Tuesday, March 31, 2009

unit 4 (principle of management)

Unit 4 Directing
Scope – Human factors – creativity and Innovations – Harmonizing Objectives – Leadership – Types of Leadership, Motivation – Hierarchy of needs – Motivation theories – Motivation Techniques – Job enrichment – Communication – Electronic Media in Communication.


Staffing
- Filling and keeping filled, positions in the Organisation structure.
- Def – Koontz and O’Donnell “ The managerial functions of staffing involves manning the Organisational structure through proper and effective selection, appraisal and development of personnel to fill the roles designed into structure.

Functions of Staffing
Procurement
– Job analysis
– Man power planning
– Recruitment
– Selection
– Placement

Development
- Performance appraisal
- Training
- Management Development
- Career Planning & Development
- Promotion

Compensation
– Job evaluation
– Wage and Salary administration
– Incentives
– Fringe Benefits
– Social security measures

Human Relations
- is an area of management in integrating people into work situation in a way that motivates them to work together productively, co-operatively and with economic, psychological and social satisfaction.






Sequence of activity in Staffing
Pre-employment activities - Requisitioning, Recruiting & Selecting

Post employment activities - Training, appraising, Promoting and Compensating, Providing miscellaneous services.


Purpose and Importance
Increasing size of Organisation
Advancement of technology
Long range needs of manpower
High wage bill
Trade unionism
Human relations movement

Recruitment & Selection
- 1st Stage, continues with selection and stops with the placement of the candidate
- It stimulates people to apply for jobs to increase the hiring ration. i.e. the number of applicants for a job
- Goal of Recruitment is to create a large pool of persons available and wiling to work.
- Selecting the person overall
- Def.- Edwin & Flippo – “ Recruitment is the process of searching for prospective employees and stimulating them to apply for jobs in the Organisation.

Sources of Recruitment
Internal sources – It includes personnel already on the payroll of an Organisation, presenting working force.

Merits
- Less expense
- Builds loyalty
- Ensures stability
- Sense of security
- Lower level to look forward to rising to higher levels
- Morale of the employees (Shows more Enthusiasm)

Demerits
- Promotion based on seniority, inefficient people may also be promoted this will ultimately ruin the prospects of the firm.
- There will not be any creativity
- Lack of Technical skills


External Sources – Fresh blood should be injected so as to make it more dynamic
- freshers from college
- unemployed with a wide range of skills and abilities
- retired experienced person

Merits
- required skills
- Do objective selections (since people are recruited from a large market, the best selection can be made without any distinctions of caste, colour, gender)
- May b economical in the long run (training is not required)

Demerits
-Brain Drain – Experienced persons or raided or hunted by other concerns

Methods or Techniques of Recruitment
Direct Method – campus recruitment
Indirect Method – use advertisements for recruitment in newspaper, journal, etc
- Blind advertisement – without company name the advertisement been made
Third Party method
Private Employment agency
Public Employment agency
Head hunters (Professional Recruiting agencies)
Employee Referrals (Recommendations)
Trade Unions
Applicant at the gate
Voluntary Organisation
Computer data bank

Recruitment Policy 5 Elements
Identification of Recruitment needs
Preferred sources of Recruitment
Criteria of selection and selection techniques
Cost of Recruitment
Role, if any assigned to the union in the formulation and implementation of recruitment and selection policies.

Selection
- Process of discovering the most suitable and promising candidates to fll up the vacancies
- The goal of selection is to sort out or eliminate those judged unqualified to meet the job and organizational requirements
- After receiving the application select a particular person
- Recruitment is a method while selection is a procedure.
- Successive hurdles techniques
Steps in Selection
- A process of rejecting the unwanted applicant
1. Receiving application
2. Preliminary screening / Interview
3. Application blank
4. Psychological test
5. Interview
6. Reference check
7. Physical Examination
8. Final Interview

Interview
The Interview is the most frequent method of selection. The Interview is a face to face conversation between an applicant and the employer. The purpose of Interview is to collect information on behaviour, attitudes, opinions, maturity, emotional stability, enthusiasm, confidence, response and other commercial behaviour.
Factors considered in Interview
Ø Initiative
Ø Response
Ø Behaviour
Ø Work Experience
Ø Opinion
Ø Attitude
Ø Maturity
Ø Emotional Stability
Ø Enthusiasm
Ø Confidence

Types of Interview
Structured Interview – is also called as patterned interview. The interviewers are trained in the process to be used. A list of questions on analysis of the job specification is prepared. The Interviewing process attempts to predict how candidates will perform in the work situations.
Group or Discussion Interview – The interviewees are given certain problems and are asked to reach a specific decision within a particular time limit. The applicants enter into group discussion, knowing that the interview is a test, but do not know which qualities are being measured or tested. The object is to see how individuals perform on a particular task or in a particular situations
Panel or Board Interview – Candidate is interviewed by a number of interviewers. Questions may be asked in turn or asked in random order as they arise on any topic.
Stress Interview – The Interview assumes a hostile role toward the applicant. He deliberately puts him on the defensive by trying to any, embarrass or frustrate him. The purpose is to find out how a candidate behaves in a stress situation whether he loses his temper, gets confused or frightened.

PLACEMENT
The Placement of the individual on the new job and orienting him to the Organisation. Placement may be defined as the determination of the job to which an accepted candidate is to be assigned to that job. A proper placement of a worker reduces Employee turnover, absenteeism and accident rates and improve morale.
After the selection, the employee is generally put on a probationary period ranging from one to two years after his employment to regularized, provided that during this period, his work has been found to be satisfactory.
Ø Orientation
Ø Training
Ø Executive Development

Orientation / Induction / Indoctrination
Induction is a technique by which a new employee is rehabilitated into the changed surroundings and introduced to the practices, policies and purposes of the Organisation

The Main Objects of Orientation
Clarifying the job
Developing realistic expectation about the Organisation
Reducing the amount of stress of new employee
Reducing startup costs
Strengthening the relationships between new employee, his superiors and peers

A formal orientation programme generally provides information regarding the following :
1. The history of the Organisation
2. Products and services of the Company
3. Organisation structure of the enterprise
4. Location of departments and Units
5. Personnel policies and practices
6. Employees facilities and services
7. Rules and Regulations
8. Grievance procedures
9. Safety Measures











TRAINING & DEVELOPMENT

Training
- Training is an organized process for increasing the knowledge and skills of people for definite purpose.
Training & Education
- Training and Education is concerned with imparting specific skills for particular purpose
- Purpose of Training is to bring about improvement in the Performance of work
- Includes the learning of such skills as are required to do a specific job in a better way
Training & Development
- Development involves the growth of the individual in all respects
- Training is job centered whereas development is career bound
- Aims at increasing the capacity for further tasks of greater difficulty
- Contents and techniques of employee training may differ from those of Management Development.

Training & Development Process
Determining Training Needs
Organizational analysis – ( analyzing the present and future needs of the total Organization)
Operational analysis – (need of a specific group of jobs)
Individual analysis – (analyzing the need of the specific Employee)
Deciding the purpose of Training
Choosing Training method
Evaluating Training Effectiveness

Need for Training arises on the account of following reasons –
New Environment
Lack of Trained Personnel
Advancement in Technology
Faculty Methods
Prevention of accidents
Career Development.


Need for Training
To improve job related skills
To update Knowledge and skills
To prepare for higher responsibilities and task
To develop proper job related attitudes
To inject motivation and morale
To mould personnel to adapt and adjust to Organizational change

Advantages of Training
Increased productivity
Job Satisfaction
Reduction in accidents
Better use of Resources
Reduced Supervision
Greater Flexibility
Management by Exception
Stability and Growth

Essential of a good Training Programme
A good training programme must satisfy the following conditions
1. Clear Purpose
2. Training Needs
3. Relevance
4. Individual Differences
5. Appropriate incentives
6. Management Support
7. Balance between theory andpractice.

Training Procedure
Preparing the Instructor
- know the job or subject he is attempting to teach
- Have the aptitude and ability to teach
- Have willingness towards the profession
- Pleasing Personality and capacity for leadership
- Knowledge of teaching Principles and methods
Preparing the Trainee
Getting ready to teach
Presenting the Operation
Try out the Trainee’s performance
Follow - up

Methods and Techniques of Training

On the Job Training
Coaching
Understudy
Job Rotation
Vestibule Training – ( Dummy Machine set up )
Apprenticeship Training
Classroom Training




Executive Development / Management Development
“ Developing a manager is a progressive process in the same sense that educating a person it. Neither development nor Education should be thought of as something that can ever be completed, for there are no known limits to the degree to which one may be developed or educated”

Methods of Executive Development
On the Job Method
Coaching and Understudy
Position rotation
Special projects and task forces
Committee assignments
Multiple Management

Off the Job Method
Special courses
Conferences and Seminars
Case study
Selective Readings
Brain Storming
Simulation , role Playing and Management Games
Sensitivity Training
























DIRECTING

Directing concerns the total manner in which a manager influences the actions of subordinates. It is the final action of a manager in getting others to act after all preparations have been completed. It consist of the following elements:
issuing orders and instructions
continuing guidance and supervision of subordinates
motivating subordinates to work hard for meeting the expectation of management.
maintaining discipline and rewarding those who perform well
providing leadership to subordinates

CHARACTERISTICS
Elements of Management
Continuing Function
Pervasive Function
Creative Function
Linking function
Management of Human Factor

SIGNIFICANCE OF DIRECTING
Initiates action
Ensures coordination
Improves efficiency
Facilitates change
Assists stability and growth

PRINCIPLES
Harmony of objectives
Maximum individual contribution
Unity of command
Appropriate techniques
Direct Supervision
Strategic use of Informal Organization
Managerial Communication
Effective Leadership
Principle of Follow up through


TECHNIQUES OF DIRECTING
Delegation
Supervision
Orders and instructions
Motivation
Leadership
Communication


SUPERVISION
Supervision implies exert overseeing of people at work in order to ensure compliance with established plans and procedures. Every executive has to supervise the work of his subordinates. At the operating level, supervision is the most significant part of the manager job. The supervisor is in direct touch with the workers. He teaches proper work methods, maintains discipline and work standards and solve workers grievances or problems.

RESPONSIBILITIES OF A SUPERVISOR
To schedule work so as to ensure an even and steady flow.
To assign work to different individuals
To provide proper working conditions
To issue orders and instructions
To prescribe work methods and procedures
To guide, train and inspire workers in the efficient performance of work.

QUALITIES OF A GOOD SUPERVISOR
Knowledge of Work
Knowledge of the Organization
Communication Skill
Human Relation of Skill
Decisiveness

FUNCTIONS
Planning the work
Organising the Resources
Staffing the units
Maintaining discipline
Enforcing safety measures
Handling Grievances
Appraising performance

FUNDAMENTALS OF EFFECTIVE SUPERVISION
Planning the work
Time management and delegation
Organising the resources
Staffing the Units
Trianing and development of Employees
Disciplining the Workers
Appraising the performance of Employees
Controlling the results
Labour relations and Grievance procedures




LEADERSHIP

Definitions
Leadership is defined as influence, the art or process of influencing people so that they will strive willingly and enthusiastically toward the achievement of group goals.

- Leaders act to help a group attain objectives through the maximum application of its capabilities.
- Leaders must instill values – whether it be concern for quality, honesty and calculated risk taking or for employees and customers.

SKILLS
The ability to use power effectively and in a responsible manner
The ability to comprehend that human beings have different motivation forces at different times and in different situations
The ability to inspire
The ability to act in a manner that will develop a climate conductive to responding to and arousing motivations.
Fundamental understanding of People
ability to inspire followers to apply their full capabilities to a project

Leadership Styles
Autocratic Leader –Commands and expects compliance, is dogmatic and positive, and leads by the ability to withhold or give rewards and punishment.
Democratic or Participative – consults with subordinates on proposed actions and decision and encourage participation from there
Free-rein leader / laissez-faire Leadership – uses his or her power very little, giving a high degree of Interdepence in their operations. Leaders depend largely on subordinates to set their own goals and the means of achieving them, and they see their role as one of aiding the operation of followers by furnishing them with information and acting primarily as a contact with the groups external Environment.
Paternalistic Leadership – Serves as the head of the family and treats his followers like his family members. He assumes a paternal or fatherly role to help, guide and protect the followers.


Functions
Goal Determination
Motivating Followers
Direction
Coordination
Representation


Importance of Leadership
Aid to authority
Motive power to group efforts
Basis for co operation
Integration of Formal and Informal Organization.

Theories
Trait Theory – A Leader is a one who has got a enthusiastic look, courageous look – describes the external qualities of a person
Behavioral Theory – A person who intend to be leader, they do not have any qualities like Trait Theory
Contingency Theory –
Fiedler Model
Likert Model
Managerial Grid Theory

Fiedler Model - Leaders can be classified as two -
a. Relationship Oriented
b. Task Oriented
3 Situations been given to find the performance of two types of Leader-
– Leader member Relationships
- Task Structure
- Position Power
Employees under Relationship oriented Leader seems to achieve more performance than the other.

Likerts Model
System 1 – Exploitive Autocratic Leader (oriented towards task alone)
System 2 – Benevolent Autocratic Leader (task oriented but has the quality of opposing if things are good)
System 3 – Participative Leader (concerns the employees for a particular kind of work, though he concern decision will be taken only by him.
System 4 – Democratic Leader

3 Situations
1. Confidence / Trust in Employees
2. Subordinates feeling of freedom
3. Managers seeking involvement with Subordinates
Ratings of the Leaders by their employees at different situations

Managerial Grid Theory
Proposed by Blake and Mounton

2 Kinds of Leader
1. Leaders concerned for People
2. Leader concerned for production / Task

Leader styles
Task Manager Eg Defence , Concerned only on task
Team Builders – leaders high concern for production as well as people
Impoverished Style – Unfit for Leadership qualities, less concern for people as well as production
Country club Manager Eg – Trade union, high concern for people than production.


COMMUNICATION

Communication is derived from the Latin word Communis which implies common. Communication is the interchange of thoughts and information.

ELEMENTS
Sender
Message – The Subject matter of Communication
Encoding – act of translating he msg into words, pictures, symbols
Channel – Media used
Receiver –
Decoding – interprets the msg to draw meaning from it. He converts symbols, signs or pictures into meaning
Feedback –

Sound Communication provides the following advantage
Improves Managerial Performance
Facilitates Leadership
Increases job Satisfaction
Reduces time and efforts
Enhances coordination
Help public relations

CHANNELS OF COMMUNICATION
Formal Communication – follows the route formally laid down in the organization structure
Downward Communication – flow of communication from superior to subordinate
Upward Communication - flow of communication from subordinate to superior
Horizontal Communication – transmission of information among the positions at the same level of he Organization.

Informal Communication or Grapevine – Communication among people through informal contacts or relations.




Distinguish between Downward and Upward Communication
Down ward
Upward
From higher to lower levels
From lower to higher levels
Flow is downward
Flow is upward
Directive in nature
Non-directive
Purpose is to get plans implemented
Purpose is to provide feedback on results
Travels fast
Travels slowly
Orders, instructions, lectures, manuals, handbooks, etc are the main examples
Reports, suggestions, grievances, protests, surveys are the main examples.


Distinction between Formal and Informal Communication
Formal Communication
Informal Communication
Official Channel
Unofficial Channel
Deliberately Planned and Systematic
Unplanned and Spontaneous
Part of Organization Structure
Cuts across formal relationships
Oriented towards goals and task of the enterprises
Directed towards goals and need satisfaction of individuals
Impersonal
Personal and social
Stable and rigid
Flexible and instable
Slow and Structured
Fast and Unstructured

Grapevine Merits and Demerits
Merits
Demerits
Useful for developing group cohesiveness
Based on rumors
Serves as an emotional safety value
Misleads People
Effective source of knowledge feelings and attitudes of Employees
May breed against particular executives
Supplements the channels of official communication
May lead to more talk and less work
Tells mgt when to be firm and when to yield
May distort official channels of communication

MEDIA OR METHODS OF COMMUNICATION
Oral Communication
Written Communication
Gestural Communication

ORAL COMMUNICATION
Oral Communication involves exchange of messages through spoken words. It may take place. i) by face- to face contacts ii) through mechanical devices like telephone.


Merits
Oral or Verbal communication offers the following advantages:
Economical
Personal touch
Speed
Flexibility
Quick response

Demerits
Oral Communication suffers from the following weaknesses-
Lack of record
Time Consuming
Lengthy message
Physical distance
Misunderstanding

WRITTEN COMMUNICATION
Written Communication is transmitted through written words in the form of letter, circular, memos, bulletins, instruction cards, manuals, handbooks, reports, returns,

Merits
Effectiveness
Lengthy messages
Economical
Repetition
Permanent record
Better response


Demerits
Time Consuming
Expensive
Inflexibility
Little secrecy
Lack of personal touch
Misunderstanding

COMMUNICATION NETWORKS
Circle Network
Chain Network
Wheel Network
All Channel Network




BARRIERS TO COMMUNICATION
a. Organisational Barriers
Ambiguous policies, rules and procedures
Status patterns
Long chain of Command
Inadequate Facilities
b.Mechanical Barriers
1. Overloading
2. Semantic barriers
3. Noise
c.Personal Barriers
1. Lack of attention or interest
2. Failure to Communicate
3. Hasty Conclusion
4. Distrust of communicator
5. Improper state of mind.

MAKING COMMUNICATION EFFECTIVE
Sound Organization Structure
Clear messages
Two-way Communication
Multiple Channels
Good Listening
Effective Control
Modern Instrument
Human Relations attitude

ESSENTIALS OF GOOD COMMUNICATION SYSTEM
Clarity of messages
Completeness of message
Consistency of message
proper timing
Credibility
Empathy
Follow-up
Economy










UNIT 4 PART A
Define Staffing
Differentiate Recruitment and Selection
Define Transfer
Define promotion
Define Demotion
Define Retrenchment
Define Lay off
Define Training and Development
Define Induction / Indoctrination / Orientation.
Define Probationary Period.
Differentiate between training, education & Development
Define Performance Appraisal
State the objectives of Performance Appraisal
Distinguish between job description and job specification
Define job evaluation
Define supervision
Define Motivation. Why it is needed.
Define the term Job Enrichment
Define Leadership.
State the main function of Leadership
Define Communication
What are the important elements in communication
How will you make communication Effective
Define Grapevine
Define Semantic Barrier
PART B
Explain function of staffing. Staffing is the responsibility of every manager and not of he personnel department alone” – discuss
Explain various sources of Recruitment. Compare their merits and Demerits
Explain steps involved in selection procedure
State the benefits of Training and explain various types & methods of training.
Explain the methods of performance appraisal
Explain the obstacles to effective appraisal. What are the essentials of effective appraisal
“ A supervisor is a man in the middle” – comment
Explain various theories of motivation
Discuss various method to promote motivation
“ Motivation is the core of Management” – Explain. What can be done to motivate the staff in the Organization.
Explain the different styles of Leadership.
Which style of Leadership would you prefer and why.
State and Explain the Barriers to communication. Suggest measure for improvement.
Enumerate the different methods of communication
Discuss the importance of Communication in the functioning of an organization.

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