3. Module No. 1 – Historical development
• Define Management
• Science or Art
• Management and Administration
• Development of Management thoughts
• Contribution of Taylor and Fayol
• Functions of Management
• Types of Business Organization
• Business Ethics and Social Responsibility
• Shift to Ethics and Tools of Ethics
4. Definition of Management
• Management can be defined as a process of
“ getting things done through the efforts of
others”.
• “Getting work done with least expenditure of
time, money and efforts”
5. Orientation of Defining Management
1. Production Oriented
2. Decision Oriented
3. People Oriented
4. Function Oriented
6. Production Oriented Definition
Taylor Defined “ Management is the art of
knowing what you want to do and then
seeing that it is done in the best and
cheapest way”
7. Decision Oriented Definition
“Management is simply the process of
decision making and control over the action
of human beings for the expressed purpose
of attaining pre-determined goals.”
8. People Oriented Definition
“Management is the accomplishment of
results through the efforts of other people.”
9. Function Oriented Definition
“Management is a process involving
planning, organising, staffing, directing, and
controlling human efforts to achieve stated
objectives in an organisation.”
11. Approaches
1. Administration is above Management
2. Administration is a part of Management
3. Management and Administration is Same
12. Administration is Above Management
TOP
Administration
(Policy Formulation)
Organizational
Level
Management
Lower (Policy Execution)
Functions in Organization
13. Administration is Above Management
SR Basis of Difference Administration Management
No
1 Level in Organisation Top level Middle and
Lower
2 Major Focus Policy Formulation Policy Execution
3 Nature of Functions Determinative Executive
4 Scope of Functions Broad and Narrow and
Conceptual Operational
5 Factors affecting Mostly external Mostly Internal
Decision
6 Qualities required Administrative Technical
14. Administration is a Part of management
According to Brech
Administration becomes a subordinate
function to overall management functions.
Administration is concerned with day-to-day
function and is a part of management.
15. Management and Administration are same
Most Popular and Practical approach
Both involve the same functions, principles
and objectives.
16. Management and Administration are same
Board of
Directors
Presidents
General
Manager
Work Manager
Foreman
Management Functions
18. Management as a Science
1. Methods of Inquiry are systematic and
empirical
2. Information can be ordered and analyzed
3. Results are cumulative and communicable.
19. Management as an Art
1. How a particular work can be
accomplished.
2. Skill of applying principles
3. Analyse situation and make decisions
22. Early Classical Approaches
A. Scientific Management –
• Contributed by Frederick Taylor(1856-1915)
• It has developed into a movement and
dominated the industrial management
23. Early Classical Approaches
A. Scientific Management – Contribution
• Time and Motion Study
• Differential Payment
• Drastic Reorganization of Supervision
• Scientific Recruitment and Training
• Intimate Friendly Cooperation between
Management and Workers.
24. Early Classical Approaches
B. Administrative Management
• Henri Fayol (1841-1925) considered as the
Father of Administrative Management
25. Early Classical Approaches
B. Administrative Management
1. Division of work
2. Authority and Responsibility
3. Discipline
4. Unity of Command
5. Unity of Direction
6. Subordination of Individual Interest to
General Interest.
26. Early Classical Approaches
B. Administrative Management
7. Remuneration
8. Centralisation
9. Scalar Chain
10. Order
11. Equity
12. Stability of Tenure of Personnel
29. Early Classical Approaches
C. Bureaucracy
In Bureaucratic management, Delegation of
management responsibility is based on the
person‟s ability to hold the position.
30. Neo-Classical Approaches
A. The Human Relations Movement
Experiments of HR are divided into 4 Parts
1. illumination Experiment
2. Relay Assembly Test Room
3. Interviewing Programme
32. Neo-Classical Approaches
B. Behavioral Approach
Recognizes the Practical and Situational
constraint
Self direction and control instead of
imposed control.
Study leadership
34. Quantitative Approach
• Focus is on Decision making
• It facilitates disciplined thinking
• Tools and Techniques to be used.
35. System Approach
1. A system is a set of Interdependent parts
2. Central to the systems approach is the
concept of „holism‟
3. A system can be either open or closed
4. Every System has a boundary
36. System Approach
ENVIRONMENT
Input of Output of
Information Transformation of Energy Products
(Materials, en (Ideas, services,
ergy, Imports export)
ENVIRONMENT
ORGANISATION AS AN OPEN SYSTEM
37. Contingency Approach
• Management principles have no general
and universal applicability under all
conditions.
• Organisation need to be flexible and
dynamic
40. Types of Business Organisation
• Sole Proprietorship
• Partnership
• HUF
• Co-Operative societies
• Joint Stock Company
41. Sole Proprietorship
• When an individual
promotes, owns, finance, manages and
controls a business, that type of business is
known as sole traders or individual
Proprietorship
42. Joint Hindu Family
A form of business in which all members of a Hindu
undivided family do business jointly under the
control of the head of the family who is known as
the „karta‟.
Other partners of HUF are called Co – Parceners.
43. Partnership
• A partnership is an association of two or more
individuals who agrees to carry on a business
together for the purpose of sharing profits.
44. Co-Operatives
• A society which has its objects the promotion of the
economic interests of its members in accordance with
co-operative principles.
• The principle are service and not profit, co-operation
and not competition.
45. Joint Stock Company
A Joint stock company is an artificial legal
person having an independent legal entity
and joint capital divided into transferable
shares of a fixed value.
47. Contents
• Social Responsibility
• Origin and Growth of the Concepts
• Social Audit
• Business Ethics
48. Social Responsibility
• It Refers two types of business obligations
A. The Socio-Economic Obligation
B. The Socio-Human Obligation
49. Origin and Growth of the Concept
A. Idea of a welfare State
B. The changing image of business
C. Changing attitude of Businessmen
50. Different views on Social Responsibility
1. Communist View
2. Capitalist View
3. Pragmatic View
4. Trusteeship View
51. Social Audit
• A social audit is a systematic study and
evaluation of the organization's social
performance as distinguished from its
economic performance.
53. 4 Factors affecting Ethical decisions
• Government Legislation
• Business codes
• Pressure Groups
• Personal values of the Manager
54. Corporate Governance
• It is used to denote the extent to which
companies run in an open and honest
manner in the best interest of all stake-
holders.
