In this section I will be looking at the functions and aspects of a successful business. Ranging from, what a manager does to what’s expected of them and how they factor in to a business’s planning and organisational structure.
Role of Management
The role of management within a business is largely dependent on the type of business. Small businesses are likely to have what is called a “flat structure” where employees have more than one role or skill and can take over duties from another employee if needs be.
Flat structures are especially popular with new businesses or “start-ups” where there are often people who have ...view middle of the document...
How should resources be allocated?
Planning is defined as the systematic development of programmes aimed at reaching agreed-upon business objectives.
By the process of analysing, evaluating, and selecting opportunities. It is the process of determining exactly what the organisation will do to accomplish its objectives.
Planning incorporates defining the organisation’s objectives, establishing an overall strategy, and developing a comprehensive hierarchy of plans to integrate and coordinate actions within a company.
Decision making is the cornerstone of planning. Is the catalyst that drives the planning process. Underlies every aspect of setting goals and formulating plans.
There are a few things to remember about business planning;
* All organizations plan, but not in the same fashion.
* All planning occurs within an environmental context.
* All goals require plans to guide in their achievement.
* All goals are tied higher goals and plans
In other words, businesses plan around their personal circumstances, an airlines business plan will have very different connotations from a bank. Whatever the business they all have different templates for different plans.
Some of the most common plans are;
A general plan set by and for top management that outlines resource allocation, priorities, and action steps to achieve strategic goals. From 3-5 years.
A plan aimed at achieving the tactical goals set by and for middle management. From 1-5 years.
A famous operational planning tool which is popular throughout the world is the S.M.A.R.T objective plan. It stands for Specific, Measurable, Achievable, Realistic, Timely.
1. Specific – Objectives should specify what they want to achieve.
2. Measurable – You should be able to measure whether you are meeting the objectives or not.
3. Achievable - Are the objectives you set, achievable and attainable?
4. Realistic – Can you realistically achieve the objectives with the resources you have?
5. Time – When do you want to achieve the set objectives
Organising is the co-ordination of activities and resources to carry out the plan to achieve goals. Activities co-ordinated by creating an organisational structure (people grouped together) Organisation structure and design refers to the overall set of structural elements and the relationships among those elements used to manage an organisation.
Manager’s role in organisation includes;
* Determining direction and providing vision (Where do we want to see the business and how are we going to get there?)
* Helping employees understand their role
In situations where the external environment is stable and uncertainty is low, managers prefer to make decisions at a central level and use extensive rules and standard operating procedures to govern activities. One of the places where this is most obvious is in the designing and implementing of job roles.