Management Functions

In today's business world managers follow certain rules that help them be better at their job and also contribute to the success of the business. The functions of management are established to help managers see the business operations with more clarity and understanding. This report will look at the four functions planning, organizing, directing and controlling. In business managers are divided into three parts: top-level, middle managers and first-level managers. Each level of management uses the four functions of management to do their job better.

Management success is gained through accomplishment of mission and objectives. Managers fail when they do not accomplish mission and objectives. Success and failure are tied directly to the reasons for being in business, i.e., mission and objectives. However, accomplishing mission and objectives is not sufficient. Success requires both effectiveness and efficiency. Managers who accomplish their mission and objectives are said to be effective. Efficiency describes the relationship between the amount of resources used (input) and the extent to which objectives were accomplished (output). If the cost of accomplishing an objective is prohibitive, then the objective is not realistic in the context of the firm's resources. Additional planning is necessary. Management is defined as the process of setting and achieving goals through the implementation of some basic management functions. These functions include planning, organizing, leading, and controlling. By using these key tools, one can create an organization as a whole consisting of unified parts acting in harmony to achieve goals, both successfully and proficiently. It is common knowledge to many managers and employees today that the very goal of one organization is to be as efficient and effective as possible. Planning, which can otherwise be known as the "first" function of management, places the groundwork in position for the other functions of management. Planning is a constant process that entails determining courses of action to respond to the questions of what should be done, by whom, where, when, and how. By planning properly, one will devise a proposal for the organizational activities necessary to reach the objectives one has set for themselves or their team.

There are three basic management skills: technical, human and conceptual. A technical skill is the ability to use tools, techniques, and specialized knowledge to carry out a method, process, or procedure. (Higgins, page 13) Much of the technology that farmers know and can use so well comes under this management skill. Human skills are used to build positive interpersonal relationships, solve human relations problems, build acceptance of one's co-workers, and relate to them in a way that their behavior is consistent with the needs of the organization. Conceptual skills involve the ability to see the organization as a whole and to solve problems in a way that benefits the entire organization. (Higgins, page 15) Analytical, creative and intuitive talents make up the manager's conceptual skills.

Planning - Planning is concerned with the future impact of today's decisions. It is the fundamental function of management from which the other four stem. The need for planning is often apparent after the fact. However, planning is easy to postpone in the short-run. Postponement of planning especially plagues labor oriented, hands on managers. The organizing, staffing, leading and controlling functions stem from the planning function (Higgins, Figure 6.1.) Likewise, the leading function, influencing the behavior of people in the organization, depends on the goals to be achieved. Finally, in the controlling function, the determination of whether or not goals are being accomplished and standards met is based on the planning function. The planning function provides the goals and standards that drive the controlling function. Planning is important at all levels of management. However, its characteristics vary by level of management. (Figure 6.2) Note in this figure that the characteristics of the world being simple, certain, structured and short-term often become rationalizations for top managers not to plan.

Organizing - defining roles and responsibilities to ensure that people with the skills required to discharge functions are available with the tools and materials to complete them successfully. Organizing is establishing the internal organizational structure of the business. The focus is on division, coordination, and control of tasks and the flow of information within the organization. Managers distribute responsibility and authority to job holders in this function of management. Each organization has an organizational structure. By action