Effective decision-making process requires a rational choice of a course of action. There is a need to define the term rational here. Rationality is the ability to follow systematically, logical, thorough approach in decision making. Thus, if a decision is taken after thorough analysis and reasoning and weighing the consequences of various alternatives, such a decision will be called an objective or rational decision. Therefore rationality is the ability to follow a systematic, logical and thorough approach in decision-making process. Gross suggested three dimensions to determine rationality: (i) the extent to which a given action satisfies human interests; (ii) feasibility of means to the given end; (iii) consistency. Steps of decision-making process are given below: Diagnosing and defining the problem: the first step in decision-making is to find out the correct problem. It is not easy to define the problem. It should be seen what is causing the trouble and Continue reading
Management Basics
Organizing Function of Management
According to Haimann, “Organization is the process of defining and grouping the activities of the enterprise and establishing the authority relationship among them.” The mentioned definition makes it clear that on the one hand organization is a process to define and classify the functions to be performed for the attainment of the objectives of the organization, and on the other hand, it is an art to establish sweet relationship among different persons. There are two concept are prevalent about organisation. In the other word, there are two meaning of organization: Organizing as process: According to the first concept of organizing, it has been considered as a process. In the other word, organizing is not function that can be performed at a single stroke, but it is a chain of various functions. It includes getting information about objectives, deciding various activities and grouping them, determining important activities, allowing authority and responsibility, Continue reading
Features of Business Organizations
An organization is the association of persons for achieving certain objectives. An organization is a social system wherein its members try to achieve their private goals while achieving the organizational goals. The seemingly contradictory goals are resolved by effective organizational behavior. The organization has some objectives which are attained by organizing the activities of their member. An organization for business purposes is commonly known as a corporate body or a corporation or a company or formally established business unit. It is dynamic and ever changing as per the needs of society, its members, corporate objectives and environmental changes. Men form and develop organizations because they are unable to achieve the desired goals individually. They evolve different forms of organization according to their needs. An organization is a composition of people having different authorities and responsibilities to utilize existing resources for achieving the organizational objectives. Common Features of Business Organizations Continue reading
Evaluation Concept in Management
Definitions of Evaluation in Management Evaluation is the analysis and comparison of actual progress vis-Ã -vis prior plans. Evaluation is oriented toward improving plans for future implementation to ensure improved performance. Evaluation is part of a continuing management process consisting of planning, implementation, and evaluation. Ideally each of these steps follows the other in a continuous cycle until successful completion of the activity. Evaluation involves comparison of actual performance against benchmarks or standards of performance to establish the extent of fulfillment of goals and identify gaps in performance to suggest remedial courses for ensuring that in the end all ends well, that is fulfillment level is 100%. The goals vary depending on the situation, participants and issues. Evaluation is the systematic and objective assessment of the relevance, efficiency, effectiveness, sustainability, and impact of development interventions or programs. Evaluation is the assessment of how well a project/activity achieved its objectives. Evaluation may Continue reading
Managerial Skills and Roles
Managerial Skills Managers at every level in the management hierarchy must exercise three basic types of skills: technical, human, and conceptual. All managers must acquire these skills in varying proportions, although the importance of each category of skill changes at different management levels. Technical skills: Technical skills refer to the ability and knowledge in using the equipment, techniques and procedure involved in performing specific tasks. These skills require specialized knowledge and proficiency in the mechanics of a particular. Technical skills lose relative importance at higher levels of the management hierarchy, but most top executives started out as technical experts. Human skills: Human skills refer to the ability of a manager to work effectively with other people both as individual and as members of a group. Human skills are concerned with understanding of people. These are required to win cooperation of others and to build effective work teams. Conceptual skills: Conceptual Continue reading
Conceptual Perspectives on Management
Management has become a part and parcel of everyday life, be it at home, in the office or factory and in government. In all organizations, where group of human beings assemble for a common purpose, management principles come into play through the management of resources, finance and planning, priorities, policies and practice. Management is a systematic way of carrying out activities in any field of human effort. Efficacious and effective management is not possible without in-depth knowledge of the organisation which is being managed. Organisational knowledge is absolutely critical to building, preserving and leveraging institutional excellence. It is like the air you breathe-you cannot measure it, touch it, or see it but you cannot survive without it. The basic elements of management are always there whether we manage our lives or our business. In fact, management is used knowingly or unknowingly by everybody born as human being on this earth. Continue reading