Tag Archives: Concept of Management

IMPORTANCE OF DIRECTION IN BUSINESS WORLD


Directing is a very important function of management and its subordinates may not perceive the organizational goals in the absence of directing and the subordinates must be communicated what the organizational goals are, what the employees should do to achieve them, how they should do their jobs etc. Moreover, directing is directly concerned with human beings, so it should be executed carefully to achieve the desired goals. The part played by the manager is rather important as the CEO of the company from the point of managing the workers and the management and Getting things down is in the very nature of Directing.

THE IMPORTANCE

1. The benefit of unity of command

 Due to scientific supervision, effective communication, and proper motivation, there is no problem with conflicting orders or priorities and because of a complete reporting relationship with a single superior, personal responsibility for results becomes greater. Directing involves the management of human behavior and it creates cooperation and harmony among the members of a group and increasing people’s awareness has made managing human beings very difficult.

2. Increases potential

For reasons of physical nature’s productivity of managerial resources is limited, but the productivity and effectiveness of human resources have unlimited potential, and directing helps the enterprise in making use of this potential output of the human resources. Since humans evolve as the time goes by and stating together is an important aspect of keeping going together so everyone needs to understand the aspirations and expectations of their subordinates or their colleagues in order to manage them effectively.

3. Initiates action

All organizational activities are initiated through directing and along with planning, organizing, and staffing, managers must stimulate action by issuing instructions to subordinates and by supervising their work and the aim of directing is to activate employees to work towards the realization of predetermined goals of the organization and thus, without directing, other managerial activities like planning, organizing and staffing remain ineffective.

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4.Optimization of individual efforts

 The ultimate success of an enterprise depends on the optimum efforts put in by all individuals with willing cooperation and through effective supervision, motivation, leadership, and communication directing makes it possible.

5.Means of motivation

The organizational objectives cannot be realized unless people working in an organization are motivated to work willingly and perform well to the best of their abilities and directing is motivating employees to contribute their maximum efforts towards the achievement of organizational goals.

6.Provision of a stable and balanced organization

Directing provides effective supervision, motivation, correct leadership, and a well-understood communications, and therefore the organization as a whole work in a balanced way and it lasts for a long time.

7. Integrates employees efforts

At all levels of management, there are subordinates under the managers and the work entrusted to these individuals is interrelated and the performance of each individual affects the performance of others and thus individual efforts need to be integrated so that the organization achieves its goals and the directing functions integrate the activities of the subordinates by supervision, guidance, and counseling.

DIRECTING

Directing, in simple words, is instructing the subordinates to follow a certain process to attain a given objective and it is getting the work done through instructions and orders and directing is an important element of management without which success cannot be achieved in the managerial process and it is very essence of management and in fact, it is the sum total of all managerial efforts and it helps in the organization marching towards its defined goal. After planning, determination of objectives, organization, and forecasting, the working force needs briefing about the stated goals which have to be accomplished following the policies, programmes and schedules. Directing is the managerial function of guiding, motivating, leading and supervising the subordinates to accomplish desired objectives. It is an important managerial function that initiates organiser’s action and it is a connecting and activating link with various functions of management and it is a process around which all performance revolves and directing bits of help in mobilising and synthesizing human resources and efforts to accomplish the goals of the organization and directing is the heart of management-in-action and essence of operations. According to Ernest Dale directing is “Directing is telling people what to do and seeing that they do it to the best of their ability and it includes making the assignment, corresponding procedures, seeing that mistakes are corrected, providing on-the-job instructions and of course, issuing orders” and according to another author Newman directing is “ The process of directing is concerned with the way an executive issues instructions to his instructions to his subordinates or otherwise indicates what is to be done”. As a continuous process, directing comprises of:

  1. Issuing orders that are clear, complete, and within the capabilities of subordinates to accomplish.
  2. Training and instructing subordinates to carry out their assignments in the existing situations.
  3. Motivating subordinates to try to meet the expectations of the manager; and
  4. Maintaining discipline and rewarding those who perform properly.

NATURE OF DIRECTING

1. Directing Initiates Actions

Directing is a key managerial function and a manager has to perform this function along with planning, organizing, staffing, and controlling while discharging his duties in the organization and while other functions prepare a setting for action, directing initiates action in the organization.

2. Directing takes place at every level of management

Directing is a pervasive function of management and it exists at every level, location and operates throughout an enterprise and every manager, regardless of the number of subordinates, performs this function and he has to give instructions to the instructions, guide them and motivate them for the achievement of certain goals.

3. Directing is a continuous process

Directing is a dynamic and continuing function and it is the essence of management practice and the techniques and methods of directing have to be changed with t eh changing organizational conditions and a manager are expected to guide his subordinates in all the changing environments. Directing’s objectives are to get the work done and to see that the management works ore responsibly and the manager has to make sure that the problem faced by his mens are solved quickly.

TRAINING IN MANAGEMENT

Training is the process of helping employees to acquire more knowledge of the job and to learn or sharpen the needed skills, attitudes and values associated with the efficient performance of their job and new employees, as also existing employees, often need training as a means of their progress in their jobs and careers and it is an important element of the staffing function and many organizations make formal or informal arrangements for providing training to their managerial and non-managerial personnel. Training is practical education and it is a technique that brings out the hidden abilities in a person and teaches him to use his skills effectively. Training is an art and the trainer selects the best methods for training, keeping because of the requirements of the job and the ability of the concerned persons. Training is an activity which changes the outlook and behavior of persons and training may be understood as the practice of theoretical knowledge and the importance of training is well-recognized all over the world but the methods of training may vary from job to job and from industry to industry and typically, a separate training department under the charge of an expert in training techniques is established for the purpose. As Dale Yoder said, “Training is the process by which manpower is filled for the particular jobs it is to perform”.

METHODS OD TRAINING

1. On-the-job Method

On-the-jib methods are the methods that are applied, while the employee is working and it means Learning while doing and training is provided by superiors to subordinates and it is economical and less time consuming and it is used where jobs are simple, as in case of plumbers and motor mechanics.

a. Apprenticeship Programme

   Under this method, trainees are apprentices and they work under the direct supervision of the experts, who guide and help them in learning the job.

 b. Internship Training

In this method, professional institutes enter into arrangements with big business enterprises and send their students to these industrial enterprises to gain practical work experience.

c. Job Rotations

It is shifting the trainees from one department to another department or from one job position to another job position.

d. Induction Training

 It is training to help a new employee to settle down quickly into the job by becoming familiar with fellow workers the job and its environment including other people and machines in the business.

2. Off-the-Job Methods

Off-the-road jobs methods are used away from the place of work and it means Learning before doing and it is provided by experts either from within or from outside the organization and it is more expensive and more time consuming than on-the-job and it is used where jobs are complex involving the use of sophisticated machinery.

a. Vestibule training

 Under this method, training is given in a classroom and where the actual work environment is stimulated, a supplicate model of the workshop is prepared and instead of using original equipment, employees are trained on the dummy models.

b. Programming Instruction

The total information amount the job is broken into meaningful small units and are arranged in a logical sequence from simple to complex and the trainee goes through these units one by one by answering questions or by filling the blanks.

RECRUITMENT

The term Recruitment denoted that process by which the management locates the source of supply of manpower and then traps that source and it encourages outside manpower to apply for the jobs in the organization and search for the proper person for the right type of job at the right time is the basic function of the personnel department. The selection of wrong persons for the right job can ruin the process of work. A well-planned recruitment policy ensures increased productivity, decreased costs, increased employee morale and goodwill of the organization and thus recruitment is the process of searching for prospective employees and encouraging them to apply for the jobs in an organization and it aims at securing as many qualified applicants for the jobs as possible so as to decrease the hiring ratio and before searching for applicants, an organization should consider the most likely sources of the type of employees it needs. According to Edwin Flippo “Recruitment is the process of searching for prospective employees and stimulating and encouraging them to apply for jobs in an organization”. Recruitment also includes seeking and attracting a pool of people from which qualified candidates for job vacancies can be chosen. There are various sources of recruitment of workers and the personnel manager will select a source of recruitment, keeping in view the requirements of the departments concerned, the type of persons needed and the advantages of a source of recruitment and different sources of recruitment can be tapped on different occasions for different types of persons.

INTERNAL RECRUITMENT

One important source of recruitment is a promotion from within and it is the best method for recruitment of high and the medium cadre of managers and many companies feel that the best practice is to fill jobs from within the organization and they feel that inside employees already know the company and its policies and presumably have proved their ability and loyalty. This keeps the employees happy contented and in good morale and they know that they will earn promotion to a higher position. A performance test is the best test to determine a person’s suitability for a job. Filling of a vacancy from an internal source is very economical and no time and money are required to spend on a new candidate and a person who is selected for a job from within an organization knowns the organizational relationships.

EXTERNAL RECRUITMENT

By the external sources of recruitment, a vast mass of skilled, semi-skilled, and unskilled people is recruited from outside the organization. By using external sources of recruitment the organization can expect to get talented candidates from outside and the selection process is characterized by competition and the prospects that the organization can pick up the best candidates and fresh talents for the job are high. External candidates are expected to be trained and be efficient in work as they join the organization they work with great vigor and put in their best efforts to achieve the objectives and this creates healthy competition and congenial work environment in the organization.

STRUCTURE OF ORGANISING


The structure is the pattern in which various parts or components are integrated or interconnected and this prescribes the relationships among various activities and positions, as these positions are held by various persons, a structure is called the relationships among people in the organization and thus organization structure refers to the differentiation and integration of activities and authority, role and relationships in the organization. Differentiation is the differences in cognitive and emotional orientations among managers in different functional departments and differences in formal structure among these departments. Integration refers to the quality of the state of collaboration that is required to achieve unity of effort by the organization. The structure of an organization thus regulates, coordinates, and reduces uncertainty in the behaviour of people. According to Peter F. Drucker, “Organisation structure is the most important means as a structure wrongly build cannot assist in the promotion of the business”. Thus, the organisational structure is the lifeline of an organisation and this determines the mutual relationship of different persons working within an institution and clarifies the position of each person in it.

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TYPES OF ORGANISATION

Creation of an appropriate structure is indispensable for any organisation and Organisation structure represents the hierarchical arrangement of various positions in the enterprise and it helps in allocating authority and responsibility formally and it also lays down the pattern of communication and coordination in the enterprise and As Kimball write, “ The problem of an organisation is to select and combine the efforts of men of proper characteristics to produce the desired results”. Although character and type of organization would depend largely on the size and nature of the enterprise, yet, there are certain patterns of organising the personnel in an organisation and the need of clear-cut authority/responsibility relationships has led to different forms of administrative organisation as follows:

1. Line Organisation

It represents a direct vertical relationship through which an activity flows from top to bottom throughout the organization and the quantum of authority is highest at the top and it reduces at each successive level down the hierarchy, every person in the organisation is in the direct chain of command. The line of authority not only becomes the avenue of command to operating personnel but also provides the channel of communication, coordination and accountability in the enterprise.

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2. Line and Staff organization

Under the line and staff organization, the function of line is similar to its function under the line of organisation but some staff or experts are also appointed as advisors to the line officers. The functions of line officer are to take decisions, while the function of the staff officers is to advise them and these staff officers are experts in their respective fields and they offer their useful advice after analysing the problems presented by the line officers and in the way, the work of thinking and execution is done by different persons and this removes the chief defect of the line organisation and it can be adopted in case of large business enterprises. It is, however, important to make it clear that the line officers are not bound to accept the advice offered by the staff officers because the line officers alone are responsible for the outcome.

FUNCTION OF MANAGEMENT


According to George R. Terry, “Functions are the main entities around which a manager builds an effective organization structure”. The study of functions of management is an important topic in the field of management, the basic characteristics of efficient management are common whether the unit to be managed is as small as a family or large enough as a business, social, political or religious organization.

The main functions of management are:

  1. Planning
  2. Organizing
  3. Staffing
  4. Directing
  5. Controlling
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1. Planning

 Planning is decided in advance and it is an important and vital function of management. Planning is done to chalk out the future course of action and according to M.E. Hurle, “Planning is deciding in advance, what is done and it involves the objectives, policies, procedures programming for attaining enterprise goals”. Planning is a critical evaluation of relative merits and demerits of alternate policies and actions and in choosing the best program for achieving the predetermined objectives and targets.

2. Organizing

To organize means to put into working order and arrange on a system and organizing can be defined as arranging several complex tasks to manageable units and defining the formal relationship among the people who are assigned the various units of tasks and the process of organizing is very essential for accomplishing the objectives of the organization set by the administration and planned by management.

3. Staffing

The staffing of an organization is as important as the structure itself since successful performance by individuals determines whether the structure can produce its results successfully or not and staffing is a process of matching the jobs with the individuals. Staffing requires and involves the recruitment, selection, training, placement, compensating, promotion and demotion, and finally, the retirement of an employee and the sole aim of staffing is to take the right man for the right job and it needs man power-planning, job analysis, and such other staff functions. Psychology and sociology have added a considerable and important of knowledge and practice in this area of the managerial function.

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4. Directing

Directing means telling people what to do and seeing that they do it to the best of their ability. As a process of management, directing is concerned with getting work done through, and with people, they require continuous and encouragement to work effectively. According to Terry, “Directing means moving to action and supplying stimulating power to a group of persons”. Good planning and the best organization may fail to deliver goods if the direction is faulty and is not up to the mark. The direction is concerned with the execution of plans and it initiates organized action and breathes life into the organization and speaking, the direction is Management in action and it includes:

  1. Supervision
  2. Communication
  3. Leadership
  4. Motivation

5.Controlling

Control is an important function of management and it is an essential feature of scientific management and control ensure the qualitative and quantitative performance of work in the organization for the achievement of objectives and completion of plans and it is the binding force that orderly links all components of an enterprise. Controlling includes an evaluation to determine whether planned objectives or results have been achieved.

MANAGEMENT

Management has become an important “Economic organ” of the present industrial society. Every person in the world from the family head to the prime minister of the country or from the worker to the Managing director of a Joint-stock company is busy in managing different types of affairs that he has to perform in discharging his/her entrusted duties. Management is the coordination of human and physical resources towards the attainment of objectives. By managing different activities, we can best utilize our available scarce resources. As the mind of a person controls his activities, similarly management controls the business organization, men, machines, and materials in getting the work accomplished.

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TRADITIONAL AND MODERN CONCEPT OF MANAGEMENT

Management is related to the dynamic process of establishing objectives of the organization, harnessing and coordinating its human as well as other resources, and ultimately to the attainment of goals. It is a process of creating a creating conducive environment for humanitarian efforts, to reach the organization’s goals effectively and efficiently. According to  C.S George who describes management as “Management is a distinct process consisting of planning, organizing, actuating and controlling, performed to determine and accomplish the objectives by the use of people and resources” Traditional concept of management restricted management to getting things done.

According to the modern view, management covers a wide range of business-related activities. According to modern thinkers, “Management is a process of an activity a discipline and an effort to coordinate, control and direct individuals and group efforts towards attaining the cherished goal of the business”. Another aspect of management is presented by Harold Koontz and O’ Donnell, “Management is the art of getting things done through and with the help of a formally organized group”. To be more specific, to manage is to forecast and to plan, to organize, to command, and to control.

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CONCEPT OF MANAGEMENT

Management is a set of functions directed at the efficient utilization of the resources in the pursuit of organizational goals. To be more specific, to manage is to forecast and to plan, to organize, to command, to coordinate, and to control. To foresee means examining the future and drawing up the plan of action. To organize means building up the dual structure, material, and human of the undertaking. To command means maintaining activity among the personal. To coordinate means binding together, unifying, and harnessing all activities and efforts. To control means seeing that everything occurs in conformity with the established rules and expressed command. By efficient utilization of resources using resources wisely and in a cost-efficient manner. By effectiveness, we mean making the right decisions and successfully implementing them. Efficiency and Effectiveness are interrelated, for instance, it is easier to be effective if one ignores efficiency. The effect of good management is nothing short of remarkable. Take an under-performing-even chaotic-organization and install a skilled manager and him/she soon can have the enterprise humming like a well-tuned machine. Studies have shown that 90 percent of the business fail generally due to poor management.

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