Which managerial function involves setting objectives and performance standards?

The function that involves setting objectives and performance standards is planning. This is a critical managerial activity because it establishes a direction for the organization and determines the necessary resources and strategies needed to achieve specific goals. Planning encompasses defining what success looks like by articulating clear, measurable objectives and performance benchmarks against which progress can be assessed.

Furthermore, planning serves as the foundation for all other managerial functions. It provides the framework within which organizing, leading, and controlling take place. By clarifying the organization's goals and outlining the steps to reach them, managers can ensure that their teams are aligned and focused on achieving the desired outcomes. This strategic foresight is essential for effective management and helps to guide decision-making processes throughout the organization.