By

Biniyam B.
 MANAGEMENT OVERVIEW

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 After the lecture on unit one students will be able to:
 Explain what is meant by the term management.

 Differentiate between efficiency and effectiveness.

 Describe the five functions of management.

 Classify the three levels of managers and identify

the primary responsibility of each group.

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  Summarize the essential roles performed by
managers.

 Discuss whether management is an art or

science

 Describe the three general skills necessary

for becoming a successful manager.

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 Management is a process
of planning, organizing,
staffing, directing and
controlling the
organizational activities
and resources so as to
achieve organizational
objectives effectively and
efficiently.

A common view of the term

management is that
management is getting
things done through others.

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  Effectiveness
- Pursuing the appropriate goals- “Doing
the right things”

 Efficiency
- Using the fewest inputs to generate a
given output- “Doing things right”

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 Manager

Someone who plans and makes

decision , organizes ,leads and
controls human, financial
physical and information
resources.
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  Achievements of group goals
 Optimum utilization of resources
 Sound organization structure
 Change and growth
 Social benefits

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 Top Level Managers
 Manage the overall activity of the
organization.
 Establish policies, strategies, long term plans,
and make major decisions.
 Represent the organization (deal with external
bodies)
 They are few in number.
 Their title includes Board of Directors,
Executive Committee, Chief Executive,
President, and General Manager.

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 Middle Level Managers
 They are specialists (their activity limited
to a particular area of operation)
 They act as intermediary between top
and operating level managers.
 Develop medium range plans
 They supervise first line managers.
 Their title includes Department
Managers, Division Managers, and
Operation Manager.

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 First-line managers/ lower level
manager Plan daily and weekly
activities (short range plans)
 They manage only non managers.
 Their typical title includes Section
Chief, Office Manager, Foreman, and
Supervisor.

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 Skill is an ability to perform a particular
task.
 As the job of managers is complex it
needs multidimensional skills.
 The three managerial skills are
1. Conceptual skills
2. Human Relation/ Interpersonal
Skills
3. Technical Skills

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  Conceptual Skills (Analytical Skills)
 The ability to analyze complex situations and respond
effectively to the challenges faced by the organization.
 The managerial activities that require conceptual skill
includes decision making, planning, and
organizing.

 Interpersonal Skill( Human Skill)

 Ability to work effectively with members of one’s
workgroup as well as with other work groups within the
organization

 Technical Skills
 The ability to utilize tools, techniques and procedures
that are specific to a particular field
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 Top

Middle

1st Line

Technical Human
Conceptual
 All managers must play some role
and must have some skills to be
effective.
 Henery Mintzberg identified Ten
Managerial Roles by closely
observing the day to day activities of
a group of CEOs and divided them in
to three.
 Interpersonal role involves dealing with other
people and it arise from managers formal
authority.
1.1. Figurehead role
- Managers act as representatives of the
organization.
- Managers represent the
organization at ceremonial
and symbolic functions like
making speech, signing
documents, attending
ribbon cutting ceremonies.

0
1.2. Leadership Role
- Managers influence behavior and
activities of
their followers in order to accomplish
organizational objectives.

- Leadership role involves

guiding, training,
motivating…
1.3. Liaison Role
- An official go-between for organizations to
communicate and coordinate activities of the external
and internal
- It refers to dealing with
people outside like
customers, government
officials, and suppliers.
- It also includes dealing
with people inside the
organization like people
in different departments.
- Coordinating activities.
- It involves processing of information.
- It is concerned about receiving and
communicating information.
2.1. Monitor Role
- Involves gathering and
screening information.
- Monitoring what goes
on in the organization,
receiving information both
internal and external
2.2. Disseminator Role
- Involves distributing the screened
information. Passing on information of
both a factual and value kind.
2.3. Spokes-person role
It is when managers transmit the
information to outside of the organization
or to outside of the unit.
- One of the most crucial part of managerial
activities.

3.1. Entrepreneurial Role

- Managers initiate changes to improve
organizational performance.
- Managers mostly use this
role at the time when they
- initiate new project
- test a new market
- test a new business
3.2. Disturbance handler role
- Managers play this role when they deal with
problems like…

- Conflict between
workers
- Breaking contract
- Labor strikes
- bankruptcy
3.3. Resource Allocator
- Managers play this role when they
distribute resources like
- Human Resource
- Finance
- Time…
3.4. Negotiator Role
- A manager has to negotiate with
others and in the process be able to
make decisions.
- When managers debate or deal with
other organization or with in,
they are playing
negotiator role.
 What is Science and what is Art?
 Is management a science or art?
 Science is a systematized knowledge derived
from observation, study, and experimentation
carried on in order to determine the natures
and principles of the subject under study.
 Management is a science because it is based
on principles which are derived from the
detailed study and observation of -
Organization
- Authority
- Communication
- Motivation
 Art is the application of knowledge and skills at
the specific time, place and condition tactfully,
creatively and wisely.
Issues can be resolved using instinct and exper
ience.
 Management is an art because managers apply
judgment, decision making, and motivation.

 Science is objective while art is subjective.

 Objective: based on hard facts…
 Subjective: personal perspectives, opinions…
 Although the problems, other organizational
constraints and nature of different
organizations vary widely, the functions
performed by each manager are nearly the
same. (be it in a profit making or non-profit
making, government or private, small or big
and multinational)
 Management is important for any organization
or entity regardless of objective(s) for which it
is established
 Any person who holds managerial position in an
organization performs the five functions of
management.
END OF CHAPTER ONE
 Group Assignment on the development of management:

 Pre-Classical contributors (Group 1&5)

 Robert Owen
 Charles Babbage
 Adam Smith
 Classical approach (Group 2 &6)
 Scientific Management
 Administrative Management (classical organization theory)
 Bureaucratic Management.
 Behavioral Theory of Management (Group 3 & 7)
 Abraham Maslow,
 Douglas Macgregor
 Elton Mayo
 Modern Theory of Management (Group 4 &8)
 System Approach,
 Contingency/Situational theory ,
 Quantitative/management science approach
For all Groups
 Your review on their contributions
 Pros and Cons of the theories