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Various functional areas of management are:
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Production management
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Marketing management
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Financial management
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Personal management
Production management:
Production means creation of utilities by
converting raw material in to final product by
various scientific methods and regulations. It
is very important field of management. Various
sub-areas of the production department are as
follows.
Plant lay out and location:
This area deals with designing of plant layout,
decide about the plant location for various
products and providing various plant utilities
Production planning:
Managers has to plan about various production
policies and production methods.
Material management:
This area deals with purchase, storage, issue
and control of the material required for
production department.
Research and Development:
This area deals with research and developmental
activities of manufacturing department.
Refinement in existing product line or develop a
new product are the major activities.
Quality Control:
Quality control department works for production
of quality product by doing various tests which
ensure the customer satisfaction.
Marketing management:
Marketing management involves distribution of
the product to the buyers. It may need number of
steps. Sub areas are as follows
Advertising:
This area deals with advertising of product,
introducing new product in market by various
means and encourage the customer to buy thee
products.
Sales management:
Sales management deals with fixation of prices,
actual transfer of products to the customer
after fulfilling certain formalities and after
sales services.
Market research:
It involves in collection of data related to
product demand and performance by research and
analysis of market.
Finance and accounting management:
Financial and accounting management deals with
managerial activities related to procurement and
utilization of fund for business purpose. Its
sub areas are as follows
Financial accounting:
It relates to record keeping of various
financial transactions their classification and
preparation of financial statements to show the
financial position of the organization.
Management accounting:
It deals with analysis and interpretation of
financial record so that management can take
certain decisions on investment plans, return to
investors and dividend policy
Taxation:
This area deals with various direct and indirect
taxes which organization has to pay.
Costing:
Costing deals with recording of costs, their
classification, analysis and cost control.
Personnel Management:
Personnel management is the phase of management
which deals with effective use and control of
manpower. Following are the sub areas of
Personnel management
Personnel planning:
This deals with preparation inventory of
available manpower and actual requirement of
workers in organization.
Recruitment and selection:
This deals with hiring and employing human being
for various positions as required.
Training and development:
Training and development deals with process of
making the employees more efficient and
effective by arranging training programmes. It
helps in making team of competent employees
which work for growth of organisation.
Wage administration:
It deals in job evaluation, merit rating of jobs
and making wage and incentive policy for
employees.
Industrial relation:
It deals with maintenance of overall employee
relation, providing good working conditions and
welfare services to employees.
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