MBA and B.tech class notes.

Friday, 18 January 2013

Scientific Management- (Contribution of F.W. Taylor)

Scientific Management

(Contribution of F.W. Taylor)

Frederick Winslow Taylor was first person who gave Scientific Management in 1911. He also called the father of scientific management. Scientific Management was concerned to improving the operational efficiency at the shop-floor level.

According to Taylor, “scientific management means knowing exactly what you want men to do and seeing that they do it in the best and cheapest way.”

Scientific management is based on the analysis, planning and control functions. And job accomplished by analyzing, and works can selected and trained scientifically. In this, management role is to determine the kind of work for which an employee suited and hire and assign workers accordingly. Management is not responsible for execution of work but they are responsible for how the work is done. Co-operation between management and workers can enhance the work and achieve the maximum output.

Taylor called it as “Mental Revolution”, because it creates the mutual understanding, trust and confidence between the management and workers for achieving goal (higher production).

Principles of scientific Management

Under scientific management, Taylor developed the following parameters for organization.

Ø Scientific work study

Ø Task planning

Ø Tools and materials

Ø Selection and Training

Ø Standardization

Ø Worker management interrelationships

Ø Differential piece wage system

Objective of Scientific Management

Ø Scientific utilization of various resources like human power, material etc.

Ø To provide trained and efficient work force.

Ø To provide standardize methods of work.

Ø To provide a scientific base for selecting material, and equipment.

Ø To provide extra wages to the worker for higher production.

Ø Replace old rule of thumbs to new scientific methods.

Ø To develop a good rapport between management and workers.

Ø To achieve higher production, with reduce costs and maximum efficiency.

Ø Less wastage.

Tuesday, 8 January 2013

Principle of management:- Contribution of Henri Fayol, Administrative Management theory in classical theory of management

Evaluation of management

The Classical theory of management

Administrative Management

(Contribution of Henri Fayol)

Henri Fayol was real father of modern Management. Henri Fayol is the French industrialist in 1841-1925. He was a mining engineer in. Henri Fayol spent his entire working career in French industry; French cool and iron combine of commentary fourchambault. Henri Fayol developed a general theory of Business Administration.

Henri Fayol was concerned the principles of organization and the function of management. Fayol laid the foundation of management as a separate body of knowledge. He always insisted that if scientific forecasting and proper methods are used in management than company can get satisfactory results. According to Fayol, management was not personal talent; it is a knowledge base skill.

Henri Fayol’s Administrative Management is based on six admin activities. They are-

1. Technical : Production and manufacture

2. Managerial : Planning, controlling, co-ordination

3. Commercial : Purchasing and selling

4. Financial : Use of capital

5. Accounting : Asset, Liabilities, cost, profits

6. Security : Protection of goods and Person

Fayol’s fourteen Principles of management

Fayol derived the following fourteen principles.-

· Division of work: Division of work means specialization. Each job and work should be divided into small task and should be assigned to specialist of it.

· Authority and responsibility: Authority means right to give order and command while responsibility means to accomplish objective.

· Discipline: Discipline is required at every level in every organization. Fayol stated discipline in terms of obedience, application, and respect to superiors.

· Unity of command: A subordinate should receive order from only one boss.

· Unity of direction: It means that all the works of an organization must work together to accomplish a common objective in under one plan and head.

· Subordination of individual interest to common interest: Worker follows the common interest of organization rather than individual.

· Remuneration: Remuneration should be fair and adequate. It includes both types of incentives financial as well as non financial.

· Centralization: There should be one central point in organization which exercises overall direction and control of all the parts.

· Scalar Chain: Scalar chain is the chain or line of command from superior to subordinates.

· Order: Only proper order can give an efficient management.

· Equity: Equity creates loyalty and devotion among the employees.

· Stability of tenure personnel: Security of job for an employee in an organization is very important and pre-requisite condition. Retaining productive employee should always a higher priority of management.

· Esprit de corps: Management should encourage harmony and proper understandings between workers. Fayol said that in union there is strength. Whole organization should work as a team.

· Initiative: Manager should be encouraged the employees Initiative for creative working.

My Recommended Links

Introduction of management

Importance Management

Objective of management

Modern management theory

Neo-classical theory

Henri fayol Theory

Classical management theory

Evolution of management thoughts

Scientific management Theory

Talyor theory

Level of management

Nature of management

My Spiritual Links

A great Sage- sri Ram Sharam Aacharya(Shanti kunj,Haridwar)

Mahadev- A light of God
How to increase wealth
Swan- a rational creature

Friday, 4 January 2013

Levels of Management

B.tech and MBA Class Notes

Level of Management

Management has various activities in an organization. These activities are controlled by different people at different level. The term “level” of management refers to a lines of demarcation between various managerial position is an organization.The levels of management can be classified in these broad categories.-

Top level:

Top management also called administrative level management. It is a central management. Top management of a company is constituted by its board of directors and the chief executive.

Functions:

Top management formulates objectives and establishes goals and policies of company.
It determines the basic pattern of the organization structure.
It prepares strategic plans and policies for organization.
It prepares overall budgets and programs for short terms and long terms operations.
It is responsible for the success or failure of the organization.
It is responsible for maintain public relations with the outside world.
It provides guidance and direction to all department of organization.

Middle Level:

In large organization is bifurcated into two parts upper middle or intermediate management.

Middle management is constituted by branch managers, departmental and sectional managers.

Function:

They receive orders from top level management. and develops derivative objectives and policies.
They are responsible for co-coordinating the activities within the branch and department.
They interpret policies and direction from top level management to lower level.
They motivate the day to day function of the management.
They affect co-ordination between top management and supervisory management.
They linked the top level management to lower level management.
They send progress report of their work to top level management.

Lower level:

Lower level is also known as supervisory or operative level. It is constituted by superintendents, foreman and inspectors.

Function:

They guide and direct the worker for daily activities.
They arrange material required by the workers.
They are responsible for the performance of workers.
They supervise and guide the sub-ordinates.
They ensure the quality of work completed in a given time.
They are planning and completing day to day work.
They direct contact with the workers.

Notes- this post shared here are base on my study in case you find anything wrong and missing points than please bring it to my notice.

Evolution Of management
Taylor's contribution
Classical theory
Max Weber-1900
Bureaucracy Management
Henri Fayol

Evolution of management thought

Tuesday, 25 December 2012

Nature of Management

B.tech and MBA class notes

Discuss the nature of the management.

Nature of Management

The nature of management has the following features.

Universal process: - Management is universal in nature; it is applied in all types of process like commercial, social or political. Management exists everywhere in universe. The basic principles of management can be applied everywhere, whether they are business or non-business organization.

Continuous Process: - Management is a never ending process. Management is a continuous process because it always carries the past decisions for the future course of action to achieve organization goals.

Multi-disciplinary method: - Management is basically multi-disciplinary; it depends on the proper knowledge and skill of various disciplines such as economics statistics, anthropology, psychology, sociology etc.

Group activity: - Management requires the use of group-efforts to achieve their goal. Management is a vital part of group activities. Management unites with their goal what they cannot achieve individually.

Intangible force: - Management is intangible. It is an unseen force, but its presents seem in the form of results.

Social Management: - Management is a social process in nature, it essentially involves managing people, it concern to developing, retaining and motivating people at work place and also care of their satisfaction.

Coordinating force: - Management cannot do anything by them. They should get their work done by organization’s member. In the any organization, management coordinates the efforts of human recourse through orderly.

Goal oriented: - Management is a goal oriented in nature. It works only to achieve particular goal which decide by the organization.

Relative, not absolute principles: - Management principles are relative not absolute, because they should be applied according to need and condition of the organization.

An integrative method: - Management integrated the living and non-living resources to achieve the desired goal.

Notes- this post shared here are base on my study in case you find anything wrong and missing points than please bring it to my notice.

Monday, 24 December 2012

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Indian directory BlogAdda code

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Thursday, 20 December 2012

Importance of management

B.tech and MBA class notes

Importance of Management

Management is the catalyst and brain of industry without which no any organization can established or survive in the business environment. But, management was not know in old times as it presently seems, it became this world at the beginning of the industrial revolution when the scale of production became vary large and need to control its various stage of production and distribution problems in the industries. This problem required an immediate action and attention for the coordinate of work. Thus management was born in industries to solve and manage industrial conditions. Now management is worldwide in the modern industry. It becomes essential part of modern industrial world.

According to Trucker, "management is the dynamic life-giving element in every business. Without it the resources of production remain resources and never become production. Management is the catalyst without which no organization can survive and grow”.

According to Peter Druker,” management is the crucial factor in economic and social development.”

Thus the importance of management can be summarized as below-

Formulate objectives and goals: - Management determines the objectives and main goals for the organization.
Innovation: - Management encourages to using new technology and ideas. Innovation makes the organization more efficient.
Guidance: - Management provides guidance to the workers to work properly and efficiently.
Motivation: - Management motivates the workers to work hard by providing them various incentives. They also solve their personal problems.In this way they can boost the productivity and profitability of the organization.
Reducing cost by increasing output: - Management does work through planning, organizing and controlling; thus, it reducing the cost and increasing the output.
Optimum utilization of resources: - Management utilizes all the physical and human resource effectively; this leads to efficiency in organization. Management provides maximum utilization of scare resources by selecting its best possible alternate. It avoids wastage to utilize proper resources.
Selection of well qualified human power: - Management selects well qualified and expert human power for different works.
Establishes Equilibrium:- Management helps in serving an organization in its dynamic environment. It enables the organization to survive in changing environment. The environment of organization changes due to external complexities and hence management has to deal with it. To establish sound organizational structure is one of the objectives of management.
Useful for society: - Management provided good standard of living to his workers. And management provides useful and quality products to the consumers.

At the last, in the word of Peter Druker,

“Management is the dynamic life giving element in every business without it the resources of production remains resources and never become production”.

Notes- this post shared here are base on my study in case you find anything wrong and missing points than please bring it to my notice.

My Recommended Links

Introduction of management

Importance Management

Objective of management

Modern management theory

Neo-classical theory

Henri fayol Theory

Classical management theory

Evolution of management thoughts

Scientific management Theory

Talyor theory

Level of management

Nature of management

My Spiritual Links

A great Sage- sri Ram Sharam Aacharya(Shanti kunj,Haridwar)

Mahadev- A light of God

Saturday, 15 December 2012

Objectives of Management- in principles of management..- MBA first year class notes.

MBA and B.tech class notes

Principles of Management

Objectives of management

Managing an organization effectively requires the formulation of clear objectives. The objective is well defined, and the objective points (question) of making necessary efforts to achieve it. Objects and aims direct a man to proceed in a certain way for achieving organizational aims.

Objective serves as guidelines or landmarks or road lines for action and efforts to achieve managerial goal. Well defined objective steers an organization to success.

According to George R. Terry, "A managerial objective is the goal which prescribes definite scope and suggests the efforts of a manager."

In the words of Peter F. Drucker, "Objectives in the key areas are the 'instrument panel' necessary to pilot the business enterprise. Without them the management flies by the 'seat of the pants' without landmarks, without maps and without having flow route before."

According to Heinz Weihrich and Harold Koontz defined objectives of management as, “A systematic manner and that is consciously directed toward that effective and efficient achievement of organizational and individual objectives”.

Objective provides a direction for the organization goal and quality of work to be accomplished within a given period of time.

Objectives are the values which are to be achieved by the organization. These objectives set by the higher management; and every level of management, a supervisor of a team sets the objectives and also decides the process to achieve them. For achieving the objectives, it is essential that the managerial objectives are clear and definite.

The main objectives of management:-

To increasing organizational effectiveness.
To achieve optimum utilization of various resources.
To have co-ordination between various department in the organization.
To have co-ordination between various agencies, and company.
To control the material quality.
To reduces the execution time for various activities of the organization.
To control the quality of workmanship.
To manage and control economy execution.

Notes: this post shared here are base on my knowledge and study in case you find anything wrong and missing points than bring it to my notice.

MBA and B.tech class notes.