nature and significance of management class 12 | business studies | studykiabhilasha | abhilashsinha
Channel: Ace Abhilash Tutorials By Abhilash Sinha
Date: 2020-05-25

Management - Definition

A person work as a manager, his/her work consists of a series of different activities or functions aimed at achieving the goals of the organisation.
 These interconnected and interdependent functions are part of management. Successful organisations do not achieve their goals by chance but by following a deliberate process called ‘management’
“Management is the process of designing and maintaining an environment in which individuals, working together in groups, efficiently accomplish selected aims.” -  Harold Koontz and Heinz Weihrich 
“Management is defined as the process of planning, organising, actuating and controlling an organisation’s operations in order to achieve coordination of the human and material resources essential in the effective and efficient attainment of objectives.” Robert L. Trewelly and M. Gene Newport 
“Management is the process of working with and through others to effectively achieve organisational objectives by efficiently using limited resources in the changing environment.” Kreitner

Efficiency & Effectiveness

Management aims at guiding their efforts towards achieving a common objective — a goal. Thus, management has to see that tasks are completed and goals are achieved (i.e., effectiveness) with the least amount of resources at a minimum cost (i.e., efficiency).

These are 

(a) process, 

(b) effectively, and 

(c) efficiently

Process in the definition means the primary functions or activities that management performs to get things done. These functions are planning, organising, staffing, directing and controlling which we will discuss in later videos;
Being effective or doing work effectively basically means finishing the given task. Effectiveness in management is concerned with doing the right task, completing activities and achieving goals. In other words, it is concerned with the end result;
Efficiency means doing the task correctly and with minimum cost. There is a kind of cost-benefit analysis involved and the relationship between inputs and outputs. If by using less resources (i.e., the inputs) more benefits are derived (i.e., the outputs) then efficiency has increased.
Obviously, management is concerned with the efficient use of these resources, because they reduce costs and ultimately lead to higher profits.

Characteristics of Management

1. Management is a goal-oriented process;
2. Management is all pervasive;
3. Management is multidimensional; three main dimensions are: 
(a) Management of work;
(b) Management of people;
(c) Management of operations;
4. Management is a continuous process;
5. Management is a group activity;
6. Management is a dynamic function;
7. Management is an intangible force 

Objectives of Management

(i) Organisational Objectives
- Survival;
- Profit;
- Growth;

(ii) Social objectives
(iii) Personal objectives;

Importance of Management

(i) Management helps in achieving group goals;

(ii) Management increases efficiency;

(iii) Management creates a dynamic organisation;

(iv) Management helps in achieving personal objectives;

v) Management helps in the development of society;

Nature of management

Management is as old as civilisation. Although modern organisations are of recent origin, organised activity has existed since the time of the ancient civilisations;
The term ‘management’ today has several different connotations that highlight the different aspects of its nature. 
The study of management has evolved over a period of time along with the modern organisations; based both on the experience and practice of managers and a set of theoretical relationships. 
However, one question that needs to be addressed pertaining to the nature of management is whether it is a science or an art or both? 
In order to answer this let us examine the features of both science and art to see how far management fulfills them

Management as a profession

(i) Well-defined body of knowledge;
(ii) Restricted entry;
(iii) Professional association;
(iv) Ethical code of conduct;
(v) Service motive

AIMA (All India Management Association) that has laid down a code of conduct to regulate the activities of their members. 
Management does not meet the exact criteria of a profession. However, it does have some of the features of a profession

Levels Of Management

Shiv Nadar and Suhasini are both managers of an enterprise. Shiv Nadar is the CEO of HCL and Suhasini is a branch manager at Fabmart. They manage their enterprise at different levels;

Generally speaking there are three levels in the hierarchy of an organization:-
(i) Top Management;
(ii) Middle Management:
(iii) Supervisory or Operational Management;

Functions of Management

Planning

Organising

Staffing

Directing

Controlling

Coordination is the essence of management

Coordination is the force that binds all the other functions of management.
The process of coordinating the activities of an organisation begins at the planning stage itself. 

CASE STUDIES ARE ALSO EXPLAINED WELL