Management involves maximizing productivity by using and developing people’s talent, providing self-enrichment and opportunities for growth, and allocating resources to accomplish tasks and objectives
Management is the act or skill of directing and organizing the work of a company
In the 20th Century, Peter F. Drucker became known as the father of Modern Management
Administration involves facilitating the act of organizing people and resources to achieve desired goals and purposes
Administration encompasses all activities involved in managing and organizing the affairs of a company
Leadership involves providing facilitation or guidance in organizing people and resources to achieve desired goals and purposes, as well as the ability to influence others
Managers are individuals formally appointed to positions of authority in organizations
Technical skills refer to the ability to apply methods, processes, and techniques of managing
Conceptual skills involve the mental ability to see how various factors fit together and interact
Human relations skills include cooperating, understanding, motivating, and leading workers
Organization refers to an administrative and functional structure, personnel within that structure, and an organized body of people with a particular purpose
The process of organization involves determining and classifying a firm’s activities, grouping activities into workable departments, assigning authority and responsibility, developing relationships, and framing policies for coordination
Management consists of interrelated social and technical functions and activities to accomplish organizational objectives using people and resources in a formal setting
The main elements of management include interrelated social and technical functions, achieving objectives using people and resources, and performing processes in a formal organizational setting
Benefits of planning include improving focus, flexibility, action orientation, coordination, time management, and control
Organizing is the process of identifying and grouping work to be performed and delegating responsibility, authority, and establishing relationships to enable effective work towards objectives
Key concepts in organizing include authorization, impact, responsibility, power, and accountability
The process of organizing involves:
identifyinganddiscussing work - avoids redundancy
departmentalization - work classification
assignmentoftask - according to skills, competencies , and qualifications
establishingorganizationalhierarchy - awareness on whom to report
provisionofresourcestomembers - arrangement of resourceses
coordinatingofeffortsandschedulingofactivities - logical and systematic matter
Types of Organization Structure
LineOrganization - oldest and simplest form or organization
Disadvantage - first-level managers or employees may feel they do not have any power in improving the organization
Types of Organization Structure
Functional Organization - organizations are divided into specialized groups with specific roles and duties
Advantage - employees grouped by skill
Disadvantage - management issues
Types of Organization Structure
Line-and-Staff - modified line organization
General Staff - ordinary employees that assists the senior managers
Specialized Staff - experts that offer services to the organization
Types of Organization Structure
Divisional Organization - organization that groups units within the organization around the geographic location, product, and customer types; self contained structures
Types of Organization Structure
Virtual Organization - recent development that involves personnel across different location; can also be called as: Digital Organization, Network Organization, Modular Organization
Management Functions
Planning - the first step in managing and involves environmental scanning
Organizing - develops intentional patterns of relationships among staff and other resources
Staffing - acquiring, maintaining, retaining human capital
Directing - managers initiating actions
Controlling - managers control by comparing actual and desired results
3 Types of Managers
Senior Manager (ex. Leader of organizations)
Middle Manager (ex. Deans of colleges)
First-Level Manager (ex. Small business managers)
Steps of Strategic Planning
Organizing and Selecting a Strategic Planning Team, Including Stakeholders
Stakeholders - affects by the organization's operation; two types
Internal - direct relationship with the business (example: investors, trade unions, creditors)
External - persons/organizations affected in the business' operations (example: community, customers)
Government can be both a Internal and External stakeholder
Steps of Strategic Planning
2. Identifying the Organization's Strategic Direction
Mission - defines why an organization exists and its purpose
Vision - captures an organization's aspiration organization’s aspiration
Core Values - what values should guide the operations of our company?