Definition of Management, Levels and Principles of Management

Management is a process for planning, organizing, leadership, and controlling the activities of members of the organization, and the process of using other organizational resources to achieve organizational goals as specified. Understanding management in terms of various aspects, can be explained as follows.

Chapter List 

Definition of Management

1. Understanding of management in terms of art or art

Marry Parker Follett is a figure who initiates management in terms of art. Follet states that management is the art of completing work through others.

2. The understanding of management in terms of science

Luther Gulick is a figure who initiated the notion of management in terms of science. Gulick states that management is a field of knowledge that seeks systematically to understand why and how humans can work together to produce something that is beneficial to humanity.

3. The understanding of management in terms of the process

James AF Stoner is a figure who initiated the notion of management in terms of process. Stoner stated that management is a process of planning, organizing, leadership, and supervision of the activities carried out by members and the purpose of using the organization that must be determined in advance.

Also see:  Understanding of Production and Business Efforts to Increase Production Factors

Level of Management

There are three levels of management in an organization or business entity, which generally consists of top management, middle management, and executive management. The explanation of the management level, can be explained as follows.

1. Top management

Top management or top management is the highest level of management. The highest or highest level of management generally consists of a board of directors and a chief director.

The board of directors has the duty to decide very important things which are essential for the survival of the company. Top management has the duty to establish operational policies and guide interactions between the organization and the environment.

2. Middle management

Middle management or middle management generally leads a division or department. The task of middle management is developing operational plans and carrying out the tasks set by top management. Middle management has responsibilities towards top management.

3. Executive management or supervisory management

The executive management or supervisory management is the management in charge of carrying out the plans made by middle management. In addition to these tasks, the executive management also supervises workers and is responsible for middle management.

The stages of the three management, namely top, middle and executive management, are depicted in a pyramid, with top management at the top and bottom management.

The picture of the pyramid that is increasingly widened down shows that the number of people who hold positions as top management is less than those who occupy middle management and executive management.

Implementing management is responsible for middle management, middle management is responsible for top management, and top management is responsible for general meetings holding shares or company owners.

Principles in Management

The pioneer of modern management, Henry Fayol , divides the principles of management into 14 principles, as follows.

  1. Division of labor or division of labor
  2. Authority or authority
  3. Discipline or discipline
  4. Unity of command or unity of commad
  5. Unity of direction or unity of direction
  6. Prioritizing shared interests over personal interests or subordination of individual interest to the common good
  7. Remuneration or renumeration
  8. Centralization or centralization
  9. Position or the hierarchy
  10. Order or order
  11. Similarity or equity
  12. Staff stabilityor stability of staff
  13. Initiative or initiative
  14. The spirit of the corps or esprit de corps.
by Abdullah Sam
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