In the absence of management no organisation can run successfully. The major importance of management are:
(i) Management helps in achieving group goals: Management is required not for itself but for achieving the goals of the organization . Management tries to integrate the objectives of individuals along with organisational goal. Management directs the efforts of all the individuals in the common direction of achieving organisational goal. Success of a business enterprise depends on three important factors, viz
- how economically and efficiently the organization has used its man power and physical resources.
- how effectively it has adapted the enterprise to the prevailing business environment e.g. needs and expectations of the customers, policies of rivals and
- how far the existing business policies have succeeded in realising the goals and objectives of the organisations.
(ii) Management increases efficiency: The aim of a manager is to reduce costs and increase productivity through better planning, organising, directing, staffing and controlling the activities of the organisation. Managers try to reduce the cost and improve productivity with minimum wastage of resources. In fact, management insists on efficiency and effectiveness in the work through planning, organising, staffing, directing and controlling.
(iii) Management creates a dynamic organization: All organizations have to function in an environment which is constantly changing. Organisations have to survive in a dynamic environment so managers keep making changes in the organisation to match the environmental changes. The employees in the organisation are generally resistant to change. Efficient management motivates employees to adopt changes willingly by convincing them that change is not only beneficial for the organisation but it improves the employee's work also in the competitive world.
(iv) Management helps in achieving personal objectives: A manager motivates and leads his team in such a manner that individual members are able to achieve personal goals while contributing to the overall organizational objective. An efficient manager is the one who brings maximum prosperity for employers as well as employees. Managers lead the people in such a manner that along with organisational goals, individual goals of employees are also achieved. The organisational goal and individual goal are in one direction only. Individuals want to earn more and organizations want maximum production. Employees can earn more by producing more. This will fulfill the objectives of both the groups.
(v) Management helps in the development of society: An organization has multiple objectives to serve the purpose of the different groups that constitute it. In the process of fulfilling all these, management helps in the development of the organization and through that it helps in the development of society. It helps to provide good quality products and services, creates employment opportunities, adopts new technology for the greater good of the people and leads the path towards growth and development. Efficient management always has multiple objectives, they give due importance to social obligations, towards different groups of people such as employees, customers, suppliers, etc. It insists on providing quality goods, competitive salary, creating employment opportunities, etc. By increasing production management also contributes to increase in GDP (gross domestic product) and leads to growth of the nation.
(vi) Management helps in the development of sound organisation structure: Management establishes a sound organisation that is in accordance with the desired objectives and goals and the weak to be done of accomplish them. Management establishes a system of authority and responsibility relationships, who will command whom, who will be responsible for what, and who shall be accountable to whom.
Comments
Post a Comment