FUNCTIONS OF MANAGEMENT

Management at a personal or corporate level is an important aspect of human activity.

Individuals manage their own unique daily activities to survive while leaders of groups
manage group affairs to enable them meet desired goals and objectives.
Management knowledge is important if managers have to achieve any set objectives. The
analysis of this knowledge is classified into classes based on what managers do on a daily
basis in the process of carrying out their duties.
Management can be defined as a set of activities directed at the efficient and effective
utilization of resources in order to achieve set objectives.
These processes of management functions are universally applicable in all types of
economic systems and they include:-
 planning
 Organizing
 Staffing
 Directing/leading
 Controlling
1. Planning

Planning is the process of determining the mission, goals, strategies and objectives of an
organization which is achieved through development of plans/blueprints.
A plan is a set of activities which can be classified into three categories namely;-

1. Strategic plans
These are long term plans lasting more than five years that are developed by top level
management to guide the general direction of the organization. They include the corporate
mission, objectives of the organization and nature of business the firm intends to operate in.

This corporate strategy takes into account the organizational strengths and weaknesses
alongside the environmental opportunities and threats (SWOT). It aims at analyzing and
capitalizing on its strengths and opportunities that arise while minimizing and avoiding its
weaknesses and threats that arise from the operating environment.

2. Tactical plans
These are medium range plans lasting between one to five years that are developed by the
middle level management and are intended to show how the strategic plan will be
implemented.
They focus on specific time lines and specific resources.

3. Operational plans
These are short-term plans usually less than one year that are developed by the lower level
management.
They relate to specific work operations that leads to production of goods and services.
SMART-
Contingency planning
This is part of the planning process where managers identify alternative courses of action
that the organization may follow in case various anticipated conditions arise.
This is due to the dynamic nature of the environment where changes are bound to occur
any time.
The manager should thus monitor the contingent events and apply the plan accordingly.
2. Organizing
The term organizing is used in management in two different senses namely;- as a structure
and as a process. As a structure, organization is the framework or mechanism within which
people live and work together for the accomplishment of certain objectives.
It is also regarded as the process of creating harmonious relationships between different
parts of an organization. This will entail identifying and grouping the work to be done,
defining and delegating responsibility and authority, establishing relationships for the
purpose of enabling people to work efficiently to achieve set goals and objectives.

In carrying out the organization function, there are key elements and concepts that should
be borne in mind and these are;-

Job design – this is the determination of what procedures and operations that are to be
performed by an employee occupying each position.

Job rotation – this involves systematically moving employees from one job to another. This
will help to train the employee in a variety of skills while helping to decrease boredom due
to monotony of tasks performed.

Job enrichment - This is giving employees more activities to perform which creates greater
challenge to them thus motivating them to higher productivity.

Delegation of authority – is the process through which the manager assigns part of his
duties to the subordinates and the authority necessary to carry them out.

Principles of organization
In order to design a sound organizational structure, the following principle are necessary;-
 Unity of objectives – all parts of an organization should be directed towards the
accomplishment of common set objectives.
 Span of control - Executives should not supervise more subordinates than they can
effectively manage on account of time limitation and ability.
 Division of labour – tasks/work/labour should be divided in such a way that the work
done by every individual in the organization is limited to performance of a single
task as much as possible. Thus activities should be grouped and divided into efficient
and related tasks.
 Delegation of authority – authority delegated to an individual should be adequate to
enable him accomplish expected results.
 Unity of command – each person should receive orders/instructions from only one
superior and be accountable to him only. This will avoid conflict in instructions and
divided loyalty. It enhances the feeling of personal responsibility for the outcome.
 Departmentalization
This is the process of grouping related tasks and the human resource performing the
tasks into smaller administrative units. This makes it easier to co-ordinate and
integrates activities thus enhancing achievement of organizational objectives.

Decentralization
This is the systematic effort to delegate authority to the lowest levels throughout
the organization. It is the opposite of centralization where authority is retained by
higher level managers within the organization. It implies greater powers to persons
and places away from the centre thus allowing important decisions to be made at
the lower levels without having to consult higher authorities.
The authority to make decisions lies at the point of action

Span of control
This refers to the number of subordinates a manager can supervise and control
effectively. There is a limit to the number of persons a manager can supervise and
control because he is faced with limited time and limited personal capability.

3. Staffing
This is the process of procuring and managing the human resources an organization
needs to accomplish its goals.
This process involves recruitment and selection, training and development and
appraisal of the human resource.

Recruitment and selection

When recruiting, an organization attracts a pool of qualified applicants from within
and outside the organization. Possible sources external to the organization are
universities and colleges, other organizations and recruitment agencies.
Selection is done after the applicants have been carefully scrutinized. The most
common technique of selection is the interview.

Training and development

Training involves the provision of skills that are necessary for the employee to
perform assigned tasks. Training and development could take the form of On-the-
job training, job rotation, institutional training, conferences and membership to
different committees.

Performance appraisal
This is the process of measuring and assessing the effectiveness of employees
achievement of set goals in the performance of their duties. Performance appraisal
can be carried out through performance rating, critical incident and management by
objectives (MBO).
 Performance appraisal is important because it helps an organization to verify the
validity of selection methods. It also provides the organization with a basis to
provide rewards to employees fairly thus improving productivity.

4. Directing
This is the most important managerial process and entails three elements namely;
motivation, communication and leadership

(i) Motivation

This is the energizing force or drive that makes people behave in a particular way. It
is an inner drive that directs behavior towards achievement of desired results.
Motives may originate from psychological or physiological needs. Motivation is
greatly affected by the environment in which the employee is operating. Therefore,
management of the environmental factors that affect workers is important.

Maslow’s hierarchy of needs

Abraham Maslow, a classical theorist gave five basic human needs which are in a
hierarchy form. He explained that higher needs will be fulfilled after lower level
needs and that once a need has been met; it ceases to be a need.
a. Basic needs – these are needs that must be met for an individual to survive and
include food, clothing and shelter.
b. Safety needs – which include need for a stable and safe environment relatively
free from threats
c. Love needs - which relate to affectionate relations with others and status within
a group
d. Self esteem needs – this is the need for self – respect and esteem (ego) needs.
The urge to be recognized for what one has achieved.
e. Self actualization – the need for self fulfillment; to grow and use one’s abilities
to the fullest and most creative extent. Need for personal growth beyond work,
need to find meaning in work, need for opportunities for self development and
skills enhancement opportunities.

(ii) Communication

This is the process of transferring and conveying information, meaning or understanding

from one person to another. Communication is important in management because it
facilitates co-ordination. Managers spend about 70% of their time communicating.
Communication can take the form of;-
 Written communication – in the form of memorandums, notices, reports, emails etc.
 Verbal communication – the use of words spoken through various channels e.g. face
to face, telephone etc. It may be directed to an individual or group.
 Non-verbal communication – information conveyed by actions, body language and
behaviours rather than by spoken or written words.
 While communicating, it is imperative that one chooses the most appropriate channel
which is basically determined by its ability to reach many people simultaneously, encourage
feedback, sensitivity of the information and personal focus on the receiver among others.

(III) Leadership
Leadership is a process of influencing and inspiring subordinates/employees to perform
their duties willingly and enthusiastically. A leader plays a directing role and commands
influence over others.

The most important types of leaders are as follows;-

 Charismatic leader – this is a leader who gains influence mainly from strength of
personality e.g. Churchill, Nelson Mandela, Hitler e.tc. These qualities cannot be
acquired by training; they can only be modified.
 Traditional leaders – whose position is assured by birth, e.g. kings queens, tribal
chiefs.
 Situational leader – this is a temporary kind of leader whose influence can only be
effective by being in the right place at the right time.
Leaders should be capable of assuming leadership role in a variety of situations over
a period of time.
 Appointed leader – This is a leader whose influence arises directly out of his position.
E.g. managers and supervisors.
 The functional leader – this is a leader who secures their leadership position by what
they do rather than what they are.

Leadership is a dynamic process and a not a static one. This implies that a range of
leadership styles are preferable to any one best style. Leadership styles could be;-
 Autocratic/authoritarian/military
 Democratic/participative/consultative/teamwork
 Laissez faire/carefree

 MBWA - Management By Walking Around

(5)Control
This is a managerial function which is concerned with evaluating how well the operations
are performing. This involves monitoring and adjusting planned organizational activities in
order to achieve set goals. Planning facilitates control because one cannot control what was
not planned for.
The process of control involves establishment of performance standards in terms of costs
and production levels. The second step is the measurement of actual performance while the
third step is the correction of deviations which arise from comparing the actual and targeted
performance.
Correction of deviations in performance may require that the manager revises and modifies
his goals and objectives. He may hire additional staff, do more training or change
managerial processes.