Chapter 7 Business Management 7.1 Management Functions

Management Management: includes the processes or functions of planning, organizing, leading, and controlling. Management helps businesses focus on setting and meeting goals efficiently and effectively so that profit can be made Managers need a thorough understanding of business operations

Four Functions of Management Most managers carry out four different functions of management: Planning Organizing Leading Controlling These 4 functions usually follow in order A major challenge for managers is to deal with multiple objectives which are at different functional levels It is up to managers to organize, analyze, and monitor employees to make sure goals are being met.

Planning Planning: the act or process of creating goals and objectives as well as the strategies to meet them. Planning also involves figuring out the resources that are needed and the standards that must be met.

Organizing and Staffing Organizing: getting the resources arranged in an orderly and functional way to accomplish goals and objectives Levels of Management: Organizational chart: shows how the firm is structured and who is in charge of whom Top-level manager: responsible for setting goals and planning for the future as well as leading and controlling the work of others. the number of top-level managers may depend on the size of the business Middle manager: carries out the decisions of top-management. Often in charge of different departments within the business like production, marketing, or accounting Operational manager: responsible for the daily operations of a business. Ex: supervisors, office managers, or crew leaders

Leading Leading: providing direction and vision Managers must create a vision of the company to inspire their employees Managers set standards to inform workers of their goals Managers delegate responsibility to employees to achieve goals Managers must also work to resolve conflicts between workers Managers must lead by example, especially when leading a team Managers who show motivation, initiative, cooperation, and punctuality demonstrate to employees the importance of each quality

Controlling Controlling: keeping the company on track and making sure goals are met Managers keep track of the budget, schedule, quality of products or services they provide Controlling also involves monitoring customer satisfaction.

Homework Ch. 7 Definitions Complete the Reading Activity and Graphic Organizer for Section 7.1 Review questions on pg. 114, 1-3