- - AGRICULTURAL CORE CURRICULUM - - (CLF1000) Advanced Core Cluster: AGRICULTURAL BUSINESS MANAGEMENT (CLF1250) Unit Title: MANAGEMENT FUNCTIONS _____________________________________________________________________________ (CLF1252) Planning, Organizing, Directing, Time Years Coordinating, and Controlling IN 4 Hours 3 / 4 Agribusiness Management _____________________________________________________________________________ Topic Objectives: Upon completion of this lesson, the student will be able to: Learning Outcome #: (C-4) - Describe the functions of organizing, directing, planning, coordinating, and controlling in agribusiness management. Special Materials and Equipment: References: Downey, W. David, & Erickson, Steven P. (1987). AGRIBUSINESS MANAGEMENT (2nd ed.). New York: McGraw-Hill. Downey, W. David (1982). AGRIBUSINESS MANAGEMENT INSTRUCTOR MANUAL. New York: McGraw-Hill. Erickson, Steven P. (1981). AGRIBUSINESS MANAGEMENT STUDY GUIDE. New York: McGraw-Hill. USDA. (August 1974). "Employment in Agricultural and Agribusiness Occupations," ERS 570. Evaluation: Unit Exam TOPIC PRESENTATION: PLANNING, ORGANIZING, DIRECTING, COORDINATING, AND CONTROLLING IN AGRIBUSINESS MANAGEMENT A. The PODCC Model in Review 1. The five functions of management plus communicating and motivating include: a. Planning is the adoption of specific programs in order to achieve desired results. b. Organizing involves fitting the organizational pieces together. c. Directing indicates an attempt to point out the best way. c. Coordinating represents an effort to ensure that all the gears are meshing smoothly. d. Controlling means checking whether or not objectives are being met. B. The Functional Approach (PODCC) to Management in Detail 1. Planning a. In brief, planning is: 1) The muscle and sinew of management; it provides movement in the desired direction 2) A prerequisite for consistent success in business 3) Identifying possible courses of action based on understanding all relevant factors and directed at specific objectives b. In depth, what is planning? 1) Planning can be defined as forward thinking about courses of action based on full consideration all factors involved and directed at specific objectives. 2) Types of Planning: a) Strategic Planning - Long-range, broad, and complex goals and objectives; these goals are usually set by top management. b) Tactical Planning - Objectives set by middle management to implement goals and objectives of top management; it tends to be short-term and general in nature. c) Supervisory Planning - Short-term and generally specific plans set by lower management. c. Setting Objectives 1) Objective are statements developed by top management, boards of directors, and chief executives to define what they believe to be the organization's mission. 2) Well-stated objectives should: a) Record the direction the agribusiness should take. b) Provide guides for the goals and results of each unit or person. c) Allow appraisal of the results contributed by each unit or person. d) Contribute to a successful organizational performance. e) Indicate the philosophy and desired image of the organization. 3) Objectives should be broad, long-range, and flexible. 4) Objectives are usually found in the following business areas: a) Market standing b) Growth and development c) Profitability d) Employee relations and performance e) Investor relations and returns f) Public responsibility and relationships g) Physical resources h) Products and innovation 5) The Planning Process a) There are 5 steps in the planning process: 1. Gathering facts and information that have a bearing on the situation 2. Analyzing the situation and the problems involved 3. Forecasting future developments 4. Developing alternative courses of action and selecting those that are most suitable 5. Developing a means of evaluating progress and readjusting goals as the planning moves along 2. Organization a. In brief, organization is: 1. The skeleton or framework of the business 2. The beginning step 3. Similar to "problem definition," i.e., What do we need to do? 4. Getting work done effectively by grouping of activities and people 5. Specific goals are achieved b. In depth, what is organizing? 1) Organizing involves: a) Setting up the structure of the business b) Determining the jobs to be done c) Selecting, allocating, and training personnel d) Defining lines of activity e) Establishing relationships within the organization and then staffing them c. The employees' work goals, the decision to place someone in charge, and the overall goals of the organization, coupled with the ways in which each person and department relate to each other, compose the organizational. 3. Directing a. In brief, directing is: 1) The heart of management 2) Assigning specific duties and responsibilities 3) Creating desire to succeed 4) Seeing the job through b. In depth, what is directing? 1) Directing is: a) Assigning duties and responsibilities b) Deciding the results to be achieved c) Delegating necessary authority d) Creating the desire for success e) Seeing that the job is done and done properly 2) Directing involves leading, supervising, motivating, delegating, and evaluating people. 3) Patterns of management are changing. a) A manager must help subordinates to find satisfaction and to identify themselves with their jobs and organizations. ____________________________________________________________ ACTIVITY: 1. Review Maslow's needs hierarchy theory and relate it to people's wants and desires that lead to increased productivity on the job. Consider also In Search of Excellence: Lessons from America's Best-ran Companies by Thomas J. Peters & Robert H. Waterman, Jr. or other current management best-sellers. _____________________________________________________________ 4. Coordinating a. In brief, coordinating is: 1) The brain of management 2) The synchronizing and unifying of individual and group actions 3) Proper coordination of people and activities b. In depth, what is coordinating? 1) Coordination deals with synchronizing and unifying the actions of a group of people. 2) Coordinating is working together by: a) Interpreting programs, plans, policies, procedures, and practices b) Providing for growth and development of employees c) Keeping in touch with employees and keeping a sense of perspective d) Providing the climate for success e) Providing for the free flow of information 5. Control a. In brief, controlling is: 1) The nervous system of management 2) Providing warning signals when plans start to go astray 3) An information system that continually monitors business plans b. In depth, what is controlling? 1) Controlling is comparing results with goals and objectives set. 2) Control in management is an information system that monitors plans and processes to be sure that they are meeting predetermined goals; it also sounds a warning when necessary so that remedial action can be taken. 3) Managers are utilizing computers in control, especially when dealing with financial cash flow statements, balance sheets, and income-loss statements. Computerized information is readily available for review and control purposes. _____________________________________________________________ ACTIVITY: 1. Make up an organizational functional structure utilizing PODCC for your local FFA chapter or club. List individual functions and responsibilities for overall management of the organization. _____________________________________________________________ 12/12/91 BF/sg #%&C