Funeral Service Management

1. Funeral Service Management Introduction

2. Dual Role of the FD • 1) professional • 2) business person

3. 5 key ingredients for a successful organization • 1) management • 2) manpower • 3) materials • 4) money • 5) machinery

4. Management • “the art and science of motivating people toward the achievement of a goal”

5. FS Management • “the administration of a funeral service enterprise, the activities of which encompass marketing office personnel facilities & financial management”

6. Schools of Thought • 1) Whole Person (Man) Total Funeral • 2) Owner/Manager/Technician

7. 4 functions (pillars) of management 1) planning: a) mission statement b) goals & objectives c) strategy 2) organizing 3) directing (actuating) 4) evaluating (controlling)

8. Planning • Establishing a Mission Statement • Describes the purpose of the organization and includes what makes it different from other organizations.

9. Planning (cont’d) • Setting Goals and Objectives • Strategic planning: “the process of establishing an organization’s major goals and objectives and allocating the resources to achieve them” (Pride, Hughes, Kapoor 2005)

10. Goal • “broad statements about what an organization wants to achieve; developed in the strategic planning process; they form the basic plan or direction toward which decisions and activities are focused. They are motivational in nature and are usually stated in broad, general terms without reference to a time period”

11. Objectives • “specific statement of ends, the achievement of which are contemplated within a specific time period. Used in the management control process and provide a quantitative, and time framework to the organization’s goals. Intended to be accomplished by a specific date and are stated in terms, preferably in such a way that there is some measurable basis for determining the extent to which they have been achieved”

12. Formulating a Plan for Achieving Objectives and Goals • Plan: “outline of the actions by which the organization intends to accomplish its goals and objectives” (Pride, Hughes, Kapoor 2005)

13. Types of Plans • Strategy: “an organization’s broadest set of plans, developed as a guide for major policy setting and decision making” • Tactical: “a smaller-scale plan developed to implement a strategy” (Pride, Hughes, Kapoor 2005)

14. Types of Plans (cont’d) • Operational: “a type of plan designed to implement tactical plans” • Contingency: “a plan that outlines alternative courses of action that may be taken if an organization’s other plans are disrupted or become ineffective” (Pride, Hughes, Kapoor 2005)

15. Organizing • “the grouping of resources and activities to accomplish some end result in an efficient and effective manner” (Pride, Hughes, Kapoor 2005)

16. Directing(Actuating/Leading & Motivating) • Leading: “the process of influencing people to work toward a common goal” • Motivating: “the process of providing reasons for people to work in the best interests of an organization” • Directing: “the combined process of leading and motivating” (Pride, Hughes, Kapoor 2005)

17. Evaluating(Controlling) • “the process of evaluating and regulating ongoing activities to ensure that goals are achieved” (Pride, Hughes, Kapoor 2005) • 3 steps: 1) set standards 2) measure performance 3) corrective action

18. Basic Skills for Managers • Technical • Human (people skills) • Conceptual (“the big picture”)

19. First Level/Line Managers • Coordinates and supervises the activities of operating employees • Common titles: office manager, supervisor, foreman

20. Middle Managers • Implement the strategy developed by top managers • Common titles: division manager, department head, plant manager, operations manager

21. Top Managers • Upper-level executive who guides and controls the overall fortunes of an organization • Common titles: president, vice president, chief executive officer, chief operating officer

22. Funeral Service Management • Primary Objective: fulfilling the needs of client-families and the community resulting from death • Secondary Objectives: meeting expenses; providing a reasonable return on investment; capital improvements

23. Factors for FH Management • 1) demand • 2) economies of scale • 3) price vs. non-price factors • 4) advertising • 5) education • 6) role of the FD • 7) vertical vs. horizontal integration • 8) planning: non-durable & durable products; service