The process of planning, organizing, leading, and controlling financial, human, and material resources to enhance effectiveness is referred to as management.
Functsions of Management
1. Planning
The strategy of the organization is established by managers during planning. In other words, it determines how effectively to allocate and utilize resources to accomplish organizational objectives.
During planning, there is a high degree of risk and uncertainty surrounding managerial decisions. The quality of decision-making is improved, which reduces risk and increases success, through an understanding of organizational behavior.
2. Organizing
Managers build a structure of relationships that directs how members of an organization work together to accomplish organizational objectives in organizing.
On the basis of tasks performed, organizing includes grouping workers into teams, departments, and groups.
Organizational behavior provides guidelines on how to organize workers to ensure effective utilization of their capabilities and to increase coordination and communication.
3. Leading
Employees are encouraged by managers to perform better in the leading function, and managers further coordinate groups and individuals so that all organizational members work toward organizational objectives.
The major concern of organizational behavior is to examine various leadership methods and how to match leadership styles with the characteristics of the organization.
4. Controlling
Managers monitor and evaluate individual, group, and organizational performance to determine whether organizational objectives are being achieved.
Managers are able to understand and accurately diagnose work situations through knowledge of organizational behavior, along with identifying the need for corrective action or striving to maintain and improve performance.
Poor performance may be caused by several factors at the individual or group levels.
Functions of Management in Organizational Behavior
Organizational efficiency is improved by reducing the amount of resources, such as raw materials or labor, required to produce goods or services. Organizations try to utilize and enhance the skills and abilities of the workforce in a better way.
Because well-trained employees make better use of technology, the global competitive challenge facing organizations is to invest in employee skills.
Organizations are under global pressure to find new ways to increase efficiency. The quality of goods and services provided by organizations must also be enhanced due to increased competition.
Total Quality Management (TQM) is one technique borrowed from Japan and is considered an effective approach to improving quality.
The behaviors within the organization are managed through a comprehensive philosophy known as TQM. It involves giving employees responsibility for finding ways to improve quality and perform their jobs more efficiently.
Roles of Management in Organizational Behavior
Managers assume a number of roles in organizations while performing the four functions of management. A role is a set of tasks or behaviors expected from a person based on their position in an organization or group. The ten managerial roles can be categorized into three main areas: interpersonal relationships, information transfer, and decision-making.
1. Interpersonal Roles
Following are the interpersonal roles performed by managers:
- Leadership: Hire, motivate, train, and discipline workers.
- Figurehead: Perform symbolic and ceremonial tasks.
- Liaison: Maintain contact with outsiders who provide information. These may include individuals or groups inside or outside the organization.
2. Informational Roles
Following are the informational roles performed by managers:
- Monitor: Gather information from external institutions and organizations.
- Disseminator: Transmit information to organizational members.
- Spokesperson: Represent the organization to outsiders.
3. Decisional Roles
Following are the decisional roles performed by managers:
- Entrepreneur: Initiate and oversee new projects to improve organizational performance.
- Disturbance Handler: Take corrective actions in response to unexpected issues.
- Resource Allocator: Allocate physical, human, and financial resources.
- Negotiator: Discuss problems and negotiate with other units to gain advantages for their own unit.
Skills of Management in Organizational Behavior
Management skills can be improved by managers through their understanding of organizational behavior. A skill is the ability to act in a way that allows an individual to perform effectively in their role. Three essential management skills were identified by Robert Katz, which are as follows:
1. Technical Skills
The ability to possess specialized knowledge or expertise. Technical skills are required in most jobs and are often developed through experience.
2. Human Skills
Human skills refer to the ability to work with, motivate, and understand other people, both individually and in groups. Many individuals may be technically proficient but lack interpersonal competence.
3. Conceptual Skills
Conceptual skills involve the mental ability to diagnose and analyze complex situations. For example, decision-making requires managers to identify problems, develop alternative solutions, evaluate those alternatives, and select the most effective one.
