Principles of Management Lesson 02 PDF

Principles of Management Lesson 02  At the end of the session, you will be able to; 1. Identify the nature of Business Learning Organization Outcomes 2. Identify the basic economic problem and need for management 3. Learn the basic fu...

Principles of Management Lesson 02  At the end of the session, you will be able to; 1. Identify the nature of Business Learning Organization Outcomes 2. Identify the basic economic problem and need for management 3. Learn the basic functions of Management What is a Business Organization? Principle forms of business organizations (04) Sole properieter Partnerships Companies – PVT & Public Goals of Business Organizations Announcement Group Details Course web Factors of Production In economics, factors of production are the resources people used to produce goods and services Land: Includes any natural resource (Rent) Labor: The effort that humans contributes (Salaries and Wages) Capital: Includes machinery, tools and buildings Entrepreneurship: Combines land, labor and capital in (Interest) new ways (Profit) What is the basic economic problem ?  Why Management ? Scarcity of resources World is developing, population is growing, human needs are increasing Competition Cost of making errors and mistakes Survival  Why Management?  What is Management ? The process of planning, Organizing, leading, and controlling the work of the organization members and using all available organizational resources to reach stated organizational goals, efficiently and effectively in an ever- changing business environment. Management is the art of getting things done through the other people.  The ability to minimize the use of resources in achieving organizational Efficiency objectives. “DOING THINGS RIGHT”  The ability to determine appropriate objectives Effectiveness “DOING THE RIGHT THING” Productivity Productivity management is the process of ensuring that an organization is working as efficiently and effectively as possible. It involves maximizing the use of resources to achieve the desired goals and outcomes. More out put Productivity with Less = input Output/Input  Management Functions PLANNING ORGANIZING LEADING CONTROLLING  The process of establishing goals and a course of action Planning for achieving those goals.  Organizing is the process of arranging and allocating work, authority, and resources among an Organizing organization’s members so they can achieve the organization’s goals.  Directing, influencing, and motivating employees to Leading perform essential tasks  Managers make sure An organization is Moving Controlling towards Organizational Objectives Interactive Nature of Management Process PLANNING Establishing Goals And suitable course action for achieving Goals. CONTROLLING ORGANIZING Managers make sure Managers arrange An organization is And allocate work, Moving towards Authority and resources Organizational to achieve Objectives organizational goals. LEADING Managers Direct, Influence, and Motivate employees to Perform Essential tasks Thank you