Great success in any enterprise comes from a balanced combination of three elements: the mission, the leadership, and the people who make it happen…. [621473]

Chapter 3
Basic Management Functions
Great success in any enterprise comes from a balanced
combination of three elements: the mission, the leadership, and
the people who make it happen. By far the most important is
the mission.
—Roger Dawson 1
CH A P T E R O B J E C T I V E S
• Establish the bene/f_i ts of planning and address the implications of the failure
to plan.
• Describe the types of plans used in business activity and identify and explain
the key elements of planning.
• Establish the role of planning in an organization’s vision and mission.
• Establish the signi/f_i cance of goals and objectives in planning.
• De/f_i ne action plans and examine the elements of a typical action plan.
• De/f_i ne organizing and describe its place among the basic management
functions.
• Convey the importance of values in organizational life.
• Explain the concept of authority and describe how authority is apportioned
to those responsible for its application.
• De/f_i ne the concepts of “unity of command” and “span of control” as they
apply to the role of the /f_i rst-line supervisor.
• De/f_i ne the informal organization and describe its potential impact on
organizational functioning.
• De/f_i ne coordinating and controlling, and describe their relationship to the
other management functions.
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KE Y T E R M S
Planning : The projection of actions or desired results in a time period that has
not yet arrived, whether minutes or years into the future.
Organizing : The establishment of the structure within which work gets
accomplished.
Unity of Command : For each task that must be done, the employee who
performs it is directly accountable to someone for its completion.
Span of Control : The number of employees who report to a single leader or
who can be effectively supervised by a single leader.
Coordinating : The process of synchronizing activities and participants so that
they function smoothly with each other.
Controlling : Follow-up and correction, as necessary.
PLANNING
Planning is the most fundamental of the management functions, and as
such it logically precedes all other functions. Pla nning is the projection of
actions intended to reach speci/f_i c goals. In other words, a plan is a blueprint
for the future; it is the expression of what we wis h to accomplish or the
best prediction of what might occur in the future. Planning begins with the
questions of what and why , then focuses on the how, when, who , and where .
Bene/f_i ts of Planning
Planning ensures that we work effectively and ef/f_i ciently, or at the very
least, it improves our chances of doing so. Planning reduces procrastina-
tion, ensures continuity, and provides for more intelligent use of resources.
Planning improves our chances of doing things right the /f_i rst time, reduc-
ing the chances of false starts and resulting in the satisfaction of having
everything under control at present and knowing what to do next.
Planning is proactive. It decreases the need to ma nage from crisis to crisis.
It is a prerequisite for practically all necessary managerial activities, includ-
ing teaching or mentoring, preparing for and runnin g committee and staff
meetings, conducting performance appraisal discussi ons or employment
interviews, preparing budgets, and numerous other a ctivities. Planning is
essential for coping with crises such as /f_i res, nat ural disasters, strikes, bomb
threats, hostage incidents, and all other forms of emergencies.
Because plans work out exactly as anticipated only once in a while, why
bother? Is not planning just wasted effort, consuming time that could be 32 Chapter 3:  Basic Management Functions 9781449688851_CH03_031_052.indd Page 32 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

better spent acting and doing? Perhaps those whose t hinking runs along
such lines feel uneasy because they can see the amount of time spent in
planning but are uneasily aware that nothing concrete is happening dur-
ing that time to advance the completion of the work. However, those who
discount the value of planning often discover that, without planning, their
efforts are wasted on false starts and misdirection such that valuable time
is consumed in setting things right.
If things often do not happen exactly as we planne d for them to happen,
what have we gained by planning? We have been able to apply our efforts
more effectively than without a plan, and even thou gh we might not have
hit the target precisely, we nevertheless have acqu ired some important in-
formation. As a result we know by how much the targ et was missed, and we
can proceed to determine whether (1) we need to rea djust our direction to
attain the target or (2) conditions have changed su ch that the target should
be adjusted. In any case, the effort expended in pl anning is never wasted.
We have all undoubtedly heard the expression, “If we fail to plan, we plan
to fail.” This is largely true. Without planning, even that which does get
done suffers to an extent because it has consumed more time and effort
than necessary, and without the direction established through planning,
the pursuit of any particular result can be an expensive journey into chaos.
Classi/f_i cations of Plans
Strategic plans are plans made for achieving long-range goals and living up
to the expectations expressed in statements of mission and values. With-
out strategic planning, few visions are realized.
Tactical plans translate broad strategies into speci/f_i c objectives and action
plans.
Organizational plans begin with a table of organization. They include
position descriptions, staf/f_i ng, and channels of communication.
Physical plans concern topography (for example, the site of a bu ilding, the
layout of an of/f_i ce, or the location of diagnostic and therapeutic equipment).
Functional plans are plans concerned with the workings of major fun c-
tional units such as a nursing service, clinical laboratory, human resources
department, /f_i nancial or clinical services, and others.
Operational plans address systems, work processes, procedures, qualit y
control, safety, and other supportive activities.
Financial plans address the in/f_l ow and out/f_l ow of money, pro/f_i t and loss,
budgets, cost and pro/f_i t centers, charges, and salaries.
Career planning, time management, and daily work p lanning are also
vital forms of planning. Daily work planning, the s implest, most elementary 33 Planning 9781449688851_CH03_031_052.indd Page 33 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

form of planning in the working world, frequently pr oves to be the form of
planning most immediately bene/f_i cial to the individual supervisor.
Key Elements of Planning
The essential elements of planning are vision, mission, goals, objectives,
strategy, and action.
Vision
A vision is an image without great detail. It acts as a /f_l ag
around which the troops will rally.
—M. Hammer and J. Champy 2
Vision statements and mission statements deal with purpose and align-
ment at an organizational level. Without these, the energy of an organiza-
tion can become scattered rather than focused. Lead ers create a vision around
which people rally, and managers marshal the resour ces to pursue that
vision. Vision provides a premise that leaders comm it to and dramatize
to others. A vision statement should not read like a /f_i nancial report or a
concise statement of purpose. Rather, an effective vision statement must
tap peoples’ emotions; it must conjure up a compell ing positive vision
that /f_i res people up. Dr. Martin Luther King, Jr., provided perhaps the
best and simplest example of a vision statement wit h his “I have a dream”
speech.
An organization’s vision statement should be clear , exciting, and should
leave broad latitude for the pursuit of new opportunities. The vision of top
management must be broad enough that the vision of the lower echelons
of the organization fits within it. 3
One segment of an organization’s vision can be aimed at the consumer
(for example, “Our vision is to have a fully staffed, high-quality, committed
workforce that is ef/f_i cient and effective in providing the highest quality
service in our community”). Another portion can be directed at employees:
We envision an organization staffed by dedicated, enthusiastic, customer-
oriented people who act as partners. Our people rea dily adapt to change, seek
continuous technical improvements, and exhibit a ca ring attitude. Our organi-
zation is preferred by most patients and admitting physicians. It is the darling of
third-party payers and is a local preferred employer.
An organization’s vision must be sustained through action consistent with
the elements of the vision. Next, a vision is trans lated into an organizational 34 Chapter 3:  Basic Management Functions 9781449688851_CH03_031_052.indd Page 34 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

mission that is then expressed in a mission statement. Goals are enunci-
ated, strategy is developed, and action plans are constructed.
Mission
Mission statements proclaim the purpose of an organization or depart-
ment, literally stating why this entity exists. Like visions, mission state-
ments should serve to de/f_i ne the organization and inspire its employees.
Too many supposed mission statements are vague, platitudinous, and
quickly forgotten; most of them cannot pass the “snicker test” (the infor-
mal test that ought to be well understood by anyone who has ever reacted
to a vague or hollow statement or motto as “corny” or “silly”). Too many
organizations work hard to develop vision and missio n statements, then
let them become just framed pieces of paper decorating a wall.
An effective mission statement must be expressed clearly in a single, brief
paragraph and in language that everyone can underst and. When workers
participate actively in the formulation of mission statements, they under-
stand why the organization exists and what their wor k is all about. This
understanding greatly increases the chances that they will do their best to
make the virtual visions come to life.
Some mission statements include the vision plus goals and strategy.
They answer the key questions of why (“Why does this organization or
department exist?”), what (“What is our goal?”), and how (“How will we
achieve our goal?”). What follows is a departmental mission statement ap-
propriate for a small hospital unit. Note that it begins with a goal, adds
objectives, and concludes with a strategy:
We seek a service that surpasses the expectations of our clinician customers. We
will improve the quality of reported results, short en turnaround time, reduce
costs, and promote a spirit of cooperation between our staff, our customers,
vendors, and associates in other departments. To acc omplish this we will meet
weekly to analyze service needs, investigate compla ints and suggestions, and ex-
plore new methods or equipment. We will make recommendations to manage-
ment, monitor progress, and evaluate results.
Before accepting a mission statement, those responsible for managing
the department or unit must ensure that it answers four critical questions:
1. Do you know where you want to be 5 years from now?
2. Is the mission clearly and de/f_i nitively expre ssed in a single paragraph?
3. Is the statement expressed in language that a 10th grader can under-
stand?
4. Will the mission be believable to everyone in the organization? 35 Planning 9781449688851_CH03_031_052.indd Page 35 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

Goals and Objectives
Leaders share their visions and involve their asso ciates in setting goals
and objectives. Goals are characterized by speci/f_i c ends or conclusions,
whereas mission statements are generally open-ended . Many employees
prefer activities leading to speci/f_i c conclusions; for example, they usu-
ally prefer to work on projects rather than perform routine work because
projects have clear destinations. All riders on a t rain know when they
have arrived at the station. A signi/f_i cant number o f retirees die shortly
after retiring because mentally their goal—the end of employment—has
been reached and they have never developed a clear mission for dealing
with the future.
Targets become more speci/f_i c when goals are subdiv ided into objectives.
Objectives are milestones to be passed on the journ ey toward reaching a
goal. Objectives should be realistic, understandabl e, measurable, behavioral,
achievable, and speci/f_i c. An objective such as “reduce inventory costs” is
not suf/f_i ciently speci/f_i c. Instead, use “reduce inventory costs by 10% within
12 months”; any appropriate objective should relate to what is to be done,
how much is to be done, and by when it should be done.
Assign priorities to objectives and set target dates. Objectives should al-
ways be expressed in writing to provide a permanent record and to keep
them foremost in the minds of employees. Although there should always
be some degree of challenge—employees are motivated by achieving dif/f_i –
cult but not impossible tasks—objectives must be attainable. If a plan holds
little chance of success, it will frustrate rather than motivate. Here are some
examples of over-in/f_l ated objectives:
• Within 12 months, a repeat survey of employee morale will show an
increase in the average employee satisfaction rating from the current
level 3 to level 2.
• By the end of the next quarter, we will provide point-of-care testing
for all patients in the north wing.
Following are examples of objectives for a more comprehensive goal relat-
ing to customer satisfaction. Note that although these are open-ended, all
are valid as ongoing objectives for this hypothetical organizational unit:
• Hire employees who are client oriented, technically or professionally
competent, and likely to remain onboard.
• Provide an orientation and training program that stresses client
satisfaction.
• Anticipate changes in customers’ needs or expectations, and con-
tinually monitor customer satisfaction. 36 Chapter 3:  Basic Management Functions 9781449688851_CH03_031_052.indd Page 36 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

• Encourage all employees to participate in the planning and execu-
tion of new or improved services and in solving customer problems.
• Provide an intensive continuing education program that stresses
client satisfaction.
Strategy
Successful organizations build on their existing strengths and eliminate
their weaknesses or render them irrelevant. They constantly search for in-
novative ways to please their customers. The moves they make to please
their customers, to position themselves relative to their markets, to adapt
to the changing environment, and to address their relationships to their
competition are all re/f_l ections of their strategy. Keys to success in the pur-
suit of an organizational strategy include:
• Vision, mission, goals, objectives, and action plans
• Committed and visible support of top management
• Effective and ef/f_i cient systems, processes, and procedures
• Quality tools and techniques
• Suf/f_i cient time to carry out plans
• Empowered, caring, competent employees
Action Plans
Action plans are typically composed of /f_i ve steps:
Step 1. Identify the Problem or Need
To identify and understand the problem or need, answer the following
questions:
• Why is there a need for change? What is wrong with the present
service or system?
• What are our strengths and weaknesses and those o f our competitors?
• What are the potential gains, losses, or risks of a change?
• Who will be affected?
• What will it cost?
• What is likely to happen if no action is taken?
Step 2. Obtain and Analyze Data
Select a method of collecting information and build a databank. Be thor-
ough when you collect information. Become familiar with statistical analy-
sis and the use of charts, electronic data interchange, electronic mail, and 37 Planning 9781449688851_CH03_031_052.indd Page 37 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

work/f_l ow automation. Document current de/f_i ciencies and opportunities
for improvement.
Step 3. Determine the Best Action
Appropriate action plans should answer the following questions:
• What is to be done?
• Why must it be done?
• When should it be started and when should it be completed?
• Who is to do it?
• Where is the action to take place?
• How should it be done?
Step 4. Carry Out the Plan
It is essential that a plan be doable, understanda ble, comprehensive, cost-
effective, approved, and periodically reviewed. Com plex plans should always
include an executive summary describing how the pro posal affects the mis-
sion statement and service quality and operating co sts. Also to be added is
your assessment of how you believe clients and empl oyees will react to the
changes wrought by the plan. The implementation pro cess includes:
• Identifying resources (for example, people, supplies, equipment,
facilities, time, and funds)
• Preparing checklists of important tasks to be performed
• Assigning tasks, authority, and responsibility
• Preparing work schedules
• Providing necessary training
• As necessary, formulating new policies, systems, and procedures
Sequencing and Scheduling of Tasks. Use Gantt charts, /f_l owcharts, and /f_l ow
diagrams or other logic diagrams to document tasks and analyze the times
required for the work processes. On a chart, chronol ogically list the tasks
to be done on one side opposite the appropriate calendar periods.
Preparing a Budget. Estimate all costs associated with each task. Build
in some slack for in/f_l ation or other unanticipated costs. Prepare a cost
spreadsheet with tasks listed vertically and cost factors (for example, labor,
supplies) listed horizontally and totaled at the right of each line.
Establishing Priorities. Priorities are a vital part of any plan. To avoid
frustration, be /f_l exible; that is, remain prepared to modify your priority
list as circumstances change. Unexpected interruptions are the rule rather
than the exception. 38 Chapter 3:  Basic Management Functions 9781449688851_CH03_031_052.indd Page 38 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

Step 5. Monitor the Process, Report Progress, and Make
Adjustments
Formal control is planned control consisting of data gathering, analysis,
and documentation. Informal control consists of day -by-day observations
and impromptu meetings with other participants. Informal controls are
more proactive than formal controls. Periodic status reports should be re-
quired for large projects.
Monitoring progress usually necessitates tying up some loose ends.
These may involve changes in plans, reassignment of tasks, removal of
barriers, or requests for additional resources. In all instances, the earlier a
problem can be identi/f_i ed, the easier it is to correct.
ORGANIZING
Organizing is the process of gearing up to implement decisions that re-
sult from the planning process; in other words, it i s the establishment of
the structure in which the work gets done. Organizin g involves delineating
tasks and establishing a framework of authority and responsibility for the
people who will perform these tasks; that is, building the aforementioned
structure. It further involves analyzing the workloa d, distributing it among
employees, and coordinating the activities so that work proceeds smoothly.
Supervisors perform organizing functions using the authority assigned
to their positions in the organizational hierarchy, or “table of organiza-
tion” or “organizational chart” as it is sometimes described. Essential orga-
nizing tools include policies, procedures, work rule s, position descriptions,
and the all-important activities of assigning and delegating.
Values
Corporate Values
In value statements most employers express what th ey regard as evidence
of loyalty, expected behavior, or ethical practice. Organizational cultures
encompass and re/f_l ect the values that guide an organization in its daily
activities; that is, the sum total of all the ways people are expected to act
in pursuing the goals and objectives of the organiz ation. As work moves
across departmental boundaries—for example, the /f_l ow of patients moving
from admitting to a nursing unit, to radiology and back—inevitable dif-
ferences in values affect what is done and how and when things are done.
When corporations overall or individual supervisor s or other mem-
bers of management violate their own values, employ ees become cynical. 39 Organizing 9781449688851_CH03_031_052.indd Page 39 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

They remember what they have been told, and they ta lk of past promises
that have been broken. They use such descriptors as “unfair” or “double-
talk,” accusing management of “talking the talk” bu t not “walking the
walk.”
Personal Values
What we as individuals consider ethical or unethic al depends on our per-
sonal value systems, those fundamental concepts and motives in which
we believe. Personal values concern what is importa nt regarding work, for
example, challenges, tasks, recognition, creativity , and authority. These
values encompass relationships, personal /f_i nances, living and recreational
activities, hobbies, and entertainment. Other value s may include ambition
and the desire for fame or the wish to have one’s o wn enterprise. Attitudes
continually re/f_l ect the core beliefs and values of individuals. Attitudes can
change when beliefs and values change, but that hap pens neither easily
nor often.
Authority
Authority possessed by an individual in the organi zational hierarchy is
formal power that is delegated; that is, passed on down the hierarchy to
the point at which it is to be applied. Supervisors require authority to ful-
/f_i ll their responsibilities. It is axiomatic that people should not be given
responsibilities without suf/f_i cient authority to completely ful/f_i ll those re-
sponsibilities and thus get the job done. Although authority is the power
that makes a management job a reality, it can be relatively weak in its appli-
cation. To be effectively applied, authority must be supplemented by other
conditions or characteristics as follows:
• Expertise; for example, licensure, certi/f_i cation, knowledge, skill, or
experience
• Credibility, as in being trusted and respected
• Leadership skill, whether natural or acquired
• Persuasiveness or charisma
• In/f_l uence, sometimes as determined by whom one knows or i s con-
nected with
Ideally, the extent of a supervisor’s authority is expressed in the position
description. Some of the more important activities over which supervisors
possess variable amounts of authority fall into three categories: personnel 40 Chapter 3:  Basic Management Functions 9781449688851_CH03_031_052.indd Page 40 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

administration, /f_i scal administration, and procedures. Personnel adminis-
tration includes:
• Selecting, orienting, and training new employees
• Assigning or delegating to subordinates
• Scheduling and approving overtime
• Coaching, counseling, and disciplining employees
The tasks of /f_i scal administration include:
• Selecting supplies or equipment or approving such purchases
• Selecting vendors and establishing inventory levels
The third category, procedures, involves:
• Selecting or modifying methods or processes
• Formulating departmental policies and rules and enforcing them
• Participating in administrative activities (for example, quality man-
agement, safety, and education)
Unity of Command
The principle of unity of command originally meant that each employee
reported to one and only one superior. However, matrix management ar-
rangements, split-reporting relationships, and other complex organiza-
tional patterns have altered that concept. Presently, unity of command
simply means that for each task that must be done, the employee who per-
forms it is directly accountable to someone. From the /f_i rst-line supervisor’s
viewpoint, unity of command ordinarily represents a normal working ar-
rangement under which every task that must be done is assigned to some-
one, and each person responsible for performing a speci/f_i c task is account-
able to the supervisor. This means that never, at any time, should there be
cause for the department’s employees to wonder: whose job is this?
Span of Control
In simplest terms, span of control refers to the n umber of employees who
report to a single leader. In practical terms, it i s a reckoning of how many
employees a single supervisor can effectively manag e, how many the super-
visor can keep track of and still provide the neces sary supervisory attention.
Factors such as computers and autonomous work teams have led top
management to expand spans of control and strip away layers of manage-
ment. Organizational /f_l attening, which often accompanies reengineering, 41 Organizing 9781449688851_CH03_031_052.indd Page 41 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

reorganizing, or other restructuring efforts, can also reduce management
layers and force more responsibility down to lower management levels. The
result is that many supervisors are increasingly likely to /f_i nd themselves
directing greater numbers of people. Staff reductio ns, which have some-
times had the effect of replacing highly quali/f_i ed personnel with workers of
lesser overall quali/f_i cations, have placed additional burdens on ov erworked
supervisors. This condition is compounded by the fa ct that most of today’s
supervisors are left with fewer fellow supervisors from whom to solicit ad-
vice and support.
A supervisor’s effective span of control depends on numerous factors,
including the skill level of the employees, employee mobility, and the vari-
ability of the department’s work, so it is not possi ble to supply a magic
number representing an ideal span of control. However, when the number
of people who report to a supervisor is too low, the supervisor, having too
little to do at times, often micromanages, much to the discomfort of the
employees. When the number of people reporting to a supervisor is too
great, there is the danger of problems and needs going unaddressed and
the likelihood that some employees will not receive the supervisory atten-
tion they require.
Staf/f_i ng
The staf/f_i ng process starts with human resource planning, recruitment,
personnel selection, and orientation of new employees. It continues with
training, career development, control, and the appraisal of performance. It
sometimes leads to promotion, transfer, demotion, or separation.
It is essential to avoid staf/f_i ng with people who are clearly over-quali/f_i ed;
these people will not remain long, so personnel cos ts and turnover can
be excessive. Under-quali/f_i ed job candidates may or may not represent
good investments; some may make it, and some may fa il. The key factor is
whether they can be trained without excessive cost or loss of time. These
individuals, when trained, are less likely to be bo red with routine tasks,
and their turnover rate is generally lower than tha t of overly quali/f_i ed
people.
Personnel availability and morale are enhanced when you can adjust
work hours to suit your employees. More than half of all healthcare work-
ers are female, and many prefer work hours that allo w them to meet fam-
ily responsibilities. Part-time employment, /f_l extime, and job-sharing op-
portunities can be powerful incentives. The use of these staf/f_i ng strategies
also helps provide the needed /f_l exibility for jobs that experience peaks and
troughs of activity. 42 Chapter 3:  Basic Management Functions 9781449688851_CH03_031_052.indd Page 42 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

Assigning
Assigning and delegating have one thing in common: If they are not done,
the supervisor is left to do all the work, a clearly unrealistic situation. As-
signed tasks are those described in position descriptions. These are activi-
ties ordinarily performed by employees in each part icular job classi/f_i cation,
and the employees have limited choice in their speci/f_i c assignments. A del-
egated task, on the other hand, involves transfer of authority, with accom-
panying responsibility, from supervisor to employee. It is often voluntary.
Delegation is addressed in depth elsewhere in this text.
A composite list of the quali/f_i cations of all your department’s employees is
like all the pieces in a set of Tinkertoys ® in that all the pieces (quali/f_i cations)
are not always used; in fact, some pieces may be mi ssing. Your task is to match
the expertise and available work hours to the requi rements of the department.
Supervisors who maintain an inventory chart of the skills of their em-
ployees /f_i nd such charts helpful in assigning backup services. They also use
this information when designing educational and cross-training programs.
Supervisors make the speci/f_i c assignments and ensure that these assign-
ments are carried out. To do this effectively, supervisors must know:
• What must be done
• What equipment and supplies are needed
• What authority the supervisor has
• What quality and productivity requirements must be met
• What the cost constraints are
• Where each task is to be performed
• Where supplies and service supports are found
• Where to obtain help
• Who does what
• When the work must be done (deadlines, turnaround time, et c.)
• When changes must be made
• How the work is to be performed (method or procedure)
• How well, how quickly, and how economically the work must be done
• Why the work must be done (how an employee’s work /f_i ts into the
big picture)
It is also necessary for the supervisor to make an honest effort to match
each assignment with an individual’s ability. The supervisor must:
• Ensure that the employee to be assigned has time available in which
to accomplish the work. Overloading an employee, ev en inadvertently,
is unfair to the individual and it creates the risk of the employee’s
failure to do justice to the task. 43 Organizing 9781449688851_CH03_031_052.indd Page 43 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

• Provide all necessary training. It is never appropriate to hand a task
to an individual and let that person learn by trial and error.
• Explain each assignment without overloading the explanation with
trivial details. Ask the employee to repeat the instructions or per-
form the work under observation to ensure he or she understand s.
• Provide complicated orders in writing, perhaps in proce dural form.
• Alert the assignee to potential pitfalls, barriers, or constraints, and
let the person know how, when, and where to report problems or ask
for help.
• Whenever possible, make holistic assignments; that is, assign a com-
plete task to an individual rather than breaking it up. For example,
many nurses prefer being responsible for all the nursing care of an
individual patient rather than providing only part of that care, such
as passing medications.
The Informal Organization
Every organization has beneath its visible surface a network that consti-
tutes another arrangement of interrelationships not represented on any
organizational chart. This is the informal organization, which at times is
perhaps even more powerful simply because of its lac k of visibility. This
informal organization even has its own communication system; we refer to
it as “the grapevine.”
There are, of course, labor unions, which are certainly visible and have
their share of power and in/f_l uence partially inside but also outside of the
formal organization. In addition, the informal organization includes per-
sons or groups that have no formal power but are able to intimidate or
ostracize workers and, at times, even unof/f_i cially negotiate with manage-
ment. Within formal work groups there are cliques in which people gravi-
tate toward informal leaders based on expertise, pe rsonality, persuasive-
ness, charisma, or physical power. Sometimes informal leaders and union
leaders possess more power than the organization’s formal leaders. When
members of these informal groups are frustrated or are led to feel disloyal,
they may sabotage equipment, block work/f_l ow, start malicious rumors, or
even in/f_l ict physical harm.
Supervisors must be aware of informal networks. An astute supervisor
can often tap into the grapevine and use it to advantage. The grapevine can
carry correct information when formal means cannot be trusted or when
formal means are not fast enough to squelch rumors by circulating the
truth. The supervisor who is well tuned to the grapevine is often in a posi-
tion to learn what is really going on at the employee level. For all of the 44 Chapter 3:  Basic Management Functions 9781449688851_CH03_031_052.indd Page 44 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

frustration it can create, the grapevine nevertheless has two extremely help-
ful attributes: speed and depth of penetration. It often carries information
faster than most of/f_i cial means, and it reaches people who would never
bother to read a memo or a newsletter or bulletin board notice .
The astute supervisor also identi/f_i es the informal leaders and makes a
special effort to get along with them. These informal leaders sometimes
turn out to be strong candidates for promotion to supervisory positions
and likely employees to handle important delegated tasks.
COORDINATING
Coordinating is the process of synchronizing activ ities and participants
so that they function smoothly with each other. Whe n coordination fails,
con/f_l ict and confusion run rampant. Proactive coordina ting involves ac-
tivities intended to anticipate and prevent problem s. Reactive coordinating
consists of regulatory activities aimed at the maintenance of existing struc-
tural and functional arrangements and corrective activities that rectify er-
rors after they have occurred.
The more steps and the more gatekeepers involved i n a work/f_l ow pro-
cess, the greater the need for coordination. Joint projects and services that
require interdepartmental cooperation also demand a ctive coordination.
Breakdowns in coordination are largely a result of faulty communication,
personality con/f_l icts, turf battles, and job design problems. Other causes
include training de/f_i ciencies, /f_l awed physical arrangements, con/f_l icts of au-
thority, and lack of appropriate policies or procedures.
Work/f_l ow coordination is easier when every employee i nteraction is re-
garded as a customer service engagement with a prov ider and a service user
(client or customer). Recipients are encouraged to provide positive or nega-
tive feedback to the providers and make suggestions for improving such
interactions.
Coordinating Requires Persuasive Ability
The de/f_i nition of management can be expanded to include not only get-
ting things done through people but also getting things done with people.
“With people” signi/f_i es the importance of in/f_l uencing persons who are nei-
ther bosses nor subordinates. These relationships are lateral, or collegial,
rather than hierarchical. As organizations grow more complex and more
highly specialized, supervisors are likely to spend less time with superi-
ors and subordinates and more time with their peers. Peer groups include 45 Coordinating 9781449688851_CH03_031_052.indd Page 45 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

internal and external customers, vendors, and other outside providers, as
well as employees who precede or follow them in work/f_l ows.
Most managers and supervisors are involved in both intradepartmental
and interdepartmental coordination. The inability t o function effectively
and ef/f_i ciently as a coordinator in such relationships can impai r careers.
Tools of Coordination
Committees
A major purpose of committees is to increase coord ination, but many com-
mittees are costly, time consuming, and often ineffective. The strength of
committee action comes through a synthesis of divergent viewpoints. 4
Coordinators
As interdepartmental coordination becomes more imp ortant, new coor-
dinating and facilitating roles may be established. Coordinators play an
important role in quality management, employee safety, risk management,
customer service, staff training, and cost containment.
Improved Interdepartmental Coordination
To achieve improved interdepartmental coordination, and with it improve-
ments in communication and cooperation, keep in mind the following
points:
• Make all service requests clear and direct. Whenever possible, make
the requests directly to the person or persons who provide the ser-
vice.
• Anticipate negative responses to requests and problems, and be
ready to respond positively.
• When a request is initially made, secure agreement on the date or
time by which the necessary action will be taken.
• Always follow up a verbal request with the same in written form; a
verbal request can be forgotten or ignored, but any request is less
likely to fall by the wayside if documented.
• Listen to the problems of employees and do your best to empathize.
• Seek collaborative (win–win) solutions whenever possible, but be
prepared to compromise when necessary.
• Treat others as partners or collaborators; let them know this is
“ours” rather than “mine.” 46 Chapter 3:  Basic Management Functions 9781449688851_CH03_031_052.indd Page 46 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

• Always place teamwork above competition.
• Be patient and reasonable, never demanding or critical.
• Avoid becoming upset and avoid upsetting the other person; anger
only hinders the cooperative process.
• Eliminate all kidding and sarcasm from your repertoire. You never
know when innocent kidding could be taken to heart. Also, sarcasm
is never found among the legitimate tools of communication.
• Always strive to know your staff and your colleagues better and to
improve your understanding of their work.
• Always express sincere appreciation for the efforts of others. Honest
appreciation of work well done is one of the surest ways of ensu ring
that future work is well done.
CONTROLLING
The simplest and perhaps the most appropriate de/f_i nition of controlling
is follow-up and correction. Controlling is an essential activity because the
environment in which all supervisors work is in a co nstant state of change.
What applies today may well not be valid tomorrow; the conditions that
prevail when a project is started or a decision is made do not necessarily
remain static. For an undertaking that is planned to extend over several
weeks, for example, we can rest assured that a number of changes poten-
tially having some effect on the project’s outcome will occur and that some
of these, if not addressed, could conceivably derail the undertaking.
We must keep in mind that planning is by its very nat ure an uncertain
process. Whether a chief executive of/f_i cer planning on what the organiza-
tion will be doing 5 years from now or a /f_i rst-line supervisor planning what
to do tomorrow morning, planning remains a person’s best estimate of
what the future will hold. Because we never know the future for sure until
it becomes the present, we can never know for certain whether our plans
will be realized exactly as planned. Thus controlling and monitoring what
occurs as a plan unfolds or monitoring the implementation of a decision
and making new decisions or adjustments as needed, is always necessary
for remaining on track toward the desired results.
Follow-up on implementation has traditionally been the weakest part
of the decision-making process, and it is likely also the weakest part of the
implementation of any plan. Lack of follow-up is often the primary reason
for errors large or small occurring during implementation of any decision.
Because the environment is in a constant state of change, it is usually nec-
essary to make adjustments to any decision or plan to ensure success. 47 Controlling 9781449688851_CH03_031_052.indd Page 47 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

It will seem at times—and rightly so—that the supe rvisor works much of
the time in a continuing cycle of deciding, coordin ating, and controlling.
These actions constitute the essence of getting things done.
JUST FOUR?
The preceding paragraphs introduced and discussed four processes identi-
/f_i ed as “basic management functions.” You need not look far in manage-
ment literature to discover lists of /f_i ve, six, or even seven “basic” manage-
ment functions. Why the differences? The differences in how supposed
basic management activities are identi/f_i ed are essentially arti/f_i cial, mere
conveniences to assist our recognition and understanding of the things
that managers do. Thus, we /f_i nd the often-cited breakdown “planning, or-
ganizing, directing , coordinating and controlling” and the sometimes cited
“planning, organizing, leading, coordinating, and controlling.” There are
some approaches that include staf/f_i ng as a separately designated function;
while some breakdowns—including the one presented in this chapter—
include staf/f_i ng activities as part of organizing. As to the absence of direct-
ing or leading in the present breakdown, it is suggested that directing and
leading are largely overlapping terms that can either or both refer to the ap-
plication of all of the other basic management activities; that is, one cannot
plan, organize, coordinate, or control without directing or leading. Thus,
directing or leading is essentially by de/f_i nition part of everything a man-
ager does.
T h i n k A b ou t It
Conditions change, circumstances change, the environment is forever in a state
of /f_l ux, so oftentimes plans are themselves not parti cularly useful. However,
the planning process is invaluable. And since plans are rarely realized exactly as
planned, to a considerable extent the typical supervisory job is a nearly con-
stant exercise in coordinating and controlling.
Q u es tion s f or R ev iew an d Di s c u s s i on
1. If we believe that planning is so important, why, knowin g this, do we so
often rush directly into doing without pausing to plan?
2. What do we stand to gain from applying planning p rinciples to supposedly
routine activities? 48 Chapter 3:  Basic Management Functions 9781449688851_CH03_031_052.indd Page 48 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

3. What are two signi/f_i cant reasons why a particular objective or target may
not be attained as planned?
4. What are the principal characteristics of planning that apparently cause
many to bypass it altogether?
5. What kinds of plans are of most concern to the working supervisor?
Why?
6. What are the primary differences between mission and vision?
7. What are the three essential components of an appropriate objective?
8. Describe fully the relationship between planning and organizing.
9. As a supervisor, why is it important for you to be fully knowledgeable of
the precise limits of your authority?
10. Explain how the controlling function does or does not relate signi/f_i cantly
to the planning function.
11. Why is it necessary for an organization to have a formal code of ethics?
Shouldn’t sound personal values be suf/f_i cient?
12. Which, if any, of the functions of planning, organizing, coordinating,
and controlling are more the concerns of higher management than of the
/f_i rst-line supervisor? Why might this be so?
13. How would you handle a situation in which the supervisor of another
department approaches you with a strong complaint about one of your
employees?
14. Why is it stressed that effective coordination requires persuasive ability?
15. As a supervisor, what would be your response when seriously incorrect
information reaches you by way of the grapevine?
E s s ay Q u es tion : A u t h ori t y an d R es pon s ibi li t y
In essay form, describe in detail the appropriate relationship between author-
ity and responsibility in the processes of assignment and delegation. Concern-
ing authority and responsibility, explain why only one of these can actually be
fully assigned or delegated. In doing so, comment on the relationship between
authority and responsibility under three possible sets of conditions: authority
exceeds responsibility, responsibility exceeds authority, and authority and re-
sponsibility are equal.
Case: And Here We Go Once More
The position of business manager at Smalltown Hospital has been a hot seat,
with incumbents changing frequently. When the position was vacated last May, 49 Just Four? 9781449688851_CH03_031_052.indd Page 49 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

the four senior employees in the department were interviewed. All were told
that because they were at the top of grade and the compensation structure for
new supervisors had not yet caught up with that of other positions, the position
would involve just a miniscule increase in pay, an increment one could readily
consider insultingly small. All four refused the position, and all were given the
impression that they were not really considered quali/f_i ed just yet but that they
might be considered for supervision again at a later date.
That same month a new business manager was hired from the outside, and
the four senior employees were instructed to show their new boss in detail how
things worked in the department. Over the following several months the busi-
ness manager’s boss, the /f_i nance director, told all four senior employees that
they had “come along very well” and would be considered for the manager’s
position should it again become vacant.
In October of that same year the new manager resi gned. However, none of
the four senior employees got the job; the process was repeated, and again a
new manager was hired from the outside.
Instructions
1. You are advised upfront to avoid allowing the most blatant errors and
transgressions revealed in the preceding case study to lead you to focus
exclusively on the inappropriate management behavior. Rather, we are
concerned here with operational planning. Viewing the department and
its needs from the perspective of the /f_i nance director, describe how this
shoot-from-the-hip manager, with appropriate forethought, could have
properly planned for the department’s supervisory transition.
2. Also, summarize what you believe to be the inapprop riate consequences
of the /f_i nance director’s failure to plan.
Case: Looking for the Limits of Authority
When you accepted the position as supervisor of a housekeeping team, your
manager, June Arnold, the assistant director of building services, told you that
you would not /f_i nd a great deal of decision-making guidance written out in
policy and procedure form. As June put it, “Common sense is the overriding
policy.” However, June cautioned you about the need to see her concerning
matters involving employee discipline because the organization was presently
sensitive to union organizing overtures in the service areas.
Early in your 3rd week on the job there was an occurrence that seemed to
call for routine disciplinary action. Remembering June’s precaution, you tried
to see her several times over a period of 3 days. B eing unable to get to her and
getting no response to the messages you left, you went ahead and took action
rather than risk credibility through procrastination. When you were /f_i nally able
to see June and explain what you had done, she said, “No big deal. Common
sense, like I said.” 50 Chapter 3:  Basic Management Functions 9781449688851_CH03_031_052.indd Page 50 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

Some weeks later a similar situation arose. Again you could not get to June,
and again you took what you believed to be appropri ate action, but this time
the problem involved an employee you later learned was a strong informal
leader within a contingent of generally dissatis/f_i ed employees. The disciplinary
action blew up in your face and provided the active union organizers with an
issue they immediately in/f_l ated for their purposes. June was furious with you.
She accused you of intentionally overstepping your authority by failing to bring
such problems to her attention as instructed.
Instructions
1. Explain how you would go about trying to establish the true limits of your
decision-making authority.
2. Because the limits of your authority are ultimately those limits set by your
manager, the aforementioned June, develop a possible appro ach to get-
ting June to help you de/f_i ne the limits of your authority.
RE F E R E N C E S
1. Dawson R. Secrets of Power Persuasion . Englewood Cliffs, NJ: Prentice Hall;
1992:277.
2. Hammer M, Champy J. Re-engineering the Corporation . New York, NY: Harper;
1993:155.
3. Fisher K. Leading Self-directed Work Teams: A Guide to Develo ping New Team Leader-
ship . New York, NY: McGraw-Hill; 1993:136.
4. Longest BB Jr. Management Practices for the Health Professional . 3rd ed. Reston, VA:
Reston Publishing; 1984:179.
RE C O M M E N D E D R E A D I N G
Haimann T, Hilgert RL. Supervision: Concepts and Practices of Management . 5th ed.
New York, NY: Van Norstrand Reinhold; 1991.
Liebler JG, McConnell CR. Management Principles for Health Professionals . 6th ed.
Chapter 4 (Planning and decision making, pp. 91-126), Chapter 5 (Organiz-
ing, pp. 127–189), and Chapter 6 (Improving performance and controlling the
critical cycle, pp. 195–219). Burlington, MA: Jones & Bartlett Learning; 2012. 51 Just Four? 9781449688851_CH03_031_052.indd Page 51 16/04/13 7:25 PM f-447 /202/JB00077/work/indd

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