Management
Management in business and organizations is the function that coordinates the efforts of people to accomplish goals and objectives using available resources efficiently and effectively. Management comprises planning, organizing, staffing, leading or directing, and controlling an organization or initiative to accomplish a goal. Resourcing encompasses the deployment and manipulation of human resources, financial resources, technological resources, and natural resources.
Since
organizations can be viewed as systems, management can also be defined as human
action, including design, to facilitate the production of useful outcomes from
a system. This view opens the opportunity to 'manage' oneself, a prerequisite
to attempting to manage others.
Universities
offer bachelor's and advanced degrees in management, generally within their
colleges of business. At the doctoral level students specialize in areas of
management, such as human resources, international management, organizational
behavior, or strategic management.
Etymology
The verb 'manage' comes from the Italian
maneggiare (to handle, especially tools), which derives from the Latin
word manus (hand). The French word mesnagement (later ménagement)
influenced the development in meaning of the English word management in
the 17th and 18th centuries.
Definitions
Views on the definition and scope of
management include:
- Management defined as the organization and coordination of the activities of an enterprise in accordance with certain policies and in achievement of clearly defined objectives
- Fredmund Malik defines as Management is the transformation of resources into utility.
- Management included as one of the factors of production - along with machines, materials and money
- Peter Drucker (1909–2005) sees the basic task of a management as twofold: marketing and innovation. Nevertheless, innovation is also linked to marketing (product innovation is a central strategic marketing issue). Peter Drucker identifies marketing as a key essence for business success, but management and marketing are generally understood as two different branches of business administration knowledge.
- Directors and managers should have the authority and responsibility to make decisions to direct an enterprise when given the authority
- As a discipline, management comprises the interlocking functions of formulating corporate policy and organizing, planning, controlling, and directing a firm's resources to achieve a policy's objectives
- The size of management can range from one person in a small firm to hundreds or thousands of managers in multinational companies.
- In large firms, the board of directors formulates the policy that the chief executive officer implements.
Theoretical scope
Management involves the manipulation
of the human capital of an enterprise to contribute to the success of the
enterprise. This implies effective communication: an enterprise environment (as
opposed to a physical or mechanical mechanism), implies human motivation and
implies some sort of successful progress or system outcome. As such, management
is not the manipulation of a mechanism (machine or automated program), not the
herding of animals, and can occur in both a legal as well as illegal enterprise
or environment. Based on this, management must have humans, communication, and
a positive enterprise endeavor. Plans, measurements, motivational psychological
tools, goals, and economic measures (profit, etc.) may or may not be necessary
components for there to be management. At first, one views management
functionally, such as measuring quantity, adjusting plans, meeting goals. This
applies even in situations where planning does not take place. From this
perspective, Henri Fayol (1841–1925) considers management to consist of six functions:
- Forecasting
- Planning
- Organizing
- Commanding
- Coordinating
- Controlling
Henri Fayol was one of the most
influential contributors to modern concepts of management.
In another way of thinking, Mary
Parker Follett (1868–1933), defined management as "the art of getting
things done through people". She described management as philosophy.
Critics, however, find this definition
useful but far too narrow. The phrase "management is what managers
do" occurs widely, suggesting the difficulty of defining management, the
shifting nature of definitions and the connection of managerial practices with
the existence of a managerial cadre or class.
One habit of thought regards
management as equivalent to "business administration" and thus
excludes management in places outside commerce, as for example in charities and
in the public sector. More broadly,every organization must manage its work,
people, processes, technology, etc. to maximize effectiveness. Nonetheless,
many people refer to university departments that teach management as "business
schools". Some institutions (such as the Harvard Business School) use that
name while others (such as the Yale School of Management) employ the more
inclusive term "management".
English speakers may also use the term
"management" or "the management" as a collective word
describing the managers of an organization, for example of a corporation.
Historically this use of the term often contrasted with the term "Labor"
- referring to those being managed.
Nature of managerial work
In for-profit work, management has as
its primary function the satisfaction of a range of stakeholders. This
typically involves making a profit (for the shareholders), creating valued
products at a reasonable cost (for customers), and providing rewarding
employment opportunities for employees. In nonprofit management, add the
importance of keeping the faith of donors. In most models of management and governance,
shareholders vote for the board of directors, and the board then hires senior
management. Some organizations have experimented with other methods (such as
employee-voting models) of selecting or reviewing managers, but this is rare.
In the public sector of countries
constituted as representative democracies, voters elect politicians to public
office. Such politicians hire many managers and administrators, and in some
countries like the United States political appointees lose their jobs on the
election of a new president/governor/mayor.
Historical development
Difficulties arise in tracing the
history of management. Some see it (by definition) as a late-modern (in the
sense of late modernity) conceptualization. On those terms it cannot have a
pre-modern history, only harbingers (such as stewards). Others, however, detect
management-like-thought back to Sumerian traders and to the builders of the
pyramids of ancient Egypt. Slave-owners through the centuries faced the
problems of exploiting/motivating a dependent but sometimes unenthusiastic or
recalcitrant workforce, but many pre-industrial enterprises, given their small
scale, did not feel compelled to face the issues of management systematically.
However, innovations such as the spread of Hindu-Arabic numerals (5th to 15th
centuries) and the codification of double-entry book-keeping (1494) provided tools
for management assessment, planning and control.
With the changing workplaces of industrial
revolutions in the 18th and 19th centuries, military theory and practice
contributed approaches to managing the newly-popular factories.
Given the scale of most commercial
operations and the lack of mechanized record-keeping and recording before the
industrial revolution, it made sense for most owners of enterprises in those
times to carry out management functions by and for themselves. But with growing
size and complexity of organizations, the split between owners (individuals,
industrial dynasties or groups of shareholders) and day-to-day managers
(independent specialists in planning and control) gradually became more common.
Early writing
While management (according to some
definitions) has existed for millennia, several writers have created a
background of works that assisted in modern management theories.
Some ancient military texts have been
cited for lessons that civilian managers can gather. For example, Chinese
general Sun Tzu in the 6th century BC, The Art of War, recommends being
aware of and acting on strengths and weaknesses of both a manager's
organization and a foe's.
Various ancient and medieval
civilizations have produced "mirrors for princes" books, which aim to
advise new monarchs on how to govern. Examples include the Indian Arthashastra
by Chanakya (written around 300BC), and The Prince by Italian author Niccolò
Machiavelli (c. 1515).
Further
information: Mirrors for princes
Written in 1776 by Adam Smith, a Scottish
moral philosopher, The Wealth of Nations discussed efficient
organization of work through division of labour. Smith described how
changes in processes could boost productivity in the manufacture of pins. While
individuals could produce 200 pins per day, Smith analyzed the steps involved
in manufacture and, with 10 specialists, enabled production of 48,000 pins per
day.
19th century
Classical economists such as Adam Smith
(1723–1790) and John Stuart Mill (1806–1873) provided a theoretical background
to resource-allocation, production, and pricing issues. About the same time,
innovators like Eli Whitney (1765–1825), James Watt (1736–1819), and Matthew
Boulton (1728–1809) developed elements of technical production such as standardization,
quality-control procedures, cost-accounting, interchangeability of parts, and work-planning.
Many of these aspects of management existed in the pre-1861 slave-based sector
of the US economy. That environment saw 4 million people, as the contemporary
usages had it, "managed" in profitable quasi-mass production.
Salaried managers as an identifiable
group first became prominent in the late 19th century.
20th century
By about 1900 one finds managers
trying to place their theories on what they regarded as a thoroughly scientific
basis (see scientism for perceived limitations of this belief). Examples
include Henry R. Towne's Science of management in the 1890s, Frederick
Winslow Taylor's The Principles of Scientific Management (1911), Frank
and Lillian Gilbreth's Applied motion study (1917), and Henry L. Gantt's
charts (1910s). J. Duncan wrote the first college management textbook in 1911.
In 1912 Yoichi Ueno introduced Taylorism to Japan and became first management
consultant of the "Japanese-management style". His son Ichiro Ueno
pioneered Japanese quality assurance.
The first comprehensive theories of
management appeared around 1920. The Harvard Business School offered the first Master
of Business Administration degree (MBA) in 1921. People like Henri Fayol
(1841–1925) and Alexander Church described the various branches of management
and their inter-relationships. In the early 20th century, people like Ordway
Tead (1891–1973), Walter Scott and J. Mooney applied the principles of psychology
to management, while other writers, such as Elton Mayo (1880–1949), Mary Parker
Follett (1868–1933), Chester Barnard (1886–1961), Max Weber (1864–1920), Rensis
Likert (1903–1981), and Chris Argyris (* 1923) approached the phenomenon of
management from a sociological perspective.
Peter Drucker (1909–2005) wrote one of
the earliest books on applied management: Concept of the Corporation
(published in 1946). It resulted from Alfred Sloan (chairman of General Motors
until 1956) commissioning a study of the organisation. Drucker went on to write
39 books, many in the same vein.
H. Dodge, Ronald Fisher (1890–1962),
and Thornton C. Fry introduced statistical techniques into management-studies.
In the 1940s, Patrick Blackett worked in the development of the applied
mathematics science of operations research, initially for military operations.
Operations research, sometimes known as "management science" (but
distinct from Taylor's scientific management), attempts to take a scientific
approach to solving decision problems, and can be directly applied to multiple
management problems, particularly in the areas of logistics and operations.
Some of the more recent developments
include the Theory of Constraints, management by objectives, reengineering, Six
Sigma and various information-technology-driven theories such as agile software
development, as well as group management theories such as Cog's Ladder.
As the general recognition of managers
as a class solidified during the 20th century and gave perceived practitioners
of the art/science of management a certain amount of prestige, so the way
opened for popularised systems of management ideas to peddle their wares. In
this context many management fads may have had more to do with pop psychology
than with scientific theories of management.
Towards the end of the 20th century,
business management came to consist of six separate branches, namely:
- human resource management
- operations management or production management
- strategic management
- marketing management
- financial management
- information technology management responsible for management information systems
21st century
In the 21st century observers find it
increasingly difficult to subdivide management into functional categories in
this way. More and more processes simultaneously involve several categories.
Instead, one tends to think in terms of the various processes, tasks, and
objects subject to management.
Branches of management theory also
exist relating to nonprofits and to government: such as public administration, public
management, and educational management. Further, management programs related to
civil-society organizations have also spawned programs in nonprofit management
and social entrepreneurship.
Note that many of the assumptions made
by management have come under attack from business-ethics viewpoints, critical
management studies, and anti-corporate activism.
As one consequence, workplace
democracy (sometimes referred to as Workers' self-management) has become both
more common and advocated to a greater extent, in some places distributing all
management functions among workers, each of whom takes on a portion of the
work. However, these models predate any current political issue, and may occur
more naturally than does a command hierarchy. All management embraces to some
degree a democratic principle—in that in the long term, the majority of workers
must support management. Otherwise, they leave to find other work or go on
strike. Despite the move toward workplace democracy, command-and-control
organization structures remain commonplace as de facto organization
structure. Indeed, the entrenched nature of command-and-control is evident in
the way that recent layoffs have been conducted with management ranks affected
far less than employees at the lower levels. In some cases, management has even
rewarded itself with bonuses after laying off lower-level workers.
According to leadership academic Manfred
F.R. Kets de Vries, a contemporary senior management team will almost
inevitably have some personality disorders.
Reference : http://en.wikipedia.org/wiki/Management
0 komentar: