Management Science

Introduction to Management
UNIT I INTRODUCTION TO MANAGEMENT Introduction In the present context, managing has become one of the most important areas of human activity because of increasing role of large and complex organisations in the society. Because of their increasing role, the organisations have attracted the attention of both practitioners and academicians to find out the solutions for business problems. Concept Defining the term management precisely is not so simple because the term management is used in a variety of ways. Being a new discipline, it has drawn concepts and principles from a number of disciplines such as economics, sociology, psychology, anthropology, statistics and so on. Each group of contributors has treated management differently. For example, economists have treated management as a factor of production; sociologists have treated it as a class or group of persons; practitioners have treated it as a process comprising different activities. DEFINITION Management is the art of getting things done through and with people in formally organized groups --- Koontz Management is the art of knowing what you want to do and then seeing that it is done in the best and cheapest way F.W. Taylor Management is the art of securing maximum results with minimum effort so as to secure maximum prosperity and happiness for both employer and employee and give the public the best possible service --John Mee. Management is the accomplishment of results through the efforts of other people -- Lawrence Management is simply the process of decision making and control over the action of human beings for the expressed purpose of attaining predetermined goals Stanley V. Management is a process involving planning, organizing, staffing, directing and controlling human efforts to achieve stated objectives in an organization. From the above definitions, the following features are identified:Organised Activities: Management is a process of organized activities. Without organized activities, two groups of people cannot be involved in the performance of activities. Where a group of people are involved in working towards a common objective, management comes into existence. Existence of objectives: The existence of objectives is a basic criterion of e very human organization because all organizations are deliberate and purposive creation and, therefore, they should have some objectives.
1 SACET-RK
Without objectives, it becomes difficult to define the direction where organized group of activities would lead to. Relationship among resources: Organised activities meant to achieve common goals are brought about to establish certain relationships about the available resources. Resources include money, machine, material, men and methods. All these resources are made available to those who manage the organization. Managers apply knowledge, experience, principles for getting the desired results. Thus, the essence of management is integration of various organisational resources. Working with and through people: Management involves working with people and getting organisational objectives achieved through them. The idea of working through people is interpreted in terms of assigning and reassigning of activities to subordinates. Decision Making: Management process involves decision making at various levels for getting things done through people. Decision making basically involves selecting the most appropriate alternative out of the several. If there is only one alternative, there is no question of decision making. Nature of Management: - The study and application of management techniques in managing the affairs of the organization have changed its nature over a period of time. The following points will describe the nature of management Multidisciplinary: Management has been developed as a separate discipline, but it draws knowledge and concepts from various disciplines like psychology, sociology, anthropology, economics, statistics, operations research etc.,. Management integrates the idea and concepts taken from these disciplines and presents newer concepts which can be put into practice for managing the organisations Dynamic nature of Principles: Principle is a fundamental truth which establishes cause and effect relationships of a function. Based on integration and supported by practical evidences, management has framed certain principles. However, these principles are flexible in nature and change with the changes in the environment in which an organization exists. Relative, Not absolute Principles: Management principles are relative, not absolute, and they should be applied according to the need of the organization. Each organization may be different from others. The difference may exist because of time, place, socio-cultural factors, etc.,. Management: Science or Art: There is a controversy whether management is science or art. An art is personal skill of business affairs. Art is characterized by practical knowledge, personal creativity and skill. The more one practices an art, the more professional one becomes. Management can be considered as an art because it satisfies all these criterion of an art. A science is a systematized body of knowledge of facts. It can establish cause-and-effect relationships among various factors. It involves basic principles, which are capable of universal application. Management can be considered as science because it satisfies all these criterion of a science. Management as profession: Management has been regarded as a profession by many while many have suggested that it has not achieved the status of a profession. Profession refers to a vocation or a branch of advanced learning such as engineering or medicine.
2 SACET-RK
Universality of management: Management is a universal phenomenon. However, management principles are not universally applicable but are to be modified according to the needs of the situation. Importance of Management Management has been important to the daily lives of people and to the organisations. The importance of management may be traces with the following. Effective utilisation of Resources: Management tries to make effective utilisation of various resources. The resources are scarce in nature and to meet the demand of the society, their contribution should be more for the general interests of the society. Management not only decides in which particular alternative a particular resource should be used, but also takes actions to utilize it in that particular alternative in the best way. Development of Resources: Management develops various resources. This is true with human as well as non-human factors. Most of the researchers for resource development are carried on in an organized way and management is involved in these organized activities. It ensures continuity in the organization: Continuity is very important in the organisations. Where there are no proper guidelines for decision making continuity can not be guaranteed. It is quite natural that new people join while some others retire or leave the organization. It is only management that keeps the organization continuing. Integrating various interest groups: In the organized efforts, there are various interest groups and they put pressure over other groups for maximum share in the combined output. For example, in case of a business organization, there are various pressure groups such as shareholders, employees, govt. etc. these interest groups have pressure on an organization. Management has to balance these pressures from various interest groups. Stability in the society: Management provides stability in the society by changing and modifying the resources in accordance with the changing environment of the society. In the modern age, more emphasis is on new inventions for the betterment of human beings. These inventions make old systems and factors mostly obsolete and inefficient. Management provides integration between traditions and new inventions, and safeguards society from the unfavorable impact if these inventions so that continuity in social process is maintained. FUNCTIONS OF MANAGEMENT: To achieve the organizational objectives managers at all levels of organization should perform different functions. A function is a group of similar activities. The list of management functions varies from author to author with the number of functions varying from three to eight. Writers Henry Fayol Luther Gullick R. Davis Management Functions Planning, Organizing, Commanding, Coordinating, Controlling POSDCORDPlanning, Organizing, Staffing, Directing, Coordinating, Reporting, Directing Planning , Organizing, Controlling
3 SACET-RK
Planning, Organizing, Motivating, Coordinating, Controlling Planning, Controlling Organizing, Staffing, Leading,
E.F.L. Breech Koontz
Different authors presented different variations. By combining some of functions, these are broadly grouped into Planning, Organizing, Staffing, Directing, and Controlling. PLANNING: Planning is the conscious determination of future course of action. This involves why an action, what action, how to take action, and when to take action. Thus, planning includes determination of specific objectives, determining projects and programs, setting policies and strategies, setting rules and procedures and preparing budgets. ORGANIZING: Organizing is the process of dividing work into convenient tasks or duties, grouping of such duties in the form of positions, grouping of various positions into departments and sections, assigning duties to individual positions, and delegating authority to each positions so that the work is carried out as planned. It is viewed as a bridge connecting the conceptual idea developed in creating and planning to the specific means for accomplishment these ideas. STAFFING: Staffing involves manning the various positions created by the organizing process. It includes preparing inventory of personal available and identifying the sources of people, selecting people, training and developing them, fixing financial compensation, appraising them periodically etc. DIRECTING: When people are available in the organization, they must know what they are expected to do in the organization. Superior managers fulfill this requirement by communicating to subordinates about their expected behavior. Once subordinates are oriented, the superiors have continuous responsibility of guiding and leading them for better work performance and motivating them to work with zeal and enthusiasm. Thus, directing includes communicating, motivating and leading. CONTROLLING: Controlling involves identification of actual results, comparison of actual results with expected results as set by planning process, identification of deviations between the two, if any, and taking of corrective action so that actual results match with expected results. TAYLOR & SCIENTIFIC MANAGEMENT The concept of scientific management was introduced by Frederick Winslow Taylor in USA in the beginning of 20th century. Scientific management is concerned with knowing exactly what you want to do and then see in that they do it in the best and cheapest way
4 SACET-RK
Since Taylor has put the emphasis on solving managerial problems in a scientific way, often, he is called as father of scientific management and his contributions as the principles of scientific management. Taylor carried experiments about how to increase the efficiency of people. On the basis of experiments, he published many papers and books and all his contributions were compiled in his book scientific management. His contributions are divided into two parts. Elements and tools of scientific management Principles of scientific management FEATURES / ELEMENTS AND TOOLS OF SCIENTIFIC MANAGEMENT Separation of planning & doing: Taylor emphasized the separation of planning aspect from actual doing of the work. In other words planning should be left to the supervisor and the worker should concentrate only operational work. Functional foremanship: Taylor introduced the concept of functional foremanship based on specialization of functions. In this system, eight persons are involved to direct the activities of workers. Out of these four persons are concerned with planning viz., route clerk, instruction card clerk, time and cost clerk and disciplinarian. The remaining four persons are concerned with doing aspect of the job, viz., speed boss, inspector, gang boss and maintenance foreman. It is against to the principle of unity of command.
Work Shop Manager
Planning In charge
Production In charge
Gan Rout insp Main Tim Inst disci g e ecto tena e ructi plin Boss Boss r nce and on aria Fore cost Card n man cl cler cost k worker cler k Job Analysis: It is useful to find out the one best way of doing the things. Cost The best Cler of doing a job is one which requires the least movements, way consequently less time and cost. The best way of doing the thing can be k Rout e Cler k
determined by taking up time motion - fatigue studies. Time study involves the determination of time a movement takes to complete. Motion study involves the study of movements in parts which are involved in doing a job and thereby eliminating the wasteful movements. Fatigue study shows the amount and frequency of rest required in completing the work. Thus, job analysis identifies the fair amount of a days work requiring certain movements and rest periods to complete it. Standardization: As far as possible, standardization should be maintained in respect of instruments and tools, period of work, amount of work, working conditions, cost of production etc.,. These things
5 SACET-RK
should be fixed in advance on the basis of job analysis and various elements of costs that in performing a work. Scientific selection and training of workers: Taylor has suggested that workers should be selected on scientific basis taking into account their education, work experience, aptitude, physical strength, etc., A worker should be given work for which he is physically and technically most suitable. Apart from selection, proper training should be provided to workers to make them more effective and efficient. Financial Incentives: Financial incentives can motivate workers to put in their maximum efforts. If provisions exist to earn higher wages by putting in extra effort, workers will be motivated to earn more. Taylor himself applied the concept of differential piece rate system which was highly motivating. According to this scheme, a worker who completes the normal work gets wages at higher rate per piece and one who does not complete gets at lower rate. Economy: while applying scientific management, not only scientific and technical aspects should be considered but adequate consideration should be given to economy and profit. The economy and profit can be achieved by making the resources more productive as well as by eliminating the wastages. Mental Revolution: scientific management depends on the mutual cooperation between management and workers. For this co-operation, there should be mental change in both parties from conflict to cooperation. PRINCIPLES OF SCIENTIFIC MANAGEMENT:Taylor has given certain basic principles of scientific management. Replacing rule of thumb with science: According to Taylor, exactness of various aspects of work like days fair work, standardization in work, differential piece rate for payment, etc.., is the basic core of scientific management, it is essential that all these are measured precisely and should not be based on mere estimates. Harmony in group action: Taylor has pointed out that attempts should be made to obtain harmony in group action rather than discord. Group harmony suggests that there should be mutual give and take situation and proper understanding so that group as a whole contributes to the maximum. Co-operation: Scientific management involves achieving cooperation rather than chaotic individualism. It is based on mutual confidence, cooperation and goodwill. Co-operation between management and workers can be developed through mutual understanding and a change in thinking. Maximum output: scientific management involves continuous increase in production and productivity instead of restricted production either by management or by worker. Taylor heated inefficiency and deliberate curtailment of production. In his opinion, there is no worse crime to my mind than that of deliberately restricting output Development of workers: all workers should be developed to the fullest extent possible for their own and for the companys highest prosperity. Training should be provided to the workers to keep them fully fit according to the requirement of new methods of working which may be different from non-scientific methods. FAYOLS ADMNISTRATIVE MANAGEMENT
6 SACET-RK
Henry Fayol is a French Industrialist and the father of modern operational management theory. Fayol recognized the following organizational activities. Organizational Activities: Fayol divided the activities of organization into six groups--Technical (related to production) Commercial ( buying, selling and exchange) Financial ( search for capital and its optimum use) Security ( protection of property and person ) Accounting Managerial ( planning, organizing, commanding, coordinating and controlling) Among the above activities Fayol considered managerial activities are the most important for the success of business and he concentrated more on that. His contributions are divided the following categories. Qualities of a manager General principles of management Elements of management Managerial Qualities and Training: According to Fayol the following are the list of qualities required in a manager. Physical ( Health, Vigor and Health ) Mental ( Ability to understand and learn, judgment , mental vigor and capability) Moral ( energy, firmness, initiative, loyalty, tact etc.,) Educational Technical ( peculiar to the function being performed ) Experience GENERAL PRINCIPLES OF MANAGEMENT: Fayol has given 14 principles of management. He has made distinction between management principles and management elements. While management principles is a fundamental truth and establishes cause effect relationship, elements of management denotes the function performed by a manager. While giving the management principles, Fayol has emphasized two things. The list of management principles is not exhaustive but suggestive and has discussed only those principles which he followed on most occasions. principles of management are not rigid but flexible Principles:Division of work: It is helpful to take the advantage of specialization. Here, the work is divided among the members of the group based on the employees skills and talents. It can be applied at all levels of the organization. Authority and Responsibility: Fayol finds authority as a continuation of official and personal factors. Official authority is derived from the managers position and personal authority is derived from personal qualities such as intelligence, experience, moral worth, past services, etc., Responsibility arises out of assignment of activity. In order to
7 SACET-RK
discharge the responsibility properly, there should be parity between authority and responsibility. Discipline: All the personal serving in an organization should be disciplined. Discipline is obedience, application, behavior and outward mark of respect shown by employees. Unity of Command: Unity of command means that a person should get orders from only one superior. Fayol has considered unity of command as an important aspect in managing an organization. He says that should it be violated, authority is undermined, discipline is in jeopardy, order disturbed, and stability threatened. Unity of Direction: According to this principle, each group of activities with the same objective must have one head and one plan. It is concerned with functioning of the organization I respect of grouping of activities or planning. Unity of direction provides better coordination among various activities to be undertaken by an organization. Subordination of individual interest to general interest: Individual interest must be subordinate to general interest when there is conflict between the two. However factors like ambition, laziness, weakness, etc., tend to reduce the importance of general interest. Therefore, superiors should set an example in fairness and goodness. Remuneration to Personnel: Remuneration to employees should be fair and provide maximum possible satisfaction to employees and employers. Fayol did not favor profit sharing plan for workers but advocated it for managers. He was also in favor of non-financial benefits. Centralization: Everything which goes to increase the importance of subordinates role is decentralization; every thing which goes to reduce it is centralization. The degree of centralization or decentralization is determined by the needs of the company. Scalar Chain: There should be a scalar chain of authority and of communication ranging from the highest to the lowest. It suggests that each communication going up or coming down must flow through each position in the line of authority. It can be short-circuited only in special circumstances. For this purpose, Fayol has suggested gang plank Scalar chain and gang plank can be presented as follows
Order: This is a principle relating to the arrangement of things and people. In material order, there should be a place for every thing and every thing should be in its place. Similarly, in social order, there should be the right man in the right place. Equity: Equity is the combination of justice and kindness. Equity in treatment and behavior is liked by everyone and it brings loyalty in the organization. The application of equity requires good sense, experience and good nature.
8 SACET-RK
Stability of tenure: No employee should be removed within short time. There should be reasonable security of jobs. Stability of tenure is essential to get an employee accustomed to new work and succeeding in doing it well Initiative: Within the limits of authority and discipline, managers should encourage their employees for taking initiative. Initiative is concerned with thinking out and execution of a plan. Initiative increases zeal and energy on the part of human beings. Esprit de corps: It is the principle of union is strength and extension of unity of command for establishing team work. The manager should encourage esprit de corps among his employees. Hawthorne experiments and human relations: The human relations approach was born out of a reaction to classical approach. A lot of literature on human relations has been developed. For the first time, an intensive and systematic analysis of human factor in organisations was made in the form of Hawthorne experiments. To investigate the relationship between productivity and physical working conditions, a team of four members Elton mayo, White head, Roethlisberger and William Dickson was introduced by the company in Hawthorne plant. They conducted various researches in four phases with each phase attempting to answer the question raised at the previous phase. The phases are --Experiments to determine the effects of changes in illuminations on productivity. Illumination experiments (1924-27) Experiments to determine the effects of changes in hours and other working conditions on productivity. (Relay assembly test room experiments 1927-28) mass interviewing programme (1928-1930) determination and analysis of social organization at work (Bank wiring observation room experiments 1931-32) Conclusions: Individual workers must be seen as members of a group The sense of belongingness and effective management were the two secrets unfolded by the Hawthorne experiments. Informal or personal groups influenced the behaviour of workers on the job. Need for status and belongingness to a group were viewed as more important than monetary incentives or good physical working conditions To seek workers cooperation, the management should be aware of their social needs and cater to them. Otherwise, there is every danger that the workers ignore and turn against the interests of the organisation. MASLOWS NEED HIERARCHY: The behaviour of an individual at a particular movement is usually determined by his strongest need. Psychologists claims that needs have a certain priority, as the more basic needs are satisfied, an individual seeks to satisfy the higher needs. If his basic needs are not met, efforts to satisfy the higher needs should be postponed.
9 SACET-RK
A.H.Maslow, a famous social scientist, has given a framework that helps to explain the strength of certain needs. According to him, there is hierarchy for need, which is presented in the following way. Self needs Esteem needs| Social needs| Security needs| Physiological needs | Mallows need hierarchy Physiological needs: The Physiological needs are at the top of hierarchy because they tend to have the highest strength until they are reasonably satisfied. Until these needs are satisfied to the degree needed for the efficient operation of the body, the majority of a persons activities will probably at this level, and the other level will provide him with little motivation. A famous saying man can live on bread alone if there is no bread suggests that man first try to acquire necessities for their survival. Safety Needs: Once physiological needs are satisfied to a reasonable level, the next level in the hierarchy is safety. Safety means being free of physical danger or self-preservation. In the industrial society, employee can be motivated through either positive action like pension plan, insurance plan etc... Or negative actions like laid off or demotions. Social needs: After the first two needs are satisfied, social needs become important in the need hierarchy. Since man is a social being, he has a need to belong and to be accepted by various groups. In the organisation, workers form informal group environment to support unfulfilled social needs such as affiliation. Esteem needs: These needs are concerned with self respect, self confidence, a feeling of personal worth, feeling of being unique and recognition. Satisfaction of these needs produces feelings of self confidence, prestige, power and control. These needs are satisfied through adaptive behaviour, matured behaviour or with irresponsible actions. Self actualization needs: It is the need to maximize ones potential, whatever it may be. It is related with the development of intrinsic capabilities which lead people to seek situations that can utilize their potential. This includes competence which implies control over environmental factors both physical and social and achievement. Conclusion: Maslow suggest that the various levels are interdependent and overlapping, each higher level need emerging before the lower level need has been completely satisfied. Since one need does not disappear when another emerges, all needs tend to be partially satisfied in each area. HERZBERGS MOTIVATION HYGIENE THEORY: Frederick Hertzberg conducted a structured interview programme to analyse the experience and feelings of 200 engineers and accountants actualization
10 SACET-RK
in nine different companies in Pittsburg area, U.S.A during the structured interview, they were asked to describe a few previous job experiences in which they felt exceptionally good or exceptionally bad about jobs. In his analysis, he found that there are some job conditions which operate primarily to dissatisfy employees when the conditions are absent, however their presence does not motivate them in a strong way. Another set of job conditions operates primarily to build strong motivation and high job satisfaction, but their absence rarely proves strongly dissatisfying. The first set of job conditions has been referred to as maintenance or hygiene factors and second set of job conditions as motivational factors. Hygiene Factors: According to Hertzberg, there are 10 maintenance factors. These are company policy and administration, technical supervision, salary, job security, personal life, status, working conditions, interpersonal relationship with superiors, interpersonal relationship with peers and interpersonal relationship with subordinates. These maintenance factors are necessary to maintain at a reasonable level of satisfaction in employees. Any increase beyond this level will not produce any satisfaction to the employees: however, any cut below this level will dissatisfy them. Motivational Factors: These factors are capable of having a positive effect on job satisfaction often resulting in an increase in ones total output. Hertzberg includes six factors that motivate employees. These are achievement, recognition, advancement; work itself, possibility of growth and responsibility. Most of the above factors are related with job contents. An increase in these factors will satisfy the employees: however, any decrease in these factors will not affect their level of satisfaction. Since, these increased level of satisfaction in the employees, can be used in motivating them for higher output.
LEADERSHIP CONCEPT: Leadership is the process of influencing the behaviour of other to work willingly an enthusiastically for achieving predetermined goals. DEFINITION: Leadership is interpersonal influence exercised in a situation and directed through communication process, towards the attainment of a specified goal or goals. Tennenbaum. Leadership is the process of influencing and supporting others to work enthusiastically toward achieving objectives. Barnard Key. LEADERSHIP STYLES: Leadership styles are the patterns of behaviour which a leader adopts in influencing the behaviour of his subordinates. Based on the degree of authority used by the supervisors, there are three leadership styles.
11 SACET-RK
1. Autocratic Leadership: It is also known as authoritarian, directive or monothetic style. In autocratic leadership style, a manager centralizes decision-making power in him. He structures the complete situation for his employees and they do what they are told. Here the leadership may be negative because followers are uninformed, insecure, and afraid if the leaders authority. Advantages:1. It provides strong motivation and reward to a manager exercising this style. 2. It permits very quick decisions as most of the decisions are taken by a single person. 3. Strict discipline will be maintained. 4. Less competent subordinates also have scope to work in the organisation under his leadership style. Disadvantages:1. Employees lack motivation; Frustration, low morale and conflict develop in the organisation. 2. There is more dependence and less individuality in the Organisation. As such future leaders in the organisation do not develop. 3. People in the organisation dislike it specially when it is strict and the motivational style is negative. 1. Participative Leadership:This style is also called democratic, consultative or ideographic. A participative is defined as mental and emotional involvement of a person in a group situation which encourages him to contribute to group goals and share responsibility in them. A participative manager decentralizes his decision-making process, instead of taking unilateral decisions, he emphasis on consultation and participation of his subordinates. 2. Free Rein Leadership:Free Rein or lassie faire technique means giving complete freedom to subordinates. In this style, manager once determines policies, programmes and limitations for action and the entire process is left to subordinates. Group members person everything and the manager usually maintains contacts with outside persons to bring the information and materials which the group needs. LEADERSHIP STYLES: - Leadership styles refer to a leaders behaviour. Behavioral pattern which the leader reflects in his role as a leader is often described as the style of leadership. It is the result of the philosophy, personality and experience of the leader. The important leadership styles are as follows:1. Autocratic (or) Authoritarian leaders 2. Participative (or) Democratic leaders 3. Free rein (or) Laiser faire leaders Autocratic Leadership Style: - This is also known as authoritarian, directive style. In this style manager centralizes decision-making power in him. He structures the complete work situation for his employees. He does not entertain and suggestions or initiative from subordinates. He gives orders and assigns tasks without taking subordinates opinion. There are three categories of autocratic leaders.
12 SACET-RK
Strict Autocrat: - He follows autocratic styles in a very strict sense. His method of influencing subordinates behaviour is through negative motivation that is by criticizing subordinates, imposing penalty etc Benevolent Autocrat: - He also centralizes decision making power in him, but his motivation style is positive. He can be effective in getting efficiency in man situations. Some like to work under strong authority structure and they drive satisfaction by this leadership. Incompetent autocrat: - Sometimes, superiors adopt autocratic leadership style just to hide their in competency, because in other styles they may exposed before their subordinates. However, this cannot be used for a long time. Advantages:1. It provides strong motivation and reward to manager. 2. It permits very quick decisions. 3. Less competent subordinates also have scope to work in the organisation. Disadvantages:1. People in the organisation dislike it specially when it is strict and the motivational style is negative. 2.Employees lack motivation frustration, low morale and conflict develops in the organisation. 3. There is more dependence and less individuality in the organisation.
Participative Leadership Style:- It is also called as democratic, consultative or idiographic leadership style. In this style the manager decentralizes his decision-making process. Instead of taking unilateral decision he emphasizes consultation and participation of his subordinates. He can win the cooperation of his group and can motivate them effectively and positively. Advantages:Employees are highly motivated. The productivity of employees is very high. Subordinates share the responsibility with the superior and try to safeguard them also. Disadvantages:1. Complex nature of organisation requires as through understanding of its Problems which lower-level employees may not be able to do. 2. Some people in the organisation want minimum interaction with their superior. 3. Some leaders may use this style as a way of avoiding responsibility.
13 SACET-RK
C
Free-rein Leadership:- A free-rein leader does not lead, but leaves the group entirely to itself as shown in the following figure.
M A B
C A
D A
In this style, manager once determines policy, programmes, and limitations for action and the entire process is left to subordinates group members perform everything and the manager usually maintains contacts with outside persons to bring the information and materials which the group needs.
The following figure shows the spectrum of a wide variety of leadership styles moving from a very authoritarian style at one end to a very democratic style at the other end, as suggested by Tannenbaum and warren H.schmidt.
Autocratic
Democratic
Free Rein
Use of Authority
14 SACET-RK
Area of freedom permitted to subordinates
Social Responsibility:Fro most of the business organisation, social responsibility is a way of life. Social responsibility refers to the process which includes several activities ranging from providing safe products and services to giving a portion of the companys profits to welfare organisations with a philanthropic perspective. Social responsibility of a business is also viewed as conducting its operations in a free and fair manner by dischargting its consumer towards different segments of its operational environment such as creditors, share holders consumebrs, employees,Government, and other general public asexplained below
UNIT-II DESIGNING ORGANISATIONAL STRUCTURES =============================================== ====== INTRODUCTION: Management is a process involving planning, organizing, directing and controlling human efforts to state of objectives in an organization. The second phase of management process is organizing, which basically involves analysis of activities to be performed for achieving organizational objectives, grouping these activities into various division, departments and sections so that these can be assigned to various individuals and delegating them appropriate authority so that they are able to carry on their work effectively. CONCEPT OF ORGANISATION AND ORGANISING: In management literature, sometimes the term organisation and organizing are used inter changeably because the term organisation is used in many ways. But it is not correct organisation is different from organising. Organising is one of the functions of
15 SACET-RK
management where as organisation refers to the institution where in the functions of management is performed. Organising is a process of Determining, grouping and structuring the activities. Creating rules for effective performance at work. Allocation necessary authority and responsibility. Determining detailed procedures and systems for different problems areas such as coordination, communication motivation etc. The ultimate result of organising is organisation. In other words, organising function ends with creating a structure of relationships. FORMAL AND INFORMAL ORGANISATION: Formal organisation refers to the structure of well-defined jobs, each bearing a definite authority, responsibility and accountability. CHARACTERISTICS: Organisation structure is designed by the top management to fulfill certain requirements. Coordination among members and their control are well specified through process, procedures rules etc. Organisation concentrates more on the performance of jobs and not on the individuals performing the jobs. Informal organisation refers to the natural grouping of people on the basis of some similarity in an organisation. It refers to people in group associations at work, but these associations are not specified in the blue print of the formal organisation, the informal organisation means natural grouping of people in the work situations. CHARACTERISTICS: Informal organisation is a natural out come at the work place. Informal organisation is created on the basis of some similarity among its members. The basis of similarity may be age, place of origin, caste, religion, liking/disliking etc.
16 SACET-RK
Membership is an informal organisation is voluntary. Behavior of members of the informal organisation is coordinated and controlled by group norms and not by the norms of formal organisation. BASIC CONCEPTS RELATED TO ORGANISATION: AUTHORITY AND RESPONSIBILITY: Authority may be defined as the power to make decisions which guide the actions of another. It is a relationship between two individuals, one superior, other subordinate. The superior frames and transmits decisions with the expectation that these will be accepted by the subordinate. Responsibility is defined as that obligation of an individual to carry out assigned activities to the best of his ability. It is not merely duty that is assigned but an obligation that the duty is performed. PARITY OF AUTHORITY AND RESPONSIBILITY: Principle of authority and responsibility suggests that authority of a person should match his responsibility. Otherwise, the performance of the managers goes unchecked where the authority exceeds the responsibility. It may lead to miss-utilization of authority and vice-versa. DELEGATION OF AUTHORITY: Delegation of authority is one of the important factors in the process of organising. It is essential to the existence of a formal organisation. Delegation means conferring authority from one manager to another in order to accomplish particular assignments. CENTRALISATION AND DECENTRALISATION: Another highly important issue in organising is the extent to which authority is centralized, or decentralized, in a formal organisation structure. In management centralization refers to concentration of authority and decentralization refers to dispersion of authority. SPAN OF MANAGEMENT: It refers to the number of subordinates that should be placed under single superior. The number of subordinates who report to superior has two important implications. It determines the complexity of individual manager job. It determines the shape or configuration of the organisation. The classical writers suggest that between 3 to 8 subordinates as ideal depending up on the level of management. V.A.Gracuna a French management consultant has suggested a mathematical formula to fix the number of subordinates. He classified superior and subordinate relationship into the following: Direct single relation ship. Direct group relation ship. Cross relation ships. Direct single relationship:- Direct single relationships arise from the direct individual contacts of the superior with his subordinates. Ex:- A,B,C are subordinates to X Here three single relation ships. Direct group relation ships:-Direct group relationships arise between the superior and subordinates in all possible combinations. Thus the superior may consult his subordinates with one or more combinations.
17 SACET-RK
Ex:-A with B,B with C,A with C, etc.. Cross relationships:- Cross relationships arise because of mutual interaction of subordinates working under the common superior , such as A and B,B and C,A and C,C and A etc.. The relationship is quite different between A and B than B and A from management point of view because the type of interaction will be different in both cases. Gracuna has given formula to find various relationships with varying number of subordinates. Number of subordinates = n, Direct single relationship Direct group relationship Cross relationship Total relationship = = = = (or) = n(2
n-1
n, n(2 -1) n(n-1), n(2 /2+n-1)

n n-1
+n-1). No. of relationships 1 6 18 44 100 222 1080 . 5210
No. of sub ordinates 1 2 3 4 5 6 8 10 . . . . . . .
Gracuna suggest that most ideal span for a manager is 6 subordinates with 222 relationships. Factors effecting span of management:Capacity of superior Capacity of subordinate Nature of work Degree of decentralization Degree of planning Communication technique Use of staff assistance Supervision from others Plant Layout Introduction: Plant layout deals with the arrangement of work areas and equipment. It is related to allocation of adequate spaces at the appropriate places for work equipment, working men, materials, other supporting activities and also customers. The basic theme behind the arrangement of work area is to produce the product economically, to provide the service effectively and to provide a safe and good physical environment for the users that is, the workers and / or the consumers
18 SACET-RK
Plant Layout: Plant Layout can be defined as the process of determining a spatial location for a collection physical production facility suitable to manufacture a product or service. It is concerned with arranging The manufacturing and servicing departments in the factory site The machinery within these departments The layout of individual work places Principles of Plant Layout The total movement of materials should be minimum. For this, one has to consider the movement distances between different work areas and the number times such movements occur per unit period of time. The arrangement of the work area should have as much congruence as possible with the flow of materials within the plant. Here, flow means not any particular direction, it means that the different stages through which the material passes before it becomes a finished product. the layout should ensure adequate safety and healthy working conditions for the employees The layout should be adaptable or flexible enough so as to allow for probable changes in the future as all systems should anticipate changes in the future. A good layout should take into consideration all the three dimensions of space available. In addition to the floor space, the vertical space available should also be taken into account while designing the work areas. Basic types of layout Process layout or layout by function This is typical of the job-shop type of production where the equipment performing similar operations is grouped together. For instance, grinding machines could be grouped together to form a work area, milling machines could be grouped together, drilling machines could be grouped together, etc. such a layout is particularly useful where the volume of manufacturing is low and the variety of jobs is great. Here, the layout should provide tremendous flexibility in the sequence of operations because; the sequence of operation for one job is different from that of another job. For this reason, in all job-shop types of production, work areas are grouped together. Process layout can be preferred when more varieties of products are manufactured in fewer quantities close quality inspection is required it is difficult to carry out time and motion study it is necessary to use the same machine for more than one product Merits: It is more flexible, since, it allows to change the sequence of operations. Production can be increased by installing additional equipment. Better working conditions More specialization If a machine fails, it does not effect on other machines.
19 SACET-RK
Demerits: It is very difficult to shift material from one stage to another. Diseconomy in utilization of floor space. Under this method of layout more manpower is required to check the work of each and every department. It increases the material handling cost. Product layout or line production The equipment here is laid out accordance to the sequence in which it is used for making the product. Product layout is usually suitable for assembling operations, for example in the automobile industry. In product layout the logical sequence in the production process forms the basis for the arrangement. Product layout can be applicable where the machines can be continuously handled for longer periods time and motion study can be conducted the products so manufactured do not require higher degree of inspection
Finished goods Drill Bore Grind Mill Inspect
Merits: This layout ensures constant flow of production. Under this method there is direct channel for the flow of material. So that , there is economy in material handling. Inspection is more easy and convenient. Since, all the machines are in a sequence. Economy is manufacturing time Maximum utilization of available space. Lesser work-in-progress or semi finished goods Economy in manufacturing time. Demerits: If one machine in the line stops on account of breakdown, the remaining machines cannot operate. Certain changes are very costly and impracticable under this method of layout It is an expensive layout. Fixed position layout: In this layout, the material remains in a fixed position, but the machinery, tools, workmen, etc. are brought to the material. It is suitable when the equipment and the machinery are small in number and size, and where the workmen are highly skilled to perform the various small jobs on the product. This type of layout is used in case o large projects such as building ships, manufacture of aircrafts, heavy pressure vessels and automobile industries etc., Merits: It is more flexible layout.
20 SACET-RK
It requires less floor space because machines are moved from one location to another. Material handling cost is minimum. Demerits: This type of layout is not suitable for manufacturing small products in large quantity. It involves high equipment handling cost. It requires more capital. Features of good layout: 1. Maximum Flexibility: A good layout is one which can be modified to meet changing circumstances. It must be capable of incorporating, without major changes, new equipment to meet technological requirement.
21 SACET-RK
PLANT LOCATION Introduction: The location where firms set up their operation is simply called as plant location. All the manufacturing and service organizations carefully plan where they should locate their plants and service facilities because location will have a serious affect on the success of an organization. Firms conduct plant location analysis where they evaluate different locations and finally choose an optimum location to start their operations. Importance: Selection of a plant location is a strategic decision for any organization. Therefore, it has to be made after considering all the factors which have a bearing on it. Location decisions are important for several reasons. The location of a plant will fix the production technology and cost structure. The significance of plant location depends on the size and nature of the business. The location of the facility affects the companys ability to serve its customers quickly and conveniently. Factors affecting plant location:1) Closeness to raw material: Normally the proportion of raw material cost to the cost of production is significant for every product. If the plant is located close to supply points of the raw material, the cost of procurement can be minimized, particularly if the raw material is fragile, perishable, bulky or heavy. Ex:- Rice mills are located near by paddy fields. 2) Nearness to the markets: If the plant is located close to the markets, the cost of transportation can be minimized. This also helps the producers to have direct knowledge of the requirements of the customers. The knowledge about the profiles of customer segments enables the plant to mould its sales strategies accordingly. 3) Transportation facilities: The five basic modes of physical transportation are air, road, rail, water and pipeline. Firms consider relative costs, convenience and suitability of each mode and then select the transportation method. Ex:- Exporters may choose a location near to a seaport or airport. 4)Availability of labour: The availability of labour and skills is one of the important factors in production. Labour may be readily available in some areas than in other areas. Availability of skilled and unskilled in the required proportion in one area is usually not possible. Firms that emphasise more on technology require skilled people and so prefer a location where the skilled people are available and vice versa. Natural and climatic factors:- :- In some cases, location of industry is simply the result of industry is simply the result of certain naturalfactors. Shipbuilding is located in vishakapatnam and Bombay as these are deep
22 SACET-RK
water- harbours, besides having well-developed markets for labour, raw material and machinery in its neighbourhood. Availability of amenities:- :- Locations with good external amenities such as housing, shops, community services, communication systems etc are more attractive than those located in the remote areas. Availability of services:- Electricity, water, gas, drainage, and disposal of waste are some of the important services that need to be considered while selecting a location. Safety requirements:- some units such as nuclear power stations and other chemical and explosive factories may present potential threat to the surrounding neighbourhood . so firms should ensure that such units are located in remote areas where the damage will be minimum in case of an accident. Political interference:- This applies more in case of public enterprises, many a time, political considerations over ride the economic rational in assigning an industry to a particular location. Site cost:- The management of the firm should ensure that the cost of the site is reasonable for the benefits that it is going to provide. PRODUCTIVITY AND PRODUCTION Productivity is defined as the rate at which the goods and services are produced. It refers to the relationship between the inputs and the outputs. It is calculated as a ratio between the amount produced and the amount of resources used in the production. Productivity =output/input Productivity is different from production. Productivity is the rate of production of goods and services while production refers to the actual amount of goods and services produced. Methods of production:following types. The methods of production can be of the
Job production Batch production Continuous or mass production Job production:- The production of small number of a product at a time, which may or may not be repeated in future is known as job production or unit production. The products are manufactured to meet the specific requirements of a customer. Generally, a special job order is made and it is connected with some special machinery, special models and projects. These are produced in very small quantity according to the customerrequirements.
23 SACET-RK
Ex:- Lifting equipments, pressure vessels, processing plants etc Batch production:- The production of sufficient number of identical items, mostly repeated with time intervals is known as batch production. It is also known as quantity production. There are several standard components which are used in different machineries . Batch production is mainly concerned with the production of such items to meet a specific demand. When a particular batch is manufactured, the plant should be available for the production of similar products. This type of production needs general purpose equipments and is very useful in manufacturing machine tools, paints, drugs etc Mass production:The production of large number of identical items, continuously is known as mass production. In this case, the production is carried out throughout the day and plant facilities are fully engaged. Production goes on the same sequence of process . It is associated with large quantity production and with high rate of demand. The main advantage of this method of production is the lowest unit cost of production. The products such as Tvs, air conditioners, cars, scooters, and others are manufactured through mass production. WORK STUDY Introduction: Work study is a new name for the techniques usually known as motions and time study. Work study refers to the method study and work measurement, which are used to examine human work in all its contexts by systematically into all factors affecting its efficiency and economy to bring forth the desired improvement. Nature & Scope Work study is a generic term for those techniques, particularly method study and work measurement, which are used in the examination of human work in all its contexts. Work study is the study of the work in order to simplify it. In fact, it is an approach in respect of the use of manpower, material and equipment with a view to eliminating waste in every form. It is extensively used in agricultural operations, manufacturing, services, and transport and supply industries.
24 SACET-RK
Method study is the systematic recording and critical examination of existing and proposed ways of doing work, as means of developing and applying easier and more effective methods and reducing costs. Objectives of method study: The study is conducted to achieve the following objectives to bring improvement of work processes and procedures to economize human efforts and to reduce unnecessary fatigue to improve the usage of materials, machines and manpower to develop better physical working condition and environment Procedure for method study: Method study includes the following steps: Select choosing the job or procedure to be studies Record collect all the relevant facts about the present or proposed method. Examine critically scrutinizing these facts in an orderly sequence using the techniques best suited to the purpose Develop develop the best possible method Install - practice the developed method Maintain checking the new standard practice by proper control procedures and regular routine checks. Select: Only such jobs are to be selected that promise substantial improvement and dividends. Some of the prospective tasks for the study are those which are holding up certain other operations bottleneck tasks which involve a long travel of the forms, documents and materials. After selection of job, it will be a good practice to compile a list of specifications of the job Ex: job particulars, who initiated the study, layout etc.
25 SACET-RK
Record: The current process of doing job has to be recorded. While doing so, every detail, however small it may be, has to be identified. Where the process is too long, involving many stages of production, inspection, the present process of doing the job is recorded sufficiently, together with all the relevant information, by using the process chart. A process chart is a graphic representation of the sequence of events or steps that occur in the work method or procedure. Classifying them by symbols according to the nature of the event is as follows Symbol Meaning Operation: It involves change in the condition of a product Transport: Moving something from one location to another Storage: It occurs when object is kept and protected against unauthorized removal Delay or Temporary storage: A delay occurs to an object when conditions do not permit the performance of next job Inspection: Quality and quantity of the product is good or not Operation cum Inspection: Inspection is taking place during the production process
Examine: This is the most important phase of method study. After an activity has been suitably recorded by means of any method, the recorded events are to be critically examined. The analysis may be based on primary questions like purpose, place, sequence, person etc. At the secondary stage, the questions are meant to seek alternatives so as to be able to think out a better, and finally the best way of accomplishing the task. Develop: Based on the recorded data, the alternative methods of doing the same job more effectively are to be identified and evaluated. From these alternatives, the best one is selected and developed to suit the requirements. Install: The new method so developed is to be installed in a phased manner. As part of installation, adequate planning of schedules and deployment of resources should be taken carte of. Once the method is adopted, the workers have to be retrained, the equipment has to be provided, and the method has to be tested in order to seek improvement.
26 SACET-RK
Maintain: It should be ensured that the method is used in the manner intended. Complaints and improvements in productivity should be registered. Once the new method starts yielding the desired result, it is necessary to maintain the new method without any change for sometime. Work Measurement: Work measurement, also called time study, establishes the time taken by a qualified worker to complete a specified jab at a defined level of performance. These techniques are used to answer the questions how long? And when? They usually follow the results of method study. They are employed for following purposes. To develop costing system To determine the production schedules To develop incentive schemes To compare the time taken by alternative methods of a given job To standardize the job in terms of standard time, thus, supplementing the efforts of method study. To determine the optimum number of men and machines to ensure their effective utilizations Effective planning and control of production, distribution, administration and services can not be achieved unless they are based on the facts. One of the most important facts is the time required to complete the job, which can be obtained by work measurement. Procedure: Break the job into elements which can be identified as distinct parts of an operation, capable of being observed, measure and analyzed Measure time taken to perform each element using a stopwatch Add the time taken to do all elements and arrive at the basic time required to do the entire job. Work Sampling: One of the methods of developing production standards i.e., work sampling differs from the other methods. It does not require a stop watch and involves observing a portion or sample of one or more work activities. Work sampling is one of the very common techniques of work measurement which has gained widespread use on shop floor and office in nearly all types of manufacturing and non manufacturing organizations.
27 SACET-RK
CONCEPT OF ORGANISATION STRUCTURE: Organisation structure is the pattern of relationships among various components or parts of the organisation. This prescribes the relationships among various activities and positions. Since these positions are held by various persons, the structure is the relationships among people in the organisation DEPARTMENTATION: The first task in designing an organisation structure is the identification of activities and to group them properly. The process of grouping the activities is known as Departmentation. LINE ORGANISATION STRUCTURE It is also known as scalar, military, or vertical organisation and perhaps is the oldest form. In this form of organisation managers have direct responsibility for the results; line organisation can be designed in two ways. 1. PURE LINE ORGANISATION: Under this form, similar activities are performed at a particular level. Each group of activities is self contained unit and is able to perform the assigned activities without the assistance of others
Production Manager | ______________________________ |____________________________ | | Foreman-A Foreman-B Foreman-C | | Worker Worker Worker
| |
2. DEPARTMENTAL LINE ORGANISATION: Under this form, entire activities are divided into different departments on the basis of similarity of activities. The basic objective of this form is to have uniform control, authority and responsibility. Production Manager | ______________________________ |____________________________ | | Foreman-A Foreman-B Foreman-C (Body Moulding) (Seating) (Finishing) | | Worker Worker Worker Merits Demerits
28 SACET-RK
It is simple to understand Easy supervision & control Quick decisions It sets clearly the direct lines of authority and responsibility of a line manager Lack of specialization Low Morale Autocratic approach Overburden to manager
Suitability:- It is suitable to small scale organizations where the number of subordinates is quite small CALUCULATION OF EOQ: Total ordering cost = No of order placed per year x ordering cost per order = (A/S) B Total carrying cost per year = Avg inventory level carrying cost per year = (S/2) C Economic order quantity is that of order where ordering cost is equal to carrying cost.. (AB)/S = (SC)/2 2AB =s2 C S2 = 2AB/C S = (2AB/C) S = Economic Order Quantity A = Annual Demand B = Buying cost (or) Ordering cost C = Carrying cost ABC Analysis:The inventory of an organization of large no of large items with varying price & usage rate. It is not possible to pay equal attention on all the items. ABC analysis is a selective approach of inventory control. It enables the management where to be paid concentration and its efforts. Usually materials are classified into three categories. A class items: These items consist of hardly 10% of the total items and account for 70% of the total value of inventory. B class items: These items relatively less important. They may constitute 20% of the total items and the % of the investment in inventory about 20% of the total inventory value. C class items: These are about 70% in number but it consists of 10% investment in inventory value. (10% of the total expenditure on inventory) A class items required rigid and strict control and need to be stocked in smaller quantity. An attention should be paid in estimating requirements. Purchasing & storing them. A little attention should be paid on class B items. The control on these items should be intermediate between A & C, C items being less expensive does not required strict control. These are ordered in bulk quantity. ABC Analysis (Policy Guidelines)
29 SACET-RK
A class items -Tight control on stock H level. -Low safety stock. -Regular & continuous check on wastage. -Procure material through multip multiple sources. Stock Levels:Maximum Stock Level: - It is the level beyond which storage of raw materials are not allowed .The main purpose of this levels is to avoid blocking up of capital unnecessarily on material. Maximum stock level Reorder level +recorder quantity (minimum usage *minimum reorder period) Minimum stock level: - It is level below which material should not be allowed to fall. This level indicates the possibilities of stoppage of production unless quick arrangement is made for further purchase of material. Minimum stock level=reorder level-(normal usage *normal reorder period) Re - order level:-this id the level where the company should place an order for fresh procurement. This level is fixed in between minimum level and maximum level. Re order level = lead time *average usage (Or) Minimum stock level + consumption during lead time Danger level: - this level is fixed in between minimum level and zero stock level. As and when material stock level reached to this level the store keeper should make necessary special arrangements to procure material. Safety stock: - the safety stock is the additional stock of material to be maintained to be maintained in order to meet the unanticipated increase in demand. Safety stock = (maximum lead time-minimum lead time)*consumption rate Lead time: - it is the time gap between placing of an order and the time of actual receipt of material Purchasing Function: - For an organization. Purchasing is a window to the outside world. The prime function of purchasing is that of being sensitive to the external supply marker situation and also of feeding back this information to the other functions of the organization. However, it is usually understand to be to get the right quantity of material of the right quality at the right time, at the right place, from the right source and at the right cost. B class items - Moderate control. - Median safety stock Quarterly check on wastage - Two or more reliable sources C class items Lesser control Large safety stock Annual review on wastage Only one or two reliable sources
30 SACET-RK
Objectives of Purchasing: 1. To ensure availability of proper quantities of materials for smooth functioning of the production department. 2. To procure materials at reasonably low costs for the company. 3. To ensure supply of quality materials. 4. To select the proper sources of supply in order to ensure the above. 5. To maintain functional relations with order department and provide up-to-date information and device about the availability of alternative materials. 6. To train staff make policies and procedures and thus evolve a sound organization to achieve the objectives. Centralized vs decentralized buying function: Whether to centralize of decentralize buying inventory is a question of policy. To decentralize the procurement function needlessly is to deny a firm some of its potential profit. Centralization of inventory procurement is essential for attaining both operating efficiency and maximum profit. When the entire responsibility of procurement of inventory lies with one single person, it is called as centralized buying. On the other hand the buying function is said to be decentralized when personal from other functional areas of business say production, Engineering, marketing, finance, personal decide on sources of supply. Negotiate with vendors directly or perform any of the other major function of buying inventories. Process of Purchasing:Purchasing procedure includes the following steps. 1. Receiving Purchasing requisitions: Purchase department collects all requisitions for purchase of material. The department which requires materials or stores prepares the purchase requisitions and sent to the purchase department. It does all the purchases belong to the organization. 2. Selection of possible sources of supply: It is the function of the purchase department to maintain the list of suppliers of every type of material. There could be alternative materials available as a result of technological development should explore such alternative materials that involve lower cost and additional benefits. 3. Making request for quotations: - Purchase department invites quotations from the selected suppliers. In the invitations it can be mentioned the particulars of details to be submitted. The details of price, quantity to be supplied. The time of delivering, discount, the terms of payment etc. are furnished in the quotations. The suppliers are short listed based on their post performance in terms of quality, reliability.. Objectives of Purchasing: 1. To ensure availability of proper quantities of materials for smooth functioning of the production department. 2. To procure materials at reasonably low costs for the company. 3. To ensure supply of quality materials. 4. To select the proper sources of supply in order to ensure the above.
31 SACET-RK
5. To maintain functional relations with order department and provide up-to-date information and device about the availability of alternative materials. 6. To train staff make policies and procedures and thus evolve a sound organization to achieve the objectives. Centralized vs decentralized buying function: Whether to centralize of decentralize buying inventory is a question of policy. To decentralize the procurement function needlessly is to deny a firm some of its potential profit. Centralization of inventory procurement is essential for attaining both operating efficiency and maximum profit. When the entire responsibility of procurement of inventory lies with one single person, it is called as centralized buying. On the other hand the buying function is said to be decentralized when personal from other functional areas of business say production, Engineering, marketing, finance, personal decide on sources of supply. Negotiate with vendors directly or perform any of the other major function of buying inventories. Process of Purchasing:Purchasing procedure includes the following steps. 1. Receiving Purchasing requisitions: Purchase department collects all requisitions for purchase of material. The department which requires materials or stores prepares the purchase requisitions and sent to the purchase department. It does all the purchases belong to the organization. 2. Selection of possible sources of supply: It is the function of the purchase department to maintain the list of suppliers of every type of material. There could be alternative materials available as a result of technological development should explore such alternative materials that involve lower cost and additional benefits. 3. Making request for quotations: - Purchase department invites quotations from the selected suppliers. In the invitations it can be mentioned the particulars of details to be submitted. The details of price, quantity to be supplied. The time of delivering, discount, the terms of payment etc. are furnished in the quotations. The suppliers are short listed based on their post performance in terms of quality, reliability.. Objectives of Purchasing: 1. To ensure availability of proper quantities of materials for smooth functioning of the production department. 2. To procure materials at reasonably low costs for the company. 3. To ensure supply of quality materials. 4. To select the proper sources of supply in order to ensure the above. 5. To maintain functional relations with order department and provide up-to-date information and device about the availability of alternative materials. 6. To train staff make policies and procedures and thus evolve a sound organization to achieve the objectives. Centralized vs decentralized buying function: Whether to centralize of decentralize buying inventory is a question of policy.
32 SACET-RK
To decentralize the procurement function needlessly is to deny a firm some of its potential profit. Centralization of inventory procurement is essential for attaining both operating efficiency and maximum profit. When the entire responsibility of procurement of inventory lies with one single person, it is called as centralized buying. On the other hand the buying function is said to be decentralized when personal from other functional areas of business say production, Engineering, marketing, finance, personal decide on sources of supply. Negotiate with vendors directly or perform any of the other major function of buying inventories. Process of Purchasing:Purchasing procedure includes the following steps. 1. Receiving Purchasing requisitions: Purchase department collects all requisitions for purchase of material. The department which requires materials or stores prepares the purchase requisitions and sent to the purchase department. It does all the purchases belong to the organization. 2. Selection of possible sources of supply: It is the function of the purchase department to maintain the list of suppliers of every type of material. There could be alternative materials available as a result of technological development should explore such alternative materials that involve lower cost and additional benefits. 3. Making request for quotations: - Purchase department invites quotations from the selected suppliers. In the invitations it can be mentioned the particulars of details to be submitted. The details of price, quantity to be supplied. The time of delivering, discount, the terms of payment etc. are furnished in the quotations. The suppliers are short listed based on their post performance in terms of quality, reliability.. Have to be utilized. If it is both for consumer and industrial markets. More than one channels to be employed. Market size:- If the size of the market is small. it will be worthwhile to go for direct marketing. In case of larger markets. On the other hand we have many channels. Size of consumer order: size and average frequency of consumer orders also influence the channel decision. If the volume of sales is large direct selling may be economically feasible. In the reverse situation i.e., in case of small quantity demand. Services of a retailers etc. may be availed of. III consumer Factors:Marketing essentially constitutes people who have some unsatisfied wants and necessary financial resources to get their demand satisfied. Hence while determining the channels of distribution the convenience & inconvenience of the prospective customers will have to be taken note of. For e.g. Avery large number of people prefers buying from retailers simply because they provide them credit facilities. Similarly there are some commodities like air coolers, colour televisions whose prices are high, that do not reach the general customers. Hence installment selling may be a more logical method of marketing which in turn may require the services of the local dealers. Who may provide them such facilities. IV Intermediary Factors:This factor also assumes considerable importance in the age of indirect selling. While selecting the channel of distribution a manufactures cannot
33 SACET-RK
overlook the services rendered by the middle men. If the product needs aggressive promotion campaigns or special storage facilities which cannot be ordinarily provide by the manufactures. The service of middlemen such as whole sellers or dealers will have to be utilized. Product Life Cycle:The PLC attempts to recognize distinct stages in sales history of the product. The success or failure of a products life depends on how well it makes adjustments to ever changing, saturation and decline stages. The length of each stage of PLC varies on product nature and environment conditions.
Maximize his own market share in the face of new competitors entering the growing market. Establish a strong brand image through effective advertisement campaigns. Reduce prices slightly to reach the more price sensitive potential customers.
III) Maturity:When the products sales growth sloes down, it is called maturity. Due to this slow down, the industry as a whole suffers from over capacity. At this stage, firms tend to attract the customers away from their competitors through cheaper prices and larger positional efforts and outlay. At maturity stage, the manufacturer has to Focus on more profitability Modify the product lines or extend the same to include least versions that appeal to the specific needs of segments within the total market. Spend more on sales promotion instead of restoring to price-cutting IV) Saturation:When the sales growth slows down to zero, such a stage is called saturation. The size of the market does not increase beyond this stage. In other words any new customer entering the market is replaced by old customers who have stopped buying the product. All sales are simply replacement sales or repeat purchases by the customers. V) Decline
34 SACET-RK
When sales of a product tend to fall, such a stage is called decline. When a product ceases to satisfy the customers needs in relation to those available in the market, it is no more preferred. As a result, its competing products offering superior benefits take over the market this leads to weakened profitability. At this stage the manufacturer has to Minimize marketing expenditure. Use his resources, especially cash, to support new, cash hungry products at the introduction or growth stages in their life cycles. Withdraw distribution licenses from the least effective distribution. Reduce promotional expenditure to a minimum level. Cut prices and rationalize the product range and retain only those items that appeal to the larger and more profitable.
UNIT V PERSONNEL MANAGEMENT Concept: It is the process of acquiring, developing, employing, appraising, remunerating and retaining people, so that right type of people available at right position and at right time in the organization. Definition: The personnel function is concerned with the procurement, development, compensation, integration and maintenance of the personnel of an organization for the purpose of contributing towards the accomplishment of that organizations major goals and objectives Edwin B. Flippo Staffing is the function by which managers build an organization through the recruitment, selection and development of individuals as capable employees __ Mc. Farland Features: It is a specialized branch of general management and therefore act the principles of general management apply to this branch of management also. It defines the relationships between employer & employee and employee & employee. It considers the development of people at work, as an individual and as a member of the group. It is goal oriented as its object is to contribute to the organizational goals. It is not something to be used sparingly. Every manager is required to perform the personnel function on a continuous basis. Scope of Personnel management: The scope of personnel management is extremely wide. The important job of personnel manager is to get the things done through the people and thus he stresses the aspect of management of people. Personnel management in its widest sense is concerned with organizing human resources in such a way as to get the maximum output to the enterprise
35 SACET-RK
and to develop the talent of the people at work to the fullest individual capacity securing personnel satisfaction. Functions: Recruitment and maintenance of labour force:- This function includes attracting, screening, testing, hiring and inducting men on the job. Training: - Training is a must to prepare the worker to meet the challenges of the new jobs or techniques and to maintain and to improve the quality of work so that the employees may earn more for themselves and contribute more to the unit. Job analysis and Job description: It involves the studies of job requirements of the enterprise and assignment of well defined functions to jobs so that qualified employees may be hired. It forms the basis of wage determination Compensation: It includes, determining wage rates, incentive systems, rating of employees and performance standards. Keeping personnel records: It includes collection of bio-data of all employees pertaining to their work, i.e., training, job performance, aptitude, payment records etc... Welfare: - It includes health and safety program, sanitary facilities, recreational facilities, educational activities etc... The scope of personnel management is wide enough to cover all the organizations, where work is done by men. Objectives: Objectives of an organization are guidelines of its policies procedures and functions and the principles are the tools to accomplish these objectives. The main objective of personnel management is to utilize the available human resources. Objectives are divided in to two categories General Objectives Specific Objectives General Objectives: The statement of general objectives expresses the basic philosophy of top management towards the labour force engaged on the work. Maximum individual development Desirable working relationship between employer and employees. Effective moulding of human resources as contrasted with physical resources. Specific Objectives: It refers to the various activities of the personnel department. Selection of right type and right number of persons Proper orientation and introduction of new employees. Organization of suitable training programmes for better performance. Provision for better working conditions and other facilities.
36 SACET-RK
Provision of sound, fair and effective wages and salary administration. Exit interviews Good relations with trade unions Management of grievances
MANPOWER PLANNING Concept: Manpower planning is also known as human resource planning (HRP). It is the starting point in staffing function. HRP is basically deals with forecasting personnel needs in future, assessing personnel supply and matching demand supply factors through personnel related programmes. The planning process influenced by overall organizational objectives and the environment of business. Definition: HRP includes the estimation of how many qualified people are necessary to carry out the assigned activities, how many people will be available, and what , if anything , must be done to ensure that personnel supply equals personnel demand at the appropriate point in the future ___ Leap and Crino Features: HRP is a process which includes various aspects through which an organization tries to ensure that right people, at right place, and at right time are available. It involves determination of future needs of manpower in the light of organizational planning and structure. It also takes into account the manpower availability at a future period in the organization HRP Process: HR plans need to be based on organizational objectives. In practice it implies that the objectives of the HR plan must be derived from organizational objectives. Specific requirements in terms of number and characteristics of employees should be derived from the organizational objectives. Personnel function is a subsystem of organization. Various subsystems of the organization define its own plans and programmes. Thus, each subsystems plans and programmes are linked to organizational objectives. The following questions are important while deciding the personnel policies Are vacancies to be filled by promotion from within or by hiring from outside? What union constraints are encountered in manpower planning and what policies are needed to handle these constraints?
37 SACET-RK
How to enrich employees job? How to downsize the organization? How to ensure continuous availability of adaptive and flexible workforce?
Manpower planning process chart: Organizational Objectives & Plans Manpower Planning Forecasting manpower ManpowerRequirements Preparing Inventory
Identification of Manpower gap
Surplus
Shortage
Action plan for bridging the gap
Forecasting manpower requirements: Demand forecasting is the process of estimating the future quality and quantity of people required. The forecasting must be based on annual budge and long term corporate plan, translated into activity levels for each function and department. Forecasting of human resources requirement serves the following purposes Quantity of jobs required to produce a given number of goods. To determine what staff-mix is desirable in the future. To assess appropriate staffing levels in different posts of the organization so as to avoid unnecessary cost. To prevent shortages of people where and when they are needed most. To monitor compliance with legal requirements with regard to reservation of jobs. Preparing manpower inventory:
38 SACET-RK
After estimating the demand for HR requirement, the next step is to determine whether it will be able to procure the required number of personnel and the sources for such procurement. Supply forecasting measures the number of people likely to available from within and outside of an organization, after making allowance for absenteeism, internal movements and promotions etc The supply analysis include Existing human resources Internal sources of supply External sources of supply Existing Resources: - Analysis of present employees is greatly facilitated by HR audit. HR audit summarizes each employees skills and abilities. The audit of non managery called skill inventory and those of the management are management inventory. Internal supply: - Based on skills and management inventories, planners can proceed with the analysis of internal supply. The following are the techniques to identify internal supplyInflow and outflow methods Turnover rate Conditions of work and absenteeism Productivity level Movement among jobs External supply: - In addition to internal supply, the organization needs to lookout for prospective employees from external sources. External sources vary from company to company and industry to industry. Identification of manpower gap: - It is difference between the demand and supply of manpower. This gap may be of two types viz., surplus of manpower and shortage of manpower. Action plans: - Based on the analysis of this gap action plans must be developed to overcome this gap. Surplus will be separated by various ways like VRS, layoffs, reduced work hours etc shortage will be adjusted with promotions, recruitments, increased working hours etc
JOB ANALYSIS Concept: -
39 SACET-RK
An organization needs personnel of different types so that different jobs are performed effectively. HRP is related to match the personnel demand with personnel supply. For achieving this matching, detailed knowledge of the nature and the requirements of different jobs is essential. Job analysis provides this knowledge. Definition: Job analysis is the process of studying and collecting information relating to the operations and responsibilities of a specific job. The immediate products of this analysis are job description and job specifications Job analysis involves the process of identifying the nature of a job and the qualities of the likely job holder. Job analysis is the process of collecting job related data. The data, thus collected, will be useful for preparing job descriptions and job specifications. Job description lists job title, duties, machine and equipment involved, working conditions, etc job specification list the qualities and qualifications necessary to do a job. Process of job analysis: Job analysis is a process involving different steps to be undertaken in a sequential manner. In includes the following stages. strategic choices (defining uses of job analysis) gather information information processing job description job specification Strategic choices: It is the first step in total bon analysis process. An organization is required to make at least four choices. The level of employee involvement in job analysis The level of details of the analysis Timing and frequency of analysis Past oriented vs. future oriented job analysis The first choice is related to decide what extent an employee to be involved in job analysis. Job analysis means collection of information relating to job not incumbent, employees has familiarity with jobs. To what extent employee need to be involved is a debatable concept. Too much involvement may result in bias in favor of jobs. On the other hand, if they are not involved may lead to inaccurate and incomplete information. It depends upon the needs of organization and employees. Second choice related to level of details to be collected about the job. Generally it is based on the duties performed by the selected job. In other words the nature of job being analysed determines the level of details in job analysis. Ex: crane operator ---------- personnel manager The level of details required in job analysis also depends on the purpose for which job-related details are being collected. Ex. Mass training ----------- to add a clarification
40 SACET-RK
Another strategic choice relates to the timing conducting job analysis. It is conducted generally
and
frequency
of
An organization is newly established and the job analysis initiated for the first time. A new job is created in a established company. A job is changed due to environment, technology, taste, process etc The organization is contemplating a new remuneration plan. Managers feel that there exist certain inequalities between job demands and remuneration it carries. Finally, if an organization is changing rapidly due to fast growth or technological change, a more future oriented approach to job analysis may desire. It enables the organization to hire and train the future job prior to actual change. Information Gathering: This step involves decision on three issues. What type data is to be collected What methods are to be employed for data collection Who should collect the data The type of data to be collected is concerned with what type of details about jobs, need to be gathered. It depends upon the end use of information, as also on the time and budget constraints. Ex: work activities, tools, machinery etc For second question there are different methods are available. Some methods are as follows --Observation Interview Questionnaire Checklists Diary method Technical conference. The selection of a particular method of collecting job analysis information and the persons to be involved depend upon two factors: What is the purpose of job analysis What is the status of current job analysis programme? For third question, we may use three different types of individuals. They are --Supervisors Employees / Job incumbents Trained analyst Information processing: Once the job information has been collected, it needs to be processed. So that it would be useful in various personnel functions specifically, job related issues of job description and job specification. Job Description: -
41 SACET-RK
It is an important document, which is basically descriptive in nature and contains a statement of job analysis. It provides both functional information and organizational information. Job description includes job title, job summary, job duties and responsibilities, relation with other jobs, the no. of persons to be supervised, machine, tools to be used and working conditions. Job Specifications: Job specifications translate the job description into terms of the human qualifications which are required for a successful programme of a job. They are intended to serve as a guide in hiring and job evaluation. It includes physical characteristics, psychological characteristics, traits of temperament, responsibilities and other features +++++++ X +++++++
PERFORMANCE APPRAISAL INTRODUCTION: Performance appraisal means the assessment of an individuals performance in a systematic way, the performance being measured against such factors such as job knowledge, quality and quantity of output , initiative , leadership abilities, dependability, supervision, gooperation, versatility, judgment, health and the like. Definition: Performance appraisal is a formal, structured system of measuring and evaluating an employees job, related behaviour5s and outcomes to discover how and why the employee is presently performing on the job and how the employee can perform more effectively in the future so that the employee, organization and society all benefit
42 SACET-RK
Performance appraisal is the systematic evaluation of the individual with regard to his or her performance on the job and his potential for development -- Beach Objectives: To effect promotions based on competence and performance To confirm the services of probationary employees To assess training and development needs of the employees To decide upon a pry raise when regular pay scales have not been fixed. To let the employees know where they stand in so far as their performance is concerned and to assist them with constructive criticism and guidance for the purpose of their development. To improve communication between rater and ratee. Finally, Performance appraisal can be used to determine whether human resource programmes such as selection, training & development, and transfers have been effective or not. Process of performance appraisal: Objectives of Appraisal: - Objectives of appraisal, includes effective promotions, transfers, assessing training needs, awarding pay increases etc In other words, it is a process of deciding for what purpose the programme is initiated. Establish Job Expectations: - It includes informing the employee what is expected of him on the job. Normally a discussion is held with his superior to review the major duties contained in the job description. Individuals should not be expected to begin the job until they understand, what is expected of them.
Objectives of Performance Appraisal Establish Job Expectations
Design an Appraisal Programme
Appraise Performance
Performance Interview
Use appraisal data
43 SACET-RK
Design an appraisal programme:- It is the major and very important step in total performance appraisal process. It poses several questions which need answers--Formal Vs Informal appraisal? Whose performance to be assessed? Who are the raters? What problems are encountered? How to solve the problem? What should be evaluated? When to evaluate? What methods of appraisal are to be used?
SELECTION Selection may be defined as , choosing the fit candidates, or rejecting the unfit candidates or a combination of both. Selection involves both, because it picks up fit and rejects unfit A selection process involves a no. of steps. The basic idea is to solicit maximum information about the candidates to ascertain their suitability for employment. Since the type of information vary from position to position, it is possible that selection process may have different steps for various positions. The selection procedures must take in to consideration the public policy and operate within the frame work of the provision of the state or central statutory controls. Public policy may prohibit any kind of discrimination against any person on grounds such as age, color, race , sex , creed or caste. Within the framework of public policy and company policy, proper selection standards must be prescribed with a view to placing the right person on the right job. Selection procedure includes the following steps.
Receipt of Applications
Scrutiny of applications 44 SACET-RK R E J
Preliminary Interview
Reference letters Group Discussions
Selection Test
Employment Interview
Placement and Orientation
Receipt of applications: Application forms are widely used everywhere and constitute one of the fundamental media through information is gathered about the applicant and assists the interviewer in formulating the questions to obtain more information about the candidate. Most of the companies design different types of applications for different positions managers, supervisors, workers etc.. And while some application forms are simple, general and easily answerable, some other may require elaborate, complex and detailed information about the applicant. Scrutiny of applications: All those who have applied for the job in an organization may not be suitable for it. So we should reject those applicants who do not possess the required qualifications and experience. While scrutinizing the applications one should take care about good, loyal and enduring applications. Preliminary Interview: It provides first opportunity for the candidate to know about the company and the job and whether he is suitable or not, the personnel executive must create a good impression of the company about the candidate. It should be precise, courteous, kind and informal. Rudeness and discourtesy will make you to lose not only a potential employee, but a potential customer too. Reference Letter: Generally the applicant will be asked for two or three references from former employees, friends or professors or famous persons those who may speak well of him Group Discussion: The group discussion is a method where group of the job applicants are brought around a conference table and they are given either a case study
45 SACET-RK
or a subject for discussion. The group members are to be observed by a selection panel. Generally the following activities will be observed by the selection panel. Initiating the discussion Explaining the problem Providing information Clarifying issues Influencing others Summarizing Speaking effectively Mediating arguments among the participant. Selection Test: Selection test helps to measure the abilities and skills of a candidate in terms of job specifications. Selection tests are broadly classified into proficiency tests and aptitude tests. Proficiency tests are conducted to measure skills and abilities of the candidate. Aptitude tests are conducted to measure the potential skills and abilities of a candidate. Employment Interview: Interviewing is the most universally used tool in any selection procedure and interviews are designed to serve in the most important areas of employment, training, human relations and labour relations. In many companies interview may be the only tool used. Interview may be for a period of five minutes or for sixty minutes. They may be informal and oral or they may be highly planned and carefully conducted. Medical Examination: Medical examination is given to the selected candidates to find their fitness for the job. Although medical examination is an essential criterion for final selection, it should not be used as a tool for rejecting the candidate. Placement and Orientation: When the formalities are over, the candidate will be hired and posted in the position. Orientation involves making the new employee acquainted with the new organization. During the period of orientation, the employee is educated about the company and its products.
----------------0000-----------
46 SACET-RK
TRAINING AND DEVELOPMENT Training and development are essential for achieving organisational goals. Training and development always go hand in hand. Training leads to human development, that is, better skills, motivation, and personality development. Training is a short-term process of utilizing systematic and organized procedures by which the staff acquires specific technical knowledge and functional skills for a definite purpose. The focus of training is the job or task. The role of training in the organisation is governed by the overall purpose of the organisation. In a fast moving consumer goods company, training will be geared strongly to achieve larger sales than of competitors. In a high technology manufacturing company, training will be geared to product quality and innovation. In a hospital, training will be geared to provide a reliable standard of health care.
47 SACET-RK
LINE AND STAFF ORGANISATION: It refers to a pattern in which staff specialists advise line managers to perform their duties. When the work of an executive increases its performance requires the services of specialists which he himself can not provide because of his limited capabilities on these matters. Such advise is provided to line managers by staff personal who are generally specialists in their fields. The staff people have the right to recommend, but have no authority to enforce their preference on other departments.
FEATURES:This origin structure clearly distinguishes between two aspects of administration viz., planning and execution. Staff officers provide advice only to the line officers; they do not have any power of command over them. The staff supplements the line members. MERITS It enhances the quality of decision Greater scope for advancement It relieves the line managers. Reduction of burden. DEMERITS 1. It may create more friction or Conflict between line and staff 2. It is expensive 3. It creates confusion
SUITABILITY: - It can be followed in large organizations where specialization of activities is required, because it offers ample opportunities for specialization. FUNCTIONAL ORGANISATION STRUCTURE:It is the most widely used organization structure in the medium and large scale organizations having limited number of products. This structure emerges from the idea that the organization must perform certain functions in order to carry on its operations. Functional structure is created by grouping the activities on the basis of functions required for the achievement of organizational objectives. For this purpose, all the functions required are classified into basic,
48 SACET-RK
secondary and importance. supporting functions according to their nature &
49 SACET-RK
FEATURES: The whole activities of an organisation are divided into various functions Each functional area is put under the charge of one executive For any decision, one has to consult the functional specialist MERITS Planned specialization Facilitates large scale production Disciplinary controls are well defined Offers clear career paths DEMERITS calls for more coordination no clear line of authority slow decision making lack of responsibility
COMMITTEE ORGANISATION: A committee does not represent a separate type of organization like line and staff, or functional. It is rather a device which is used as supplementary to or in addition to any of the above types of organizations. A committee may be defined as a group of people performing some aspects of Managerial functions. Thus, a committee is a body of persons appointed or elected for the Consideration of specific matters brought before it.
50 SACET-RK
51 SACET-RK
MATRIX ORGANISATION It is also called project organization. It is a combination of all relationships in the organization, vertical, horizontal and diagonal. It is a mostly used in complex projects. The main objective of Matrix organisation is to secure a higher degree of co-ordination than what is possible from the conventional, organizational structures such as line and staff. In matrix organization structure, a project manager is appointed to co-ordinate the activities of the project. Under this system a subordinate will get instructions from two or more bosses, Viz., administrative head and his project manager. Merits It offers operational freedom & flexibility It focuses on end results. It maintenance professional Identity. It holds an employee responsible for management of resources. Demerits:It calls for greater degree of coordination, It violates unity of command. Difficult to define authority & responsibility. Employee may be de motivated.
General Manager
Productio n
Personne l
Finance
Marketin g W
Project B Manage r Project B Manage r Project C Manage r
Suitability:It can be applicable where there is a pressure for dual focus, pressure for high in formation processing, and pressure for shred resources. Ex:- Aerospace, chemicals, Banking, Brokerage, Advertising etc..,
52 SACET-RK
Boundary Less Organization:Problems with traditional organizational structures:Lack of flexibility to changing mission needs/rapidly changing world. Slow/poor in responding customer requirement. Failure to get things to done. Customer/vendor has a hard time dealing with the organization. What are the boundaries? Vertical: Boundaries between layers within an organization. Horizontal: Boundaries which exist b/w organizational departments. External: Barriers between the organization and the out side world. (Customers, suppliers other govt. committees). Geographic: Barriers among organization units located in different countries. Problem:-isolation of innovative practices & ideas. What is boundary less Organisation? It may be defined as an organisation structure that can avoid all the barriers (vertical, horizontal, external, geographic) much more permeable than they are now; Boundary less organisation allows free flow of ides/information / resources throughout the organisation and into others. A boundary less organisation is the opposite of a bureaucracy with numerous barriers and division. In contrast, the organisation with out boundaries offers interaction and networking among professionals inside and outside the organisation. The organisation model is fluid and highly adaptive, much like an open system in biology. Jack Welch, former CEO of General Electric, stated his vision for the company as a boundaryless company. By this he meant an open, antiparochial environment, friendly toward the seeking and sharing of new ideas, regardless of their origin. The purpose of this initiative was to remove barriers between the various departments as well as between domestic and international operations. To reward people for adopting the integration model, bonuses were awarded to those who not only generated new ideas but also shared them with others.
53 SACET-RK

Management Science

Transféré par

Informations du document

Description originale:

Copyright

Formats disponibles

Partager ce document

Partager ou intégrer le document

Options de partage

Avez-vous trouvé ce document utile ?

Ce contenu est-il inapproprié ?

Droits d'auteur :

Formats disponibles

Management Science

Transféré par

Droits d'auteur :

Formats disponibles

Introduction to Management

E.F.L. Breech Koontz

Work Shop Manager

Area of freedom permitted to subordinates

n, n(2 -1) n(n-1), n(2 /2+n-1)

+n-1). No. of relationships 1 6 18 44 100 222 1080 . 5210

No. of sub ordinates 1 2 3 4 5 6 8 10 . . . . . . .

Finished goods Drill Bore Grind Mill Inspect

Identification of Manpower gap

Action plan for bridging the gap

JOB ANALYSIS Concept: -

Objectives of Performance Appraisal Establish Job Expectations

Design an Appraisal Programme

Use appraisal data

Scrutiny of applications 44 SACET-RK R E J

Reference letters Group Discussions

Placement and Orientation

Project B Manage r Project B Manage r Project C Manage r

Vous aimerez peut-être aussi