Unit 4 - Managing Your Business
Learning Target 2 I can describe the functions of management
You now have a better understanding of what management is but what does a successful manager do? According to Henri Fayol successful managers need to perform 5 managerial functions to be successful.
These functions are controlling, organization, planning, staffing and leading.
Deciding what work needs to be done and how it will be done is the planning function. Managers need to identify the goals, determine methods for accomplishing these goals and figure out what resources will be needed to achieve the goals. Along with this, they may also create time lines and set dates for these goals. This function of management is the foundation for the other functions as they are all based on the planning decisions. Remember people do not plan to fail they fail to plan.
Once a plan has been made a manager needs to organize who does the work and establish a chain of command. The goal of this function is to make sure the work gets done as efficiently as possible while getting the most out of each employee. Along with this, employees are given clear instructions on who their managers are.
One of the more important management functions is staffing. A business is only as good as the people they employ. The staffing function is where a business finds employees. Managers need to identify the skills needed to preform the specific tasks and how to recruit the best people to apply for those jobs. Once they have applicants they have to assign work areas and determine compensation. Along with this, staffing involves training the current employees so they have skills needed in the future so the business can maintain a sustainable competitive advantage.
Once they have the employees they need and fully trained they need to provide guidance to its workers and work projects. This is the directing function of management. This function is where they direction is set and employees are influenced by employees to follow that direction. Managers can influence or motivate employees by offering incentives for their good work. These incentives can include but are not limited to bonuses, pay increases, promotions, paid time off, etc…
Now that the business has a plan, the right employees are hired, and incentives have been offered, now the business must monitor and measure the employee’s performance in order to identify problem areas and the needed changes. This is what the controlling function involves. There is a strong correlation between the planning function and the controlling function. It is one thing to set goals it is another thing to make sure the goals are met and if they are not being met determine what changes are needed.
Watch this video for some more in depth information about the functions of management. For each open ended question asked in the video, write the question on a separate sheet of paper and then provide your answer below the question you wrote out. Be prepared to turn your paper in.
Make The Connection: Interview a person who currently holds a management title and ask them how they perform each of the functions of management. If you need more information on what the functions of management are here is a great resource