An Insight into Management (People’s Management )
B D SINGH Sr. Prof & Associate Dean (MDP & C) IMT,GHAZIABAD
Understanding Management • Management a common & every-day phenomenon – Integral part of life – as old as human race itself - informal (House wives) & formal (Team ,Organisations, public administration & policing etc.) Planning
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Managemen t
Organizing Directing Controlling
Human, Financial & Physical Resources
Goals
• It is essentially an integrating activity which permeates every facet of the operations of an organization.
Nature of Management • • • • • •
Management is a universal process Management is a goal oriented Management is a group activity Management is a dynamic function Management as a process Management is a profession
Management & Administration -
Dictionary definitions tend to see the two words as synonymous. Management is sometimes referred to as ‘administration of business concerns’ and administration as ‘management of public affairs’. There is clearly an overlap between the two terms and they tend to be used, therefore, in accordance with the convenience of individual writers. This confirms the feeling that although most people perceive a difference between the two terms, this difference is not easy to describe. Managerial (The term ‘management’ is a translation of the French term ‘administration).
The managerial activity is divided into five elements of management Planning (translated from the French prevoyer = to foresee, and taken to include forecasting) – examining the future, deciding what needs to be achieved and developing a plan of action. Organising – providing the material and human resources and building the structure to carry out the activities of the organistion. Command – maintaining activity among personnel, getting the optimum return from all employees in the interests of the whole organisation. Co-ordination – unifying and harmonising all activities and effort or the organisation to facilitate its working and success. Control – verifying that everything occurs in accordance with plans, instructions, established principles and expressed command.
Evolving Managerial Principles Practices
• The concept & practice of management, over the years, have evolved to caters to the needs of the time. • “The third wave” – Alvin Joffer • Hunting / Postural age/ Agrarian • Industrial age • Information/ Knowledge age • The age of unreason – Charles Handy • Thriving on chaos – Tom Peters • Formal Organization / Traditional organization • Knowledge / Virtual organization • The imperatives have outgrown outfits of industrial organizations . • The competencies required during industrial age have become outdated
• The outfits do not suit the requirements of knowledge organization/ Society • The mindsets & skill sets required are different & should change to make managers effective. • The most valuable assets of a 20th – century company were its production equipment. The most valuable asset of a 21st – century institution, whether business or non – business, will be its knowledge workers and their productivity.
• Arnold Toynbee said – Nothing fails like success. • We live in a knowledge worker age but operate our organisations in a controlling Industrial Age model that absolutely suppresses the release of human potential. The mind set of the Industrial Age that still dominates today’s workplace will simply not work in the knowledge worker age and new economy. • Machines & Capital • People were necessary but replaceable. • When all you want is a person’s body and you don’t really want their mind, heart or sprit (all inhibitors to the free- flowing processes of the machine age), you have reduced a person to a thing. • Carrot – and – stick motivational philosophy
• The problem is, managers today are still applying the Industrial Age control model to knowledge workers. Because many in position of authority do not see the true worth and potential of their people and do not possess a complete, accurate understanding of human nature, they manage people as they do things. This lack of understanding also prevents them from tapping into the highest motivations, talents and genious of people. What happen when you treat people like things today? It insults and alienates them, depersonalizes work, and creates low- trust, unionized, litigious cultures. What happens when you treat your teenage children like things? It, too, insults and alienates, depersonalizes precious family relationships and creates low trust, contention and rebellion.
Classical Approach to Management B. Bureaucratic Management – Max Weber – A German Social Science Management - Administrative Management – Henry Foyal - Scientific Management– FW Taylor B. Competency centric Approach (behavioural Approach) – Mc- Gregor etc. – Theory X & Theory Y.
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Division of work Rules & regulations Hierarchy of authority Technical Competence Record Keeping Interpretational Relation
• Fayol – – – – – – – – – – – – –
General & Industrial Management (1841) Division of work Authority & responsibility Discipline Unit of command Unit of direction Remuneration Scalar Chain (Chain of Authority) Order Loyalty & description Stability of tenure Initiative Spirit de-corps (Team work & Communication)
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Time & Motion Repetitive Work Work Measurement Payment Time Keeping Input – Output System Structure
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Rigidity Mechanism way to work Paper Work Empire Building Red tape
Summary All these ensure • Fixed mind set • No alternative / No Lateral Thinking • No creativity / No innovation – Only stagnation – Status quo – Obsolesces
• Requires Complete change in the mind sets & skill sets • Understanding the human behavior & Thinking
• Mind set is a condition where an individual is over sensitized to some part of information available at the expense of other parts • it has sensitized us to the patterns which have enables to to solve problem in the past • It produces fixation & stereotyping in problem solving behavior • Drucker – investigated how past experience may block productive problem solving – functional fixation • This mind set can create difficulties for manager when they are faced with new problems.
• Other Barriers in creative problem solving • Perceptual blocks – prevents individual receiving a true relevant picture of outside work • Cultural blocks, which result from influence of the society • Emotional blocks – such as fear anxiety • Intellectual blocks – I know all-
• Jones – Four blocks • Strategic blocks - vertical, thinking one right answer thinking either/or thinking • Value blocks , Strongly held belief may block one’s lateral thinking • Perceptual blocks managers may be overlooking or anticipating opportunities or threats • Self image Blocks individual not capable to resist social pressure
Competency approach – From Manager to Leader Boss • Carries out planning and budgeting direction • Oversees organising and guidance and staffing • Follows orders • Contrls and solves problems • Maintains control and order environment
Leader Charts a course providing Provides counsel Encourages people to follow their example Motivates and inspires Creates an
• Writes memorandums • Follows rules and regulations
Trains and teaches Questions rules and regulations
• The above distinctions demonstrate that what we need in the changed and complex organisational scenario today is not a manager but a leader
leader and Boss The boss drives his people. The leader inspires them. The boss depends on authority. The leader depends on goodwill. The boss evokes fear. The leader radiates love. The boss says ‘I’. The leader says ‘We’. The boss shows who is wrong. The leader knows how to do it. The boss demands respect. The leader commands respect. So be a leader Not a boss.
• A Competency is a combination of knowledge, skills, behaviors and attitudes that contribute to personal effectiveness. • Competencies essential for entrepreneurial or leader manager for managing fast changes and global competition. • •
Developing awareness competency Self Situation Strategic Action Competency Understanding the overall mission and values of the organization and ensuring that employee’s actions match with them defines strategic action competency. Strategic action competency includes
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Understanding the industry, Business, Profession Understanding the organization, Understanding business environment – internal and external Taking strategic actions.
Planning & administration Competency Planning and Administration competency involves deciding what tasks need to be done, determining how they can be done, allocating resources to enable them to be done, and then monitoring progress to ensure that they are done. For many people, planning and administration competency comes to mind first when they think about managers and managing. Included in this competency are • Information gathering, analysis and problem solving; • Planning and organizing projects; • Time management; and • Budgeting and financial management. •Committing & allocating the organisation’s limited resources •Anticipating & Preparing for the future opportunities •Most efficient use of resources & problems
• Communication Competency • Communication Competency is your ability to effectively transfer and exchange information that leads to understanding between yourself and others. Because managing involves getting work done though other people, communication competency is essential to effective managerial performance. It includes – Informal communication – Formal communication, and – Encouraging two way communication.
Teamwork Competency Teamwork Competency Accomplishing tasks through small groups of people who are collectively responsible and whose job requires coordination is teamwork competency. Managers in companies that utilize teams can become more effective by • Designing teams properly • Creating a supportive team environment and • Managing team dynamic appropriately.
• Inter personal effectiveness & conflict resolution while executive • Understanding self & others • Developing Interpersonal skills • Acknowledging conflicts • Trying to resolving them & for organize benefits.
Leadership Competency Having established plans, controls, and an appropriate structure to achieve the organizational objectives, the manager now has to get his people to work. Motivation is that desire or feeling within an individual which prompts him to action. Every individual has needs, desires and drives, which we collectively call motives and which channelise all his or her behaviour and action towards achievement of some objective. The manager’s role is to influence each individual’s behaviour and action towards achievement of common organizational objectives. • Motivating & Leading • Movers and drivers of performance • Leading Change • Taking calculated risk • Evolving suitable leadership style • Decision making
Owning responsibilities Competency A firm is a social institution. Its very existence is dependent upon its harmonious relationship with various segments of the society. This harmonious relationship emanates from the firm’s positive responsiveness to the various segments and its closely associated with the task a manager is expected to perform. The process of evolving this mutual relationship between firms and various interest groups beings by acknowledging the existence of the responsibilities of a manager. These responsibilities are:• Towards Customers • Towards Shareholders • Towards Employees • Towards Suppliers • Towards Distributor • Towards Government • Towards Society
Global awareness Competency Carrying out an organization’s managerial work by drawing on the human, financial information, and material resources from multiple countries and serving markets that span multiple cultures refers to a manager’s global awareness competency. Not all organizations have global markets for their products and services. Nor do all organizations need to set up operations in other countries to take advantage of tax laws and labor that is cheaper or better trained. Nevertheless, over the course of your career, you probably will work for an organization that has an international component. To be prepared for such opportunities you should begin to develop your global awareness competency, which is reflected in • Cultural knowledge and understanding and • Cultural openness and sensitivity.
Integrity and Ethical conduct •
Has clear personal standards that serve as a foundation for maintaining a sense of integrity and ethical conduct. • Is willing to admit mistakes. • Accepts responsibility for own actions. Managing future Mission for the 21st Century “The future has waited long enough; if we do not grasp it, other bands, grasping hard, will.” -- Adlai Stevenson
• The most important characteristic of “future” one can learn from the above is though “unknown” yet inspired by a desire of “farsightedness”. This “unknown” enables us to “prepare”. This preparation is a strong network of “hope”, “successful experience”, “passion” for science”, “willingness to embrace new possibilities” and most important “ability to adapt and expand” and as an enthusiastic organization to “deliver in time with quality”
Management in twenty-first century – A new set of paradigms • • • • • • • • •
Manage information through people. Change is a constant and must be managed. Technology is the future. Relationships matter. Investment in training and development is important. Measure only against the best/ global mind set The market is global. Initiative is important. Diversity management.
Managers of the Future?
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• Today, management whose minds and deeds are stuck in the status quo are obsolescent, weak and failing. In the next years, the will be obsolete- and failed. Renewal and nimbleness have become paramount necessities for the large and established. For the younger business, staying new and agile is equally imperative. • Heller & Prahalad goes on to identify eleven key strategies for new breed of managers:Developing leadership – without losing control or direction. Driving radical change – in the entire corporate system, not just in its parts. Reshaping culture – to achieve long-term success. Keeping the competitive edge – in a world where the old ways of winning no longer work. Achieving constant renewal - stopping success from sowing the seeds of decay.
6. Managing the motivators - so that people can motivate themselves. 7. Making team-working work – the new, indispensable skill. 8. Achieving total management quality – by managing everything much better. 9.The importance of a shared competitive agenda. Creating a clear charter of values and beaviours. Focusing on influence without ownership. Competing for talent and building the skill mix of the organization. Speed of reaction in the organization. .. 10. Speed of reaction in the organization. 11.Leveraging corporate resources to address emerging opportunities.
• Looking to the future, managers believe the most important issues facing their organization over the next decade will be: --- Managing change - Customer satisfaction - Use of the Internet - Motivation of core staff - Managing diversity - Development of human resources. • Organisations that do not recognize the need to share power and responsibility with all their workers / subordinates will lose them. The most significant trends in the theory and history of management are - The decline of hierarchical - Debureaucratic, autocratic management - The expansion of collaborative self-management - Organizational democracy - Empowered employees etc