unit 2 functions of management 4spp

7/28/2019 Unit 2 Functions of Management 4SPP

1/34

1

MG9362:IndustrialMa

nagement

Unit2

FUNCTIONSOFMANAGEMENT

AnnaUniver

sity

OBJECTIVE

Thestudentswillbeabletounderstandand

applythe

followingconcepts:

Plannin

NatureandPurpose

Objectives

Strateies

PoliciesandPlanningPremises

Organizing

Premises

Departmentalization

ecenrazao

n

Lineandstaff

Organizational

culture

Organizational

Development.

2

OBJECTIVE[CONTD.]

Staffing

selectionandtraining

Placem

ent

P

roductivity&Operations

M

anagement

IndustrialSafety.

Performanceappraisal

CareerStrategy

Leadin

Manag

inghumanfactor

Leadership

Decision

Making

Controlling

rocesso

onrong

Contro

llingtechniques,

Preven

tivecontrol

3

4

PLANNING

Unit2.1

Sriraman.A. MG - 9362: Industrial Management Unit - 02 :: Pg.1


2/34

PLANNING

-DEFINITION

Planningisdecidinginadvance

whattodo,

howtod

o

whento

do,

whoistodo.

annng

rges

egapromwere

weareowerewe

wanttogo.

5

PLANNINGPROC

ESS

organization

structuretohave

organization

structuretohave

Helpstoknow

PaObectives&how

PaObectives&how

Whatkindofpeople

weneed&when

Whatkindofpeople

weneed&when

Affects

leadership&

toachievethem

toachievethem

Howmost

effectivelytolead

people

Howmost

effectivelytolead

people

Ensuressuccessoflan

Byfurnishing

standardsof

control

Byfurnishing

standardsof

control

6

CHARACTERISTICSOFPLANNING

Closelyassociatedwiththegoalsoftheorganization(explicit

/implicit).Welldefinedgoalsleadto

efficientplanning.

Concerne

dwithforecastinoffuture

situationinwhichan

organizationhastofunction.Accurateforecastingleadsto

correctfuturecoursedecisions.

achieving

organizationalgoal.

Comprehensive

Flexiblefo

rfuturedynamics.

7

NATURE&IMPO

RTANCEOFPLANNING

Nature

Contributiontopurpose&objective

Primacoflan

nin

Pervasivenessofplanning

Efficiencyofplans

mporance

Tooff-setuncer

tainty&change

Tofocusattentiononobjectives

Tohelpincoord

ination

Togaineconom

yinoperation

Toincreaseorganizationaleffectiveness.

8Sriraman.A. MG - 9362: Industrial Management Unit - 02 :: Pg.2


3/34

TYPESOFPLANS

StandingPlan

Single-Us

ePlan

Policies

Strategies

Procedu

res

Rules

Methods

Projects

Budgets

9

STEPSINPLANN

ING

Perceptionofop

portunities

Establishingobjectives

Determiningalte

rnativecoursesofaction

Evaluatingalternativecourseofactio

Selectingthebestcourseofaction

Formulatingsupportingderivativeplan

uanyngpan

symanguge.

10

LIMITATIONSOFPLANNING

Lackofaccurateinformation

Problems

ofchange

Internalin

flexibilities

External

inflexibilities

Rigidityin

planning

Time&co

stfactors

11

PLANNINGPREM

ISES

ImportanceofForecasting

Helpseffective

planningbyprovidingscientific&reliabledata&facts.

Aimsatreducinguncertaintyfactors.

Make&review

offorecastwillleadtobetterdecisionmaking

Efficientmanagerialcontrol.

Selectionofpremiseswhichbearmaterialonpr

ograms.

Developmento

falternativepremisesforconting

encyplanning.

.

Communicationofpremises.

Forecastingmethods

Qualitativetechnique

Quantitativetechniques



4/34

CORPORATEPLANNINGCHARACT

ERISTICS

Dealswithformulationofobjectives,

plans,policies&

strategies

&makingdecisionsonvitalmattersaffectingthe

survivaloftheorganization.

Dealswithfutureimpactofcurrentd

ecisions.

Involvess

ystematicidentificationofopportunitiesandthreats

strengths

&weaknessoftheorganiz

ation.

Providesanintegratedframeworkwithinwhichthefunctional

anddepartmentalplansareformulated.

13

CORPORATEPLANNINGOBJECTIVE

Allocatescarceresourcelikecapital,materials&

technologicalkn

ow-howamongproduct/ma

rketalternatives.

Prearetoadottoenvironmentalchanes

aso

ortunities

orthreat.

Coordinatestrategicactivitytoreflecttheinternalstrength&

.

Prepareforadap

tation&integrationwhichare

complementarytoeachother.

Adaptationfocus:wheretogo

Integrationfocus:howtogetthereefficiently

earnrom

as

omaeeerecsonsn

resen

uure.

Selfimprovement.

14

CORPORATEPLANNINGIMPORTAN

CE

Encourag

esthehabitofforwardthin

kingonthepartof

manager

Helsattainoverallcoordinationamonthevariouslevelsof

managem

ent

Createsa

greaterawarenessofbusinessenvironment&

.

Enablestheorganizationtoanticipatetechnologicalchanges

&prepare

forthesame.

Leadtoim

provementinoverallperfo

rmanceofthe

organization.

15

PROCESSOFCO

RPORATEPLANNING

Scanningtheenvironment

Makingcorporat

eappraisals

Makingstrategie

s

Developingactio

nplans

Identificationof

jobstobeaccomplished

Determiningthe

sequenceofjobs&activities

Layingdownprocedures&methodofwork

Implementingstrategy



5/34

DIFFERENCE:STRATEGIC&OPERATIONALPLANS

Timehorizon:

Strategicplantakeseveralyears/dec

adeintoconsideration.For

operatio

nalplans,ayearisoftenrelevanttimeperiod.

Scope:

Strategicplansaffectawiderangeof

organizationalactivities,

scope.T

henumberofrelationshipsinvolvedisthekeydifference.

Degreeofdetails:

raegcgoasaresaenermsa

oosmpsc

generc.

Ontheo

therhand,operationalplans,asderivativesofstrategic

plansarestatedinrelativelyfinerdeta

ils.

17

STRATEGIESATDIFFERENTLEVELS

Corporatestrate

gy:

Strategicdecisionsrelatetoorganization-widepolicies.Major

policydecisions

involveacquisition,diversific

ationandstructural

re-designing.

Businesslevelstrategy:

objectives.Itservesdistinctproduct/market/customers

/geographicalarea.

SBUsuccessdependsoneffectivefunctionofmarketing,finance,

production,personnel,R&D.

18

STRATEGICPLANNING-FEATURES

Emphasiz

esthebasicmission&goaloforganization.

Determinesthebasicpolicy&programoforganization.

Providesaframeworkforoerationallanninonda-t-da

decisionmaking.

Timefram

eislargerthanothertypes

ofplanning.

Providescoherentpolicy&decisiononactivityovertime.

Dealswithuncertainenvironmentby

forecasting

o

ortunities&threats.

Comprehensive,unifiedplanfordeploymentofscarce

resources.

19

20

ORGANIZING

Unit2.2



6/34

ORGANIZA

TIONTHEORY

Itisthestudyofstructure,functionin

gandperformanceof

organizationsandthebehaviourofin

dividualwithinthem.

Twoaroache

First:organizationasadynamicproce

ssamanagerialactivity

bringing

peopletogethertopursuea

commongoal-called

rocess

oforanizin.

Second:organizationasastructureo

frelationshipsamong

positionsattainacommongoal.

21

ORGANIZATIONTHEORY[CONTD.]

CommonFeatures

DivisionofLabo

rs

Coordination

Accomplishmen

tofgoals/objectives

Authority/responsibilitystructure.

rocesso

rganzaon

Determinationo

fobjectives

Enumerationof

activities

Classificationofactivities

Fittingindividua

lstofunction

.

22

ORGANIZA

TIONTHEORY[CONTD.]

ActivityAnalysis

DecisionAnalysis

InformalO

rganization

ImportanceofOrganizatio

23

HIERARCHYOFOBJECTIVESFORORGANIZATIONAL

LEVELS

24

RelationshipofObjectives&OrganizationalLevels



7/34

PRINCIPLE

SOFORGANIZING

Unityofo

bjective

Efficiency

Authority&responsibilit

Balance

Divisiono

fwork

Functiona

ldefinitio

Continuity

FacilitationofLeadership

Scalarprinciple

(Chainof

Command)

Unityofc

ommand

Unitofd

irection

Responsibility

25

TYPESOFORGANIZATION

Military/Linesystem

Functionalsyste

m

Matrixsystem

Hybriddesignsy

stem

26

MILITARY/LINESYSTEM

General

Manager

Manager

Zone2

Manager

Zone1

anager

District

1

anager

District2

anager

Dis

trict1

anager

District2

27

MILITARY/LINESYSTEM[CONTD.]

Merits

Simplicity

Unifiedcontrol

Demerits

Overloading

Lackofsecialization

Strongdisciplin

e

Fixedresponsib

ility

Inadequacyof

commun

ication

romp

ecso

Flexibility

Suitability



8/34

FUNCTION

ALSYSTEM

Manager

Manager2

Manager1

Manager3

Clerk1

Clerk2

Clerk3

Clerk4

Clerk5

Clerk6

Clerk7

Clerk8

29

FUNCTIONALSYSTEM[CONTD.]

Merits

Ensuresgreaterdivisionoflaborspecializationoffunctions.

Hihdereeofefficiencerformlimitedo

eration.

Separates-mental&manualfunctions.

Facilitatesmassproductionstandardization

&specialization.

emers

Unstableweakdisciplinarycontrol.

Complicatedfunctionintomanysub-function.

Hardtofixresponsibilityforunsatisfactoryresults.

Conflictamongforemanofequalranks.

30

LINE&STA

FFSYSTEM

31

LINE&STAFFSY

STEM[CONTD.]

Merits

Plannedspecia

lization

ualitdecision

Prospectforpersonnelgrowth

Trainingground

forpersonnel

emers

Lackofwelldefinedauthority

Line&staffcon

flicts

Suitability



9/34

MATRIXSY

STEM

33

MATRIXSYSTEM

[CONTD.]

Merits

Involves&challengesmatrixteammembers.

Providesenlaretasksforeole.

Developsemplo

yeeskills.

Encouragespeopletoidentifywithendproducts.

osersex

y

rougou

eorganzaon.

Motivatesinterd

isciplinarycooperation.

Providesforintegrationoforganizationalinformation.

Fostersthedevelopmentofmanagerialskills.

Freestopmanagementforeffectiveplanning.

34

MATRIXSY

STEM[CONTD.]

Demerits

Demand

shighlevelofinterpersonalskills.

Leavesneativeimactonmoralewhenersonnelare

reshuffled.

Fostersconfusion&frustrationfromit

smultiplecommand

structure.

Leadsto

powerstrugglesbetweenfun

ctional&projectmanagers.

Causestolosesightofbroaderorganizationalgoals.

auses

upcaonoeorsyproecgroups.

Costlytoimplement&maintain.

35

HYBRIDSYSTEM

BANK

PRESIDENT

FUNCTIONAL

PRODUCT

ExecVP

Bank

Operation

ExecVP

Loans&

Investment

DEPARTMENTATION

DEPARTMENTATION

VP

Account

VP

Personnel

VP

Personal

VP

Commercial

ExecVP

Branch

GEOGRA

PHIC

DEPARTM

ENTATION

Branch

Branch

Branch

36

2

1

3



10/34

HYBRIDSY

STEM[CONTD.]

Merits

Organizationenjoystheuniquebenefitsofbothfunctional&

divisionalDepartmentationstructures.

Helpsproperalignmentofcorporate&

divisionalgoals.

Fostersflexibilitywithindivisions.

.

Demerits

Excessiveduplicationofactivitiesbetweenfunction&divisions.

Createc

onflictbetweenheadquarter&divisionalfunction.

37

DEPARTMENTATION

Departmentation

Functional

Deartmentation

Divisional

Deartmen

tation

Geographical

Product

Departmentation

Custome

r

Departmentation

Location

Departmentation

38

FUNCTION

ALDEPARTMENTATION

Ped

APed

Ps

APed

Ps

Mkn

Enn

Fn

Poo

__Marketing

Research

__Marketing

__Engineering

Administration

__Preliminary

__Financial

Planning

__Budgets

__P

roduction

P

lanning

__Industrial

__Advertising

&Promotion

__Sales

__Electrical

Engineering

__Mechanical

__Accounting

__Cost

Accounting

__P

roduction

E

ngineering

__P

urchasing

Administration

__Sales

Engineering

__Hydraulic

Engineering

__Statistics&

Data

Processing

__T

ooling

__G

eneral

P

lanning

39

__ __QualityControl

FUNCTIONALDE

PARTMENTALIZATION[C

ONTD.]

Advantages

Itisalogicalreflectionoffunctions

Maintainsower&

restieofmaorfunctions.

Followsprinciplesofoccupationalspecialization

Simplifiestraining

urnsesmean

so

gconroaop.

Providesspecia

lization

Allowstaskassignmentconsistentwithtechn

icaltraining

Allowseconomiesofscale

Allowsexcellentcoordinationwithinfunctions

Facilitatestopm

anagementindirection&con

trol



11/34

FUNCTION

ALDEPARTMENTALIZAT

ION[CONTD.]

Disadvantage

De-emphasisofoverallcompanyobjectives

Overse

cializes&narrowviewointsofke

ersonnel

Reducescoordinationbetweenfunctions

Slowadaptationtochangesinenviron

ment

mseveopmenogeneramanagers

Poorcommunicationacrossfunctionaldepartments

Slowres

ponsetimestoexternalchanges

Concentrationofdecisionsattopcausingdelay

Difficultyinpinpointingresponsibility

Narrow

ersectivewithinfunction

Failstoencouragecreativity.

41

PRODUCTTYPE-DIVISIONALDEPARTME

NTATION

Ped

Mkn

Ps

Fn

Rdn

Inco

Eeroc

Inra

Rdn

InrumDvso

IncoLg Dvso

Eeroc

MeDvso

Inra

TsDvso

__Engineering

__Production

__Accounting

__Engineering

__Production

__Accounting

Sales

__Engineering

__Production

__Accounting

Sales

__Engineerin

g

__Production

__Accounting

42

__

__

__

__

PRODUCT

TYPE-DIVISIONALDEPARTMENTATION

[CONTD.]

Advantages

Placesa

ttention&effortonproductline

Facilitatesuseofsecialcaitalskillsfacilit.

Permitsgrowth&diversityofproduct

services

Improvescoordinationoffunctionalactivity

acesrespons

yorproa

vs

onaeve

Furnishmeasurabletraininggroundfo

rmanagers.

Provideshighproductvisibility

Suitedforrapidchange

Allowsp

arallelprocessingofmultiple

tasks

Permitsfulltimeconcentrationontasks

Fostertrainingofgeneralmanager.

43

PRODUCTTYPE-DIVISIONALDEPARTME

NTATION

[CONTD.]

Disadvantage

Requiresmorepersonswithgeneralmanagerabilities

Tendstomakemaintenanceofcentralservicedifficult

Presentsincrea

sedproblemoftopmanagementcontrol

Promotesneglectoflongtermpriorities

ausesconc

eween

vsonaasscorporaeprore

Failstoencouragecoordinationofactivities

Allowsin-depth

competenciestodecline.



12/34

CUSTOMERTYPE-DIVISIONALDEPARTMENTATION

Ped

Cmty

Bn

Cpae

Bn

HnBn

Actua

B

n

g

g

g

g

45

CUSTOMERTYPE-DIVISIONALDEPARTM

ENTATION

[CONTD.]

Advantages

Encouragesconcentrationoncustomerneeds

Givescustomersthefeelinthattheareunderstandintheir

suppliers(bank)

Developsexpertnessincustomerarea

Adaptivetoenvironmentalchanges

Facilitatesparallelprocessingofmultipletask

Facilitatesastrongmarketingphilosophy

Providesaclearplacementofresponsibilities

.

46

CUSTOMERTYPE-DIVISIONALDEPARTMENTATION

[CONTD.]

Disadvantage

Maybed

ifficulttocoordinateoperationsbetweencompelling

custome

rdemands

Require

managers&staffexpertincu

stomerproblem

Customergroupmaynotalwaysbeclearlydefined

Wastesresourcesthroughduplication

ofeffort

Tendsto

lessentopmanagementcont

rol.

47

GEOGRAPHICAL

TYPE-DIVISIONALDEP

ARTMENTATION

Ped

Mkn

Ps

Fn

Pcn

WenRo

Shn

Ro

Nhn

Ro

EenRo

__ __Engineering

__Production

__Accounting

__ __Engineering

__Production

__Accounting

__ __Engineering

__Production

__Accounting

__ __Engineering

__Production

__Accounting

48

__Sales

__Sales

__Sales

__Sale



13/34

GEOGRAPHICALTYPE-DIVISIONA

LDEPARTMENTATION

[CONTD.]

Advantages

Placesresponsibilityatalowerlevel

Emhasisonlocalmarket&

roblems

Improvescoordinationinaregion

Takesadvantagesofeconomiesoflocaloperations

eera

ce--acecommuncaonw

ocacusomers

Fastresponsetothelocalenvironmen

t

Promote

sflexibility,focusonregionalgoals

Fostercoordinationacrossfunctional

departments

Aidsinthedevelopmentofgeneralma

nagement.

49

GEOGRAPHICAL

TYPE-DIVISIONALDEP

ARTMENTATION

[CONTD.]

Disadvantage

Requiresmorepersonswithgeneralmanagerabilities

Tendstomakemaintenanceofcentralservicedifficultandma

requireservicessuchaspersonnel/purchas

ingatlocallevel

Increasedproblemoftopmanagementcontrol

Encouragescompetitionforresources

Tendstolessen

topmanagementcontrol

50

CENTRALIZATION

Itisaconditionwhereinmuchofthe

decisionmaking

authorityisretainedatthetopofthe

managerialhierarchy.

Advantaes

Broadoverviewofbusinessiseasiertoachieve

Strategicdirectionsettingiseasier

vesa

soue

cearconro

Makesadministrationeasier

Commonstandardscanbefixed

Providescertainexpertfunctionscosteffectively

Conflictingdecisionsareeasiertoavo

id

.

51

DECENTRALIZAT

ION

Itisaconditionwhereinmuchofthedecisionmaking

authorityispush

eddownwardtothelowermanagementlevel.

Advantaes

Localmanagem

entcanreacttochanginglocalconditionssothat

businesscanac

tquickly

,

understandingoflocalconditions

Greaterlikelihoodofinnovation&creativity

makeshealthier

Localresponsib

ility&authorityeffectivema

nagerialskill



14/34

DECENTRALIZATION[CONTD.]

Higherinvolvement&motivationgreaterproductivity&profit.

Reducedburdenofadministrativepap

erwork

Leaner&easierfunctionaldeartmen

tcontrol.

53

AUTHORITY,RES

PONSIBILITY&DELEGA

TION

Authorityisleg

al,orrightfulpowerthatgivesarightto

commandortoa

ct.

Sourcesofauthorit:

Formalauthoritytheory

Acceptancethe

ory

espons

ys

ano

gaonoeperorm

e

ysuornae

ofthesaiddutiessetbytheauthoritativesu

perior.

ResonsibilitCANNOTbedeleated.

Principleofdele

gation

Functionaldefin

ition;Scalar;Authority-level;Unityofcommand;

.

54

MISTAKES

INORGANIZATION

Failureto

planproperl

Failureto

clarifyrelationships

Failureto

balancedelegation

Confusion

oflinesofauthority/informatio

Authority

withoutresponsibility

Responsibilitywithoutauthority

areessappcaonosa

evce

Misuseof

functionalauthority

Misuseof

servicedepartment

Over-orga

nizing

55

ORGANISATIONA

LCULTURE

Theacceptedw

ayofthinking,feeling,and

actinginan

organization

Sharedbeliefsaboutwhatisimortantand

howthinsare

done

Aninterdependentsetofvaluesandwaysofbehavingthat

Socialforcesth

roughwhichpeoplelearnn

ormsandvalues.

Theyarerewardedwhentheyacceptthemandostracized

whentheydonot.

Whatgoesonaroundhere



15/34

ORGANIZA

TIONALDEVELOPMENT

Itincludesresearchtoascertainthe

psychologicalhealthof

theorganization.

Accomlishedusin

eriodicemlo

eesurve.

Ittacklestheorganizationfor:

Absente

eism

Lowproduction

Interpersonalconflict

Resistan

cechange.

DomOC Sraee

PoemRto

Ogzao

Das

F

Inevo

Mem

57

&Euo

58

STAFFING

Unit2.3

PERSONNELMANAGEMENT

HumanResourceManagement(HRM

)

Integral

Distinctivepartofmanagementconcernedwith

eoleat

workrelationshiwithintheoranization.

Success,

growthanddynamicsofan

organizationdepends

ondevelopmentofHR.

HRunlim

itedpotentialgrowth&p

erformance.

Developm

entofHRdependsonp

roviding,sustainingand

continuou

sanalsisofthefollowin:

Safe&c

omfortableworkcondition.

Decent&competitivewages&incentives

Training

&development.

59

SYSTEMSAPPRO

ACHTOSTAFFING

Enterpriseplans

arethebasisofstaffin

Organizationpla

nsprovideakeytostaffing

needs

.

Managementinventoryisdeveloped.

Recruitment,selection,placement&productionisensured.

Managersareap

praised.

Provisionoftraining&developmentisensu

red.

eang

conrongunconsarecarreo

u.



16/34

SYSTEMSAPPROACHTOSTAFFING

EXTERNALENVIRONM

ENT

Enterprise

Plans

Leading&

Controlling

Organization

Plans

Appraisal

Career

Strategy

Training

&

Development

INTERNAL

ENVIRONMENT

Number

&

Kindso

f

Managers

Require

d

Analysisof

External

Source

Requirement

Manager:

Inventory

resen

FutureNeeds

forManagers

Internal

eecon

Placement

Promotion

Separation

61

ESTABLISHINGO

RGANIZATIONSTRUCTURE

Developmentof

structuralguidelines.

Structureappropriatecompatibleexternalenvironment.

Structureconsistentsu

ortiveoa

Structureaccommodatediversity

Jobdesigningdetermineindividualwork

responsibility.

Groupjobslogicalarrangemen

Jobcontent(intrinsic)Motivationalfactor.

Jobcontexte

xtrinsicexoenous.

62

RECRUITM

ENT&SELECTION

JobDescriptio

Applicatio

nforms

Interviewing

Physicalexaminatio

Induction

/orientation

63

INDUSTRIALLAW

TheEmploymentExchangesAct,1959.

TheContractLabourAct,1970.

,

.

ThePaymentofWagesAct,1936.

TheMinimumWa

gesAct,1948.

ThePaymentofGratuityAct,1972.

TheEmployees

ProvidentFunds&Miscella

neousProvisions

,

.

TheEmployees.StateInsuranceAct,1948.

TheMaternitBenefitAct,1961.



17/34

CONCEPT

OFHRD

HRDisaprocessbywhichemployeesofanorganization

arehelpedinacontinuous&planned

wayto:

Acuire

/sharencaabilitiesreuiredtoerformvarious

functionsassociatedwiththeirpresen

t/futurerole.

Develop

theirgeneralcapabilitiesasindividuals&discover/

exloittheirinnerotentialfortheirown/oranizational

developmentpurposes.

Develop

anorganizationalcultureinw

hichsupervisor-

subordinaterelationshis,teamwork,

&collaborationamonsub-

unitsare

strong&contributetoprofes

sionalwellbeing,

motivation,&prideofemployees.

65

CONCEPTSOFH

RD[CONTD.]

NeedforHRD.

GoalsofHRD.

.

HRDsubsystems

Performanceap

praisal

Potentialappraisal&development

Feedback&per

formancecoaching

Training

Organizationaldevelopment(OD)

mpoyeewea

re

HRinformation

Qualityofwork

life

66

DESIGNINGANINTEGRATEDHRDSYSTEM

Focus

Adaptation&changeinorganizationc

ulture

Contextualfactors

Building

linkageswithotherfunctions

Specialization&diffusionoffunctions.

rucure

o

ysem

EstablishingtheidentityofHRD

Ensuringrespectabilityforfunction

Balancin

gdifferentiation&integration

Establishinglinkagemechanisms

67

DESIGNINGANINTEGRATEDHRDSYSTE

M[CONTD.]

FunctioningofH

RDSystem

Buildingfeedba

ck&reinforcementmechanisms

Balancin

uantitative&

ualitativedecisions

Balancinginternal&externalexpertise

Planningforevo

lutionofHRD

eograpcap

asng

Verticalphasin

g

Functionalpha

sing

opscaon

pasng



18/34

69

LEADING

Unit2.4

SUPERVISION&

LEADERSHIP

Supervision

Close

General

Leadership

Itisinterperson

alinfluenceexercisedinordertoguidepeople

.

Traits

Selfconfident;wellintegrated,&emotionally

stable

Responsible&c

ompetentinhandlingnewsituation

Identifygoals&

valuesofgrouptheylead

,

,

,

suggestions

Intelligentinrelationtoothergroupmembers.

70

LEADERSH

IP

LeadershipStyles

Autocratic

Particiative

Free-reignleader

Morale

Self-con

fidence

Improving

Morale

Deleatinower

Groupdecision

Jobrotation&relievingmonotony.

71

AUTOCRATICLEADERSHIP

Giveordersfore

verything(onewaycommu

nication)

Nofreedomofw

orkforsubordinates.

Iwbhoyoto..



19/34

AUTOCRATICLEADERSHIP[CONTD.]

Merits

Itpermits

quickdecision-

makina

sonloneerson

Demerits

Ma

yleadtoerrorsand

misunderstandins

decides

Canbeus

edincrises

Developshatredamong

wo

rkers

availableisshortand

peoplearemotivated.

73

PARTICIPATIVEL

EADERSHIP

Thisstyleinvolvestheleaderincludingoneormore

employeesinthe

decisionmakingprocess

Theleadermain

tainsthefinaldecisionmakinauthorit.

Lswktohtosovths..

74

PARTICIPATIVELEADERSHIP[CONTD.]

Merits

Leaderge

tsmorerespect

amonem

loees.

Demerits

Knowledgeableandskillful

em

loeesareneeded

Leaderis

notexpectedto

knoweverything

Itimprove

scoordination

andcanm

akebetter

decisions.

75

FREEREIGNLEA

DERSHIP

Theleaderallow

stheemployeestomaketh

edecisions.

However,thelea

derisstillresponsibleforthedecisionsthat

aremade.

76

YtwtaceothpoemweIg..



20/34

FREEREIG

NLEADERSHIP[CONTD.]

Merits

Veryhigh

motivationand

emloee

involvement.

Demerits

Em

ployeesShouldbeable

toanalzethesituationand

Maximum

freedomto

employee

s.

determinewhatneedstobe

doneandhowtodoit.

em

ployees.

77

78

DECISIONMAKING

Unit2.5

DECISION

MAKING

Definition

ManagerialDecisionMakinginvolvesanentireprocessof

establishingthegoals,designingtask

s,searchingforalternatives

&develo

pingplansinordertofindthe

bestsolutiontothe

decision

problem.

Element

Decision

Maker

Decision

Problem

Objectiv

eofdecisionmaker

Availablealternative

Expectedoutcomefromalternative

Finalselectionofalternative

79

CHARACTERISTIC&NATURE

Characteristics:

Selectsbestpossiblealternative

Rationalroces

sofa

linintellect.

Goaloriented

Relatedtoenvironment

ecsonsenprouc.

Nature

Maintaingroupeffectiveness

Choosesfromb

estalternative

Requiresforeca

sting

Ifnotasexpectedthenthedecisionitselfisw

rong.



21/34

DECISION

MAKINGPROCESS

Definingt

heproblem

Classifyin

gobjectives

Modelbuilding

Evaluatingresults

Takingfin

aldecision

Feedback

/followingupthedecision.

81

TECHNIQUES

ScientificManag

ementTechniques

HumanRelation

Techniques

FinancialTechniques

MathematicalModelTechniqu

DecisionTheory

Technique

DecisionSupportSystemTechnique

82

CLASSIFIC

ATION

Organizational&Persona

Routine&

Strategic

-

Policy&O

perative

Individual&Group

Major&M

inor

Long-term

departmental&Non-econ

omic.

83

SELECTIONOFA

LTERNATIVES

Base

Mangermaysometimesanalyzethepros&co

nsofanalternative

solelybasedon

theirworkexperience.

Decisionmadeonthebasisofexperimentatio

n(reallike

situation)-very

effective.

Researchiswid

elusedformakindecisionmaorcomlex

issues.

EvaluatingCriteria

Flexibilityofpla

ns

Certaintyofgoals&premises

Humanimpact



22/34

85

CONTROLLIN

G

Unit2.6

CONTROLPROC

ESS

Measuringperformanc

Comparingperformancewithstandard,and

ascertainingthe

differenceifan

.

Correctingunfav

orabledeviationbymeans

ofremedial

action.

86

TYPESOFCONTROL

PreliminaryContro

Occursbeforeexecutionofplannedactivities&includes

developmentofpolicies,procedures,rulesthataredesignedto

ensurep

lannedactivitieswillbecarriedoutproperly.

ConcurrentControl

.

directing,monitoring,&finetuning.

Feedback

Control

ccursaerexecuonopanneac

ves.senormaon

aboutpr

eviousresultstocorrectposs

iblefuturedeviationfrom

acceptablestandards.

87

CONTROLATOR

GANIZATIONALLEVEL

TopLevelManag

ement

PreliminaryCon

trol

FeedBackControl

LowLevelManagement

ConcurrentCon

trol

AnticipatoryControl

Quantity

Timeuse

os



23/34

INFORMAT

IONFORPERFORMANCEMEASUREMENT

Informationforperformancemeasuremen

Criticaldecisionmaking

Disadvantage

Doesnotprovideaccuratequantitativevalues,information

.

Itistime

consuming,micromanageme

nt.

Directcontactislimited.

OralRepo

rts

WrittenReports

89

MANAGEMENTA

UDITS

ExternalAuditoutsidetheboundariesoffirm.

Merger/Acquis

itionoffirms

Su

lier

Competitorsindustrialespionage

InternalAuditInsidetheboundariesoffirm.

Improveplannin

gprocess&internalcontrols

ystem.

Reviewspast,present&futureperformance.

MeritsofAudit

Checkonnewp

olicies&practicesforbothsu

itability&

compliances.

.

Ensurebetteruseoforganizationalunits.

90

MANAGEM

ENTAUDITS

Improve

communication.

Measure

effectivenessofmanagerialcontrol.

Determinereliabilitofdatadeveloed.

IdentifyingAuditAreas

Unnecessarywork&duplicationofwork;

oornvenoryconro;

imprope

rnumberofemployees;

unecono

micaluseofequipments&wa

stefuluseofresources;

Costlier

procedures.

91

AREASFOROVE

RALLCONTROLLING

Marketstanding

ofenterprise

Innovation

Profitabilit

Materialsacquisition&use

Employeeperfo

rmance

Productivity

Physicalresources

Publicresponsibilit

Reports

Profit&LossStatement

SpecialReport



24/34

PREVENTIVECONTROL

Principl

Qualifiedmanagersmakeminimumerror.

Manaementconcetrincilestech

niuesareuseful

diagnosticsstandardinmeasuringma

nagerialperformance.

Applicationofmanagementfundamen

talscanbeevaluated.

Greater

accuracy

Accelerateeffectivecorrectiveaction,avoiddirectmanagerial

control.

Improve

thepsychologicalmindsetof

subordinates.

93

94

PRO

DUCTIVITY&OPERATIO

NS

Unit2.7

OPERATIO

NSMANAGEMENT&PRODUCTIVITY

Operation

sManagement:

Improve

productivityimprovesfinancialhealth.

Helmeetcustomerscometitiveriorities.

Productiv

ity:

Measure

ofhowwelltheresourcesareutilizedtogetthe

maxmumoupu.

Optimum

utilizationoffinputresource

ssoastoachievemaximum

satisfactionwithminimumeffort&exp

enditure.

Productio

n&Productivity

Productionvaluetheoutputinterms

ofnumber.

Productivitefficiencofthesstem

usedforroduction.

95

FACTORSAFFEC

TINGPRODUCTIVITY

ExternalFactors

Capitalavailability

Naturalresource

Taxation

Laws&restrictionimposedbyGovernment

ompe

onn

emare

Technical&othertrainingfacilities

Political,social,&economicconditions

Availabilityofw

ater,power,&otherinputs.



25/34

FACTORSAFFECTINGPRODUCTIVITY[CONTD.]

InternalFactors

Product

design

Inutma

terials

Technologicaldevelopment&innovations

Plantlay

out

aera

an

ngecnquesu

ze

Workstu

dy

Methodstudy

Inspection&qualitycontrol

Productionplanning&control

Manaementtechniuesused.

97

PRODUCTIVITYTERMS

ProductivityRatio

98

PRODUCTIVITYMEASUREMENT

Itcanbeimprovedby:

Changesinproductdesign

Propertraining&motivationofworkers

Betterm

aterialplanning&control

Availabilityofalternativelowcostmat

erial.

99

PRODUCTIVITYMEASUREMENT[CONTD.]

Itcanbeimprovedby:

Providingtrainingtoworkerstoutilizebestmethodofproduction.

Selectingsuchproductdesign&processofm

anufacturethat

ensuresmosteconomicuseoflabour.

Constantmotivationofworkersthrouhfinancial&non-financial

incentives.

Byboostingmoraleofemployees.

..



26/34


Itcanbeimprovedby:

Makingrationalbuy/makedecisions.

Betterutilizationofcapitalresourceslikeland,building,&

machine

s.

Adotin

modernmanufacturintechniues,likeflexible

manufac

turingsystem,improvedtechniquesofmaintenance&

properp

lantlayoutetc.

101


Itcanbeimprovedby:

Preventivemain

tenance.

Utilizationofpropermachineparameterslike

speed,feed,&

dethofcostetc.

Useofrequisite

skilled&properlytrainedlabour.

Methodstudy.

102


103

REASONSFORLOWPRODUCTIVITY

DefectsinDesignofProduct:

Baddesignofp

roductpreventsuseofmoste

conomicproduction

technique.

LackofProductstandardizationpreventsutilizationofefficient

productionproc

ess.

Incorrectualit

standardscauseunnecessarwork.

Duetofaultydesignexcessmaterialremovalrequirementis

involved.

Wrongmachine

used.

Processnotoperatedcorrectlyorinbadcondition.

Improper/badlayoutcausingexcessivemovement.

Operatorsbadworkingmethod.



27/34

REASONS

FORLOWPRODUCTIVITY[CONTD.]

MismanagementofTimeonAccount

ofManagement:

Excessiveproductvarietyandlackof

standardizationaddsidle

timedue

toshortruns.

Badplanningofwork&ordersaddsid

letime,labour,&machine.

Lackofrawmaterialduetopoorinven

torycontrolresultsinidle

men&m

achine.

Frequen

tplantbreakdowncauseinter

ruptionsinproduction.

Plantinbadconditionaddstounproductivetimeduetoscrap&

.

Badwor

kingconditioninplantforcela

bourersformorerest.

105

REASONSFORLOWPRODUCTIVITY[CONTD.]

Lackofmotivation&lowmoraleresultsindecreaseof

productivity.

Badplanningin

distributionofcapitalleadstoexpenditureon

dispensablepersonnel&equipment.

MismanagementonAccountofWorkers:

Latecominidleness&deliberateslowworkinaddsto

unproductivetime.

Carelessworkm

anshipcauseslotofscrap,re

work,&poor

.

Accidentdueto

carelessworkers.

106

FACTORSAFFECTINGPRODUCTIVITY

Manpowe

r

Equipmen

t&Machines

Time

FloorArea/Space

Power/Energy

Finance

ovemen

o

en

acnes

107

TECHNIQUESTO

IMPROVEPRODUCTIVITY

Taskbasedtechnique

Productbasedtechnique

Materialbasedtechnique

Employeebased

techniqu



28/34

CONTRIBU

TORSTOPRODUCTIVITYIMPROVEMENT

HumanRelation

Adoption

ofLatestTechnology

CostControl

ProductS

implification&Standardiza

tion

ProperPlanning,Loading,&Scheduling

Supervision

109

OPERATIONSMA

NAGEMENT

StepsinOperationsManagemen

Selecting

Desinin

Operating

Controlling

pang

110

PRODUCTIONPLANNING&CONTR

OL

Phasesin

ProductionPlanning

Routing

Dispatching

Inspection

Expediting/Followup

111

112

INDUSTRIALSAFETY

Unit2.8



29/34

DEFINITION

Whatisin

dustrialsafety?

Measure

sortechniquesimplemented

toreducetheriskofinjury,

lossand

dangertopersons,propertyortheenvironmentinany

facilityo

rplaceinvolvingthemanufacturing,producingand

processingofgoodsormerchandise.

113

HAZARDSINAN

INDUSTRY

Hazardsisasitu

ationthatpossesalevelof

threattolife,

health,property

orenvironment

Possiblehazardsinanindustrialenvironme

ntareasfollows:

ChemicalHazards

ElectricalHazards

ecancaaz

ars

FireHazards

114

CHEMICAL

HAZARDS

Chemicalsarehazardousbecauseoftheirfollowing

attributes

:

Toxic

Corrosiv

e

Irritant

Mutagen

ic

115

EFFECTOFCHEMICALSONEXPOSURE

Industrialworkersmaybeexposedtochem

icalsinliquid,dust

orvapourformthroughdirectcontact,inhalationor

ingestion.

CMC

EC

Chlorates,hypochlorites,

hydrogenperoxide

and

permanganates

Dermatitis.

Phenols,cresols,a

nd

chlorinatedaceticacid

Burnsaswell

assystemicpoisoning.

Benzene

Leukemia

Zincsalts

Skinandeyedamage

Causticsoda

BlindnessandRespiratorydamage

116



30/34

SAFETYMEASURESTOBEADOPTED

Personalprotectivecloth.

Leakproo

fconnections.

.

Flammable&explosivechemicalsproperdistancecriteria

shouldbe

followed.

Pressureregulatorsandreliefvalves

.

Allmaterialsshouldberesistanceto

chemicals.

.

117

SAFETYWARNIN

GSYMBOLSFORFIREH

AZARD

118

ELECTRICALHAZARDS

CeL(nmame

PoeEeoHmB

1 5

Slighttinglingsensation.

Slihtshockfeltnotainfulbut

6-30

disturb

ing.

Painfulshock,muscularcontrolis

lost.

-

1000-4300

xrem

epan,respraoryarres,

severe

muscularcontractionand

deathispossible.

Muscularcontractionandnerve

10,000

damage.Deathismostlikely.

Cardiacarrest,severeburnsand

probab

ledeath

119

CAUSESFORELECTRICALACCIDENTS

Themostfrequentcausesofelectricalinjury/deathare:

Contactwithpo

werlines.

Pathtoroundmissinordiscontinuous.

Equipmentnotusedinmannerprescribed.

Improperuseofextensionandflexiblecords.



31/34


Properinsulation.

Appropria

tegrounding.

.

Providing

circuitprotectionservices.

Recheckingthelinesandequipmentseveryday.

Extracareshouldbebestowedonoverheadelectricalwires. 1

21

MECHANICALHAZARDS

Reasons

Insecurelyfixed

machines.

Wornandtorn

arts.

DangerousParts.

Negligence.

mpropermanenanceoequpmen.

122

APPROPRIATESAFETYMEASURES

Allmachinerymustbefencedormec

hanicalinterlocking

shouldbe

provided.

Machineshouldbefittedwithemerencshutdownsstem.

Turnkeysystemforcleaningandfor

repairing.

Controlsystemoverrideshouldbem

onitored.

Operatormusthaveasafedistancefromthemachine.

123

FIREACCIDENTS

Electricalsystem

sthatareoverloaded,resultinginhotwiring

orimproperconnections,orfailedcomponents.

Combustiblesto

raeareaswithinsufficientrotection.

Combustiblesne

arequipmentthatgeneratesheat,flame,or

sparks.

Flammableliquids.

Heatingappliances-furnaces,boilers.

Electricalwiring

inpoorcondition.



32/34


Properem

ergencyexits.

Installatio

noffiresensingequipments.

.

Safestorageofcombustiblematerialsagainstheatand

electricity.

Containm

entoffirewithintheheatingequipmentand

providing

necessarytemperaturesensorsandcontrollers.

.

Traininge

mployeesonthesafetymeasuresthatshouldbe

followedduringfirehazards.

125

126

COREFUN

CTIONSOFSAFETYMAN

AGEMENT

DefinetheScopeofWorkWhatisthejob?

AnalyzetheHazardWhatsafetyha

zardsarepresentor

ossible?

DevelopandImplementHazardControlsHowcanthisjob

beperformedsafely?

PerformWorkwithinControlsDonttakechances,cut

cornersorrushtofinishajob.

ProvideforFeedbackandContinuou

sImrovementMakea

noteifthejobcould.

127



33/34

ROLESOF

ASAFETYPERSONNEL

SafetyOfficer

isresponsibleformonitoringandasse

ssinghazardousand

unsafes

ituationsanddevelopingmeasurestoassurepersonnel

safety.

willcorrectunsafeactsorconditionsthroughtheregularlineof

authority.

mayexerciseemergencyauthoritytopreventorstopunsafeacts

whenim

mediateactionisrequired.

maintain

sawarenessofactiveanddeveloinsituations.

ensures

theSiteSafetyandHealthPla

nispreparedand

impleme

nted.

.129

MERITSOFINDU

STRIALSAFETY

Asaferworkplac

eisensured.

Improvedproductivity.

.

Avoidinglawsuits.

Preventingthecostincurredduetopropert

ydamage.

Abetterunderst

andingoftherisksinvolved

inthework

scenario.

130

SAFETYLE

GISLATIONS&AWARDS

Laws:

TheFac

toriesAct,1948

MinesAct1952

DockWo

rkers(Safety,Health&Welfare)Act,1986.

InsecticideAct,1968.

.

SafetyAw

ards:

NationalSafetyAwardsforfactoriesanddocks

NationalSafetyAwardsformines

Vishwak

armaRashtriyaPuraskar

131

CONCLUSION

Toconclude,the

conceptofindustrialsafet

yhascreatedan

awarenessamongtheemployers,regarding

theirrolein

furnishingasecureworkenvironmentforth

eemployeesand

itiswidelyviewe

dasaninvestmentthatwouldpreventthe

companyfrombeingliableforthelossesandsufferingfrom

roertdevastations.



34/34

ENC

ES

dKo

ontzandHeinzWeihrich,Essentialsof

gem

ent,McGrawHillPublishin

gCompany,Singapore

atio

nalEdition,1980.

vind

arajanandS.Natarajan,PrinciplesofManagement,

iceHallofIndiaPvt.Ltd.,NewDelhi,2007.

133


unit 2 functions of management 4spp

Documents