Henri Fayol, an industrialist and a well-known management theorist, identified the five functions of managers: planning; organizing, coordinating, leading and controlling. Through the years, managers have relied heavily on this idea- serving as invaluable guideposts as they go through their day-to-day task of managing people.
Luther Gullick and L. Ulrich expounded on the role of managers in each organization. Banking on Fayol’s PLOCC, they coined the word POSDCORB. POSDCORB stands for Planning, Organizing, Staffing, Directing, Controlling, Reporting, and Budgeting.
Planning-One of the vital functions of managers is planning. The planning function includes defining organizational goals, establishing strategy for achieving the goals, and developing a comprehensive hierarchy of plans to integrate and coordinate the activities. The manager essentially decides what he wants to accomplish. For organizations divided into units, the heads of each units also perform their own planning. The goals of each unit should be aligned to the whole organization’s objectives.
Planning in each organization may be based on short and/or long term goals. To make the explanation easier, planning involves pin-pointing what needs to be done, how it will be done, and who will be doing what needs to be done. Some would even go as far as planning how a certain program will be evaluated prior to actually executing it.
An important element of planning is forecasting. The manager should possess a keen foresight as regards to how a company can maintain its competitive edge. Managers can sharpen their forecasting abilities by studying market and industry trends. It is vital that managers be attuned to what is current and up-to-date.
Organizing- Organizing includes determining what tasks are to be done, who are to do them, how the activities will be grouped, who reports to whom, and what decisions are to be made. In organizing, the manager decides what jobs need to be filled and sets the duties and responsibilities attached to each one. All jobs within a unit and/or organization should be interrelated. This necessitates coordination. Hence, the manager also directs and coordinates the people in the organization.
Staffing-The manager is also involved in an important function referred to as staffing. Being the head of a unit, he, among others, is expected to know what his unit needs. Meeting the needs include finding the right people who could meet its needs. Organization and staffing are closely interrelated. As organizations grow, new positions are created and filled. Staffing is a continuous function also since people come and go- they resign, retire, or get transferred to other positions. Here, the manager determines what positions are open and needed in his department. He could request these people from the HR department who in turn, sources out the right people.
Directing-Being managers, they should have the necessary facility to make people act according to the organization’s plans and objectives. When we say directing, it refers to telling people what to do and what is expected of them. Good managers also make sure that his staff and subordinates continue to improve their skills. Proper direction promotes employee empowerment.
Controlling- This points to the manager’s task of monitoring the organizations performance. Thus, control determines what progress has been made towards the achievement of goals. Control systems are likewise necessary for preventive and improvement purposes. Management must have an instrument to check and assess the different work processes and employee performance. He must be well aware of what is happening, so that he can implement ways to make necessary changes, and consequently, to achieve the objectives and the goals set by the organization.
Reporting- This points to the manager’s task of keeping the unit and organization informed. Reporting can be done by the manager to the higher-ups or the subordinate to the manager and vice versa. Employees, even those in the lower ranks, would feel a sense of importance when organizational matters and issues are relayed to them. Indeed, transparency in the organization has its many benefits. Aside from increasing employee morale, management will also benefit from collective ideas and suggestions.
Budgeting- This involves fiscal planning, accounting, and control. It is a rigid and detailed process of reviewing previous years’ expenses and financial documents and forecasting the financial needs for the succeeding year.
