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Defining management

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These lecture notes define management

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Monday, 27 September 2021

Defining management

Definition of management:

• What is management?
Is the achievement of organisational goals in an effective and efficient manner
through planning, organising, leading and controlling organisational resources.



Organisation is a social entity that is goal-directed and deliberately structured.

- Social entity: being made up of two or more people.
- Goal- directed: designed to achieve some outcome ( profit, win pay increases for
members, meet spiritual needs, provide social satisfaction).

- Deliberately structured: tasks are divided, and responsibility for their
performance is assigned to organisation members.


Efficiency and effectiveness
- Efficiency refers to the amount of resources (raw material,
money, people) used to produce a desired volume of
output. Looks at £/ha gross margin, litres water/kg
product, days sick/employee, m.p.g.

- Effectiveness refers to the degree to which the organisation
achieves a stated goal (without reference to costs). Looks at
market share, customer satisfaction, zero carbon.

- Performance is defined as the organisation’s ability to attain
goals by using resources in an efficient and effective manner,
measures against pre-set standards. Looks at share price,
yield, quality, reduction of pollution below limit.

A farm will need to efficiently allocate land to crop production, fertilisers and other
inputs to achieve high yield. Effectiveness will refer to the achievement of high
quality of crop. Performance is the refers to the ability of maximising yield,
producing high quality of crops and achieve a good margin.




1

, Monday, 27 September 2021

The four functions of management:
- Planning: the management function concerned with defining goals for future
performance and how to attain them.

- Organisation: Assigning tasks, grouping tasks into departments, delegating
authority and allocating resources across the organisation.

- Leading: using influence to motivate employees to achieve the organisation’s
goals.

- Controlling: concerned with monitoring employees activities, keeping the
organisation on track towards meeting its goals and making corrections where
necessary.




• What do managers do?
Managers get things done by coordinating and motivating other people.

Managers…:

•-Set objectives (always first step, before
organising):- establish goals and decide what
needs to be done to achieve them. (P)

-Organise:- divide work into manageable
activities and choose the appropriate people
for the job for efficiency and effectiveness. (O)

-Motivate and communicate:- Create
teamwork through decisions on pay,
promotions, etc. and by communicating well


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