Fundamentals of Fundamentals of

Management Management Fundamentals of Fundamentals of

Management Management DR. Youssef Hamed MannaDR. Youssef Hamed Manna

Lecturer of Business AdministrationLecturer of Business AdministrationFaculty of Commerce - AL-Azhar UniversityFaculty of Commerce - AL-Azhar University

DEFINITIONS OF DEFINITIONS OF MANAGEMENTMANAGEMENT

Management is the use of Management is the use of human resources and other human resources and other resources through planning, resources through planning, organizing, Directing, and organizing, Directing, and controlling to accomplish controlling to accomplish organizational objectives in an organizational objectives in an effective and efficient manner.effective and efficient manner.

What is meant by An What is meant by An Organization?Organization?

A deliberate arrangement of A deliberate arrangement of people to accomplish some people to accomplish some specific purpose (that specific purpose (that individuals independently individuals independently could not accomplish alone).could not accomplish alone).

Defining ManagerDefining Manager

Manager is someone who Manager is someone who coordinates and oversees the coordinates and oversees the work of other people so that work of other people so that organizational goals can be organizational goals can be accomplished. accomplished.

EfficiencyEfficiency is a measure of how well or productively

resources are used to achieve a goal.It is related to lowering resource waste “Doing things

right” , Getting the most output for the least inputs.

EffectivenessEffectiveness is a measure of the appropriateness of

the goals an organization is pursuing and of the degree to which the organization achieves those goals. “Doing the right things”

It is related to Attaining organizational goals.

EfficiencyEfficiency is a measure of how well or productively

resources are used to achieve a goal.It is related to lowering resource waste “Doing things

right” , Getting the most output for the least inputs.

EffectivenessEffectiveness is a measure of the appropriateness of

the goals an organization is pursuing and of the degree to which the organization achieves those goals. “Doing the right things”

It is related to Attaining organizational goals.

Efficiency and EffectivenessEfficiency and Effectiveness Efficiency and EffectivenessEfficiency and Effectiveness

THE ROLE OF MANAGEMENTTHE ROLE OF MANAGEMENT THE ROLE OF MANAGEMENTTHE ROLE OF MANAGEMENT

In order to understand the role of management, in In order to understand the role of management, in

the late 1960s, Henry Mintzberg devised a new the late 1960s, Henry Mintzberg devised a new

approach – the managerial roles approach – by approach – the managerial roles approach – by

observing what managers actually doobserving what managers actually do

Mintzberg isolated ten roles which he believed were

common to all managers. As shown in Table 1, these

ten roles were grouped into three categories –

interpersonal roles, informational roles and decisional

roles.

In order to understand the role of management, in In order to understand the role of management, in

the late 1960s, Henry Mintzberg devised a new the late 1960s, Henry Mintzberg devised a new

approach – the managerial roles approach – by approach – the managerial roles approach – by

observing what managers actually doobserving what managers actually do

Mintzberg isolated ten roles which he believed were

common to all managers. As shown in Table 1, these

ten roles were grouped into three categories –

interpersonal roles, informational roles and decisional

roles.

1 -Interpersonal Roles 1/1 Figurehead Performs ceremonial and symbolic duties such as greeting visitors, signing legal documents.  1/2 Leader Direct and motivate subordinates, training, counseling, and communicating with subordinates.  1/3 Liaison Maintain information links both inside and outside organization, use mail, phone calls, and meetings.

22 - -Informational RolesInformational Roles 2/1 Monitor2/1 Monitor Seek and receive information, scan periodicals Seek and receive information, scan periodicals and reports, maintain personal contactsand reports, maintain personal contacts   2/2 Disseminator2/2 Disseminator Forward information to other organization Forward information to other organization members, send memos and reports, make phone members, send memos and reports, make phone callscalls   2/3 Spokesperson2/3 Spokesperson Transmit information to outsiders through Transmit information to outsiders through speeches, reports, memosspeeches, reports, memos

33 - -Decisional RolesDecisional Roles 3/1 Entrepreneur3/1 Entrepreneur Initiate improvement projects, identify new ideas, Initiate improvement projects, identify new ideas, delegate idea responsibility to othersdelegate idea responsibility to others   3/2 Disturbance Handler3/2 Disturbance Handler Take corrective action during disputes or crises; Take corrective action during disputes or crises; resolve conflicts among subordinates; adapt to resolve conflicts among subordinates; adapt to environmental crisesenvironmental crises   3/3 Resource Allocator3/3 Resource Allocator Decide who gets resources, scheduling, budgeting, Decide who gets resources, scheduling, budgeting, setting prioritiessetting priorities   3/4 Negotiator3/4 Negotiator Represent department during negotiation of union Represent department during negotiation of union contracts, sales, purchases, budgets, represent contracts, sales, purchases, budgets, represent departmental interestsdepartmental interests

IMPORTANCE OF IMPORTANCE OF MANAGEMENT STUDYMANAGEMENT STUDY

The need and significance of management The need and significance of management functions in the modern organizations are functions in the modern organizations are given below.given below.

1.1. To increase the efficiency and To increase the efficiency and effectiveness.effectiveness.

2.2. to give a definite shape to management to give a definite shape to management function.function.

3.3. to improve research in management.to improve research in management.4.4. to attain social goals by effective to attain social goals by effective

utilization of resources.utilization of resources.

Universality of Universality of ManagementManagement

It means that Management It means that Management has universal application in has universal application in all kinds/nature and size of all kinds/nature and size of business activities. business activities.

LEVELS OF LEVELS OF MANAGEMENTMANAGEMENT

1- First-line managers1- First-line managers

First-level managers are directly responsible First-level managers are directly responsible for the performance of employees involved for the performance of employees involved in operations.in operations.

They are usually called supervisorsThey are usually called supervisors

Responsible for day-to-day operations. Responsible for day-to-day operations. Supervise people performing activities Supervise people performing activities required to make the good or service.required to make the good or service.

22 - -Middle managersMiddle managersMiddle-level managers deal with the Middle-level managers deal with the actual operation of various actual operation of various departments in an organization. They departments in an organization. They are directly responsible for the are directly responsible for the performance of managers at lower performance of managers at lower levels. Their typical titles include levels. Their typical titles include “manager”, “director”, “chief”, “manager”, “director”, “chief”, “department head” and “divisional “department head” and “divisional head.”head.”

Supervise first-line managers. Are Supervise first-line managers. Are responsible to find the best way to responsible to find the best way to use departmental resources to use departmental resources to achieve goalsachieve goals..

33 - -Top managersTop managersTop-level managers are usually appointed, Top-level managers are usually appointed, elected or designated by the organization’s elected or designated by the organization’s governing body. They are few in number, and governing body. They are few in number, and they include job classifications such as the “Chief they include job classifications such as the “Chief Executive Officer” (CEO), “President”, “Vice Executive Officer” (CEO), “President”, “Vice President”, “Senior Vice President” and President”, “Senior Vice President” and “Executive Director.” Top-level managers are “Executive Director.” Top-level managers are responsible for taking major decisions for the responsible for taking major decisions for the organization as a whole.organization as a whole.

* Responsible for the performance of all * Responsible for the performance of all departments and have cross-departmental departments and have cross-departmental responsibility.responsibility.

* Establish organizational goals and monitor * Establish organizational goals and monitor middle managersmiddle managers . .

MANAGEMENT SKILLSMANAGEMENT SKILLS

A manager’s job is varied and A manager’s job is varied and complex. Hence, managers need complex. Hence, managers need certain skills to perform the functions certain skills to perform the functions associated with their jobs.associated with their jobs.

During the early 1970s, Robert K. Kalz During the early 1970s, Robert K. Kalz identified three kinds of skills for identified three kinds of skills for administrators. These are technical, administrators. These are technical, human and conceptual skills. human and conceptual skills.

1- Technical Skills1- Technical SkillsTechnical skills refer to the ability of a Technical skills refer to the ability of a person to carry out a specific activity. In person to carry out a specific activity. In order to do so, one needs to have order to do so, one needs to have knowledge of methods, processes and knowledge of methods, processes and procedures. Engineers, computer specialists, procedures. Engineers, computer specialists, and accountants and accountants Technical skills are essential for first-level Technical skills are essential for first-level managers. For example, employees at the managers. For example, employees at the operational level work with tools, and their operational level work with tools, and their supervisors must be able to teach them how supervisors must be able to teach them how to perform the tasks assigned to them using to perform the tasks assigned to them using these tools. First-level managers spend these tools. First-level managers spend much of their time in training subordinates much of their time in training subordinates and clarifying doubts in work-related and clarifying doubts in work-related problems problems

2- Human Skills2- Human SkillsHuman skills or Human skills or interpersonal skills refer to interpersonal skills refer to the ability of a person to the ability of a person to work well with other people work well with other people in a group. It is the ability to in a group. It is the ability to lead, motivate, and lead, motivate, and communicate with people communicate with people to accomplish certain to accomplish certain objectives objectives

3- Conceptual Skills3- Conceptual SkillsIt is the ability to understand and It is the ability to understand and coordinate the full range of corporate coordinate the full range of corporate objectives and activities. These skills are objectives and activities. These skills are most important at the top management most important at the top management level, as top-level managers have the level, as top-level managers have the greatest need to see the “big picture,” to greatest need to see the “big picture,” to understand how the various parts of the understand how the various parts of the organization relate to one another and organization relate to one another and associate the organization with the associate the organization with the external environment. external environment.

APPROACHES TO THE APPROACHES TO THE STUDY OF MANAGEMENTSTUDY OF MANAGEMENT

A brief discussion about different A brief discussion about different approaches of management is given approaches of management is given below.below.

1- EMPIRICAL OR CASE APPROACH1- EMPIRICAL OR CASE APPROACHIn this approach, one tries to In this approach, one tries to

understand management principles understand management principles with the help of cases. It also with the help of cases. It also identifies the situations, wherein identifies the situations, wherein organizations have either succeeded organizations have either succeeded or failed by following this approachor failed by following this approach

2- HUMAN BEHAVIOR 2- HUMAN BEHAVIOR APPROACHAPPROACHThe human behavior The human behavior approach is the outcome approach is the outcome of the thoughts developed of the thoughts developed by behavioral scientists by behavioral scientists who look at the who look at the organization as collectivity organization as collectivity of people of people

3- DECISION THEORY 3- DECISION THEORY APPROACHAPPROACHThe major emphasis of this The major emphasis of this approach is that decision approach is that decision making is the job of every making is the job of every manager. The manager is a manager. The manager is a decision maker and decision maker and organization is a decision-organization is a decision-making unit. Therefore, the making unit. Therefore, the basic problem in managing is basic problem in managing is to make rational decision to make rational decision

44--CONTINGENCY OR CONTINGENCY OR SITUATIONAL APPROACHSITUATIONAL APPROACH

The basic idea of The basic idea of contingency approach is contingency approach is that there cannot be a that there cannot be a particular management particular management

action which will be suitable action which will be suitable for all situationsfor all situations