Principles and practces of management
Principles and practces of management
Q1)What are the fundamentals of staffing and manpower? Explain the different methods of selection recruitment, training and development.
FUNDAMENTALS OF STAFFING
Any organisational fabrication requires a variety of people, and the supply of people consists of differing types. The staffing function includes the process by which the right person is placed in the right organizational position. Human resource administration involves matching the jobs and people through preparation of specifications necessary for positions, appraising the performance of personnel, training and retraining of people to fit the needs of the organisational positions, and developing methods by which people will respond with maximum effort and increased satisfaction.
Often the organisation structure includes a special functional department to administer the program. This often is called the personnel department. Thus, personnel management is very broad in its scope and covers variety of functions. Staffing is one among the various groups of functions. It is called 124 here as employment functions and includes various sub-functions. These functions are also called operative functions of the personnel department.
Staffing is that part of the process of management, which is concerned with obtaining, utilizing and maintaining a satisfactory and satisfied work force. Its purpose is to establish and maintain sound personnel relations at all levels in the organisation so as to make effective use of personnel to attain the objectives of the organisation and to provide personal and social satisfaction which the employees require. Staffing consists of a wide range of inter-related activities. In the words of Haimann “staffing function pertains to the recruitment, selection, development and compensation of subordinate managers. Staffing like all other managerial functions is a duty which the manager performs at all times
In a book edited by R. D. Agarwal scope of staffing has been widened to include every possible activity relating to human beings in an organisation. “Staffing is a multi-step process. It consists of determination of manpower, transfer, demotion and termination.” In the words of Koontz and O’ Donnell staffing can be defined as “filling positions in the organisational structure through identifying work force requirements, inventorying the work force, recruitment, selection, placement, promotion, appraisal, compensation and training of people.”
Staffing, like all other managerial functions, is the duty, which a manager performs at all times. Although this function is stated after planning and organizing, this should not be interpreted to mean that the manager should perform these two functions before staffing. It is a continuous process and every manager from top to bottom is continuously engaged in performing this function.
Elements of Staffing
Staffing or human resource process consists of a series of steps, which are given below:
1.Procurement- Employment of proper number and kind of personnel is the first function of staffing. This involves (a) Manpower planning, (b) Recruitment, (c) Selection, and (d) Placement.
2. Development- After placing the individuals on various jobs, it is necessary to train them so that they can perform their jobs efficiently.
3. Compensation- Compensating personnel mean determining adequate and equitable remuneration of personnel for their contributions to the organisational goals.
4. Integration- It involves developing a sense of belonging to the enterprise. Sound communication system is required to develop harmony and team spirit among employees.
5. Maintenance- Maintenance involves provision of such facilities and services that are required to maintain the physical and mental health of employees.
Attracting the right candidates to apply for a job can be an expensive process. It is even more expensive when done badly because when unsuitable candidates apply for a job, then the post may need to be re-advertised – so it is best to get it right first time. The starting point is to carry out job analysis to identify the sorts of skills, knowledge and essential requirements that someone needs to have to carry out a job. These details can be set out in a job specification, which is passed on to recruiters – it gives them a picture of the ideal candidate. A job description is also helpful because it sets out:
the title of a post
when and where it will be carried out
principal and ancillary duties of the post holder
The job description can be sent out to potential candidates along with a person specification, which sets out the desirable and essential characteristics that someone will need to have to be appointed to the post. A variety of media will be used to attract applications e.g. national newspapers for national jobs, and local papers and media for local posts.
Job advertisements set out such details as:
location of work
closing date of application
how to apply
Duties and responsibilities.
Selection simply involves choosing the right person for the job. Effective selection requires that the organisation makes the right prediction from data available about the various candidates for a post. Research indicates that the most valid form of selection method is the use of an assessment centre where candidates are subjected to a variety of test including interviews, group exercises, and presentations, ‘in-tray’ exercises, and so on. Psychometric (personality) tests have become increasingly popular in the UK in recent years and are often used alongside other tests. I Interviews will be most successful when they are tightly related to job analysis, job description and the person specification. In-tray exercises can be used for candidates to respond to work-related and other problems, which are presented to them in an in-tray to be processed.
Training for employment is very important. In a modern economy like our own the nature of work is constantly changing. New technologies mean that new work skills are constantly required. To succeed in business or in a career, people will need to be very flexible about where they work and how they work, and to constantly change the range of skills they use at work. There are basically two types of training:
Employees develop and improve their work skills whilst actually doing the job in question. For example, word processor operators rapidly improve their skills by constant practice. Supermarkets till operator quickly learn effective practice by working alongside a more skilled mentor. Off-the-job training
Employers will often encourage their employees to develop their skills through off-the-job training courses. For example, a trainee may be allowed to attend a day-release course at the local college. This might apply to a wide range of different skills including hairdressing, banking, insurance, electrical work and plumbing.
Q2)Explain the nature and functions of Directing.
NATURE OF DIRECTION-FUNCTIONS OFMANAGEMENT
Direction is one of the most important functions of management. A good plan may have been checked out, sound organisation may have been evolved and a sound team of workers may be employed, but all these will not produce any result until there is proper direction of the people in the use of various resources. Direction helps in achieving coordination among various operations of the enterprise. It is only after the performance of direction function that the purpose of planning, organising and staffing is achieved. Directing is the process around which all performance revolves. It is the essence of operation and co-ordination is a necessary by-product of good managerial directing.
Pervasiveness of Direction
Direction is a pervasive function of management. It exists at every level, location and operation throughout an enterprise. Some people think that only the managers at the lower level who deal directly with the workers, perform the direction function. This point of view is not correct. Direction function must be performed by every manager at different levels of the enterprise. For instance, chief executive of a company interprets the objectives and policies of the company and delegates’ authority to the departmental managers, the direction function is part and parcel of these activities. Every manager, regardless of the number of subordinates, performs this function because he is busy in giving instructions to the subordinates, guiding them, and motivating them for the achievement of certain goals.
Like any other function of management, directing is a continuing activity. A manager never ceases to direct, guide and supervises his subordinates. A manager who issues orders and instructions and thinks his job is complete is committing a very serious error. He must continuously supervise the execution of his orders or instructions by the subordinates. He should also provide them effective leadership and motivation. Thus, he will have to continue to devote considerable time on the direction function.
Direction has got following characteristics:
1. Pervasive Function – Directing is required at all levels of organization. Every manager provides guidance and inspiration to his subordinates. 2. Continuous Activity – Direction is a continuous activity as it continuous throughout the life of organization. 3. Human Factor – Directing function is related to subordinates and therefore it is related to human factor. Since human factor is complex and behaviour is unpredictable, direction function becomes important. 4. Creative Activity – Direction function helps in converting plans into performance. Without this function, people become inactive and physical resources are meaningless.
5. Executive Function – Direction function is carried out by all managers and executives at all levels throughout the working of an enterprise, a subordinate receives instructions from his superior only. 6. Delegate Function – Direction is supposed to be a function dealing with human beings. Human behaviour is unpredictable by nature and conditioning the people’s behaviour towards the goals of the enterprise is what the executive does in this function. Therefore, it is termed as having delicacy in it to tackle human behaviour.
The director must try to harmonize individual objectives of the workers to the group objective and also personal objectives with organization’s objectives for the work to be carried out harmoniously. The worker should receive orders from only one supervisor. The supervisor as much as possible should give personal supervision to the workers so as to motivate and raise their morale. The supervisor should enhance the communication between the workers so as to give them opportunity to express their feelings. In such ways the worker understands whatever is being communicated more easily. After giving the orders and instructions the supervisor must follow through to ensure that this is done. It is essential for the supervisor to exercise dynamic leadership so as to win the trust and confidence of the subordinates.
Subordinates are given orders and instructions by managers so that they are able to work efficiently and effectively. Therefore instructions must emanate from the superior person to the subordinates. A good order must be unambiguous to be understood by the recipients. It must also be in line with the objectives of the organization and should be reasonable and within the authority of the subordinate. The order must specify the time duration of carrying it out and preferably it should be written for greater clarity. The manager cannot be able to do all the directing functions required in an organization.
He therefore delegates some authority and responsibilities to his subordinates so that the goals and objectives of the organization can be understood by the lowest of the worker. Delegation has some challenges one of them being that it is difficult to fully spell out the tasks and duties of all subordinates which lead to overlapping of duties. The extent of delegated authority and responsibility might not be clear and at times might even differ with the nature of work assigned to a subordinate. Too rigid delegation of authority discourages creativity of the subordinates.
Directing involves guiding, inspiring and leading people so that they accomplish predetermined objectives. If the directing function is done well, work in an organization is efficiently and effectively done. The function of directing influences the subordinates and motivates them into meeting the organization’s goals. Directing function deals with human factor which is complex and therefore presents challenges to directors. After giving people orders on how things are supposed to be done it is essential that it is ensured that the orders are carried out. Managers by the function of directing are able to control and influence the actions of the subordinates.
After assembling the factors of production and formulating the rules and procedures by the directors, the subordinates are directed into finalizing the process of production. After all the necessary planning, organizing and staffing the organization is in place, management now gets things done by way of directing the subordinates. Directing ensures that subordinates carry out duties as required. Poor directing function can lead to spoiling an otherwise good planning, organizing and staffing process which would make the meeting of goals and objectives of the organization difficult. This is because nothing really can happen until there is the function of directing.
The importance of direction in an organisation can be viewed by the fact that every action is initiated through direction. It is the human element which handles the other resources of the organisation. Each individual in the organisation is related with others and his functioning affects others and, in turn, is affected by others. This makes the functioning of direction all the more important
Directing has the following characteristics features:
1 It is the function of the superior manager and runs from top to down in the organisation structure. A subordinate has to receive instructions for doing his job from his superior 2 Direction implies issuing orders and instruction. Besides issuing orders and instruction a superior also guides and counsels his subordinates to do his job properly. 3 The top management gives broad direction to the middle level managers who in turn give specific direction to the lower level management. 4 The four important aspects of directing are supervision, motivation, leadership and communication. All these functions are interconnected and mutually dependent.
Direction is one of the most important functions of management. A good plan may have been checked out, sound organisation may have been evolved and a sound team of workers may be employed, but all these will not produce any result until there is proper direction of the people in the use of various resources.
Direction helps in achieving coordination among various operations of the enterprise. It is only after the performance of direction function that the purpose of planning, organizing and staffing is achieved. Directing is the process around which all performance revolves. It is the essence of operation and co-ordination is a necessary by-product of good managerial directing.
Q3) What is the importance of planning in an organization? Describe the different plans with their objectives.
Planning means looking ahead. It is deciding in advance what is to be done. Planning includes forecasting. According to Henry Fayol – “purveyance, which is an essential element of planning, covers not merely looking into the future but making provisions for it. A plan is then a projected course of action”. All planning involves anticipation of the future course of events and therefore bears an element of uncertainty in respect of its success. Planning is concerned with the determination of the objectives to be achieved and course of action to be followed to achieve them. Before any operative action takes place it is necessary to decide what, where, when and who shall do the things.
Decision making is also an important element of planning. Planning determines both long-term and short-term objectives and also of the individual departments as well as the entire organisation. According to Fayol – “The plan of action is, at one and the same time, the result envisaged, the line of action to be followed, the stages to go through, and the methods to use. It is a kind of future picture wherein proximate events are outlined with some distinctness….” Planning is a mental process requiring the use of intellectual faculties’ imagination, foresight, sound judgment etc.
Planning is deciding in advance what is to be done. It involves the selection of objectives, Functions of Management policies, procedures and Programmes from among alternatives. A plan is a predetermined course of action to achieve a specified goal. It is a statement of objectives to be achieved by certain means in the future. In short, it is a blueprint for action. According to Louis A Allen – “Management planning involves the development of forecasts, objectives, policies, programmes, procedures, schedules and budgets”. According to Theo Haimann – “Planning is deciding in advance what is to be done. When a manager plans, he projects a course of action, for the future, attempting to achieve a consistent, coordinated structure of operations aimed at the desired results”. According to Koontz O’Donnel – “Planning is an intellectual process, the conscious determination of courses of action, the basing of decisions on purpose, acts and considered estimates”.
1 Planning is goal-oriented: Every plan must contribute in some positive way towards the accomplishment of group objectives. Planning has no meaning without being related to goals. 2. Primacy of Planning: Planning is the first of the managerial functions. It precedes all other management functions. 3. Pervasiveness of Planning: Planning is found at all levels of management. Top management looks after strategic planning. Middle management is in charge of administrative planning. Lower management has to concentrate on operational planning. 4. Efficiency, Economy and Accuracy: Efficiency of plan is measured by its contribution to the objectives as economically as possible.
Planning also focuses on accurate forecasts. 5. Co-ordination: Planning co-ordinates the what, who, how, where and why of planning. Without co-ordination of all activities, we cannot have united efforts. 6. Limiting Factors: A planner must recognise the limiting factors (money, manpower etc) and formulate plans in the light of these critical factors. 7. Flexibility: The process of planning should be adaptable to changing environmental conditions. 8. Planning is an intellectual process: The quality of planning will vary according to the quality of the mind of the manager
Advantages of Planning
All efforts are directed towards desired objectives or results. Unproductive work and waste of resources can be minimized. Planning enables a company to remain competitive with other rivals in the industry. Through careful planning, crisis can be anticipated and mistakes or delays avoided. Planning can point out the need for future change and the enterprise can manage the change effectively. Planning enables the systematic and thorough investigation of alternative methods or alternative solutions to a problem. Thus we can select the best alternative to solve any business problem. Planning maximizes the utilization of available resources and ensures optimum productivity and profits. Planning provides the ground work for laying down control standards. Planning enables management to relate the whole enterprise to its complex environment profitably
The planning process involves the following steps:
1. Analysis of External Environment: The external environment covers uncontrollable and unpredictable factors such as technology, market, socio-economic climate, political conditions etc., within which our plans will have to operate. 2. Analysis of Internal Environment: The internal environment covers relatively controllable factors such as personnel resources, finance, facilities etc., at the disposal of the firm. Such an analysis will give an exact idea about the strengths and weakness of the enterprise. 3. Determination of Mission: The “mission” should describe the fundamental reason for the existence of an organization. It will give firm direction and make out activities meaningful and interesting. 4. Determination of Objectives: The organizational objectives must be spelled out in key areas of operations and should be divided according to various departments and sections. The objectives must be clearly specified and measurable as far as possible. Every member of the organisation should be familiar with its objectives.
5. Forecasting: Forecasting is a systematic attempt to probe into the future by inference from known facts relating to the past and the present. Intelligent forecasting is essential for planning. The management should have no stone unturned in reducing the element of guesswork in preparing forecasts by collecting relevant data using the scientific techniques of analysis and inference. 6. Determining Alternative course of Action: It is a common experience of all thinkers that an action can be performed in several ways, but there is a particular way which is the most suitable for the organisation. The management should try to find out these alternatives and examine them carefully in the light of planning premises. 7. Evaluating Alternative Courses: Having sought out alternative courses and examined their strong and weak points, the next step is to evaluate them by weighing the various factors.
8. Selecting the Best: The next step – selecting the course of action is the point at which the plan is adopted. It is the real point of decision-making. 9. Establishing the sequence of activities: After the best programme is decided upon, the next task is to work out its details and formulate the steps in full sequences. 10. Formulation of Action Programmes: There are three important constituents of an action plan: l The time-limit of performance. l The allocation of tasks to individual employees. l The time-table or schedule of work so that the functional objectives are achieved within the predetermined period. 11. Reviewing the planning process: Through feedback mechanism, an attempt is made to secure that which was originally planned. To do this we have to compare the actual performance with the plan and then we have to take necessary corrective action to ensure that actual performance is as per the plan.