Management Functions



Successfulorganizations have efficient organizational frameworks that ensurethat resources within the organization are utilizedefficiently(Tripathi, Tripathi&amp Reddy, 2008). ABC Company isconsistently ranked among the most admired businesses in the apparelindustry. The key to this success is the commitment by the managementin ensuring bolstering managerial excellence at each level of theorganization. The research paper intends to incisively analyse howthe company, through it managerial practices runs all the managementfunctions. They include the planning, leading, organizing, andcontrolling processes that go on in every organization of thisnature. Controlling is involves having monitoring methods that ensurethat ABC meets its long term and short term objectives. Standards areset way in advance and every manager is given the task to ensure thatemployees in their department run their activities within the scopeof those objectives.

Controlsalso involve performance reviews that aim at correcting the anydeviation s from the set objectives in the firm. Not to avoid in thisdiscussion is the budgeting process that is responsible forallocating the needed resources in the organization. Leadership is asuccess factor also drives all successful organizations such as ABC.In this case, focus will shift on the specific management styles ofABC managers and how they have contributed to the general success ofthe company. A discussion of how managers understand and treatindividual and group behaviour in ABC is one of the aspects thatentail management styles. The success of ABC is an embodiment of howfirms can distinctively manage departments within the scope of theorganizational objectives. If a firm succeeds in controlling,leading, planning, and organizing all its operations in a separatestyle that empowers departmental managers, there is great potentialto be unlocked from every section. This will end growing the entireorganization.


Theneed to understand the success factors that propel reputableorganizations such as ABC is the motivation behind this researchpaper. In every business industry there are successful organizations.Likewise, there are those that run down their capital and end upbeing placed under receivership, while others are finally dissolvedfor failure to make business sense for stakeholders and shareholders.ABC attracted the attention of this incisive inquest because of theconsistently huge pre-tax profit margins that it has made for thepast two decades. The firm is also ranked the most valuable companyin the industry by market capitalization.

Thecurrent Chief Executive Officer, who has been at the helm of ABC forabout decade now has consecutively received the award of the bestcorporate manager for the last five years in a row. ABC has thelargest market share of imported apparel from Europe, especiallyItaly. Although there are other competitors in the industry, theorganization leads in providing retailers with the highest qualityimports in fashion. Considering that a firm’s share value isdetermined by many factors including the factors that influence theperception of investors, one can actually make a hypothesis that theorganization has the best management practices that have establishedit as a giant in the apparel industry. It is therefore, imperativethat this research paper about ABC management practices concentrateson the vital features of organizing, controlling, leading, andplanning in ABC because they are the core of all management practicesin all industries. The failure and success of an organization dependson how organizational processes are managed around these fourparticular aspects of management. The impetus behind the researchpaper is to be accomplished through demonstrating how the processesare coordinated at ABC. This is likely to fulfil the need for anunderstanding of how successful organizations organize theirmanagement practices.


TheABC management strives to make work easy and less complex for theemployees so that they get the best out of their human resource. Asmentions earlier ABC utilizes its resources through differentdepartments in the pursuit of it organizational objectives. Theresources are mainly, human, financial, physical, and information.Managers of department and the Chief Executive perform their workwithin a social context in the four functions of management ofplanning, controlling, organizing, leading, and controlling.

  1. Planning

ABChas an articulate planning system that determines its desired futureposition and rolling out the strategies to use for them to achievethem(Griffin, 2012). The planning system of ABC involves and includesstudying and analyzingthe environment, deciding the appropriate goals, and developing thetactics to help execute the set strategies. The management adopts theperception strategy that plays a very important role in scanning theenvironment. Creativity and innovation influence how the managementsets goals, strategies, and tactics for the organization. Behavioralprocesses among individuals and the characteristics of the processesinvolved pervade each of these activities at ABC. Owners here do nottake part in the planning process but rather the management.

Theplanning process involves all the departments of ABC. The departmentsinclude the human resource the operations innovation and productdevelopment and the marketing departments. The chief Executiveofficer, the chairman of the board (as an invited guest), and all thedepartmental managers meet to set goals for each financial year.Departmental managers first disclose what they intend to achieve atdepartmental level. The Chief Executive Officer then discloses theoverall expectations in against the benchmark of the gaols set in theprevious financial year. The goals that the organization managed toachieve are highlighted and those not met are also highlighted. Goalsetting and evaluation takes place in the first session of planning.The second session of the planning stage involves crafting out thestrategies that would facilitate the implementation of the set goals.All strategies get the budgetary allocations they need. They changeswith time because the priorities and market trends are not the sameall the time. The innovation and product development department getsthe largest allocation because of the need to keep with the markettrends. Strategic meetings are also regularly to make necessaryadjustments on the priorities listed in the plan especially wherecertain markets are not consistent with the projections of theplanning team.

  1. Organizing

Bydefinition, organizing is the process of designing jobs, groupingjobs into manageable units, and establishing patterns of authorityamong jobs and groups of jobs(DuBrin, 2012). This process establishesthe basic structure of any organization. At ABC, the process is quiteelaborate, extensive and complicated because of its size. The companyhas a hierarchical structure that has layers and spans of activitiescarried out by employees at different levels of the organization ineach department. ABC has the Chief Executive Officer, who serves asthe senior-most employee at ABC. He is in-charge of leading otheremployees in executing the objectives of the organization. The Chiefoperating officer comes just after the chief executive officer. Departmental managers are next in hierarchy with the responsibilityof assigning employees specialized roles to achieve departmentalgoals. For instance, the finance has three accountants each assignedwith specialized roles. The first one who is the chief accountantmanages accounting information on behalf of the departmental manager.The second one maintains electronic databases specifically foraccounting information. The third one is an internal auditor thatmonitors the book keeping and accounting practices of ABC so that itdoes not get trapped in litigation concerning the credibility offinancial statements. The Board of directors is in-charge of theorganization through the chief executive officer. All decisionshowever, must be approved by shareholders and ratified by the Boardso that there is consensus on the kind of decisions made at eachlevel of the organization. ABC’S organizational structure ishierarchical. The top management makes overall decision on theallocation of resources and the execution of such decisions goes ondown the hierarchy. Departments are divided into units that are thelowest level of the job organization. Members of the units are notpart of the management team but are charged with the responsibilityto execute the strategies in the planning schedule.

  1. Leading

Leadingis defined as the process of motivating members of the organizationto work together toward the organization’s goals(Dale, 2009). ABC’shuman resource department is in-charge of designing enforcing thecode of ethics on the existing employees, crafting job descriptionsfor prospective employees, and come up with motivation strategiesthat will keep employees towards the same aspirations of the entireABC fraternity.

Ingeneral, leaders at each level of ABC use the laissez-faireleadership style. According to the chief executive officer, the styleis relevant to the organization because it provides all members ofthe organization to freely give their input for the enhancement ofproduct delivery and business image. Communication flows horizontallyamong departments and units within each of department. Departmentalmanager use this leadership style to give employees as much freedomas possible to develop new ideas that can keep ABC at the currentproduction level. However, delegation of duties at is greatlydiscouraged at ABC because of the sensitive nature of the apparelindustry. The leadership believes that dealing with particular workoperations personally enhances efficiency and effectiveness of theindividual. For instance, the innovation and product developmentmanager is expected to have information about new trends. Delegatingthis role to a junior departmental employee is likely to cause mixedjudgments.

Employeesof ABC receive motivation incentives from the management. However,motivation strategies are result-oriented. Employees who excel inperformance are rewarded with monetary and non-monetary benefits.Monetary rewards salary increases while non-monetary benefits includerecognition through promotions and awards such as ‘ABC Employee ofthe Year Award.’ Rewarding employees takes place at the end ofeach year after evaluations are complete and the best performingemployees identified through a performance index is determined by theHuman Resource Department for each employee.

  1. Controlling

Thisis the process of monitoring and correcting the actions of theorganization and its members to keep them directed towards theirgoals(Daft, 2010). Control mechanisms at ABC happen throughleadership and control techniques. Goal setting sessions, regularstaff meetings, reports, budgets, and policy checks of the controltechniques used in the company. These techniques were adopted whenABC showed rapid growth results towards the end of the 2010/11financial year. Departmental managers are supposed to submit monthlyreports to the chief executive officer to demonstrate how theirdepartments are running activities within the set goals. Thesereports are evaluated and brief recommendations included to ensurethat departments do not deviate from the overall goals. ABC valuesits ethics standards. All controls aim at ensuring that all employeesstick to the code of ethics because it plays a critical role inmaintaining their image. Budgetary controls are aligned with theobjectives of the organization. Departmental managers are given theauthority to frame their departmental budgets through thecoordination of the general manager. Budget periods are adjustableaccording to the needs of the firm. ABC has a budget manual thatconnects all departmental managers. The budget manual serves as theguiding document in the preparation and implementation of thebudget(McKinsey, 2002). To align employees with the objectives ofthe budget, ABC has a motivation system for employees so that theycooperate in converting the budge to reality.


Thefour managerial functions exist in all firms regardless of theirsize, market share or the industry of operation. The success of ABCis an embodiment of how firms can distinctively manage departmentswithin the scope of the organizational objectives. If a firm succeedsin controlling, leading, planning, and organizing all its operationsin a separate style that empowers departmental managers, there isgreat potential to be unlocked from every section. Specifically, theuniqueness of ABC Company in instituting these management facets willprovide essential information about some the key success factors thatemanate from them. This stimulates the growth of the entireorganization.Each of these four vital processes wields immenseinfluence that can bring down the organization or raise its profilein the corporate circles as in the case of ABC. The organizingmanagement function in the organization is at different departmentallevels. Each department has a departmental manager who is in-chargeof executing the general organizational objectives of ABC at thatlevel. These management functions should be carried out within theparadigm of organizational objectives and the precinct of employeemotivation so that the organization can realize the set goals.


Daft,R. L. (2010). Management.Mason, Ohio: South-Western Cengage Learning.

Dale,E. (2009). Management:theory and practice.New York, NY [u.a.: McGraw-Hill.

DuBrin,A. J. (2012). Essentialsof management.Mason, Ohio: South-Western/Thomson Learning.

Griffin,R. W. (2012). Fundamentalsof management.Mason, OH: South-Western Cengage Learning.

McKinsey,J. O. (2002). Budgetarycontrol.New York: The Ronald press company.

Tripathi,P. C., Tripathi, P. C., &amp Reddy, P. N. (2008).Principlesof management.New Delhi: Tata McGraw-Hill Pub.