ManagementIn Management Excel, we start from the assumption of the universality of management. Management is management. Management is generic. Management principles are general rather than specific to one type of business or organization. However, management is only universal if the manager has become familiar with the specific situation in which it is applied. Manufacturing technology, customer characteristics, and industry culture are examples of specifics that managers must learn to be effective in applying their generic management skills. A definition: (1) Management is creative problem solving. This creative problem solving is accomplished through four management functions: planning, organizing, leading, and controlling. The expected outcome is the use of an organization's resources to achieve its mission and objectives. (Figure 1.1, From Higgins, page 7) In Management Excel, this standard definition is modified to align more closely with our learning objectives and to more clearly communicate the content of the organizational function. Organization is divided into organization and staff so that the importance of staff in small business receives emphasis along with organization. In management literature, directing and leading are used interchangeably. (Note the Management Excel wheel illustration) Planning is the ongoing process of developing the company's mission and objectives and determining how they will be achieved. Planning includes both the organization's broader vision, such as its mission, and its narrower vision, such as a tactic for achieving a specific goal. Organizing means establishing the internal organizational structure of the organization. The focus is on the division, coordination and control of tasks and information flow within the organization. It is in this function that managers distribute authority to job holders. Staff fills and keeps all company positions filled with qualified individuals. Recruitment, hiring, training, evaluation and compensation are the specific activities included in the function. In the family business, staff includes all paid and unpaid positions held by family members, including the owner/operator. Leading means influencing people's behavior through motivation, communication, group dynamics, leadership and discipline. The purpose of management is to channel the behavior of all staff to achieve the organization's mission and goals, while at the same time helping them achieve their career goals. Controlling is a four-step process that establishes performance standards based on company objectives, measuring and reporting actual performance, comparing performance, and taking corrective or preventative action as needed. Each of these functions involves creative problem solving.