Functional Areas of Management in an Organization

This presentation is about the different functional areas of management such as HRM, Operations, Finance, and ICT

1. Functional Areas of Management Prepared by: Romalie F. Galleto

2. The Functional Areas of Organizational Management The Human Resource Management 01 Marketing Management 02 Operational Management 03 Financial Management 04 Information Communication Technology Management 05

3. In a large organization, it is usually easier to identify separate functional areas because people work together in departments. Each department carries out the tasks that relate to its particular area. The main purpose of functional areas is to ensure that all important business activities are carried out efficiently. Functional Areas Of Management

4. The Human Resource Management

5. Infographic Style Why investment in human capital is important?

6. The Human Resource Management The human resources of an organization are its employees. Wise organizations look after their staff on the basis that if they are well trained and committed to the aims, the organization is more likely to be successful. HR aims to ensure that the organization retains good, experienced people . Analyzing staff-turnover figures will show the rate at which people leave the organization. If these are high, it is important to identify and remedy any problem areas.

7. 1 2 3 The role of HRM practices is to manage the people within a workplace to achieve the organization's mission and reinforce the culture. HR managers can monitor the state of the job market to help the organization stay competitive. Human resource management acts as a consultant to sort out conflicts within the organization immediately and conduct other organizational activities smoothly. Importance of Human Resource Management

8. Skills Requirements for entering Human Resource Management

9. HR Management Functions 2019 2018 2017 2016 ■ Advertising job vacancies ■ Notifying staff of promotion opportunities ■ Receiving and recording all job applications, arranging interviews and notifying candidates of the result ■ Sending a contract of employment and other essential information to new staff ■ Arranging staff training and encouraging continuous professional development ■ Checking health and safety and keeping accident records ■ Recording sick leave and reasons for absence ■ Carrying out company welfare policies, e.g. long-service awards and company loans ■ Advising managers on the legal rights and responsibilities of the company and its employees ■ Keeping records of grievances and disciplinary actions and their outcome ■ Monitoring the terms and conditions of employment, including wage rates ■ Liaising with staff associations or trade unions which represent the workforce

10. The Marketing Management

11. The Marketing Management Marketing is all about identifying and meeting customer needs. Many businesses consider this so important that they are said to be marketing- led Marketing was famously described as ‘looking at the business through the customer’s eyes In this case, everyone in the organization is trained to put the customer first – from the production worker, who has to produce high quality goods, to the accounts clerk, who must respond to a customer enquiry promptly and accurately.

12. Organizations

13. 1 2 3 It helps to maintain the reputation of the organization. It helps to boost the economy of the company. The marketing management helps to promote new ideas which are depending upon the benefits and offers for the public to be grabbed quickly. Importance of Marketing Management

14. Marketing Management Functions 2019 2018 2017 2016 Carrying out market research to obtain feedback on potential and existing products and/or services A nalyzing market research responses and advising senior managers of the results and implications Promoting products and services through a variety of advertising and promotional methods, e.g. press, TV, online, direct mail, sponsorship and trade shows or exhibitions Obtaining and updating a profile of existing customers to target advertising and promotions appropriately Producing and distributing publicity materials, such as catalogues or brochures Designing, updating and promoting the company website

15. Find out what promotional activities are undertaken by your school/college or your workplace if you are a working student. Explain how your organization manages to promote their services, products or programs to the general public .

16. The Operations Management Operations management is the management of processes that transform inputs into goods and services that add value for the clients and/or customer. It is concerned with the design, management, and improvement of the systems that create the organization’s goods or services. It involves the responsibility of ensuring that organization operations are efficient in terms of using as few resources as needed and effective in meeting clients requirements.

17. 1 2 3 Helps in achievement of objectives: Operations management has an effective role in the achievement of pre-determined objectives of an organization. Improves Employee productivity : Operation management improves the productivity of employees. It checks and measures the performance of all people working in the organization. Optimum utilization of resources : Operation management focuses on optimum utilization of all resources of the organization. It frames proper strategies and accordingly continues all operations of the organization. Importance of Operations Management

18. Typical Transformation Process (Input-Process-Output)

19. Operations Management Strategies Today’s operations managers are deeply involved in strategy, along with their daily production role. Here are several key strategy and tactics points Data is often siloed, which makes it difficult to compare. But newer systems and setups are making this easier and helping analysts and managers examine data in new, helpful ways. Data Challenges: Analytics are essential for strong planning, adjustments, and decision making. Two common types are efficiency metrics and effectiveness metrics. (What are the primary concerns within the community?) Use of Data: Researching on current social situations, forecasting probable issues, and developing a sound process can derive at lasting solutions. Process Design:

20. Operations Management Strategies Today’s operations managers are deeply involved in strategy, along with their daily production role. Here are several key strategy and tactics points The best forecasting often combines a look at historical data with analysis of changing conditions. Forecast and Goal Setting With good communication and collaboration, operations management can work effectively with finance, marketing, human resources, and other departments. Collaboration Among Departments: Ecological soundness has become a strategic and legal necessity at organizations nowadays, especially in manufacturing. Being Green: With all the advancements in machinery and technology, people remain critical to the equation, though often in different types of jobs. Managing People:

21. Operations Management Functions 2019 2018 2017 2016 ■ Planning and implementing manufacturing plants ■ Managing projects ■ Planning information systems ■ Helping to design and develop products and services ■ Managing inventory through the supply chain ■ Managing delivery to customers in a timely manner ■ Optimizing quality control ■ Conducting procurement/purchasing ■ Managing logistics ■ Managing transportation and distribution ■ Managing and maintaining facilities

22. The Financial Management ALL organizations need a regular income stream to pay the bills and other operational expenses Financial management pertains to the strategic planning, directing, organizing and controlling of financial undertakings in an organization. It encompasses the application of management principles to the financial assets of an organization, while also playing an important part in fiscal management.

23. In every action, the organization should always consider financial matters.

24. In the public sector, there is what we call Public Financial Management (PFM) which refers to the set of laws, rules, systems and processes used by national and sub-national governments, to mobilize revenue, allocate public funds, undertake public spending, account for funds and audit results. Public Financial Management (PFM) It encompasses a broader set of functions than financial management and is commonly conceived as a cycle of six phases, beginning with policy design and ending with external audit and evaluation (PFM Cycle).

25. 1 2 3 It helps organizations in financial planning and acquisition of funds and it aids organizations to effectively utilize and allocate the funds received or acquired Supports organizations in making critical financial decisions It helps in improving the profitability of organizations , Increases their overall value and provides economic stability . Importance of Financial Management

26. Financial Management 01 02 03 SCOPE OF The financial manager projects how much money the organization will need in order to maintain positive cash flow, allocate funds to grow or add new products or services and cope with unexpected events, and shares that information with business colleagues. Planning. Organizations generally have a master budget and may have separate sub documents covering, for example, cash flow and operations; budgets may be static or flexible. Budgeting. The financial manager sets procedures regarding how the finance team will process and distribute financial data, like invoices, payments and reports, with security and accuracy. Procedures.

27. Operations Management Functions 2019 2018 2017 2016 ■ Checking payments are received and chasing up overdue payments ■ Recording money received ■ Ensuring that funds are well-allocated for the operational expenses of the organization ■ Preparing the payroll and paying staff salaries ■ Monitoring departmental budgets to check that no department is overspending ■ Issuing regular budget reports to all departmental managers ■ Producing cash flow forecasts and regular financial reports for senior managers ■ Advising senior managers on sources of finance for capital expenditure. ■ Producing the statutory accounts each year

28. Information & Communication Technology (ICT) Management Today, even the smallest organizations need someone who understands ICT. This is vital, because the number of crucial administrative tasks are now carried out on computer and the importance of the data stored in the system mean that any system failure can be catastrophic. This functional area in management includes a deep analysis of the impact of the information and communication technologies on different aspects of development and growth.

29. ICT Composition

30. Components of ICT The term information and Communication Technology (ICT) is generally accepted to mean all technologies that is combined, allow people and organizations to interact in the digital world.

31. 1 2 3 Data Management Systems. Today, most organizations store digital versions of documents on servers and storage devices. These documents become instantly available to every member, regardless of their geographical location. Communication Between Employees, Suppliers and Clients/Customers. Email was one of the early drivers of the Internet, providing a simple and inexpensive means to communicate. Management Information Systems. Storing data is only a benefit if that data can be used effectively. Progressive organizations use that data as part of their strategic planning process as well as the tactical execution of that strategy. Importance of ICT Management

32. ICT Management Functions 2019 2018 2017 2016 ■ Recommending new/updated systems and software to keep abreast of technological developments and the needs of the organization ■ Buying and installing new hardware and software and providing information or training as appropriate ■ Assisting users who have computer problems ■ Repairing the computer system when required ■ Connecting new or additional equipment to the system ■ Installing a security system which limits access to authorized users and protects against hackers and viruses ■ Technically maintaining the company website ■ Monitoring staff computer use for compliance with the company IT policy ■ Operating a back-up system for critical data so this can be recovered quickly in an emergency

33. Infographic Style Thank You!