Functions or Process of Management
Functions or Process of Management
All the activities performed by managers at all levels to achieve the predetermined organizational objectives are
called functions of management. These functions are essential to create better working environment in the
organization.
Different authors have defined the functions of management in different ways. There is no uniformity among the
management scholars and authors regarding the functions of management. However, major functions of
management are as follows:
1. Planning: - Planning is the primary function of management. It is the process of determining the
organizational objectives and outlining appropriate courses of action for attaining those objectives. In
other words, it is deciding in advance what is to be done, how and where it is to be done, who is to do it
and how results are to be evaluated. It is looking ahead and preparing for the future. It aims to anticipate
future situations, challenges, and uncertainties and prepares the organization to effectively deal with them.
Planning is an intellectual process which involves the use of sound judgment, foresight, intelligence and
creativity. The basic purpose of planning is to make the best possible use of organization's resources to
attain the goals.
Organizing process results in the creation of organization structure with clearly defined hierarchy, roles
and responsibilities which serves as a framework for mangers and subordinates to perform their defined
functions effectively.
3. Staffing: - Staffing deals with human element in organization. It is the process of recruiting, selecting,
training, and retaining employees within an organization. Staffing mainly involves manpower planning,
recruitment, selection, training and development, compensation, performance appraisal, promotion and
transfer etc. It is a crucial aspect of management that ensures the right people with the appropriate skills
are in the right positions to achieve organizational goals effectively.
4. Directing/Leading: - Leading is also called directing function of management. Directing is the process
of guiding, instructing, influencing, supervising and motivating subordinates for achievement of
organizational goals. Directing involves some basic elements such as supervision, motivation,
leadership, communication, and coordination.
• Supervision- implies overseeing the work of subordinates by their superiors. It is the act of
observing & directing work & workers.
• Motivation- means inspiring, stimulating or encouraging the sub-ordinates to work with zeal and
enthusiasm towards the achievement of common goals. Positive, negative, monetary, non-
monetary incentives may be used for this purpose.
• Leadership- may be defined as a process by which manager influences and guides the work of
subordinates in desired direction.
• Communications- is the process of passing information, experience, opinion etc. from one person
to another. It is a bridge of understanding.
• Coordination-It is the process of integrating and synchronizing the activities and efforts of
different departments and individuals to bring unity of action among them.
Directing is the function of management which brings an organization into action. Planning, organizing
and staffing are merely preparations for doing work, but the work actually starts when the manager
performs the directing function. The success of management largely depends on effective direction.
5. Controlling: - Controlling is the process of measuring and comparing actual results with the standard and
taking corrective action if any deviation is found between standard performance and actual results or
performance. Controlling involves the following steps:
• Establishment of performance standard.
• Measurement of actual performance.
• Comparison of actual performance with the standards and finding out deviation if any.
• Analyzing the causes of deviation.
• Taking corrective action.
The purpose of controlling is to ensure that actual performance is consistent with plans and standards. It
keeps the performance on right track and ensures that plans are being properly implemented. everything
occurs in conformity with the standards. In the absence of sound control, there is no guarantee that the
objectives, which have been set, will be realized.