Principles of management

Principles of management

MANAGEMENT SKILLS

Dr Thai Van Vinh

Part 1: Principles of Management

• Defining management

• Defining management

– The art of getting things done through people

– Defining management by its functions

• Management knowledge, skills and performance Management knowledge, skills and performance

– Types of managers

– Effectiveness and efficiency

– Managing the customer within

• Role of modern managers

Learning Outcomes

• Upon completion of this module you should be Upon completion of this module, you should be able to comprehend:

– Fundamental functions of management

– Skills profile of an effective managerSkills profile of an effective manager

Defining Management: Art of Getting Things Done

through People

• Managers achieve organisational goals by

through People

• Managers achieve organisational goals by

arranging for others to perform tasks

– the art of getting things done through people

• Manager are someone who makes decisions, Manager are someone who makes decisions,

allocates resources and directs the activities of

others (group/team members) to achieve goals

• The common thread in management activities

and the skills required of a manager is the

importance of managing people p f g g p p

Defining Management: Art of Getting Things Done

through People (C)

• Management is

through People (C)

• Management is

– the process of achieving organisational goals through

engaging in the four functions of planning,

organising, leading and controlling

– the process of planning, organising, leading and p p g, g g, g

controlling the work of organisation members and of

using all available organisation resources to reach g g

specific organisational goals

Defining Management: Art of Getting Things Done

through People (C)

• Consider this:

through People (C)

• Consider this:

– A team of six stevedores can do 170 container lifts in

an 8-hour shift without a manager Should I hire you

to manage them and they still do 170 lifts then what

is the benefit to my business of having hired you?

– However, if they do 250 lifts, you, the manager

have value

Defining Management: Art of Getting Things Done

through People (C)

• Management is the art of making people more

through People (C)

• Management is the art of making people more

effective than they would have been without you

– the science in using the four functionsg

– Can your group work better with you than without?

Can they serve the customer better, handle more

Can they serve the customer better, handle more calls, and achieve more?

the value of management making a group of– the value of management – making a group of

individuals more effective

Defining Management by Its Functions

• Henri Fayol a French industrialist from the

• Henri Fayol, a French industrialist from the

1900s proposed that managers perform five

management functions: plan, organise,

command, coordinate and control

• These functions are usually condensed to four:

Defining Management by Its Functions: Planning

• The three basic questions in management:

• The three basic questions in management:

– Where are we now?

– Where do we want to go?

– How do we get there?

Defining Management by Its Functions: Planning

• Determining goals and objectives requires

– external environment (the opportunities and threats)external environment (the opportunities and threats)– internal capabilities (strengths and weaknesses)

SWOT d PESTLE l

– SWOT and PESTLE analyses

• Also includes considering how to encourage and prepare employees for necessary changes and innovation to survive and prosper in a

and innovation to survive and prosper in a competitive environment

Defining Management by Its Functions: Planning

(C)

• Planning is required in order to increase

(C)

efficiency and effectiveness:

– You have a task or project to do You just start doingYou have a task or project to do You just start doing

it Then you run out of resources or time What’s wrong?

– A big customer lets you know that they will bring 50 containers to your port for loading onboard vessel tonight What would you do?

• “I can do nothing about yesterday, almost g y y,

nothing about today but at least a little more

about tomorrow, more about next week and ,

plenty about next year” (Peter Drucker)

Defining Management by Its Functions: Planning

(C)

• As a manager you need to think ahead (plan):

(C)

– what tasks have to be completed and the resources

required because management depends upon the q g p pefforts of many different people

– what has to be done so that you can set priorities, y p ,

pass on directions and delegate tasks

• Planning not only provides directions but also a g ot o y p ov des d ect o s but a so

guidelines for decision making

– Making choices and setting priorities is much easierMaking choices and setting priorities is much easier when you know where you are going

– Planning helps to establish what is to be done as well Planning helps to establish what is to be done as well

as how it is to be done

Defining Management by Its Functions: Organising

• The process of allocating and arranging human p g g g

and other resources so that plans can be carried

Defining Management by Its Functions: Leading

• The process of influencing others to engage in p g g g the work behaviours needed to achieve goals

• Leadership includes p

– communicating with others,

providing direction vision and– providing direction, vision and

– motivating and influencing staff

Defining Management by Its Functions:

Controlling

• The process of evaluating and regulating the

Controlling

organisation’s activities so that the actual

performance meets with targets (KPIs)

Defining Management by Its Functions:

• Managers are required to monitor their

environment and be aware of external events and

the likely impact that those events will have on the organisation and its operations g p

• Managers have to be adaptable and prepared to make changes where appropriate

• Organisations do not implement plans, systems,

processes – people do

Management Knowledge, Skills and Performance

• The role of a good manager is critical to the g g

success of an organisation

What is less obvious is what specifically constitutes a

– What is less obvious is what specifically constitutes a good manager

• Traditional skills and knowledge required:

– communication and leadership skillsp

– knowledge and ability to apply decision making toolsformulation and implementation of strategy

– formulation and implementation of strategy

– organisation of people and physical resources

– motivation of people, etc

Management Knowledge, Skills and Performance

– verbal communication (including listening)

– managing time and stress

– recognising, defining and solving problems

– motivating and influencing othersg g

Management Knowledge, Skills and Performance

(C)

• Skills and personal characteristics valuable to managers:

(C)

Management Knowledge, Skills and Performance

(C)

• One of the most vital characteristics of a

(C)

successful manager (and people) is attitude

– If you are late to work, constantly miss deadlines orIf you are late to work, constantly miss deadlines or overlook things, it will be reflected in the attitude of your employees

– If you complain about conditions it will impact in a negative way on the attitude of your team

– There is a direct relationship between your attitude and the productivity of those your supervise

• When you are ‘upbeat’, your team is likely to respond in a positive manner

• When you are negative and pessimistic, a drop in productivity can be expected

Management Knowledge, Skills and Performance

Types of Managers

• Types and levels of managers based simply on yp g p y the scope and complexity of their tasks:

first line managers or supervisors

– first-line managers or supervisors

– middle managers

– top or senior managers

• Major classifications of managers are: Major classifications of managers are:

– Functional: managers who are responsible for just

one organisational activity

– General: managers who are responsible for all

ti itiactivities

Types of Managers (C)

• Three major skills needed for effective j

performance at different levels of management:

– Conceptual: the mental ability to coordinate and

integrate the organisation’s interests and activities

– Human: the ability to work with, understand and

motivate other people, either as individuals or as

members of a group

– Technical: the ability to use the tools, techniques and

procedures of a specialised field

Effectiveness and Efficiency

• A manager with appropriate skill mix is likely to g pp p y

be effective and efficient in performing his job

• Performance consists of 2 important dimensions: Performance consists of 2 important dimensions:

effectiveness and efficiency (Peter Drucker):

If you are effective you achieve the desired outcome

– If you are effective you achieve the desired outcome

in a decisive manner

If you are also efficient you achieve the same

– If you are also efficient, you achieve the same

outcome not only decisively, but also productively, without waste

• Effectiveness is the ability to choose appropriate

goals and achieve them

Effectiveness and Efficiency (C)

• Effectiveness has two parts: p

– goals must be appropriate and

– those goals must be achieved

• Efficiency is the ability to make the most

appropriate use of available resources in the process of achieving your goals

– The port needs resources to achieve its goals

(effectiveness)

– How efficient the port is depends on how it utilises

th

these resources

Effectiveness and Efficiency (C)

– how do you allocate cargo handling equipment to achieve

a quick turnaround time?

– how do you arrange yard space to receive containers?

– how do you allocate gangs for the maximum usage of

work?

h d ll t t k f i d ti it ?

– how do you allocate tasks for maximum productivity?

Etc.

I knew the ‘right things’ that I had to do in order to get

– I knew the right things that I had to do in order to get

the job completed and I effectively completed the project – But did I complete the project smartly? But, did I complete the project smartly?

• Did I use my physical, human and financial resources, as well as

the resource of time efficiently? Did I complete the project with

the most efficient use of resources? Was I both efficient and

effective?

Effectiveness and Efficiency (C)

• Therefore, not all effective organisations are , g

• However if an organisation’s managers possess However, if an organisation s managers possess

the appropriate skill mix, as well as the

appropriate attitudes both effectiveness and

appropriate attitudes, both effectiveness and

efficiency are more likely to be achieved

Managing the Customer Within

• The internal customer is as important as the p

external customer

• Everyone has internal customers who include

individuals, groups, departments or other ports that depend on you for information or support

• Treating internal departments and colleagues as Treating internal departments and colleagues as

customers leads to increased efficiency and an

improved environment in which to work

– This, in turn, provides increased service to external customers and has benefits for all involved

Role of Modern Manager

• Human Resource Management:

– Motivating, disciplining, managing conflict, staffing and training

• Networking:

– Socialising, politicising and interacting with g p g g

outsiders

Role of Modern Manager (C)

• It is your responsibility as a modern manager to y p y g have a ‘can-do’ attitude

• With good communication, collaboration and

teamwork, your work environment can become a more rewarding workplace

• The challenge of management is to create an The challenge of management is to create an

environment so that people want to come to

work in the morning

– A positive attitude on your part will improve that

relationships with those you work