XYZ company fails to achieve the target of 20% increase in sales. A meeting was called by the director of the company where Marketing manager blamed the Production manager for not meeting the increase in demand to supply, while Production manager blamed the Finance manager for not procuring raw material on time.

Identify the concept of management lacking here.

Coordination

The correct answer is Option (3) → Coordination.

The concept of management lacking here is Coordination.

Coordination involves ensuring that different departments or individuals within an organization work together effectively towards achieving a common goal. In this scenario, the Marketing, Production, and Finance managers are blaming each other instead of collaborating and aligning their efforts to meet the sales target. Effective coordination is required to ensure that all departments work together seamlessly to address issues like meeting demand, procuring materials on time, and ensuring smooth operations across the company.

** Coordination involves synchronisation of the different actions or efforts of the various units of an organisation. Coordination unifies unrelated or diverse interests into purposeful work activity. It gives a common focus to group effort to ensure that performance is as it was planned and scheduled.

OTHER OPTIONS

• Staffing- Staffing is the function of management that involves recruiting, selecting, training, and retaining employees. It focuses on ensuring that the organization has the right people with the necessary skills and qualifications to perform their roles effectively. Middle-level and lower-level managers are typically more involved in the day-to-day aspects of staffing, including hiring and personnel management.

• Controlling is the management function of monitoring organisational performance towards the attainment of organisational goals. The task of controlling involves establishing standards of performance, measuring current performance, comparing this with established standards and taking corrective action where any deviation is found.

• Financial planning involves carefully assessing the exact amount of funds needed for a business's operations, expansion, or other requirements, taking into account future cash flows, potential risks, and how to effectively utilize the funds. In this case, the company raised more funds than necessary, which suggests that they did not perform proper financial planning to accurately estimate the required capital for expanding their steel manufacturing business. This led to the issue of excess funds, which could have been avoided with better financial planning.