The Management Process – Planning, Controlling and Decision Making

Management Process is defined as activity which involves Planning, Controlling and Decision Making. Management Process describes functions of a manager and functions to enable the workers.

Workers enablement gives authority to staff in the operation level to plan, control, and to make decisions without requiring authorization from middle or top management. Worker enablement is done based on the philosophy that the workers are considered very close to the job and are capable to give input and suggestions, to get ideas, and have an active role in problem solving.  Workers are given permission to stop production so they can identify the problem and solve it. They are asked to give input and ideas which are used to improve the production process.

The involvement to manage the company through workers enablement is a core element to promote continuous improvement. Worker enablement is similar to High Involvement Organization (HIO) which allows high participation of the workers in all aspects of the organization. High-involvement organizations are characterized by flat organizational structures with product- or customer-focused units rather than functional centers such as marketing, production and research and development.

Planning is a detail formulation of activity to achieve defined goals. Planning requires clear goals and the identification of method to achieve those goals. As an example a factory manager can initiate a supplier evaluation program to identify and select suppliers who are willing and able to supply zero defect material. By promoting workers enablement, workers can identify the cause of defective materials or products and create a new method to reduce waste and product reworking.

Controlling is a managerial activity to monitor the implementation of the plan and to make corrective actions whenever required. After a plan is made, the plan should be implemented; manager and workers need to monitor the implementation to ensure that the plan works as expected. Feedback is often used to evaluate and set the corrective actions to implement a defined plan. Based on the feedback, manager or worker can decide to keep the original plan and let it work, or to take corrective action or to re-plan it. This feedback can be in the form of financial report or performance report.

Decision making is a process to choose the best solution among many alternatives. This managerial function is collaboration between planning and controlling. The quality of decision can be improved if all alternatives information can be collected and presented to manager. One of the important roles of Accounting Information System is to supply the information to simplify the decision making process.

Management process is a way to keep a project focused and productive.  The project team has the authority to change or discontinue a part of or all of a project if it is not making minimum expectations.  They also have the responsibility of working with the client in the event of needing a new timeline, miscalculated budget, or product delay.

The management process might seem complicated, but in truth it is a simple progression of steps or tasks.  At every phase the manager has the opportunity to ensure delivery on time and under budget.

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