📘 BUS101 – Principles of Management
Exam Review (Chapters 1–5)
Chapter 1 – Introduction to Management
Definition: Management is the process of planning, organizing, leading, and controlling
resources to achieve goals efficiently and effectively.
Functions of Management (Fayol’s 4 Functions):
1. Planning – setting goals & deciding actions
2. Organizing – allocating resources & responsibilities
3. Leading – motivating, directing, and influencing people
4. Controlling – monitoring performance and making adjustments
Levels of Management: Top (strategic), Middle (tactical), Frontline (operational).
Example: At Tesla, Elon Musk (top management) sets sustainability goals, while plant
managers (middle management) focus on production targets.
Chapter 2 – Management Theories
Classical Theories:
o Taylor’s Scientific Management → focus on efficiency.
o Fayol’s Administrative Principles → management functions.
Human Relations Approach: Elton Mayo’s Hawthorne Studies → employee morale
matters.
Modern Approaches: Systems Theory, Contingency Theory.
Application: Tesla uses Contingency Theory by adapting management style to global
challenges (e.g., China vs U.S. trade policies).
Exam Review (Chapters 1–5)
Chapter 1 – Introduction to Management
Definition: Management is the process of planning, organizing, leading, and controlling
resources to achieve goals efficiently and effectively.
Functions of Management (Fayol’s 4 Functions):
1. Planning – setting goals & deciding actions
2. Organizing – allocating resources & responsibilities
3. Leading – motivating, directing, and influencing people
4. Controlling – monitoring performance and making adjustments
Levels of Management: Top (strategic), Middle (tactical), Frontline (operational).
Example: At Tesla, Elon Musk (top management) sets sustainability goals, while plant
managers (middle management) focus on production targets.
Chapter 2 – Management Theories
Classical Theories:
o Taylor’s Scientific Management → focus on efficiency.
o Fayol’s Administrative Principles → management functions.
Human Relations Approach: Elton Mayo’s Hawthorne Studies → employee morale
matters.
Modern Approaches: Systems Theory, Contingency Theory.
Application: Tesla uses Contingency Theory by adapting management style to global
challenges (e.g., China vs U.S. trade policies).
