These four functions are crucial to the success of any organization. The controlling function is responsible for monitoring performance, determining the resources needed to accomplish a goal, and determining the work environment. The other three functions, directing, planning, and analyzing the environment, are interrelated and highly dependent on one another. Let us take a look at each in more detail. We’ll begin by defining each function, and then look at how these four functions fit together.
The planning function focuses on the development of a departmental or organizational plan. Having a plan is crucial to the management process, and failure to prepare can make the process of implementation difficult. The planning process can also be complicated by unforeseen factors, forcing a manager to adjust the plan or the tasks to accommodate these changes. Hence, the four functions of leadership are essential to achieving organizational goals.
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Lastly, the controlling function is concerned with information. It provides managers with information that will help them stay on track with the corporate goal. This is an important function, as it will enable managers to know what is working and what needs to be changed. For instance, ThyssenKrupp had little experience in elevator manufacturing, but it was trying to break into new markets and develop new products. The close monitoring and analysis of its plans helped the company make the necessary adjustments and ensure a successful transition to the new industry.
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