Function Of Management Flashcards
Provides a methodical way of achieving desired results.
Plan
Serves as a useful guide in the implementation of activities
Plan
Involves anticipating future trends and determining the best strategies and tactics to achieve organizational objectives
Planning
Selection and sequential ordering of tasks required to achieve an organizational goal
Planning
Is deciding what will be done, who will do it, where, when and how it will be done.
Planning
Various Management Levels
- Top Management Level
- Middle Management Level
- lower Management Level
Refers to the process of determining major goals of the organization and the policies and strategies for obtaining and using resources achieving these goal
Strategic Planning
Refers to the process the contributions that sub units can make with allocated resources.
Intermediate Planning
Refers to the process of determining how specific tasks can be best accomplished on time with available resources
Operational Planning
The Planning Process
• Setting Goals
• Developing Strategies or Tactics
• Determining Resources Needed
• Setting Standards
Providing a sense of Direction to firm
Setting Goals
After determining the goals, the next step is to devise some means to realize them
Developing strategies or Tactics
The plan of action that seeks to achieve an overall goal.
Can be considered as the general direction that one intend to take with the goal
Strategy
Defines how the business is going to prioritize different steps in carrying out a specific strategy.
The specific actions that will be taken in implementing the strategy
Tactic
Basis on Scheduling & Prioritizing Activities
- Pre-requisites
- Degree of Importance
- Deadline
- Availability of Interested Parties
- Availability of Resources
If other activities are only possible to get started once the previous or precedent activity is already implemented
Pre-requisites
The effect or outcomes of the activity once executed
Degree of Importance
Activity with the nearest deadline comes first
Deadline
If the activity is cross-functional and completion is not possible without the presence of the interested parties, determining the schedule that will fit each of the interested parties availability is necessary
Availability of Interested Parties
If material availability is a constraint, resequencing of activities if possible can be considered
Availability of Resources
When particular sets of strategies or tactics have been devised, the engineer management will determine the human and nonhuman resources required by such strategies tactics
The quality and quantity of resources needed must be correctly determined
Determining Resources Needed
Examples of Resources
•Machineries, tools, Equipment
• Raw Materials
• Utility & Office Supplies
• Manpower
Examples of Standards
•Basic Standards
•Product Specification Standards
•Process Standards
•Code of Conduct
•Management System Standards
Fundamental standards for weights and measures
Basic Standards
Standards for the physical, chemical, electrical, technical and mechanical characteristics of products and materials
Product Specification Standards
Series of actions or operations used in making a product and provide the methodology to perform these processes in a consistent way
Process Standards
Collections of mandatory standards that have been codified by government authorities and become law
Code of Conduct
Requirements that can be applied to any organization, regardless of the product it makes or the service it performs
Management System Standards
Functional Area Plans
•Marketing Plan
•Production Plan
•Financial Plan
•Human Resources Management Plan
Plan for marketing activities related to a particular marketing strategy
Marketing Plan
States the quantity of output of a company must produce in broad terms and by product family
Production Plan
Summarizes the current financial situation of the firm, analyses financial needs and recommends direction for financial activities.
Financial Plan
Detailed human resources requirements in terms of quantity and quality based on the requirements of the company’s strategic plan
Human Resources Management Plan
Types of Plans
- Functional Area Plans
- Plans with time Horizon
- Plans According to Frequency of Use
Plans intended to cover a period of less than 1 year
Short Range Plans
Plans covering a time span of more than 1 year
Long Range Plans
Plans that are used again and again, and they focus on managerial situations that recur repeatedly
Standing Plans
Broad guidelines to aid managers and every level in making decisions about recurring situations or function
Policies
Plans that describe the exact series of actions to be taken in a given situation
Procedures
They are statements that either require or forbid a certain action
Rules
Plans are specifically developed to implement courses of action that are relatively unique and are unlikely to be repeated.
Single use plans
Plan which sets forth the projected expenditure for a certain activity and explains where the required funds will come from
Budgets
Designed to coordinate a large set of activities
Programs
Usually more limited in scope than a program and is sometimes prepared to support a program
Projects
Making Planning Effective
• Recognize the Planning Barrier
• Use of Aids to Planning
Planning Barriers
• Manager’s inability to plan
• Improper planning process
• Improper information
• Lack of commitment to the planning process
• concentrating on only the controllable variables
Aids to Planning
•Gather as much information as possible
•Develop multiple sources of information
•Involve others in the planning process
Structure of resources and activities to accomplish objectives in an efficient and effective manner
Organizing
Process of identifying and grouping of the works to be performed, defining and delegating responsibility and authority and establishing relationships for the purpose of enabling people to work most efficiently.
Organizing
Arrangement of relationship of positions within an organization
Structure
The structure that details lines of responsibilities, authority and position
Formal Organization
Diagram of the organization’s official positions and formal lines of authority.
Organization Charts
Provides written descriptions of authority relationships, details the functions of major organizational units, and described job procedures
Organizational manual
Describes personnel activities and company policies
Policy Manuals
Types of Organizational Structure
- Vertical/Tall Organizational Structure
- Horizontal/Flat Organizational Structure
Usually used in large, traditional companies
Vertical/Tall Organizational Structure
Involves self managing teams that set their own goals and make their own decisions. Organized by process instead of function and is customer-oriented.
Horizontal/Flat Organizational Structure
Allocating Authority
•Authority
•Hierarchy of Authority
•Span of Control
The power to hold people accountable for their actions and to make decisions concerning the use of Organizational resources
Authority
An organization’s chain of command, specifying the relative authority of each manager
Hierarchy of Authority
Refers to the number of workers a manager manages
Span of Control
Fundamental Concept of Organizing
• Differentiation
• Integration
An organization is composed of units that work on specialized tasks using different work methods and requiring employees with unique competencies
Differentiation
Various unit must be put back together so that work is coordinated
Integration
Nature of Organizing
- Group of Persons
- Common Objectives
- Division of Work
- Cooperative Efforts
- Communication
- Central Authority
- Rules & Regulations
- Dynamic Element
Group of people working together to achieve common objectives
Group of Persons
Basis of cooperation among members to conquer personal interests
Common Objectives
Total task is divided into members of the group.
Is necessary not only because one individual cannot do all the work but specialization results in efficiency and effectiveness
Division of Work
When members of an organization are willing to help each other for the achievement of desired goals.
Cooperative Efforts
People who form a organization communicates with each other in order to integrate or coordinate their efforts
Communication
Authority which controls the concerted effort of the group
Central Authority
Laid down and enforced by central authority for the orderly and systematic working of members
Rules & Regulations
An organization is not a mere mechanical structure but living organism arising out of sentiments, attitudes and behaviour of people.
Dynamic Element
4 Steps in Organizing
- Identification of Activities
- Grouping of Activities
- Delegation of Authority
- Assignment of Duties
Determining the tasks that must be performed to achieve the established objectives
Identification of Activities
Various activities are grouped into departments or divisions according to similarity and common purpose
Grouping of Activities
Every individual must know to whom he is accountable and who are his subordinates
Delegation of Authority
Group of activities are the alloted to different positions.
Assignment of Duties
Importance of Organizing
- Facilities Administration
- Encourages Growth and Diversification
- Optimum Use of expertise
- Stimulates Innovation & Technology
- Encourages Good Human Relations
- Ensures Continuity of Enterprise
- Coordination
Providing a framework of coordination and control
Facilities Administration
Systematic division of work and consistent delegation of authority facilities taking up of new activities and meeting new demands
Encourages Growth & Diversification
Appropriate knowledge, skills and experience are utilized in order to facilitate efficient execution of activities
Optimum Use of Expertise
High quality of their performance is achieved bigger idea are obtained
Stimulates Innovation & Technology
Assignment of right jobs to right person improves job satisfaction and interpersonal relations
Encourages Good Human Relations
It provide avenues for development and promotions through delegation and decentralization
Ensures Continuity of Enterprise
Clear channels of communication among the members of the organization leads to coordination
Coordination
Importance of Staffing
• Helps find out effective workforce
• Improves organization’s performance & productivity
• Facilitates in identifying future staffing requirements
• Ensures continual survival and growth of the organization
• Ensures training and development of the employees
• Develops personnel to take up managerial position in the organization
• Increase employee morale and job satisfaction
Process of Staffing
• Manpower Planning
• Recruitment
• Selection
The process of forecasting the firm’s future demand for and supply of competent workforce
Manpower Planning
Entails seeking, stimulating and obtaining as many applications as possible from the eligible and competent candidates
Recruitment
Decisive step of the staffing process, which involves differentiating between applicants, so as to identify and choose the candidate who best fulfils the qualifications and requirements of the vacant position
Selection
Ways of Determining The Qualifications of A Job Candidate
- Application Blanks
- References
- Interviews
- Testing
Provides information about a person’s characteristics
Application Blanks
Statements may provide some vital information on the character of the applicant
References
Information may be gathered in an interview by asking a series of relevant questions to the job candidates
Interviews
This involves an evaluation of the future behaviour or performance of an individual
Testing
Types of Interview
- Preliminary Interview
- Employment Interview
The purpose of this interview is to scrutinized the applicants, elimination of unqualified applications
Preliminary Interview
Means for the employer to determine deeper technical skills and knowledge of the employee, usually in line with the activities of the open position
Employment Interview
Standard measure of a sample behaviour
Psychological Tests
Types of Psychological Tests
- Aptitude Test
- Performance Test
- Personality Test
- Interest Test
- Physical Examination
Person’s capacity or potential ability to learn
Aptitude Test
Person’s current knowledge of a subject
Performance Test
Personality traits as dominance, sociability and conformity
Personality Test
Person’s interest in various field of work
Interest Test
A type of test given to assess the physical health of an applicant.
Physical Examination
Allocating of rank and responsibility to selected candidate
Placement
Provide the new employee with the information they require for functioning comfortably and efficiently in an organization
Orientation & Induction