Roles of a Manager

Businesses of any size need people to manage them. So what is a "manager" and what does a manager do?

Tasks of Managers

Management guru Peter Drucker identified five key tasks for a manager in business:

1. Setting objectives and planning
2. Organising a group
3. Motivating and communicating
4. Measuring performance
5. Developing people

An alternative perspective on the role of management was provided by Henri Fayol who identified what he thought were the five main tasks:

1. Planning
2. Organising
3. Commanding
4. Coordinating
5. Controlling

There is clearly some overlap between the views of Drucker and Fayol.

The extent to which managers in a business engage in one or more of these key tasks will be influenced by how senior they are in the business.

For example, a junior manager is unlikely to be involved in setting corporate objectives for a multinational business.

Similarly a senior manager in a global business shouldn't be spending too much time "measuring performance", but rather looking at the results of the performance measurement and what actions need to follow.

Three Key Levels of Management in a Business

The management structure of a business will vary depending on several factors, in particular the scale and complexity of the firm as well as its organisational culture. However, traditionally, management takes place at three core levels in a business:

1. Senior Management

• E.g. Board of Directors
• Set corporate objectives & strategic direction
• Board is responsible to shareholders; led by the CEO

2. Middle Management

• Accountable to senior management
• Run business functions and departments

3. Junior Management

• Supervisory role, accountable to middle management
• Monitor & control day-to-day tasks, and manage teams of workers