3.role and functions of manager
TRANSCRIPT
Principles of Management
Role and Functions of a Manager
Roles of a Manager-Interpersonal, Informational, Decisional
Manager and Environment
The Management System
Functional areas of management
Challenges of an Indian manager
Principles of Management
Roles of a Manager
Interpersonal Role:
Figurehead-performs activities like greeting visitors, give awards to employees etc
Leader- Lead and motivate subordinates Liaison- He is a link between organisation and outsiders
Informational Role:
Monitoring- Collects information Disseminator- Distributes information Spokesperson- Represents his unit/organisation while interaction
with outsiders
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Decisional Role:
Entrepreneur- Assumes risk in terms of results, due to dynamic factors of business
Disturbance Handler- Tries to control forces that tend to disturb smooth functioning of the organisation
Resource Allocator- Allocates human, financial and physical resources according to needs
Principles of Management
Manager and Environment
Economic environment
We measure organisation’s performance in financial termsHence, studying the economic environment is important
Factors affecting the economic environment are:
Economic system (Capitalistic, mixed, socialist) National income and its distribution Economic policies- Monetary and Fiscal Availability of natural resources/raw material Investment needed in plant and machinery, manpower Availability of infrastructure
Principles of Management
Political-Legal environment
These environments play two roles - Promoting and restrainingIt gives incentives, protection, facilitiesIt also restricts the functions through laws, regulations etc
A manager needs to know:
How do the environments influence the business Government policies, approach towards the business Legal restrictions, licensing required if any Restrictions on exports, pricing, distribution Formalities in setting up business
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Technological environment
It affects the process of conversion of RM into FGIt deals with techniques and inventions of doing things related to designing, production and distribution
A manager needs to know:
Level of technological development of the country Pace of technological changes and obsolescence Sources of acquiring technology Restrictions on acquisition/transfer/absorption of technology Cost factors involved
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Socio-Cultural environment
It consists of attitudes, beliefs, desires, expectations, education and customs of the society
A manager needs to know:
How do social factors affect business Do the factors affect acceptability of a product? Lifestyle of the society Level of resistance/acceptance to change Propensity to consume and save Values attached to a product
Principles of Management
The Management System
With growth and expansion in business organisation, different types of managers were evolved
1) One Manager-Many Subordinates:
S u b ord ina tes S u b ord ina tes S u b ord ina tes S u b ord ina tes
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Principles of Management
2) Vertical Specialisation:
S u bo rd in a te S u bo rd in a te S u bo rd in a te
M a na g er
M a na g er
Principles of Management
S u bo rd in a te S u bo rd in a te
M a n ag e r- S a les
S u bo rd in a te S u bo rd in a te
M a n ag e r-F in a n ce
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3) Horizontal Specialisation:
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Functional Areas of Management
Production:
PurchasingMaterials ManagementResearch and development
Marketing:
AdvertisingMarketing ResearchSales Management
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Finance and Accounting:
Financial AccountingManagement AccountingCostingInvestment managementTaxation
Personnel:
Recruitment and selectionTraining and developmentWage and salary administration
Principles of Management
Challenges of an Indian manager
Globalisation of economy - cope with changes, R&D in place
Corporate restructuring - divesting, acquisition of core business
Changing job profile – Machines replaced men, old profiles included mere doing of work. Now thinkers, managers, learners are needed
Increasing role of women employees - HLL targets to have 20% of female managers in next 5 years
Emphasis on knowledge management – Employees are a great source of rich knowledge. Treating them as assets and managing the in house talent is a challenge for today;s manager