AMITY CENTR FOR E-LEARNING J-BLOCK , AMITY CAMPUS SEC-44 , NOIDA INDIA 201303
ADL-01 PRINCIPLES AND PRACTISES OF MANAGEMENT
ASSIGNMENT 'A' ASSIGNMENT 'B' ASSIGNMENT 'C'
SUBMITTED SUBMITTE D BY: BY: SAHIL JASSAL PEN:A1921210014(el) BBA (JULY 2010-11)
Assignment A Ans 1. Schools of Management 1. Classical school : classsical management theory consists of a group of similar ideas on the managament of organizations evolved in late 19 th & early 20th century. This school is also called the traditional school of management. This school evolved as a result of industrial revolution in response to the growth of large organizations. classical school discusses management as: A. Management is ordering people to do the job. B. Management is desigening job structure. C. Management is to forcast, to plan, to organize, to coordinate and to control. The first statement of management was based on economic rationality of the employee. That assumes that people choose there course of action that maximizes their monetary rewards. Thus to get employees to work hard, managers should appeal to their monetary desire. Classical theorists recognized human emotions.
The second statement was based on the series of ideas developed by Frederick Winslow Taylor. Which are as follows: 1. Each person's job should be broken down into elements & a scientific way to perform each element should be determined. 2. Workers should be scientifically selected & trained to do the work in designed & trained manner. 3. There should be good cooperation between management & workers so that tasks are performed in the designed manner. 4. There should be a division of labour between managers & workers. Managers should take over the work of supervising and setting up instructions and designing the work, and the worker should be free to perform the work himself. The third statement was based on the Fayol's unified concept. Fayol wrote that all the activities of business enterprises could be divided into six groups: technical, commercial , financial , accounting , commanding, coordinating and controlling. He focused on the managerial activity & propounded that basic functions of a manager consists of planning, organizing , commanding, coordinating and controlling. He also presented 14 principles of management.
2. Behavioural school: The human relations approach of management has evolved into modern behaviourism. The term modern behaviourism refers to the current stage of evolution of the behavioural school of management,which gives primacy to psychological needs but treats fulfillment of emotional needs mainly as a means of achieving other primary economic goals. Important behavioural scientists like Abraham Maslow, Frederick Herzberg & Karl Lewin had regorous traning in various social sciences and used sophisticated research models. They regarded the classical management theory as highly mechanistic , which tends to degrade the human spirit and is nonresponsive to human needs. The behaviourists preferred more flexible organization structures with jobs built around the capabilities and aptitudes of average employees. 3. Modern Management School: The Modern management theory highlights the complexity of the organization as well as individuals and the diversity of their needs, motives, aspirations and potentials. As a result , universal management principles are impracticable. There is no single managerial strategy that works for all the poeple at all times. Four important modern management theories are: 1. systems theory: A system is an entity made up of two or more interdependent parts that interacts to form a functioning organism. A system can either be open or closed. A system adapts and adjusts to the changing conditions of its environment and exercises control over its operations through feedback. 2. contingency theory: The contingency approach stresses the absence of a single best way to manage and emphasizes the need for managerial strategies based on all relevent facts. This theory says that organization must be designed to fit its situation, particularly its environment & the technology it uses. 3. organizational humanism: The philosophy of this theory is that the individuals need to use all of their capacities and creative skills at work as well as at home. Organizational humanism focuses on individual needs and the satisfaction of these needs at work. 4. management science: This theory proposes the use of quantitative technique to aid decision making. It focuses on making objective & rational decisions.
The most important theory out of three is Modern Management school theory. As it is not possible to have a common management strategy for different oranizational needs in a fast changing business world. The Modern Management theory ephasises on having different strategies for different needs. Also it caters for the human needs at work place so taking in account some important findings & theories of Behavioural school.
Ans 2. Principles of Management by Henry Fayol.
Fayol wrote a book called 'General and Industrial management'. He stressed on managerial aspects and he regarded elements of management as its functions. His observations are still valid after 7-8 decades. He is also called the real father of modern management theory. His 14 pinciples of management are flexible not absolute. 1. Division of work: This principle proposes that work can be performed more efficently and more productively if it is divided into smaller elements & assigning specific elements to specific workers. Fayol applied this principle to both managerial as well as technical work. 2. Authority and responsibility: Managers require auhority commensurate with responsibility, to give orders so that tasks will be accomplished. Fayol found these are related, with latter arising from formal. 3. Discipline: This principle suggests that along with good supervisors at all levels, organizations require a set of clearly defined rules and procedures aimed at attaining good employee discipline and obedience. 4. Unity of command: This principle suggests that for any action what so ever, an employee should receive orders from one boss only. 5. Unity of direction: This principle proposes that there should be only one plan and one boss for each group of activities having the same objective. 6. Subordination of individual to general interest: This principle proposes that employees must sacrifice their personal interests for the good of the organization. The goals of organization must take over the intrests of individuals. 7. Remuneration: Compensation for work done sholud be reasonable to both employee and the organization, and it should be sufficiently motivational. 8. Centralization: According to this principle organizations must attain a balance between centralization and decentralization and the degree of both can be determined by individual circumstances. 9. Scalar chain: This principle suggests that communication in organizations should be basically vertical, and there should be horizontal communication only when the need arises. 10. Order: This principle suggests that in organizations there should be aplace for everything and everything should be in place.Basically ,the
principle provides a form of formal organizational control. 11. Equity:Equity means fairness. According to this principle the equity that results from managers being kind and just towards their subordinates will lead to devoted and loyal service. 12. Stability of tenure: This principle suggests that training new employees takes time and it is expensive.Unnecessary employee turnover would thus be inefficient and should be avoided. 13. Initiative: This principle proposes for managers who possess the ability to conceive new ideas as well as the ability to implement them while sacrificing personal vanity. 14. Espirit-De-Corps: According to the last principle maintance of high moral and unity among employees is imperative.
The most important principle out of the 14 is the "Divison of work" as this also forms a part of planning process. Dividing the work according to the expertise of the employees leads to better productivity , best utilization & less wastage of the resources. Division of work according to employee's area of knowledge also increases job satistaction among the employees.
Ans 3. Decision Making
Decision making is considered as the most critical part of managerial task as it is the core of all planned activities. All the objectives of decision making process are directly focused on the improvement of the business. These objectives include sucessfully solving the problems by analysing the causes of the problem and implementing solutions to prevent the problem in future. Steps involved in Decision making process: 1. Identify and select the problem : A discrepancy between an existing and desired state of affairs is known as problem. A manager should be able to idetify the problem and its urgency at the moment it aries. 2. Analyse the cause of the problem : This step involves brainstroming all potential causes of the discrepancy and collecting data which provides the needed facts to determine the root cause of the problem. 3. Generate potential decisions: For most problems there are usaually several solutions. It is important to get to know all the possible solutions as the first idea is not always the best. 4. Select & plan the decison to be implemented: This step involves prioritising the best solution identified while keeping in mind the costs that will be incurred, Risks likely to be encountered and Outcomes that are desired. A specific acton plan is prepared in this step which identifies the key activities. Then the plan is presented to the higher management for further consideration. 5. Decide and implement: Project teams are now formed to implement the decided solution. These teams are regularly reviewd to ensure progress and cost control. Contingency plans may come into play if necessary. 6. Evaluating the decision: After the sucessful implementation, the project needs to be closley monitered and evaluated to find out the extent to which the desired results have been achived.
Ans 4. Communication Process: The responsibility of an effective communication lies with both the sender and recevier. Effective communication = Receipt of message + Understanding + Acceptance + Action
For proper receipt of message the responsibility lies with the sender as the sender must be clear about purpose of message and this is the first part of communication process. Listening is the key to understanding, listening is the responsibility of recevier and this is the second part of the process. How do the sender know that message has been received properly? By feedback. This will tell the sender that the recevier understood the message. This feed back forms the third step of the process. Last step of the process is to take proper action which is being sent in the message this step is recevier's responsibility. Hence one can say Communication is an exchange , not just to give , both parties must complete the information exchange for an effective communication.
Ans 5. Planning as a management process: Planning is deciding in advance who will do what, at certain time what is to be achived. In business planning is an ongoing effort. A paln is a predetermined course of action to achieve goals. Its a blue print of action. Hence can be said"planning is charting the future course of action at present" Advantages of palnning : # Attention on objectives #Minimising uncertaninties #Better utilization of resources #Better coordination #Facilitates control Planning covers all the important areas of management such as objectives and goals of the company , planning is involved in every management process wether it be finacial process like budgeting or planning the course of action for expansion & growth of the business. A detailed planning is always needed in every mangement process to achieve desired results. Advantages of planning include unidirectional efforts of the employees and managers to achieve the goal faster , effectively managing the change , and controlling the standards.
Assignment B Ans 1. The process of bringing about improvement in knowledge, skill, habits. and attitudes of employees in an organization is a fairly important part of management activities, still it constitutes too small part of the total scope of management activities to qualify as a definition of management. Management is consists of four broad function, which are (1) planning or decision making, (2) organizing and staffing, (3) motivating and leading, and (4) controlling. All the activities described in the question form a small part of staffing activity, which in itself is a part of the second activity listed above.Also the definition of management given in the question makes no mention of the responsibility of management in achieving the organizational objectives, toward which all management activities need to be directed.
Thus desorption of management as "a process of bringing about improvement in knowledge, skill, habits. and attitudes of employees in an organization" is not a very good or satisfactory definition of management.
Ans 2. Types of plans & steps of planning: Different types of plans could be: 1. Purpose or mission – Basic function assingned by the society to the organization. 2. Objectives – Ends towards which organization's activities are focused. 3. Strategies – The broad areas of organization's operations , These are a framework for guiding, thinking & action. 4. Policies – The general statements that guide or help in desicion making process. 5. Procedures – Procedures establish a required method of handling future activities,they are guides to action. Procedures also include Rules , Programs & Budget. Steps pf planning: 1. Assessing current conditions – Dertermining the current situation including examination of resources, market trends, economic indicators and competitors. 2. Determining Goals & Objectives – Clearly determining the goals which are the future states or the long term plans contributing to the fulfillment of organiz 's mission. And the objectives which are short term , specific & measurable targets that must be reached to accomplish organizational goals. 3. Establishing an action plan – Placing in a action plan with specific set of behaviour that will lead to the atatainment of an objective. 4. Allocating resources – Resources include people , money & time. Carefull allocation of work among the employees according to their expertise. Carefull budgeting according to the project. Clearly framing the time limits. 5. Implementation – Implementing the decided action plan with the organizational resources through the delegation of taskes, objective driven actions, and feedback of data. 6. Controlling the implementation – Continusly managing the plans to ensure they meet objectives int the correct time frame.
Ans 3. Forms of Departmentalization : 1. Departmentalization by simple numbers. only useful at the lowest level. 2. Departmentalization by time very old-system shifts 3. Departmentalization by enterprise function. grouping of activities in accordance with the functions of an enterprise. 4. Functional Departmentalization based on organising activities 5. Customer Departmentalization grouping of activities to reflect a primary intrest in coustomers. 6. Process Departmentalization used by manufacturing firms 7. Product Departmentalization used by multi line large scale enterprises
Case Study Ans 1. Mr. Bansal satisfied his full time employees's need of Esteem by providing them their own counter area and their own line of merchandise. Ans 2. According to Maslow's hierarchy of needs Esteem need is the need to feel good about oneself. To have confidence in one's abilities. To be recognized as having capabilities or skills by peers. In given case Mr. Bansal provided him employees with their own work stations & line of merchandise. He fulfilled their need by recognizing their capabilities & skills. Ans 3. Mr. Bansal satisfied satisfied his employees's esteem needs by using Advancement & Recognition as motivational strategies. He gave seperate work stations to his full time employees & gave more responsibility to the sales staff for managing their own inventory as a part of advancement strategy. He also organised staff meetings every week to bring staff together to review the policies & procedures. These meetings gave him an opportunity to recognize the accomplishments of employees as a part of recognition strategy.
Assignment 'C'
Q 1. Ans. C Q 2. Ans. B Q 3. Ans. A Q 4. Ans. D Q 5. Ans. C Q 6. Ans. B Q 7. Ans. D Q 8. Ans. D Q 9. Ans. C Q 10. Ans. D Q 11. Ans. B
Q 12. Ans. D Q 13. Ans. D Q 14. Ans. C Q 15. Ans. D Q 16. Ans. D Q 17. Ans. A Q 18. Ans. D Q 19. Ans. A Q 20. Ans. C Q 21. Ans. D Q 22. Ans. B Q 23. Ans.A Q 24. Ans. A
Q 25. Ans. B Q 26. Ans. C Q 27. Ans. D Q 28. Ans. D Q 29. Ans. A Q 30. Ans. C Q 31. Ans. D Q 32. Ans. C Q 33. Ans. C Q 34. Ans. D Q 35. Ans .A Q 36. Ans. B Q 37. Ans. C
Q 38. Ans. D Q 39. Ans. C Q 40. Ans. C
