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what are the functions of management?

Management functions are particular types of specialized management activities that emerged in the division of managerial labor.


Management function is implemented in a complex of management tasks. The difference between tasks and functions is manifested in the fact that functions are a recurring type of activity of the organization, and tasks are activities that pursue the required results' achievement at a given time.


Management functions should provide direction, control and maintenance of business activities in the organization.


what are the functions of management


There are different classifications of management functions. Moreover, the differences are due, as a rule, to the characteristics underlying the classification.


The simplest and most understandable is the division of management functions into two groups:

  • common;
  • special.


A. Fayol formulated general management functions at the beginning of the XX century. They manifest themselves fundamentally the same in the management of an organization in any field of activity.


Among the general management functions, titration is considered to be the main one. Implementing it, an entrepreneur or manager:

  • formulates goals and objectives for the coming period;
  • develops an action strategy (strategic planning);
  • draws up the necessary plans and programs for their implementation (current planning).


The organizational function takes over the practical implementation of plans and programs. It is realized by creating the organization itself, the formation of its structure, the distribution of work among departments, employees and the coordination of their activities.


The motivational function consists of determining people's needs, choosing the most appropriate and effective way to meet them in a given situation to ensure the maximum interest of employees in the process of achieving the organization's goals.


Control is designed to identify impending dangers in advance, detect errors, deviations from existing standards, and create a basis for improving work.

Special functions occupy a special place in the control system, i.e. functions for managing certain objects (divisions of the organization).


In an organization, the following management objects can be distinguished:

  • production;
  • material and technical supply;
  • innovation;
  • marketing and sales of finished products;
  • frames;
  • finance;
  • accounting and analysis of business processes, etc.


The management of these objects is the content of the special management functions (Table 1).


Table 1. Contents of special control functions

Special function name

Function content

Manufacturing control

Determination of the volume of the current output of products or services

Arrangement of people

Organization of supplies of materials, raw materials, component parts, information to the places of their use

Organization of timely repair of equipment and machinery

Prompt elimination of failures and malfunctions in the technical process

Quality control

Procurement management

Conclusion of business contracts

Organization of procurement, delivery and storage of raw materials, components

Management of innovations (innovations)

Organization of scientific research, applied development

Prototyping Management

Organization of the introduction of new products into production

Marketing and sales management of finished products

Market research

Formation of sales channels

Development of pricing policy

Advertising of finished products

Organization of sending finished products to customers

HR management

Selection, placement, training, professional development of personnel

Personnel labor motivation

Creation of a favorable moral and psychological climate

Improving working and living conditions for employees

Maintaining contacts with the trade union organization

Financial management

Budgeting and financial plan of the organization

Formation and distribution of its financial resources, investment portfolio

Assessment of the current and future state of financial resources and taking the necessary measures to strengthen them

Management of accounting and analysis of economic activities

Collection, processing and analysis of data on the work of the organization

Comparison of the collected data with the baseline and planned indicators, the results of the activities of other organizations in order to timely identify problems and open reserves



Essential functions of organization management


The goal is those final boundaries, to achieve which, through the implementation of specific tasks, functions, the team's activities, subdivisions are directed. In the course of attaining goals in production management, the impact on the teams of departments, individual workers is achieved through the implementation of the management function.


The main functions of managing an organization are:

  • organization;
  • rationing;
  • planning;
  • coordination;
  • motivation;
  • the control;
  • regulation.


Organization as a management function finds its manifestation through organizational structures, organizational processes (functioning, development), organizational laws, organizational culture.


The organization of management is a set of techniques, methods, a rational combination of methods and links of the management system and its relationship with the management of objects and other control systems in time and space.

In this sense, the organization of management ensures creating the most favourable conditions for achieving goals (solving specific tasks set in a period of time with a minimum cost of production resources).


To organize in this case means to create a specific structure. The organization consists of many formal and informal elements that need to be brought into conformity to coordinate various problems to achieve common goals. People do the work in an organization, so another important aspect of the organization's function is determining who will do the job. To do this, the manager selects people explicitly, delegating tasks and authority to use the organization's resources. People - the subjects of delegation - take responsibility for the successful completion of the task. Thus, they recognize themselves as subordinate to the leader. 


The function of rationing should be considered as a process of developing scientifically based calculated values ​​that establish the quantity and quality of assessment of progressive elements used in the production and management process. This function influences the object's behaviour with clear and strict norms, disciplines the development and implementation of production tasks, ensuring a uniform and rhythmic course of production, its high efficiency. The scheduling standards calculated for this function (production cycles, batch sizes) serve as the basis for planning, determine the duration, the order of movement of plans in the production process.


The function of planning activities of an organization occupies a central place among all functions since it is designed to strictly regulate an object's behaviour to realize its goals and objectives. The planning function provides for determining specific tasks for each department for different planning periods and the development of production programs.


The planning function determines what the organization's goals should be and what needs to be done to achieve them. At its core, the scheduling function answers three basic questions:


a. Where are we currently? (assessment of real opportunities, taking into account external and internal factors).

b. Where do we want to go?

c. How are we going to do it.


Planning is not a one-time activity but an ongoing process. The plan should not become a dogma; it should continuously be consistent with reality.


The function of coordinating the organization's activities is carried out to ensure the coordinated and well-coordinated work of the production and functional divisions of the enterprise and shops participating in fulfilling the planned targets. This function is realized in the form of influence on a team of people, individual workers employed in the production process, by line managers and functional services.


The function of motivation influences the collective in the form of incentives for effective work of social influence, collective and individual incentive measures. Great plans and a perfect organizational structure will make no sense if people do not want to do the necessary work. 


The task of the motivation function is to ensure that people perform work in accordance with the delegated rights and responsibilities, following the plan. Managers have always performed the role of motivating their employees. In ancient times, they most often used a whip and a threat, less often a reward. As society developed, more and more attention was paid to the problem of motivation. The creation of positive motivation is the most important psychological task of modern management.


The control function is manifested in influencing the team of people by identifying, generalizing, recording, analyzing the results of production activities of each workshop and communicating them to the heads, departments, and management services to prepare management decisions. This function is implemented on the basis of operational, statistical, accounting data, identifying deviations from the established performance indicators and analyzing the reasons for variations.


Control is closely related to planning. It performs the function of feedback. There are three aspects of management control:

  • Setting standards is the precise definition of goals to be achieved by a specific date. It is based on plans.
  • Measuring what has been achieved by this date and comparing it with the desired results.
  • Actions taken to correct the identified deviations. One of the possible actions is to revise the goals to become more realistic and correspond to the situation. For example, suppose at seminars, which are one of the forms of knowledge control, students demonstrate faster than expected, and at the same time, excellent assimilation of the material. In that case, the teacher can change the program - expand it, as a result of which students will receive additional knowledge.

 

All of these management functions require information exchange and decision making. The exchange of information in the organization takes place through formal and informal structures, and Decisions are made based on the information. People exchange a significant part of the information in the process of communication. Communication is a communicative process. It is difficult to overestimate the importance of developing communication skills for effective organization management at all levels.

 

Communication skills, communicative competence play a massive role in direct managers' work, formal and informal leaders. So please reread the section on communication.

 

Decision making is mostly intellectual work. In a unit of time, it creates much more value than simple physical labour. Unfortunately, not everyone understands this yet. Management's job is sometimes compared to trying to put together a complex mosaic pattern from individual pieces after someone has dumped pieces of a mosaic of five different subjects into the same box. The leader has to go through many options for potential actions to find the right one for a given organization, at this moment and in a given place. The leader must make a series of correct choices from several alternative options. The choice is the decision. Decision making is the choice of how and what to plan, organize, motivate and control. This is the main content of the leader's activity.


The function of regulating the organization's activities is directly combined with the functions of control and coordination. As a result of the influence of the external and internal environment on the production process, there is a deviation from the production process's set parameters, identified during control and operational accounting, which ultimately requires regulation of the production process.

Management functions are a type of management activity and the corresponding organization of work.

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