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PRINCIPLES of MANAGEMENT Reviewer ALAGAPPA UNIVERSITY [Accredited with ‘A+’ Grade by NAAC (CGPA:3.64) in the Third Cycle and Graded as Category–I University by MHRD-UGC] (A State University Established by the Government of Tamil Nadu) KARAIKUDI – 630 003 Directorate of Distance Education M.A. (PM & IR) I - Semester 308 11 PRINCIPLES OF MANAGEMENT Reviewer Professor of Management, Dr. R. Perumal Directorate of Distance Education, Alagappa University, Karaikudi Authors J.S. Chandan, Retd Professor, Medgar Evers College, City University of New York Units (1.2-1.5, 2.2-2.5, 3.2-3.6, 4.2-4.5, 5.0-5.2.1, 5.3-5.9, 6.2-6.9, 7.2, 7.2.2-7.2.4, 8.2, 8.2.2, 8.3, 9.2, 9.3, 9.4, 9.5-9.5.2, 9.5.5-9.5.6, 10.2, 10.3, 11.2-11.4, 13) Dr. Biswanath Ghosh, Former Professor and Dean of Management, Bengal College of Engineering and Technology, Durgapur Unit (12.2) Vikas ® Publishing House: Units (1.0-1.1, 1.6-1.10, 2.0-2.1, 2.6-2.11, 3.0-3.1, 3.7-3.11, 4.0-4.1, 4.6-4.10, 5.2.2, 6.0-6.1, 6.10-6.14, 7.0-7.1, 7.2.1, 7.3-7.12, 8.0-8.1, 8.2.1, 8.2.3, 8.4-8.8, 9.0-9.1, 9.2.1, 9.5.3-9.5.4, 9.6-9.10, 10.0-10.1, 10.3.1-10.3.2, 10.4-10.8, 11.0-11.1, 11.5, 11.6-11.10, 12.0-12.1, 12.3-12.3.2, 12.4-12.8, 14) "The copyright shall be vested with Alagappa University" All rights reserved. No part of this publication which is material protected by this copyright notice may be reproduced or transmitted or utilized or stored in any form or by any means now known or hereinafter invented, electronic, digital or mechanical, including photocopying, scanning, recording or by any information storage or retrieval system, without prior written permission from the Alagappa University, Karaikudi, Tamil Nadu. Information contained in this book has been published by VIKAS ® Publishing House Pvt. Ltd. and has been obtained by its Authors from sources believed to be reliable and are correct to the best of their knowledge. However, the Alagappa University, Publisher and its Authors shall in no event be liable for any errors, omissions or damages arising out of use of this information and specifically disclaim any implied warranties or merchantability or fitness for any particular use. Vikas ® is the registered trademark of Vikas ® Publishing House Pvt. Ltd. VIKAS ® PUBLISHING HOUSE PVT. LTD. E-28, Sector-8, Noida - 201301 (UP) Phone: 0120-4078900 Fax: 0120-4078999 Regd. Office: 7361, Ravindra Mansion, Ram Nagar, New Delhi 110 055 Website: www.vikaspublishing.com Email: [email protected] Work Order No. AU/DDE/DE1-238/Preparation and Printing of Course Materials/2018 Dated 30.08.2018 Copies - 500 SYLLABI-BOOK MAPPING TABLE Principles of Management Syllabi Mapping in Book BLOCK I: BASIC CONCEPTS OF MANAGEMENT Unit - 1: Management: Definition – Nature, Scope and Functions – Evolution of Unit 1: Introduction to Management – Management thought in modern trend – Patterns of the management Management analysis – Management Vs. Administration - Management and Society: The external (Pages 1-20) Environment, Social Responsibility and Ethics. Unit 2: Management Unit - 2: Management Science and Theories : Contributions of FW Taylor, Henri Fayol, Science and Theories Elton Mayo, Roethilisberger, H.A.Simon and P.F Drucker - Universality of Management (Pages 21-36) - Relevance of management to different types of organization. Unit 3: Planning Unit - 3: Planning: Nature and Purpose – Principles and planning premises – Components (Pages 37-53) of planning as Vision, Mission, Objectives, Managing By Objective (MBO) Strategies, Unit 4: Decision Making Types and Policies -Planning and Decision Making: Planning process. (Pages 54-67) Unit - 4: Decision making: Meanings and Types – Decision-making Process under Conditions of Certainty and Uncertainty – Rational Decision Making Strategies, Procedures, Methods, Rules, Projects and Budgets. BLOCK II: RECRUITMENT AND SELECTION Unit - 5: Organizing: Nature, Importance, Principles, purpose and Scope - Organizing Unit 5: Organizing functions of management – Classifications of organization – Principles and theories of (Pages 68-85) organization – Effective Organizing – Organizational Culture and Global Organizing. Unit 6: Organizational Unit - 6: Organizational Structure – Departmentalization – Span of control – Line and Structure staff functions – Formal and Informal Groups in Organizations - Authority and (Pages 86-106) responsibility - Centralization and decentralization – Delegation of authority – Committees Unit 7: Staffing – Informal organization. (Pages 107-125) Unit - 7: Staffing: General Principles of Staffing- Importance, techniques, Staff authority Unit 8: Creativity and and Empowerment in the organization – Selection and Recruitment - Orientation - Career Innovation Development - Career stages – Training – Performance Appraisal. (Pages 126-145) Unit - 8: Creativity and Innovation – Motivation - Meaning – Importance – Human factors of Motivation – Motivation Theories: Maslow, Herzberg, Mc Gregor (X&Y), Ouchi (Z) ,Vroom, Porter-Lawler, McClelland and Adam – Physiological and psychological aspects of motivation . BLOCK III: FUNCTIONS OF MANAGEMENT Unit - 9: Directing : Meaning, Purpose, and Scope in the organization – Leadership: Unit 9: Directing and Meaning, Leadership styles, Leadership theories: Trait, Contingency, Situation, Path- Leadership Goal, Tactical, Transactional, Transformational and Grid. Leaders: Type, Nature, (Pages 146-166) Significance and Functions, Barriers, Politics and Ethics. Leader Vs. Manager. Unit 10: Communications Unit - 10: Communications: Meaning – Types – Process – Communication in the decision (Pages 167-180) making – Global Leading - Effective communication in the levels of management. – Uses Unit 11: Co-ordination of Communication to Planning, Organizing, coordinating and controlling. (Pages 181-189) Unit - 11: Co-ordination: Concept; Meaning, Characteristics, Importance in the organization, Co-ordination process and principles - Techniques of Effective co- ordination in the organization - Understanding and managing the group process. BLOCK IV: BUSINESS ETHICS WITH NEW PERSPECTIVE IN MANAGEMENT Unit - 12: Business ethics: Relevance of values in Management; Holistic approach for Unit 12: Business Ethics managers indecision-making; Ethical Management: Role of organizational culture in (Pages 190-205) ethics – Ethics Committee in the organization. Unit 13: Controlling Unit - 13: Controlling: Objectives and Process of control Devices of control – Integrated (Pages 206-221) control – Special control techniques- Contemporary - Perspectives in Device of Controls Unit 14: New Perspectives Unit - 14: New Perspectives in Management - Strategic alliances – Core competence – in Management Business process reengineering – Total quality management – Six Sigma-Benchmarking- (Pages 222-238) Balanced Score-card. CONTENTS INTRODUCTION BLOCK I: BASIC CONCEPTS OF MANAGEMENT UNIT 1 INTRODUCTION TO MANAGEMENT 1-20 1.0 Introduction 1.1 Objectives 1.2 Management: Definition 1.3 Nature, Scope and Functions of Management 1.3.1 Nature of Management 1.3.2 Management vs Administration 1.3.3 Scope of Management 1.3.4 Functions of Management 1.4 Evolution of Management and Patterns of Management Analysis 1.4.1 Management Thought in Modern Trend 1.5 Management and Society 1.5.1 The External Environment 1.5.2 Social Responsibility and Ethics 1.6 Answers to Check Your Progress Questions 1.7 Summary 1.8 Key Words 1.9 Self Assessment Questions and Exercises 1.10 Further Readings UNIT 2 MANAGEMENT SCIENCE AND THEORIES 21-36 2.0 Introduction 2.1 Objectives 2.2 Contributions of FW Taylor 2.3 Henri Fayol 2.4 Elton Mayo and Roethilisberger (Hawthorn Experiments) 2.5 H. A. Simon and P.F. Drucker 2.6 Universality of Management and the Relevance of Management to Different Types of Organization 2.6.1 Universality of Management 2.6.2 Relavance of Management in Different Organizations 2.7 Answers to Check Your Progress Questions 2.8 Summary 2.9 Key Words 2.10 Self Assessment Questions and Exercises 2.11 Further Readings UNIT 3 PLANNING 37-53 3.0 Introduction 3.1 Objectives 3.2 Planning: Nature, Purpose, Principles and Planning Premises 3.3 Components of Planning (Vision, Mission, Objectives) 3.4 Managing by Objective (MBO) 3.5 Types of Planning: Strategies, Types And Policies 3.6 Planning and Decision Making: Planning Process 3.7 Answers to Check Your Progress Questions 3.8 Summary 3.9 Key Words 3.10 Self Assessment Questions and Exercises 3.11 Further Readings UNIT 4 DECISION MAKING 54-67 4.0 Introduction 4.1 Objectives 4.2 Meaning and Types 4.2.1 Types of Decision Making and the Factors 4.3 Decision-Making Process Under Conditions of Certainity and Uncertainity 4.4 Rational Decision-Making Strategies 4.5 Procedures, Methods, Rules, Projects and Budgets 4.6 Answers to Check Your Progress Questions 4.7 Summary 4.8 Key Words 4.9 Self Assessment Questions and Exercises 4.10 Further Readings BLOCK II: RECRUITMENT AND SELECTION UNIT 5 ORGANIZING 68-85 5.0 Introduction 5.1 Objectives 5.2 Nature, Importance, Purpose and Scope 5.2.1 Principles of Organizing 5.2.2 Organizing Functions of Management 5.3 Organizations: Classifications and Principles and Theories 5.3.1 Classifications of Organization 5.3.2 Principles of Organization 5.3.3 Theories of Organization 5.3.4 Guidelines for Effective Organizing 5.4 Organizational Culture and Global Organizing 5.5 Answers to Check Your Progress Questions 5.6 Summary 5.7 Key Words 5.8 Self Assessment Questions and Exercises 5.9 Further Readings UNIT 6 ORGANIZATIONAL STRUCTURE 86-106 6.0 Introduction 6.1 Objectives 6.2 Organizational Structure 6.3
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