Management functions by paramesh

Functions of Management

Presented by:-
P SVSSN Parameswarao
MBA 3rd Sem, Bharatiar
Acharya B-school,Bangalore.

• Management

• It includes:
 Management of business and profit making private and
government run organizations.
 non-profit making organizations.
 trusts, societies, associations, charitable organizations.
 governmental organizations.
 NGOs.
 educational organizations e.g. universities, colleges,
schools.
 day care units.
 hospitals and other health care organizations.
 sports related organizations and clubs.
 religious organizations.

• Management for any organization is a function
of organizing and channeling the people
together to accomplish desired goals.

• In common understanding, management is
also referred to the body or group of persons
who perform the various functions of
management.

Hierarchical Levels of Management

• Top management (including the members of
the board of directors of the company).
• Senior management (or upper management;
normally, the heads of various departments).
• Middle management (responsible for
operational management).
• Junior or lower management (they include
supervisors, team leaders or, foreman etc)

Management consists of the functions given below:
(based on Henri Fayol's thinking on the functions of management.)
• Planning: generating plans of action for immediate, short
term, medium term and long term periods.

• Organizing: organizing the resources, particularly human
resources, in the best possible manner.

• Staffing: positioning right people right jobs at right time.

• Directing (includes leading, motivating, communicating and
coordinating): Communicate and coordinate with people to
lead and enthuse them to work effectively together to
achieve the plans of the organization.

• Controlling (includes review and monitoring): evaluating
the progress against the plans and making corrections
either in plans or in execution.

“You need to plan the way a fire department
plans.”
... Andrew S. Grove

“Preparation is everything. Noah did not start
building the ark when it was raining.”
... Warren Buffett

Each of these functions is explained in some detail below:

• 1. Planning

Planning is decision making process.
It is making decisions on future course of actions.
Planning involves taking decisions on vision, mission,
values, objectives, strategies and policies of an
organization.
Planning is done for immediate, short term, medium
term and long term periods.
It is a guideline for execution/implementation.
It is a measure to check the effectiveness and efficiency
of an organization.

Importance of planning –
The Ant and the Grasshopper
In a field one summer's day a Grasshopper was hopping about,
chirping and singing to its heart's content. An Ant passed by,
bearing along with great toil an ear of corn he was taking to the
nest.

"Why not come and chat with me," said the Grasshopper,
"instead of toiling and moiling in that way?"

"I am helping to lay up food for the winter," said the Ant, "and
recommend you to do the same."

"Why bother about winter?" said the Grasshopper; we have got
plenty of food at present." But the Ant went on its way and
continued its toil. When the winter came the Grasshopper had
no food and found itself dying of hunger, while it saw the ants
distributing every day corn and grain from the stores they had
collected in the summer. Then the Grasshopper knew:

It is best to prepare for the days of necessity

e.g. Planning involves developing a systematic
process,

• the second will be to create a business plan
since
– "the development of the business plan greatly
helps to clarify the organization's plans and ensure
that key leaders are all ,for attaining the goals of
the organization.
• See sample business plan along with this.

MISSION , VISION , & GOALS ARE related PART OF PLANNING:

• Reliance insurance

• Vision:

– “ Empowering everyone live their dreams.”

• Mission:
– Create unmatched value for everyone through dependable, effective,
transparent and profitable life insurance and pension plans.

• Our Goal:

– Reliance Life Insurance would strive hard to achieve the 3 goals
mentioned below:
• Emerge as transnational Life Insurer of global scale and standard
• Create best value for Customers, Shareholders and all Stake holders

• 2. Organizing

Organizing involves determination and grouping of the
activities.
Designing organization structures and
departmentation based on this grouping.
Defining the roles and responsibilities of the
departments and of the job positions within these
departments.
Defining relationships between departments and job
positions.
Defining authorities for departments and job
positions.

Management functions by paramesh

Effective Delegation of Work
• Story:

• The Wolf and the Shepherd

A Wolf had been prowling around a flock of Sheep for a
long time,and the Shepherd watched very anxiously to prevent
him fromcarrying off a Lamb. But the Wolf did not try to do any
harm.Instead he seemed to be helping the Shepherd take care
of the Sheep. At last the Shepherd got so used to seeing the Wolf
About that he forgot how wicked he could be.

One day he even went so far as to leave his flock in the Wolf's care
while he went on an errand. But when he came back and saw how
many of the flock had been killed and carried off, he knew how
foolish to trust a Wolf as he exclaimed. “I have been rightly
served; why did I trust my sheep to a Wolf?”

Moral
• Delegate your task wisely, and only to
people you trust.

Companies have risen and fallen because they have entrusted
the wrong CEOs and successors with the management duties.
Many great family businesses had been ruined at the hands of
the children or grandchildren who took over the helm, based
on who they were rather than what they could do. When
businesses failed, CEOs rightfully took the brunt. The people
responsible for delegating the management duties should not
be spared either.

• Staffing
It includes manpower or human resource
planning.
Staffing involves recruitment, selection, induction
and positioning the people in the organization.
Decisions on remuneration packages are part of
staffing.
Training, retraining, development, mentoring and
counseling are important aspects of staffing.
It also includes performance appraisals and
designing and administering the motivational
packages.

The Goose with the Golden Eggs
• Staff is the most valuable asset

One day a countryman going to the nest of his Goose found there
an egg all yellow and glittering. When he took it up it was as
heavy as lead and he was going to throw it away, because he
thought a trick had been played upon him. But he took it home
on second thoughts, and soon found to his delight that it was an
egg of pure gold. Every morning the same thing occurred, and he
soon became rich by selling his eggs. As he grew rich he grew
greedy; and thinking to get at once all the gold the Goose could
give, he killed it and opened it only to find nothing.

“The most important factor: our respect for the
individual. In IBM it occupies a major portion of
management time.”
... Thomas J. Watson, Jr.

“People are the lifeblood of any airline.”
... Rod Eddington

“You can't treat your people like an expense item.”
... Andrew S. Grove

“The more time I spend with our people, the more
I find out about our business.”
... Herb Kelleher

“Human resources are the greatest assets of any
company.”
... Narayana Murthy

• 4. Directing
– It is one of the most important functions of
management to translate company's plans into
execution.
– It includes providing leadership to people so that they
work willingly and enthusiastically.
– Directing people involves motivating them all the time
to enthuse them to give their best.
– Communicating companies plans throughout the
organization is an important directing activity.
– It also means coordinating various people and their
activities.
– Directing aims at achieving the best not just out of an
individual but achieving the best through the groups
or teams of people through team building efforts.

• 5. Controlling
It includes verifying the actual execution against the
plans to ensure that execution is being done in
accordance with the plans.
It measures actual performance against the plans.
It sets standards or norms of performance.
It measures the effective and efficiency of execution
against these standards and the plans.
It periodically reviews, evaluates and monitors the
performance.
If the gaps are found between execution levels and
the plans, controlling function involves suitable
corrective actions to expedite the execution to match
up with the plans or in certain circumstances deciding
to make modifications in the plans.

FOUR MANAGEMENT FUNCTIONS ON HP
• The functions of management centre on the application of
human resource management and technology in HP
organizational functions of the management are geared
towards enabling the achievement of the company core
objectives.
• The management functions in the company may change in
response towards changes in market environment and
technology, or due to organizational growth.
• The human resource aspect is very important for any
company.
• In HP the company management has emphasized the value
of better organization of human resource and technology
to achieve its goals. The company has achieved this
through; four functions of management that are important
in creating and maintaining an efficient and effective
organizational culture namely; planning, organizing, leading
and controlling

• Planning : This is the process of developing the company's mission and
defining specific methods of accomplishing it. It can be on a broader or
narrow perspective depending on the scope of the goal.
– Planning comes in a number of ways since all sectors in HP company or rather
any other business require some form of planning in order to stick to what
has been planned.
– First, there is financial planning which entails the budgeting allocations
for all the programs being undertaken within the company. Provision of
benefits, compensations and salaries are also taken care of at this
stage.
– Human resource planning is crucial to achieving the best from
employees. The goal of planning in relation to human resource is to
assist HP to meet its strategic objectives, planning also ensure that the
employees are effectively managed and well maintained.
– The company ensures better work force planning by proper selection
and recruitment, offering orientation and induction to the new
recruits, organizing trainings to develop and equip them with new
skills. This together with better employment benefits goes a long way
in making the employees achieve their targets. In addition the
company is able to equip its employees with the latest technological
tools which the employees use to achieve efficiency. This improves the
technology of the company as more innovations are created.

• Organizing is how the internal structure of the company is
set. It generally focuses on the division, coordination of
activities and how tasks are controlled within the company.
– General company procedure demand good organization from
the leaders and managers. At HP for the management is
responsible for organizing all activities of the employees. This
includes meetings that bring together all the employees on
board. They also organize daily and monthly meetings within the
specific affiliate factories when an issue arises. Proper
organization of a meeting or how a project will be conducted
results in a successful of the company. Through, these meeting
employees are able to exchange views and ideas on how best to
improve their work. It is at this meeting that new ideas on
technological improvement come up. HP is sorely based on
technology, and the managed has insured better organization by
providing what is required in terms of tools, materials and
skilled manpower. Without proper organization no company can
be successful as they will be conflicts in the company. In HP this
has been avoided.

• Leadership is also described as directing people to do specific
duties by influencing their personal behavior through incentives
and motivation, teamwork, individual dynamics and discipline.
The core purpose of leadership is to channel all the employees'
behavior towards attaining the company's objectives.
– Leadership is thus essential in creating and maintaining a
healthy organizational culture within HP. Leading does not
necessarily come from that in power but from any
individual who provides information and suggestions on
the way forward. Decision making within HP rests on the
shoulders of the managers and leaders in the company
who usually take risks whenever an issue that requires to
be addressed arises. In improving its technology aspects
hp have managed to created good team leaders. Teams are
usually very inventive and team leaders are used to guide
and oversee that the employees are able to achieve new
products and improve on product technology.

Management functions by paramesh

More Related Content

What's hot (20)

Viewers also liked (20)

Similar to Management functions by paramesh (20)

More from Parameswar Rao (16)

Recently uploaded (20)

Management functions by paramesh

Editor's Notes