Direction becomes more effective when there is a direct personal contact between the superior and his subordinates. We might call this type of cost a semi-direct cost. The resources can be utilized properly only when less of wastages, duplication of efforts, overlapping of performances, etc. Motivation depends on motives and motivating, therefore, it becomes a complex process. Direction initiates at the top and follows right up to the bottom of an organization. The manufacturer may send sales literature to a select group of consumers.
You might even reach out to clientele directly via email, YouTube videos, or over lunch. In managerial accounting, and in a real-world business firm, one of the most important concepts is that of cost. A manager has to continuously supervise, guide and inspire his subordinates. In many organizations, directing involves making assignments, assisting workers to carry out assignments, interpreting organizational policies, and informing workers of how well they are performing. Chain Store Sales The largest manufacturing firms can afford to open proprietary retail stores in different regions, so that their products can get to the consumer directly.
Because the company is so reliant on the effectiveness of its managerial accounting staff, it is crucial that the staff be motivated by the proper direction. It is the role of manager here to communicate the nature and contents of changes very clearly to the subordinates. Since human factor is complex and behaviour is unpredictable, direction function becomes important. They appear as expenses on the income statement. Shareholder Focus We are focused on creating sustainable shareholder value through developing profitable products and projects, and soundly managing the business for the benefit of customers, shareholders, suppliers, colleagues, partners and communities.
Another disadvantage about a Franchise is that you have to pay the franchisor a percentage of your profit. Physiological and safety, the lower order needs, are placed in the existence category, while love and self esteem needs are placed in the relatedness category. The customers who are interested in it can then place their orders via fax, email or by telephone. It is from this function the action takes place, subordinates understand their jobs and do according to the instructions laid. The sales manager can suggest more advertising, better services- after-sales, sales on credit, etc. For this, efforts of every individual towards accomplishment of goals are required. Is cost the same as price? This process also includes correcting situations in which the goals and objectives are not being met.
This can be resisted by the subordinates. As an example, if you take a course in college, that course is the cost object. By In any business, you have two kinds of costs: direct costs and indirect costs. Yes, a company director can also be the company secretary. Money for some cases and promotion for some cases 5. These I would refer to as no name operating systems, which come on devices like mp3 players, burner cell phones, and electronic readers like the kindle fire.
One disadvantage is that they are required to invest in a very large financial investment. For example, in the modular home assembly process, the standard might be to have a home completed in eight working days as it moves through the construction line. Drive Reduction Theories There are number of drive theories. In other words, more sales will require more wood. Delegate Function - Direction is supposed to be a function dealing with human beings. Understanding the categories is also a key step in developing across your business.
Directing is said to be a process in which the managers instruct, guide and oversee the performance of the workers to achieve predetermined goals. Prime costs include direct materials plus direct labor. There are many different steps beginning with a criminal investigation and ending with. Every manager provides guidance and inspiration to his subordinates. If the employee whose job is to show the products does not behave properly with the customers, this will turn the effort of all other employees to be a mere waste. Directing is a continuous process initiated at top level and flows to the bottom through organisational hierarchy. Maintaining ethical and honest behaviour Our reputation for integrity is perhaps our most valuable business asset.
Lots of companies have a business development director, including yours. A classic example of a poorly specified goal is to get the highest possible grade. The manufacturer will then deliver the product to the customer via a courier or via value payable post. Coping up with the changes - It is a human behaviour that human beings show resistance to change. Thus mangers need to become leaders so that they can influence the activities of their subordinates without dissatisfying them. A process or function closely related to determining how you proceed with the business operations is referred to as Direction. Explain the characteristics of a good system of communication.
The following points emphasize the importance of directing: 1. Motivating:- Motivating is a term which implies that one person in the organizational context, a manager includes another, say, employee to engage in action work behaviour by ensuring that a channel to satisfy the motive becomes available and accessible to the individual. If, on the other hand, the company were selling simple kitchenware, the salesmen may be able to carry them around and sell them directly to consumers. A few philosophers call Direction as Life spark of an enterprise. They will perform their tasks better if they feel that it will satisfy their personal goals. Short-range or tactical planning is done for the benefit of lower-level managers, since it is the process of developing very detailed strategies about what needs to be done, who should do it, and how it should be done. In order to understand the concept of motivation, we have to examine three terms: motive, motivating and motivation and their relationship.
After formulating the plans for accomplishing the pre-determined goals, the is prepared and suitable persons are designated to appropriate roles, and the organization commences its operations. To accomplish this work, you keep your fingers on the pulse of your industry: reading trade journals, scanning relevant articles, and browsing social media outlets like Facebook and Twitter. It is important to note that the choice of structure is important for the type of organization, its clientele, and the products or services it provides-all which influence the goals of the organization. Thus managers pay extra attention to motivating workers while directing the business. Concrete Goals Working with numbers might make it easy for employees to lose sight of how their work affects the company in a tangible way. When a customer buys a product from a middleman that offers free shipping, they tend to buy the product at a higher price, making it possibly slightly more expensive than a product they bought directly from the manufacturer, and for which they had already paid shipping. Its function is to pump guidance and motivation to all parts of the organization and ensure a healthy environment.