University of PhoenixFunctions of ManagementThe McClatchy Company is the third largest newspaper in the United States and has been in business for over 150 years. The company owns 30 daily newspapers such as The Sacramento Bee, The Fresno Bee, and The Modesto Bee. Because the newspaper industry have been financially affected by the economic downturn of the real estate market and the growing competition by online classified advertising, McClatchy have set in place some goals to maintain a healthy business future by implementing the four functions of management such as planning, organizing, leading, and controlling.
The first function of management is the planning stage. The goal of every business is to make a profit from the product and service they provide. However, as companies face financial challenges like McClatchy, top-level managers evaluate their current financial status to determine what plan of action is needed to maintain a healthy bottom line.
"FOR SALE" - a classified ad in a newspaper.
The Fresno Bee
The Modesto BeeAccording to Bateman & Snell (2007), ÃÂPlanning is specifying the goals to be achieved and deciding in advance the appropriate actions needed to achieve those goals.ÃÂ Because the revenue in classified sales is down and the goal of McClatchy is to reduce financial liabilities, management determined that cutbacks are necessary to ensure the future health of the company. As stated in StecklowÃÂs, (2008) article, Gary Pruitt, the CEO of McClatchy said, ÃÂheÃÂs focused on turning the company around by reducing debt, expenses, and full-time employeesÃÂ ÃÂ As McClatchy followed the plan for reducing their debt, such as outsourcing artwork production of select newspapers like the Modesto Bee, the change eliminated five artist positions. Another part of the plan was to offer voluntary buyouts to more than 100 employees at the Modesto Bee, in which nine employees accepted the offer. The recent company wide layoffs that was announced on...