BBA Fundamental of Management Notes

BBA Fundamental of Management Notes


BBA Fundamental of Management Notes :- All BBA 1st semester students’s we are provide the study material and r of BBA . and in this article you can find few year notes. BBA Fundamentals of Management notes 2020 today our team presented BBA Fundamentals of Management previous year question paper for you practise. and special links related to the BBA Management and all subject question paper and study material. we provided mock paper, question paper, simple paper, unsold paper last five year question paper. ( BBA Fundamental of Management Notes )

BBA Fundamental of Management Notes

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Introducation Meaning and Defination of Management

Management in simple word can be defined as “management is an art of getting things done.”


Management is also defined as, “what a manager does?”


Management is a discipline which represents a body of knowledge and practice which can be taught in education institution.


“Simple, Sir Henry Fayol defined the management. As “Management is a process of planning, organizing, Staffing, directing and controlling.”

BBA Notes Introducation Meaning and Defination of Management

Thus, management is certainly more than just getting things done through others. It involves creating a Climate or environment in the organization where by individuals are motivated to work efficiently for the achievement of certain objectives.

Importance of Management

( BBA Fundamental of Management Notes )

There is no substitute for management in modern organization. Management is much important for every organization.

e.g. “An organization may have raw material, machines human resources and other factors, but these can’t produce satisfying products unless they are efficiently managed.”

  1.  Determination of Objectives : The objective of any organization are laid down by the management. These objectives are put into writing and communicated to all other in the organization. No organization can succeed without identifying its objectives.
  2. Achievement of Objectives : Management is an important force for the achievement of the objectives of any group. The perfect combination of human resources is used by the managers. They direct the activities of the individual in the use of material resources for the achievement of predetermined goals.
  3. Effective use of Resources : The role of professional management has increased these days. They can help in the efficient use of various resources and increase the productivity of the enterprise. So, the expert managers can lead the business towards growth and prosperity.
  4. Co-ordinated Human Effort : Management provides leadership and guidance to the worker. It also motivates them with the help of various incentive schemes. It shows their personal interest with the organizational objectives. This lead to better co-ordination among the human resources. This improve the health of the organization.
  5. Contribution in National Economic Development : Efficient management is equally important at the national level. The development of a country is dependent upon the quality of management of its resources.

If management is not efficient and cannot use the resources properly, it is a poor sign for the economy of any country. Thus, an efficient management is a key to the growth of economy of any country.

  1. Meeting Challenges : Management is the brain of any enterprise. All the policy decision are taken by the management. So, management keeps in touch with the current environment and supplies foresight to the enterprise. It helps in predeciding what is going to happen in future and which will influence the working of an enterprise.

( BBA Fundamental of Management Notes )

Management as a Science

Science is a body of knowledge bases on propegs finding and exact principles. It develops a relationship between cause and effect and its findings apply in all the situations.  The basic difference between art and science is that art implies knowing how the application whereas science is concerned with knowing why.

The essential features of science are as follows :

  1. It is a systematized body of knowledge that uses scientific methods for observation.
  2. The principles of science establish a cause and effect relationship between various factors.
  3. The principles are exact and have universal applicability without any limitation.
  4. The validity of scientific principles can be verified and they provide a reliable basis for predicting future events.
  5. The principles of science are evolved on the basis of continued observation.

Management as an Art

Art is other regared as the systematic application of skill or knowledge in effecting accomplishment of results. It represents the methods or ways of doing specific things and indicates how an objective is to be achieved.

The essential feature or art are as follows :-

  1. It involves use of personal skill and knowledge in solving many complicated problems to achieve the enterprise objectives.
  2. An art is an practical knowledge. It is concerned with application of knowledge. Management does not merely mean the knowledge of principles of management rather it is the application of this knowledge which makes it effective and useful.
  3. Management is a way to achieve desired results and these ways and methods, efficiency and effectiveness is attained through regular practice. One can not be a good manager unless he regularly practices the art of decision making.
  4. Every art has an element of creativity and in this sense also management is one of the most creative art as it is concerned with getting work done through and with others by motivating them to work and coordinating their activities.

( BBA Fundamental of Management Notes )

Management  as a Profession

Since the emergence of separation of management from ownership and increasing professionalization of management, it is being taken as profession also. However while some feel that management is a profession, others are of the view that it is a way to be professional.

Edgar H. Schein has compared key qualities of professionals with those of managers. In particular, he notes the following three characteristics :

  1. Professionals base their decisions as general principles.
  2. Professionals achieve professional status through performance.
  3. Professionals must be governed by strict code of ethics that protects their clients.

Mcfarland has pointed out the following characteristics of management as a profession :

  1. Existence of an organized and systematic knowledge.
  2. Formalise methods of acquiring training and experience.
  3. Existence of an organized and systematic knowledge.
  4. The formation of ethical for guidance and conduct.
  5. Charging of fees for service rendered.

Kennith Andrews identified the following characteristics of management as a profession :

  1. Knowledge
  2. Competent application
  3. Self control
  4. Social responsibility
  5. Community sanction

( BBA Fundamental of Management Notes )

Managerial control (Introduction Of Management)

Control is a basic managerial function which implies measurement and correction of performance of subordinates to ensure that the predetermined objective are accomplished.

Definition of Managerial Control

In the word of E.F.L. Breach, Control as is defined “The process of checking actual performance against the agreed standards or plan with a view to ensuring progress and satisfactory performance.

According to Koontz  and O’Donnell, “Controlling is the measuring and correcting of activities of subordinate to ensure that events conform to plans.”

“Control consists in verifying whether every thing occurs in conformity with the plans adopted, the instructions issued and principles established. It has the object to point out weaknesses and errors in order  to rectify them and prevent reoccurrence.”

“Control, thus viewed as an aspect and projection of planning whereas the planning sets the course, control observes deviation from the course and initiates action to return to the chosen courses or to an appropriately changed control.

( BBA Fundamental of Management Notes )

Types of Control (Management Notes)

  • Historical (feedback) Control : Most of the time control is called historical as the control measures the result after the performance. Control provides information as to how the goals of the organisation are met or not met. Income statements and position statements are examples of this type of control. Here the control is seen as a postmortem of events the purpose of which is to improve in the future.
  • Concurrent Control : Also called as real time control or steering control, refers to considering immediately any problem and analyze it to take necessary and corrective steps before any major damage is being done. Examples are control charts.
  • Predictive (feed forward) Control : Here the control system anticipates the problem and take the corrective action. It is also called as feed forward control, attempts to anticipate problems or deviation from the standard in advance of their occurrence. It is thus more aggressive, active approach to control allowing corrective action to be taken in advance of the problem. This is the important characteristics of feed forward control.
  • Feed forward and concurrent controls sufficiently and timely allow management to take corrective changes and still achieve objectives. But there are several other factors to be considered :
    • They are costly.
    • Many activities do not lend themselves to frequent and continuous monitoring.
    • At some point, excessive control becomes tools counter productive.

( BBA Fundamental of Management Notes )

Tools of Control

  1. Production Control : These controls are generally concerned with scheduling, timing and routing of a product or project, Production control employs employees such tools as Gantt charts, Programme Evaluation and Review Technique (PERT) and Critical Path Method (CPM) in monitoring actual performance and comparing it with expected results.
  2. Organisational Control : Organisation control includes both the control exerted by the organisational structure and its planning systems and the control of organisational members. Programmes such as management by objectives serves as important means of control to synchronize the performance of organisational members with the structure dictated organisational processes. Another important organisational control tool is management information system.
  3. Quality Control : It deals with maintaining the quality of a firm’s goods or services. Organisations utilize two basic methods for maintaining the quality of finished products. In the organisation where quality level requirements are high, individual inspection of each unit of output will be conducted. Whereas in some other firms only a sample percentage of output alone will be subjected to inspection.
  4. Financial Control : Budgets financial analysis of the organisation, accounting statements and the use of the break even analysis are the primary tools of financial control system.

Budgets represent in monetary terms the goals and objective of the organisation. It is a financial plan listing in detail the resources to a particular product, division or project. Inherent in the budget is control through timely feedback.

Financial Analysis is the use of specific techniques to study a firm financial documents are control the flow of funds, products and services both without and outside organisation. These statements provide the means for controlling the liquidity, the profitability and general financial conditions of the organisation.

Break oven Analysis is a method of determine the minimum sales volume neede to cover all certain price level. This analysis is useful in providing managers with a profit or loss estimate at different levels of sales and at different cost estimates. It can also approximate the effect of a change in selling price of the firm.

Key Areas of Control

  1. Control over policies : The scope of control over policies is self evident. In many enterprises, the policies are controlled through policy manuals.
  2. Control over costs : Cost control is exercised by the cost accountant by setting cost standards for material, labour and over heads and making comparison of cost data with standard cost.
  3. Control over organisation : it is accomplished through the development of organisation chart and organisation manual. Organisation manual attempts at solving organisational problems and conflicts and helping in proper designing of organisation and its departments.
  4. Control over personnel : All employees working at different levels must perform their assigned duties well and direct efforts toward the attainment of organisational goals. Control over their behaviour and efforts is the essence of control over personnel.
  5. Control methods : it accomplished by conducting periodic analysis of activities of each department with a view to eliminate non essential motions, functions and method. An in depth study is conducted to achieve all this.
  6. Control over wages and salaries : It is done by having programme of job evaluation and wage and salary analysis often, wage and salary committee is constituted to help these departments in the task of controlling wages an salaries.
  7. Control over capital expenditures : Capital budgeting project analysis break even analysis, study of cost of capital etc., are some of the popular techniques of control over capital expenditure.
  8. Control over research and developmental : Such activities are highly technical in nature so no direct control is possible over them. Through training programmes and other devices, an indirect control is exercised on trained staff. Control is also exercised by having a research budget in the business.
  9. Control over Production : It is effected through about market needs, attitude of customers and revision in product lines. Dispatching, follow up, inventory control, inspection and quality control are some popular techniques of production control.

( BBA Fundamental of Management Notes )

Difference between Delegation and Decentralisation

BBA Fundamental of Management Notes :-

Basis Delegation Decentr:alisation
1.       Definition and nature It refer to the entrustment of responsibility and authority from a superior to his subordinate. Thus, it is individualistic.


It refers to the systematic delegation of authority to a lower level in the organisation. Thus, it is totalistic.
2.       Scope or parties involved It is restricted from person to another. It takes place when delegation is made to all the employees at a number of levels.


3.       Relationship Delegation establishes superior subordinate relationship. Decentralisation is a step towards creation of semi-autonomous units.


4.       Responsibility Only duty and authority are delegated to subordinate, but responsibility for result will remain with executive In decentralisation, executive is relieved from responsibility and the subordinates become liable for that work.


5.       Control The person who delegates authority keeps the power to control with himself.


Control is excerised in a general manner. The authority to control may also be delegated to the lower levels.


6.       Need Delegations is compulsory if an executive wants to get the help of others in getting things done. Decentralisation in optional management may not find it necessary to decentralise authority.


7.       Effectiveness It is possible and effective in all organisations. It is only possible and effective in big organisations.

Structure Principles of Organisation

( BBA Fundamental of Management Notes )

Principles of Organisation (BBA Fundamental of Management Notes)

Principles of an Organisation : in organising an enterprise, it is necessary to adhere to certain basic principles of organisation, which should serve as guidelines for action.

These are as follows :

  1. Consideration of Objectives : an organisation is a mechanism to accomplish certain goals or objectives. The objectives of an organisation play an important role in determining the type of structure which should be developed. Only after the objectives have been determined, a structure should be developed that will help to achieve the objectives.
  2. Unity of Action : All business organisations are composed of certain functions like production, marketing, finance, personnel, etc. which must be performed in perfect harmony to flexible enough to adjust growth, expansion and seasonal variation.
  3. Division of Work : There should be proper division of work in the organisation so that every person does a single job, as far as possible. This is called the principle of specification. By doing the same job, a worker becomes an expert. This will increase his productivity. The efficiency of the whole enterprise will also grow.
  4. Definition of Jobs : Every position in the organisation should be clearly defined in relation to other position in the organisation. The duties and responsibilities assigned to every position and its relationship with other position should be clearly defined so that there may not be any overlapping of function.
  5. Scalar Principle : There must be clear lines of authority from the top to the bottom of the organisation. Clarity is achieved through delegation by steps from top position to the operating level.
  6. Unity of Command : No one in the organisation should report to more than one, line supervisor. Everyone in the organisation should know to whom he reports and who reports to him. In a very simple word, “Every one should have only one boss.”
  7. Balance of Various Factors : There should be proper balance in the structure of the organisation in regard to factor having conflicting claims, e.g., between centralization and decentralization, span of supervision and lines of communication and authority allocated to departments and personnel at various levels.
  8. Flexibility : The organisation, structure should be flexible so that it can be easily and economically adapted to the changes in the nature of business as well as technical innovation.
  9. Continuity : Change is the law of nature. So many changes take place outside the organisation. The change must be reflected in the organisation.
  10. Delegation of Authority : Adequate authority should be delegated to the subordinates for carrying out the jobs assigned to them. Authority delegated should commensurate with responsibility.
  11. Management by Exception : This principle requires that organisation structure should be so designed that managers are required to through the exceptional matters.
  12. Span of Control : Span of control may be defined as the number of employee a manger can directly supervise. In considering span of control the main consideration is the use of manager’s time and his work load.
  13. Simplicity : An enterprise should be organized in such a manner that every employee is able to follow the laid down procedure and method without difficulty.
  14. Efficiency : The task of the organisation should be achieved at minimum cost, it is the real test of efficiency. The organisation should provide job satisfaction to the workers so that they become more efficient.

( BBA Fundamental of Management Notes )

Designing steps in a

Step 1   :               Determining activities

Step 2   :               Grouping of activities

Step 3   :               Assigning duties

Step 4   :               Delegating authority

Step 5   :               Coordinating activities

  1. Determining Activities : The first step in organising is to identify and enumerate the activities required to achieve the objectives of the enterprise. The activities will depend upon the nature and size of the enterprise. e.g., A manufacturing concern will have production, marketing and other activities but there are no production activity in a retail establishment.

Each major activity is broken into small part e.g., production activity may be divided into purchasing of material, plants layout, quality, control, production research, etc.

  1. Grouping of Activities : the various activities are classified into appropriate departments and division on the basic of functions; products, territories, costomers, etc. similar and related activities may be grouped together under one department or division. Each department may be further subdivided into sections and groups. Grouping of activities should not only allow specialization but keep in view that human factor, nature of activities and the needs of the organisation and the people.
  2. Assigning Duties : The individual groups of activities are then allotted to different individuals on the basis of their ability and aptitude. The responsibility of every individual should be defined clearly to avoid duplication of work and overlapping of effort. Each person is given a specific job best suited to him and he is made responsible for its execution.
  3. Delegating Authority : Every individual is given the authority necessary to perform the assigned task effectively. Authority delegated to a person should be commensurate with his responsibility. Through successive delegation a clear hierarchy of authority or chain of command running from the top to bottom of the structure is established. An individual cannot perform his job without the necessary authority or power.
  4. Coordinating Activities : The activities and efforts of different individual are synchronised and such coordination is necessary to ensure effective performance of specialised function. Interrelationship between different job and individual are clearly defined so that every body know from whom he has to take orders and to whom he is answerable.

Organisation Structure

BBA Fundamental of Management Notes :-

An organisation structure shows the authority and responsibility relationship between various position in the organisation and also clarifies who reports to whom. It is a set of planned relationship between groups of related functions and between physical factors and personnel required for the achievement of organisational goals.

The organisation structure is generally shown on an organisation chart. It represent authority relationships between various positions in the organisation by showing who reports to whom. Organisation structure is developed to attain the objectives of the enterprise.

( BBA Fundamental of Management Notes )

Learn Full Types of Co ordination One day Pattern

in this post, we learn about ( BBA Fundamental of Management Notes ). it is very helpful for your examination and knowledge. it’s very helpful for (BBA) students. Students easily gain the highest marks from their examinations. if it is posted helpful for you. please you can share this post with your all friends and your all groups.

Types of co-ordination

Co-ordination can be classified into two broad categories, one on the basis of its shape in the organisation and other on the basis of its scope and coverage. On the former basis it can be classified into vertical and horizontal co-ordination and on the latter basis into internal and external co-ordination.

Vertical and Horizontal Co-ordination

BBA Fundamental of Management Notes :-

Vertical Co-ordination : The function of vertical co-ordination is to translation external environmental requirements into organisational activity and them to integrate this activity with overall organisational goals. The terms vertical co-ordination is used when co-ordination is to be achieved between various links or different levels of the organisational units.

Vertical co-ordination is needed to ensure that all levels in the organisation act in harmony and in accordance with organisation act in harmony and in according with the help of directing and controlling. There is no doubt that the power or delegated authority will carry great weight but vertical co-ordination can not be achieved by the more weight of authority itself. This should rather come about as a by product of superior’s efficient and expert performance of his managerial functions.

Horizontal Co-ordination

BBA Fundamental of Management Notes :-

Horizontal Co-ordination : The function of horizontal co-ordination is to integrate the work flow with in the organisation as a whole and between organisation sub units in particular. The horizontal co-ordination is used when co-ordination has to be achieved between departments on the same level in the managerial hierarchy. Thus, when co-ordination is brought about between production department, sales department, personnel department, etc., it is said to be horizontal co-ordination.

Co-ordination of various functions between inter dependent mangers of different departments is facilitated in a small enterprise due to proximity of working arrangement, close contacts and short lines of communication. However, when a large company is involved, the problems become more complicated and it is the fine art of the superior manager to achieve co-ordination in this horizontal sense.

Internal and External Co-ordination

Internal and External Co-ordination : Co-ordination between the different units of an organisation is knows as internal co-ordination. Such coordination requires synchronization of the activities and efforts of individuals in different departments, plants, branches, offices and divisions of the enterprise.

external coordination refers to coordination between an organisation and its external environment comprising of government, research institutions, Etc. External coordination is essential for the survival of the organisation just like internal coordination. No organisation operates in a vaccum. In order to survive and succed it must continuously harmonise its working with the external forces influcencing it.


( BBA Fundamental of Management Notes )

Procedural Land Substantive Co-ordination

BBA Fundamental of Management Notes :-

Procedural Land Substantive Co-ordination : According to Herbert A. Simon, procedural coordination implies the specification of the organisation in itself i.e., the generalized description of the behaviour and relationships of the members of the organisation.

Such coordination establishes the lines of authority of each member of the organisation. On the other hand substantive coordination is  concerned with the content of the organisation’s activities. For instance, in an automohile plant an organisaion chart is an aspect of procedural coordination while blue prints for the engine block of the car being manufactured are an aspect of substantive coordination.

Meaning of Motivation

BBA Fundamental of Management Notes :-

Motivation is an important person to give their best performance actuating the people to work for the accomplishment of objectives of the organisation.

Motivation is an important factor which encourages person to give their best performance and help in reaching enterprise goals. A strong positive motivation will enable the increased output of employees but a negative motivation will reduce their performance.

Definitions of Motivation

  1. In the words of G. Scott, “Motivation a means the process of stimulating people to action to accomplish the desired goals.”
  2. In the words of Dubin, “Motivation is the complex of forces starting and keeping a person at work in an organisaiton.”
  3. In the words of Dale S. Beach, “Motivation can be defined as a willingness to expand enery to achieve a goal or a reward.”
  4. “A motivation is an inner state that energizes, activates or moves and directs or channel behaviour towards goals.”

( BBA Fundamental of Management Notes )

BBA Fundamental of Management Question Paper 2020-2021


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