THE NATURE OF MANAGEMENT

Organizations are made of people and goals and managers.

Levels of management
Top level: Managers at this level ensure that major performance objectives are established and
accomplished. Like (CEO), (COO)
Middle level: Middle managers report to top managers and are in charge of relatively large departments
or divisions consisting of several smaller units. Like clinic directors in hospitals; deans in universities;
and division managers, plant managers, and branch sales managers in businesses.
Low level: The initial management job that most people attain is typically a first-line management
position, such as a team leader or supervisor

Functions of Managers
Planning, Organizing, Staffing, Leading, and Controlling.

Roles performed by managers

In his classic book, The Nature of Managerial Work, Henry Mintzberg describes a set of ten roles that a
manager fills. These roles fall into three categories:
_ Interpersonal: This role involves human interaction.
_ Informational: This role involves the sharing and analyzing of information.
_ Decisional: This role involves decision making.

Skills needed by managers

Technical:
Human:
Conceptual:

THE EVOLUTION OF MANAGEMENT THOUGHT

Classical Schools of Management
developed during the Industrial Revolution when new problems related to the factory system began to
appear. two branches: classical scientific and classical administrative,

A: Classical scientific school arose because of the need to increase productivity and efficiency. roots
to several major contributors, including Frederick Taylor, Henry Gantt, and Frank and Lillian Gilbreth.
Frederick Taylor: father of scientific management ,believed that organizations should study tasks and
develop precise procedures.
Henry Gantt: an associate of Taylors, developed the Gantt chart, a bar graph that measures planned and
completed work along each stage of production.
Frank and Lillian Gilbreth: studied job motions.
B: Classical administrative school
concentrates on the total organization. Contributors Max Weber, Henri Fayol, Mary Parker Follett, and
Chester I. Barnard.
Max Weber disliked personal family-like basis and that employees were loyal to individual supervisors
rather than to the organization. He believed that organizations should be managed impersonally and that a
formal organizational structure, where specific rules were followed, was important. In other words, he
didnt think that authority should be based on a persons personality. He thought authority should be
something that was part of a persons job and passed from individual to individual as one person left and
another took over. This non-personal, objective form of organization was called a bureaucracy.
Weber believed that all bureaucracies have the following characteristics:
A well-defined hierarchy.
Division of labor and specialization.
Rules and regulations.
Impersonal relationships between managers and employees.
Competence.
Records.

Henri Fayol, a French mining engineer, developed 14 principles of management

_ Division of work: Division of work and specialization produces more

and better work with the same effort.

_ Authority and responsibility: Authority is the right to give orders and
the power to exact obedience. A manager has official authority because
of her position, as well as personal authority based on individual personality,
intelligence, and experience. Authority creates responsibility.
_ Discipline: Obedience and respect within an organization are absolutely
essential. Good discipline requires managers to apply sanctions
whenever violations become apparent.
_ Unity of command: An employee should receive orders from only
one superior.
_ Unity of direction: Organizational activities must have one central
authority and one plan of action.
_ Subordination of individual interest to general interest: The interests
of one employee or group of employees are subordinate to the
interests and goals of the organization.
_ Remuneration of personnel: Salaries the price of services rendered
by employees should be fair and provide satisfaction both
to the employee and employer.
_ Centralization: The objective of centralization is the best utilization
of personnel. The degree of centralization varies according to the
dynamics of each organization.
_ Scalar chain: A chain of authority exists from the highest organizational
authority to the lowest ranks.
_ Order: Organizational order for materials and personnel is essential.
The right materials and the right employees are necessary for each
organizational function and activity.
_ Equity: In organizations, equity is a combination of kindliness and
justice. Both equity and equality of treatment should be considered
when dealing with employees.
_ Stability of tenure of personnel: To attain the maximum productivity
of personnel, a stable work force is needed.
_ Initiative: Thinking out a plan and ensuring its success is an
extremely strong motivator. Zeal, energy, and initiative are desired at
all levels of the organizational ladder.
_ Esprit de corps: Teamwork is fundamentally important to an organization.

Work teams and extensive face-to-face verbal communication

encourages teamwork.
Mary Parker Follett stressed the importance of an organization establishing common goals for its
employees.

Chester Barnard, introduced the idea of the informal organization cliques (exclusive groups of
people) that naturally form within a company. Developed the acceptance theory of management, which
emphasizes the willingness of employees to accept that mangers have legitimate authority to act.

Behavioral Management Theory