Functional areas of management

1. Functional Areas of
Management

2. In the previous lesson,
you were already
introduced to the
other basic functional
administrative units
of an organization. . .
2
2

3. We also explored how the
principles of
specialization and
division is applied to a
more effective and
efficient organization
through
departmentalization.
3

4. In this lesson, you will
learn the other basic
functional areas of
management that
exercise control over
functional forms of an
organizational structure.
4

5. 5
Why do organizations
need to divide the
organization into
several functional
administrative units?

6. 6
Marketing Management
What Is Marketing Management?
● It is responsible for creating, communicating,
delivering value to the company’s target market.
● It identifies the needs and wants of consumers
and determines the market offering that can
satisfy those.
● It is a functional area that is responsible for
creating relationships with customers and society.

7. 7
Functions of Marketing Management
1. Create exchanges that satisfy customer needs and
company goals.
2. Manage marketing resources.
3. Analyze, plan, and implement marketing programs.

8. 8
Functions of Marketing Management
3. Stimulate and generate market demands for the
products of the company.
4. Make important decisions that will ensure the
company’s competitiveness.
5. Employ marketing techniques.

9. 9
A billboard is an example of a promotional material that
organizations use.

10. 10
Financial Management
What Is Financial Management?
● It is in charge of the investments of the
stockholders, the use of funds in the operation, and
the distribution of income of the business owners.
● It facilitates the choice of investments, financial
policies, and operating mechanisms of the
organization.

11. 11
Functions of Financial Management
1. Handle the organization’s financial policies and
strategies, investments, capital structures, and
dividend policies.
2. Ensure that funds are managed effectively and
utilized.
3. Set financial objectives and determine a plan on
how to achieve them.

12. 12
Financial Management
Financial management
ensures that funds are
properly managed to
provide all the
organization needs.

13. 13
Material and Procurement Management
What Is Material and Procurement Management?
● It refers to planning, acquiring, storing, moving, and
controlling of resources based on the requirement
of the organization.
● It is related to the smooth flow of raw materials in
an organization.

14. 14
Material and Procurement Management
This involves the purchasing process for the
goods and services that the organization
produces and ensures that all of the company
resources are at the right time and in the right
place.

15. 15
Functions of Material and Procurement
Management
1. Purchasing
2. Procurement
3. Inventory Management
4. Supply Management

16. 16
Purchasing
● Identification of
needed materials,
market research, and
maintaining
materials records

17. 17
Procurement
● Involving material
specifications, studies,
and receiving materials

18. 18
Inventory Management
● Planning and
controlling of
materials handling,
storing, and managing
material supplies

19. 19
Supply Management
● Monitoring in-plant
material handling and
the strategic planning
of materials