org mana

• When analysing markets, a range of assumptions are made about the rationality of economic agents involved in the transactions
• The Wealth of Nations was written

  1776
• Rational


  (in classical economic theory) economic agents are able to consider the outcome of their choices and recognise the net benefits of each one
• Rational agents will select the choice which presents the highest benefits
• Rational agents


  • Consumers
  • Producers
  • Workers
  • Governments
• Consumers act rationally by


  Maximising their utility
• Producers act rationally by


  Selling goods/services in a way that maximises their profits
• Workers act rationally by


  Balancing welfare at work with consideration of both pay and benefits
• Governments act rationally by


  Placing the interests of the people they serve first in order to maximise their welfare
• Groups assumed to act rationally


  • Consumers
  • Producers
  • Workers
  • Governments
• Rationality in classical economic theory is a flawed assumption as people usually don't act rationally
• A firm increases advertising

  Demand curve shifts right
• Demand curve shifting right

  Increases the equilibrium price and quantity
• Marginal utility


  The additional utility (satisfaction) gained from the consumption of an additional product
• If you add up marginal utility for each unit you get total utility
• Studying Principles of Management in Organization is to understand its history, the managerial functions and the science behind the discipline
• The subject will start at the beginning of the civilization during the construction of the pyramids of Egypt to the invention of the steam engine that catapulted humanity to the Industrial Revolution of the 18th century
• Students are then ushered to the Classical Theories such as the Principles of Management by Henri Fayol and the Scientific Management of Frederick Taylor
• The Human Relations School of Elton Mayo of the Hawthorne Studies and Douglas Mcgregor's theory of motivation
• These events in history and the evolution of the different schools of thoughts then brought us to the Modern Management theory advocated in the 20th century by the likes of Peter Drucker
• It is also important for students to learn about business, the types of business and the day to day operations involved therein
• The different managerial functions

  • Planning
  • Organizing
  • Staffing
  • Directing
  • Controlling
• Towards the end of the course, students will be directed to the trends and future of Management
• What lies ahead amidst the globalization, digitization and the Internet, and how to equip themselves in becoming an effective manager
• The Impact of Industrial Revolution is one of the most significant event history and had a profound effect on many nations throughout the world
• Impacts of Industrial Revolution in Britain 18th century

  • Laissez-faire capitalism
  • Marxism
  • Utopia socialism
  • 20th century Labor unions
• The role of evolution on women had a profound impact on the lives of women
• Impacts of Industrial Revolution on women


  • Textile mills
  • Coal mines
  • Inventions and innovations
  • Cottage industry
• The first steam engine was invented by Thomas New come in 1712
• Scientific Management


  Focusing on the management of work and workers, Frederick Taylor is the father of scientific management
• Taylor's scientific management principles


  • Replace rule-of-thumb work methods with methods based on a scientific study of the tasks
  • Scientifically select, train, and develop each employee rather than passively leaving them to train themselves
  • Provide detailed instruction and supervision of each worker
  • Divide work nearly equally between managers and workers
• Administrative management


  Henri Fayol the first to identify management as a continuous process of evaluation
• Fayol's 5 Management Functions

  • Planning
  • Organizing
  • Commanding
  • Coordinating
  • Controlling
• Fayol's 14 Principles


  • Division of works
  • Authority and Responsibility
  • Unity of Command
  • Subordinate of individual interest to general interest
• Scientific management


  Divide work nearly equally between managers and workers, so that the managers apply scientific management principles to planning the work and the workers actually perform the tasks
• Henri Fayol


  • The first to identify management as a continuous process of evaluation
• Fayol's 5 Management Functions

  • Planning
  • Organizing
  • Commanding
  • Coordinating
  • Controlling
• Fayol's 14 Principles


  • Division of work
  • Authority and Responsibility
  • Unity of Command
  • Subordinate of individual interest to general interest
  • Remuneration of Personnel
  • Centralization
  • Scalar Chain (Line of Authority/chain of superior)
  • Stability of Tenure
  • Esprit de Corps
  • Span control
  • Simplicity
  • Unity of direction
  • Order
  • Equity
• Luther Hasley Gulick


  • Expands Fayol's five management functions into seven functions: Planning, Organizing, Staffing, Directing, Coordinating, Reporting, Budgeting
• Power


  Any relationship within which one person could impose their will regardless of any resistance from the other