FAG1007

FUNDAMENTAL OF MANAGEMENT
Course Outline
Code: FAG1007
Subject: Fundamental of Management
Credit hours: 2h Lecture (16 weeks)
2h Tutorial (14 weeks)

References:
• Robbins, & Coulter, (2021). Management (15th ed.). Pearson
• Norlida Kamaluddin et.al (2018), Principles of Management
• William et. Al (2023) Principles of Management (2nd ed.)
 Topic
Introduction to management Leadership
Management and its evolution Motivation
Making decisions Communication
Planning Managing control and quality
Developing high performance
Strategic planning
groups and teams
Organizing
Assessment (refer to your course outline)
- Continuous Assessment
Test (UPS) : 20%
Assignment : 10%
Flipped Classroom : 10%
Quiz (2) : 10%

- Final Examination : 50%

 Topic 1
INTRODUCTION TO MANAGEMENT
Learning Outcomes

After studying this chapter, you should be able to:

❑ Define organization and management.

❑ Explain the importance of management.

❑ Describe the management process or functions of P-O-L-C.

Why do we need to study
‘Management’?
- What is ‘Management’?
- What do we gain from ‘Management’?
 Introduction
❖ For most of our lives, we are members of one organization or another.
❖ These organizations are put and kept together by a group of people who
see that there are benefits available from working together towards a
common goals
❖ An organization ensures that its goals are achieved by utilizing certain
methods.
❖ Therefore – this topic introduces management principles and
theories, and the challenges in business environment.
Definition of an Organization

❖ An organization is defined as a systematic arrangement of

people brought together to accomplish some specific
purpose.

❖ Common characteristics of an organization:

a) A distinct goal and purpose
Organizations are set up to meet certain goals, which are established to guide
them. Goal; profit or non-profit oriented.
b) Comprises people working together to accomplish certain
objectives
Organizations need a group of people to work together in achieving their goals.
There are organized into department and units as a way of distributing the
organization’s resources.
c) A systematic structure
Some organization are structured very formally. Nevertheless, regardless of the
structure, all individuals who form resources in organizations are focused on,
interact and collaborate toward their common goal
d) An aim to serve society
Organizations are established to help society meet its needs. Example?
Definition of Management
Management is fundamental to guiding any organization towards
accomplishment of goals.

❖ Classical Definition of Management:

a) Mary Parker Follett (1868-1933),
• one of the earlier theorists of management, defined management as the
art of getting things done through people.
• Practical knowledge of management alone is insufficient
• Knowing how to rightfully apply the knowledge in real situation is important.
• Manager can never be successful just by obtaining a degree or diploma in
management.
b) Henri Fayol (1916)
Argue, management is to forecast and plan, to organize, to command, to coordinate and to control.

c) Frederick Winslow (1886)

Management is to determine the overall policy of business organization.
He focused on the effective and efficient ways to achieve organizational objectives.
❖Management:
• Means to accomplish organizational objectives
• Involved doing things through people
• Involved a series of steps or processes
• Career to pursue to earn a living
• Process that interact with environment
❖ Broad definition of Management:
– Management can be defined as the process of consolidating and managing
resources effectively and efficiently in an effort to achieve the goals of the
organization.
– Management refers to the series of interrelated functions.
– Management creates, operates and direct those purposeful organizational
functions through systematic, coordinated and cooperative people
Importance Of Management

1. Management achieves organizational goals

• Management defines the objectives of an organization clearly to avoid
wastage in terms of time, money and effort.
• This ensures all available resources (people, machinery, time, money, so
forth) are put to good use.
• Management achieves this via assembling and arranging these factors of
production in an effective manner to achieve goals.
2. Management efficiently utilizes resources
• Management utilizes all resources (physical and human) productively.
• Provides maximum utilization towards resources by selecting the best
possible usage in industry.
• Proper management also simplify tasks, especially the difficult one.
3. Management is essential for prosperity of society
• Efficient management enables an organization to conduct quality research
and development to create new products.
• Good management also results in maximum output at minimal cost, which
means efficient use of scare resources.
• Besides increasing the profits of a business, this also leads to a better
economy which in turn will be beneficial to society.
4. Management addresses the challenges of
management
• E.g.: helps organization to develop strong work culture and group
cohesiveness, for organizational success.
• This is inevitable as most workplaces include people from different
backgrounds and cultures, or even nationalities.
5. Management establishes equilibrium
• Enable an organization to survive in a dynamic environment, especially to
keep in touch with current developments, and adapt with environmental
changes.
• Responsible for the continual growth and survival of any organization.
6. Management aims to improve quality of work
• Management is used in organizations to design job structures that
provides opportunities for clarity, inventiveness and job satisfaction.
• Act as important instrument of human progress and is an essential tool
towards achieving a high quality of work life.
Process of Management
❖ A process is a way of doing things, which is on-going (continuous) and
systematic.
❖ Management is a process which emphasizes that all managers,
regardless of their specific aptitudes or skills, engage in certain
interrelated functions to achieve certain desired goals.
4 Main Management Functions
Management is a process of planning, organizing, leading, and controlling a firm’s
financial, physical, human, and information resources to achieve its goals

Planning
Setting Goals

ACHIEVING AND
Controlling Organizing
Monitoring ORGANIZATION’S Structuring
Performance PURPOSE
Leading
Guiding and Motivating
❖ Planning
– The rational and orderly thinking of ways and means for the realization of
certain goals.
– The process of defining goals, establishing strategies and developing
action plans to coordinate activities towards accomplishing
organizational goals.
– A lack of planning before engaging in any activity implies recklessness and
short-sightedness in the performance of any work.
– The question of what needs to be done and who is to do a work thus has to
be clarified before undertaking any work.
– Example??
❖ Organizing
– The process of determining what needs to be done, how it will be
done and who is to do it.
– Organization allocates tasks to individuals belonging to different
departments.
– Although these departments are under the charge of different managers,
they are interrelated by authority relationships and come together to
execute integrated action.
– Example?
❖ Leading
– The process of directing and influencing all organizational members
involved, motivating them and resolving conflicts towards achieving
organizational goals.
– Involves the process of influencing and using power to get groups moving.
– Human beings are not machines, therefore managers need to lead
workers through leadership, guidance, supervision, communication, and
counselling.
– Example?
❖ Controlling
– the process of monitoring activities to ensure that they are accomplished
as planned.
– ensures qualitative and quantitative work performance in completing plans
and achieving objectives in an organization.
– act as a process involves measurement, evaluation and correction of
performance in the light of standards which are developed through
planning.
– Example?
THANK YOU