PROCESS MANAGEMENT
Management is a social process - Since human factor is most important among the
other factors, therefore management is concerned with developing relationship
among people. It is the duty of management to make interaction between people -
productive and useful for obtaining organizational goals.
1
1.2 Process of management (POAC) consists of :
Planning
Definition of Planning
Steps In Planning
present condition that requires improvement and for which the planning is
being undertaken. Don't attempt to formulate a plan until this step is
completely mastered.
effect upon other activities both internal and external to the enterprise is
necessary for intelligent planning. Remember that in most caresses action to
be effective, it must be based on knowledge. Experience, past solutions to
problems, practices of other enterprises, observation, looking over records,
and data secured from research and experiments constituents popular sources
of usable information.
2
Each component of information is examined separately and also in relation
to the whole of the information. Causal relationships are revealed, and
pertinent data to the planning at hand are discovered and evaluated.
Information pertaining to similar subjects is classified so that like data are
together.
From the data pertinent to the problem as well as beliefs deemed important
in the determination of the plan, certain assumptions upon which the
planning will be predicted are now made. These premised and constrain
will point out the background assumed to exist or take place to validate the
plan. They are the backdrops on the stage of planning and should be
carefully noted so that the plan can be thoroughly understood.
Usually several alternate plans exist to achieve the work to be done, and
the various possibilities are evolved in this step. Ingenuity and creativeness
frequently are required to arrive at several possible plans.
3
nothing. When this is the decision, the planning operations terminate, of
course, at this step.
The translation of the plan and its relation to all activities affected by it are
now worked out. The detailed of where the planned action should be done,
by whom, and when are put in proper order for the intended purpose. The
approach to be followed as well as the timing of the application of the
proposed plan is vital and should be included as a part of the plan it self.
Type of Planning
Strategic Management
4
study of strategic management therefore emphasizes the monitoring and
evaluating of environmental opportunities and constraint in light of a
corporation’s strengths and weaknesses
Operational Management
Programing
5
program priorities, and finally, a set of spesific, measurable operating
objectives.
The operating budget has two part the expense budget and the revenue
budget. The expense budget, the type with which we are most familiar,
lists the anticipated expenses of the faccility for the coming year and is
prepared largely by the department heads. The second sections of the
operating budget is the revenue budget, which projects the monthly
income for the next fiscal year. The revenue budget need not be prepared
on a departmental basis, fewer department are involved in determining
revenues than in determining expenses, and nonoperating revenues are
generally under the control of the administrator.
6
The cash budget
The next step in the budgeting process is preparations of the cash budget.
As its name implies, it is prepared on the cash basis of accounting,
although it is based on the revenues and expenses from the operating
budget. projected revenues are based on the income earned in the time
period, not on the amounts of cash received for services during the
month.
Capital Budget
The managers revise and resubmit the budgets with explanations of why
the requested expenses should be allowed. This process of negotiation
over the operating and capital budgets may occur several times.
Once all budget negotiations and revisions have been completed, the
budget must be approved. In most organizations, management must take
the budget to a board of trustees or directors, who formally vote on
whether to adopt it. Even after extensive revisions by management, the
board may change the budget before finally approving it. The final
approved budget must then be implemented.
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Management must actively take steps to carry out the budget as
Feedback
Organizing
A. Definition of Organizing
8
Steps In The Process Of Organizing
The next step is to identify the major functions to which these activities
relate. In a manufacturing organization, production, selling, finance and
personnel are the major functions. If the amount of work to be done in
connection with each of these functions is large, separate departments
may be created for each of these functions. Managerial positions will
have to be created to supervise the activities of these departments. At this
stage, a list
9
of activities relating to each function must be prepared.
In this step, it is decided how best the activities can be grouped on the
basis of similarity or relatedness. The activities of a production
department. Besides, separate sections may be created for such
production related activities as quality control and repairs. The activities
of other departments can similarly be sub-divided. This division and
sub- division of activities goes on till individual positions have been
created for performing all types of work in an organization. The reasons
of dividing and sub-dividing functions and activities are as follows:
If the work is divided into smaller units, it becomes easy to assign work
to individuals who have the necessary skill and knowledge to perform
the work efficiently.
10
Responsibility: Responsibility is the obligation of a subordinate to
perform the assigned duties. When a subordinate accepts duties, he has
to perform those duties in the manner desired by the superior. Duties
are assigned to subordinates when a manager has to share the work
with them.
11
Organizing consist Staffing
1. Staffing Process
Job analysis
Determining the abilities and skills that are required for performing the job
(called job specification).
12
3) Recruitment, selection & placement
Compensation or remuneration
Performance appraisal
13
Conclusion: Organizing process consist of staffing. The staffing process are
Man power Planning (estimating man power in terms of searching, choose the
person and giving the right place), Job analysis, Recruitment, selection &
placement, Training & development, Compensation or remuneration,
Performance appraisal, and Promotions & transfer.
1.2.3 Actuating
A. Definition
After plans have been made and the organization has been established and
staffed, the next step is to move toward its defined objectives. This function
can be called by various names, : “leading;, ‘directing’,’actuating’,and so on.
But whatever the name used to identify it, in carrying out this function the
manager explains to his people what they have to do and helps them do it to
the best of their ability.
Leadership is the process by which a manager guides and influences the work
of his subordinates.
Motivation means arrousing desire in the minds of workers to give their best to
the enterprise. It is the act of stimulating or inspiring workers. If the workers
of an enterprise are properly motivated they will pull their weight effectively ,
give their loyalty to the enterprise, and carry out their task effectively.
14
According to George R Terry, Directing means moving to action and supplying
stimulateive power to the group.” Directing thus involves issuing instructions (or
communication) to subordinates, guiding, motivating and supervising.
subordinates to work effectively and efficiently in both the short and the long run.
Directing involves guiding and supervising subordinates.”
Conclusion : from our group perspective, Actuating have the same meaning as
Directing which involved communicating, leading, motivating workers to achieve
the goals that have been set.
B. Principle
Directing effectiveness depends on the extent to which the goal of each individual
in the organization is aligned with the objectives of the group. A manager must try
to align personal goals subordinate to the entire staff in the organization. This is
done in order to form harmony among pesonalia in an organization.
15
Members must receive orders and instructions only from the fixed boss and report
performance results to the same boss. The principle of unity of command is very
important for the entire organization. Violations against this principle can create
indiscipline and conflicts within the organization.
Techniques.
Coordinating
1) Techniques of Coordination:
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clearly defined. Every individual must understand the overall abjectives
Effective Communication
Inspiring leadership can ensure effective coordination both at the planning and
implementing stages. Effective supervision also helps in unity of action by
guiding the efforts of individuals.
Voluntary Cooperation
willling to help each other and cooperate with management for achieving
17
Controlling
Definition
Like all aspects of control, this is an ongoing, repetitive process, with the
actual frequency dependent on the type of activity being measured. Now it
is a matter of comparing measured result with the terget or
18
standard previously set. It performance matches standards, managers
Once you have compared actual with planned performance, the next step is to
identify important deviations, and take corrective actions. The final step is to take
corrective actions if performance falls short of standards and the analysis indicates
actions is required. This corrective actions may involve a change in one or more
activities of the organization’s operations or it may involve a change in the
standards originally established.
The control standards should encourage compliance, and be fair observable and
measurable, specific, difficult, relevant, complete, and where appropriate,
participativelly set.
Reporting
19
Establish means by which reporting is done
Promptnees : it means that the system should ensure the preparation and
submission of report at the proper time, it facilitates business executives to
make suitable decisions based on quick reports without delay
20
Accuracy : Information conveyed should be accurate. This means that
the person responsible for reporting should have sufficient care in
preparing the report as correctly as possible within the parameters of
possible accuracy in this regard.
21
Principle of Exception : since the time and effort of managerial personel are
precious, the principle if management by exception has become the rule of the day
instead of exception. It is necessary therefore to draw the attention of
management, through reports, only towards exceptional matters.
2. Evaluating
1) Type of Evaluation
There are several types of evaluations that can be conducted. Some of them
include the following:
22
usually conducted when a new program or activity is being developed or when an
existing one is being adapted or modified.
ultimate goals.
3) Outcome Evaluation
23
24
CHAPTER II
FUNCTION OF MANAGEMENT
Function Of Management
Planning
A. Definition of Planning
Planning is the selecting and relating of facts and the making and using of
assumptions regarding the future in the visualization and formulation of proposed
activities believed necessary to achieve desired result (George R. Terry).
25
starting area, and it is important for any activity. What we plan affects how
we organize and vice versa. As a matter of fact, planning for organizing,
planning for actuating, and planning for controlling are requisites of
effective management. It can be reasoned that planning is basic to other
fundamental management functions. Without the activities determined by
planning, thewe would be nothing to organize, no one to actuate, and no
need to control.
Importance of Planning :
Planning is important for several reactions, but probably the main reason is
that it provides direction and a sense of purpose for the enterprise. For
example, an organization’s five-year plan typically shows what the
organization wants to accomplish the next five years as well as how it
intends to accomplish it.
Each of these units, therefore usually develops its own ‘functional strategy’
or departmental direction.
26
Planning facilitates control
Advantages of planning:
27
see things as they might be, not as they are. A manager can be
Encourages achievement
28
Compels visualization of entirety
Many managers point out that planning provides for a greater utilization
of available facilities of an enterprise. For any given period of time the
best use is made of what is available. Also, activities are balanced both
in amount and in timing, thus ensuring needed support among them.
The result is that the best possible use is made of available facilities.
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Disadvantages of Planning
There are those who argue against planning, saying that the cost of planning
work is in excess of its actual contribution. They believe that the money
could better be spent in actually performing the physical work to be done.
Planning expenditures can be high, but like all functions, planning must
justify its existence, and the amount and extent of planning activities must
be in keeping with the individual circumstances.
A prevalent barriers is that people have more regard for the present than for
the future. The present is more desirable and has certainty. The future means
change and adjustments to new situations and conditions. the feeling by
some, oddly and errouneously, is that if
30
planning is soft-pedaled, the changes and the possible dangers of
Where every last detail is carefully planned and spelled out, the
situation may be such that minute planning was deemed necessary.
Some critics state that those performing planning tend to overdo their
contribution. This is evidenced by the preparation of elaborate reports
and instructions beyond any practical need and the refusal to take risks
mandatory for his managerial work, attempting instead, through
planning, to eliminate all risks.
Some contend planning is not only too theoritical, but other means are
more practical. For example, they believe effective result are obtained
by a muddling through type of operation in which each situation is
tackled when and if it appears partinent to the immediate problem. In
this way, opportunism can be utilized to full
31
advantages. Also, they note that planning results in few plans that are followed
consistently and exclusively to spesific ends.
Organizing
A. Definition of Organizing
The need for an organisation emerges when one individual cannot perform all the
necessary tasks. As number of individuals increase, they
32
are further divided into groups each of which are given a specific set of
tasks to perform. How and on what basis these tasks are divided among
individuals and group is the role of ‘organising’ in management.
Elements of Organizing
33
suited to do it. It allows the employers to attain proficiency in their
work and thereby increase the efficiency of the organisation.
34
Departmentalization refers to the formal structure of the organisation
composed of various departmental and managerial positions and their
relationship to each other. Departments are formed on the following
basis – function, product, territory, clients and process.
35
recommend that no superior can control more than five or six subordinates
without decline in the quality of supervision.
D. Importance Of Organizing
Organizing has always been important to man. He has dealt with the
recurring issue of organizational and its implications throughout all history.
Organization has been pervasive in many forms of human activity because
human collaboration the dependency of people on each other and protection
against threats and antisocial behavior have encoutaged intense organization
activity by all mankind over the centuries. Goverments, armies, businesses
and institutions of all kinds have studied organizing with the intent too
improve it or to utilize it better in their particular managerial endeavors. Of
all the basic management fuctions, organizing has been the most intensively
studied, and contributions to this area are abundant.
36
Conclusion: According to our group, organizing is designing a formal structure
with coordinating the cooperative relationship between people efficiently and
effective in accomplishing the goals set organization. There are four essential
elements in organizing is the division of labor, the degree of centralization and
decentralization, departmentalization and span of control.
Staffing
A. Definition of Staffing
The managerial function of staffing involves the filling and keeping filled,
position in the organization structure. (welhrich and koontz)
Staffing is the management function that deals with the recruitment, placement,
training and development of organization members. Any organization is as good
as it’s employees’ performance shows. Staff of the organization should be
selected, retained and promoted based on the needs of the organization and their
performance. It is the function of manning the organization structure and keeping
it manned. Staffing has assumed greater importance in the recent years due to
advancement of technology, increase in size of business, complexity of human
behavior etc. The main purpose staffing is to put right man on right job.
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Staffing is the process of acquiring, deploying, and retaining a workforce of
sufficient quantity and quality to create positive impacts on the
organization’s effectiveness.
B. Importance Staffing
Since efficient managers are an asset in every enterprise, the need for them
is increase day-by-day. Several reasons which have increased the
importance of the staffing function of management are as follows:
Use of technology. With technological changes taking place every day, the
right type of persons are required to make use of the technology.
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Advantages And Disadvantages
Advantages
Disadvantages
39
A geometric policy can be expensive to implement because of increased training
and relocation costs. A related factor is the need to have compensation structure
with standardized
international base pay. Which may be higher than national levels in many
countries.
Directing
A. Definition of Directing
40
Elements of Directing
Motivation
Leadership
41
successful organization has one major attribute that sets it apart
leadership.
Communication
It is the process through which two or more persons come to exchange ideas and
understanding among themselves.
Coordinating
A. Definition of Coordinating
42
According to Koontz and O’Donnell “coordination is the essence of
management for the achievement of harmoy of individual efforts towards
the accomplishment of group goals.”
43
While “staffing” coordination is achieved by balancing the skills and
abilities of employees with the job assigned to them.
Advantages of Coordination:
Unity of Direction
44
Human Relations
45
Reporting
The word “Information” refer to the data processed or evaluated for a specific
purpose.
“an organized method of providing each manager with all the data and only those
data which he needs for his decissions, when he needs them and in a formwhich
aids his understanding and stimulate his action.”
46
To secure industrial understanding among people who are enggaged in various
aspects of work of enterprise.
Budgeting
A. Definition Of Budgeting
Budgeting has been defined as the formulation of plans for a given future period
in numerical terms (Herkimer, 1988).
Budgeting is a process whereby plans are made and then an effort is made to meet
or exced the goals of the plans(finkler, 2007)
Benefit Of Budgeting
47
7) It serves as an excelent means of educating and developing managers
Evaluating
A. Definition Of Evaluating
In terms of the evolution of the human race, evaluation is possibly the most
important activity that has allowed us to evolve, develop, improve things, and
survive in an ever-changing environment
Usefull of Evaluating
To give an idea to the outside of the operational programs (eg, for replication
elsewhere)
48
A process that focuses on changes in knowledge, attitudes, behaviors, and
practices resulting from the activities of the program. Also includes the
results of short-term and long-term.
Proc
C
ess
Planning
Organizing
Actuating
Controlling
Fun
ctio
P
Make a plan and
In organizing
Implementing
In process
Plan
goals.
the plan
controlling we
ning
Example :
based on
Example:
need to make a
Puskesmas want
competence)
Implementing
plan such as
to give health
need to make a
the plan of
alternative if
plan
“puskesmas
theres problem
secluded
Example :
keliling”
happen.
place,and make a
In program
Example:
program
“puskesmas
In “puskesmas
called“puskesmas
keliling”we
keiling” we
keliling”.
make a plan
prepare more
doctor,
anticipation if
adimintrator,
there’s more
apoteker.
people to check
up.
O
Planning the
Arrange the
Perform
To Control the
Org
grouping of
task/job for
mobilization
performancoes
aniz
tasks and
each health
towards the
of each
ing
resources in the
worker that
implementatio
departments if
most effective
involved.
n of the
its correspond
use.
Example:
employee's
Example: The
Arrange the task
duties
as planned.
Head of
of each
Example: The
Example: The
puskesmas
department for
Head Unit of
Head Unit of
make a plan on
puskesmas
“Puskesmas
“Puskesmas
how the
keliling.
Keliling”
Keliling”
structure of
perform
performance
work in
periodic
monitoring if
“puskesmas
briefing before
the
keliling”
performance of
to the ground
each
“Puskesmas
departments is
Keliling”
correspond
with the task or
not.
S
Planning of
Dividing duty
Implementation
Controlling the
50
Staff
employees
based on their
of employees in
placement and
ing
position based in
competence
the departments
duty of division
their ability.
Example: divide
appropriate with
“puskesmas
Example:
the duty in the
their
keliling”
of doctor,
keliling” program
Example:
which is
nutrisionist,
based on their
Implementing
appropriate with
midwife in
competence, for
the employees
the competence.
“puskesmas
example, the
appropriate with
Example:
keliling”. (Doctor
placement of a
their competence
make sure
do the treatment,
midwife at KIA
as like midwife
midwife checks
Apoteker give
checkup in
checks within
within the scope
drugs)
“puskesmas
the scope of
of maternal and
keliling” program.
maternal and
child health.
child health.
Doctors provide
Doctors provide
treatment,
treatment, nurses
nurses give the
checks.
D
-Planning for
In organize the
- Give
- Disclipine the
Dire
an effective
task it should
direction to
worker
ctin
direction for
be directed.
employees.
performance.
g
workers
Example:
-Give
Example: :
Example:
To divide the
direction to
Oversee and
Head of
task of doctor,
the
make sure the
Puskesmas
administrator,
distribution
health worker
to get involved
puskesmas.
Ex: Give
directed in
in Puskesmas
direction to
plan of
Keliling
the staffs
“puskesmas
(ask doctors,
involved in
keliling”.
nurses,
“Puskesmas
medical
Keliling”
records staff,
etc. to be
involved in the
“Puskesmas
Keliling “
Co
- In process
- In Organizing,
- Keep good
- Oversee the
Co-
planning, it need
(divide the task
communication,
coordination
ordi
coordination.
based on their
motivate each
between each
nati
- Example:
competence) it
other to make
department and
ng
To make a plan
need coordination
good
make sure there
for ‘puskesmas
- Example:
coordination.
is good
keliling’ it need
To divide the task
- Example :
coordination
coordination
for program
Make good
with each
between doctor,
puskesmas
communication
department.
administrator,
keliling, it need
between doctor,
- Example:
51
apoteker.
coordination
nutritionist and
Oversee and
between doctor,
midwife to make
make sure
administrator,
good
coordinaton
apoteker.
coordination in
between doctor,
“puskesmas
midwife,
keliling
nutritinist in
“puskesmas
keliling”
R
- In planning the
-
In conducting the
- In
oversee program
Rec
program to be
structure and
implementing,
should make
ordi
implemented
distribution of
need
record and report
ng
should make a
tasks within a
communication
about anything
and
report and
program should
(receive and
that being
Rep
recording
make the
give feed back)
control.
orti
reporting and
of what reported
ng
- Example:
recording
and recorded.
examples:
At the “puskesmas
in controlling
Keliling” program
-
Examples:
Example:
process
planning process
-
In the program
In
‘puskesmas
should make a
"Puskesmas the
implementation
keliling” it need
report and
division of the
of program
report and record
program
task should be
“puskesmas
if the program
recording what
reporting about
report
immunization
on and there is
program planning,
communication
etc.)
between doctor,
administrator dll.
B
In planning
In the process
Using the
Do budgetary
Bud
need to make a
of organizing
budget
control,
so
geti
budgeting
allocated fairly
the plan
budget
not
Planning to
in each sub-
Example:
beyond
the
make
unit.
Implementin
budget limit.
budgeting
Example:
g a program
Example:
for“puskesmas
Allocating fun
“puskesling”
comparing the
keliling”.
ds for
using the
plan of
“puskesmas
budget
activities
keliling” such
acording to
“puskesmas
as the
the plan
keliling” and
vehicle, the
budget use.
officer's
salary, purchas
e
of medicines,et
52
c.
E
- Make a plan need
- Organizing
- In process
- Measure the
Eval
evaluation
by
division of task
actuating there
result that
uati
made a
standar
according to each
should be
already achieved
ng
minimum
of
competence need
evaluation
with the standar
organization
to be evaluated.
- Example:
that already
achevement.
- Example:
Evaluate the
made.
- Example:
Doctor give
process
- Example:
“puskesmas
treatment,
“puskesmas
- “puskesmas
keliling”
can
nutrisionist
keliling” is there
keliling” can
reach
every
responsible for
a problem or
reach every
secluded place.
nutrition and
not?”
secluded place to
Apoteker give
give health
medicine in
service.
“puskesmas
keliling”
53
CHAPTER IV
CONCLUSION
Planning is working out in broad outline the things that need to be done and the
methods for doing them to accomplish the purpose set for the enterprise.
Organizing is setting the job which has to be done, grouping the assignment and
delegating the job to each worker, and setting the department. The aim of
organizing is to determine the international role structure hence the people may
able to know the task and objectives. The characteristic of organizing are span of
management, decentralization, departmentalization, and line, staff, and functional
authority.
Coordinating is the duty of inter-relating the various parts of the work and making
sure that necessary resources are available. Coordinating mechanism are about the
managerial hierarchy, rules and procedures, and planning and setting goals.
54
Reporting is keeping both supervisors and subordinates informed about what is
going on. This includes keeping adequate records, research and inspections.
Evaluating is defined as a reflection process where the value from the action that
do was related to project, program, or an obligation policy.
55
REFERENCES
Gupta, C.B. 2007. Bussiness Study For Class VII: Fourth Edition. Tata McGraw-
Hill Publishing Compantb Limited. New Delhi.
Jaes A.F. and Charles Wankel (1987),Management (Third Edition), Prentice Hall
of India Pvt. Limited, New Delhi.
Delhi.
56
Terry, George R. and Stephen G. Franklin (1994), Principles of Management,
All India Traveller Book Seller, Delhi.