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• Management is the process of designing and maintaining anenvironment in which individuals working together in groups to efficientlyaccomplish selected aims.

• Management refers to all those persons who has got a team underthem or to all those who has to get the things done with the help ofothers.

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According to Stanley Vance: -

• Management is simply the process of decision making & control 

over the action of Human Beings for the express purpose of attaining predetermined goals.

Peter Drucker Says: -• Management is an organ and organs can be described and 

defined only through their function 

Henry Fayol Says: -

• To manage is to forecast and plan, to organize, to command, to co- 

ordinate and to control.

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• Management is a set of activities which includes planning,organizing, decision making, leading & controlling and these activitiesare directed at an organization’s resources (human, financial, physicaland information), with the aim of achieving organizational goals in an

efficient and effective manner.

Eg. Toyota Motors

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EFFICIENTLYUsing resources wisely and 

in a cost-effective way 

EFFECTIVELYMaking the right decisions and 

successfully implementing them 

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Characteristics of Management

1. It is a Process: - As a process mgnt. Involves those techniques by

which the managers coordinate the activities of the other people.

2. It is a Social Process: - as its functions are basically concerned withrelations among the people.

3. Group Efforts: - Mgnt. always refers to a group efforts and does not

apply to an individual.4. Attainment of Predetermined Objectives: - All the efforts are directed

towards the achievement of some pre determined objectives.

5. It is a distinct entity: - Mgnt. is a separate entity from the variousfunctional activities. Use of Knowledge, skills and Experience.

6. A System of Authority: - Authority to accomplish work from others.

7. Universality of Management: - The principles & techniques ofmanagement are equally applicable in the field of business, education,hospitals etc.

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 8. It is needed at all levels: - It applies at all levels of an organization.

9. It is a discipline: - Mgnt. Today has its organized body of knowledge,principles & techniques.

10. It is an integrative process: - The essence of Mgnt is to integrate allthe resources for effective performance.

11. It is an art and science as well: - It has an element of art andcharacteristics of science.

12. It is a profession: - It possesses all the attributes of profession.

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Levels of Management

Levels of management refer to a line of separation between variousmanagerial positions.

Broadly there are three levels of management, namely:-

1. Top management: -It consists of owner/s, Chairman, Managing

Director, CEO, CFO, COO, BOD’s.

2. Middle Management: - It consists of Functional head, general

managers, senior managers and other divisional officers of thecompany.

3. Lower Management or Operating Management: - It consistof junior executives, first line managers, supervisors etc.

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Top Management: -

• They are relatively small group of executives who manages the overallorganizations.

• They officially represent the organization to the external environment.

• They establish the objectives or goals of the organization.

• They exercise effective control on all the operations.

• They provide overall leadership to the organization.

• To assemble the resources like money, men, materials etc.

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Middle Management: -

• They are primary responsible for implementing the policies & plansdeveloped by top managers.

• To assign activities, duties and responsibilities to lower management for

timely implementation of the plans.• They supervise & coordinate the activities of lower-level management.

• Middle managers work as a bridge between upper & lower levels of theorganizations.

• To recruit and select suitable operative and supervisory staff.• To make suitable recommendations to the top management for thebetter execution of plans and policies.

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Lower Management: -

• These people are responsible for actual operations.

• They allot various jobs to the workers, evaluate their performance andreport it to middle management.

• These are in direct touch with workers, & have to get work done through

the workers.

• They are more concerned with direction of the management.

• They interpret and divide the plans of the management into short-rangeoperating plans.

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Branches of Management

1. Production Management

2. Materials Management

3. Purchase Management

4. Financial Management

5. Personnel Management

6. Office Management

7. Marketing Management

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Functions Of Management

Following are the functions of management: -

1. Planning.2. Organizing.

3. Staffing.4. Directing.5. Coordinating6. Controlling.

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Planning: -

• Planning function is the primary activity of management.

• The first step in planning is the selection of goals for the organization.

• Planning involves selecting mission and objectives and the action toachieve them.

• It requires decision making i.e. choosing future courses of action fromvarious objectives.

• Planning is performed in all kinds of organization by all managers atall hierarchy.

•  As a whole organization’s plans are the primary tools for preparing &

for dealing with changes in the organization’s environment. 

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Organizing: -

• Once objectives & plans are ready then one has to design & developan organization in order to achieve objectives.

• It includes identification of activities required for the achievement ofobjectives and implementation of plans.

• It is the process of arranging and allocating work, authority andresources among organization’s member so they can achieve theorganization’s goals.

• In other words it is the basic process of combining & integrating

human, physical and financial resources in productive inter relationsfor the achievement of enterprise objectives.

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Staffing: -

• It is a continuous function of management.• Once strategies and policies are framed and ground into jobs, thenext step is to procure suitable personnel for managing the jobs.

• As efficiency and effectiveness of any organization depends on thequality of its manpower so this is a distinct function of themanagement.

• Staffing also includes: -

Induction

Placement Transfer

Promotions

Increments

Training & Development

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Coordinating: -

• It refers to establishing relations among various parts of organization inorder to achieve organizational objectives.

• This process is of tying all the organizational activities, operations,

decisions for the accomplishment of organizational objectives.• Many management researcher believes that coordinating is theessence of management.

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Controlling: -

• This function ensures that the divisional, departmental, sectional orindividual performances are consistent with predetermined goals andobjectives.

• This function states that goals and standards of performance existand are known to employees and their superiors.

• This function helps managers to keep the organization on track.Without this function other function loose their application.

• This function helps managers in knowing the deviation & allows themto understand the reason for this deviation.

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Types of Management

1. Authoritarian Management

2. Centralized Management

3. Unified Management

4. Decentralized Management

5. Bottom up Management

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Principles of Management

1. Authority and responsibility are related – Authority flows from responsibility.

2. Unity of command – One boss.

3. Unity of direction – One head one plan.

4. Scalar chain of command - Gangplank

5. Division of work.

6. Discipline.

7. Subordination of individual interest to general interest – Top mgnt. To set anexample of honesty, integrity & justice.

8. Remuneration – Employees should be paid fairly.

9. Centralization

10.Order – Right person on the right job.

11.Equity – Subordinates should be treated with justice.

12.Stability of tenure of personnel – Sense of Job security.

13.Initiative. – To create an environment to encourage subordinates to initiate.

14.Esprit de Corps – Cohesiveness & team spirit should be encouraged.

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Social Objectives of Management

The social environment is made up of the attitudes, desires,expectations and beliefs and customs of people in a givensociety.

1. Provision of Employment

2. Productions of goods of proper quality

3. Proper use of Natural Resources.

4. Proper liaison the Government.

5. Welfare of workers.6. Respect for the individual, regardless of race, caste or religion.

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Ethics in Business

• Ethically responsible company is one which has developed a culture of

caring for people, environment, society.• It is a Top-Down approach. i.e. it flows from top management.

• Globalization has brought about greater involvement with ethicalconsiderations and most importantly achieving competitive advantagethrough business ethics.

• In today’s scenario It is the necessity of being ethically proactivecompany rather than being ethically reactive company.

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• Physical Security.

• Minimal Education.

• Freedom of speech.

• Freedom from torture.

• Nondiscriminatory treatment.

Following are the pre-requisite of Human Guidelines.