Functions of management

The essentials

Management is a process made up of five interrelated functions: planning, organising, staffing, directing and controlling. These functions are performed by managers at all levels, though the time spent on each differs. Top managers spend more time on planning and organising, while supervisors spend more time on directing.

Key points

• Planning: deciding in advance what to do and how to do it. It bridges the gap between where we are and where we want to be.
• Organising: assigning duties, grouping tasks, establishing authority and allocating resources to carry out the plan.
• Staffing: finding the right people for the right jobs; it covers recruitment, selection, placement and training.
• Directing: leading, influencing, motivating and communicating with employees so that they perform the tasks assigned.
• Controlling: monitoring performance, comparing it with standards and taking corrective action.
• Planning is the first function and controlling is the last, but controlling feeds back into planning, so the process is continuous.

Exam tips

• Many case questions describe an activity and ask which function it is. Hiring people is staffing; motivating them is directing; checking results against targets is controlling.
• Remember the order: P-O-S-D-C.

Common mistakes

• Treating coordination as a sixth separate function. In NCERT, coordination is described as the essence of management, running through all functions.
• Confusing organising (arranging work and authority) with staffing (filling positions with people).