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Management Functions
Management in some form or another is an integral part of living and is essential wherever human efforts
are to be undertaken to achieve desired objectives. Management is a set of principles relating to the
functions of planning, organizing, directing, and controlling, and the applications of these principles in
harnessing physical, financial, human and informational resources efficiently and effectively to achieve
organizational goals.
Management is essential for organized life and necessary to run all types of organizations. Managing life
means getting things done to achieve life’s objectives and managing an organization means getting things
done with and through other people to achieve its objectives.
There are basically five primary functions of management. These are:
1.Planning
2.Organizing
3.Staffing
4.Directing
5.Controlling
Planning - Planning is the fundamental management function, which involves deciding
beforehand, what is to be done, when is it to be done, how it is to be done and who is going to do
it. It is an intellectual process which lays down an organisation’s objectives and develops various
courses of action, by which the organisation can achieve those objectives. It chalks out exactly, how
to attain a specific goal.
Definition - According to Louis A. Allen, Management planning involves the
development of forecasts, objectives, policies, programmes, procedures, schedules
and budgets.
Advantages:
Attention on Objectives
Minimizing Uncertainties
Better Utilization of Resources
Economy in Operations
Better Co-ordination
Encourages Innovations and Creativity
Management by Exception Possible
Facilitates Control
Facilitates Delegation
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Disadvantages:
Rigidity
Misdirected Planning
Time consuming
Probability in planning
False sense of security
Expensive
Organising - Organizing is the function of management which follows planning. It is a function in
which the synchronization and combination of human, physical and financial resources take place.
All the three resources are important to get results. Therefore, organizational function helps in
achievement of results which in fact is important for the functioning of a concern.
Definition - According to Theo Heimann, "Organising is the process of defining and grouping
the activities of the enterprise and establishing the authority relationships among them."
Advantage:
Specialization
Operational Speed
Operational Clarity
Disadvantage:
Segregation
Weakening of Common Bonds
Lack of Coordination
Territorial Disputes
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Staffing - Staffing is the process of hiring eligible candidates in the organization or company for
specific positions. In management, the meaning of staffing is an operation of recruiting the
employees by evaluating their skills, knowledge and then offering them specific job roles
accordingly.
Definition - According to Theo Heimann, “Staffing is concerned with the placement, growth
and development of all those members of the organization whose function is to get the things done
through the efforts of other individuals.”
Advantage:
Accommodate Employee Lifestyles
Help When Needed -- No Overtime
Disadvantages:
Fewer Employee Benefits
Low Wages
Directing - Directing refers to a process or technique of instructing, guiding, inspiring, counselling,
overseeing and leading people towards the accomplishment of organizational goals. It is a
continuous managerial process that goes on throughout the life of the organization.
Definition - According to Human, “Directing consists of process or technique by which
instruction can be issued and operations can be carried out as originally planned”
Advantages:
Leads to Increase in Productivity
Boosts Employee Morale
Disadvantages:
Takes Time Away from Performing Tasks
Fosters a Clash of Personalities
Controlling - Controlling consists of verifying whether everything occurs in conformities with the
plans adopted, instructions issued and principles established. Controlling ensures that there is
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effective and efficient utilization of organizational resources so as to achieve the planned goals.
Controlling measures, the deviation of actual performance from the standard performance,
discovers the causes of such deviations and helps in taking corrective actions.
Definition - Control is the process of bringing about conformity of performance with planned
action.” Dale Henning
Advantages:
Efficient Execution
Helps Delegation
Aid to Decentralisation
Assists Co-ordination
Simplifies Supervision
Aids to Efficiency
Boosts Morale
Disadvantages:
Difficulty in Setting Quantitative Standards
No Control on External Factors
Resistance from Employees
Costly Affair
