Ass. Prof. Dr. Özgür KÖKALAN
İstanbul Sabahattin Zaim University
Chapter Objectives
1.
2.
3.
Define what management is
Describe managerial functions
Define the planning fuction that is the first managerial
fuction
5-2
Defination of Management
 The process of coordinating organizational resources in an
effective and efficient way in order to attain pre – set
organizational objectives.
 Management is also defined as getting things done through
other people
 The good definition of management as the attainment of
organizational goals through other people in an effective
and efficient way by planning, organizing, leading and
controlling organizational resources
Attainment of
Present Goals of
The Company
Four Management
Function:
Planning
Organizing
Manegement
Leading
Controlling
Effectiveness and
Efficiency
Managing People
Managerial Functions
 How
do managers use
resources to attain
organizational goals? What is the process of
management?
Planning
Goals
Plans
Decision Making
Controlling
Management
Control System
Financial Control
System
Management
Functions
Organizing
Division of Work
Chain of Command
Departmantization
Leading
Leadership
Motivation
communication
Planning
 Determining the organizational objectives, and its
ways and means to accomplish them.
Goals and Plans
 Goals are the expected future state of the organization.
 Goals characterictics
 Goals should be spesific and measurable
 Goals should cover the key areas of the organization
 Goals should be challenging
 Goals should define a time period
 Goals should be linked to spesific rewards.
Strategic Goals
Tactical Goals
Top
Management
Strategic Plans
Middle
Management
Tactical Plans
Operational Plans
Operational Goals
Lower Management
Strategic Goals
 This kind of goals pertain to the organization as whole
 There are the broad statements identifying where the
organization expects to be and what it expects to
achieve in the future.
 Strategic goals do not involve departmental or
divisional activities
 To attain strategic goals, the organization defines the
action steps that can be called as strategic plans.
 Strategic goals are set by top managers.
Tactical Goals
 Departments in the organizations have their own
specific ends to achieve. These ends are called as
tactical goals
 Tactical goals are set by middle management to define
what departments do to implement their tactical goals.
Operational Goals
 Specific, measurable and short-term goals are called by
operational goals.
 This kind of goals are generally set by lower
management, but sometimes set by work groups or
individiuals.
 Lower level management develops the operational
plans to accomplish their operational goals.
Planning Process
Setting
The Goals
Identifying
Future
Possible
Events
Identifying
The
Alternatives
Studying
The Possible
Alternatives
Choosing
The
Appropriate
Alternatives
Preparing
Compatible
Subplans
Implemen
ting The
Plans
Types of Plans
 Plans encompass the course of future action, according
to different needs and objectives, one can be sure of
many existing type of plan that vary in nature.
 There are several classfication. These are;
 According to time period
 According to their use in the organization
 According to their place in the organizational hierarchy
Types of Plan According to Their
Time Horizon
 The plans according to their time period can be
classified into three common categories
 Long range plans (Long - run plans)

5 or more years
 Mediun range plans (Medium- run plans)
 Short range plans (Short – run plans)
Types of Plans According To Their
Use In The Organization
 This type of planning can be classified into two
categories:
 Single
use plans: Plans that are developed to
accomplish organizational goals that are possibly not
repeated in the future.
 Standing plans: these are continuous that are prepared
in the organizations in order to provide guidance for
tasks that are performed repeatedly.
Types of Plans According To Their Place
In The Organizational Hierarchy
 There are three kinds of plans. These are
 Strategic plans;

These plans are set by top managers to define action steps to
attain the major strategic goals of the organization. They are
prepared for period of 5 or more years
 Tactical plans;
 These plans are set by middle managers . These plans describe
the things to be done in the specific department in the
harmony with the organization’s overall plan.
 Operational plans;
 These plans are set by lower managers. These plans are so
specific and measurable and they are done in the harmony
with tactical and strategic plan. They are prepared for less
than 1 year.
Decision Making
 Decision making involves identifying the problems,
opportunities and alternatives, choosing from available
alternatives and resolving the problems.
 Management decision can be classified into two categories.
 Programmed Decision

This kind of decision are clear, well defined and structured . These
decision can be applied repeatedly.
 Unprogrammed Decision
 They are made uniquely, in largely unstructured, and poor defined
situation. These decisions can be made in situations usually with
uncertainty
Decision Process
 The decision making process begins by seeking to ask
right question, continues by encouraging creative
answers and ends by choosing the solution and
measuring the outcome.
Define
Problem
Collect
Data
Develop
Alternative
Solution
Assess
Conse-
Select
Optimum
quences
Solution
Implement
Solution
Measure
Results