The document discusses the four main functions of management: planning, organizing, leading, and controlling. It then provides details on each function. Planning involves determining goals and strategies. Organizing is creating an organizational structure. Leading is influencing and motivating others. Controlling monitors performance and makes corrections. The strategic planning process also involves five steps: developing a vision and objectives, analyzing internal and external factors, identifying strategies, implementing strategies, and evaluating performance.

1. The Four Functions
of Management:
1. Planning
2. Organising
3. Leading
4. Controlling
MORNÉ SCHUTTE
1

2. The Five Tasks of Strategic
Management
Task 1 Task 2 Task 3 Task 4 Task 5
Develop Crafting
Implementing Evaluating
Strategic Setting Strategy
& Executing and
Vision Objectives to Achieve
Strategy Correcting
& Mission Objectives
Planning Organising Control
Leading 2

3. Management Functions
3

4. Planning
4

5. Planning is the process used by
managers to identify and select
goals and courses of action for the
organisation.
5

6. Traditional Stages of the Planning Process
Determining the
Organization’s goals
Formulate
Plans
Implement
Plans
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7.  The organisational plan that results from
the planning process details the goals to
be attained.
 The pattern of decisions managers take
to reach these goals is the
organisation’s strategy.
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8. Levels of Planning
Strategic
Tactical
Operational
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9. Strategic Plans
 Detailedaction steps mapped out to
achieve strategic goals
 Generally developed by senior
management and usually have a
time horizon of 3 - 5 years.
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10. Tactical Plans
 More specific and concrete, aimed at
supporting the implementation of
strategic plans.
 Time horizon of 1 - 3 years.
 Outline major steps to achieve
objectives, and are developed by middle
management
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11. Operational Plans
 Set out specifically what, and how, must be
achieved to achieve organisational
objectives.
 Time horizon of no more than 1 year.
 Success of strategic and operational
objectives are reliant on success of
operational plans.
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12. Strategic Planning is the process
of determining the company’s
objectives, the courses of action
needed to achieve them and the
allocation of resources to enable
them to be implemented
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13. Strategic Planning Process
Internal
Analysis
Mission
Develop Implement Control
Vision
Strategies Strategies Evaluate
Objectives
External
Analysis
13

14. Strategic Planning Process
Internal
Analysis
Mission
Develop Implement Control
Vision
Strategies Strategies Evaluate
Objectives
External
Analysis
Step One 14

15. Step One
Mission, Vision & Objectives
It is necessary for the organisation
to determine it’s mission, vision
and objectives before it begins to
make plans for it’s future.
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16. Internal
Analysis
Mission
Develop Implement Control
Vision
Strategies Strategies Evaluate
Objectives
External
Analysis
Step Two 16

17. Step Two
Internal & External Analysis
Most commonly an
organisation will undertake
a SWOT analysis
S threngths
W eaknesses
O pportunties
T hreats
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18. Strategic SWOT Analysis
Strengths Weaknesses
How do we use How do we improve
our strengths to our weaknesses to
Opportunities take advantage of take advantage of
the opportunities? the opportunities?
How to we use our How do we improve
strengths to prevent, our weaknesses to
Threats or reduce, our prevent, or reduce,
threats? our threats?
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19. Step Two
External Analysis
Often an
organisation will
utilise Porter’s
competitive forces
analysis tool 19

20. Potential
for Entry
Consumers Rivalry Suppliers
Among
Competitors
Substitute
Products
20

21. Porters’ Five Competitive Forces
• Level of Rivalry in an industry: how intense is the
current competition with competitors? Increased
competition results in lower profits.
2. Potential for entry: how easy is it for new firms to enter
the industry? Easy entry leads to lower prices and
profits.
3. Power of Suppliers: If there are only a few suppliers of
important items, supply costs rise.
4. Power of Consumers: If there are only a few, large
buyers, they can bargain down prices.
5. Substitutes: More available substitutes tend to drive
down prices and profits.
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22. Strategic Planning Process
Internal
Analysis
Mission
Develop Implement Control
Vision
Strategies Strategies Evaluate
Objectives
External
Analysis
Step Three 22

23. Step Three
Identifying Strategies
Once the organisation is fully
informed about it’s environment
(internal, operating and macro), it
can then begin to develop
strategies.
Remember, a strategy is a pattern
of actions employed to achieve an
organisations’ objectives.
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24. Strategic strategy
develop a plan of action
maximizing long-run value
SWOT analysis
identifies strengths & Tactical strategy
weaknesses inside the a plan of action to take
firm and opportunities advantage of opportunities
& threats in the and minimize threats
environment.
Operational strategy
a plan of action improving
department’s ability to
create value
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25. Strategic Planning Process
Internal
Analysis
Mission
Develop Implement Control
Vision
Strategies Strategies Evaluate
Objectives
External
Analysis
Step Four 25

26. Step Four
Implementing Strategy
After identifying appropriate
strategies, managers confront
the challenge of putting those
strategies into action
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27. Implementing Strategy
Strategy Implementation is a five step process.
• Allocating responsibility for implantation to the appropriate
individuals or groups
• Drafting detailed action plans that specify how a strategy is to
be implemented
• Establishing a timetable for implementation that includes
precise, measurable goals linked to the attainment of the action
plan.
• Allocating appropriate resources to the responsible individuals
or groups.
• Holding Specific individuals or groups responsible for the
attainment of corporate, divisional, and functional goals.
27

28. Strategic Planning Process
Internal
Analysis
Mission
Develop Implement Control
Vision
Strategies Strategies Evaluate
Objectives
External
Analysis
Step Five 28

29. Step Five
Control
Controlling is not the last
function of management. This
is because it is the function
that monitors all other
functions. Only through
controlling can efficiency and
effectiveness be maintained.
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30. Four Stages of Control
Establishing Standards
Measuring Performance
Comparing Performance
against Standards
Evaluation and Action
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31. Example
Federal Express Corp. has a performance
goal of delivering 99 % of its packages on
time. If on-time deliveries fall to 97 %,
managers know that they have a problem.
On the other hand, an on-time rate of 99.5
% would indicate that the company is doing
better than expected.
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32. Organising
Structure within the Organisation
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33. Leading
or
Leadership
33

34. What should a Manager be?
A Leader
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35. Leadership
Think of a person who you consider
a leader
What traits (attributes,
characteristics) can you identify as
central to their leadership?
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36. Leadership
 Drive
 Leadership Motivation
Integrity
Self-confidence
Knowledge of the
Business 36

37. Central to effective leadership
is ………………..
INFLUENCE
…….. that is, the ability to influence other people
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38. Sources Authority
of Power Control over
Rewards
Control over
Influence Punishments
Appealing
Personal
Characteristics
Expertise
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39. Legitimate Influence
Power that stems
from a position’s
placement in the
managerial
hierarchy and the
authority vested in
the position.
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40. Reward Influence
Power that is based on the
capacity to control and provide
valued rewards to others. 40

41. Coercive Influence
Power that
depends on the
ability to punish
others when they
do not engage in
desired
behaviour.
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42. Expert Influence
Power that is based
on the possession of
expertise that is
valued by others.
42

43. Information Influence
Power that results
from access to and
control over the
distribution of
important information
about organisational
operations and future
plans. 43

44. Referent Influence
Power that
results from
being
admired,
personally
identified
with, or liked
by others.
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45. Management Styles
The type of power, and the
way it is used, by a
manager will be greatly
influenced the the type of
management style he/she
chooses to use.
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