The purpose of management is Structure, tasks, functions and principles of management

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

Even a person who is far from management knows that the purpose of management is to generate income. Money is what ensures progress. Of course, many entrepreneurs try to whitewash themselves and therefore cover their thirst for profit with good intentions. Is it so? Let's find out.

Goals

If a person does not have a goal, he will not do anything. So, when opening an enterprise, an entrepreneur must understand not only how to proceed, but also why to act. The purpose of management is to solve the pressing problems that arise in the business world every day.

• Generating income is the main goal of any commercial enterprise. It is to achieve this need that managers and employees direct their efforts.
• Improving the efficiency of management. To achieve maximum profit, you need to work not only well, but also efficiently. To achieve this, you need to change equipment in a timely manner, train personnel and closely monitor the workflow.
• Satisfying the needs of the market. ForIn order for a company to be profitable, it must produce the products for which there is a demand. The volume of these products will also depend on the purchasing power of the population.
• Solving social issues. Entrepreneurs always aim not only to acquire a material base, but also to help the population. After all, all goods and services are produced for people.

Tasks

Entrepreneurs don't always run their business on their own. Often they hire specially trained managers. The goals and objectives of management for such people are known firsthand. What is the main task of a manager?

• Production of goods and services. The person who is "at the helm" of the company is interested in the fact that the company works well and consistently produces the required amount of goods or serves a regulated number of customers.
• Make a profit. The purpose of management is profit. Therefore, one of the tasks of a manager is to bring as much money into the company as possible. Therefore, the person sitting in the chair of the head needs to come up with a plan that will help increase the growth of the firm's funding.
• Stabilization of the company in the market. One of the tasks of the manager is to make the company known first at the country level, and then the world. Only large enterprises with a long history can boast of relative stability.

Management control

Large companies can be owned by one person, and a package of documents can be divided betweenseveral people. How, in a situation where there are several directors, can the main goal of management be achieved? This art has been worked out for several centuries. If the leaders have one goal, then it is not so difficult to choose the path to achieve it. What is the control of management in companies?

• Full. If the controlling package of documents belongs to one person, then he has the right to dispose of the company's money at his own discretion, as well as make decisions on its expansion or staff reduction.
• Almost full. If 51% of the shares are owned by one person, then we can say that the entire company is owned by one person. It is his word that will always be decisive when managers fail to agree on further development prospects.
• Incomplete. If a person owns 30% of the shares, then his word in the company will not be weighty. To convince your colleagues of something, you will have to apply the skill of oratory. It will no longer be possible to press with authority.

Benefits of managing small firms

A person who opens his own enterprise always hopes that his project will outlive not only him, but at least a few more centuries. The purpose of the management process does not change from century to century. What is the advantage of running a small firm?

• Team cohesion. A team in which everyone knows each other works better. People treat each other well, they can talk or take a walk in their free time. Colleagues who are connected not only by workers, but alsofriendly relations, better attitude to cooperation.
• Prompt informing. If the boss needs to inform his team about something, then he can do it at one general planning meeting.
• Maneuverability. If the demand for a product or service decreases, the company has the ability to quickly retrain and adapt to the circumstances.
• Support from outside. The state, and the townspeople as well, always support small companies. They, according to statistics, produce goods of the best quality and do not allow the giants to monopolize any area.

Benefits of managing large firms

The main goal of management is easier for owners of large companies to achieve. They have advantages that small businesses lack:

• Having their own factories, research centers and laboratories allows large companies to develop unique products and services that help improve people's lives.
• Less vulnerability. A large firm is not afraid of competition. If necessary, she can simply absorb the company, which is trying to resist the pressure of the giant.
• Ability to make discounts. Private enterprises do not have a large production, so they cannot afford to drop the price of goods. And large firms do discounts often.
• Good financial airbag. In the event of a crisis or any other financial instability, large companies will remain afloat, but small ones will sink.

Structure

How does the control system work? The structure of management objectives is a complex system that includes several components:

• Organizational. This structure is responsible for the personnel of the organization. It dictates requirements regarding qualifications, work experience, special skills, etc.
• Working functions. The goals and functions of management are inextricably linked with this structure. The operational functions of an organization are those management processes that are not visible to the naked eye, but nevertheless occur on a daily basis.
• Exchange of products and services. Not many companies can boast of complete autonomy of production. Many organizations are forced to cooperate with each other to achieve maximum production efficiency.
• Informational. Information is transmitted not only according to a well-established system at conferences or planning meetings, but also lives in the enterprise in the form of gossip and rumors.
• Resource-technological. To produce a product, an enterprise needs not only resources, but also equipment that will process resources.

Functions

• Planning. Company management is based on planning. Thanks to those people who know how to look into the future and predict the turn of events, the economy of the whole country is holding on. Visionary managers always take the lead in any company.
• Coordination. One of the functions of a manager is to hold planning meetings and talk about future prospects. Each employee is given a plan for futureactions that he must meekly carry out. Managers make sure that the whole "mechanism" of the organization works without failures.
• Motivation. People who know their purpose always work better. Therefore, the main task of leaders is to inspire employees to achieve a common goal.
• Control. Managers must control the work process and make sure that people work efficiently and meet deadlines.
• Problem resolution. Any job that involves people will certainly be associated with personal problems. The manager's task is to resolve all disputes quickly and at the same time not infringe on anyone's interests.

Principles

Organizing any work is a complex process. What are the principles of management? The principle of purpose and the principle of work must be in balance.

• Division of labor. Each member of the team should do their own thing and not try to interfere with someone else's work and problems.
• Discipline. Only those companies develop in which the personal problems of employees do not interfere with the work process.
• The presence of responsible persons. At every level of management there must be people who can and are able to take responsibility for their work and for the work that was done under their supervision.
• Subordination of individual interests to the common ones. A person should strive for his own development through the development of the company.
• Reward. An employee who receives his salary on time, andalso bonuses for good work, will work more efficiently than people who do not receive proper remuneration for their work.

Leaders

The control system is formed from three types of people:

• Higher. These are directors, general directors and major shareholders.
• Average. Heads of company departments.
• Inferior. Heads of subdivisions and teams.

Achieving Goals

What does it take to make an organization work well? Achieving management goals is possible subject to certain factors:

• Team morale. If the general mood of the team is upbeat, people will believe in their leader and know that at the end of a difficult path they will be rewarded, the spirit of the team will be uplifted. In this case, the work will argue faster, and conflicts in the team will occur less often.
• Personal perspectives. A person must know the future of not only the company, but also his own. People will work hard if they are convinced that this work is for their good. For example, a person will gain experience or specific knowledge.
• A clear plan of action. Managing an enterprise is easy if all activities are well planned. This helps to determine the scope of work and track the path traveled.
• Having a deadline. If you set a deadline for each project in which it needs to be handed over, the work will be done more efficiently and faster. It is advisable to set the deadline for the project a few days earlier, since you always need to take into account the technicalcrashes and other overlays.