Levels and Functions of Management
Levels and Functions of Management
• BASELINE
Educators and
Administrative
staff
What is MANAGEMENT?
IT CAN BE BEST DEFINED AS:
TOP
MANAGEMENT
MIDDLE MANAGEMENT
LOWER MANAGEMENT
1. TOP MANAGEMENT
⮚ The top level of management consists of the board of directors, chief executive officer
(CEO) or managing director (MD).
⮚ Gives direction and clarifies the vision of the business.
⮚ Set long-term goals for the business, for
example, expansion or growing of the
business in long term.
⮚ Ensure that departments are working
towards the businesses’ goals.
⮚Gives instructions to various departments
about aspects such as budgets, policies and
schedules and ensure all departments keep
to their budgets.
⮚Normally the owners of the business
2. MIDDLE
MANAGEMENT
⮚ They are the link between the top level
management and lower level management.
⮚ Middle level management comprises of
managers of different departments, such as
financial, administration, human resources,
finance and operations.
⮚ They execute the plans of the organization
according to the policies and directives of top
management.
⮚ They develop short-term goals and set monthly
targets. For an example; human resource may
fill vacant jobs with skilful personnel within a
period of six months.
3. LOWER MANAGEMENT
⮚ They are also known as the supervisory or operative level of management.
⮚ Strategic planning is done by top management and refers to the activity of developing long-term
plans and strategies
⮚ To meet the goals, managers may develop plans such as a business plan or a marketing plan.
⮚ Short plans, i.e. monthly or planning over six months.
⮚ Planning also involves budgeting for business resources and activities so that money will be available
when it is needed.
⮚ The planning process (1) identifies the goals or objectives to be achieved, (2) formulates strategies
to achieve them, (3) arranges or creates the means required, and (4) implements, directs, and
monitors all steps in their proper sequence.
ORGANIZING
⮚ Managers are responsible for organising the activities in a business.
⮚ Organising is the process of giving tasks to different people or groups so that goals can be
achieved.
⮚ It is the step after planning and anything that is well organised stands much more chance of being
successful.
⮚ Every person in the organisation should know what they must do, when it should be done and how
they should do it.
⮚Managers are responsible for organising their employees and systems to produce the most efficient
output for their business
CONTROLLING
⮚ Controlling is checking / supervising employees to ensure that everybody is working according to plan.
⮚ It is a process of evaluating the actual performance and re-directing their behaviour when employees
are not doing their jobs according to plan.
⮚ The business must have set procedures and standards to deal with control successfully in order to
achieve its goals.
⮚ Managers need to ensure that all staff members are qualified to do their job.
⮚ If employees are not properly qualified, it is the manager’s responsibility to make sure employees are
properly trained.
⮚ Managers must check that the quality of goods and services are of a good standard.
⮚ Financial resources are controlled through budgets and financial analysis.
⮚ Managers must ensure that goals are reached within the planned timelines.
Personal characteristics of good managers
⮚ Confidence: Good managers believe in themselves and have the confidence to know that they are
capable of getting the job done.
⮚ Self-motivated: Good managers are able to set their own goals and do not need external rewards
to motivate them.
⮚ Goal driven: Good managers are able to set goals and focus their attention on achieving goals.
⮚ Hard working and dedicated: Good managers are dedicated and committed to the organization.
⮚ Optimistic: Good managers tend to focus on the positive and see opportunities.
⮚ Calm: Good managers are not hampered by feeling nervous and they experience low levels of stress.