Management development is the process where the manager not only acquire skills and competencies but also capabilities for future managerial tasks. Management development denotes planned efforts to improve current and future performance of executives to prepare them for the higher jobs in the organisation.
Role of Management Development:
- Management development aims at increasing the knowledge along with the enhancement of decision-making and conceptual skills.
- It also fosters the creation of a reserve of capable, competent and well-trained managers.
- It aims at influencing the long-term behaviours of the employees.
- It also strives to bring change in the organisation by working as an agent to change.
- It prevents obsolescence of employees by giving them adequate opportunities to exchange their knowledge and learn from challenges.
Skills to be Developed by a Manager:
Decision-making skills: These skills can be learned by methods like in-basket, business game and case study.
Interpersonal Skills: Roleplay, sensitivity training.
Job Knowledge: On-the-job training, coaching, understudy etc.
Organisational Knowledge: Job rotation, succession planning.
Methods of Management Development:
In-basket: In this method, the trainee is given multiple papers like memorandum, reports and emails that a manager usually handles. These papers call for actions ranging from routine task to an urgent situation. Trainee managers learn to assign priority to each particular matter.
Sensitivity Training: This is a method of changing behaviour through unstructured group interaction. Sensitivity training is sought to help managers towards building better relations with others. The primary focus is on reducing interpersonal conflicts. The actual technique employed in this training is T-Group. It is a small group of ten to twelve people assisted by a professional behaviour scientist who merely creates the opportunity for group members to express their ideas and to feeling free. Group will work out its own methods of proceeding. A leader-less and agenda-free session is on. Focus is on behaviour rather than a task.
Understudy: An understudy is a person who is under training by a superior to assume his position in future. The superior involves him in decision-making by discussing the daily operating issues to be tackled.
Multiple Management: It is a system in which permanent advisory committees of managers study problems of the company and make recommendations to higher management. It is also called as ‘Junior-board of executives.’
Business Game: Simulations that represent actual business situations are known as business games. It involves two or more hypothetical organisations competing in a given product market to make the profit. Participants assume the role of managers, take decisions, evaluate results and find out the outcome.
Organising an Executive Development Programme: In order to organise an executive development programme, the following steps need to be followed:
- Analysis of present and future needs of managerial manpower.
- Preparing the inventory of management talent in terms of skills, experience, education, age etc.
- Appraisal of performance of the executives in terms of their decision-making and its resultant outcome.
- Planning for a well-planned training programme, identifying its key objectives. Types of methods to be employed are selected.
- Execution and evaluation of executive development programme.