MODULE 8- INTRODUCTION TO THE DIFFERENT AREAS OF MANAGEMENT 107

MODULE 8 – INTRODUCTION TO THE DIFFERENT AREAS OF MANAGEMENT

INTRODUCTION

This chapter will give you the brief description with regards to the different areas of
management – Marketing Management, Production Management, Procurement
Management, Human Resource Management, Office Management, and Financial
Management.
LEARNING OUTCOMES:

After reading this module, the learner should be able to:

-Understand the following:
 Marketing Management
 Production Management
 Materials and Procurement Management
 Financial Management
 Human Resource Management
 Office Management
TIME:

The time allotted for this module is 3 hours.

LEARNER DESCRIPTION

The participants in this module are BSA and BSBA Students.

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MODULE CONTENTS:

LESSON 8.1: Marketing Management and Production Management

Marketing Management. The process of planning, organizing, staffing, directing, and

controlling the marketing activities. It is the performance of business activities that
direct the flow of goods and services from producer to consumers or users for the
latter’s ultimate consumption.

Focus MEDIA END

PRODUCTS Selling and Profits through sales

Promotion volume

SELLING CONCEPT

Customer Integrated Profits through

Needs Marketing customer satisfaction

MARKETING CONCEPT

PRODUCTION AND OPERATIONS MANAGEMENT

Production management is the process of planning, organizing, staffing,
directing, and controlling he production activities. Production is the creation of anything
of value such as goods, services or ideas that people want and are willing to pay for.

MANUFACTURING PROCESS.
The process of manufacturing a finished product follows after the raw materials
have been procured. A finished product in one industry maybe considered a raw
material in another industry.

The EXTRACTIVE PROCESS

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The raw materials used in making anew product are taken from the land, the air,
and the ocean. The term “extractive process” means using methods, such as mining or
quarrying, in digging out these raw materials.

The ANALYTICAL PROCESS

One in which a raw material is broken up into its components. After petroleum is
extracted from the earth, it is refined. Refining is an analytic process by which petroleum
is broken up into gasoline, lubricating oils, fuel oil, and basis for the making of
petroleum, parrafin, Vaseline, tar, asphalt, etc.

The SYNTHETIC PROCESS

Exactly the opposite of the “analytic”, to synthesize is to put together. The
synthetic process combines raw materials to form new products.
The FABRICATING PROCESS
To fabricate is to put together things to form a whole. The fabricating process
includes the shaping of materials into new forms as well as the assembling of many
parts into an integrated product.

Activity 8.1.1: To be uploaded in LMS

References:

Chapter 8 – Management Filipinos, Principles and Application by Conrado E. Inigo, JR.,

Ph.D., DBE

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LESSON 8.2: PROCUREMENT AND FINANCIAL MANAGEMENT

PROCUREMENT MANAGEMENT
Process of planning, organizing, staffing, directing, and controlling the procurement
activities.

The difference between the terms “procurement” and “purchasing” is that,

“purchasing” describes the process of buying, identifying the need, selecting
supplies, negotiating prices, and following up to insure effective delivery.

IMPORTANCE OF PROCUREMENT
1. The proper utilization of money is extremely important to the survival of every
individual and company
2. Purchased Materials and services include the biggest part of expenditure in most
companies
3. The investment in raw materials, parts, and supplies inventory in some
companies is essential, and the efficient management of such inventory can
contribute to the profit.

FINANCIAL MANAGEMENT
It is the process of planning, organizing, staffing, directing, and controlling the
financial activities. This area is responsible for the liquidity, solvency, profitability, and
financial control of the business.

To perform these functions, the finance manager uses the following tools;
1. Operating statements to measure income, expenses, and profits.
2. Operating margins to identify the components of gross sales and percentage of
sales
3. Comparative operating statements to compare results for the current period
against those earlier periods and the company’s results against those of others in
the same line of business
4. Balance sheet analysis
5. Operations budget to forecast sales, costs, expenses, and profits
6. Cash budget to forecast short-run cash flows from operations and short-run
working capital requirements.
7. Capital budget to forecast capital expenditures

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FINANCIAL PLANNING
It is to appropriate the needs and capabilities through a projection of the
availability of the funds for a short-term period.

ACQUISITION OF FUNDS
1. Personal equity
2. Borrowed funds

The general rules to consider in the acquisition of funds:

1. The maturity of the obligation
2. Projected regular capital requirements
3. The use of funds should generate income which greater than the cost of the
funds

Activity 8.2.1: TO BE UPLOADED IN LMS

References:
Chapter 8 – Management Filipinos, Principles and Application by Conrado E. Inigo, JR.,
Ph.D., DBE

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LESSON 8.3: HUMAN RESOURCE MANAGEMENT AND OFFICE MANAGEMENT

HUMAN RESOURCE MANAGEMENT

It is the process of planning, organizing, directing, and controlling of personnel
activities. It has the main responsibility for personnel activities, but all managers
should perform personnel functions. The scope of control which the Human
Resource Department exercises over the total personnel function is determined by
the order it receives from the top management.

OFFICE MANAGEMENT
It is the process of planning, organizing, staffing, directing, and controlling office
activities and those performing them in order to achieve determined objectives. It is
not routinary as some people view it.

FACTORS of INVOLVEMENT
1. The nature of the business
2. The size of the business and the organizational level
3. The kind of operational function and selection in performing line or staff functions

THE CHALLENGES OF OFFICE MANAGEMENT

1. Careful analysis and involvement of remedial actions for coping with mounting
office cost
2. Preparation for the “electronic function” or electronic office
3. Extent of specialization in individual office jobs
4. Reduction in the amount of unnecessary paperwork performed
5. Development of better means of motivating office employees
6. Greater delegation of authority by the office manager
7. Attracting and acquiring the better graduates from schools to office-jobs
8. Simplification of office practices and operations
9. Establishment of more and better office work standards

ACTIVITIES IN OFFICE MANAGEMENT

1. Seeing to it that the corresponding or correspondence work-stenography and
typing- is performed
2. Filing records and reports
3. Handling incoming and outgoing mail
4. Supplying reception and messengerial services

Determining the complete course of action to accomplish the work involves:

1. Being informed of latest developments in performing office work

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2. Selecting office methods and procedures

3. Coordinating the work of the office with non-office work
4. Maintaining power balance among the various office activities
5. Specifying, supporting, and purchasing office furniture, machines, and supplies
6. Selecting the office location
7. Arranging the office lay-out, location of the office furniture and machines
8. Determining what would be needed for an effective work environment- adequate
lighting, elimination of noise, and proper ventilation.

Providing an effective office organization includes:

1. Apportioning the work among the organizational units
2. Identifying the organizational units
3. Establishing definite and known relationships among organizational units
4. Knowing the individual jobs in the office
5. Assigning proper personnel to organizational units
6. Delegating authority
7. Fixing responsibility among personnel
8. Providing for proper work facilities

Inspiring the office personnel to do their best, involves:

1. Motivating office employees
2. Giving adequate supervisions

Activity 8.3.1: To be uploaded in LMS

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References:
Chapter 8 – Management Filipinos, Principles and Application by Conrado E. Inigo, JR.,
Ph.D., DBE

ONLINE READING MATERIALS:

 Read Chapter 8 ppt uploaded in UBIAN LMS.

ONLINE VIDEO LINKS AND MATERIALS:

 Watch the online video lecture of the course instructor uploaded at NEO LMS and to the
class shared Google drive (if applicable).
 Live online class via Zoom or Googlemeet

TEST YOUR KNOWLEDGE:

MODULE REFERENCES:
Management Filipinos Principles and Application, 2015, Conrado E. Inigo, JR., Ph.D.,
DBE

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