cht 6 foundations to business

Management (verb)

A process designed to achieve an organization’s objectives by using resources effectively and efficiently in a changing environment

Effectively

Obtaining an intended result

Efficiently

Accomplishing objectives with a minimum of resources

Managers / Management (noun)

Individuals who make decisions about the use of an organization’s resources and are responsible and accountable for outcomes; they plan

Four Functions of Management

Planning, Organizing, Directing and Controlling

Planning

The process of determining an organization’s objectives and deciding how to accomplish them; the first function of management

Mission

A declaration of an organization’s fundamental purpose and philosophy

Goals

Detailed steps, with specific actions, to obtain desired outcomes

Plans

Detailed steps and specific actions used to achieve goals and objectives

Strategic Plan

Long-term and broad plan that sets overall direction and long-range objectives (usually one year or more)

Tactical Plan

Short-term plan that implements strategic plans and requires regular review (usually one year or less)

Operational Plan

Very short-term and highly specific plan focused on daily activities of individuals or departments

Contingency Plan

A crisis or “backup” plan used for unexpected events like disasters or emergencies

Organizing

Structuring resources and activities to accomplish objectives efficiently and effectively

Directing

Motivating and leading employees by telling them what to do

Controlling

The process of evaluating performance and correcting activities to keep the organization on track

Controlling Process Components

Measuring performance

High-Level Management

Senior executives (like CEO)

Middle Management

Managers responsible for implementing plans

Front-Line Management

Managers who supervise daily activities and employees