Introduction to Microservice Architecture Using SpringBoot - Part 1

1] What is management?

Management is the process of planning and organising the resources and activities

of a business to achieve specific goals in the most effective and efficient manner

possible. Efficiency in management refers to the completion of tasks correctly and at

minimal costs. Effectiveness in management relates to the completion of tasks within

specific timelines to yield tangible results.

2] Explain any five points of importance of management?

1. Achieving goals: Management helps the organisation in achieving its goals.

The role of a manager is to provide common guidance and direction to the

individual efforts for the fulfilment of organisational goals.

2. Increasing the efficiency: Management helps in increasing the efficiency of

the business by increasing productivity through efficient planning,

organising, controlling and directing.

3. Helps in creating a dynamic organisation: Management helps in providing

the required impetus for an organisation to transition from one phase of

development to another and also in adjusting to the changing dynamics of

the business environment.

4. Helps in achieving individual objectives: Management helps in guiding the

individuals towards attaining personal objectives, which has a direct

impact on attaining the organisational objectives.

5. Development of society: By developing the organisation, management

helps in its growth. A developed organisation has some moral

responsibilities towards society and it does so by creating employment

opportunities, providing good quality products and services.

3] Levels of Management

Top, Middle and Lower

Top Level of Management

It consists of board of directors, chief executive or managing director. The top management is the ultimate source of authority and it manages goals and policies for an enterprise. It devotes more time on planning and coordinating functions.The role of the top management can be summarized as follows -

a. Top management lays down the objectives and broad policies of the enterprise.

b. It issues necessary instructions for preparation of department budgets, procedures,

schedules etc.

c. It prepares strategic plans & policies for the enterprise.

d. It appoints the executive for middle level i.e. departmental managers.

Middle Level of Management

The branch managers and departmental managers constitute middle level. They are responsible

to the top management for the functioning of their department. They devote more time to

organizational and directional functions. In small organization, there is only one layer of middle

level of management but in big enterprises, there may be senior and junior middle level

management. Their role can be emphasized as -

a. They execute the plans of the organization in accordance with the policies and directives of

the top management.

b. They make plans for the sub-units of the organization.

c. They participate in employment & training of lower level management.

d. They interpret and explain policies from top level management to lower level.

Lower Level of Management

Lower level is also known as supervisory / operative level of management. It consists of

supervisors, foreman, section officers, superintendent etc. According to R.C. Davis, “Supervisory

management refers to those executives whose work has to be largely with personal oversightand direction of operative employees”. In other words, they are concerned with direction and

controlling function of management. Their activities include -

a. Assigning of jobs and tasks to various workers.

b. They guide and instruct workers for day to day activities.

c. They are responsible for the quality as well as quantity of production.

d. They are also entrusted with the responsibility of maintaining good relation in the

organization.

e. They communicate workers problems, suggestions, and recommendatory appeals etc to the

higher level and higher level goals and objectives to the workers.

4] 14 principles of management??

1. Division of Work

Henri believed that segregating work in the workforce amongst the worker will enhance the

quality of the product. Similarly, he also concluded that the division of work improves the

productivity, efficiency, accuracy and speed of the workers. This principle is appropriate for both

the managerial as well as a technical work level.

2. Authority and Responsibility

These are the two key aspects of management. Authority facilitates the management to work

efficiently, and responsibility makes them responsible for the work done under their guidance or

leadership.

3. Discipline

Without discipline, nothing can be accomplished. It is the core value for any project or any

management. Good performance and sensible interrelation make the management job easy and

comprehensive. Employees good behaviour also helps them smoothly build and progress in their

professional careers.

4. Unity of Command

This means an employee should have only one boss and follow his command. If an employee

has to follow more than one boss, there begins a conflict of interest and can create confusion.

5. Unity of Direction

Whoever is engaged in the same activity should have a unified goal. This means all the person

working in a company should have one goal and motive which will make the work easier and

achieve the set goal easily.

6. Subordination of Individual Interest

This indicates a company should work unitedly towards the interest of a company rather than

personal interest. Be subordinate to the purposes of an organization. This refers to the whole

chain of command in a company.

7. Remuneration

This plays an important role in motivating the workers of a company. Remuneration can be

monetary or non-monetary. However, it should be according to an individual’s efforts they have

made.8. Centralization

In any company, the management or any authority responsible for the decision-making process

should be neutral. However, this depends on the size of an organization. Henri Fayol stressed on

the point that there should be a balance between the hierarchy and division of power.

9. Scalar Chain

Fayol on this principle highlights that the hierarchy steps should be from the top to the lowest.

This is necessary so that every employee knows their immediate senior also they should be able

to contact any, if needed.

10. Order

A company should maintain a well-defined work order to have a favourable work culture. The

positive atmosphere in the workplace will boost more positive productivity.

11. Equity

All employees should be treated equally and respectfully. It’s the responsibility of a manager that

no employees face discrimination.

12. Stability

An employee delivers the best if they feel secure in their job. It is the duty of the management to

offer job security to their employees.

13. Initiative

The management should support and encourage the employees to take initiatives in an

organization. It will help them to increase their interest and make then worth.

14. Esprit de Corps

It is the responsibility of the management to motivate their employees and be supportive of each

other regularly. Developing trust and mutual understanding will lead to a positive outcome and

work environment.

This 14 principles of management are used to manage an organization and are beneficial for

prediction, planning, decision-making, organization and process management, control and

coordination.

5] Scientific Management?

Frederick Taylor’s four principles of Scientific Management are:

1. Develop a science for each element of work

2. Scientifically Select, Train, Teach, and Develop the worker

3. Cooperate with the Worker

4. Divide the Work and Responsibility

6]Management by Objects-MBO?

The process of setting objectives in the organization to give a sense of direction to the

employees is called as Management by Objectives.

It refers to the process of setting goals for the employees so that they know what they are

supposed to do at the workplace.Management by Objectives defines roles and responsibilities for the employees and help them

chalk out their future course of action in the organization.

7] Advantages and Disadvantages of Management by Objectives (MBO)

MBO comes with many advantages and disadvantages.

Advantages

 Employees take pride in their work and are assigned goals they

know they can achieve that match their strengths, skills, and

educational experiences.

 Assigning tailored goals brings a sense of importance to employees,

boosting their output and loyalty to the company.

 Communication between management and employees is increased.

 Management can create goals that lead to the success of the

company.

Disadvantages

 As MBO is focused on goals and targets, it often ignores other parts

of a company, such as the culture of conduct, a healthy work ethos,

and areas for involvement and contribution.

 Strain is increased on employees to meet the goals in a specified

time frame.

 Employees are encouraged to meet targets by any means necessary,

meaning that shortcuts could be taken and the quality of work

compromised.

8] Differences Between Centralization and Decentralization

The points given below are noteworthy, so far as the difference between

centralization and decentralization is concerned:

1. The unification of powers and authorities, in the hands of high-level

management, is known as Centralization. Decentralization means

dispersal of powers and authorities by the top level to the

functional level management.

2. Centralization is the systematic and consistent concentration of

authority at central points. Unlike, decentralization is the

systematic delegation of authority in an organization.3. Centralization is best for a small sized organization, but the large

sized organization should practice decentralization.

4. Formal communication exists in the centralized organization.

Conversely, in decentralization, communication stretches in all

directions.

5. In centralization due to the concentration of powers in the hands of

a single person, the decision takes time. On the contrary,

decentralization proves better regarding decision making as the

decisions are taken much closer to the actions.

9] Management vs Administration ?

BASIS FOR COMPARISON	MANAGEMENT	ADMINISTRATION
Meaning	An organized way of managing people and things of a business organization is called the Management.	The process of administering an organization by a group of people is known as the Administration.
Authority	Middle and Lower Level	Top level
Role	Executive	Decisive
Concerned with	Policy Implementation	Policy Formulation
Area of operation	It works under administration.	It has full control over the activities of the organization.
Applicable to	Profit making organizations, i.e. business organizations.	Government offices, military, clubs, business enterprises, hospitals, religious and educational organizations.
Decides	Who will do the work? And How will it be done?	What should be done? And When is should be done?
Work	Putting plans and policies into actions.	Formulation of plans, framing policies and setting objectives
Focus on	Managing work	Making best possible allocation of limited resources.
Key person	Manager	Administrator
Represents	Employees, who work for remuneration	Owners, who get a return on the capital invested by them.
Function	Executive and Governing	Legislative and Determinative

10] Function of management ?

There are basically five primary functions of management.

These are:1. Planning

2. Organizing

3. Staffing

4. Directing

5. Controlling

The controlling function comprises coordination, reporting, and

budgeting, and hence the controlling function can be broken into

these three separate functions. Based upon these seven functions,

Luther Gulick coined the word POSDCORB, which generally

represents the initials of these seven functions i.e. P stands for

Planning, O for Organizing, S for Staffing, D for Directing, Co for Co

ordination, R for reporting & B for Budgeting.

But, Planning, Organizing, Staffing,

Directing, and Controlling are widely recognized functions of

management.