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CMA Foundation · Fundamentals of Business Economics and Management · Introduction to Management

Which of the following is an activity under the leading (directing) function of management rather than planning or controlling?

Motivating a sales team through incentives and guidance is part of leading or directing. This function deals with influencing and guiding people to work towards objectives. Preparing budgets and forecasting are planning activities, while comparing actual sales with targets is a controlling activity.

  1. APreparing the annual budget
  2. BComparing actual sales with targets
  3. CMotivating a sales team through incentives and guidanceCorrect
  4. DForecasting next year's raw material prices

Explanation

Leading or directing involves guiding, supervising, communicating with and motivating people. Budget preparation and forecasting belong to planning, and comparing actual sales with targets belongs to controlling.

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