1.

Planning:
Planning means deciding in advance on what, how, and when something is to be done. It involves projecting the
future course of action for the business as a whole and also for the different sections within it. Planning is thus,
the preparatory step for actions and helps in bridging the gap between the present and the future.
Since planning is essentially choosing, it is dependent upon the availability of alternatives. It is through this
process of choosing that decision making can obviously be seen as an important aspect of planning. Thus,
planning is an intellectual process and signifies the use of a rational approach to finding solutions to problems.
In a more concrete sense, the process comprises determination or laying down of objectives, policies,
procedures, rules, programmes, budgets, and strategies. Management planning might be for a short period
and/or for the long run. For improved efficiency and better results, short-range plans should be properly
coordinated with long-range plans. Planning is a fundamental function of management and all other functions of
management are greatly influenced by the planning process. The increasing interest evinced in planning amply
manifests the importance of planning in businesses.
Very often, the planning process is erroneously described as the prerogative of the top management. But the fact
is that planning permeates all levels in an organization and all managers, irrespective of their position in the
management hierarchy, must plan within the limits of their authority and the decisions of their seniors.
2. Organizing:
Organizing is the next function of management. Organizing involves breaking a plan into activities, grouping
those activities, and allocating resources to them. This is done by structuring the functions and duties to be
performed by a group of people for the purpose of attaining the objective of the enterprise. Functions and
activities of the enterprise depend upon the objectives to be accomplished and are directed towards fulfilment of
such objectives. This necessitates the establishment of activity-authority relationships in the enterprise.
More specifically, organization as a function of management involves the following steps:
1. Determination of activities of the enterprise, keeping in view its objectives
2. Classification of such activities into convenient groups
3. Assignment of these groups of activities to individuals
4. Delegation of authority and fixing of responsibility for carrying out such assigned duties
5. Coordination of these activity-authority relationships throughout the organization
Thus, division of work among people and coordination of their efforts to achieve specific objectives are the
fundamental aspects of organization. Problems related to organizing arise only when group efforts are involved.
Similarly, an organization is always intended to achieve objectives and as such, it is a means to an end and
never an end in itself. Therefore, for better results, organizations should be based upon practical prudence and
sound application of organizational principles.
3. Staffing:
Organization, as a function of management, helps the executives to establish positions and lay down their
functional relations to each other. However, it is through staffing function that different positions in the
organizational structure are manned. The staffing process, therefore, provides the organization with adequate,
competent, and qualified personnel at all levels.
Since successful performance by individuals largely determines the success of the structure, it is imperative that
the management pays adequate attention to various aspects of the staffing function. It implies that managers
should properly assess the manpower requirements of the organization, consistent with the qualifications
required for proper and efficient discharge of duties on the existing and possible jobs in the organization, laying
down of suitable selection and placement procedures, developing employee skills through training and appraisal
schemes, and devising suitable schemes of compensation.
Staffing is a continuous function. A new enterprise employs people to fill up staff positions in the organization.
In an established concern, the deaths/ retirements of employees and the frequent changes in the objectives and
the organization itself make staffing a continuous function of management.
4. Directing:
Mere planning, organizing, and staffing are not sufficient to set the tasks in motion. Management has well-
coordinated plans, properly established duty- authority relations, and able personnel, yet it is through the
function of direction that the manager is able to make the employees accomplish their tasks by making them
integrate their individual efforts with the interest and objectives of the enterprise.
It calls for properly motivating, communicating with, and leading the subordinates. Motivation induces and
inspires the employees to perform better, while through good leadership, a manager is able to make his
subordinates work with zeal and confidence.
Directing the subordinates embraces three essential activities:
1. Issuing orders and instructions
2. Guiding and counselling the subordinates in their work with a view to improve their performance
3. Supervising the work of subordinates to ensure that it conforms to orders and instructions issued
5. Controlling:
While directing, the manager explains to his subordinates the work expected of each of them and also helps
them perform their respective jobs to the best of their abilities so that the enterprise objectives can be achieved.
But even then, there is no guarantees that work will always proceed according to plan. It is this possibility of
actions deviating from plans that calls for constant monitoring of actual performance so that appropriate steps
may be taken to make them conform to plans. Thus, the controlling task of management involves compelling
the events to conform to plans.
The important steps to be initiated in this direction are as follows:
1. Measurement of accomplishments against pre-determined standards and recording of deviations
2. Analysing and probing the reasons for such deviations
3. Fixing of responsibility in terms of persons responsible for negative deviations
4. Correction of employee performance so that group goals are achieved through effective implementation of
plans devised to attain them.
Control is thus closely related to the planning aspect of the job of a manager. But it should not be viewed
merely as a post-mortem of past achievements and performances. In fact, a good control system should suggest
corrective measures so that negative deviations may not recur in the future. The principle of feedback when
incorporated in the control system can be of great use in this direction.
6. Coordinating:
Coordination, as a separate function of management, has been advocated by many authorities including Henri
Fayol. However, coordination, being all pervasive and encompassing every function of management, is
considered to be more an important managerial essence than a separate management function. Poor
coordination is attributed to failure in performance of all the above-listed management functions.
Coordination deals with harmonizing work relations and efforts at all levels for achieving some common
purpose. It may be described as unifying and achieving harmony among individual efforts for the purpose of
accomplishing group goals. The whole idea of coordination is to adjust, reconcile, and synchronize individual
efforts so that group efforts become more effective and help to achieve some common objectives.
Sometimes coordination is confused with cooperation and it is considered, though erroneously, that if there is
cooperation, coordination will automatically follow. Though cooperation helps to achieve coordination, it is by
no means the sole factor that ensures the achievement of coordination. One can take the example of a cricket
match.
Without coordinated efforts on the part of the players, it is difficult for the team to win a match. Coordination is
not spontaneous. Differences in approach, understanding, timing, interest, or efforts have to be reconciled with
while synchronizing individual efforts. While managing, a manager coordinates the work of his or her subordi-
nates.
For better results the following guidelines are suggested:
1. Coordination should be viewed as the responsibility of every manager right from the bottom to the top, and
he or she must ensure that every individual should know the dominant goals of the enterprise and also how his
or her job contributes towards accomplishing the objectives of the department.
Even when a supervisor is able to accomplish the objectives of the department, he or she should be made to
realize that the department’s achievement is nothing unless combined with the achievements of the other units
and contributes to attaining the dominant objectives of the organization. Thus, every manager should understand
and appreciate the hierarchy of objectives.
2. Individual efforts are more easily synchronized if coordination is achieved in the early stages of planning and
policy making. Thus, where production and marketing policies are at cross-purposes, coordination between the
two groups of activities will be a serious problem.
3. Coordination is better achieved through the understanding of interpersonal, and horizontal rather than vertical
relationships of people in the organization or by issue of orders for coordination.
4. Another essential requirement is good communication. As a result of constant changes in the business
environment, plans and policies are frequently revised and compromises and adjustments are made. If the
required information is not communicated well in time, unifying individual efforts made in order to accomplish
the goals of the enterprise become difficult.

Planning
The planning function of management controls all the planning that allows the organization to run smoothly.
Planning involves defining a goal and determining the most effective course of action needed to reach that goal.
Typically, planning involves flexibility, as the planner must coordinate with all levels of management and
leadership in the organization. Planning also involves knowledge of the company’s resources and the future
objectives of the business.
Organizing
The organizing function of leadership controls the overall structure of the company. The organizational
structure is the foundation of a company; without this structure, the day-to-day operation of the business
becomes difficult and unsuccessful. Organizing involves designating tasks and responsibilities to employees
with the specific skill sets needed to complete the tasks. Organizing also involves developing the organizational
structure and chain of command within the company.
Staffing
The staffing function of management controls all recruitment and personnel needs of the organization. The main
purpose of staffing is to hire the right people for the right jobs to achieve the objectives of the organization.
Staffing involves more than just recruitment; staffing also encompasses training and development, performance
appraisals, promotions and transfers. Without the staffing function, the business would fail because the business
would not be properly staffed to meet its goals.
Coordinating
The coordinating function of leadership controls all the organizing, planning and staffing activities of the
company and ensures all activities function together for the good of the organization. Coordinating typically
takes place in meetings and other planning sessions with the department heads of the company to ensure all
departments are on the same page in terms of objectives and goals. Coordinating involves communication,
supervision and direction by management.
Controlling
The controlling function of management is useful for ensuring all other functions of the organization are in
place and are operating successfully. Controlling involves establishing performance standards and monitoring
the output of employees to ensure each employee’s performance meets those standards. The controlling process
often leads to the identification of situations and problems that need to be addressed by creating new
performance standards. The level of performance affects the success of all aspects of the organization.

Planning
It is the basic function of management. It deals with chalking out a future course of action & deciding in
advance the most appropriate course of actions for achievement of pre-determined goals. According to
KOONTZ, “Planning is deciding in advance - what to do, when to do & how to do. It bridges the gap from
where we are & where we want to be”. A plan is a future course of actions. It is an exercise in problem solving
& decision making. Planning is determination of courses of action to achieve desired goals. Thus, planning is a
systematic thinking about ways & means for accomplishment of pre-determined goals. Planning is necessary to
ensure proper utilization of human & non-human resources. It is all pervasive, it is an intellectual activity and it
also helps in avoiding confusion, uncertainties, risks, wastages etc.
Organizing
It is the process of bringing together physical, financial and human resources and developing productive
relationship amongst them for achievement of organizational goals. According to Henry Fayol, “To organize a
business is to provide it with everything useful or its functioning i.e. raw material, tools, capital and
personnel’s”. To organize a business involves determining & providing human and non-human resources to the
organizational structure. Organizing as a process involves:
Identification of activities.
Classification of grouping of activities.
Assignment of duties.
Delegation of authority and creation of responsibility.
Coordinating authority and responsibility relationships.
Staffing
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 o staffing is to put right man on right job i.e. square pegs in square holes
and round pegs in round holes. According to Kootz & O’Donell, “Managerial function of staffing involves
manning the organization structure through proper and effective selection, appraisal & development of
personnel to fill the roles designed un the structure”. Staffing involves:
Manpower Planning (estimating man power in terms of searching, choose the person and giving the right place).
Recruitment, Selection & Placement.
Training & Development.
Remuneration.
Performance Appraisal.
Promotions & Transfer.
Directing
It is that part of managerial function which actuates the organizational methods to work efficiently for
achievement of organizational purposes. It is considered life-spark of the enterprise which sets it in motion the
action of people because planning, organizing and staffing are the mere preparations for doing the work.
Direction is that inert-personnel aspect of management which deals directly with influencing, guiding,
supervising, motivating sub-ordinate for the achievement of organizational goals. Direction has following
elements:
Supervision
Motivation
Leadership
Communication
Supervision- implies overseeing the work of subordinates by their superiors. It is the act of watching &
directing work & workers.
Motivation- means inspiring, stimulating or encouraging the sub-ordinates with zeal to work. Positive, negative,
monetary, non-monetary incentives may be used for this purpose.
Leadership- may be defined as a process by which manager guides and influences the work of subordinates in
desired direction.
Communications- is the process of passing information, experience, opinion etc from one person to another. It
is a bridge of understanding.
Controlling
It implies measurement of accomplishment against the standards and correction of deviation if any to ensure
achievement of organizational goals. The purpose of controlling is to ensure that everything occurs in
conformities 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”. According to
Koontz & O’Donell “Controlling is the measurement & correction of performance activities of subordinates in
order to make sure that the enterprise objectives and plans desired to obtain them as being accomplished”.
Therefore controlling has following steps:
Establishment of standard performance.
Measurement of actual performance.
Comparison of actual performance with the standards and finding out deviation if any.
Corrective action.