We explain what the administrative process of an organization or company is and its importance. Also, what are its four stages.
What is the administrative process?
The administrative process is a set of administrative functions within an organization or company that seek to make the most of resources existing correctly, quickly and efficiently.
The administrative process It is made up of four elementary stages: planning, organization, execution and control. Through them, the members of a company seek to achieve the proposed goals or objectives.
See also: Management accounting
Origin of the administrative process
The administrative process was detailed by Henry Fayol French engineer, who described its phases and characteristics in his work: “Industrial and General Administration” (1916).
Fayol drew on his experience within the French iron and coal company, Compagnie Commentry Fourchambault et Decazeville (there he held technical and then managerial positions from 1888 to 1918); and in his studies in the field of administration. For Fayol, The human factor is the fundamental piece in the operation of companies and the fulfillment of goals and objectives.
In “Industrial and General Administration” he established the six functions of every industrial company (technical, administrative, accounting, commercial, financial, security) and defined the administrative functions as those responsible for coordinating and synchronizing the other five functions. Within the administrative functions developed the four stages for an efficient and correct administrative process.
In addition, he described fourteen principles to apply within companies: hierarchy of command, order, discipline, equity, division of labor, fair remuneration, teamwork, initiative, stability of personnel, unity of direction, centralization, subordination of particular interest to the general, authority and responsibility and unity of command.
His work functions as the basis of many organizations and companies and focuses on three fundamental aspects: the application of the administrative process, technical principles and the division of labor.
Importance of the administrative process
The administrative process works as a simple and rigorous guide through which a company or organization tries to achieve the proposed objectives in the most efficient way.
The application of this administrative process allows you to take advantage of the labor and technical and material resources that a company has. The administrative process allows for organized control of resources and efficient disposal of them.
This process can be applied in any type of company and each member of the organization must know their role within the process. Planning and organizing administrative processes is usually the duty of hierarchical positions whose functions are less technical and more administrative.
Characteristics of the administrative process
- It is used in companies and organizations for the correct administration and utilization of resources.
- It serves to organize procedures and meet goals and objectives.
- It must be aligned with the company's objectives and it is sought that it can be applied effectively and simply.
- Its phases are interrelated and can be divided into: mechanical (composed of planning and organization) and dynamic (composed of direction and control).
- The cycle of its phases is repeated for each proposed objective. are cyclical and repetitive stages.
- It must be known to everyone the members of the company.
- Can be applied in any type or size of company.
- It must be regulated by the administrative leadership of the organization.
Phases of the administrative process
1. PLANNING
Planning is the first stage that the administrative body of a company must exercise. This is where objectives and goals will be planned that the company must comply with and the methods to be carried out.
The relationship between working staff and administrative staff must be complementary for the correct functioning of the company and the fulfillment of its objectives.
In planning, A plan must be developed that contains the different future activities that are going to be carried out and said plan must be implemented within the established period.
Planning activities
- Predefine the objectives and goals that you want to achieve during a certain time.
- Predict.
- Establish a strategy with its corresponding methods and techniques to carry out.
- Take action against future problems.
2. ORGANIZATION
After planning the objectives and future activities to be carried out to achieve the proposed goals, the next step is distribute each activity between the different work groups that make up a company.
This will depend on physical and intellectual abilities of each worker and the resources that the company has. The purpose of the organization is to assign an objective to each area of the company so that it can be met with the minimum of expenses and with a maximum degree of satisfaction in each employee.
Organization activities
- Make a detailed selection of the right workers for the right position.
- Subdivide each task into operational units.
- Select an administrative authority for each sector.
- Provide useful materials and resources to each sector.
3. EXECUTION
For execution, the figure of a manager capable of directing, making decisions, instructing and helping the different labor sectors is necessary. In the execution seeking to take the first step in activities designated to the working groups to continue carrying out these activities in a regular and effective manner.
Each working group is governed by rules and measures that improve its functioning.
Implementation activities
- Offer a motivating character to staff.
- Reward each employee with the corresponding salary.
- Be attentive to the needs of each worker.
- Maintain stable communication between all sectors.
4. CONTROL
The control function has the role of ensure the company is on the path to success. While each function can be performed to the letter, that will not guarantee that the entity will move towards a positive economic path.
Control is an administrative task that must be carried out professionally and transparently. Control of the activities carried out in a company It is used to analyze your high points and low points.
After obtaining the corresponding results, the different modifications that will have to be carried out to correct those low points can be analyzed.
Control activities
- Compare the results obtained with the previously made plans.
- Evaluate and analyze the results obtained.
- Initiate appropriate corrective actions.
Continue with: Administrative management
References
- “Fayol's principles and the basic functions of the company” in CEREM.
- “Henry Fayol” on Wikipedia.
- “What is an administrative process?” in Impulsa.