Essential Management Functions for Business Success

Understanding the Core Functions of Management

Planning

Planning is the basic function of management. It deals with chalking out a future course of action and deciding in advance the most appropriate course of action for the achievement of predetermined goals. According to Koontz, "Planning is deciding in advance - what to do, when to do, and how to do. It bridges the gap from where we are and where we want to be." A plan is a future course of action. It is an exercise in problem-solving and decision-making. Planning is the determination of courses of action to achieve desired goals.

Organizing

Organizing is the process of bringing together physical, financial, and human resources and developing productive relationships among them for the achievement of organizational goals. According to Henry Fayol, "To organize a business is to provide it with everything useful for its functioning, i.e., raw material, tools, capital, and personnel." To organize a business involves determining and providing human and non-human resources to the organizational structure.

Staffing

Staffing is the function of manning the organizational structure and keeping it manned. Staffing has assumed greater importance in recent years due to the advancement of technology, an increase in business size, the complexity of human behavior, etc. The main purpose of staffing is to put the right person on the right job, i.e., square pegs in square holes and round pegs in round holes. According to Koontz & O’Donnell, "The managerial function of staffing involves manning the organizational structure through proper and effective selection, appraisal, and development of personnel to fill the roles designed in the structure."

Directing

Directing is that part of the managerial function which actuates the organizational methods to work efficiently for the achievement of organizational purposes. It is considered the life-spark of the enterprise which sets the action of people in motion, because planning, organizing, and staffing are mere preparations for doing the work. Direction is that interpersonal aspect of management which deals directly with influencing, guiding, supervising, and motivating subordinates for the achievement of organizational goals.

Controlling

Controlling implies the measurement of accomplishment against the standards and correction of any deviation to ensure the achievement of organizational goals. The purpose of controlling is to ensure that everything occurs in conformity with the standards. An efficient system of control helps to predict deviations before they actually occur. According to Theo Haimann, "Controlling is the process of checking whether or not proper progress is being made towards the objectives and goals, and acting if necessary to correct any deviation."