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The Four Functions of Management within
Ginseg Regional Healthcare Systems
Henry Fayol, a 20th century mine owner, first coined term, "Four Functions of
Management"“ to define a functional organization design, focused on essential skill sets.
("Four Functions of Management"“, 1999) Since then, processes, projects, teams, systems,
and different specialisms, like Marketing and Human Resources have manipulated, added
to, and overlaid these concepts. However, these four basic concepts are still at the core of
managerial thinking, they are Planning, Organizing, Leading, and Controlling.
Planning is concerned with the future impact of today decision. (Erven, n.d.) Planning, as a
basic definition, is setting objectives, analyzing dependencies and scheduling activities and
resources to ensure that objectives are met. It is an ongoing process of developing the
business mission and objectives and determining how they will be accomplished. Planning
includes both the broadest view of the organization, e.g., its mission, and the narrowest,
e.g., a tactic for accomplishing a specific goal. Planning is the essential function from
which the other three functions of management stem.
At GRHS, (GINSEG REGIONAL HEALTHCARE SYSTEM), basic planning initiates the
organization by determining the system vision, mission, objectives, and goals. Grasping
the fundamental understanding of what GRHS is seeking to achieve is determined by
planning. Every aspect of the hospital has to be planned for; nursing staff to meet patient
needs, conference services to ensure continuing education classes can take place, as well as
environmental services where sanitation is of the utmost importance. Without this crucial
step in management, organizing, leading and controlling cannot take place successfully.
Each company has an organizational structure. In developing an organizational structure
and distributing authority, manager decisions reflect the mission, objectives and tactics that
grew from the planning function. (Erven, n.d.) Thus, the next step in the Four Functions of
Management is Organization. Organizing is establishing the internal structure of the
business. The focus is on division, coordination and control of tasks and the flow if
information within the company. Managers distribute responsibility and authority to job
holders in this function of management (Higgins, 1994.)
GRHS structure is a direct example of this organizing process. It begins with the division
of labor, delegation of authority, grouping of jobs (departmentation), span of control and
coordination.
Division of labor is concerned with relationships among tasks and the authority to do the
tasks. Delegation of authority is the ability to give authorized power of influence toa
subordinate. Delegation frees the manager to use his or her time on high priority issues.
