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Introduction to Principles
and Functions of
Management
(Text Book Chapters 1 & 2)
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Management:
Meaning, Principles and
Functions of Management.
Different Schools of
Management and
Management Thought.
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Getting
Getting work
work
done
done through
through
others
others

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Efficiency
Efficiency
Effectiveness
Effectiveness

Principles of Management / BSG 201

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Principles o
F.W. Taylor
Develop
Develop aa science
science for
for each
each element
element of
of aa mans
mans work,
work,
which
which replaces
replaces the
the old
old rule-of-thumb
rule-of-thumb method.
method.
Scientifically
Scientifically select
select and
and then
then train,
train, teach,
teach, and
and
develop
develop the
the workmen.
workmen.
Cooperate
Cooperate with
with the
the men
men to
to insure
insure all
all work
work is
is done
done in
in
accordance
accordance with
with the
the principles
principles of
of the
the science.
science.
There
There is
is almost
almost equal
equal division
division of
of the
the work
work and
and the
the
responsibility
responsibility between
between management
management and
and workmen.
workmen.

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Time & Mot
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Frank & Li

Time Study
Timing how long it takes good workers
to complete each part of their jobs.

Motion Study
Breaking each task into its separate
motions and then eliminating those that
are unnecessary or repetitive.

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14
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Henry Fay
1. Division of Work: allows for job specialization. Work
should be divided among individuals and groups.
2. Authority and Responsibility: Authority right to
give orders. Responsibility involves being answerable

Whoever assumes authority assumes responsibility

3. Discipline: Common efforts of workers. Penalties
4. Unity of Command: Employees should have only
one boss.
5. Unity of Direction: A single plan of action to guide
the organization.
6. Subordination of individual interests to the
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7. Remuneration: An equitable uniform payment

system that motivates and contribute to success.
8. Centralization: The degree to which authority rests
at the top of the organization.
9. Scalar Chain: Chain like authority scale.
10. Order: The arrangement of employees where they
will be of the most value to the organization.
11. Equity: The provision of justice and fair dealing
12. Stability of Tenure of Personnel
13. Initiative
14. Esprit de corps: Harmony, general good feeling
among employees
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Pla
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Decisio

Defining goals,
establishing
strategy and
developing sub
plans to choose
alternatives and
coordinate activities
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O rg
Deciding where
decisions will be made
Who will do what jobs
and tasks
Who will work for
whom
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Inspiring
Inspiring

Leading
Leading
Motivating
Motivating

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Cont
Monitoring
progress towards
goal achievement
and taking
corrective action
when needed
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Levels an
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of Man
Levels of Management
Top managers

Middle managers

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Ad
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H

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O

Fi
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First-line managers

Areas of Management

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Rol
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Creating
Creating aa context
context for
for change
change
Developing
Developing commitment
commitment
and
and ownership
ownership in
in employees
employees
Creating
Creating aa positive
positive organizational
organizational
culture
culture through
through language
language and
and action
action
Monitoring
Monitoring their
their business
business environments
environments
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Wh
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D
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Mana
Plan
Plan and
and allocate
allocate resources
resources to
to meet
meet objectives
objectives

Coordinate
Coordinate and
and link
link groups,
groups,
departments,
departments, and
and divisions
divisions
Monitor
Monitor and
and manage
manage the
the performance
performance
of
of subunits
subunits and
and managers
managers who
who report
report to
to them
them
Implement
Implement changes
changes or
or strategies
strategies
generated
generated by
by top
top managers
managers
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Respons
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First-Line M
Manage
Manage the
the performance
performance of
of
entry-level
entry-level employees
employees
Encourage,
Encourage, monitor,
monitor, and
and reward
reward
the
the performance
performance of
of workers
workers
Teach
Teach entry-level
entry-level employees
employees how
how to
to do
do
their
their jobs
jobs
Make
Make detailed
detailed schedules
schedules and
and operating
operating
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plans
plans

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Mana
Roles
Interpersonal

Informational

Decisional

Figurehead

Monitor

Entrepreneur

Leader

Disseminator

Disturbance
Handler

Liaison

Spokesperson
Resource
Allocator
Adapted from Exhibit 1.4

Negotiator

H. Mintzberg, The Managers Job: Folklore and Fact:. Harvard Business Review, July-August 1975.

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Man
Skills
Technical
Technical Skills
Skills

Conceptual
Conceptual Skills
Skills
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Human
Human Skills
Skills

Motivation
Motivation to
to
Manage
Manage

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Man
:
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Cha
Ethics
Knowledge
Management

Diversity

MANAGER
Innovation

Globalization

Customers

Chapter 1, Stephen P. Robbins, Mary Coulter, and

Nancy Langton, Management, Eighth Canadian Edition.
Copyright 2005 Pearson Education Canada Inc.

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E-Business

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History:
r
a
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(
t
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T
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Managem
Quality
Viewpoint
Contingency
Viewpoint
Systems
Viewpoint
Behavioral
Viewpoint
Traditional
Viewpoint
1900
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1910

1920

1930

1940

1950

1960

Principles of Management / BSG 201

1970

1980

1990

2000
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Administrative
Management
Bureaucratic
Management

Goals:
Efficiency
Consistency

Scientific
Management

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Char
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Bureaucratic
Rulesformal guidelines for the behavior of
employees on the job
Impersonalityemployees are evaluated
according to rules and objective data

Division of Laborsplitting work into

specialized positions
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W
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Manag

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Admi
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M an
Fourteen
Principles of
Management
given by
Henry Fayol
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What is Be
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Focuses on dealing effectively with the
human aspects of organizations
Started in the 1930s
Emphasis on working conditions
Workers wanted respect
Workers formed unions to bargain
with management
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Systems
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i
Organ

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What is C
Approach?
Problem
Problem or
or Situation
Situation

Important
Important
Contingencies
Contingencies

Solution
Solutionor
or
Action
ActionAA

Solution
Solutionor
or
Action
ActionBB

SSolution
olution or
or
Action
ActionCC

Source: Van Fleet, David D., Contemporary Management, Second Edition. Copyright 1991 by Houghton Mifflin Company.

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Positive
Company
Image

Lower Costs
and Higher
Market Share

Decreased
Product Liability

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Quality
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Islamic Ma
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Per
1. Work is an act of Worship
2. Work as Trust Amana
3. Discipline
4. Reliance on Own Self
5. Proper placement depending upon Skills & Talent
6. Fairness and Proper Treatment of Employees
7. Quality Itqan
8. Consultative and decision making skills Shura
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Y
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Tha

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