chapter 7 directing class 12 business studies

directing class 12 business studies

1. CH 7 - DIRECTING

2. What do you understand from this?

3. MEANING --Directing means giving instructions and guiding people in doing the work -Directing is a managerial process which takes place throughout the life of an organisation --Telling people what to do and seeing what they do is best.

4. FEATURES/CHARACTERISTICS/NATURE Directing initiates action : - It helps to take action in various functions of management. i.e PODSCORB Directing takes place at every level of management : - It is pervasive and applies in all levels i.e top, middle & low level. For ex- the superior guides his sub-ordinate to perform a work. Directing is a continuous process-Directing is a continuous activity. It takes place throughout the life of the organisation Directing flows from top to bottom :- It means that every manager can direct his immediate subordinate and take instructions from his immediate boss.

5. IMPORTANCE OF DIRECTING Directing helps to initiate action- It helps to take action in various functions of management. i.e PODSCORB Directing integrates employees efforts- it brings together goals of individuals to contribute to organisational goals. Directing guides employees to fully realise their potential- A good leader can always identify the potential of his employees and motivate them Directing facilitates introduction of needed changes in the organisation- the manager should support & motivate the employees to adjust to any new changes in the company. Effective directing helps to bring stability and balance-brings a sense of commitment & trust towards the manager.

6. PRINCIPLES OF DIRECTING 1.Maximum Individual Contribution- motivate the employees to contribute their maximum potential for achieving organizational goals. 2. Harmony of Objectives- Sometimes there is a conflict/fight between the organizational objectives and individual objectives. Directing should ensure that there is peace ,harmony and coordination between the objectives of both the parties. (company & employee) 3. Unity of Command - This principle states that a subordinate should receive instructions from only one superior at a time (confusion, conflict arises) 4. Appropriate Direction Technique- Use of suitable techniques to supervise, lead, communicate and motivate the employees based on their needs, capacity & attitude.

7. Principles of Directing- Contd.. 5. Managerial Communication -instructions are clearly conveyed to the employees in the same manner & obtain feedback. 6. Use of Informal Organization-The manager should identify informal groups and use them to communicate information. There should be a free flow of information among the seniors and the subordinates 7. Leadership -Managers should possess a good leadership quality to influence the subordinates and make them work according to employees wish. 8. Follow Through- Mangers should monitor the work & ensure employees are following the policies, procedures, and instructions.

8. ELEMENTS OF DIRECTION

9. SUPERVISION

10. I. SUPERVISION Process of checking, over-seeing, the work that is assigned by the manager to the sub-ordinate. IMPORTANCE- Supervisor maintains day-to-day contact and maintains friendly relations with workers. A good supervisor acts as a guide, friend and philosopher to the workers. Supervisor acts as a link between workers and management . Manager act as bridge between top level & low level hence it helps to avoid misunderstandings and conflicts between management and workers/employees. Supervisor plays a key role in maintaining group unity among workers & ensures peace & harmony. Supervisor ensures the work assigned should be met as per the targets & takes responsibility for task achievement and motivates his workers. Supervisor provides good on the- job training to the workers and employees. A skilled and knowledgeable supervisor can build efficient team of workers. Supervisory leadership plays a key role in influencing the workers in the organization. A supervisor with good leadership qualities can build up high morale among workers. A good supervisor analyses the work performed and gives feedback to the workers. He suggests ways and means of developing work skills.

11. II.MOTIVATION Making the sub-ordinates & influencing them in a manner to achieve the goals. TERMS- Motive – motive is an inner state that energises, activates or moves and directs behaviour towards goals. Motivation- Motivation is the process of influencing people to achieve the goals. Motivators- Motivator is the technique/tool used to motivate people in an organisation. Managers use diverse motivators like pay, bonus, promotion, recognition, praise, responsibility etc.,

12. FEATURES OF MOTIVATION Motivation is an internal feeling. The urge, drives, desires, aspirations, striving or needs of human being, which are internal, influence human behaviour. Motivation produces goal directed behaviour . (The motivator may help the employee to achieve his goal) Motivation can be either positive or negative . Positive motivation provides positive rewards like increase in pay, promotion, recognition etc., Negative motivation uses negative means like Punishment Motivation is a complex process as the individuals are heterogeneous (different for each one) in their expectations.

13. IMPORTANCE OF MOTIVATION Increases the performance of employees- satisfaction, and energy. Removing negative attitude with positive attitude & behavior. Reducing employee turnover (employee not quitting the job) Reduces absenteeism. Helps managers to introduce any new changes easily.

14. MOTIVATION PROCESS Motivation process is based on human needs. A simple model to explain motivation process is presented below.

15. MASLOW’S NEED HIERARCHY THEORY OF MOTIVATION Abraham Maslow, a well-known Psychologist in a classic paper published in 1943, outlined the elements of an overall theory of motivation. His theory was based on human needs. He felt that within every human being, there exists a hierarchy of five needs.

16. TOOLS OF MOTIVATION- -- FINANCIAL AND NON-FINANCIAL INCENTIVES FINANCIAL NON-FINANCIAL Influencing the employees to achieve the goal by giving them monetary (money related) motivation Influencing the employees to achieve the goal by giving them other benefits which does not include money. PA Y & ALLOWANCE- A good salary & incentive. PIECE WAGE SYSTEM- Higher the production- more the wages BONUS-Additional money other than salary. PROFIT SHARING-A part of firms profit given to employee STOCKS-giving a share of ownership to employees. RETIREMENT BENEFITS-Pension & Gratuity & PF. PERQUISITE S- Car, Medical & housing facility STATUS – Promotion & responsibility. GOOD WORKING ENVIRONMENT & ORGANIZATION CLIMATE . CAREER GROWTH – opportunity to improve skills. JOB ENRICHMENT-Independence , knowledge & responsibility. EMPLOYEE RECOGNITION PROGRAMME Awards & Gifts. JOB SECURITY- stable job & income. EMPLOYEE PARTICIPATION & EMPOWERMENT - allowing employees to take part in decision making.

17. LEADERSHIP As per Harold Koontz and Heinz Weihrich “ Leadership is the art or process of influencing people so that they will strive willingly and enthusiastically towards the achievement of group goals”

18. FEATURES & IMPORTANCE OF LEADERSHIP FEATURES IMPORTANCE Ability of manager to influence others To bring changes in behaviors Improves interpersonal relationship To achieve goals It is a continuous process Influences positive behavior Helps to maintain needs of individual. Helps to bring new changes. Helps to solve conflicts

19. QUALITIES OF A GOOD LEADER (8M) ( i ) Physical features : - like height, weight, health, appearance determine the physical personality of an individual. It is believed that good physical features attract people. (ii) Knowledge : A good leader should have required knowledge and competence. Only such person can instruct subordinates correctly and influence them . (iii) Integrity : A leader should posses high level of integrity and honesty. He should be a role model to others regarding the ethics and values. (iv) Initiative : A leader should have courage and volunteer to achieve tasks (v) Communication skills:-He should have the capacity to clearly explain his ideas and make the people to understand his ideas. (vi) Motivation skills: A leader should be an effective motivator. He should understand the needs of people and motivate them through satisfying their needs. (vii) Self Confidence : -high level of self confidence. He should not loose his confidence ( viii)Decisiveness : Once he is convinced about a fact, he should be firm and should not change opinions frequently. (ix) Social skills: - sociable and friendly with his colleagues and followers. He should understand people and maintain good human relations with them .  

20. LEADERSHIP STYLE Different type of leaders Autocratic (Authoritarian) -gives instruction & expects to follow orders. Does not give authority to others Democratic (Participative)- accepts suggestions & opinion of employees. Laissez faire (Free run leader) – allows his employees to work as per their wish. Bureaucratic - this leader goes by the book follows rules & policies.

21. COMMUNICATION Communication refers to process of exchange of ideas between or among persons and create understanding. Communication is transfer of information from the sender to the receiver with the information being understood by the receiver.=== Harold Koontz and Heniz Weihrich

22. COMMUNICATION PROCESS i ) Sender : Sender means person who conveys his thoughts or ideas to the receiver. (ii) Message : It is the content of ideas, feelings, suggestions, order etc. ,intended to be communicated. (iii) Encoding : It is the process of converting the message into communication symbols such as words, pictures, gestures etc., (iv) Media : It is the path through which encoded message is sent to receiver. Ex –written, face to face, phone call, internet etc., (v) Decoding : It is the process of converting encoded symbols of the sender. (vi) Receiver : The person who receives communication of the sender. (vii) Feedback : It includes all those actions of receiver indicating that he has received and understood message of sender. (viii) Noise : Noise means some obstruction or hindrance to communication. This hindrance may be caused to sender, message or receiver.  

23. IMPORTANCE OF COMMUNICATION Helps in co-ordination between all departments. Helps in smooth working of the organization through interactions. Helps in providing information for decision making. Promotes managerial efficiency and quick Effective performance Helps to build Good leadership & interact with team members. Boost morale & motivation of sub-ordinates & influence them to accomplish tasks.

24. TYPES OF COMMUNICATION- FORMAL & INFORMAL Formal communications refers to all official communications that flow through official channels in the form of orders, memos, appeals, notes, circulars, agenda, minutes etc. Pattern/Network of Formal communication- Single chain, Wheel, Free flow. Informal are usually in the form of rumours, whispers etc. They are unofficial, spontaneous, unrecorded, spread very fast and usually distorted. Grapevine is an informal channel of communication.

25. BARRIERS TO COMMUNICATION Barriers are problems or difficulties in communication. It can be classified as SEMANTIC BARRIERS PSYCHOLOGICAL BARRIERS ORGANIZATIONAL BARRIERS PERSONAL BARRIERS

26. I.SEMANTIC BARRIERS Semantic Barriers refers to problems & obstruction in the process of encoding & decoding of message into words- Badly expressed message-- badly expressed messages such as poor vocabulary & usage of wrong words. Symbols with different meanings : A word may have several meanings. Receiver has to perceive one such meaning for the word used by communicator. For example the word well has different meanings. Faulty translations : Sometimes the communications originally drafted in one language (e.g., English) need to be translated to the language understandable to workers (e.g., Hindi). Problems may occur during translation . Unclarified assumptions: A manager may communicate some information to the sub-ordinates, however the employees, may not understand it in the same manner and may assume certain things. Technical jargon : It is usually found that specialists use technical jargon(specific business terms) while communicating, Therefore the employees may not understand these jargons. Body language and gesture decoding : Every movement of body communicates some meaning. If there is no match between what is said and what is expressed in body movements, communications may be wrongly understood.

27. II.PSYCHOLOGICAL BARRIERS Is the state of mind of sender & receiver- Premature evaluation- receiver assumes his own meaning before sender completes the message. Lack of attention- poor listening. Loss by transmission (different levels Lack of Trust between parties.

28. III . ORGANIZATIONAL BARRIERS The factors related to organisation structure, authority relationships, rules and regulations may, sometimes, act as barriers to effective communication . ORGANIZATIONAL BARRIERS Organisational policy : if the organization has a centralised system the communication will be limited hence the organisational policy should be supportive to ensure free flow of communication, Rules and regulations : Strict rules and procedures may be a problem to communication. Following Formal communication may be time consuming & cause delay in results. Status : Status of superior may create psychological distance between him and his subordinates. A status conscious manager who is conscious of his status may not allow his employees to express their feelings openly. Complexity in organisation structure : In an organisation where there is different number of managerial levels, communication gets delayed. Organisational facilities : If facilities for smooth, clear and timely communications are not provided communications may be held back. Facilities like frequent meetings, suggestion box, complaint box

29. IV . PERSONAL BARRIERS Fear of challenge Poor Confidence Not willing to communicate Lack of Incentives

30. How to overcome barriers in communication? Clarify the ideas before communication :- the problem to be communicated to subordinates should be clear Communicate according to the needs of receiver: The level of understanding of receiver should be clear to the communicator . Consult others before communicating :-check with others. Be aware of languages, tone and content of message: Convey things of help and value to listeners: - It is important to know the interests and needs of the receiver. Ensure proper feedback: Communicate for present as well as future: Follow up communications

31. END OF CHAPTER