Management & Industrial Relations | POB Study Notes for CXC® CSEC®

Management & Industrial Relations | POB Study Notes for CXC® CSEC®


  1. The functions of management
  2. The responsibilities of Management
  3. Leadership
  4. Motivation
  5. Basic rules for good management-worker relation


  • According to Robinson and Hamil (2001), management is the bringing together of all the resources, (human and non-human), in an effort to meet the goals of an organization.
  • Management involves the collective effort of all managers working towards achieving the organization’s goals.

The Functions of Management

  1. Planning
  2. Organizing
  3. Staffing
  4. Leading
  5. Motivating
  6. Controlling


  • Planning (Management, R. Daft 2000), is the management function concerned with defining goals for future organizational performance and deciding on the tasks and resources needed to attain them.
  • A plan is a blueprint that states:
    • What resources, (human and non-human) are needed,
    • How these resources will be allocated, and
    • When they will be used.
  • Top managers begin the planning process by developing a mission statement.
  • A Mission Statement outlines the philosophy of the organization and explains the reasons for the organization’s existence.
  • Strategic goals, which are broad statements of what the organization wants to achieve, are developed from the mission statement.
  • Tactical objectives are statements that define the outcomes that divisions and departments must achieve in order to meet the organizational goals.
  • The tactical objectives are derived from the strategic goals.
  • The operational objectives which are specific, measurable results expected from the departments, work groups or individuals within the organization.

The hierarchical structure of business objectives:

  2. STRATEGIC GOALS (developed by top management)
  3. TACTICAL OBJECTIVES (developed by middle management)
  4. OPERATIONAL OBJECTIVES (developed by departments, work groups individuals)

Examples of Planning tasks:

  1. Establishing overall goals and budgets
  2. Giving the organization focus
  3. Establishing the company’s strategic direction


  • Organizing in an organization involves the bringing together of the factors of production, namely,
    • Land
    • Labour
    • Capital
    • Enterprise.
  • Organizing involves:
    • designing a structure
    • assigning duties and responsibilities to departments,
    • determining the work flow
    • establishing schedules
    • providing the raw materials
    • technology and the related skills needed to accomplish the goals of the organization.
These activities must be properly co-ordinated.

Examples of Organizing tasks:

  1. Establishing formal working relationships
  2. Determining the work flow
  3. Bringing together all the different activities and processes to achieve the goals


  • Staffing involves filling vacancies in the organization with the right people.
  • Not only the recruitment process but also the subsequent development of persons within the organization.

Examples of Staffing tasks:

  1. Screening and selection of prospective employees
  2. Matching the employees’ skills to the job requirements
  3. Training and personal development of employees.


  • Leading is concerned with getting people to perform assigned tasks willingly and in an efficient and effective manner.
  • The leader’s job is to direct the employees’ action towards goal attainment.
  • In order to carry out this function, some delegation may be necessary
  • that is, the assigning of duties to subordinates within the organization.

Examples of Leading tasks:

  1. Engendering team spirit
  2. Ensuring that employees maintain high levels of production
  3. Steering the plan to achieve objectives
  4. Assigning tasks to subordinates


  • Motivating is the process by which workers are influenced to take the right action to get the task done.
  • Motivating inspires workers to give of their best.

Examples of Motivating tasks:

  1. Rewarding employees for performing above standards
  2. Influencing workers to do their best


  • Controlling involves monitoring employees’ activities,
  • Determining whether the organization is on target in achieving its goals and making corrections as necessary.
  • Standards are determined and the actual output is compared with the set standards and any variation would result in corrections being taken.
  • Information systems are used to advise managers on performance of individuals or departments, thus assisting managers in the implementation of rewards or punishment schemes and taking the necessary corrective actions.

Examples of Controlling tasks:

  1. Ensuring that costs are kept within limits and waste is avoided
  2. Measuring standards with actual performance

Responsibilities of Management

  • Businesses have responsibilities to the society in which they operate.
  • In the same way, the management of businesses in turn have responsibilities to the various persons:
    • Owners
    • Employees
    • Customers
    • Society
    • Government

Responsibilities of Management to Owners

  • Management of the organization should ensure that the company is operating efficiently and maximising profits for shareholders.
  • Management should also operate within the scope of its authority
  • Management should be compliant with the prevailing laws and the companies’ acts that are in place at the time.
  • Another main function is to ensure that the firm meets the strategic goals in an efficient and effective manner.
  • The duty of management is to advise shareholders on any changes that may be necessary to ensure growth of the firm.

Responsibilities of Management to Employees

  • To provide adequate
    • working conditions
    • training
    • maintenance of good communications and human relations with staff.
  • As part of a package of benefits, management should provide:
    • adequate remuneration and incentives
    • provide promotional opportunities
    • engender loyalty and trust
    • acknowledge good performance by members of staff.
  • Ensure good industrial relations practices which are followed by the organization.

Responsibilities of Management to Customers

  • To produce goods and services of marketable quality and at reasonable prices.
  • To provide adequate customer information on goods and services that the business provides.
  • Ensure that service to customers continue after a sale has been concluded
    • and there is adequate room for redress in the event that the customer is dissatisfied with the product
  • It is necessary that management honors all guarantees and warranties
    • and provides sufficient and fair arbitration in dealing with customers’ complaints.

Responsibilities of Management to Society

  • Management is obliged to operate within the law by carrying out fair trading practices.
  • Ensuring that the environment is not damaged by the business’ operation.
  • Enhance its social standing in the community by supporting charitable organizations and other worthy goals of voluntary groups within the community.

Responsibilities of Management to Government

  • Abide by the laws of the land by:
  • paying corporations taxes,
  • and making deductions from employees’ salaries such as (National Insurance and Income taxes), for subsequent transfer to Government
  • Management should see the business as contributing to the welfare of the society by:
  • adopting nationalistic goals such as assisting in reducing unemployment
  • and contributing to economic growth by adding to Gross National Product.

Source of information and related websites:

  • Management, 6th Edition. Author: Richard Daft
  • Principles of Business for Caribbean Examination, 3rd Edition. Author: Ivan L. Waterman and Dave Ramsingh