Home Uncategorized 5. Functions of Management.

5. Functions of Management.

Do you know what are the 5. functions of management?

Every day you see functions of management around you directly or indirectly.

It is basically a bridge between planning and results. It decides whether you achieve a plan or not.

So let’s started the most detailed blog on function of management.

All managers need to perform some basic functions to confirm that the goals of the organization are achieved successfully and efficiently.

What’s in it for me?

  1. Planning
  2. Organizing
  3. Staffing
  4. Directing
  5. Controlling
  6. Levels of management
  7. Frequently asked questions

A manager performs all the above functions for the smooth functioning of the organization and to achieve organizational as well as personal goals.


functions of management

Planning is defined as the primary step performed by every manager. It refers to deciding in advance what to do, how to do when to do, and who is going to do it.

Planning bridges the opening between where we stand today and where we want to succeed.

But, Every manager starts deciding in advance the objectives of an enterprise and how to fulfill these objectives.

Planning involves setting the aim and deciding in advance the suitable course of action to achieve the objectives.

Planning is a thinking process and is always done for the future and is a never-ending process. It is universal i.e. it is required at all levels of the organization.

For example

If an organization plans to start a new business of clothes, firstly, the manager will do is planning about what is to be done & how it is to be done, from where he will purchase the raw materials.

what will be the approx cost of the total project and whom he shall appoint to get work done through them?

This is all known as planning and it is always done for the future ignoring of nature, scale, and size of the business.


functions of management

After setting up plans next function of management is required to organize activities and create a company structure to use the plan.

Setting up a company structure means deciding the structure of what percentage of units and subunits are needed, how many posts are needed in each department, how to distribute the power and responsibility among different people.

Once these decisions are taken, a company structure gets set up. Organizing refers to arranging everything in orderly form and making the most systematic use of resources.

When the managers are performing organizing function it results in the creation of an organizational structure which shapes the system of working.

For example

Your School plans to conduct Sports Day. All the teachers and students are given different duties, various resources are arranged and a principle is assigned to whom every one report for the work is done and pending. As a result, The whole arrangement is known as organizing.


After planning and organizing the next function of management is to perform the Staffing function.

It refers to sign up, selecting appointing the workers, assigning them duties, maintaining friendly relations, and taking care of employees.

It also includes training and development of the workers, deciding their salary, promotion, etc, judging the performance, maintaining personal records of employees.

The success of any organization doesn’t depend on the physical or the financial resources but it depends upon the usage of these resources by human resources.

So, staffing consists of manpower planning, sign up, selection, training, repayment, promotion, and maintenance of managerial staff.

It involves finding the right person for the right job having the right qualifications, doing the right job at the right time.

In other words, It can also be described as a managerial function of filling and keeping filled positions in the organization structure.

This is achieved by identifying a number of employees required subsequently followed by recruitment, selection, placement, promotion, assignment, and development to personnel to fill the roles designed into the organizational structure.


Once the employees are appointed there is a need to instruct them and get the work done. Directing refers to giving directions and instructions to employees by motivating them, supervising the activities of employees, and communicate with them.

Managers act as leaders and guide them in the right direction, so directing function includes supervision, communication, and leadership.

The directing function of management is related to instructing, guiding, inspiring, and motivating the employees in the organization so that their efforts result in the achievement of organizational goals.

After that, the right person is placed in the right place in the organization. But actual work begins only when these persons get orders from their superiors.

Directing does not mean only instruction but it also includes supervising the employees when they are performing the job, motivating them to perform more efficiently, and leading them towards the achievement of organizational goals.

Directing also means telling people what to do and seeing that they do it best of their ability.

It is a complex function and includes all activities which are design to cheer junior to work effectively and efficiently. So, It deals with steps of manager takes to get subordinates and others to carry out plans.


This is the last and very important managerial function of managers. In this function, managers try to compare the actual performance with the planned performance and if there is no match between both then managers find out the reasons for the difference and suggest the right measures to come on the path of plan.

It is concerned with taking needed corrective measures or safe actions to ensure the achievement of organizational objectives.

Controlling function refers to all performance measurements and follows up actions that keep the actual performance on the path of plan.

It is defined as a comparison of actual performance with planned performance to find out the difference so that needed corrective action can be taken timely and objectives of the organization can be achieved effectively and efficiently.

Controlling is control what is being accomplished which means judging the performance. It has a very wide scope as it is not limited to end results but also finding reasons for the difference between the actual and planned performance.

In addition, Controlling function leads to the achievement of goals and without controlling an organization is not likely to accomplish its goals.

For example

Mr. X targeted the turnover of the current year Rs. 500000 but he could only achieve Rs 300000, i.e.

The actual performance is not as same as planned performance so here the manager will find out the difference caused and reasons behind it.

Levels of management

  • Top-level management.
  • Middle-level management.
  • Lower level management.

Top-level management.

Top-level includes all the senior-most officers of the organization. It contains chairman, CEO, CFO, chief operating officer. Therefore, It consists of people who lead and direct the efforts of the worker. They have the highest authority in the organization.

Some important functions of top level management

  1. Firstly, They assigned work to individuals working at the middle level.
  2. Secondly, The growth and development of the organization depend on top-level management.
  3. Thirdly, Top-level management also shapes the plans and policies to achieve a set of goals.

Middle level management.

It consists of heads such as purchasing department head, sales department head, finance manager, etc.

They act as a connection between top-level management and lower-level management. They also use functions of top-level making plans and policies for their department, organize and collect resources, etc.

Some important functions of middle level management.

  1. They act as a connection between top level and middle level so they only explain plans and policies of top-level to lower level.
  2. Middle-level managers are the head of their own department so they organize all the resources and activities of their department.
  3. Responsible for all the activities of first-line managers.

Lower level management.

It includes authorities like clerk, sub-department officers, foreman, etc. so, this level of management actually performs the plan and policies made by the top-level management.

Their authority is limited. The quality and the quantity of output depend upon the efficiency of this level of managers.

Some important function of lower level management

  • Maintaining healthy working conditions and a healthy relationship between supervisor and subordinates.
  • Looking at the safety of workers. Supervisory level managers provide a safe and secure environment for workers.
  • Maintaining safety standards and minimizing the wastage.
  • This level is responsible for boosting the morale of the workers and developing the team spirit in the organization.

Frequently asked questions

1. why functions of management is important?

Functions of management is important because it makes management easy for an organization and it covers all the requirement of an organization as we have explained all the functions above. 

2. Functions of middle level?

Recruitment, selection, of workers and interpretation of policies, etc.

3. Name the level involved in taking key decision?

Top level is involved in taking key decision.

4. What do you mean by “effectiveness”?

It refers to completing work on time.

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