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• Process designed to achieve an organization’s objectives by using its resources effectively & efficiently in a changing environment. INDIAN OIL Indian Oil Corporation Ltd. is an Indian state-owned oil and gas corporation with its headquarters in New Delhi, India. It is the world's 88th largest corporation, according to the Fortune Global 500 list, and the largest public corporation in India when ranked by revenue. IndianOil began operations in 1958 as Indian Oil Company Ltd. The Indian Oil Corporation was formed in 1964, with the merger of Indian Refineries Ltd. In marketing, IndianOil is set to leverage the combined strength of over 32,000 marketing touch points, with focus on hitherto untapped rural markets, nonfuel revenues and pure retailing business. Beyond core businesses, IndianOil is working to emerge as a major player in the petrochemicals business by the year 2011-12, with two petrochemical hubs shaping up at Panipat and Paradip. In natural gas business, it is attempting quantum growth in LNG imports, infrastructure and marketing, besides city gas distribution. Services they provide :- Refining Pipelines Marketing Technology Licensing Training Fields they deliver to :Petrol High speed diesel Indane gas Petrochemicals Crude Oil SERVO lubricants & greases Kerosene • Haimann Defines the term direction as “ the process and techniques utilized in issuing instructions and making certain that operations are carried on as originally planned ”. • Earnest Dale Defines the term direction as “ Telling the people what to do and seeing that they do it to the best of their ability .It includes making assignments. Corresponding procedures ,seeing that mistakes are corrected ,provide on-the –job instructions and of course ,issuing orders.” • Harmonizing objectives is the essence of Directing. • Leading the subordinate and motivating ,guiding and inspiring the employees to utilize their human resources to maximum extent . • Directing involves leadership that essentially helps in creating appropriate work environment and build up team spirit. • The end of direction is achievement of enterprise plans and objectives . Direction is an important managerial function. Through direction, management initiates actions in the organisation. Direction function is performed at every level of management. It is performed in the context of superior-subordinate relationship and every manager in the organisation performs his /her duties both as a superior and a subordinate. Direction is a continuous process and it continues throughout the life of the organisation. A manager needs to give order to his subordinates, motivate them, lead them and guide them on continuous basis. Direction initiates at the top level in the organisation and follows to bottom through the hierarchy. It emphasizes that a subordinate is to be directed by his own superior only. IMPORTANCE OF DIRECTING It Initiates Actions - Directions is the function which is the starting point of the work performance of subordinates. It is from this function the action takes place, subordinates understand their jobs and do according to the instructions laid. It Integrates Efforts - Through direction, the superiors are able to guide, inspire and instruct the subordinates to work. For this, efforts of every individual towards accomplishment of goals are required. This can be done through persuasive leadership and effective communication. Integration of efforts bring effectiveness and stability in a concern. Means of Motivation - Direction function helps in achievement of goals. A manager makes use of the element of motivation here to improve the performances of subordinates. Motivation is also helpful for the subordinates to give the best of their abilities which ultimately helps in growth. It Provides Stability -Stability and balance in concern becomes very important for long term sun survival in the market. This can be . brought upon by the managers with the help of four tools or elements of direction function - judicious blend of persuasive leadership, effective communication, strict supervision and efficient motivation. Efficient Utilization of Resources - The resources can be utilized properly only when less of wastages, duplication of efforts, overlapping of performances, etc. doesn‘t take place. Through direction, the role of subordinates become clear as manager makes use of his supervisory, the guidance, the instructions and motivation skill to inspire the subordinates Coping up with the changes - It is a human behavior that human beings show resistance to change. Adaptability with changing environment helps in sustaining planned growth and becoming a market leader. It is directing function which is of use to meet with changes in environment, both internal as external. Effective communication helps in coping up with the changes. • • • • • • • • HARMONY OF OBJECTIVES UNITY OF COMMAND MANAGERIAL COMMUNICATION MAXIMUM CONTRIBUTION APPROPRIATENESS OF DIRECTION TECHNIQUE USE OF INFORMAL ORGANISATION LEADERSHIP FOLLOW THROUGH Principle of Harmony of Objectives: According to this principle, there must be full coordination between organizational and individual objectives. Employees work in an organization with an objective to get better remuneration, promotion, etc. On the other hand, organizational goal is to earn more profits and to increase market share. Management here must establish coordination between the objectives of both the parties/factors by adopting suitable method of direction. Principle of Unity of Command: According to this principle, a subordinate should get directions from one officer at a time. If the subordinate gets directions from more than one officer, the subordinate will be unable to priorities his work. As a result, situation of confusion, conflict and disarrangement is created. By following this principle, effective direction takes place Principle of Managerial Communication: According to this principle, it should be monitored by the management that the subordinates get the same meaning for what has been said. This simplifies the job of the subordinates and they need not go to the managers repeatedly for enquiring. Principle of Maximum Contribution: According to this principle, management should adopt that directing policy through which the employees get motivated and give their maximum individual contribution for the achievement of organizational objective. Principle of Technique: Appropriateness of Direction According to this principle, appropriate direction techniques should be used, e.g., to supervise effectively, to provide able leadership, to adopt free communication and to motivate through right medium. Principle of Use of Informal Organization: According to this principle, there must be a free flow of information between the seniors and the subordinates. Information should be given both through formal and informal mediums. Special attention should be given to the informal organization. This strengthens the formal organization Principle of Leadership: According to this principle, while giving directions to the subordinates a good leadership must be provided by the managers. By this, subordinates get influenced by the managers. In this situation, subordinates act according to the wish of the managers. Principle of Follow Through: According to this principle, it must be monitored by management as to what extent the policies framed and issued directions have been enforced. As per this principle, the job of managers is not to sit idle after framing policies or issuing directions but to continuously take feedback. The advantage of this will be that if there is any problem in implementing a policy or a direction it can be removed then and there. • • • • • LEADERSHIP COMMUNICATION MOTIVATION SUPERVISION CO-ORDINATION Leadership is art or process of influencing people so that they will strive willingly and enthusiastically towards the achievement of group goal. Leadership plays a very important role in the success of an organisation. It is concerned with maintaining personal relations with followers and motivates them to contribute for achieving goals of the organisation. Communication is the process of exchange of ideas and information among people to create a common understanding. Communication constitutes a very important element of directing. The success of a manager depends fully on the ability to communicate effectively with his subordinates. That is why in every organisation great stress is laid on improving the communication skills. Directing will mainly depend upon the effectiveness of communication • FORMAL: It refers to the communication that flows through official channels in an organisation. • INFORMAL: It refers to the communication that take pace in an organisation without following the formal lines of communication. Motivation means a process stimulating people to action accomplish desired goals. of to The word motivation has been derived from the Latin word ‘movers’ which means to move. Motivation is the driving force that inspire people to put their efforts willingly for the achievement of organisational goals. Supervision consist of two words- super and vision. ‘Super’ means ‘over and above’; ‘Vision’ means ‘art of seeing’. As an element of directing, supervision means overseeing what the subordinates are doing and giving them instruction to ensure fuller and optimum use of resources for achieving organisational goals. Co-ordination is the unification, integration, synchronization of the efforts of group members so as to provide unity of action in the pursuit of common goals. Coordination in directing is required for the purpose of giving orders, instructions and suggestions among superior and subordinates as harmony between superior and subordinate is required to achieve the goal. • DELEGATION • SUPERVISION • ISSUING ORDERS AND INSTRUCTIONS Delegation refers to the downward transfer of authority from a superior to subordinate. It means granting of authority to subordinates to operate within a prescribed limit. PROBLEMS OF DELEGATION • DIIFICULT TO SPELL OUT TASKS. • SUBORDINATE MAY ACT BEYOND THE ASSIGNED AUTHORITY. • MAY CREATE IMBALANCE IN THE ORGANISATION. • MAY BE TOO RIGID • AUTHORITY- It refers to right of an individual to command his subordinates and to take action within the scope of his position • RESPONSIBILITY- It is the obligation of a subordinate to properly perform the assigned duty. • ACCOUNTABILITY- It implies being answerable for the final outcome of the assigned task. The issuing of order and instructions is essential to undertake the work for achieving the organisational goal. The order and instructions are the primary tools of directing by means of which the activities are started, alerted, guided and terminated. Supervision refers to the direct and immediate guidance and control of subordinates in performance of their task. This ensures: • that work is being performed as required • Maximum utilisation of resources • CLEAR AND EASILY UNDERSTOOD. • COMPATIBLE WITH THE COMPANY’S OBJECTIVES. • SHOULD BE IN WRITTEN FORM. • SHOULD BE CONVEYED THROUGH PROPER CHAIN OF COMMAND. • CONTAINS REASONS AS WELL. • Direction (wide) • Supervision (narrow) *It include motivation, communication, supervision, training & leadership. *Direction is generally at top level. *Generally, direction is related to supervision which is the intermediate link b\w the workers and management *Direction being at the top level, formulates polices and takes important decision. *Financial & non financial incentives. *Leads the efforts of medium and lower Level executives. *It is only one of the elements of direction. * It is restricted to the lower level management. *He has to deal, guide and lead workers directly under his commands. *Supervision at lower level only for implementation. *It cannot provide incentives but if can only recommend rewards in special case. *Efforts of employee under his commands.