Republic of the Philippines

Department of Education
Region I
SCHOOLS DIVISION OF ILOCOS NORTE

ORGANIZATION
AND MANAGEMENT
Quarter I Module 1:
Basic Concepts
and Theories of Management

MELC: Explain the meaning, functions, types and

theories of management (ABM_AOM11-Ia-b-1-2)
MELC: Explain the functions, roles and skills of a
manager (ABM_AOM11-Ia-b-3)

Prepared by:

JEFFERSON V. BALOALOA
SHS Teacher I
Lanao National High School
Organization and Management - Grade 11
Alternative Delivery Mode
Quarter 1 – Module1: Basic Concepts and Theories of Management
First Edition, 2020

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Published by the Department of Education

Secretary: Leonor Magtolis Briones
Undersecretary: Diosdado M. San Antonio

Development Team of the Module

Author: Jefferson V. Baloaloa
Editors:
Reviewer: Magdalena Crisanta P. Agcaoili
Layout Artist/ Illustrator:
Management Team:
Joann A. Corpuz

Joye D. Madalipay

Arnel S. Bandiola

Jenetrix T. Tumaneng

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E-mail Address: [email protected]
 11

ORGANIZATION
AND MANAGEMENT
Quarter I – Module 1:
Basic Concepts
and Theories of Management

3
Introductory Message
For the facilitator:

Welcome to the Organization and Management 11 Alternative Delivery Mode

(ADM) Module on Basic Concepts and Theories of Management!

This module was collaboratively designed, developed and reviewed by

educators both from public and private institutions to assist you, the teacher or
facilitator in helping the learners meet the standards set by the K to 12 Curriculum
while overcoming their personal, social, and economic constraints in schooling.

This learning resource hopes to engage the learners into guided and
independent learning activities at their own pace and time. Furthermore, this also
aims to help learners acquire the needed 21st century skills while taking into
consideration their needs and circumstances.

In addition to the material in the main text, you will also see this box in the
body of the module:

Note to the Teacher

This contains helpful tips or strategies that
will help you in guiding the learners.

As a facilitator, you are expected to orient the learners on how to use this
module. You also need to keep track of the learners' progress while allowing them to
manage their own learning. Furthermore, you are expected to encourage and assist
the learners as they do the tasks included in the module.

For the learner:

Welcome to the General Mathematics Alternative Delivery Mode (ADM) Module

on Rational Functions!

The hand is one of the most symbolized parts of the human body. It is often
used to depict skill, action and purpose. Through our hands we may learn, create
and accomplish. Hence, the hand in this learning resource signifies that you as a
learner is capable and empowered to successfully achieve the relevant competencies
and skills at your own pace and time. Your academic success lies in your own hands!

This module was designed to provide you with fun and meaningful
opportunities for guided and independent learning at your own pace and time. You
will be enabled to process the contents of the learning resource while being an active
learner.

1
This module has the following parts with their corresponding icons:

What I Need to Know This will give you an idea of the skills or
competencies you are expected to learn in the
module.

What I Know This part includes an activity that aims to

check what you already know about the
lesson to take. If you get all the answers
correctly, you may decide to skip this module.

What’s In This is a brief drill or review to help you link

the current lesson with the previous one.

What’s New In this portion, the new lesson will be

introduced to you in various ways such as a
story, a song, a poem, a problem opener, an
activity or a situation.

What is It This section provides a brief discussion of the

lesson. This aims to help you discover and
understand new concepts and skills.

What’s More This comprises activities for independent

practice to strengthen your understanding
and skills of the topic. You may check the
answers in the exercises using the Answer
Key at the end of the module.

What I Have Learned This includes questions or open-ended

statements to be filled in to process what you
learned from the lesson.

What I Can Do This section provides an activity which will

help you transfer your new knowledge or skill
into real life situations.

Assessment This is a task which aims to evaluate your

level of mastery in achieving the learning
competency.

Additional Activities In this portion, another activity will be given

to you to enrich your knowledge or skill of the
lesson learned. This also develops retention
of learned concepts.

Answer Key This contains answers to all activities in the

module.

2
At the end of this module you will also find:

References This is a list of all sources used in developing

this module.

The following are some reminders in using this module:

1) Use the module with care. Do not put unnecessary mark/s on any part of the
module. Use a separate sheet of paper in answering the exercises.
2) Don’t forget to answer What I Know before moving on to the other activities
included in the module.
3) Read the instruction carefully before doing each task.
4) Observe honesty and integrity in doing the tasks and checking your answers.
5) Finish the task at hand before proceeding to the next.
6) Return this module to your teacher/facilitator once you are through with it.
If you encounter any difficulty in answering the tasks in this module, do not
hesitate to consult your teacher or facilitator. Always bear in mind that you are
not alone.
We hope that through this material, you will experience meaningful learning
and gain deep understanding of the relevant competencies. You can do it!

3
 What I Need to Know

This module was designed and written with you in mind. It was
specifically developed and designed to provide you fun and meaningful
learning experience, with your own time and pace. This module shall serve to
give you a more in-depth knowledge about the basic concepts and theories of
management in Organization and Management and the important terms that
may be associated with it. The scope of this module permits it to be used in
many different learning situations. The lessons are arranged to follow the
standard sequence of the course.

The module is divided into 2 lessons, namely:

• Lesson 1 – Functions, Types and Theories of Management
• Lesson 2 – Functions, Roles and Skills of a Manager

After going through this module, you are expected to:

• Explain the meaning, functions, types and theories of management
(ABM_AOM11-Ia-b-1-2)
• Explain the functions, roles and skills of a manager (ABM_AOM11-Ia-
b-3)

4
 Lesson
Functions, Types and
1 Theories of Management

What I Know

Direction: In your own words, define management. Compare your definition

with the given definitions in this lesson and point out the differences and
similarities. Write your answer in a sheet of paper.

What’s In

In this module, you will discover that all organizations-public or private,

large, medium-size, or small, profit or non-profit-need good managers in order
to accomplish their goals; that organizational management is, definitely, not
an easy task; and that coordination, efficiency, and effectiveness are required
to carry out.

Definition and Functions of Management

Management is the process of coordinating and overseeing the work

performance of individuals working together in organizations, so that they
could efficiently accomplish their chosen goals.

It is also defined as the process of designing and maintaining

environment for efficiently accomplishing selected aims (Heinz, Wehrich, and
Koontz, 2005).

According to Peter Drucker, management is a multi-purpose organ that

manages business and manages managers and manages workers and work.
In contrast, Mary Parker Follet said that management is the art of
getting things done through people.

5
 Furthermore, according to Harold Koontz, Management is an art of
getting things done through and with the people in formally organized groups.
It is an art of creating an environment in which people can perform and
individuals and can co-operate towards attainment of group goals.

Management analysis is done by breaking it down into five major

managerial duties: thus, making managerial knowledge more
understandable. Management functions include the following:

1. Planning: Involves determining the organization’s goals or performance

objectives, defining strategic actions that must be done to accomplish
them, and developing coordination and integration activities.
2. Organizing: Demands assigning tasks, setting aside funds, and
bringing harmonious relations among the individuals and work groups
or teams in the organization.
3. Staffing: Indicates filling in the different job positions in the
organization’s structure; the factors that influence this function
include: size of the organization, types of jobs, number of individuals to
be recruited, and some internal or external pressures.
4. Leading: Entails influencing or motivating subordinates to do their best
so that they would be able to help the organization’s endeavor to attain
their set goals.
5. Controlling: Involves evaluating and, if necessary, correcting the
performance of the individuals or work groups or teams to ensure that
they are all working toward the previously set goals and plans of the
organization.

Planning

Controlling Organizing

Leading Staffing

The Five Functions of Management

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Coordination, Efficiency, and Effectiveness:
Intrinsic to the Nature of Management

Management functions - planning, organizing, staffing, leading, and

controlling – will all go to waste if coordination, efficiency, and effectiveness
are not practiced by organization’s appointed managers. In other word, top-
level managers, middle-level managers, and team leaders or supervisors must
all be conscious of the said practices of successful organizations, as they
perform their management functions.
Webster’s Dictionary defines coordination as the harmonious,
integrated action of the various parts and processes of an organization;
efficiency is being able to yield the maximum output from a minimum amount
of input; and effectiveness as being adopted to produce and effect, or being
able to do things correctly.
When applied to management functions, coordination ensures that all
individuals, groups, or teams are harmoniously working together and moving
toward the accomplishment of the organization’s vision, mission, goals, and
objectives; efficiency, meanwhile refers to the optimal use of scarce resources
– human, financial, physical, and mechanical – in order to bring maximum
productivity; and effectiveness means “doing things correctly” when engaged
in activities that will help the organization attain its aims.

Characteristics and Nature of Management

The salient features which highlight the nature of management are as
follows:
a. Management is goal oriented: Management is not an end in itself. It
is a means to achieve certain goals. Management has no justification to
exist without goals. Management goals are called group goals or
organizational goals. The basic goal of management is to ensure
efficiency and economy in the utilization of human, physical and
financial resources. The success of management is measured by the
extent to which the established goals are achieved. Thus, the
management is purposeful.

b. Management is universal: Management is an essential element of

every organized activity irrespective of the size or the type of the activity.

c. Management is continuous process: The cycle of the management

continues to operate as long as there is organized action for the
achievement of group goals. Management is 5 an ongoing process and
is also a never-ending process. Management is dynamic and the cycle
is continuing.

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 d. Management is multi-disciplinary: Management techniques,
principles and theories are drawn from other disciplines such as
engineering, anthropology, sociology and psychology. It depends on
wide knowledge and practice derived from various discipline.

e. Management is intangible force: Management is evidenced by the

results of its efforts through others. Management is unseen and
invisible force. It cannot be seen, but its presence can be felt in the form
of results in very type of organization.

f. Management is situational: There is no best way of doing things. To

solve a particular problems conditions and situations must be taken
into account.

g. Management is a system of authority: Management provides the

direction of every activity of an organization. Management forms system
of authority or a hierarchy of command to control the activities and give
smooth direction.

h. Management is both a science and an art: Science is a systematized

body of knowledge based on certain principles that are generally
applied. Scientific knowledge is observed through the process of critical
and continuous observation and intelligent speculation. Accordingly,
management as a science is based on principles instead of a traditional
way of doing things in trial and error method.

Levels of Management

As we have already learnt, management does not refer to a single

individual but it refers to a group of persons. In companies’ large number of
persons are employed and placed at different places to perform different
management activities.

To carry on these activities, employees are given necessary authority

and responsibility. This grant of authority results in creation of chain of
authority. This chain is divided into three levels which result in creation of
three levels of management.

Top Level Management. Top level management consists of Chairman,

Board of Directors, Managing Director, General Manager, President, Vice
President, Chief Executive Officer (C.E.O.), Chief Financial Officer (C.F.O.) and
Chief Operating Officer etc. It includes group of crucial persons essential for
leading and directing the efforts of other people. The managers working at this
level have maximum authority.

Middle Level Management. This level of management consists of

departmental heads such as purchase department head, sales department
head, finance manager, marketing manager, executive officer, plant

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superintendent, etc. People of this group are responsible for executing the
plans and policies made by top level management, determine the objectives of
the enterprise. The top-level management formulate the main objectives of the
organization while middle-level management form long term as well as short
term objectives.
They act as a linking pin between top and lower level management. They
also exercise the functions of top level for their department as they make plans
and policies for their department, organize and collect the resources etc.

Top Level

Middle Level

Low Level

Levels of Management

Low Level Management. This level consists of supervisors,

superintendent, foreman, sub-department executives; clerk, etc. Managers of
this group actually carry on the work or perform the activities according to
the plans of top and middle level management. Their authority is limited and
the quality and quantity of output depends upon the efficiency of this level of
managers. They pass on the instruction to workers and report to the middle
level management. They are also responsible for maintaining discipline among
the workers.

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 What’s New

Directions: In a sheet of paper, write TRUE if the statement is correct or

FALSE if the statement is incorrect.

1. Management is goal-oriented when they achieve specific goals.

2. Management is a continuous process to operate as long as there is
organized action for the achievement of group goals.
3. Management is universal that has an unessential element of every
organized activity.
4. Management is situational that there is the best way of doing things
and not to solve particular problems conditions and situations.
5. Management is multidisciplinary such as management techniques,
principles, and theories.

What is It

Evolution of Management Theories

Evolution is usually defined as slow stages of growth and development,

starting from simple forms to more complex forms. This, too, could be applied
to management theories which have evolved from simple improvement of
works methods to more complex ones which focus not only on work method
improvement, but also on customer satisfaction and the conduct of people at
work.

Studying the evolution of management theories will help you

understand the beginning od present-day management practices; why some
are still popular and why others are no longer in use; and why the expansion
and development of these theories are necessary in order to adapt to the
changing times.

10
 EVOLUTION OF MANAGEMENT THOUGHTS

PRE-SCIENTIFIC CLASSICAL NEO-CLASSICAL MODERN

MANAGEMENT THEORY THEORY THEORY
PERIOD
• Scientific • Hawthorne • Systems
Contributions Management Experiment Approach
made by: Theory • Contingency
• Administrativ Approach
• Roman
e
Catholic
Management
Church
Theory
• Military
• Bureaucratic
Organizations
Model
• Writers like
Charles
Babbage,
James Watt,
etc.

Evolution of Management Thoughts

Evolution of management thought may be divided into four stages:

1. Pre-scientific management period.

2. Classical Theory
a. Scientific Management of Taylor
b. Administrative Management of Fayol
c. Bureaucratic Model of Max Weber
3. Neo-classical Theory or Behavior Approach
4. Modern Theory or Systems Approach

Pre-scientific Management Period

Employees went to their work instead of receiving it, and so, the factory
system, as it is known today, become a dominant feature of the economy.
Under this system, land and buildings, hired labor, and capital are made
available to the entrepreneur, who strives to combine these factors in the
efficient achievement of a particular goal. All these changes, in turn, brought
about changes in the field of management. Traditional, conventional or
customary ideas of management were slowly given up and management came
to be based on scientific principles. In the words of L. F. Urwick-"Modern
management has thrown open a new branch of human knowledge, a fresh

11
universe of discourse". During the period following the industrial revolution,
certain pioneers tried to challenge the traditional character of management
by introducing new ideas and character of management by introducing new
ideas and approaches.

Classical Theory

During this period, stalwarts like F.W. Taylor, H.L. Gantt, Emerson,
Frank and Lillian Gilberth etc., laid the foundation of management, which in
due course, came to be known as scientific management. This epoch in the
history of management will be remembered as an era in which traditional
ways of managing were challenged, past management experience was
scientifically systematized, and principles of management were distilled and
propagated.
F.W. Taylor and Henry Fayol are generally regarded as the founders of
scientific management and administrative management and both provided
the bases for science and art of management.

Features of Management in the Classical Period:

1. It was closely associated with the industrial revolution and the rise of
large-scale enterprise.
2. Classical organization and management theory are based on
contributions from a number of sources. They are scientific
management, Administrative management theory, bureaucratic model,
and micro-economics and public administration.
3. Management thought focused on job content division of labor,
standardization, simplification and specialization and scientific
approach towards organization.

Neoclassical Theory

Neo-classical Theory is built on the base of classical theory. It modified,

improved and extended the classical theory. Classical theory concentrated on
job content and management of physical resources whereas, neoclassical
theory gave greater emphasis to individual and group relationship in the
workplace. The neo-classical theory pointed out the role of psychology and
sociology in the understanding of individual and group behavior in an
organization.

Hawthorne Experiment

In 1927, a group of researchers led by Elton Mayo and Fritz

Roethlisberger of the Harvard Business School were invited to join in the
studies at the Hawthorne Works of Western Electric Company, Chicago. The
experiment lasted up to 1932. The Hawthorne Experiments brought out that
the productivity of the employees is not the function of only physical

12
conditions of work and money wages paid to them. Productivity of employees
depends heavily upon the satisfaction of the employees in their work
situation. Mayo's idea was that logical factors were far less important than
emotional factors in determining productivity efficiency.
Modern

Modern Theory (System Approach)

The systems approach to management indicates the fourth major

theory of management thought called modern theory. Modern theory
considers an organization as an adaptive system which has to adjust to
changes in its environment. An organization is now defined as a structured
process in which individuals interact for attaining objectives.

Meaning of "System"

The word system is derived from the Greek word meaning to bring together
or to combine. A system is a set of interconnected and inter-related elements
or component parts to achieve certain goals. A system has three significant
parts:

1. Every system is goal-oriented and I t must have a purpose or objective

to be attained.
2. In designing the system, we must establish the necessary arrangement
of components.
3. Inputs of information, material and energy are allocated for processing
as per plan so that the outputs can achieve the objective of the system.

Systems Approach Applied to an Organization

When systems approach is applied to organization, we have the

following features of an organization as an open adaptive system:

1. It is a sub-system of its broader environment.

2. It is a goal-oriented – people with a purpose.
3. It is a technical subsystem – using knowledge, techniques, equipment
and facilities.
4. It is a structural subsystem – people working together on interrelated
activities.
5. It is a psychosocial system – people in social relationships.
6. It is co-ordinate by a managerial sub system, creating, planning,
organizing, motivating, communicating and controlling the overall
efforts directed towards set goals.

13
Characteristics of Modern Management Thought

The Systems Approach: An organization as a system has five basic

parts:
1. Input
2. Process
3. Output
4. Feedback and
5. Environment.

Contingency Theory
Systems approach emphasizes that all sub- systems of an organization
along with the super system of environment are interconnected and
interrelated. Contingency approach analysis and understands these inter
relationship so that managerial actions can be adjusted to demands of specific
situations or circumstances.

Management Theories

Management theories help improve the management process or the

coordinating and overseeing of the work performance of individuals working
together in organizations so that they could efficiently and effectively
accomplish their chosen goals. Management theories include the following:

Scientific Management Theory

This management theory makes use of the step by step, scientific

methods for finding the single best way for doing job. Frederick W. Taylor
(1856-1915) is known as the Father of Scientific Management. While working
as a mechanical engineer in a steel company in Pennsylvania, USA he could
not help but notice the workers’ mistakes and inefficiencies in doing their
routine jobs. Their lack of enthusiasm, the discrepancy between their abilities
and aptitudes, and their job assignments result to low output. Because of
these observations, he tried to identify clear guidelines for the improvement
of their productivity.

Taylor’s Scientific Management Principles are as follows:

1. Develop a science for each element of an individual’s work to replace

the old rule of thumb method;
2. Scientifically select and then train, teach, and develop the workers;
3. Heartily cooperate with the workers so as to ensure that all work is done
in accordance with the principles of the science that has been
developed; and
4. Divide the work and responsibility almost equally between management
and workers.

14
General Administrative Theory

The General Administrative Theory concentrates on the manager’s

functions and what make up good management practice or implementation.
Henri Fayol (1841-1925) and Max Weber (1864-1920) are the personalities
most commonly associated with it. Fayol’s 19th century writings were
connected with managerial activities which he based on his actual experience
as a managing director in a big coal mining company. He believed that
management is an activity that all organizations must practice and viewed its
as a separate from all other organizational activities such as marketing,
finance, research and development, and others. Weber, a German sociologist
wrote in the early 1900s that ideal organizations, especially large one, must
have authority structures and coordination with others based on what he
referred to as bureaucracy. Present day organizations still make use of
Weber’s structural design.

Henri Fayol’s Management Weber’s Bureaucracy

Principles
1. Work division or specialization
2. Authority
3. Discipline According to Weber, bureaucracy is
an organizational form distinguished
4. Unity of command
by the following concepts:
5. Unity of direction • Division of labor
6. Subordination of individual • Hierarchical identification of
interest to general interest job positions
7. Remuneration/pay • Detailed rules and regulations
8. Centralization • Impersonal connections with
9. Scalar chain of authority one another
10. Maintenance of order
11. Equity/fairness
12. Stability/security of tenure of
workers
13. Employee initiative
14. Promotion of team spirit

Fayol’s and Weber’s Contributions to General Administrative Theory

Total Quality Management (TQM)

Total Quality Management is a management philosophy that focuses on

the satisfaction of customers, their needs, and expectations. Quality experts
W. Edwards Deming (1900-1993) and Joseph M. Juran (1904-2008)
introduced this customer-oriented idea in the 1950s, however, the concept
had few supporters. The Americans did not immediately take idea since the

15
US was enjoying supremacy in the global market at the time. Japanese
manufacturers, on the other hand, took notice of it and enthusiastically
experimented on its application. When Japanese firms began to be recognized
for their quality products, Western managers were forced to give a more
serious consideration of Deming’s and Juran’s modern management
philosophy that eventually became the foundation of today’s quality
management practices.

Deming’s 14 Points for Top

Juran’s Fitness of Quality
Management
1. Create constancy of purpose for
1. Quality of Design-through market
improvement of products and
research, product, and concept
services
2. Quality of Conformance-through
2. Adopt the new TQM philosophy management, manpower, and
technology
3. Cease dependence on mass 3. Availability-through reliability,
inspection by doing things right maintainability, and logistic
and doing it right the first time. support
4. End the practice of awarding
4. Full Service-through promptness,
business on the basis of price tag
competence, and integrity
alone.
5. Constantly improve the system of
Juran’s Quality Planning Roadmap
production and services.
6. Institute training. 1. Identify your customers
7. Adopt and institute leadership. 2. Determine their needs
3. Translate them into one’s
8. Drive out fear.
language
9. Break down barriers between 4. Develop a product that can
staff areas. respond to needs
10. Eliminate slogans, focus on
5. Develop processes which are able
correction of defects in the
to produce those product features
system.
11. Eliminate numerical quota for the 6. Prove that the process can
work force. produce the product
12. Remove barriers that rob people 7. Transfer the resulting plans to the
of ‘pride of workmanship’ operating forces
13. Encourage education and self-
improvement for everyone
14. Take action to accomplish the
transformation

TQM Pointers from Deming and Juran

16
Organizational Behavior (OB) Approach

The Organizational Behavior (OB) approach involves the study of

conduct, demeanor, or action of people at work. Research on behavior helps
managers carry out their functions-leading, team building, resolving conflict,
and others. Robert Owen, Mary Parker Follett, Hugo Munsterberg, and
Chester Barnard were the early supporters of the OB approach. During the
late 1700s, Owen noticed lamentable conditions in workplace and proposed
ideal ways to improve the said conditions. Follett, in the early 1900s,
introduced the idea that individual or group behavior must be considered in
organizational management. Likewise, in the early 1900s, Munsterberg
proposed the administering of Psychological tests for the selection of would-
be employees in companies. Barnard, in the 1930s, suggested that
cooperation is required in organizations since it is, mainly, a social system.

What’s More

Direction: Match the terms in column A to its definition in column B. Write

the letter of your answer in a separate sheet of paper.

TERMS DEFINITION

1. Management A. It is needed in order to accomplish the

management process.

2. Planning B. Motivating subordinates to do their best to help

organizations attain their set goals.

3. Organizing C. Indicates filling in the different job positions in the

organization’s structure.
D. It is the process of coordinating and overseeing the
4. Staffing work performance of individuals working together
in organizations.
5. Leading E. Harmonious and integrated action of the various
parts and process of an organization.

6. Controlling F. Being adopted to produce an effect that will help

the organization attain its aims.
7. Management G. Involves defining strategic actions that must be
Functions done.

17
 H. Involves evaluating and correcting the performance
8. Coordination of the team to ensure that they are all working
toward the previously set goals.
9. Efficiency I. The character of being able to yield the maximum
output from a minimum amount of input.

10. Effectiveness J. Assigning tasks, setting aside funds and bringing

harmonious relations.

What I have learned

Direction: In a piece of pad paper, fill in the graphic organizer chart to

generalize the thing you have learned about the topic Write your answer in a
blank sheet of paper.

Nature and
Concept of
Management

18
 What I can do

Direction: With your knowledge in the functions of management, enumerate

your ultimate goal and identify the required activities/resources/persons
involved/timeline in each of the management functions in attaining your
future goal by completing the table below. Do it in a separate sheet of paper.

MY FUTURE GOAL: ___________________________________________

Management Persons
Activities Resources Timeline
Functions Involved

Planning

Organizing

Staffing

Leading

Controlling

19
 Assessment

Identification: Identify the proponents of the following principles by choosing

your answer in the given choices. Write your answer in separate sheet of
paper.

A. Frederick W. Taylor C. W. Edwards Deming

B. Henri Fayol D. Joseph M. Juran

1. Drive out fear 11. Encourage education

2. Centralization 12. Full service

3. Quality of Design 13. Heartily cooperate with the co-

workers

4. Institute training 14. Adopt and institute leadership

5. Scientifically select, train and 15. Discipline

develop workers

6. Employee initiative 16. Unity of command

7. Availability 17. Remove barriers

8. Create constancy of purpose 18. Equity/fairness

9. Scalar chain of authority 19. Promotion of team spirit

10. Divide work and responsibility 20. Remuneration

20
 Additional Activities

Directions: Think of a difficult task which you as a student must accomplish.

With the steps needed in completing the task, briefly explain how will the
management theories help you to be more efficient. Do it in a separate sheet
of paper.

_________________________________________
Scientific _________________________________________
Management _________________________________________
Theory
_________________________________________
_________________________________________

_________________________________________
General _________________________________________
Administrative _________________________________________
Theory
_________________________________________
_________________________________________

_________________________________________
Total Quality _________________________________________
Management _________________________________________
_________________________________________
_________________________________________

_________________________________________
Organizational _________________________________________
Behavior Approach _________________________________________
_________________________________________
_________________________________________

21
 Lesson
Functions, Roles
2 and Skills of a Manager

What I Know

Direction: Choose the letter corresponding to the correct answer for each of
the questions provided below.

1. Management is an essential element of every organized activity irrespective

of the size or the type of the activity.
a. Management is universal
b. Management is continuous process
c. Management is goal-oriented
d. Management is multi-disciplinary

2. This is where you communicate potentially useful information to your

colleagues and your team.
a. Spokesperson
b. Monitor
c. Disseminator
d. Negotiator

3. It is the ability to think and to conceptualize about abstract and complex

situations.
a. Inter-relationship skills
b. Conceptual skills
c. Technical skills
d. Human skills

4. Which of the following has three common characteristics such as distinct

purpose, composed of people, and develops some deliberate structure?
a. Management
b. Organization
c. Organizing
d. Directing

5. As manager, you create and control change within the organization. This
means solving problems, generating new ideas, and implementing them.
a. Conceptual skills
b. Human skills

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 c. Technical skills
d. None of the above

What’s In

An individual engaged in management activities is called a manager.

Managers supervise, sustain, uphold, and assume responsibility for the work
of others in his or her work group, team, department, or the organization, in
general. Therefore, it is safe to assume that organizational success depends
upon managers who practice optimal utilization of their human and material
resources, and who encourage high levels of performance, effectiveness, and
efficiency among the individuals under their care.

Managerial Levels

Organizations typically have three levels of management with their

respective managers – top level managers, middle-level managers, and
frontline or lower-level managers.

Top-level Managers. Top-level managers are the general or strategic

managers who focus on long-term organizational concerns and emphasize the
organizations’ stability, development, progress, and overall efficiency and
effectiveness. They are also concerned with the organization’s inter-
relationships with their external environment. Chief executive officers (CEO),
chief operating officers (COOs), presidents, and vice presidents are examples
of top-level managers in big corporations; they have authority over all other
human resources of their organization. Traditionally, top-level executives set
the company’s general direction by designing strategies and by controlling
various resources. At present, however, they, too, must act as organizational
guides who must elaborate on the wider purpose of their organizational
existence, so that their subordinates could identify and be committed to its
success in the three levels of management.

Middle-level Managers. Middle-level managers are the tactical

managers in charge of the organization’s middle levels or departments. They
formulate specific objectives and activities based on the strategic or general
goals and objectives developed by top-level managers. Their traditional role is
to act as go-betweens between higher and lower levels of the organization;
they announce and interpret top management priorities to human resources
in the middle-hierarchical level of the company. It has been observed that the
middle-level managers are more aware of the company’s problems compared

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to managers in the higher level because of their closer contacts with
customers, frontline managers, and other subordinates. To be an ideal
middle-level manager, one must be creative so that they could provide sound
ideas regarding operational skills as well as problem-solving skills that will
help keep the organization afloat.

Frontline or Lower-level Managers. Lower-level managers are also

known as operational managers and are responsible for supervising the
organization’s day-to-day activities; they are the bridges between
management and non-management employees. Traditionally, they are
controlled and instructed by top and middle-level managers to follow their
orders in support of the organization’s major strategy. Lately, however, their
role has been expanded in some large companies, as they are now encouraged
to be more creative and intuitive in the exercise of their functions, so that
they, too, could contribute to their company’s progress and the development
of new projects.

What’s New

Case Analysis: In a sheet of paper, answer and expand your thoughts to the
question completely and briefly with explanation.

Angel Ball Construction Supply: Pretend

Miss Angelita Ballesteros is currently trying hard to make decision on

whether or not she should continue operating her construction supply
business.

Angelita was raised by her parents as a God-fearing and decent person.

She does not fail to go to mass every Sunday. She graduated valedictorian at
the La Salette High School. The University of Santo Tomas awarded her a
diploma in Business Administration with highest honors.
It was while studying at UST when she met Hamilcar, a town’s mate who was
also enrolled in the College of Engineering of the same university. He courted
her and after some time, she agreed to marry him one year after graduation.
On the day of the nuptial, Hamilcar did not appear. Angelita felt humiliated,
but after a few months of desperation, she bounced back and got a job in a
commercial bank. Two years later, she was promoted supervisor and after a
year she became the manager of the branch. She began to think that a job in
a bank does not provide her with enough opportunities to prove her real
worth. She entertained thoughts about operating a small business. She
resigned from the bank and started to make moves to effectively operate a
construction supply business.

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 Angelita’s parents own a vacant 1,000-square meter lot at the edge of
the town’s business district. Directly in front of the lot is the national highway
and at its back is the city road. The place is an ideal site for a construction
supply business. Her parents agreed to construct a building to house her
business on the condition that she would pay rent.

Just a month after she started operating, her assistant informed her of
the need to convince a top-rated contractor to buy from them. Angelita agreed
to meet him. A few days later, when Angelita was in her office, her assistant
came rushing to inform her the prospect has arrived to meet her.
Angelita was shocked when she saw that the potential customer was her
former boyfriend. Hamilcar shook her hand and asked how she was. She tried
hard to hide displeasure and said she’s fine. They talked for a few minutes
and then he left.

Once more, Angelita felt a rising anger within her. She wants to avoid
the guy, so she is considering shifting to another type of business like that of
a drug wholesaling or hospital supplies.

Question:

What is wrong with the situation and what will you do if you are Angelita?

What is It

Managerial Roles

Managerial roles are the various roles played by managers, such as

interpersonal, information and decision-making roles. Henry Mintzberg,
professor of McGill University classified these roles into three types based on
his research conducted regarding what real managers do.

Categories of Managerial Roles

• Leader
Interpersonal • Liaison
• Figurehead
• Spokesperson
Informational • Monitor
• Disseminator
• Disturbance handler
Decisional or Decision-making
• Resource Allocator

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 • Negotiator
• Entrepreneur

Managerial Roles Identified by Mintzberg

Interpersonal Category

The managerial roles in this category involve providing information and

ideas.

1. Figurehead – As a manager, you have social, ceremonial and legal

responsibilities. You're expected to be a source of inspiration. People
look up to you as a person with authority, and as a figurehead.
2. Leader – This is where you provide leadership for your team, your
department or perhaps your entire organization; and it's where you
manage the performance and responsibilities of everyone in the group.
3. Liaison – Managers must communicate with internal and external
contacts. You need to be able to network effectively on behalf of your
organization.

Informational Category

The managerial roles in this category involve processing information.

1. Monitor – In this role, you regularly seek out information related to your
organization and industry, looking for relevant changes in the
environment. You also monitor your team, in terms of both their
productivity, and their well-being.
2. Disseminator – This is where you communicate potentially useful
information to your colleagues and your team.
3. Spokesperson – Managers represent and speak for their organization.
In this role, you're responsible for transmitting information about your
organization and its goals to the people outside it.

Decisional Category

The managerial roles in this category involve using information.

1. Entrepreneur – As a manager, you create and control change within the

organization. This means solving problems, generating new ideas, and
implementing them.
2. Disturbance Handler – When an organization or team hits an
unexpected roadblock, it's the manager who must take charge. You also
need to help mediate disputes within it.

26
 3. Resource Allocator – You'll also need to determine where organizational
resources are best applied. This involves allocating funding, as well as
assigning staff and other organizational resources.
4. Negotiator – You may be needed to take part in, and direct, important
negotiations within your team, department, or organization.

Managerial Skills

Social psychologist Robert L. Katz in 1974, in his article, ‘Skills of an

Effective Administrator’ in Harvard Business thought about the relationship
of managerial skills (competences) and hierarchical management levels. The
result was the setting of the three areas of managerial skills and
determination, for which level they are characterized:

Conceptual skills: Conceptual skills enable managers to think of

possible solutions to complex problems. Through their ability to visualize
abstract situations, they develop a holistic view of their organization and its
relation to the wider external environment surrounding it. Top-level managers
must have these conceptual skills in order to be successful in their work.

Human skills: Human skills enable managers in all levels to relate well
with people. Communicating, leading, inspiring, and motivating them become
easy with the help of human skills. Dealing with people, both in the
organization’s internal and external environment, is inevitable, so it is
necessary for managers to develop these human skills.

Technical skills: Technical skills are also important for managers for
them to perform their tasks with proficiency with the use of their expertise.
Lower-level managers find these skills very important because they are the
ones who manage the non-management workers who employ varied
techniques and tools to be able to yield good quality products and services for
their company.

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 What’s More

Direction: Fill in the blanks by choosing the CORRECT word/phrase in the

box. Write your answer in a sheet of paper.

Objectives Modern theory Neo-Classical theory

workers Managers works System
Combine act or bringing together
Goals multi-purpose organ

1. Management refers to the ____________________ the work activities to

achieve the organization’s _______________ and ________________.
2. According to Peter Drucker, management is a ________________ that
manages business and manages managers and manages _____________
and ______________.
3. _______________________ is built on the base of classical theory.
4. The system approach to management indicates the fourth major theory
of management thought called ________________________.
5. __________ is derived from the Greek word meaning to bring together or
to ___________.

What I have learned

Direction: In a piece of pad paper, write down at least five (5) skills you have
learned and explain how those skills help you to manage an organization.

1.
2.
3.
4.
5.

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 What I can do

Direction: List down the family members and identify each role. Explain their
duties and responsibilities in a blank sheet of paper.

Family Members Role Duties and Responsibilities

Assessment

Multiple Choice: Read and answer each statement carefully then write the
letter of the best answer on a separate sheet of paper.

1. A theory that brought out that the productivity of the employees is not the
function of only physical conditions of work and money wages paid to
them. Productivity of employees depends heavily upon the satisfaction of
the employees in their work situation.
a. Hawthorne Experiment
b. Multilevel and Multidimensional
c. Contingency Theory
d. Classical Theory

2. It is future-oriented and determines an organization’s direction. It is a

rational and systematic way of making decisions today that will affect the
future of the company.
a. Staffing
b. Planning
c. Organizing
d. Directing

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3. A theory that is based on contributions from a number of sources. These
are scientific management, Administrative management theory,
bureaucratic model, and micro-economics and public administration.
a. Classical Theory
b. Neoclassical Theory
c. Modern Theory
d. Contingency Theory

4. It is a vital aspect of the economic life of man, which is an organized group

activity. A central directing and controlling agency are indispensable for a
business concern.
a. Directing
b. Management
c. Organization
d. Organizing

5. This is where you communicate potentially useful information to your

colleagues and your team.
a. Monitor
b. Disseminator
c. Spokesperson
d. Negotiator

6. The ability to think and to conceptualize about abstract and complex

situations.
a. Technical Skills
b. Human Skills
c. Conceptual skill
d. Inter-relationship skills

7. This function is concerned with leadership, communication, motivation,

and supervision so that the employees perform their activities in the most
efficient manner possible, in order to achieve the desired goals.
a. Planning
b. Organizing
c. Staffing
d. Directing

8. It is a deliberate arrangement of people to accomplish some specific

purpose. Organizations share three common characteristics: (1) Each has
a distinct purpose (2) Each is composed of people (3) Each develops some
deliberate structure so members can do their work.
a. Organizing
b. Organization
c. Management
d. Directing

30
9. As a manager, you create and control change within the organization. This
means solving problems, generating new ideas, and implementing them.
a. Technical Skills
b. Human Skills
c. Conceptual skill
d. None of the above

10. Management is an essential element of every organized activity

irrespective of the size or the type of the activity.
a. Management is goal oriented
b. Management is universal
c. Management is continuous process
d. Management is multi-disciplinary

Additional Activities

Directions: Write three sentences to complete the following:

I realized that: 1.
2.
3.
I resolved that: 1.
2.
3.

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 Answer Key

LESSON 1
What I Know
Answers may vary. It will be checked but not recorded.

What’s New

1. TRUE
2. TRUE
3. FALSE
4. FALSE
5. TRUE

What’s More

1. D
2. G
3. J
4. C
5. B
6. H
7. A
8. E
9. I
10. F
What I have Learned

Answers may vary. It will be checked but not recorded.

What I Can Do

Answers may vary. It will be checked but not recorded.

Assessment

1. C 11. C
2. B 12. D
3. D 13. A
4. C 14. C
5. A 15. B
6. B 16. B
7. D 17. C
8. C 18. B
9. B 19. B
10. A 20. B
Additional Activities

Answers may vary. It will be checked but not recorded.

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LESSON 2
What I Know
1. A
2. B
3. B
4. B
5. D

What’s More

1. Management refers to the act or bringing together the work activities to achieve the
organization’s goals and objectives.
2. According to Peter Drucker, management is a multi-purpose organ that manages
business and manages managers and manages workers and works.
3. Neo-classical theory is built on the base of classical theory.
4. The system approach to management indicates the fourth major theory of
management thought called modern theory.
5. System is derived from the Greek word meaning to bring together or to combine.

What I have Learned

Answers may vary. It will be checked but not recorded.

What I Can Do

Answers may vary. It will be checked but not recorded.

Assessment

1. A
2. B
3. A
4. B
5. B
6. C
7. D
8. B
9. D
10. B

Additional Activities

Answers may vary. It will be checked but not recorded.

33
References:
Books

1. Cabrera, Helena M. F., Altarejos, A. & Benjamin, R. (2016) Organization

and Management. Quezon City, Philippines: Vibal Group, Inc.

Other Sources:
1. K to 12 Senior High School ABM Specialized Subject – Organization and
Management December 2013
2. K to 12 Curriculum Implementation and Learning Management Matrix
3. Goneda, M. T., Whiteside, J. Q., Tallud, F. T. et al (2020) Module 1
Organization and Management. Alternative Delivery Mode
4. Darr, Kurt, (2013) Introduction to Management and Leadership
Concepts, Principles and Practices, Jones and Bartlett Learning,
https://www.google.com.et.
5. Mintzberg, Henry (1989) Mintzberg on Management, Reprinted by Free
Press, Division of Simon & Schuster, Inc.
6. Robbins et.al. (2012) Management, Pearson — 11th ed.
www.pearsonhighered.com

Internet

1. Cazar, L.B. (2016) Nature and Concept of Management. Retrieved from

https://www.slideshare.net/LalaineCazar/nature-and-concept-of-
management?from_action=save
2. Kukreja, S. (2018) Management Study HQ. Retrieved from
https://www.managementstudyhq.com/functions-of-
management.html
3. Management Science Theory and Practice. Retrieved from
https://www.wisdomjobs.com/e-university/principles-of-
management-and-organisational-behaviour-tutorial-366/evolution-of-
management-thought-12679.html

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For inquiries or feedback, please write or call:

Schools Division of Ilocos Norte – Curriculum Implementation Division

Learning Resource Management Section (SDOIN-CID LRMS)

Office Address: Brgy. 7B, Giron Street, Laoag City, Ilocos Norte
Telefax: (077) 771-0960
Telephone No.: (077) 770-5963, (077) 600-2605
E-mail Address: [email protected]

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