ORGMAN

• Management

  Planning, organizing, leading, and controlling resources to achieve specific objectives
• Management

  • Is both an art (through means of practice) and a science (through knowledge)
  • Management is a process
• Resources

  • Human
  • Financial
  • Raw materials
  • Technological
  • Information
• Human Resource


  Most important in all of the resources
• Leadership

  The foundation of Management
• 5M’s of Management

  • Man Power
  • Machines
  • Methods
  • Materials
  • Money
• Management as Science

  • Universally accepted principles
  • Has an organized body
  • Has cause & effect relationship
• Management as Art

  • Requires perfection through practice
  • Deals with the application of knowledge and skills
• Factors Influencing Management

  • Globalization
  • Technology
  • Sustainability and Corporate Social Responsibility
  • Psychology
  • Ecosystems
• The 4 Management Functions

  1. Planning

  2. Organizing/Staffing

  3. Leading

  4. Controlling
• Management uses Resources

  • Coordination
  • Efficiency
  • Effectiveness
• Resources are essential to achieve goals
• Management Aims to Achieve Objectives
• Management Aims to Achieve Objectives by Perspectives

  • Investment
  • Ethical
  • Individual Fulfillment
  • Mainstream vs Multistream
• Peter Ferdinand Drucker: '“Father of Modern Business Management”<|>Invented “MBO” and self-control<|>Austrian-born American management consultant'
• Management by Objectives (MBO)

  1. Strategic management model that aims to improve organizational performance by clearly defining objectives agreed to by both management and employees

  2. Formulated by Peter Drucker in 1950s

  3. Positive: Improves employee and management communication

  4. Negative: Can lead to a bad work culture where employees are strained to complete deadlines

  5. 6 Steps of the MBO Process: Define organizational goals, Define employee objectives, Continuous monitoring of performance and progress, Performance evaluation, Providing feedback, Performance appraisal
• LESSON 2: Types and Forms of Organization
• Organization


  Social setting composed of several groups of people who bond and work together to achieve a common purpose
• Organization as a Process

  • Involves the grouping of activities necessary to accomplish goals and plans
  • Assignment of activities to appropriate departments and provision of authority, delegation & coordination
• Organization as a Structure of Relationship

  • Refers to the structure of relationships among positions and jobs created to achieve certain objectives and goals
  • Mechanism developed by management to unite the efforts of people to realize set objectives
• Business Organization Considerations

  • Size and nature of business
  • Level of control
  • Expected profit
  • Tax implications
  • Vulnerability to lawsuits
• Types of Organizations
• Business Organization

  • Form and Structure: one decision a business owner should carefully assess
  • Considerations: Size and nature of business, Level of control, Expected profit, Tax implications, Vulnerability to lawsuits
• Types of Organizations

  • Government: Agencies (Appointed by PH President), LGUs (Elected Officials)
  • Private: Sole proprietorship, Partnership/LTD Partnerships, Cooperatives, Corporations
  • NGOs (Not for profit, for public interests): Civil Society Associations, Corporate Foundations, Educational Institutions, Livelihood Enterprises
• Forms of Business Organizations

  1. Sole Proprietorship: Registered under (DTI), Unlimited liability (has to bear all the costs), One owner (complete control), Does not attract high-skilled individuals, Considered single taxpayers, Hard to get capital

  2. Partnership: Registered under (SEC), Considered a juridical person, Partners need to agree to everything, Tax is the same as a corporation, General Partnership - Unlimited liability for debts, Limited Partnership - Liability that is only up to the amount equal to their capital contributions

  3. Corporation: Registered under (SEC), Min of 5, Max of 15, Incorporation - corporation is legally established and recognized by the government, Types: Stock - has shares/dividends, Non-stock - no shares; established primarily for public interests

  4. Cooperative: Registered under (CDA), Members join via contributing membership fee overtime, Build-up share capital over time, Anonymous and duly registered association with common bond of interest, Credit Cooperative - Handles savings and lending services among its members, Consumer Cooperative - Primary purpose of which is to procure and distribute commodities to members and nonmembers, Producers Cooperative - Undertakes joint production, whether agricultural or industrial, Multi-Purpose Cooperative - Variety of services that includes credit facilities, consumer, and producer services
• Profit vs Non-profit Organizations

  • Profit Organizations - Primary objective is to maximize the wealth of its owners
  • Nonprofit Organizations - Structured on providing goods and services to their beneficiaries at minimized costs
• Formal vs Informal

  • Formal: Rests on authority/responsibilities, Has levels of powers of management, Bound by rules and policies
  • Informal: Personal relationship among members of the organization, No authority/responsibilities, Unregulated, no rules
• Types of Businesses

  • Service: 1st most lucrative, Handles performing services on customers, The biggest type of business, Examples: Transpo, Security, Utilities, Real Estate
  • Merchandising: 3rd most lucrative, Selling goods
  • Manufacturing: 2nd most lucrative, Making of goods
  • Hybrid: A combination of any of the other types of businesses
• Roles & Skills of a Manager
• Manager

  • Responsible and accountable for accomplishing specific goals/objectives
  • Larger responsibilities, in charge of making decisions for the whole organization, Long term goals, Most conceptual skill (50%), same human skill (30%), least technical skill (20%), Examples: President, VP, BoD, CEO
  • Manage the work of supervisors/members, Interpret plan and action, Middle conceptual skill (35%), same human skill (30%), middle technical skill (35%), Examples: Division Heads, Regional
  • Manage the work of members who are directly involved in the field, Implements plans, Least conceptual skill (20%), same human skill (35%), most technical skill (50%), Examples: Supervisors, Team leader
• Managerial Skills according to Rober Katz


  • Conceptual: Thinking of ideas and strategies to progress the organization
  • Human: Interpersonal skill to relate to employees, also known as people skill
  • Technical: Specific competencies needed for a job, Ex: Manager of Accounting = Graduate of CPA
• Essential Skills of the Manager

  • Communication (Human)
  • Critical Thinking (Conceptual)
  • Finance (Technical)
  • Project Management (ALL)
• 10 Roles of a Manager by Henry Mintzberg

  • Inter
• Types of skills

  • People skill
  • Technical
• Specific competencies needed for a job

  • Manager of Accounting = Graduate of CPA
• Essential Skills of the Manager

  • Communication (Human)
  • Critical Thinking (Conceptual)
  • Finance (Technical)
  • Project Management (ALL)
• Roles of a Manager by Henry Mintzberg

  • Interpersonal
  • Informational
  • Decisional
• Evolution of Management Theories

  1. Ancient Civilizations

  2. Chinese

  3. Greeks

  4. Romans

  5. Medieval

  6. Industrial Revolution (18th Century)

  7. 19th Century

  8. 20th Century

  9. Classical Management Theories
• Chinese in 1100 BC practiced the 4 basic management functions: planning, organizing, leading, and controlling
• Greeks developed a scientific approach to work, such as concepts of leadership and job specialization