Principles of Management

Assignment No. 01
Submitted By: EMBA

Supply Chain Management (SCM)- is the combination of art and science that goes into
improving the way your company finds the raw components it needs to make a product or service and deliver it to customers. The following are five basic components of SCM. 1. PlanThis is the strategic portion of SCM. Companies need a strategy for managing all the resources that go toward meeting customer demand for their product or service. A big piece of SCM planning is developing a set of metrics to monitor the supply chain so that it is efficient, costs less and delivers high quality and value to customers. 2. SourceNext, companies must choose suppliers to deliver the goods and services they need to create their product. Therefore, supply chain managers must develop a set of pricing, delivery and payment processes with suppliers and create metrics for monitoring and improving the relationships. And then, SCM managers can put together processes for managing their goods and services inventory, including receiving and verifying shipments, transferring facilities and authorizing supplier payments. them to the manufacturing

3. MakeThis is the manufacturing step. Supply chain managers schedule the activities necessary for production, testing, packaging and preparation for delivery. This is the most metric-intensive portion of the supply chain one where companies are able to measure quality levels, production output and worker productivity. 4. DeliverThis is the part that many SCM insiders refer to as logistics, where companies coordinate the receipt of orders from customers, develop a network of warehouses, pick carriers to get products to customers and set up an invoicing system to receive payments. 5. ReturnThis can be a problematic part of the supply chain for many companies. Supply chain planners have to create a responsive and flexible network for receiving defective and excess products back from their customers and supporting customers who have problems with delivered products.

Financial Management (FM)- means the efficient and effective management of money (funds)
in such a manner as to accomplish the objectives of the organization. It includes how to rise the capital, how to allocate it i.e. capital budgeting. Not only about long term budgeting but also how to allocate the short term resources like current assets. It also deals with the dividend policies of the share holders Sound financial management is an integral component of any good business strategy. It is more than an enabler for the overall plan, and can be a competitive weapon. A strategic vision must be accompanied by the understanding of how it will generate financial value. Human resource management (HRM, or simply HR)- is the management of an organization's workforce, or human resources. It is responsible for the compensation, hiring, performance management, organization development, safety, wellness, benefits, employee motivation, communication, administration, and training, while also overseeing organizational leadership and culture and ensuring compliance with employment and labor laws. In circumstances where employees desire and are legally authorized to hold a collective

bargaining agreement, HR will also serve as the company's primary liaison with the employees' representatives. HRM is moving away from traditional personnel, administration, and transactional roles, which are increasingly outsourced. HRM is now expected to add value to the strategic utilization of employees and that employee programs impact the business in measurable ways. The new role of HRM involves strategic direction and HRM metrics and measurements to demonstrate value.

Production Management- means planning, organising, directing and controlling of production

activities. Production management deals with converting raw materials into finished goods or products. It brings together the 6M's i.e. men, money, machines, materials, methods and markets to satisfy the wants of the people. Production management also deals with decision-making regarding the quality, quantity, cost, etc., of production. It applies management principles to production. The main objective of production management is to produce goods and services of the right quality, right quantity, at the right time and at minimum cost.

IT Management- is the discipline whereby all of the information technology resources of a

firm are managed in accordance with its needs and priorities. These resources may include tangible investments like computer hardware, software, data, networks and data centre facilities, as well as the staff who are hired to maintain them.

Sales management- is a business discipline which is focused on the practical application

of sales techniques and the management of a firm's sales operations. It is an important business function as net sales through the sale of products and services and resulting profit drive most commercial business. These are also typically the goals and performance indicators of sales management. Sales management can involve any of the following activities: 1. formulation of sales strategy through development of account management policies, sales force compensation policies, sales revenue forecasts, and sales plan, 2. implementation of sales strategy through selecting, training, motivating, and supporting the sales force, setting sales revenue targets, and 3. sales force management through development and implementation of sales performance, monitoring, and evaluation methods, and analysis of associated behavioural patterns and costs.

Purchasing management- directs the flow of goods and services in a company and handles all
data relating to contact with suppliers. To be effective, it requires knowledge of the supply chain, business and tax laws, invoice and inventory procedures, and transportation

and logistics issues. Although a strong knowledge of the products and services to be purchased is essential, professionals in this field must also be able to plan, execute, and oversee purchasing strategies that help their company be more profitable. Purchasing management encompasses a group of applications that controls purchasing of raw materials needed to build products and that manages inventory stocks. It also involves creating purchase orders/contracts, supplier tracking, goods receipt and payment, and regulatory compliance analysis and reporting.