0264 · 2.2.2The functions of management

Five functions of management

0:00Sunrise Bakery makes bread rolls for local cafés. Its employees know their jobs, and the equipment works well. Yet orders can still arrive late if ingredients, production and deliveries follow different schedules. By the end of this video, you will understand how management brings these activities together, and why delegation creates both benefits and risks. Management means the people who run a business and the tasks they do. A business objective is an aim or target that a business works towards.

0:26Managers turn these targets into practical action through decisions about employees, equipment, materials and time. Their work connects the aims of the business with its actual results. The five functions of management are planning, organising, coordinating, commanding and controlling. These activities support one another throughout the working day. A delivery delay might require a revised plan, different employee tasks and fresh instructions. We will follow one order through Sunrise Bakery to see how each function helps achieve the same objective.

0:56Planning means setting objectives and deciding how to achieve them. Sunrise Bakery sets a target of having two hundred rolls ready by nine in the morning. The manager decides when production must start and when ingredients must arrive. Looking ahead helps the business prepare resources before customers need their orders. Organising means arranging people and resources and giving tasks to employees. The manager allocates ingredients and oven time, assigns employees to production, and provides a van for deliveries.

1:22Each task now has someone responsible for carrying it out. This turns the plan into workable arrangements because employees have the resources their jobs require. Coordinating is making departments work together towards the same objectives. The sales department tells production how many rolls customers have ordered. Delivery employees receive the time when those orders will be ready. Matching these activities prevents a driver arriving before production finishes, so the business can meet its promised delivery schedule.

1:48The function of commanding involves directing and supervising employees and giving them instructions. At Sunrise Bakery, the manager tells employees to prepare the café order first and checks that they understand their tasks. Clear instructions establish the immediate priority when several jobs compete for attention. Supervision also allows the manager to guide employees who need help completing their work. Finally, controlling means measuring performance against the plan and putting things right.

2:11At nine in the morning, the manager compares the target of two hundred rolls with the actual result of one hundred and sixty. Production started late because ingredients arrived after the agreed time. The manager agrees an earlier ingredient delivery and schedules an earlier start tomorrow. That example shows why controlling feeds back into planning. Information about actual performance helps managers improve their next decisions. Organising establishes tasks and resources, while coordinating connects activities across departments.

2:39During the work, commanding provides direction. Controlling then checks whether the arrangements achieve their intended results.

Delegation: benefits and risks

2:45A subordinate is an employee below another person in the chain of command. By authority, we mean the right to make decisions and give instructions. Delegation is giving a subordinate the authority to carry out particular tasks; the manager remains responsible. Choosing someone suitable and checking progress are therefore important parts of the job. At Sunrise Bakery, the manager gives the delivery supervisor authority to arrange routes. This employee can decide which cafés the driver visits first within the agreed delivery times.

3:14Delegation gives the supervisor enough decision-making power to complete that particular task. The manager still answers for the outcome and checks that customers receive their orders as promised. One advantage for the manager is more time for important tasks. While the supervisor handles routes, the manager can plan capacity for additional orders. However, the manager loses some direct control because another employee makes those decisions. Clear limits and regular progress checks help the business retain oversight while gaining that time.

3:41Employees can also benefit because delegation shows that their judgement is trusted. Greater responsibility can increase motivation, so the supervisor puts more effort into keeping deliveries reliable. Handling route decisions also develops practical skills through experience. These benefits depend on having suitable preparation and enough support to carry out the task successfully. A disadvantage for the business is that an untrained employee may complete a delegated task badly. A supervisor unfamiliar with customer deadlines could choose an unsuitable route.

4:11Some cafés would then receive their orders late. The manager must consider the employee’s ability before granting authority, because mistakes can damage customer relationships. Delegation also benefits the business because decisions can be made closer to the work. A delivery supervisor who knows current road conditions can adjust a route promptly. Customers gain when this local knowledge helps orders arrive on time. Delegation is especially useful where the employee has relevant information and understands the limits of their authority.

4:38Accountability means being answerable for the outcome of a task. A further disadvantage for the manager is remaining accountable for mistakes, even when the subordinate made the decision. If a route choice makes deliveries late, the manager must explain the failure to the cafés and arrange a solution. That creates extra work, so delegation needs sensible monitoring.

Worked delegation example

4:56Harbour Inn is a hotel that provides overnight accommodation. Its manager is handling a customer complaint when a group of guests is due to arrive. An experienced reception supervisor knows which rooms are ready and understands the hotel’s allocation rules. Consider how the manager could delegate room allocation while retaining responsibility for a smooth arrival. Start by identifying the particular task: allocating suitable rooms to the arriving guests. The manager then gives the supervisor authority to choose available rooms within the hotel’s rules.

5:26Experience and knowledge make this employee suitable for the decision. The manager agrees that any problem outside those limits must be referred back immediately. The supervisor can now make room decisions promptly because the relevant information is available at reception. Meanwhile, the manager has time to resolve the existing complaint. After the group arrives, a progress check establishes whether every guest received a suitable room. This combines delegated authority with continuing accountability and control.

Exam technique and recap

5:51Keep the functions distinct by looking at the action involved. Assigning employees to tasks shows organising; matching departmental schedules demonstrates coordinating. With controlling, explain both the comparison against the plan and the corrective action. A strong delegation answer names the particular authority transferred and states that the manager remains responsible. In Paper One Short Answer and Data Response or Paper Two Case Study, use the information given to support your reasoning.

6:18An exam-style question could ask you to explain one advantage and one disadvantage of delegating delivery-route decisions at Sunrise Bakery. Explain means set out purposes or reasons, say why and how, supported with relevant evidence. Follow each point through to its consequence. Delegation gives the manager more time for important tasks. The delivery supervisor can arrange routes. Meanwhile, the manager can plan capacity for extra café orders, so sales revenue can rise.

6:44A disadvantage is reduced direct control over route choices. If the supervisor overlooks agreed delivery times, orders can arrive late and customer relationships can suffer. Remember that management means the people who run a business and the tasks they do. Managers start with planning: setting objectives and deciding how to achieve them. For organising, the key wording is arranging people and resources and giving tasks to employees. Coordinating means making departments work together towards the same objectives.

7:12Commanding is directing and supervising employees and giving them instructions. The controlling function involves measuring performance against the plan and putting things right. Finally, delegation is giving a subordinate the authority to carry out particular tasks; the manager remains responsible. The benefits of delegation therefore depend on suitable employees, clear limits and checks on results.