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Republic of the Philippines

Department of Education
PUBLIC TECHNICAL -VOCATIONAL
HIGH SCHOOLS

Unit of Competency : Recall the Duties and Functions of


Enterprise Owner

Module Title : Recalling the Duties and Functions of


Module No. 2 Enterprise Owner

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HOW TO USE THIS MODULE
Welcome to the Module “Recalling the Duties and Functions
of Enterprise Owner”. This module contains instructional materials
and activities for you to complete.

The unit of competency “Recall the Duties and Functions of


Enterprise Owner contains the knowledge, skills and attitudes
required for the course Entrepreneurship.

You are required to go through a series of learning activities in


order to complete each of the learning outcomes of the module. Follow
these activities on your own and answer the Self-Check at the end of
each learning activity.
If you have questions, don’t hesitate to ask your teacher for
assistance.

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COURSE : ENTREPRENEURSHIP IV

UNIT OF COMPETENCY : Recall the Duties and Functions


of Enterprise Owner

MODULE TITLE : Recalling the Duties and


Functions of an Enterprise
Owner

MODULE DESCRIPTION : This module covers the


knowledge, skills and attitudes
required in recalling the duties
and functions of an enterprise
owner.

SUGGESTED DURATION : 10 Hours

SUMMARY OF LEARNING OUTCOMES:

Upon completion of the module the students should be able to:

LO1 Recall the duties and functions of an enterprise


owner.

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WHAT WILL YOU LEARN?

At the end of this module, you are expected to recall the


duties and functions of an enterprise owner.

WHAT DO YOU ALREADY KNOW?


PRE TEST
Let us find out how much you already know about the
duties and functions of an enterprise owner. Answer the
questions below honestly. Write the letter only of your chosen answer
in your activity notebook:

1. The management approach that supports the principle of


putting the right person in the right job is called___________.
a. behavioral approach
b. contingency approach
c. scientific management approach
d. systems approach

2. The diagram that shows the position of a person in the company


and the corresponding authorities, responsibilities and
accountabilities of such position is called a ___________.
a. accountability diagram
b. conduct job analysis
c. organizational diagram
d. status symbol

3. This is one of the steps in learning your personnel


requirements.
a. assess the strength and weaknesses of the present
employees
b. conduct job analysis
c. determine the workload in the company
d. all of the above

4. One way to meet extreme needs is through_________.


a. insurance plans
b. promotion
c. rest period
d. water to drink

5. A grievance system is a form of which type of communication?


a. Downward communication
b. Upward communication
c. Lateral communication
d. Horizontal communication

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6. A leadership skill that refers to the ability to grasp the
relationship of different parts into an integrated whole and to
analyze data is called____________.
a. conceptual skill
b. human relations skill
c. technical skill
d. all of the above

7. This type of leader leaves his subordinates alone to establish


their goals and solve their problems.
a. autocratic leader
b. democratic leader
c. people – oriented leader
d. task – oriented leader

8. They represent the needs towards which all organizational


efforts are directed.
a. budget
b. objectives
c. policies
d. rules

9. In Maslow’s Model of Hierarchy of Needs, the level that refers to


the need to develop one’s potential and creation to the fullest is
called __________.
a. esteem needs
b. security
c. self – realization
d. social needs
10. The term that refers to the evaluation of the overall performance
of the firm is called______________.
a. employees evaluation
b. operational control
c. organizational control
d. qualify control

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LESSON 1

DUTIES AND FUNCTIONS OF AN ENTERPRISE OWNER

WHAT IS THIS LESSON ALL ABOUT?

This lessons the recalls the duties and functions of an


enterprise owner.

WHAT WILL YOU LEARN?

At the end of this module you shall be able to:

1. Recall the duties and functions of an enterprise owner

LET US STUDY:

WORDS TO STUDY
Planning is thinking before a particular task is done.

Organizing means assembling the essential resources to


execute the developed plans.

Directing involves the guiding, leading and supervision of the


employees for the achievement of organizational
goals

Staffing is the proper and effective selection, appraisal and


development of personnel to do the jobs and fulfill
the roles in the structure.

Controlling means making sure that activities done in the


enterprise are in conformity with what has been
planned.

As you have previously learned, entrepreneurs plan and


organize resources and run the business. This denotes ownership of
the enterprise. Managers may or may not be necessarily the owners of
the company although they run it. They can be just mere employees.

The functions of management are uniquely described as


manager’s job. Managerial functions are the same for all organizations

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regardless of size or type. The only difference is the amount of
emphasis given to each staffing, directing and controlling.

PLANNING

This is the function of management that involves setting of


objectives and determining the course of action for achieving these
objectives.

PLANNING

1. Environmental scanning
2. Establishing objectives
3. Identifying alternative courses of action
4. Evaluating various alternatives.
5. Making decisions about the best course
of action.

OPERATIONAL
(Intermediate – range)

(Short-range)
TACTICAL

STRATEGIC
(Long – range)

ORGANIZING

The task of organizing involves defining the specific activities


necessary to achieve the enterprise goals, clustering the activities into
departments or job positions and designating the personnel to head
and compose each department.

A diagram showing the organizational relationships of the


position and their corresponding authority, responsibility and
accountability is called the organizational chart.

Authority is the right that a manager has to require a


subordinate to accomplish something. Authority can be delegated.

Responsibility is the duty of the manager that one has to fulfill


in connection with the performance of his job. Responsibility cannot
be delegated.
Accountability, like responsibility cannot be delegated. This is
the situation of being answerable to higher authorities.

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TYPES OF ORGANIZATION

 Line Organization
Direct command of superiors over workers who
accomplish the task. The officers of the operating units
receive orders from their higher authority and relay to
their subordinates.

Example:

MANAGER

SUPERVISOR

FOREMAN

WORKERS

 Line and Staff


The president hires to handle specialized activities which
a line officer can not handle the legal counsel helps and
advise the president and does not have authority over the
line employee.

PRESIDENT

LEGAL OFFICER

MARKETING PRODUCTION ADMINISTRATIVE


MANAGER OFFICER OFFICER

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FUNCTIONAL TYPE

This structure focuses on the functions or types of


activities in each unit. It is expected that the worker has one or
more immediate supervisor

Example:

MANAGER

Supervisor

Leadman

QUALITY CONTROL PRODUCTION


OFFICER MANAGER

WORKERS WORKERS WORKERS

 Committee Type

This form of organization represents a group of persons


who may fulfill functional staff or line duties, as contrasted with
a one – man performer who runs the organization single –
handedly. An example is an executive committee which is
tasked to plan and formulate decisions in a company.

STAFFING

The organizational framework needs to be flashed out by people


who will man the positions.

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FOUR ESSENTIAL STEPS

Design an
Improvement Plan

Examine Present Recruitment Training


Personnel and Development

Assessment of Workers’
Job Analysis
skills, strengths,
weaknesses, potentials
Workload
Assessment Workers vs. Required
Skills and Abilities

Quantity and
Quality of
Personnel Needed

DIRECTING

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Directing involves putting your plans into effect.
BEHAVIORAL APPROACH
(Ex. Maslow’s Hierarchy of Needs)

MOTIVATION LEADERSHIP SKILL

upward

Communication lateral

downward

CONTROLLING

Making sure that what is done in the enterprise conforms with


what has been planned.

CHARACTERISTICS OF CONTROLLING

 Proper Activities
 Timely
 Cost – effective
 Accurate

Compare
Performance

Measure
Actual
Set
Performance

ACTIVITY: Establish
Standard

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Fill in the diagram with the five (5) basic functions of an
enterprise owner.

1.
2.
3.
4.
5.

ENTERPRISE OWNER

LET US REMEMBER

In a business enterprise, it is important to have an


organizational structure because it determines the level of
authority, duties and functions of each manager and worker.

LET US APPLY WHAT YOU HAVE LEARNED


Given your knowledge of the duties and functions of an
entrepreneur, put a check mark in YES if you are
appropriately doing your part as an entrepreneur. Put a cross mark X
In NO if you do not do your duties functions.

DUTIES AND FUNCTIONS YES NO


1. Planning
Do you have a clear plan on what is to be done, when, how
and by whom it should be done?
2. Organizing
Are your specific activities well defined?
3. Staffing
Do you have proper and effective selection, appraisal and
development of personnel to do the job?
4. Directing
Can you communicate well with your clients?
5. Controlling
Are you well aware of the quantity of your products or
services number of customers or clients and quality of
products or services?

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HOW MUCH HAVE YOU LEARNED FROM THIS MODULE?

POST TEST

Multiple Choice:
Direction: Answer the questions below honestly. Write the
letter of the correct answer in your quiz notebook.

1. The management approach that supports the principle of


putting the right person in the right job is called.
e. behavioral approach
f. contingency approach
g. scientific management approach
h. systems approach

2. The diagram that shows the position of a person in the company


and the corresponding authorities responsibilities and
accountabilities of such position is called a ___________.
a. accountability diagram
b. conduct job analysis
c. organizational diagram
d. status symbol

3. This is one of the steps in learning your personnel


requirements.
a. Assess the strength and weaknesses of the present
employees
b. Conduct job analysis
c. Determine the workload in the company
d. All of the above

4. One way to meet extreme needs id through_________.


a. Insurance plans
b. Promotion
c. Rest period
d. Water to drink

5. A grievance system is a form of which type of communication?


a. downward
b. upward
c. lateral
d. horizontal

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6. A leadership skill that refers to the ability to grasp the
relationship of different parts into an integrated whole and to
analyze data is called____________.
a. conceptual skill
b. human relation skill
c. technical skill
d. all of the above

7. This type of leader leaves his subordinates alone to establish


their goals and solve their problems.
a. autocratic leader
b. democratic leader
c. people – oriented leader
d. task – oriented leader

8. They represent the needs towards which all organizational


efforts are directed.
a. budget
b. objectives
c. policies
d. rules

9. In Maslow’s Model of Hierarchy of Needs, the level that refers to


the need to develop one’s potential and creation to the fullest is
called __________.
a. esteem needs
b. security
c. self – realization
d. social needs
10. The term that refers to the evaluation of the overall performance
Of the firm is called______________.
e. employees evaluation
f. operational control
g. organizational control
h. qualify control

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RESOURCES:

- Assessment tools
- Learning guide
- Business planning

REFERENCES:

- Anderson, P. and Pulich “Managerial Competencies


Necessary in Today’s Dynamic Health Care
Environment. Heath Care Manager 21, no.2 (2002)

- Carrol, Stephen J., and Dennis J. Guillen. “Are the


Classical Management functions useful in
Describing managerial Work?”; Academy of
Management review 12 no.1 (1980:38-51)

- SEDP Book

- www.coolclips.com

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KEY TO CORRECTION

1. C
2. C
3. D
4. D
5. B

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ACKNOWLEDGMENT
Copyright Department of Education 2009

This module was based on the Writeshop on the Development of


the Competency-Based Curriculum (CBC) for Entrepreneurship for
Technical Vocational High School conducted at Marikina Hotel
Marikina City, May 25 – 30, 2009

This learning instrument was developed by the following personnel:

Dr. Reynaldo M. Valdez


Jones Rural School
Group Leader

Dr. Celedonia T. Teneza


Benigno Aquino High School

Mr. Gilbert Camayang


Cabrroguiz National School of Arts and Trade

Mr. Alfonso P. Rodriguez Jr.


Muntinlupa Business High School

Mr. Fernando C. Agustin


Bukig National Arts and Trade School

Mrs. Leona M. Tomas


San Pedro National High School

Writer/Facilitator:

Mr. Rene G. Delfino


Muntinlupa Business High School

Editor: Dr. Estrellita Evangelista

Encoder: Mrs. Marisol E. Saldivar

Funding: Department of Education

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ACKNOWLEDGMENT
Copyright Department of Education 2009

This module was based on the Writeshop on the Development of


the Competency-Based Curriculum (CBC) for Entrepreneurship for
Technical Vocational High School conducted at Marikina Hotel
Marikina City, June 5 -7, 2009

This learning instrument was developed by the following personnel:

Dr. Reynaldo M. Valdez


Jones Rural School
Group Leader

Dr. Celedonia T. Teneza


Benigno Aquino High School

Mr. Alfonso P. Rodriguez Jr.


Muntinlupa Business High School

Writer/Facilitator:
Mr. Rene G. Delfino
Muntinlupa Business High School

Editor: Dr. Estrellita Evangelista

Encoder: Mrs. Marisol E. Saldivar

Funding: Department of Education

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ACKNOWLEDGMENT
Copyright Department of Education 2009

This module was based on the Writeshop on the Development of


the Competency-Based Curriculum (CBC) for Entrepreneurship for
Technical Vocational High School conducted at Marikina Hotel
Marikina City, July 1to 5, 2009

This learning instrument was developed by the following personnel:

Dr. Reynaldo M. Valdez


Jones Rural School
Group Leader

Dr. Celedonia T. Teneza


Benigno Aquino High School

Writer/Facilitator:

Mr. Rene G. Delfino


Muntinlupa Business High School

Editor: Carolina F. Chavez, Aida T. Galuran, Beatriz A. Adriano


& Dr. Corazon C. Echano

Encoder: Mrs. Marisol E. Saldivar

Funding: Department of Education

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TABLE OF CONTENTS

Module Title: Familiarizing Learners with the Page


Duties and Functions of Enterprise
Owner

How to Use This Module . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1

Summary of Learning Outcome . . . . . . . . . . . . . . . . . . . . . . . . . 2

What Will You Learn


What Do You Already Know
Pre – Test . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3

Lesson 1: Duties and Functions of an Enterprise


Owner . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

What is this Lesson About


What Will You Learn . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

Let Us Study . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5

Activity
Let Us Remember
Let Us Apply What You Have Learned . . . . . . . . . . . . . . . . . . . . 11
 Post Test

How Much Have You Learned . . . . . . . . . . . . . . . . . . . . . . . . . . 12


Post Test

Resources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

References . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14

Key to Correction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

Acknowledgement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16

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