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Management

ization, usually beginning with the top-level manager and then to the workers so they know what is expected of
(normally the president) at the top of the chart. Other them.
managers are shown below the president. After the standards have been set and communicated,
There are many ways to structure an organization. It it is the manager’s responsibility to monitor performance
is important to note that the choice of structure is impor- to see that the standards are being met. If the manager
tant for the type of organization, its clientele, and the watches the homes move through the construction
products or services it provides—all of which influence process and sees that it takes ten days, something must be
the goals of the organization. done about it. The standards that have been set are not
being met. In this example, it should be relatively easy for
Directing. Directing is the process that many people managers to determine where the delays are occurring.
would most relate to managing. It is supervising, or lead- Once the problems are analyzed and compared to expec-
ing workers to accomplish the goals of the organization. tations, then something must be done to correct the
In many organizations, directing involves making assign- results. Normally, the managers would take corrective
ments, assisting workers to carry out assignments, inter- action by working with the employees who were causing
preting organizational policies, and informing workers of the delays. There could be many reasons for the delays.
how well they are performing. To effectively carry out this Perhaps it is not the fault of the workers but instead is due
function, managers must have leadership skills in order to to inadequate equipment or an insufficient number of
get workers to perform effectively. workers. Whatever the problem, corrective action should
Some managers direct by empowering workers. This be taken.
means that the manager does not stand like a taskmaster
over the workers barking out orders and correcting mis-
MANAGERIAL SKILLS
takes. Empowered workers usually work in teams and are
To be an effective manager, it is necessary to possess many
given the authority to make decisions about what plans
skills. Not all managers have all the skills that would make
will be carried out and how. Empowered workers have the them the most effective manager. As technology advances
support of managers who will assist them to make sure the
and grows, the skills that are needed by managers are con-
goals of the organization are being met. It is generally
stantly changing. Different levels of management in the
thought that workers who are involved with the decision-
organizational structure also require different types of
making process feel more of a sense of ownership in their
work, take more pride in their work, and are better per- management skills. Generally, however, managers need to
have communication skills, human skills, computer skills,
formers on the job.
time-management skills, and technical skills.
By the very nature of directing, it should be obvious
that the manager must find a way to get workers to per-
Communication Skills. Communication skills fall into
form their jobs. There are many different ways managers
can do this in addition to empowerment, and there are the broad categories of oral and written skills, both of
many theories about the best way to get workers to per- which managers use in many different ways. It is necessary
form effectively and efficiently. Management theories and for a manager to orally explain processes and give direc-
motivation are important topics and are discussed in tion to workers. It is also necessary for managers to give
detail in other articles. verbal praise to workers. Managers are also expected to
conduct meetings and give talks to groups of people.
Controlling. The controlling function involves the evalu- An important part of the oral communication process
ation activities that managers must perform. It is the is listening. Managers are expected to listen to their super-
process of determining if the company’s goals and objec- visors and to their workers. A manager must hear recom-
tives are being met. This process also includes correcting mendations and complaints on a regular basis and must
situations in which the goals and objectives are not being be willing to follow through on what is heard. A manager
met. There are several activities that are a part of the con- who does not listen is not a good communicator.
trolling function. Managers are also expected to write reports, letters,
Managers must first set standards of performance for memos, and policy statements. All of these must be writ-
workers. These standards are levels of performance that ten in such a way that the recipient can interpret and
should be met. For example, in the modular home assem- understand what is being said. This means that managers
bly process, the standard might be to have a home com- must write clearly and concisely. Good writing requires
pleted in eight working days as it moves through the good grammar and composition skills. This is something
construction line. This is a standard that must then be that can be learned by those aspiring to a management
communicated to managers who are supervising workers, position.

468 ENCYCLOPEDIA OF BUSINESS AND FINANCE, SECOND EDITION