above tasks are to be accomplished Efficiently and Effectively
Staffing is separated from Organizing because of:
(a)Staffing organizational roles not recognized by practicing managers
(b)Staffing places greater emphasis on the human element
(c )Important body of knowledge and experience has been developed
(d)Managers often overlook the fact that staffing is their responsibility
and not that of the Personnel department
46. LEADERSHIP
Three aspects
LEADERSHIP-The idea or concept of leadership
LEADERS-the desired characteristics of effective leaders
LEADING-the successful practice of Leadership
Leadership begins and ends with Human Beings- their Aspirations,
Emotions and Motivation
Definitions of Leadership:
Dean Acheson “The successful resolution of problems”
Harry Truman “ Persuading people to do what they should have done
in the first place”
Tacitus “ Reason and calm judgment “
Napoleon “ Dealing in hope”
John Harvey Jones “Getting extraordinary performance out of
ordinary people”
Leadership is the art or process of influencing people so that
they will strive willingly and enthusiastically towards
achievement of group goals.
47. QUALITIES OF A LEADER
1. Personal Integrity
2. Willingness to accept responsibility
3. Understanding People
4. Communication
5. Selflessness
6. Confidence
7. Intuition
8. Vision
9. Ability to make decisions
10. Ability to simplify situations
Physical
energy
appearance
height
Mental
intelligence
ability
Personality
adaptability
aggressiveness
enthusiasm
self-confidence
Task-related
achievement drive
Persistence
initiative
Social
Cooperativeness
Interpersonal skills & administrative ability
48. LEADERSHIP
Leadership Perceptions
1.YOU MUST BE PERCEIVED AS ONE OF THEM
2.YOU MUST BE PERCEIVED AS MOST OF THEM
3.YOU MUST BE PERCEIVED AS BEST OF THEM
LEADERSHIP STYLES
1. AUTHORATIVE
2. DEMOCRATIC
3. LAISSEZ FAIRE
4. BUREAUCRATIC
5. MANIPULATIVE
6. EXPERT
7. SITUATIONAL
49. Leadership is an art of influencing others
It requires a Knowledge-base and Expertise which few have but
which can be developed with effort and dedication.
Leadership involves taking those you are in charge of, from where
they are now to where they will be.
Leadership is a result of:
(a) Strong Will-Power
(b) Hardwork.
(c) Vision
(d) Choosing the right priorities
Leadership Roles:
1. Educates
2. Motivates
3. Communicates
4. Supports
5. Leads Change
6. Turns every situation
a learning experience
LEADERSHIP
50. LEADERSHIP
1. Leadership by DIRECTION
2. Leadership by ATTRACTION
3. Leadership by ASSOCIATION
4. Leadership by DELEGATION
FOLLOWERS
1. People who make impossible things possible.(ASSETS)
2. People who make possible things possible( NEUTRAL)/Avg.
3. People who make possible things impossible (LIABILITIES)
52. LEADERSHIP THEORIES (contd)
(a) CHARISMATIC and SYMBOLIC Leadership
(b) TRANSACTIONAL & TRANSFORMATIONAL Leadership
(c) Leadership SUBSTITUTES
(d) Leadership EFFECTIVENESS Model- is it there?
53. TRAITS THEORY OF LEADERSHIP
There are 6 categories of traits as under:
1. Physical traits- age,height and weight.
2. Background characteristics-education,social class or status,
Mobility, experience
3. Intelligence-ability, judgement, knowledge
4. Personality- aggressiveness,alertness,dominance,
Decisiveness,enthusiasm,extroversion,independence,
Self confidence, authoritarianism
5 Task-relatedCharacteristics- achievement need, responsibility,
Initiative,persistence.
6. Social characteristics-supervisory ability,cooperativeness,
. Popularity,prestige, tact, diplomacy
55. 1. Forces in the Manager( value system, confidence in subordinates,
predispositions and feeling of security and insecurity
2. Forces in the subordinate (their needs for dependence or
independence, readiness to assume responsibility,tolerance
for ambiguity, abilities, knowledge, experience and disposition
to participate in decision -making
3. Forces in the situation ( type of organization, group
effectiveness, time pressures and the nature of the problem
itself.
(Tannenbaum &Schmidt)
n. b. A successful leader is one who accurately determines
what behaviour would be most appropriate in any given
situation and is flexible enough to adopt the most
functional leadership style.
56. Situational Approach: (Tannenbaum &
Schmidt‟s)
• This approach suggests the use of the authority of the manager(boss –centered
leadership or the area of freedom given to the subordinates(subordinate-
centered leadership)
There are three Forces involved viz.
Forces in the MANAGER-value system,confidence
in subordinates,predisposition and feelings of security and insecurity.
Forces in the SUBORDINATES- their needs for dependence and
independence,readiness to assume responsibility, tolerance of ambiguity, abilities,
knowledge, experience and disposition to
participate in decision –making.
Forces of the SITUATION- Type of organization,,group effectiveness,
time pressures and the nature of the problem itself.
n. b. A successful leader is one who can accurately assess the forces that determine
what behaviour is most appropriate in any given situation and is flexible enough to
adopt the most functional leadership style
57. Boss-Centered
Leadership
Subordinate-
Centered
Leadership
Use of authority by Manager
Area of Freedom For Subordinates
Manager makes
Decision and
Announces
Manager
“Sells”
Decision
Manager
Presents
Problem and
Gets
Suggestions
M
a
n
a
g
e
r
Manager
Lets
Group
Make
The
Decision
The Tannenbaum and Schmidt‟s Contingency Model
58. 1.9 Management( Country Club)
Thoughtful attention to
needs of people leads
to a friendly and comfortable
organization atmosphere and
work tempo.
9.9 Management( Team)
Work accomplished is from
committed people with
interdependence through a
common stake in organization
purpose and with trust and
respect
5.5 Management( Middle of the Road )
Adequate performance through balance of work requirements
And maintaining satisfactory Morale.
1.1 Management(Impoverished)
Exertion of minimum effort
is required to get work done
and sustain organizational
morale)
Efficiency results from
arranging work in such a
way that human elements
have little effect.
CONCERN FOR PRODUCTION
1.9) Management ( Autocratic)
C
O
N
C
E
R
N
F
O
R
P
E
O
P
L
E
MANAGERIAL GRID
59. FIEDLER‟S CONTINGENCY
THEORY
This theory develops a model to predict group effectiveness
And is based on a consideration of „Best Fit‟ or Match among
1. The leader‟s style
2. Leader-member relations( L-M-R)
3. Task –structure
4. The power of the leader‟s position
Situational Characteristics
L-M-R good good good good poor poor poor poor
Task-S high high low low high high low low
Posn.-P strog weak stng weak weak strng strng weak
Situational high moderate low
Control of L
Effective L Task- Relationship Task-
Style Oriented Oriented Oriented
61. PATH-GOAL THEORY OF LEADERSHIP
Leadership Style
Directive
Supportive
Achievement Oriented
Participative
Situational Factors
Subordinates’Attributes
-Abilities
-Internal or External
Locus of control
Work Setting Attributes
-Task
-Formal Authority System
-Primary Work Group
Outcomes
Job Satisfaction
Acceptance of Leader
Motivated Behaviour
Expectancy that
(1) Effort will lead to
performance
(2) Performance will
lead to valued
rewards
62. LIKERT‟S SYSTEM FOUR
Characteristic Exploitative Benevolent Consultative Participative
Authoritative Authoritative Group
Trust in subs. None Condescend Substantial Complete
Motivation Fear & Rewards & Rewards, Group
accomplished threats punishment punishment, participation
by involvement involvement
Communicatn. v.limited Limited Fairly wide. Widespread
Interpersonal v.limited Limited Moderate Extensive
Interaction
Decision makg. centralized Mostly Broadly part. Dispersed
centralized cipation allow.
Goal setting centralized Mostly Some part. Participation
centralized allowed allowed
Control centralized Mostly Moderate Extensive
centralized delegation delegation
Informal Always dev. Mostly dev. Maybe dev. Informal Orgn.
Orgn. & in oppn. Partially in & may support is the same as
to the orgn. Oppn. To O. or opp the O the formal O.
