Chapter II Part B

Nature & Scope of Management

Managerial Skills

The Skills required of a successful manager are as follows:

(1)Technical skills

(2) Conceptual skills – Decision making skills, Organizational Skills

(3) Human relation skills- Communicating skills, Motivating skills, Leadership skills

1. Technical skills

• Refers to the proficiency in handling methods, processes & techniques of a particular kind of business

• Essential for a manager to know which technical skill to employ in a particular work

• In large companies CEO’s can utilize technical abilities of subordinates

• In small firms, technical experience may be quite important

2. Conceptual skills

•It is the ability to see the organization as a whole, to recognize inter-relationships among different functions of the business & external forces & to guide effectively the organizational skills•it is critical in top executive positions whereas technical skills is essential for lower level management •easier to learn technical skills than the conceptual skill Decision making skillsThe ability to take timely & accurate decisions- requires mental ability & presence of mind

3.Human relation skills•Refers to the ability to work effectively with others & build cooperative work group to achieve organization skills

Communicating skills: the ability to pass on information to other

Motivating Skills: inspires people to do what the manager wants them to do- positive / negative motivational methods-reward, praise/ punishment, reprimand, threat.

Leadership skills: the ability to inspire confidence & trust in the subordinates in order to have maximum operation to get the work done. •It enables a manager to lead the people working under him.•It is the ability to inspire confidence & trust in the subordinates in order to have maximum cooperation in getting the work done.

Managerial Skills & Hierarchy of organization

TECHNICAL

SKILLS

HUMAN

SKILLS

CONCEPTUAL

&DESIGN

Managerial Skills & Hierarchy of organization

Low- level Management/First-level supervisorsTechnical Skills: Of greatest importance at the supervisory levelHuman Skills: Helpful in the frequent interactions with the subordinatesConceptual & Design skills: not critical for lower-level supervisors.

Functions of Low-level Management 1. Direct Supervision of workers and their work2. Developing & improving work methods & operations3. Inspection Function4. Imparting instructions to workers5. To give finishing touch to the plans & policies of top management6. To act as a link b/w top mangement & the operating force7. To communicate the feelings of workers to the top management

includes Foremen, Supervisors/ Charge-hands, office superintendent, inspectors

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Middle-level management: Technical skill -need for this skill decreases Human skill – are essentialConceptual skill- gain importance

Functions of Middle-level management1.To cooperate to run organization smoothly.2.To understand interlocking of departments in major policies.3. To achieve coordination b/w different parts of the organization4. To conduct training for employee development5. To build an efficient comany team spirit.

includes Superintendents, Branch Managers, General Foremen.

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Top- level Managem ent

Conceptual & desi gn abil ities & human skills- are val uab le Techn ical ski lls- relatively li ttle in needFunctions Of Top-leve l Manage me nt

1. Setting basic goals & ob jectives2.Expand ing / contracting activities

3. Monitoring performance4. Design ing/ redesign ing organ ization system

5. Shou ldering financial responsib ilitiesIncludes Board of Di rectors, Managing Di rectors, Ch ief Executives, General Managers, Owners, Share-hol ders/ financiers

It is assumed that i n l arge companies, CEOs can utilize the techn ical ab ilities of subord inates.In smaller firms, techn ical experience may be qu ite important.

Organizational Hierarchy

T Top-Level

Management

Middle-Level management

First-Level Management

Planning

Organizing

Leading

Controlling

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