by Venchito Tampon | Last Updated on October 31, 2024

Management is a critical area of any organization, guiding leaders toward achieving their goals. While we mainly talk about leadership in corporate training, the management part has become underrated and underutilized, leaving many managers and supervisors needing guidance on achieving their goals. 

Henri Fayol, a management expert, identified five primary functions of successful management: Planning, Organizing, Staffing, Directing, and Controlling.

We’ll look at each function and tips on how to put them into use in day-to-day work. 

5 Functions of Management

1. Planning

Planning is the initiating phase of management. It involves deciding in advance what to do, how, and when to do it. 

Effective planning requires managers to set objectives and determine the best course of action to achieve these goals.

Here are some critical aspects of planning: 

  • Objective Setting: Defining clear, achievable goals the organization aims to reach. Managers can also set their own professional management goals that align with what the organization wants to achieve. 
  • Course of Action: Determining the steps necessary to reach these goals. 
  • Resource Allocation: Ensuring that human and non-human resources are used efficiently. Even including workforce, budget, timeline, and other necessary details to take every step. 
  • Risk Management: Identifying potential uncertainties and devising strategies to mitigate them. 

8 Plans Managers Need to Create:

  • Vision-Mission-Values – Vision is the direction and destination. The mission is the reason for existence and purpose. 
  • Strategic Plans – these are top-level decisions on how to win or compete. 
  • Operational Plans – functional plans (who will do what by then) that strategic plans will be accomplished. 
  • Schedules – plans expressed as timelines. 
  • Budget – plans expressed as numbers.
  • Policies – guides to decision-making. 
  • Rules – do’s and don’ts. 
  • Procedures – sequenced set of steps or rules. 

Planning is an intellectual activity that requires foresight, judgment, and creativity.

As managers, it’s essential to take the time to plan to avoid any confusion, create backup plans for uncertainties (even emergencies), and avoid any waste of resources.

Organizations can ensure a structured approach to achieving their objectives through a well-thought-out plan. 

Actionable tips for managers and supervisors :

  • Align your plans with the departmental and organizational VMV (vision-mission-values). You can succeed with your execution, but if there is no alignment, you’ll succeed in the outway path. 
  • Remember that not all plans will be perfect. Some may need to be controlled or at least be cautious about being too perfectionist about everything. Even in the most minor details, micromanagement might do more harm than good.
  • Involve your team when planning. Ask for suggestions and allow your staff to raise their concerns and challenges, particularly those facing customers daily. You’ll get insights you never thought of, directly involving providing the best customer experience. 
  • Don’t spend too much on planning. Half-day to three-day sessions are good time to spend on planning. Longer than it might rob you of the resources for execution. 

If you want to dive into these five management functions with your team, learn more about our leadership training program in the Philippines. 

2. Organizing

Once a plan is in place, the following function is Organizing. This function involves assembling and coordinating the resources needed to implement the plan.

Organizing can be broken down into several key steps:

  • Resource Allocation: Identifying and allocating physical, financial, and human resources.
  • Task Assignment: Dividing the work into manageable tasks and assigning them to the right individuals or teams.
  • Coordination: Establishing a structure of authority and relationships to ensure effective communication and cooperation.

Organizing ensures that the resources are utilized most efficiently to achieve the organizational goals. 

Actionable tips for managers and supervisors :

  • Remember your staff members (associates) when organizing resources to pursue your goals. See their current adaptive scenarios and expectations to know what you can adjust when organizing resources.
  • Break down projects into manageable tasks – though this is part of the planning phase. Organizing still takes over, as there are nuances and surprising elements where you must change some plans and be flexible. 

Organizing involves creating a framework within which the tasks are performed and responsibilities are defined.

5 functions of management

3. Staffing

Staffing is the process of recruiting, selecting, training, and developing employees to improve performance (results) and strengthen relationships within the organization.

The primary objective of staffing is to ensure that the right people are in the right jobs. This function includes several vital activities:

  • Recruitment: Identifying and attracting qualified candidates for job vacancies.
  • Selection: Choosing the most suitable candidates through interviews, tests, and other evaluation methods.
  • Training and Development: Providing employees with the necessary skills and knowledge to perform their jobs effectively.
  • Promotion: Advancing employees to higher positions based on their performance and potential.
  • Performance Appraisal: Evaluating employee performance to identify areas for improvement and provide feedback.
  • Employee Transfer: Moving employees to positions where their skills are most needed.

Effective staffing ensures the organization has a competent and motivated workforce, which is essential for achieving organizational goals.

Actionable tips for managers and supervisors :

  • Put the right people in the right seats. Be discerning and know when assessing potential candidates for your team. Go beyond the casual interview process and dig deeper into personality and pre-work job assessments to examine other components of KSA (knowledge, skills, and attitude). 
  • Create or align your managerial onboarding process with the organization’s onboarding process. If you’re working in a startup, recommend a solid onboarding process for new employees. It is critically important for associates to learn about the company, its mission and values, and ways and means to achieve the vision. Most of the people problems managers face are rooted in the lack of proper onboarding initiatives. 

4. Directing

Directing is the managerial function that involves leading and motivating employees to achieve organizational objectives. It includes several key elements:

  • Leadership: Influencing and guiding employees toward achieving the organization’s goals.
  • Motivation: Encouraging employees to perform their best through incentives, rewards, and recognition.
  • Communication: Ensuring effective communication channels to facilitate the flow of information.
  • Supervision: Overseeing employees’ work to ensure tasks are performed correctly and efficiently.

Directing is often considered the life-spark of an organization. The function brings the plan to life, sets the organization in motion, and ensures that all efforts are aligned toward achieving the set objectives.

Actionable tips for managers and supervisors :

  • Let your team members take assessments (e.g., DISC Personality Profile Assessments). This would allow you to personalize your directing approach based on the associates’ strengths, weaknesses, and triggers.
  • Increase frequency of communication, especially in this age where hybrid and work-from-home setup is paramount.
  • Don’t micromanage, but set parameters for reporting. Do not try to control your team’s behaviors with words and actions. Instead, set rules for reporting and always go back to them if no action is observed during the process. 

5. Controlling

Controlling is the final function of management and involves monitoring and evaluating the organization’s progress toward its goals. It ensures that the organization’s activities are aligned with the planned objectives. Critical aspects of controlling include:

  • Setting Performance Standards: Establishing benchmarks against which actual performance can be measured. 
  • Measuring Actual Performance: Collect data on actual performance and compare it with the established standards.
  • Analyzing Deviations: Identify any deviations from the standards and determine their causes.
  • Taking Corrective Action: Implement measures to correct deviations and meet goals. (i.e. performance management).

Controlling ensures that the organization remains on track to achieve its goals. It helps identify issues or inefficiencies and allows timely interventions to address them.

Actionable tips for managers and supervisors :

  • Take corrective actions and remain flexible with your plans. You’ll always experience behavioral problems and issues with your people, but stay on with your plan.
  • Ask for help from superiors, business unit heads, and organizational department heads. 

Manage The Process Effectively 

Henri Fayol’s five management functions provide a comprehensive framework for managing organizations effectively. Planning, organizing, staffing, directing, and controlling are interrelated functions that collectively ensure an organization’s smooth operation and success. 

Remember that these management functions only care for the processes, not the human beings themselves. We manage processes. We lead people. 

Managers can create a structured and efficient approach to achieving organizational goals by understanding and implementing these functions. Fayol’s contributions to management theory have stood the test of time and continue to be relevant in today’s dynamic and complex business environment.