1.

Introduction to Management
MGT 1131_Principles of Management
Batch 24.1

Ms. Aushadharie Kaushalya

Department of Management

NSBM Green University - Department of Management

(V#04_March 2024)
1
Introduction to Management
Lesson 01
Learning Outcomes

At the end of the session, students

should be able to,
• Identify the key concepts of
management
• Explain the difference between
efficiency and effectiveness and their
importance for organizational
performance
• Explain the process of Management
• Identify the roles and skills of
managers
• Define organizations and reasons for
existence of organizations
Managemen
t is…
• Management is the process of
getting things done effectively
and efficiently with and through
the efforts of others.
• Coordinating and overseeing
the work activities of others so
their activities are completed
efficiently and effectively.
• Use of resources to accomplish
goals.
• Managers are responsible for
the accomplishment of goals.
Efficiency Vs.
Effectiveness
The process of getting things done,
effectively and efficiently, through and with
other people.
• EFFICIENCY
• Doing the thing correctly; refers to
the relationship between inputs and
outputs; seeks to minimize resource
costs; getting the most output from
the least amount of inputs
• EFFECTIVENESS
• Doing the right things; doing those
work activities that will result in
achieving goals; goal attainment
EFFICIENCY
• It refers to the getting the most output from the least
number of inputs or resources.
• Managers deal with scarce resources (ex: people,
money and equipment) and want to use those resources
efficiently.
• Efficiency is often referred to as “doing things right”,
that is, not wasting resources.
• Hon’s (office equipment manufacturing company –
Georgia) efficient work practices paid off, as the facility
cut expenditures by more than $7 million in a single
year.
• …………………………………………………………………….
• …………………………………………………………………….
• …………………………………………………………………….
EFFECTIVENESS
• Management is also concerned with employee effectiveness.
• It is often described as “doing the right things”, that is, doing those work
activities that will result in achieving goals.
• At the Hon factory, goals included meeting customers’ rigorous demands,
executing world-class manufacturing strategies, and making employees’ jobs
easier and safer.
• Through various employee work initiatives, those girls were pursued and
achieved.
• Whereas efficiency is concerned with the means of getting things done,
effectiveness is concerned with the ends, or attainment of organizational
goals.
• In successful organizations, high efficiency and high effectiveness typically
go hand in hand.
Four Functions of
Management
Who is a Manager?
• A manager is someone who coordinates and
oversees the work of other people so that
organizational goals can be accomplished.
• A manager’s job is not about personal
achievement, it is about helping others do their
work.
• Coordinating the work of a departmental group
• Supervising a single/ more employees
• Coordinating the work activities of a team with
people from different departments or even
people outside the organization such as
temporary employees or individuals who work
for the organization’s suppliers.
Who are
Managers?
Every organization has 2
types of employees;
• Managerial
• Non- Managerial

Levels of Management
• Top Management
• Middle Management
• Front line management
How
Managers
are
Organized
Levels of
Management
• The most common view considers three basic levels
of managers.
TOP-LEVEL MANAGERS
• They are responsible for managing the overall
organization.
• Major decisions related to the organization are made
by them.
• Top managers establish plans, goals, overall
strategy, and operating policies.
• They are mostly interrelated with the external
environment.
• Different titles are used for them. (Example:
President, CEO, Managing Director, COO, etc.)
Management Levels cont.…
MIDDLE-LEVEL MANAGERS
• They implement the policies and plans developed
by the top managers and supervise & coordinate
the activities of first-line managers.
• Traditionally we find more middle level managers
in organizations, but with the recent trend of
‘downsizing’, there is a greater removal of
managers from this level.
• Common titles: operations manager, marketing
manager, regional manager, project manager,
store manager, division manager
Management Levels cont.…
FRONT-LEVEL MANAGERS/ FIRST-LINE
MANAGERS
• The lowest level of management
• Supervise and coordinate the activities of operating
employees/ non-managerial employees (producing
products or providing services for organization’s
customers.
• The relative importance of these skills may differ according
to various levels in the organizational hierarchy,
• e.g. Technical skills are of greatest importance at the
supervisory level, while conceptual skills are more
important at the top level
• Common titles are supervisor, coordinator, shift manager
Managerial
Skills
The ability to analyze and
CONCEPTUAL diagnose a situation and
SKILLS distinguish between cause
and effect.

The ability to understand,

HUMAN alter, lead, and control the
SKILLS behavior of other individuals
and groups.

The specific knowledge and

TECHNICAL techniques required to
SKILLS perform an organizational
role.
Management As a manager moves from supervisory/front line to top-
management, conceptual skills become more important
Skill than technical, but human skills remain important across
Continuum all levels of management.
What Do
Managers Do?
MANAGEMENT ROLES APPROACH (HENRY
MINTZBERG)

Interpersonal roles
• Figurehead, leader, liaison

Informational roles
• Monitor, disseminator, spokesperson

Decisional roles
• Disturbance handler, resource allocator,
negotiator, entrepreneur
1.
Interpersonal
Roles
• Roles that managers assume to provide direction and
supervision to both employees and the organization as a
whole:

• Figurehead—symbolizing the organization’s mission

and what it is seeking to achieve.
• Leader—training, counseling, and mentoring high
employee performance.
• Liaison—linking and coordinating the activities of
people and groups both inside and outside the
organization/department.
2. Decisional Roles
Roles associated with methods managers use in planning strategy and
utilizing resources:
• Entrepreneur—deciding which new projects or programs to
initiate and to invest resources in.
• Disturbance handler—managing an unexpected event or crisis.
• Resource allocator—assigning resources between functions
and divisions, setting the budgets of lower managers.
• Negotiator—reaching agreements between other managers,
unions, customers, or shareholders.
3. Informational Roles

• Roles associated with the tasks needed to

obtain and transmit information in the process
of managing the organization:
• Monitor—analyzing information from both the
internal and external environment.
• Disseminator—transmitting information to
influence the attitudes and behavior of
employees.
• Spokesperson—using information to positively
influence the way people in and out of the
organization respond to it.
Where do
managers
work?
What is an Organization?

• An Organization Defined

A deliberate arrangement of people to accomplish some specific purpose (that individuals

independently could not accomplish alone).

• Common Characteristics of Organizations

• Have a distinct purpose (goal)
• Composed of people
• Have a deliberate structure
Organization • In a system there are some sets of
interacting components.

as a System • The interactive behavior of those

components put them together to form an
integrated whole.
• Those interactions among the elements
take place within a certain boundary.
• Those elements interact and form an
integrated whole to achieve some goals
common to all.
Activities of a Business
Nature of Management
i. Management is a Science
• Management is explained as a science, a profession, and an art. Let us
examine why we describe management in this manner.
• Many management issues and problems can be approached in ways that
are rational, logical, and systematic.
• Managers can gather data and information and use quantitative models
and decision-making techniques to arrive at correct decisions.
• When dealing with relatively routine and straightforward issues, managers
use the scientific approach to solve problems.
Nature of Management
ii. Management is an Art
• Management is an art as managers often make decisions and solve problems
on the basis of experience, personal insights and sense.
For example, for solving unusual and non-routine problems requires this
personal insight and sixth sense.
•Successful managers apply the scientific methods and knowledge in their own
way to each and any given situation, issue or problem.
• Some theorists argue that knowledge gathering should be scientific and
application of knowledge should be artistic.
Nature of Management
iii. Management is a Profession
• Management is a profession as there are certain skills and knowledge
necessary for a successful manager.
• Technical and diagnostic skills are especially important in managing a business.
• Management is not a formal or traditional profession, but education and
experience are necessary for a good manager. For example, when making a
decision on centralization or decentralization of activities, or organizing activities
it should be done with specific management concepts.
• So that effective management is a mix of the above three.
Importance of
Innovation to • Success in business today demands innovation.

the • Innovation: exploring new territory, taking risks,

doings things differently

Manager’s Job • Ex: Best Buy in Manchester

• Young staff/ not always committed long
term to a retail career, needs high level of
employee training (Challenge)
• Employees to suggest new ideas
• “team close” – employees scheduled to
work at the store’s closing time, closed the
store and walked out together as a team
• Resulted in to have a remarkable impact on
employees’ attitude level and commitment
Importance of
Sustainability to
the Manager’s
Job
• World’s largest retailer – Walmart
• “cut some 20 million metric tons of
greenhouse gas emissions from its
supply chain by the end of 2015 – the
equivalent of removing more than 3.8
million cars from the road for a year”
• Reuses or recycles more than 80% of
the waste produced in its domestic
stores in other US Operations.
• This corporate action affirms that
sustainability and green management
have become mainstream issues for
managers.
As a manager,

You should have the responsibility of managing Also, you should respond strategically to a wide
business operations in efficient and effective range of environmental and social challenges
ways