MANAGEMENT LEVELS

The term Levels of Management refers to a line of demarcation between various managerial positions in an organization The number of levels in management increases when the size of the business and work force increases and vice versa. The level of management determines a chain of command, the amount of authority & status enjoyed by any managerial position. The levels of management can be classified in three broad categories:

a.) Top level / Administrative level b.) Middle level / Executory level c.) Low level / Supervisory / Operative / First-line managers

Levels of Management

http://myeasymba.blogspot.com/2010/09/management-levels-and-management-skills.html Top Level of Management ( STRATEGIC ) board of directors, chief executive or managing director is the ultimate source of authority and it manages goals and policies for an enterprise devotes more time on planning and coordinating functions WHERE WE ARE GOING AND WHY ? Long term planning

Roles of the TOP Management Top management lays down the objectives and broad policies of the enterprise. It issues necessary instructions for preparation of department budgets, procedures, schedules etc. It prepares strategic plans & policies for the enterprise. It appoints the executive for middle level i.e. departmental managers.

It controls & coordinates the activities of all the departments. It is also responsible for maintaining a contact with the outside world. It provides guidance and direction. The top management is also responsible towards the shareholders for the performance of the enterprise.

Middle Level of Management ( TACTICAL ) branch managers and departmental managers responsible to the top management for the functioning of their department devote more time to organizational and directional functions WHAT IS WORTH DOING AND WHEN? SHORT term planning

Roles of the Middle Management They execute the plans of the organization in accordance with the policies and directives of the top management. They make plans for the sub-units of the organization. They participate in employment & training of lower level management. They interpret and explain policies from top level management to lower level. They are responsible for coordinating the activities within the division or department. It also sends important reports and other important data to top level management. They evaluate performance of junior managers. They are also responsible for inspiring lower level managers towards better performance.

Lower Level of Management ( OPERATIONAL ) also known as supervisory / operative level of management consists of supervisors, foreman, section officers, superintendent etc.

according to R.C. Davis, Supervisory management refers to those executives whose work has to be largely with personal oversight and direction of operative employees. In other words, they are concerned with direction and controlling function of management. HOW TO DO THINGS RIGHT? PROMPT execution

Roles of the LOWER Management

Assigning of jobs and tasks to various workers. They guide and instruct workers for day to day activities. They are responsible for the quality as well as quantity of production. They are also entrusted with the responsibility of maintaining good relation in the organization. They communicate workers problems, suggestions, and recommendatory appeals etc to the higher level and higher level goals and objectives to the workers. They help to solve the grievances of the workers. They supervise & guide the sub-ordinates. They are responsible for providing training to the workers. They arrange necessary materials, machines, tools etc for getting the things done. They prepare periodical reports about the performance of the workers. They ensure discipline in the enterprise. They motivate workers. They are the image builders of the enterprise because they are in direct contact with the workers.

http://www.managementstudyguide.com/management_levels.htm

MANAGEMENT PROCESS
CONTRIBUTORS TO MODERN CONCEPT OF MANAGEMENT: 1.) HENRI FAYOL Father of the school of Systematic Management

father of modern operational management theory proposed that the management process was a continuum of functions that the managers must perform to ensure the smooth operations of an organization

Fayol's 14 Principles of Management 1. Division of Work / Specialization of Labour When employees are specialized, output can increase because they become increasingly skilled and efficient. 2. Authority Managers must have the authority to give orders, but they must also keep in mind that with authority comes responsibility. 3. Discipline Discipline must be upheld in organizations, but methods for doing so can vary. 4. Unity of Command Employees should have only one direct supervisor. 5. Unity of Direction Teams with the same objective should be working under the direction of one manager, using one plan. This will ensure that action is properly coordinated. 6. Subordination of Individual Interests to the General Interest The interests of one employee should not be allowed to become more important than those of the group. This includes managers. 7. Remuneration Employee satisfaction depends on fair remuneration for everyone. This includes financial and non-financial compensation. 8. Centralization This principle refers to how close employees are to the decision-making process. It is important to aim for an appropriate balance. 9. Scalar Chain Employees should be aware of where they stand in the organization's hierarchy, or chain of command. 10. Order The workplace facilities must be clean, tidy and safe for employees. Everything should have its place. 11. Equity Managers should be fair to staff at all times, both maintaining discipline as necessary and acting with kindness where appropriate. 12. Stability of Tenure of Personnel Managers should strive to minimize employee turnover. Personnel planning should be a priority. 13. Initiative Employees should be given the necessary level of freedom to create and carry out plans. 14. Esprit de Corps Organizations should strive to promote team spirit and unity.

Fayols FIVE primary functions of Management 1. Planning 2. Organizing 3. Commanding 4. Coordinating 5. Controlling

2. PETER DRUCKER introduced the concepts of Management by Objectives ( MBO )

Druckers FIVE Basic Management Operations 1. 2. 3. 4. Setting Objectives Organizing Motivating and Communicating Establishing standards or measurements of performance

5. Developing people ( including the managers ) FOUR ( 4 ) BASIC MANAGEMENT PROCESS AND FUNCTIONS http://www.introduction-to-management.24xls.com/en107 A. PLANNING B. ORGANIZING C. D. LEADING / DIRECTING CONTROLLING

PLANNING It is the central function of management because it sets the pattern for the other activities to follow

means defining goals for future organizational performance and deciding on the tasks and use of resources needed to attain them" (Richard Daft). the thinking and analyzing phase in management Saying: The manager must plan to succeed or plan on failing.

Seven ( 7 ) steps in the management planning process 1. Determine the goals the organization wishes to accomplish. 2. Collect information and evaluate the current situation, compared with where the enterprise wishes to be. 3. Establish a time frame or period in which to achieve the goals. 4. Set objectives that will move the company toward the desired future. 5. Forecast needs and the use of resources. 6. Determine the steps necessary to implement the plan. 7. Provide for a feedback mechanism to continually review the success of the plan and to implement necessary revisions. IDENTIFYING GOALS Where, or what, does the institution wish to be? It cannot be all things to people, so set priorities. ( make decisions one at a time ) Use answers and insights gained in identifying problems in order to set the direction and goals for the laboratory

EVALUATING THE CURRENT SITUATION understanding what resources are currently available and how they can be gathered together provides the base for any plan do inventorying of assets to be guided in the next step of the planning process emphasize the INCLUSION OF ALL PERSONNEL

INVOLVED IN THE PROJECT IN THE DECISIONMAKING PROCESS ESTABLISHING A TIME FRAME

it is the key element in determining if a plan is realistic enables managers to plan where they want their organization to be in 1, 2, or even 5 years

SETTING OBJECTIVES provides a clear target identification and selection of the best route to achieve it

Goals = broad long term ambitions of the organization; difficult to determine exactly when it has been achieved ( E.g. TO IMPROVE THE TURNAROUND TIME FOR MORNING LAB WORK ) Objective = specific short term standards that allows the manager to achieve the goal (E.g. TO HAVE ALL THE RESULTS OF FBS PATIENTS AT 7:00 AM)

Four ( 4 ) basic characteristics of a good objective: 1. 2. 3. Clearly defined and understood Obtainable and realistic Has a strict time period in which it is to be accomplished

4. Measurable FORECASTING RESOURCE NEEDS the manager may have to return to the first step and revise the goals accordingly the principal vehicle for accomplishing this task is the development of the laboratorys budget

IMPLEMENTING THE PLAN a good plan anticipates and overcomes any obstacles or impediment

2 basic avenues for implementing a plan by a manager: a. Tools of persuasion which focuses on working with and through people b. Tools of control which involves the allocation of resources proper consideration of both material and personnel needs is a major factor in bringing a smooth operation

CREATING FEEDBACK MECHANISM information gathered will give a picture if the plan is progressing or not so that needed revisions and corrections can be instituted This phase complete the loop of management process

Four ( 4 ) elements of Planning: 1. Evaluating environmental forces and organizational resources

2. Establishing a set of organizational goals 3. Developing strategies and plans to achieve the stated goals 4. Formulating a decision-making process Organizing Organizing is the managerial function of making sure there are available the resources to carry out a plan. "Organizing involves the assignment of tasks, the grouping of tasks into departments, and the allocation of resources to departments" (Richard Daft) Managers must bring together individuals and tasks to make effective use of people and resources. Three elements are essential to organizing: Developing the structure of the organizationAcquiring and training human resourcesEstablishing communication patterns and networksDetermining the method of grouping these activities and resources is the organizing process.

Leading Leading is another of the basic function within the management process "Leading is the use of influence to motivate employees to achieve organizational goals" (Richard Daft). Managers must be able to make employees want to participate in achieving an organization's goals. Three components make up the leading function: Motivating employees Influencing employees Forming effective groups. The leading process helps the organization move toward goal attainment.

Controlling The final phase of the management process is controlling. "Controllingmeans monitoring employees' activities, determining whether the organization is on target toward its goals, and

making correction as necessary (Richard Daft ). Controlling ensures that, through effective leading, what has been planned and organized to take place has in fact taken place. Three basic components constitute the control function: Elements of a control system Evaluating and rewarding employee performance Controlling financial, informational, and physical resources. Controlling is ongoing process. An affective control function determines whether the organization is on target toward its goals and makes corrections as necessary. These all managerial functions are necessary and are related and interrelated to each other.