Chapter-1 Chapter-2 Chapter-3 Chapter-5
NATURE AND SIGNIFICANCE OF PRINCIPLES OF MANAGEMENT BUSINESS ENVIRONMENT ORGANISING
MANAGEMENT CHARACTERISTICS / FEATURES OF FEATURES OF BUSINESS ENVIRONMENT : PROESS OF ORGANISING :
MANAGEMENT OF PRINCIPLE : 1- Identification and Division of Work
CHARACTERISTICS / FEATURES OF MANAGEMENT : 1- Totality of External Forces 2- Specific and General Forces
2- Departmentalisation
1- Universal Application 3- Inter-Relatedness 4- Dynamic Nature
1- Management is Goal Oriented Process. 5- Uncertainty 6- Complexity 3- Assignment of Duties
2- General Guidelines 4- Establishing Reporting Relationships
2- Management is All Pervasive 7- Relativity
3-Formed by Practice and Experiments
3- Management is Multidimensional IMPORTANCE OF ORGANISING :
a) Management of Work. 4- Flexible IMPORTANCE OF BUSINESS ENVIRONMENT :
b) Management of People. 5- Mainly Behavioural 1- Benefits of Specialisation
c) Management of Operations. 6- Cause and Effect Relationship 1- It Enables the Firm to Identify Opportunities and Getting the 2- Clarity In Working Relationships
4- Management is A Continuous Process 7- Contingent First Mover Advantage 3- Optimun Utilisation of Resources
5- Management is A Group Activity. 2- It Helps The Firm To Identify Threats & Early Warning Signals 4- Adoptation To Change
6- Management is A Dynamic Function. IMPORTANCE OF PRINCIPLES OF 3- It Helps In Tapping Useful Resources 5- Effective Administration
7- Management is A Intangible Force. 4- It Helps In Coping with Rapid Changes
MANAGEMENT : 5- It Helps In Assisting in Planning and Policy Formulation
6- Development of Personnel
7- Expansion and Growth
OBTECTIVES OF MANAGEMENT : 1- Provide useful Insights to Managers. 6- It Helps In Improving Performance
2- Optimum Utilisation of Resources & Effective Administration ORGANISATION STRUCTURE :
1- Organisational Objetive 3- Scientific Decisions DIMENSIONS / ELEMENTS OF BUSINESS ENVIRONMENT :
Survival Profit Growth CONSIDERATION WHILE DESIGNING
2- Social Objective 4- Meeting Changing Environment Requirements 1- Economic Environment 2- Social Environment
5- Fulfilling Social Responsibility 3- Technological Environment 4- Political Environment ORGANISATIONAL STRUCTURE :
a) Lawful Business
b) Environmental Friendly 6- Management Training Education and Research 5- Legal Environment 1- Job design 2- Departmentation
c) Fair Trade Practices 3- Span of Management 4- Delegation of Authority
GOVERMENT POLICY CHANGES
3- Personal Objective NEED FOR ORGANISATIONAL STRUCTURE :
a) Financial Needs of Personnel FAYOL'S PRINCIPLES OF MANAGEMENT : (NEW INDUSTRIAL POLICY IN JULY, 1991)
b) Recognition and Appericiation 1- Division of Work 1- Liberalisation 2- Privatisation 3- Globalisation 1- Growth in Size of Organisation
c) Healthy Working Environment 2- Authority and Responsibility 2- Overcoming Communication Problems
3- Discipline IMPACT OF GOVERNMENT POLICY CHANGES 3- Overcoming Co-Ordination Problems
IMPORTANCE OF MANAGEMENT : 4- Unity of Command ON BUSINESS AND INDUSTRY : 4- Need for Control
1- Management Helps In Achieving Group Goal 5- Unity of Direction 1- Increase in Competition (i) FUNCTIONAL STRUCTURE
2- Management Increases Efficiency 6- Subordination of Individual Interest to General Interest 2- More Demanding Customers ADVANTAGES :
3- Management Create a Dynamic Organisation 7- Remuneration of Personnel 3- Market Orientation 1- Specialisation 2- Effective Control and
4- Management Helps In Achieving Personal Objective 8- Centralisation and Decentralisation 4- Rapidly Changing Technological Environment Co-Ordination
5- Management Helps In the Development of Society 9- Scalar Chain 5- Necessity for change 3- Emproves Efficiency 4- Avoids Duplication
NATURE OF MANAGEMENT : 10- Order 6- Need for Developing Human Resource 5- Ease in Training 6- Supervision
11- Equity 7- Loss of Budgetory Support to The Public Sector.
1- Management Is an Art : 12- Stability of Tenure of Personnel
DISADVANTAGES :
i) Existence of the Theoretical Knowledge 13- Initiative MANAGERIAL RESPONSES TO CHANGES IN 1- Functional Empire 2- Difficulty In Co-Ordination
ii) Personalised Application 14- Espirit De Corps 3- Difficult to Hold Accountable
iii) Based on Practice and Creativity BUSINESS ENVIRONMENT: 4- Conflict of Interest 5- Inflexibility
1- Diversification Spree
2- Management As Science : TAYLOR'S PRINCIPLES OF SCIENTIFIC 2- Joint Venture / Consolidation of Multinationals (ii) DIVISIONAL STRUCTURE :
i) Systematic Body of Knowledge MANAGEMENT 3- Brand Building ADVANTAGES :
ii) Principles are Based of Repeated Experiments. 4- Use of Latest Technology
iii) Universal Validity 1- Science Not Rule of Thumb 1- Product Specialisation 2- Greater Accountability
5- Sharply Improved Compensation Levels 3- Flexibility & More Initiative 4- Growth and Expansion
2- Harmony Not Discord 6- Customer Focus
3- Management As a Profession : 3- Cooperation Not Individualism DISADVANTAGES :
i) Well Defined Body of Knowledge 4- Development of each and every person to his/her Greatest 1- Departmental Conflicts 2- Costly
ii) Restricted Entry
Efficiency and Prosperity.
Demonetisation 3- Ignores Organisational Interest
iii) Professional Association
iv) Ethical Code of Conduct FEATURES OF DEMONETISATION
TAYLOR'S TECHNIQUES OF SCIENTIFIC MANAGEMENT : TYPES OF ORGANISATION :
v) Service Motive 1- As tax administration measure
1- FUNCTIONAL FOREMANSHIP 2- As a shift on the part of the government (i) FORMAL ORGANISATION :
LEVELS OF MANAGEMENT Planning Incharge Production Incharge 3- Channelizing savings into the formal financial system
Route Clerk Gang Boss
FEATURES :
TOP LEVEL MANAGEMENT 4- Creation of a less-cash or cash-lite economy 1- Formation 2- Purpose 3- Reporting Relationship
Instruction Card Clerk Speed Boss
1- Determine the Obtectives for the Organisation OBJECTIVES OF DEMONETISATION IN INDIA 4- Stability 5- Chain of Command & Communication
Time And Cost Clerk Repair Boss
2- Framing of Plan and Policies 1- To Control Circulation of Fake Currency. 6- Flexibility 7- Coordination
Disciplinarian Inspector
3- Co-Ordinate and Control the Performance 2- To Restrict and Reduce the Supply of Money, Used for ADVANTAGES :
4- Analyse the Business Environment 2- WORK STUDY 1- Fixation of Responsibility 2- Clarity of Duties
Anti-Social Activities.
5- Setting up an Organisational Framework Method Study Motion Study 3- To Run Cashless Economy in the Country. 3- Unity of Command 4- Helpful In Achieving Objectives
6- Assemble the Resources 5- Provides Stability
Time Study Fatigue Study 4- To Reduce or Eliminate Tax Evasion .
MIDDLE LEVEL MANAGEMENT 5- To Eliminate Black Money and Black Marketing. DISADVANTAGES :
1- Interpret the Policies Framed by Top Management 3- STANDARDISAITON AND SIMPLIFICATION OF WORK 1- Delay In Action 2- Lack of Initiative
6- To Curb Corruption.
2- Selecting Suitable Operative and Supervisory Personnel 4- DIFFERENTIAL PIECE WAGE SYSTEM 3- Ignore Human Element
3- Assign Duties and Responsibilities to Lower Level IMPACT OF DEMONETISATION
(ii) INFORMAL ORGANISATION :
Management Chapter - 4 1. Money/Interest rates: * Decline in cash transactions.
4- Motivate Personnel to Achieve Desired Objectives * Bank deposits increased. FEATURES :
5- Co-Operate with Entire Organisation. PLANNING * Increase in financial savings. 1- Formation 2- Purpose
LOWER LEVEL MANAGEMENT CHARACTERISTICS / FEATURES OF PLANNING: 2. Private wealth : Some high demonetised notes were not 3- Reporting Relationship 4- Stability
1- Issue Orders and Instruction returned to the depositors leading to fall in the prices of real 5- Chain of Command & Communication
2- Prepare Plan for Activities 1- Planning Focuses on Achieving Objectives estate. 6- Flexibility 7- Structure
3- Assign and Assist In Work 2- Planning is a Primary Function of Management 3. Public sector wealth: There had been no effect on public ADVANTAGES :
4- Represent Worker's Grievances 3- Planning is Pervasive sector wealth. 1- Speed 2- Fulfillment of Social Needs
5- Safe and Proper Working Environment 4- Planning is Continuous 4. Digitisation: Digital transactions amongst new users 3- Fills Inadequacies
6- Encourage Initiative of Employees. 5- Planning is Futuristic (RuPay/AEPS-Aadhar enabled payment system) have increased. DISADVANTAGES :
6- Planning involves Decision Making 5. Real estate: Prices of real estate have declined. 1- Create Rumours 2- Resistance to Change
FUNCTION OF MANAGEMENT : 7- Planning is a Mental Exercise 6. Tax collection: There has been rise in income tax collection 3- Pressure of Group Norms
1- Planning 2- Organising 3- Staffing 4- Directing because of increased disclosure.
IMPORTANCE OF PLANNING ELEMENTS OF DELEGATION :
5- Controlling
1- Planning Provides Direction 1- Authority 2- Responsibility 3- Accountability
2- Planning Reduces The Risk of Uncertainty EXTERNAL LIMITATION OF PLANNING :
CO-ORDINATION 3- Planning Reduces Overlapping and Wasteful Activities
IMPORTANCE OF DELEGATION OF AUTHORITY :
1- Natural Calamities 1- Effective Management
NATURE / FEATURES OF CO-ORDINATION : 4- Planning Promotes Innovative Ideas 2- Technological Changes 2- Employee Development
5- Planning Facilitates Decision Making 3- Changes In Government Policies
1- Co-Ordination Integrates Group Efforts 3- Motivation Of Employees
6- Planning Establishes Standards for Controlling 4- Strategies of Competitors
2- Co-Ordination Ensures Unity of Action 4- Facilitates Organisational Growth
3- Co-Ordination is a Continuous Process LIMITATION OF PLANNING : 5- Changes In Fashion, Taste, etc 5- Basis of Management Hierarchy
4- Co-Ordination is all Pervasive Function TYPES OF PLANS : 6- Better Co-Ordination
1- Planning Leads to Rigidity
5- Co-Ordination is the Responsibility of all Managers IMPORTANCE OF DECENTRALISATION :
2- Planning May not work in dynamic environment I- STANDING PLANS
6- Co-Ordination is a Deliberate Function. 1- Develops Initiative Amongst Subordinates.
3- It Reduces Creativity 1-Objectives 2- Strategy
IMPORTANCE OF CO-ORDINAITON: 4- Planning Involves Huge Costs 3- Policy 4- Procedure 2- Develops Managerial Talent for the Future.
5- It is a Time Consuming Process 5- Rule 6- Method 3- Relief to Top Management
1- Growth in Size 6- Planning does not Guarantee Success 4- Quick Decision Making
2- Functional Differentiation II- SINGLE USE PLANS
1- Programmes 2- Budget 5- Facilitates Growth
3- Specialisation 6- Better Control
NATURE AND SIGNIFICANCE OF PRINCIPLES OF MANAGEMENT BUSINESS ENVIRONMENT ORGANISING
MANAGEMENT CHARACTERISTICS / FEATURES OF FEATURES OF BUSINESS ENVIRONMENT : PROESS OF ORGANISING :
MANAGEMENT OF PRINCIPLE : 1- Identification and Division of Work
CHARACTERISTICS / FEATURES OF MANAGEMENT : 1- Totality of External Forces 2- Specific and General Forces
2- Departmentalisation
1- Universal Application 3- Inter-Relatedness 4- Dynamic Nature
1- Management is Goal Oriented Process. 5- Uncertainty 6- Complexity 3- Assignment of Duties
2- General Guidelines 4- Establishing Reporting Relationships
2- Management is All Pervasive 7- Relativity
3-Formed by Practice and Experiments
3- Management is Multidimensional IMPORTANCE OF ORGANISING :
a) Management of Work. 4- Flexible IMPORTANCE OF BUSINESS ENVIRONMENT :
b) Management of People. 5- Mainly Behavioural 1- Benefits of Specialisation
c) Management of Operations. 6- Cause and Effect Relationship 1- It Enables the Firm to Identify Opportunities and Getting the 2- Clarity In Working Relationships
4- Management is A Continuous Process 7- Contingent First Mover Advantage 3- Optimun Utilisation of Resources
5- Management is A Group Activity. 2- It Helps The Firm To Identify Threats & Early Warning Signals 4- Adoptation To Change
6- Management is A Dynamic Function. IMPORTANCE OF PRINCIPLES OF 3- It Helps In Tapping Useful Resources 5- Effective Administration
7- Management is A Intangible Force. 4- It Helps In Coping with Rapid Changes
MANAGEMENT : 5- It Helps In Assisting in Planning and Policy Formulation
6- Development of Personnel
7- Expansion and Growth
OBTECTIVES OF MANAGEMENT : 1- Provide useful Insights to Managers. 6- It Helps In Improving Performance
2- Optimum Utilisation of Resources & Effective Administration ORGANISATION STRUCTURE :
1- Organisational Objetive 3- Scientific Decisions DIMENSIONS / ELEMENTS OF BUSINESS ENVIRONMENT :
Survival Profit Growth CONSIDERATION WHILE DESIGNING
2- Social Objective 4- Meeting Changing Environment Requirements 1- Economic Environment 2- Social Environment
5- Fulfilling Social Responsibility 3- Technological Environment 4- Political Environment ORGANISATIONAL STRUCTURE :
a) Lawful Business
b) Environmental Friendly 6- Management Training Education and Research 5- Legal Environment 1- Job design 2- Departmentation
c) Fair Trade Practices 3- Span of Management 4- Delegation of Authority
GOVERMENT POLICY CHANGES
3- Personal Objective NEED FOR ORGANISATIONAL STRUCTURE :
a) Financial Needs of Personnel FAYOL'S PRINCIPLES OF MANAGEMENT : (NEW INDUSTRIAL POLICY IN JULY, 1991)
b) Recognition and Appericiation 1- Division of Work 1- Liberalisation 2- Privatisation 3- Globalisation 1- Growth in Size of Organisation
c) Healthy Working Environment 2- Authority and Responsibility 2- Overcoming Communication Problems
3- Discipline IMPACT OF GOVERNMENT POLICY CHANGES 3- Overcoming Co-Ordination Problems
IMPORTANCE OF MANAGEMENT : 4- Unity of Command ON BUSINESS AND INDUSTRY : 4- Need for Control
1- Management Helps In Achieving Group Goal 5- Unity of Direction 1- Increase in Competition (i) FUNCTIONAL STRUCTURE
2- Management Increases Efficiency 6- Subordination of Individual Interest to General Interest 2- More Demanding Customers ADVANTAGES :
3- Management Create a Dynamic Organisation 7- Remuneration of Personnel 3- Market Orientation 1- Specialisation 2- Effective Control and
4- Management Helps In Achieving Personal Objective 8- Centralisation and Decentralisation 4- Rapidly Changing Technological Environment Co-Ordination
5- Management Helps In the Development of Society 9- Scalar Chain 5- Necessity for change 3- Emproves Efficiency 4- Avoids Duplication
NATURE OF MANAGEMENT : 10- Order 6- Need for Developing Human Resource 5- Ease in Training 6- Supervision
11- Equity 7- Loss of Budgetory Support to The Public Sector.
1- Management Is an Art : 12- Stability of Tenure of Personnel
DISADVANTAGES :
i) Existence of the Theoretical Knowledge 13- Initiative MANAGERIAL RESPONSES TO CHANGES IN 1- Functional Empire 2- Difficulty In Co-Ordination
ii) Personalised Application 14- Espirit De Corps 3- Difficult to Hold Accountable
iii) Based on Practice and Creativity BUSINESS ENVIRONMENT: 4- Conflict of Interest 5- Inflexibility
1- Diversification Spree
2- Management As Science : TAYLOR'S PRINCIPLES OF SCIENTIFIC 2- Joint Venture / Consolidation of Multinationals (ii) DIVISIONAL STRUCTURE :
i) Systematic Body of Knowledge MANAGEMENT 3- Brand Building ADVANTAGES :
ii) Principles are Based of Repeated Experiments. 4- Use of Latest Technology
iii) Universal Validity 1- Science Not Rule of Thumb 1- Product Specialisation 2- Greater Accountability
5- Sharply Improved Compensation Levels 3- Flexibility & More Initiative 4- Growth and Expansion
2- Harmony Not Discord 6- Customer Focus
3- Management As a Profession : 3- Cooperation Not Individualism DISADVANTAGES :
i) Well Defined Body of Knowledge 4- Development of each and every person to his/her Greatest 1- Departmental Conflicts 2- Costly
ii) Restricted Entry
Efficiency and Prosperity.
Demonetisation 3- Ignores Organisational Interest
iii) Professional Association
iv) Ethical Code of Conduct FEATURES OF DEMONETISATION
TAYLOR'S TECHNIQUES OF SCIENTIFIC MANAGEMENT : TYPES OF ORGANISATION :
v) Service Motive 1- As tax administration measure
1- FUNCTIONAL FOREMANSHIP 2- As a shift on the part of the government (i) FORMAL ORGANISATION :
LEVELS OF MANAGEMENT Planning Incharge Production Incharge 3- Channelizing savings into the formal financial system
Route Clerk Gang Boss
FEATURES :
TOP LEVEL MANAGEMENT 4- Creation of a less-cash or cash-lite economy 1- Formation 2- Purpose 3- Reporting Relationship
Instruction Card Clerk Speed Boss
1- Determine the Obtectives for the Organisation OBJECTIVES OF DEMONETISATION IN INDIA 4- Stability 5- Chain of Command & Communication
Time And Cost Clerk Repair Boss
2- Framing of Plan and Policies 1- To Control Circulation of Fake Currency. 6- Flexibility 7- Coordination
Disciplinarian Inspector
3- Co-Ordinate and Control the Performance 2- To Restrict and Reduce the Supply of Money, Used for ADVANTAGES :
4- Analyse the Business Environment 2- WORK STUDY 1- Fixation of Responsibility 2- Clarity of Duties
Anti-Social Activities.
5- Setting up an Organisational Framework Method Study Motion Study 3- To Run Cashless Economy in the Country. 3- Unity of Command 4- Helpful In Achieving Objectives
6- Assemble the Resources 5- Provides Stability
Time Study Fatigue Study 4- To Reduce or Eliminate Tax Evasion .
MIDDLE LEVEL MANAGEMENT 5- To Eliminate Black Money and Black Marketing. DISADVANTAGES :
1- Interpret the Policies Framed by Top Management 3- STANDARDISAITON AND SIMPLIFICATION OF WORK 1- Delay In Action 2- Lack of Initiative
6- To Curb Corruption.
2- Selecting Suitable Operative and Supervisory Personnel 4- DIFFERENTIAL PIECE WAGE SYSTEM 3- Ignore Human Element
3- Assign Duties and Responsibilities to Lower Level IMPACT OF DEMONETISATION
(ii) INFORMAL ORGANISATION :
Management Chapter - 4 1. Money/Interest rates: * Decline in cash transactions.
4- Motivate Personnel to Achieve Desired Objectives * Bank deposits increased. FEATURES :
5- Co-Operate with Entire Organisation. PLANNING * Increase in financial savings. 1- Formation 2- Purpose
LOWER LEVEL MANAGEMENT CHARACTERISTICS / FEATURES OF PLANNING: 2. Private wealth : Some high demonetised notes were not 3- Reporting Relationship 4- Stability
1- Issue Orders and Instruction returned to the depositors leading to fall in the prices of real 5- Chain of Command & Communication
2- Prepare Plan for Activities 1- Planning Focuses on Achieving Objectives estate. 6- Flexibility 7- Structure
3- Assign and Assist In Work 2- Planning is a Primary Function of Management 3. Public sector wealth: There had been no effect on public ADVANTAGES :
4- Represent Worker's Grievances 3- Planning is Pervasive sector wealth. 1- Speed 2- Fulfillment of Social Needs
5- Safe and Proper Working Environment 4- Planning is Continuous 4. Digitisation: Digital transactions amongst new users 3- Fills Inadequacies
6- Encourage Initiative of Employees. 5- Planning is Futuristic (RuPay/AEPS-Aadhar enabled payment system) have increased. DISADVANTAGES :
6- Planning involves Decision Making 5. Real estate: Prices of real estate have declined. 1- Create Rumours 2- Resistance to Change
FUNCTION OF MANAGEMENT : 7- Planning is a Mental Exercise 6. Tax collection: There has been rise in income tax collection 3- Pressure of Group Norms
1- Planning 2- Organising 3- Staffing 4- Directing because of increased disclosure.
IMPORTANCE OF PLANNING ELEMENTS OF DELEGATION :
5- Controlling
1- Planning Provides Direction 1- Authority 2- Responsibility 3- Accountability
2- Planning Reduces The Risk of Uncertainty EXTERNAL LIMITATION OF PLANNING :
CO-ORDINATION 3- Planning Reduces Overlapping and Wasteful Activities
IMPORTANCE OF DELEGATION OF AUTHORITY :
1- Natural Calamities 1- Effective Management
NATURE / FEATURES OF CO-ORDINATION : 4- Planning Promotes Innovative Ideas 2- Technological Changes 2- Employee Development
5- Planning Facilitates Decision Making 3- Changes In Government Policies
1- Co-Ordination Integrates Group Efforts 3- Motivation Of Employees
6- Planning Establishes Standards for Controlling 4- Strategies of Competitors
2- Co-Ordination Ensures Unity of Action 4- Facilitates Organisational Growth
3- Co-Ordination is a Continuous Process LIMITATION OF PLANNING : 5- Changes In Fashion, Taste, etc 5- Basis of Management Hierarchy
4- Co-Ordination is all Pervasive Function TYPES OF PLANS : 6- Better Co-Ordination
1- Planning Leads to Rigidity
5- Co-Ordination is the Responsibility of all Managers IMPORTANCE OF DECENTRALISATION :
2- Planning May not work in dynamic environment I- STANDING PLANS
6- Co-Ordination is a Deliberate Function. 1- Develops Initiative Amongst Subordinates.
3- It Reduces Creativity 1-Objectives 2- Strategy
IMPORTANCE OF CO-ORDINAITON: 4- Planning Involves Huge Costs 3- Policy 4- Procedure 2- Develops Managerial Talent for the Future.
5- It is a Time Consuming Process 5- Rule 6- Method 3- Relief to Top Management
1- Growth in Size 6- Planning does not Guarantee Success 4- Quick Decision Making
2- Functional Differentiation II- SINGLE USE PLANS
1- Programmes 2- Budget 5- Facilitates Growth
3- Specialisation 6- Better Control
