The interrelationships of the four management functions In recent years, companies have become less dependent on paper and more dependent on technology. Take American Honda Motors for example; the Davenport Parts plant recently converted computer systems to more efficiently manage its inventory. Months of preparation were needed before the new system to ensure a smooth transition. Without the four basic functions of management all working together, success would not have been possible. As Schermerhorn states in Management Planning, organization, guidance and control are the tools managers need to achieve performance objectives. It is critical that managers are able to recognize problems and opportunities as they arise and act accordingly. Planning is perhaps the cornerstone of the four processes. At some point all valid processes have been detailed in order to anticipate possible problems and solutions to those problems. When Honda Motor Company decided it needed to refine its inventory, it didn't just jump on the first idea proposed; they first set their goals and discuss ways to achieve them. After giving careful consideration to the processes and their rationalization, human error became the main need for change. It seems simple you might answer; in reality it is much more complicated. Once decisions are made, organization becomes the crucial function to facilitate the completion of any plan. In the case of Honda it was decided to bring together a team of conversion specialists from various centers in the United States. The new team will receive comprehensive training on how the new system is implemented and will facilitate all conversion functions. Before converting any facility, the new team spent eight months learning, researching and performing pre-installations. The newly assembled team were not the only people involved in the process, each parts center was given some guidelines for preparation and the tasks that needed to be performed. At this stage of the process it was up to the center manager to provide leadership and facilitate all pre-installation needs. A month before the implementation of the new system, a manager of one of the already converted centers was called upon to motivate and create a positive atmosphere regarding the new changes. Because he had gone through the process before, he could explain and help prevent past mistakes. Five months before the scheduled conversion date, inventory began its systematic routine of counting certain inventories that had potential problems.
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