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Management (or managing) is the administration of an
organization An organization, or organisation (Commonwealth English; see spelling differences), is an entity – such as a company, an institution, or an association – comprising one or more people and having a particular purpose. The word is derived ...
, whether it is a
business Business is the activity of making one's living or making money by producing or buying and selling products (such as goods and services). Simply put, it is "any activity or enterprise entered into for profit." Having a business name does not s ...
, a
not-for-profit A nonprofit organization (NPO), also known as a non-business entity, not-for-profit organization, or nonprofit institution, is a legal entity organized and operated for a collective, public or social benefit, in contrast with an entity that oper ...
organization, or government body. Management includes the activities of setting the
strategy Strategy (from Greek στρατηγία ''stratēgia'', "art of troop leader; office of general, command, generalship") is a general plan to achieve one or more long-term or overall goals under conditions of uncertainty. In the sense of the "art o ...
of an
organization An organization, or organisation (Commonwealth English; see spelling differences), is an entity – such as a company, an institution, or an association – comprising one or more people and having a particular purpose. The word is derived ...
and coordinating the efforts of its
employee Employment is a relationship between two parties, usually based on contract where work is paid for, where one party, which may be a corporation, for profit, not-for-profit organization, co-operative or other entity is the employer and the other ...
s (or of volunteers) to accomplish its objectives through the application of available
resources A resource is a source or supply from which a benefit is produced and that has some utility. Resources can broadly be classified upon their availability — they are classified into renewable and non-renewable resources. They can also be classifie ...
, such as
financial Finance is the study of financial institutions, financial markets and how they operate within the financial system. It is concerned with the creation and management of money and investments. Savers and investors have money available which could ...
,
natural Nature, in the broadest sense, is the natural, physical, material world or universe. "Nature" can refer to the phenomena of the physical world, and also to life in general. The study of nature is a large, if not the only, part of science. Al ...
,
technological Technology ("science of craft", from Greek , ''techne'', "art, skill, cunning of hand"; and , ''-logia'') is the sum of techniques, skills, methods, and processes used in the production of goods or services or in the accomplishment of objectiv ...
, and
human resources Human resources is the set of people who make up the workforce of an organization, business sector, industry, or economy. A narrower concept is human capital, the knowledge and skills which the individuals command. Similar terms include manpowe ...
. The term "management" may also refer to those people who manage an organization—managers. Some people study management at colleges or universities; major degrees in management include the
Bachelor of CommerceA Bachelor of Commerce (abbreviated BComm or BCom; also, ''baccalaureates commercii'') is an undergraduate degree in business, usually awarded in Canada, Australia, India, Sri Lanka, Pakistan, Ireland, New Zealand, Ghana, South Africa, Myanmar, Egypt ...
(B.Com.)
Bachelor of Business Administration The Bachelor of Business Administration (BBA) is a bachelor's degree in business administration. In the United States, the degree is conferred after four years of full-time study in one or more areas of business concentrations. In Europe, the d ...
(BBA.)
Master of Business Administration The Master of Business Administration (MBA; also Master's in Business Administration) degree originated in the United States in the early 20th century when the country industrialized and companies sought scientific management. The core courses i ...
(MBA.)
Master in Management The Master of Management (MM, MBM,MIM, MMgt) is a post-graduate master’s degree awarded to students who normally complete a one- to two-year program of graduate level coursework in business management at an accredited academic institution. As ...
(MScM or MIM) and, for the public sector, the
Master of Public Administration The Master of Public Administration (M.P.Adm., M.P.A., or MPA) is a professional graduate degree in public administration, similar to the Master of Business Administration but with an emphasis on the issues of public services. Overview The MP ...
(MPA) degree. Individuals who aim to become management specialists or experts, management researchers, or professors may complete the
Doctor of ManagementThe Doctor of Management (DM) is a professional doctorate with a degree focus in management, leadership, and organizational topics. The intention of the DM is to advance the skills of professionals in research, analysis, theory, and practice in organ ...
(DM), the
Doctor of Business Administration The Doctor of Business Administration (commonly abbreviated as D.B.A., DBA, DrBA, or Dr.B.A) is a research doctorate awarded on the basis of advanced study, examinations, project work and research in business administration. The D.B.A. is a terminal ...
(DBA), or the
PhD A Doctor of Philosophy (PhD, Ph.D., or DPhil; Latin or ''doctor philosophiae'') is the most common degree at the highest academic level awarded following a course of study. PhDs are awarded for programs across the whole breadth of academic ...
in Business Administration or Management. There has recently been a movement for
evidence-based management Evidence-based management (EBMgt) is an emerging movement to explicitly use the current, best evidence in management and decision-making. It is part of the larger movement towards evidence-based practices. Overview Evidence-based management entail ...
. Larger organizations generally have three
hierarchical A hierarchy (from the Greek: , from , 'president of sacred rites') is an arrangement of items (objects, names, values, categories, etc.) in which the items are represented as being "above", "below", or "at the same level as" one another. Hierarchy ...
levels of managers, in a pyramid structure: * Senior managers, such as members of a
board of directors A board of directors is a group of people who jointly supervise the activities of an organization, which can be either a for-profit or a nonprofit organization such as a business, nonprofit organization, or a government agency. The powers, dut ...
and a
chief executive officer A chief executive officer (CEO), chief administrator, or just chief executive (CE), is one of a number of corporate executives in charge of managing an organization especially an independent legal entity such as a company or nonprofit institutio ...
(CEO) or a
president President most commonly refers to: *President (corporate title) *President (education), a leader of a college or university *President (government title) President may also refer to: Automobiles * Nissan President, a 1966–2010 Japanese full- ...
of an organization. They set the strategic goals of the organization and make decisions on how the overall organization will operate. Senior managers are generally executive-level professionals, and provide direction to
middle managementMiddle management is the intermediate management level of a hierarchical organization that is subordinate to the executive management and responsible for ‘team leading’ line managers and/or ‘specialist’ line managers. Middle management is ind ...
, who directly or indirectly report to them. * Middle managers: examples of these would include branch managers, regional managers, department managers, and section managers, who provide direction to front-line managers. Middle managers communicate the strategic goals of senior management to the front-line managers. * Lower managers, such as
supervisor A supervisor, or also known as foreman, boss, overseer, facilitator, monitor, area coordinator, or sometimes gaffer, is the job title of a low level management position that is primarily based on authority over a worker or charge of a workplace. A ...
s and front-line
team leaderA team leader is a person who ''provides guidance, instruction, direction and leadership to a group'' of individuals (the team) for the purpose of achieving a key result or group of aligned results. The team leader monitors the quantitative and quali ...
s, oversee the work of regular employees (or volunteers, in some voluntary organizations) and provide direction on their work. In smaller organizations, a manager may have a much wider scope and may perform several roles or even all of the roles commonly observed in a large organization.
Social scientists#REDIRECT Social science {{Redirect category shell, 1= {{R from other capitalisation ...
study management as an
academic discipline An academic discipline or academic field is a subdivision of knowledge that is taught and researched at the college or university level. Disciplines are defined (in part) and recognized by the academic journals in which research is published, an ...
, investigating areas such as
social organization In sociology, a social organization is a pattern of relationships between and among individuals and social groups. Characteristics of social organization can include qualities such as sexual composition, spatiotemporal cohesion, leadership, struc ...
, organizational adaptation, and organizational leadership.


Etymology

The English verb "manage" comes from the
Italian Italian may refer to: * Anything of, from, or related to the country and nation of Italy ** Italians, an ethnic group or simply a citizen of the Italian Republic ** Italian language, a Romance language *** Regional Italian, regional variants of the ...
''maneggiare'' (to handle, especially tools or a horse), which derives from the two
Latin Latin (, or , ) is a classical language belonging to the Italic branch of the Indo-European languages. Latin was originally spoken in the area around Rome, known as Latium. Through the power of the Roman Republic, it became the dominant language ...
words ''manus'' (hand) and ''agere'' (to act). The French word for housekeeping, ''ménagerie'', derived from ''ménager'' ("to keep house"; compare ''ménage'' for "household"), also encompasses taking care of domestic animals. ''Ménagerie'' is the French translation of
Xenophon Xenophon of Athens (; grc-gre, Ξενοφῶν, , ''Xenophōn''; – 354 BC) was an Athenian-born military leader, philosopher, and historian. At the age of 30, Xenophon was elected a commander of one of the biggest Greek mercenary armies, the T ...

Xenophon
's famous book ''
Oeconomicus The ''Oeconomicus'' ( grc-gre, Οἰκονομικός) by Xenophon is a Socratic dialogue principally about household management and agriculture. ''Oeconomicus'' comes from the Ancient Greek words ''oikos'' for home or house and ''nemein'' which m ...
'' ( grc-gre, Οἰκονομικός) on household matters and
husbandry Animal husbandry is the branch of agriculture concerned with animals that are raised for meat, fibre, milk, eggs, or other products. It includes day-to-day care, selective breeding and the raising of livestock. Husbandry has a long history, start ...
. The French word ''mesnagement'' (or ''ménagement'') influenced the semantic development of the English word ''management'' in the 17th and 18th centuries.


Definitions

Views on the definition and scope of management include: *
Henri Fayol Henri Fayol (29 July 1841 – 19 November 1925) was a French mining engineer, mining executive, author and director of mines who developed a general theory of business administration that is often called Fayolism.Morgen Witzel (2003). ''Fifty key f ...
(1841-1925) stated: "to manage is to forecast and to plan, to organise, to command, to co-ordinate and to control." * Fredmund Malik (1944- ) defines management as "the transformation of resources into utility". * Management is included as one of the
factors of production In economics, factors of production, resources, or inputs are what is used in the production process to produce output—that is, finished goods and services. The utilized amounts of the various inputs determine the quantity of output according to ...
– along with machines, materials and money. * Ghislain Deslandes defines management as "a vulnerable force, under pressure to achieve results and endowed with the triple power of constraint, imitation and imagination, operating on subjective, interpersonal, institutional and environmental levels". *
Peter Drucker Peter Ferdinand Drucker (; ; November 19, 1909 – November 11, 2005) was an Austrian management consultant, educator, and author, whose writings contributed to the philosophical and practical foundations of the modern business corporation. H ...
(1909–2005) saw the basic task of management as twofold:
marketing Marketing refers to activities a company undertakes to promote the buying or selling of a product, service, or good. It is one of the primary components of business management and commerce. Marketers can direct their product to other businesse ...
and
innovation 190px, 1,093_U.S._patents_in_his_name..html" style="text-decoration: none;"class="mw-redirect" title="phonograph">Thomas Edison with phonograph. Edison was one of the most prolific inventors in history, holding List of Edison patents">1,093 U. ...
. Nevertheless, innovation is also linked to marketing (product innovation is a central strategic marketing issue). Peter Drucker identifies marketing as a key essence for business success, but management and marketing are generally understood as two different branches of business administration knowledge.


Theoretical scope

Management involves identifying the
mission
mission
, objective, procedures, rules and manipulation of the
human capital Human capital is the stock of habits, knowledge, social and personality attributes (including creativity) embodied in the ability to perform labour so as to produce economic value. Human capital is unique and differs from any other capital. It ...

human capital
of an enterprise to contribute to the success of the enterprise. Scholars have focused on the management of individual, organizational, and inter-organizational relationships. This implies effective
communication Communication (from Latin ''communicare'', meaning "to share") is the act of developing meaning among entities or groups through the use of sufficiently mutually understood signs, symbols, and semiotic conventions. The main elements inherent to ...
: an enterprise environment (as opposed to a physical or mechanical mechanism) implies human
motivation Motivation is a driving factor for actions, willingness, and goals. These needs, wants or desires may be acquired through influence of culture, society, lifestyle, or may be generally innate. An individual's motivation may be inspired by outside ...
and implies some sort of successful progress or
system A system is a group of interacting or interrelated elements that act according to a set of rules to form a unified whole. A system, surrounded and influenced by its environment, is described by its boundaries, structure and purpose and expresse ...
outcome. As such, management is not the manipulation of a mechanism (machine or automated program), not the herding of animals, and can occur either in a legal or in an illegal enterprise or environment. From an individual's perspective, management does not need to be seen solely from an enterprise point of view, because management is an essential function in improving one's
life Life is a characteristic that distinguishes physical entities that have biological processes, such as signaling and self-sustaining processes, from those that do not, either because such functions have ceased (they have died), or because the ...
and
relationships Relationship most often refers to: * Interpersonal relationship, a strong, deep, or close association or acquaintance between two or more people * Correlation and dependence, relationships in mathematics and statistics between two variables or se ...
. Management is therefore everywhere and it has a wider range of application. Based on this, management must have humans. Communication and a positive endeavor are two main aspects of it either through enterprise or through independent pursuit. Plans, measurements, motivational psychological tools, goals, and economic measures (profit, etc.) may or may not be necessary components for there to be management. At first, one views management functionally, such as measuring quantity, adjusting
plan A plan is typically any diagram or list of steps with details of timing and resources, used to achieve an objective to do something. It is commonly understood as a temporal set of intended actions through which one expects to achieve a goal. For ...
s, meeting
goal A goal is an idea of the future or desired result that a person or a group of people envision, plan and commit to achieve. People endeavour to reach goals within a finite time by setting deadlines. A goal is roughly similar to a purpose or aim ...
s. This applies even in situations where planning does not take place. From this perspective,
Henri Fayol Henri Fayol (29 July 1841 – 19 November 1925) was a French mining engineer, mining executive, author and director of mines who developed a general theory of business administration that is often called Fayolism.Morgen Witzel (2003). ''Fifty key f ...
(1841–1925) considers management to consist of five
functions Function or functionality may refer to: Computing * Function key, a type of key on computer keyboards * Function model, a structured representation of processes in a system * Function object or functor or functionoid, a concept of object-oriented ...
: # planning (forecasting) # organizing # commanding # coordinating # controlling In another way of thinking,
Mary Parker Follett Mary Parker Follett (3 September 1868 – 18 December 1933) was an American social worker, management consultant, philosopher and pioneer in the fields of organizational theory and organizational behavior. Along with Lillian Gilbreth, she was one ...

Mary Parker Follett
(1868–1933), allegedly defined management as "the art of getting things done through people". She described management as a philosophy. Critics, however, find this definition useful but far too narrow. The phrase "management is what managers do" occurs widely, suggesting the difficulty of defining management without circularity, the shifting nature of definitions and the connection of managerial practices with the existence of a managerial cadre or of a class. One habit of thought regards management as equivalent to "
business administration Business administration (also known as business management) is the administration of a commercial enterprise. It includes all aspects of overseeing and supervising business operations. From the point of view of management and leadership, it also c ...
" and thus excludes management in places outside
commerce Commerce is the exchange of goods and services, especially on a large scale. Etymology The English-language word ''commerce'' has been derived from the Latin word ''commercium'', from ''com'' ("together") and ''merx'' ("merchandise"). History ...

commerce
, as for example in
charities A charitable organization or charity is an organization whose primary objectives are philanthropy and social well-being (e.g. educational, religious or other activities serving the public interest or common good). The legal definition of a chari ...
and in the
public sector The public sector (also called the state sector) is the part of the economy composed of both public services and public enterprises. Public sectors include public goods and governmental services such as the military, law enforcement, infrastructu ...
. More broadly, every organization must "manage" its work, people, processes, technology, etc. to maximize effectiveness. Nonetheless, many people refer to university departments that teach management as "
business school A business school is a university-level institution that confers degrees in business administration or management. A business school may also be referred to as school of management, management school, school of business administration, or colloquia ...

business school
s". Some such institutions (such as the
Harvard Business School Harvard Business School (HBS) is the graduate business school of Harvard University in Boston, Massachusetts. It is consistently ranked among the top business schools in the world and offers a large full-time MBA program, management-related doctor ...
) use that name, while others (such as the
Yale School of Management The Yale School of Management (also known as Yale SOM) is the graduate business school of Yale University in New Haven, Connecticut. The School awards the Master of Business Administration (MBA), MBA for Executives (EMBA), Master of Advanced Manag ...
) employ the broader term "management". English-speakers may also use the term "management" or "the management" as a collective word describing the managers of an organization, for example of a
corporation A corporation is an organization—usually a group of people or a company—authorized by the state to act as a single entity (a legal entity recognized by private and public law 'born out of statute"; a legal person in legal context) and rec ...
. Historically this use of the term often contrasted with the term "labor" – referring to those being managed. But in the present era the concept of management is identified in the wide areas and its frontiers have been pushed to a broader range. Apart from profitable organizations even non-profitable organizations (
NGOs upright=1.3, alt=A roomful of people, Europe-Georgia Institute head George Melashvili addresses the audience at the launch of the "Europe in a suitcase" project by two NGOs (the EGI and the Friedrich Naumann Foundation), which aims to increase ...
) apply management concepts. The concept and its uses are not constrained. Management on the whole is the process of planning, organizing, coordinating,
leading In typography, leading ( ) is the space between adjacent lines of type; the exact definition varies. In hand typesetting, leading is the thin strips of lead that were inserted between lines of type in the composing stick to increase the vertica ...
and controlling.


Levels

Most organizations have three management levels: first-level, middle-level, and top-level managers. First-line managers are the lowest level of management and manage the work of nonmanagerial individuals who are directly involved with the production or creation of the organization's products. First-line managers are often called supervisors, but may also be called line managers, office managers, or even foremen. Middle managers include all levels of management between the first-line level and the top level of the organization. These managers manage the work of first-line managers and may have titles such as department head, project leader, plant manager, or division manager. Top managers are responsible for making organization-wide decisions and establishing the plans and goals that affect the entire organization. These individuals typically have titles such as executive vice president, president, managing director, chief operating officer, chief executive officer, or chairman of the board. These managers are classified in a hierarchy of authority, and perform different tasks. In many organizations, the number of managers in every level resembles a pyramid. Each level is explained below in specifications of their different responsibilities and likely job titles.


Top

The top or senior layer of management consists of the
board of directors A board of directors is a group of people who jointly supervise the activities of an organization, which can be either a for-profit or a nonprofit organization such as a business, nonprofit organization, or a government agency. The powers, dut ...
(including
non-executive directorA non-executive director (abbreviated to non-exec, NED or NXD), independent director or external director is a member of the board of directors of a company or organisation, but not a member of the executive management team. They are not employees of ...
s,
executive director An executive director is a member of a board of directors for an organisation, but the meaning of the term varies between countries. United States In the US, an executive director is a chief executive officer (CEO) or managing director of an o ...
s and
independent director An independent director (also sometimes known as an outside director) is a director (member) of a board of directors who does not have a material or pecuniary relationship with company or related persons, except sitting fees. In the US, independ ...
s), president, vice-president,
CEO A chief executive officer (CEO), chief administrator, or just chief executive (CE), is one of a number of corporate executives in charge of managing an organization especially an independent legal entity such as a company or nonprofit institutio ...
s and other members of the C-level executives. Different organizations have various members in their C-suite, which may include a
chief financial officer The chief financial officer (CFO) is officer of a company that has primary responsibility for managing the company's finances, including financial planning, management of financial risks, record-keeping, and financial reporting. In some sectors, t ...
,
chief technology officer A chief technical officer (CTO), sometimes known as a chief technology officer or chief technologist, is an executive-level position in a company or other entity whose occupation is focused on the scientific and technological issues within an orga ...
, and so on. They are responsible for controlling and overseeing the operations of the entire organization. They set a "
tone at the top"Tone at the top" is a term that originated in the field of accounting and is used to describe an organization's general ethical climate, as established by its board of directors, audit committee, and senior management. Having good tone at the top is ...
" and develop strategic plans, company policies, and make decisions on the overall direction of the organization. In addition, top-level managers play a significant role in the mobilization of outside resources. Senior managers are accountable to the shareholders, the general public and to public bodies that oversee corporations and similar organizations. Some members of the senior management may serve as the public face of the organization, and they may make speeches to introduce new strategies or appear in marketing. The board of directors is typically primarily composed of non-executives who owe a
fiduciary 300px, The court of chancery, which governed fiduciary relations in England prior to the ''Judicature Acts'' A fiduciary is a person who holds a legal or ethical relationship of trust with one or more other parties (person or group of persons). Typi ...
duty to shareholders and are not closely involved in the day-to-day activities of the organization, although this varies depending on the type (e.g., public versus private), size and culture of the organization. These directors are theoretically liable for breaches of that duty and typically insured under
directors and officers liability insuranceDirectors and officers liability Insurance (also written "directors’ and officers’ liability insurance"; often called "D&O") is liability insurance payable to the directors and officers of a company, or to the organization(s) itself, as indemnifi ...
.
Fortune 500 The ''Fortune'' 500 is an annual list compiled and published by ''Fortune'' magazine that ranks 500 of the largest United States corporations by total revenue for their respective fiscal years. The list includes publicly held companies, along wit ...
directors are estimated to spend 4.4 hours per week on board duties, and median compensation was $212,512 in 2010. The board sets corporate strategy, makes major decisions such as major acquisitions, and hires, evaluates, and fires the top-level manager (
chief executive officer A chief executive officer (CEO), chief administrator, or just chief executive (CE), is one of a number of corporate executives in charge of managing an organization especially an independent legal entity such as a company or nonprofit institutio ...
or CEO). The CEO typically hires other positions. However, board involvement in the hiring of other positions such as the
chief financial officer The chief financial officer (CFO) is officer of a company that has primary responsibility for managing the company's finances, including financial planning, management of financial risks, record-keeping, and financial reporting. In some sectors, t ...
(CFO) has increased. In 2013, a survey of over 160 CEOs and directors of public and private companies found that the top weaknesses of CEOs were "
mentoring Mentorship is the influence, guidance, or direction given by a mentor. In an organizational setting, a mentor influences the personal and professional growth of a mentee. Most traditional mentorships involve having senior employees mentor more ...
skills" and "board engagement", and 10% of companies never evaluated the CEO. The board may also have certain employees (e.g.,
internal auditorAn internal auditor is an auditor who is appointed by the shareholders of the company in order to carry out the internal audit function. Generally an employee of the company acts as an internal auditor, whereas some companies appoint an external exp ...
s) report to them or directly hire independent contractors; for example, the board (through the
audit committee#REDIRECT Audit committee {{R from other capitalisation ...
) typically selects the
auditorAn auditor is a person or a firm appointed by a company to execute an audit.Practical Auditing, Kul Narsingh Shrestha, 2012, Nabin Prakashan, Nepal To act as an auditor, a person should be certified by the regulatory authority of accounting and audit ...
. Helpful skills of top management vary by the type of organization but typically include a broad understanding of competition, world economies, and politics. In addition, the CEO is responsible for implementing and determining (within the board's framework) the broad policies of the organization. Executive management accomplishes the day-to-day details, including: instructions for preparation of department budgets, procedures, schedules; appointment of middle level executives such as department managers; coordination of departments; media and governmental relations; and shareholder communication.


Middle

Consist of
general manager A general manager (GM) is an executive who has overall responsibility for managing both the revenue and cost elements of a company's income statement, known as profit & loss (P&L) responsibility. A general manager usually oversees most or all of ...
s, branch managers and department managers. They are accountable to the top management for their department's function. They devote more time to organizational and directional functions. Their roles can be emphasized as executing organizational plans in conformance with the company's policies and the objectives of the top management, they define and discuss information and policies from top management to lower management, and most importantly they inspire and provide guidance to lower-level managers towards better performance. Middle management is the midway management of a categorized organization, being secondary to the senior management but above the deepest levels of operational members. An operational manager may be well-thought-out by middle management or may be categorized as non-management operate, liable to the policy of the specific organization. The efficiency of the middle level is vital in any organization since they bridge the gap between top level and bottom level staffs. Their functions include: * Design and implement effective group and inter-group work and information systems. * Define and monitor group-level performance indicators. * Diagnose and resolve problems within and among workgroups. * Design and implement reward systems that support cooperative behavior. They also make decision and share ideas with top managers.


Lower

Lower managers include
supervisor A supervisor, or also known as foreman, boss, overseer, facilitator, monitor, area coordinator, or sometimes gaffer, is the job title of a low level management position that is primarily based on authority over a worker or charge of a workplace. A ...
s, section leaders, forepersons and team leaders. They focus on controlling and directing regular employees. They are usually responsible for assigning employees' tasks, guiding and supervising employees on day-to-day activities, ensuring the quality and quantity of production and/or service, making recommendations and suggestions to employees on their work, and channeling employee concerns that they cannot resolve to mid-level managers or other administrators. First-level or "front line" managers also act as role models for their employees. In some types of work, front line managers may also do some of the same tasks that employees do, at least some of the time. For example, in some restaurants, the front line managers will also serve customers during a very busy period of the day. Front-line managers typically provide: * Training for new employees * Basic supervision * Motivation * Performance feedback and guidance Some front-line managers may also provide career planning for employees who aim to rise within the organization.


Training

Colleges and universities around the world offer bachelor's degrees, graduate degrees, diplomas and certificates in management, generally within their colleges of business, business schools or faculty of management but also in other related departments. In the 2010s, there has been an increase in online management education and training in the form of electronic
educational technology Educational technology (commonly abbreviated as EduTech, or EdTech) is the combined use of computer hardware, software, and educational theory and practice to facilitate learning. When referred to with its abbreviation, EdTech, it is often referr ...
( also called e-learning). Online education has increased the accessibility of management training to people who do not live near a college or university, or who cannot afford to travel to a city where such training is available.


Requirement

While some professions require academic credentials in order to work in the profession (e.g., law, medicine, engineering, which require, respectively the
Bachelor of Law Bachelor of Laws ( la, Legum Baccalaureus; LL.B.) is an undergraduate law degree in the United Kingdom and most common law jurisdictionsexcept the United States. It historically served this purpose in North America as well but was phased out in fav ...
,
Doctor of Medicine Doctor of Medicine (abbreviated M.D., from the Latin ''Medicinae Doctor'') is a medical degree, the meaning of which varies between different jurisdictions. In the United States, and some other countries, the M.D. denotes a professional graduate d ...
and
Bachelor of Engineering A Bachelor of Engineering (abbreviated as B.E., B.Eng. or B.A.I. in Latin form) is a first professional undergraduate academic degree awarded to a student after three to five years of studying engineering at an accredited university. In the UK, a B. ...
degrees), management and administration positions do not necessarily require the completion of academic degrees. Some well-known senior executives in the US who did not complete a degree include
Steve Jobs Steven Paul Jobs (; February 24, 1955 – October 5, 2011), known as Steve Jobs, was an American business magnate, industrial designer, investor, and media proprietor. He was the chairman, the chief executive officer (CEO), and a co-founder of ...

Steve Jobs
,
Bill Gates William Henry Gates III (born October 28, 1955) is an American business magnate, software developer, investor, author, landowner and philanthropist. He is a co-founder of Microsoft Corporation. During his career at Microsoft, Gates held the ...
and
Mark Zuckerberg Mark Elliot Zuckerberg (; born ) is an American media magnate, internet entrepreneur, and philanthropist. He is known for co-founding Facebook, Inc. and serves as its chairman, chief executive officer, and controlling shareholder. He also is ...
. However, many managers and executives have completed some type of business or management training, such as a
Bachelor of CommerceA Bachelor of Commerce (abbreviated BComm or BCom; also, ''baccalaureates commercii'') is an undergraduate degree in business, usually awarded in Canada, Australia, India, Sri Lanka, Pakistan, Ireland, New Zealand, Ghana, South Africa, Myanmar, Egypt ...
or a
Master of Business Administration The Master of Business Administration (MBA; also Master's in Business Administration) degree originated in the United States in the early 20th century when the country industrialized and companies sought scientific management. The core courses i ...
degree. Some major organizations, including companies, not-for-profit organizations and governments, require applicants to managerial or executive positions to hold at minimum
bachelor's degree A bachelor's degree (from Middle Latin ''baccalaureus'') or baccalaureate (from Modern Latin ''baccalaureatus'') is an undergraduate academic degree awarded by colleges and universities upon completion of a course of study lasting five to seven y ...
in a field related to administration or management, or in the case of business jobs, a Bachelor of Commerce or a similar degree.


Undergraduate

At the undergraduate level, the most common business programs are the
Bachelor of Business Administration The Bachelor of Business Administration (BBA) is a bachelor's degree in business administration. In the United States, the degree is conferred after four years of full-time study in one or more areas of business concentrations. In Europe, the d ...
(BBA) and
Bachelor of CommerceA Bachelor of Commerce (abbreviated BComm or BCom; also, ''baccalaureates commercii'') is an undergraduate degree in business, usually awarded in Canada, Australia, India, Sri Lanka, Pakistan, Ireland, New Zealand, Ghana, South Africa, Myanmar, Egypt ...
(B.Com.). These typically comprise a four-year program designed to give students an overview of the role of managers in planning and directing within an organization. Course topics include accounting, financial management, statistics, marketing, strategy, and other related areas. There are many other undergraduate degrees that include the study of management, such as
Bachelor of Arts Bachelor of Arts (BA or AB; from the Latin ' or ') is the holder of a bachelor's degree awarded for an undergraduate program in the arts and sciences. A Bachelor of Arts degree course is generally completed in three or four years, depending on th ...
degrees with a major in
business administration Business administration (also known as business management) is the administration of a commercial enterprise. It includes all aspects of overseeing and supervising business operations. From the point of view of management and leadership, it also c ...
or management and Bachelor of Public Administration (B.P.A), a degree designed for individuals aiming to work as
bureaucrat A bureaucrat is a member of a bureaucracy and can compose the administration of any organization of any size, although the term usually connotes someone within an institution of government or corporate. The term ''bureaucrat'' derives from "burea ...
s in the
government jobs The public sector (also called the state sector) is the part of the economy composed of both public services and public enterprises. Public sectors include public goods and governmental services such as the military, law enforcement, infrastructu ...
. Many colleges and universities also offer certificates and diplomas in business administration or management, which typically require one to two years of full-time study. Note that to manage technological areas, one often needs an undergraduate degree in a STEM-area.


Graduate

At the graduate level students aiming at careers as managers or executives may choose to specialize in major subareas of management or business administration such as
entrepreneurship Entrepreneurship is the creation or extraction of value. With this definition, entrepreneurship is viewed as change, generally entailing risk beyond what is normally encountered in starting a business, which may include other values than simply e ...
,
human resources Human resources is the set of people who make up the workforce of an organization, business sector, industry, or economy. A narrower concept is human capital, the knowledge and skills which the individuals command. Similar terms include manpowe ...
,
international business International business refers to the trade of goods, services, technology, capital and/or knowledge across national borders and at a global or transnational scale. It involves cross-border transactions of goods and services between two or more co ...
,
organizational behavior Organizational behavior (OB) or organisational behaviour is the: "study of human behavior in organizational settings, the interface between human behavior and the organization, and the organization itself".Moorhead, G., & Griffin, R. W. (1995). ...
,
organizational theory Organizational theory consists of many approaches to organizational analysis. Organizations are defined as social units comprising people who are managed in such a way as to enable them to meet organizational needs, pursue collective goals, and ada ...
,
strategic management In the field of management, strategic management involves the formulation and implementation of the major goals and initiatives taken by an organization's managers on behalf of stakeholders, based on consideration of resources and an assessment ...
,
accounting Accounting or Accountancy is the measurement, processing, and communication of financial and non financial information about economic entities such as businesses and corporations. Accounting, which has been called the "language of business", me ...
,
corporate finance Corporate finance is the area of finance that deals with sources of funding, the capital structure of corporations, the actions that managers take to increase the value of the firm to the shareholders, and the tools and analysis used to allocate f ...
, entertainment, global management,
healthcare management Health administration, healthcare administration, healthcare management or hospital management is the field relating to leadership, management, and administration of public health systems, health care systems, hospitals, and hospital networks in ...
,
investment management Investment management is the professional asset management of various securities, including shareholdings, bonds, and other assets, such as real estate, in order to meet specified investment goals for the benefit of investors. Investors may be ins ...
, sustainability and
real estate Real estate is property consisting of land and the buildings on it, along with its natural resources such as crops, minerals or water; immovable property of this nature; an interest vested in this (also) an item of real property, (more general ...
. A
Master of Business Administration The Master of Business Administration (MBA; also Master's in Business Administration) degree originated in the United States in the early 20th century when the country industrialized and companies sought scientific management. The core courses i ...
(MBA) is the most popular professional degree at the master's level and can be obtained from many universities in the United States. MBA programs provide further education in management and leadership for graduate students. Other master's degrees in business and management include
Master of Management The Master of Management (MM, MBM,MIM, MMgt) is a post-graduate master’s degree awarded to students who normally complete a one- to two-year program of graduate level coursework in business management at an accredited academic institution. As ...
(MM) and the
Master of Science Master or masters may refer to: Ranks or titles *Ascended master, a term used in the Theosophical religious tradition to refer to spiritually enlightened beings who in past incarnations were ordinary humans *Grandmaster (chess), National Master, I ...
(M.Sc.) in business administration or management, which is typically taken by students aiming to become researchers or professors. There are also specialized master's degrees in administration for individuals aiming at careers outside of business, such as the
Master of Public Administration The Master of Public Administration (M.P.Adm., M.P.A., or MPA) is a professional graduate degree in public administration, similar to the Master of Business Administration but with an emphasis on the issues of public services. Overview The MP ...
(MPA) degree (also offered as a
Master of Arts A Master of Arts ( la, Magister Artium or ''Artium Magister''; abbreviated MA or AM) is the holder of a master's degree awarded by universities in many countries. The degree is usually contrasted with that of Master of Science. Those admitted to ...
in
Public Administration#REDIRECT Public administration#REDIRECT Public administration {{Redirect category shell, 1= {{R from other capitalisation ...
{{Redirect category shell, 1= {{R from other capitalisation ...
in some universities), for students aiming to become managers or executives in the public service and the
Master of Health Administration The Master of Health Administration (MHA or M.H.A.), or Master of Healthcare Administration, is a master's-level professional degree granted to students who complete a course of study in the knowledge and competencies needed for careers in health ad ...
, for students aiming to become managers or executives in the health care and hospital sector. Management doctorates are the most advanced
terminal degreeA terminal degree is a university degree that can signify one of two outcomes. In some cases, it is the highest degree that can be awarded in a specific academic or professional track. In other cases, it is a degree that is awarded when a candidate ...
s in the field of business and management. Most individuals obtaining management doctorates take the programs to obtain the training in research methods, statistical analysis and writing academic papers that they will need to seek careers as researchers, senior consultants and/or professors in business administration or management. There are three main types of management doctorates: the
Doctor of ManagementThe Doctor of Management (DM) is a professional doctorate with a degree focus in management, leadership, and organizational topics. The intention of the DM is to advance the skills of professionals in research, analysis, theory, and practice in organ ...
(D.M.), the
Doctor of Business Administration The Doctor of Business Administration (commonly abbreviated as D.B.A., DBA, DrBA, or Dr.B.A) is a research doctorate awarded on the basis of advanced study, examinations, project work and research in business administration. The D.B.A. is a terminal ...
(D.B.A.), and the Ph.D. in Business Administration or Management. In the 2010s, doctorates in business administration and management are available with many specializations.


Good practices

While management trends can change so fast, the long-term trend in management has been defined by a market embracing diversity and a rising service industry. Managers are currently being trained to encourage greater equality for minorities and women in the workplace, by offering increased flexibility in working hours, better retraining, and innovative (and usually industry-specific) performance markers. Managers destined for the service sector are being trained to use unique measurement techniques, better worker support and more charismatic leadership styles. Human resources finds itself increasingly working with management in a training capacity to help collect management data on the success (or failure) of management actions with employees.


Evidence-based management

Evidence-based management Evidence-based management (EBMgt) is an emerging movement to explicitly use the current, best evidence in management and decision-making. It is part of the larger movement towards evidence-based practices. Overview Evidence-based management entail ...
is an emerging movement to use the current, best evidence in management and
decision-making In psychology, decision-making (also spelled decision making and decisionmaking) is regarded as the cognitive process resulting in the selection of a belief or a course of action among several possible alternative options, it could be either rati ...
. It is part of the larger movement towards
evidence-based practices Evidence-based practice (EBP) is the idea that occupational practices ought to be based on scientific evidence. That at first sight may seem to be obviously desirable, but the proposal has been controversial. Evidence-based practices have been ga ...
. Evidence-based management entails managerial decisions and organizational practices informed by the best available evidence. As with other evidence-based practice, this is based on the three principles of: 1) published peer-reviewed (often in management or social science journals) research evidence that bears on whether and why a particular management practice works; 2) judgement and experience from contextual management practice, to understand the organization and interpersonal dynamics in a situation and determine the risks and benefits of available actions; and 3) the preferences and values of those affected.


History

Some see management as a late-modern (in the sense of late
modernity Modernity, a topic in the humanities and social sciences, is both a historical period (the modern era) and the ensemble of particular socio-cultural norms, attitudes and practices that arose in the wake of the Renaissancein the "Age of Reason" of ...
) conceptualization. On those terms it cannot have a pre-modern history – only harbingers (such as
stewards Steward may refer to: Positions or roles * Steward (office), a representative of a monarch * Horse show steward * Steward, an official in horse or car racing * Steward, another term for majordomo * Steward, an older term for a male flight attend ...
). Others, however, detect management-like thought among ancient
Sumer Sumer ()The name is from Akkadian '; Sumerian ''kig̃ir'', written and ,approximately "land of the civilized kings" or "native land". means "native, local", iĝir NATIVE (7x: Old Babylonian)from ''The Pennsylvania Sumerian Dictionary''). Li ...
ian traders and the builders of the pyramids of
ancient Egypt Ancient Egypt was a civilization of ancient North Africa, concentrated along the lower reaches of the Nile River, situated in the place that is now the country Egypt. Ancient Egyptian civilization followed prehistoric Egypt and coalesced ar ...
. Slave-owners through the centuries faced the problems of exploiting/motivating a dependent but sometimes unenthusiastic or recalcitrant workforce, but many pre-industrial enterprises, given their small scale, did not feel compelled to face the issues of management systematically. However,
innovation 190px, 1,093_U.S._patents_in_his_name..html" style="text-decoration: none;"class="mw-redirect" title="phonograph">Thomas Edison with phonograph. Edison was one of the most prolific inventors in history, holding List of Edison patents">1,093 U. ...
s such as the spread of
Arabic numerals Arabic numerals are the ten digits: 0, 1, 2, 3, 4, 5, 6, 7, 8 and 9. The term often implies a decimal number written using these digits (in particular when contrasted with ''Roman numerals''). However ...
(5th to 15th centuries) and the codification of double-entry book-keeping (1494) provided
tools A tool is an object that can extend an individual's ability to modify features of the surrounding environment. Although many animals use simple tools, only human beings, whose use of stone tools dates back hundreds of millennia, have been obser ...
for management assessment, planning and control. * An organisation is more stable if members have the right to express their differences and solve their conflicts within it. * While one person can begin an organisation, "it is lasting when it is left in the care of many and when many desire to maintain it". * A weak manager can follow a strong one, but not another weak one, and maintain authority. * A manager seeking to change an established organization "should retain at least a shadow of the ancient customs". With the changing workplaces of
industrial revolution The Industrial Revolution was the transition to new manufacturing processes in Europe and the United States, in the period from about 1760 to sometime between 1820 and 1840. This transition included going from hand production methods to machin ...
s in the 18th and 19th centuries,
military A military, also known collectively as armed forces, is a heavily armed, highly organized force primarily intended for warfare. It is typically officially authorized and maintained by a sovereign state, with its members identifiable by their ...
theory and practice contributed approaches to managing the newly popular
factories A factory, manufacturing plant or a production plant is an industrial site, often a complex consisting of several buildings filled with machinery, where workers manufacture items or operate machines which process each item into another. They are ...

factories
. Given the scale of most commercial operations and the lack of mechanized record-keeping and recording before the industrial revolution, it made sense for most
owners Ownership is the state or fact of exclusive rights and control over property, which may be any asset, including an object, land or real estate, intellectual property, or until the nineteenth century, human beings. Ownership involves multiple righ ...
of enterprises in those times to carry out management functions by and for themselves. But with growing size and complexity of organizations, a distinction between owners (individuals, industrial dynasties or groups of
shareholder A shareholder (also known as stockholder) is an individual or institution (including a corporation) that legally owns one or more shares of the share capital of a public or private corporation. Shareholders may be referred to as members of a corpor ...
s) and day-to-day managers (independent specialists in planning and control) gradually became more common.


Early writing

Management (according to some definitions) has existed for millennia, and several writers have produced background works that have contributed to modern management theories. Some theorists have cited ancient military texts as providing lessons for civilian managers. For example, Chinese general
Sun Tzu Sun Tzu ( ; zh, t=孫子, p=Sūnzǐ) was a Chinese general, military strategist, writer, and philosopher who lived in the Eastern Zhou period of ancient China. Sun Tzu is traditionally credited as the author of ''The Art of War'', an influentia ...
in his 6th-century BC work ''
The Art of War ''The Art of War'' is an ancient Chinese military treatise dating from the Late Spring and Autumn Period (roughly 5th century BC). The work, which is attributed to the ancient Chinese military strategist Sun Tzu ("Master Sun", also spelled Su ...
'' recommends (when re-phrased in modern terminology) being aware of and acting on strengths and weaknesses of both a manager's organization and a foe's. The writings of influential
Chinese Legalist Legalism or ''Fajia'' () is one of Sima Tan's six classical schools of thought in Chinese philosophy. Literally meaning "house of administrative methods" or "standards/law" (), the Fa "school" represents several branches of what have been term ...
philosopher
Shen Buhai Shen Buhai (; c. 400c. 337) was a Chinese essayist, philosopher, and politician. He served as Chancellor of the Han state under Marquis Zhao of Han for fifteen years, from 354 BC to 337 BC. A contemporary of syncretist Shi Jiao and Legalist Shang ...
may be considered to embody a rare premodern example of abstract theory of administration. Various ancient and medieval civilizations produced "
mirrors for princes Mirrors for princes ( la, specula principum) or mirrors of princes, refer to an educational literary genre, in a loose sense of the word, of political writings during the Early Middle Ages, the Middle Ages and the Renaissance. They are part of the br ...
" books, which aimed to advise new monarchs on how to govern.
Plato Plato ( ; grc-gre, Πλάτων ''Plátōn'', in Classical Attic; 428/427 or 424/423 – 348/347 BC) was an Athenian philosopher during the Classical period in Ancient Greece, founder of the Platonist school of thought and the Academy, the ...

Plato
described job specialization in 350 BC, and
Alfarabi Abu Nasr Al-Farabi (; '; known in the West as Alpharabius; c. 872 – between 14 December, 950 and 12 January, 951)PDF version was a renowned early Islamic philosopher and jurist who wrote in the fields of political philosophy, metaphysics, ethics ...
listed several leadership traits in AD 900. Other examples include the Indian ''
Arthashastra The ''Arthaśāstra'' ( sa, अर्थशास्त्र, ) is an ancient Indian Sanskrit treatise on statecraft, economic policy and military strategy. Kautilya, also identified as Vishnugupta and Chanakya, is traditionally credited as th ...
'' by
Chanakya Chanakya (IAST: ', ) was an ancient Indian teacher, philosopher, economist, jurist and royal advisor. He is traditionally identified as Kauṭilya or Vishnugupta, who authored the ancient Indian political treatise, the ''Arthashastra'', a text ...
(written around 300 BC), and ''
The Prince ''The Prince'' ( it, Il Principe ; la, De Principatibus) is a 16th-century political treatise written by Italian diplomat and political theorist Niccolò Machiavelli as an instruction guide for new princes and royals. The general theme of ''The Pri ...
'' by Italian author
Niccolò Machiavelli Niccolò di Bernardo dei Machiavelli (, ; ; 3 May 1469 – 21 June 1527) was an Italian Renaissance diplomat, philosopher and writer, best known for ''The Prince'' (''Il Principe''), written in 1513. He has often been called the father of modern ...
(c. 1515). Written in 1776 by
Adam Smith Adam Smith ( 1723 – 17 July 1790) was a Scottish economist, philosopher as well as a moral philosopher, a pioneer of political economy, and a key figure during the Scottish Enlightenment, also known as ''The Father of Economics'' * * * ...
, a Scottish
moral philosopher Ethics or moral philosophy is a branch of philosophy that "involves systematizing, defending, and recommending concepts of right and wrong behavior".''Internet Encyclopedia of Philosophy'"Ethics"/ref> The field of ethics, along with aesthetics, c ...
, ''
The Wealth of Nations ''An Inquiry into the Nature and Causes of the Wealth of Nations'', generally referred to by its shortened title ''The Wealth of Nations'', is the ''magnum opus'' of the Scottish economist and moral philosopher Adam Smith. First published in 17 ...
'' discussed efficient organization of work through
division of labour The division of labour is the separation of tasks in any economic system or organisation so that participants may specialise (specialisation). Individuals, organisations, and nations are endowed with or acquire specialised capabilities and either ...
. Smith described how changes in processes could boost productivity in the manufacture of
pins A pin is a device used for fastening objects or material together, and can have three sorts of body: a shaft of a rigid inflexible material meant to be inserted in a slot, groove, or hole (as with pivots, hinges, and jigs); a shaft connected to ...
. While individuals could produce 200 pins per day, Smith analyzed the steps involved in manufacture and, with 10 specialists, enabled production of 48,000 pins per day.


19th century

Classical economists such as
Adam Smith Adam Smith ( 1723 – 17 July 1790) was a Scottish economist, philosopher as well as a moral philosopher, a pioneer of political economy, and a key figure during the Scottish Enlightenment, also known as ''The Father of Economics'' * * * ...
(1723–1790) and
John Stuart Mill John Stuart Mill (20 May 1806 – 7 May 1873), usually cited as J. S. Mill, was an English philosopher, political economist, Member of Parliament, and civil servant. One of the most influential thinkers in the history of classical liberalism, ...
(1806–1873) provided a theoretical background to
resource allocation In economics, resource allocation is the assignment of available resources to various uses. In the context of an entire economy, resources can be allocated by various means, such as markets, or planning. In project management, resource allocation o ...

resource allocation
,
production (economics)Production is a process of combining various material inputs and immaterial inputs (plans, know-how) in order to make something for consumption (output). It is the act of creating an output, a good or service which has value and contributes to the ut ...
, and
pricing Pricing is the process whereby a business sets the price at which it will sell its products and services, and may be part of the business's marketing plan. In setting prices, the business will take into account the price at which it could acquir ...
issues. About the same time, innovators like
Eli Whitney Eli Whitney Jr. (December 8, 1765January 8, 1825) was an American inventor, widely known for inventing the cotton gin, one of the key inventions of the Industrial Revolution and shaped the economy of the Antebellum South. Whitney's invention ...
(1765–1825),
James Watt James Watt (; 30 January 1736 (19 January 1736 OS) – 25 August 1819) was a Scottish inventor, mechanical engineer, and chemist who improved on Thomas Newcomen's 1712 Newcomen steam engine with his Watt steam engine in 1776, which was fundam ...

James Watt
(1736–1819), and
Matthew Boulton Matthew Boulton (; 3 September 172817 August 1809) was an English manufacturer and business partner of Scottish engineer James Watt. In the final quarter of the 18th century, the partnership installed hundreds of Boulton & Watt steam engines, ...
(1728–1809) developed elements of technical production such as standardization, quality control, quality-control procedures, cost accounting, cost-accounting, interchangeability of parts, and plan, work-planning. Many of these aspects of management existed in the pre-1861 slave-based sector of the US economy. That environment saw 4 million people, as the contemporary usages had it, "managed" in profitable quasi-mass production before wage slavery eclipsed chattel slavery. Salaried managers as an identifiable group first became prominent in the late 19th century. As large corporations began to overshadow small family businesses the need for personnel management positions became more necessary. Businesses grew into large corporations and the need for clerks, bookkeepers, secretaries and managers expanded. The demand for trained managers led college and university administrators to consider and move forward with plans to create the first schools of business on their campuses.


20th century

At the turn of the twentieth century the need for skilled and trained managers had become increasingly apparent. The demand occurred as personnel departments began to expand rapidly. In 1915, less than one in twenty manufacturing firms had a dedicated personnel department. By 1929 that number had grown to over one-third. Formal management education became standardized at colleges and universities. Colleges and universities capitalized on the needs of corporations by forming business schools and corporate placement departments. This shift toward formal business education marked the creation of a corporate elite in the US. By about 1900 one finds managers trying to place their theories on what they regarded as a thoroughly scientific basis (see scientism for perceived limitations of this belief). Examples include Henry R. Towne's ''Science of management'' in the 1890s, Frederick Winslow Taylor's ''The Principles of Scientific Management'' (1911), Lillian Moller Gilbreth, Lillian Gilbreth's ''Psychology of Management'' (1914), Frank Bunker Gilbreth, Frank and Lillian Moller Gilbreth, Lillian Gilbreth's ''Applied motion study'' (1917), and Henry L. Gantt's charts (1910s). J. Duncan wrote the first college management-textbook in 1911. In 1912 Yoichi Ueno introduced Taylorism to Japan and became the first management consultant of the "Japanese-management style". His son Ichiro Ueno pioneered Japanese quality assurance. The first comprehensive theories of management appeared around 1920. The
Harvard Business School Harvard Business School (HBS) is the graduate business school of Harvard University in Boston, Massachusetts. It is consistently ranked among the top business schools in the world and offers a large full-time MBA program, management-related doctor ...
offered the first
Master of Business Administration The Master of Business Administration (MBA; also Master's in Business Administration) degree originated in the United States in the early 20th century when the country industrialized and companies sought scientific management. The core courses i ...
degree (MBA) in 1921. People like
Henri Fayol Henri Fayol (29 July 1841 – 19 November 1925) was a French mining engineer, mining executive, author and director of mines who developed a general theory of business administration that is often called Fayolism.Morgen Witzel (2003). ''Fifty key f ...
(1841–1925) and Alexander Hamilton Church, Alexander Church (1866–1936) described the various branches of management and their inter-relationships. In the early-20th century, people like Ordway Tead (1891–1973), Walter Dill Scott, Walter Scott (1869–1955) and J. Mooney applied the principles of psychology to management. Other writers, such as Elton Mayo (1880–1949), Mary Follett, Mary Parker Follett (1868–1933), Chester Barnard (1886–1961), Max Weber (1864–1920), who saw what he called the "administrator" as
bureaucrat A bureaucrat is a member of a bureaucracy and can compose the administration of any organization of any size, although the term usually connotes someone within an institution of government or corporate. The term ''bureaucrat'' derives from "burea ...
, Rensis Likert (1903–1981), and Chris Argyris (born 1923) approached the phenomenon of management from a sociology, sociological perspective. The 1930s and 1940s saw the development of a militarization trend in management in parts of Eurasia - both the NKVD (in the Soviet Union) and the Schutzstaffel , SS (in the Greater Germanic Reich), for example, managed labor camps as industrial enterprises using slave labor supervised by uniformed cadres. Military habits persisted in some management circles.
Peter Drucker Peter Ferdinand Drucker (; ; November 19, 1909 – November 11, 2005) was an Austrian management consultant, educator, and author, whose writings contributed to the philosophical and practical foundations of the modern business corporation. H ...
(1909–2005) wrote one of the earliest books on applied management: ''Concept of the Corporation'' (published in 1946). It resulted from Alfred Sloan (chairman of General Motors Corporation, General Motors until 1956) commissioning a study of the organisation. Drucker went on to write 39 books, many in the same vein. H. Dodge, Ronald Fisher (1890–1962), and Thornton C. Fry introduced statistical techniques into management-studies. In the 1940s, Patrick Maynard Stuart Blackett, Patrick Blackett worked in the development of the applied mathematics, applied-mathematics science of operations research, initially for military operations. Operations research, sometimes known as "management science" (but distinct from Taylor's scientific management), attempts to take a science, scientific approach to solving decision-problems, and can apply directly to multiple management problems, particularly in the areas of logistics and operations. Some of the later 20th-century developments include the theory of constraints (introduced in 1984), management by objectives (systematised in 1954), business process reengineering, re-engineering (early 1990s), Six Sigma (1986), management by walking around (1970s), the Viable system model (1972), and various information technology, information-technology-driven theories such as agile software development (so-named from 2001), as well as group-management theories such as Cog's Ladder (1972) and the notion of Tom Peters, "thriving on chaos" (1987). As the general recognition of managers as a class solidified during the 20th century and gave perceived practitioners of the art/science of management a certain amount of prestige, so the way opened for business philosophies and popular management theories, popularised systems of management ideas to peddle their wares. In this context many management fads may have had more to do with pop psychology than with scientific theories of management. Business management includes the following branches: # Finance, financial management # human resource management # Management cybernetics # information technology management (responsible for management information systems ) # marketing management # operations management and Manufacturing, production management #
strategic management In the field of management, strategic management involves the formulation and implementation of the major goals and initiatives taken by an organization's managers on behalf of stakeholders, based on consideration of resources and an assessment ...


21st century

In the 21st century observers find it increasingly difficult to subdivide management into functional categories in this way. More and more processes simultaneously involve several categories. Instead, one tends to think in terms of the various processes, tasks, and objects subject to management. Branches of management theory also exist relating to Non-profit organization, nonprofits and to government: such as public administration, public management, and educational management. Further, management programs related to civil society, civil-society organizations have also spawned programs in nonprofit management and social entrepreneurship. Note that many of the assumptions made by management have come under attack from business ethics, business-ethics viewpoints, critical management studies, and anti-corporate activism. As one consequence, workplace democracy (sometimes referred to as Workers' self-management) has become both more common and more advocated, in some places distributing all management functions among workers, each of whom takes on a portion of the work. However, these models predate any current political issue, and may occur more naturally than does a command hierarchy. All management embraces to some degree a democratic principle—in that in the long term, the majority of workers must support management. Otherwise, they leave to find other work or go on strike. Despite the move toward workplace democracy, command-and-control organization structures remain commonplace as ''de facto'' organization structures. Indeed, the entrenched nature of command-and-control is evident in the way that recent layoffs have been conducted with management ranks affected far less than employees at the lower levels. In some cases, management has even rewarded itself with bonuses after laying off lower-level workers. According to leadership-academic Manfred F.R. Kets de Vries, a contemporary senior-management team will almost inevitably have some personality disorders. Manfred F.R. Kets de Vries: "The Dark Side of Leadership" – ''Business Strategy Review'' 14(3), Autumn p. 26 (2003).


Nature of work

In profitable organizations, management's primary function is the satisfaction of a range of Stakeholder (corporate), stakeholders. This typically involves making a profit (for the shareholders), creating valued products at a reasonable cost (for customers), and providing great employment opportunities for employees. In nonprofit management, add the importance of keeping the faith of donors. In most models of management and governance, shareholders vote for the
board of directors A board of directors is a group of people who jointly supervise the activities of an organization, which can be either a for-profit or a nonprofit organization such as a business, nonprofit organization, or a government agency. The powers, dut ...
, and the board then hires senior management. Some organizations have experimented with other methods (such as employee-voting models) of selecting or reviewing managers, but this is rare.


Topics


Basics

According to Henri Fayol, Fayol, management operates through five basic functions: planning, organizing, coordinating, commanding, and controlling. * Planning: Deciding what needs to happen in the future and generating plans for action (deciding in advance). * Organizing (or staffing): Making sure the human and nonhuman resources are put into place. * Commanding (or leading): Determining what must be done in a situation and getting people to do it. * Coordinating: Creating a structure through which an organization's goals can be accomplished. * Controlling: Checking progress against plans.


Basic roles

* Interpersonal: roles that involve coordination and interaction with employees Figurehead, leader * Informational: roles that involve handling, sharing, and analyzing information Nerve centre, disseminator * Decision: roles that require decision-making Entrepreneur, negotiator, allocator


Skills

Management skills include: * political: used to build a power base and to establish personal network, connections * conceptual: used to analyze complex situations * interpersonal: used to communicate, motivate, mentor and delegate * diagnostic: ability to mental image, visualize appropriate responses to a situation * leadership: ability to lead and to provide guidance to a specific group ** cross-cultural leadership: ability to understand the effects of culture on leadership style * technical: expertise in one's particular functional area. * behavioral: perception towards others.


Implementation of policies and strategies

* All policies and strategies must be discussed with all managerial personnel and staff. * Managers must understand where and how they can implement their policies and strategies. * A plan of action must be devised for each department. * Policies and strategies must be reviewed regularly. * Contingency plans must be devised in case the environment changes. * Top-level managers should carry out regular progress assessments. * The business requires team spirit and a good environment. * The missions, objectives, strengths and weaknesses of each department must be analyzed to determine their roles in achieving the business's mission. * The forecasting method develops a reliable picture of the business' future environment. * A planning unit must be created to ensure that all plans are consistent and that policies and strategies are aimed at achieving the same mission and objectives.


Policies and strategies in the planning process

* They give mid and lower-level managers a good idea of the future plans for each department in an organization. * A framework is created whereby plans and decisions are made. * Mid and lower-level management may add their own plans to the business's strategies.


See also

* Educational management * Engineering management * Outline of business management


References


External links

* * * {{Authority control Management, Management occupations, Leadership Organizational theory Majority–minority relations