The importance of management is unparalleled for all units, big or small, profit or non-profit, services or manufacturing. Management is necessary for all individuals to give their best in the organization.
Managers decide who will do that, when they will do it, and what resources they will use. The effective and efficient utilization of physical, financial, and human resources to achieve organizational objectives is done by managers, always highlighting the importance of management. It is not necessary that only managers can do it. One can have the skills to do this job efficiently and effectively.
Irrespective of the type and goal of an organization, the importance of management, i.e., management and managers, is common in all. Thus, management means managing men tactfully to achieve group goals.
Nature of Management
Goal-oriented: Management is a goal-oriented process. The success of every organization depends on the management. Management unites the effort of individuals and gives them a successful shape.
Pervasive: Management is working on all the levels of a unit. It is necessary to conduct all types of activities. Whether it is a private or public unit or a profit or non-profit organization, small and large-scale business management is needed.
The concept of management applies to the whole world. There may be different ways, but they use management to achieve their goals.
Multi-dimensional: Management is not all about single activities. It includes three main activities:
- Management of work: It is concerned with different activities that are done within the organization. Such as manufacturing, packaging, and many more.
- Management of people: Humans are the main asset of an organization. It deals with workforce management. It deals with individuals and groups of employees.
- Management of operations refers to the activities of the production cycle, which entails the flow of input material and transforms the input into the desired output.
Continuous process: An organization is a collection of diverse activities and individuals. Through coordination and teamwork, management unites the efforts of individuals to achieve organizational goals, along with the fulfillment of the personal goals of the individuals.
Group activity: An organization is a collection of diverse activities and individuals. Through coordination and teamwork, management unites the efforts of individuals to achieve organizational goals, along with the fulfillment of the personal goals of the individuals.
Dynamic function: Every organization interacts with its external environment. To survive or achieve success, an organization must change its goals according to social, economic, legal, and technological changes.
Intangible force: Management is an unseen force whose presence can be felt when an organization functions. Orderliness, discipline, and happy and satisfied employees all reflect the presence of good management.
Importance Of Management
Achieving group goals: Every organization has its goal and works to achieve them. Management is used at all decks of the organization. Management helps in archiving goals by providing proper direction to the efforts of all individuals.
Management increases efficiency: It helps in doing work properly and at the least waste of resources. It enables the optimum utilization of resources such as men, materials, and money. A manager achieves efficiency and reduces costs through the proper utilization of different functions of management.
Creates dynamic organization: Every organization works in an ever-changing environment, and individuals generally resist change. Through the help of management, employees can adapt to changes that help maintain a competitive edge.
Helps in achieving personal objectives: Every individual working in an organization desires a handsome salary, peer recognition, profit sharing, etc. Anyone can achieve personal and organizational goals through the aspects of organizing, which are motivation and leadership.
Development of society: Management has some social responsibilities towards societies. It fulfills several social objectives like providing employment, providing good quality products at reasonable prices, using eco-friendly means of production, and providing schools, hospitals, etc. Management has different objectives that help in the development of society.
Functions of Management
Five different functions of management are required in an organization. The following are the five functions:
Planning: Planning is concerned with thinking before doing. It is used for making a framework for future implementation. It is all about the future planning of the utilization of resources.
Organizing: It is concerned with identifying and performing work. This is also related to the delegation of authority and responsibility. It also establishes a relationship between authority and responsibility.
Directing: It is related to performing tasks in the organization. It deals with motivation, supervision, leadership, and guidance.
Staffing: It is concerned with the hiring of human resources. It contains tests and interviews according to the requirement of an organization.
Controlling: It is related to the calculation of the outcome. It is related to the measurement of actual performance to the planned performance.
Objectives of management
Mainly there are three objectives of management. The following are the objectives:
Organizational objective: This objective is related to the economy of an organization. This objective purpose is to maximize the profit of the organization. The three significant organizational objectives are:
- Survival: There should be enough revenue over the cost.
- Profit: The situation when the organization can cover all the expenses. It is a form of reward for good management.
- Growth: The main objective of good management in the organization is to expand the organization.
Social objective: This objective is concerned with the commitment of society. Its main concern is honesty, using eco-friendly resources, fair and lawful manner, and so on. Its objective is also related to its employees and workers in the organization.
Personal objective: This objective focuses on the satisfaction of the personal needs of employees. It is very important because employees are the main asset of a business. There are three different kinds of personal objectives:
- Financial needs
- Social needs
- Higher level needs
Management in the 21st Century
Therefore, there is a rapid expansion of international and intercultural relationships. Consequently, in modern organizations, the importance of management increases from a global perspective to effectively take up emerging global economic challenges.
The importance of management in an organization or a business cannot be doubted. Being a manager, one should manage everything very efficiently and effectively. Some different principles and techniques make management effective and efficient.
Henry Fayol, the father of general management, gave 14 principles that are being followed to accomplish goals. Fredrick Winslow Taylor gave principles of scientific technique.
For management, we can use our creativity also. After all, managing everything is all about the presence of mind and creativity. The importance of management varies from time to time, so it depends on the situation. Its nature can be an art, a science, and a profession. The importance of management depends upon the need for hierarchy.
The importance of management cannot be questioned at home or in an organization. This is useful for achieving goals effectively and efficiently.