ICSAN Management Principles study materials
ICSAN Management Principles study resources

ICSAN Management Principles key terms

ICSAN Management Principles · Get comfortable with the vocabulary.

Management

The process of getting work done through other people by planning, organising, leading and controlling resources so that stated goals are achieved efficiently and effectively.

Related: Effectiveness, Efficiency, Span of Control
Effectiveness

The degree to which an organisation attains its stated objectives, judged by whether the right results were produced rather than by how much resource was consumed in producing them.

Related: Efficiency, Management by Objectives
Efficiency

Achieving a given output with the least possible input of time, money, materials or effort; the relationship between resources consumed and results obtained in producing goods or services.

Related: Effectiveness, Productivity
Managerial Roles

Mintzberg's ten observable behaviour patterns grouped into interpersonal (figurehead, leader, liaison), informational (monitor, disseminator, spokesperson) and decisional (entrepreneur, disturbance handler, resource allocator, negotiator) categories.

Related: Management Levels, Management Skills
Management Skills

Katz's three categories of capability managers need: technical skill in a speciality, human or interpersonal skill in working with people, and conceptual skill in seeing the organisation as a whole.

Related: Managerial Roles, Management Levels
Management Levels

The vertical division of managerial work into first-line supervisors who direct operating staff, middle managers who translate strategy into departmental plans, and top managers who set direction for the whole organisation.

Related: Management Skills, Span of Control
Scientific Management

Taylor's approach of replacing rule-of-thumb working with systematic study of tasks, standardised methods, scientific selection and training of workers, and cooperation between management and labour.

Related: Bureaucracy, Hawthorne Studies
Bureaucracy

Weber's ideal organisational form built on clear division of labour, written rules, hierarchy of authority, impersonal application of rules, and selection and promotion on technical merit.

Related: Scientific Management, Span of Control
Administrative Management

The school associated with Fayol and Urwick that derived universal principles of managing, such as division of work, unity of command, unity of direction, scalar chain and equity, from the manager's perspective.

Related: Unity of Command, Bureaucracy
Hawthorne Studies

Experiments at the Western Electric plant which found that social factors and attention from researchers, not only physical conditions, shaped output, giving rise to the human relations movement.

Related: Human Relations Movement, Scientific Management
Human Relations Movement

The school holding that employee satisfaction and morale drive productivity, so managers should attend to social needs, informal groups and participative supervision rather than purely technical controls.

Related: Hawthorne Studies, Informal Group
Contingency Approach

The view that there is no single best way to organise or lead; the appropriate structure or style depends on situational factors such as size, technology, environment and task uncertainty.

Related: Systems Thinking, Situational Leadership
Systems Thinking

Treating an organisation as a set of interdependent parts that take inputs from the environment, transform them through processes, and return outputs, with feedback adjusting the whole.

Related: Contingency Approach, Organisational Structure
SWOT Analysis

A structured appraisal of internal strengths and weaknesses and external opportunities and threats, used to match an organisation's capabilities to its environment before choosing strategy.

Related: Strategic Planning, Environmental Scanning
Strategic Planning

The formal process of setting long-term direction, choosing where to compete and how to win, and allocating resources through written plans that guide decisions across the organisation.

Related: SWOT Analysis, Mission Statement
Mission Statement

A short declaration of an organisation's purpose, the customers it serves and the value it provides, intended to focus and unify the efforts of members.

Related: Strategic Planning, Management by Objectives
Environmental Scanning

The systematic collection and interpretation of information about external forces such as political, economic, social, technological, legal and competitive conditions that may affect the organisation.

Related: SWOT Analysis, Strategic Planning
Bounded Rationality

Simon's concept that decision makers have limited information, time and cognitive capacity, so they satisfice with acceptable options rather than optimising among all possible alternatives.

Related: Satisficing, Groupthink
Satisficing

Choosing the first alternative that meets a defined minimum standard of acceptability, a practical response to limited information and time rather than exhaustive comparison of every option.

Related: Bounded Rationality, Groupthink
Groupthink

A deterioration in decision quality that occurs when a cohesive group suppresses dissent and pressures members toward apparent unanimity, discouraging realistic appraisal of alternatives.

Related: Bounded Rationality, Brainstorming
Organisational Structure

The formal arrangement of tasks, reporting lines and authority that determines how work is divided, grouped and coordinated within an organisation.

Related: Span of Control, Chain of Command, Departmentalisation
Span of Control

The number of subordinates who report directly to one manager; a wide span produces a flatter structure, a narrow span a taller one with more supervisory layers.

Related: Chain of Command, Organisational Structure
Chain of Command

The unbroken line of authority running from the top of an organisation to its lowest levels, showing who reports to whom and through whom instructions pass.

Related: Unity of Command, Span of Control
Unity of Command

The principle that each employee should receive orders from, and be accountable to, only one superior, so that conflicting instructions and divided loyalty are avoided.

Related: Chain of Command, Delegation
Delegation

The assignment of a specific task and the authority needed to complete it to a subordinate, who accepts responsibility while the manager retains overall accountability.

Related: Authority, Accountability, Empowerment
Authority

The legitimate right of a manager to give orders and allocate resources, derived from formal position, personal expertise or the acceptance of subordinates.

Related: Delegation, Accountability
Accountability

The obligation of a person to answer for the results of assigned duties and to accept consequences; unlike authority, it cannot be delegated away.

Related: Delegation, Authority
Departmentalisation

Grouping jobs into units on a chosen basis such as function, product, customer, geography or process, to simplify coordination and fix responsibility for related activities.

Related: Organisational Structure, Matrix Structure
Matrix Structure

A dual-reporting design in which employees belong simultaneously to a functional unit and a project or product team, combining specialist depth with focus on a specific outcome.

Related: Departmentalisation, Unity of Command
Situational Leadership

Hersey and Blanchard's model in which a leader adjusts the amount of task direction and relationship support given according to the follower's competence and commitment for a particular task.

Related: Transformational Leadership, Contingency Approach
Transformational Leadership

Leadership that raises followers' aspirations through idealised influence, inspirational motivation, intellectual stimulation and individualised consideration, producing performance beyond expectations.

Related: Situational Leadership, Empowerment
Motivation

The internal and external forces that arouse, direct and sustain effort toward a goal, explaining why people choose certain behaviours and persist with them.

Related: Maslow's Hierarchy of Needs, Expectancy Theory, Intrinsic Reward
Maslow's Hierarchy of Needs

A model arranging human needs in ascending order from physiological and safety needs through belonging and esteem to self-actualisation, with lower needs generally pursued before higher ones.

Related: Motivation, Intrinsic Reward
Expectancy Theory

Vroom's explanation that effort depends on the perceived likelihood that effort yields performance, that performance yields outcomes, and that those outcomes are personally valued.

Related: Motivation, Equity Theory
Equity Theory

Adams's proposition that people compare their input-output ratio with that of relevant others and are motivated to restore fairness when they perceive inequity.

Related: Expectancy Theory, Motivation
Informal Group

A collection of people who associate voluntarily through shared interests or personal relationships rather than formal assignment, generating its own norms and influence on behaviour.

Related: Human Relations Movement, Communication Channel
Communication Channel

The medium or route by which a message travels between sender and receiver, ranging from face-to-face conversation to written reports and electronic systems, each with differing richness.

Related: Informal Group, Feedback
Feedback

Information returned to the sender about how a message was received and understood, allowing correction of misunderstanding and confirming that communication has actually occurred.

Related: Communication Channel, Performance Appraisal
Active Listening

Concentrating fully on a speaker, reflecting back content and feeling, and asking clarifying questions instead of rehearsing a reply or interrupting.

Related: Feedback, Communication Channel
Coordination

The deliberate synchronising of activities and effort across individuals and units so that they pull together toward shared goals without duplication, gaps or conflict.

Related: Organisational Structure, Span of Control
Management by Objectives

A performance system in which manager and subordinate jointly set specific measurable goals, review progress periodically, and appraise results against those agreed targets.

Related: Performance Appraisal, Effectiveness
Performance Appraisal

The formal periodic evaluation of an employee's work against set standards, used for feedback, development, pay decisions and documentation of performance problems.

Related: Management by Objectives, Feedback
Control Process

The cyclical sequence of setting standards, measuring actual performance, comparing it with those standards, and taking corrective action where significant deviation is found.

Related: Performance Appraisal, Management by Objectives
Corporate Governance

The system of rules, structures and processes by which an organisation is directed and held to account, balancing the interests of shareholders, management and other stakeholders.

Related: Board of Directors, Agency Problem
Board of Directors

The body elected by shareholders to oversee strategy and management on their behalf, appoint senior executives, approve major decisions and ensure accountability for performance.

Related: Corporate Governance, Agency Problem
Agency Problem

The conflict that arises when managers acting as agents pursue their own interests rather than those of the principals who appointed them, requiring monitoring and incentive alignment.

Related: Corporate Governance, Board of Directors
Stakeholder

Any individual or group affected by or able to affect an organisation's actions, including employees, customers, suppliers, communities, investors and regulators.

Related: Corporate Social Responsibility, Corporate Governance
Corporate Social Responsibility

A voluntary commitment to act in ways that benefit society beyond legal minimum requirements, addressing economic, legal, ethical and discretionary expectations of stakeholders.

Related: Stakeholder, Code of Ethics
Code of Ethics

A written statement of the principles and rules of conduct expected of members of an organisation, used to guide behaviour and to discipline breaches.

Related: Corporate Social Responsibility, Corporate Governance
Change Management

The structured process of preparing people for change, guiding them through transition and embedding new ways of working so that intended benefits are realised.

Related: Resistance to Change, Organisational Culture
Resistance to Change

Behaviour that opposes or slows an alteration in work arrangements, often arising from fear of job loss, loss of status, uncertainty or disruption of established social relationships.

Related: Change Management, Organisational Culture
Organisational Culture

The shared values, beliefs, norms and assumptions that shape how members of an organisation behave and interpret events, often transmitted through stories, rituals and symbols.

Related: Change Management, Resistance to Change
Innovation

The successful application of a new idea, product, process or business model that creates value, as distinct from invention, which is the creation of the idea itself.

Related: Brainstorming, Risk Management
Risk Management

The systematic process of identifying, assessing, prioritising and treating threats to objectives, through avoidance, reduction, transfer or acceptance of the risk.

Related: Innovation, Control Process
Brainstorming

A group technique for generating many ideas by suspending judgement, encouraging free association and building on others' contributions before any evaluation takes place.

Related: Innovation, Groupthink
Empowerment

Granting employees the authority, information and confidence to make decisions about their own work, increasing autonomy and commitment in exchange for greater accountability.

Related: Delegation, Transformational Leadership
Productivity

The ratio of output produced to inputs consumed over a period, used to judge how well resources such as labour, capital and materials are being converted into results.

Related: Efficiency, Control Process
Intrinsic Reward

Satisfaction a person derives from the work itself, such as achievement, recognition, responsibility and growth, rather than from pay or other external benefits.

Related: Motivation, Maslow's Hierarchy of Needs