Introduction :- The above case is an example of a successful organisation which is amongst the top companies in India. It has risen to the top because of its quality of management. Management is required in all kinds of organisations whether they are manufacturing computers or handlooms, trading in consumer goods or providing hairstyling services and even in non-business organisations. (Notes for class 12)

Concept :- Management is a very popular term and has been used extensively for all types of activities and mainly for taking charge of different activities in any enterprise. As you have seen from the above example and case study that management is an activity which is necessary wherever there is a group of people working in an organisation. People in organisations are performing diverse tasks but they are all working towards the same goal. 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. Management, has therefore, been defined as a process of getting things done with the aim of achieving goals effectively and efficiently. We need to analyse this definition. There are certain terms which require elaboration. These are (a) process, (b) effectively, and (c) efficiently. (Notes for class 12)

Effectiveness versus Efficiency :- These two terms are different but they are interrelated. For management, it is important to be both effective and efficient. Effectiveness and efficiency are two sides of the same coin. But these two aspects need to be balanced and management at times, has to compromise with efficiency. For example, it is easier to be effective and ignore efficiency i.e., complete the given task but at a high cost. Suppose, a company’s target production is 5000 units in a year. To achieve this target the manager has to operate on double shifts due to power failure most of the time. The manager is able to produce 5000 units but at a higher production cost. In this case, the manager was effective but not so efficient, since for the same output, more inputs (labour cost, electricity costs) were used. (Notes for class 12)

Characteristics of Management :- After going through some of the definitions we find some elements that may be called the basic characteristics of management:- (i) Management is a goal-oriented process, (ii) Management is all pervasive, (iii) Management is multidimensional, (iv) Management is a continuous process, (v) Management is a group activity, (vi) Management is a dynamic function, (vii) Management is an intangible force.

Objectives of Management :- Management seeks to achieve certain objectives which are the desired result of any activity. They must be derived from the basic purpose of the business. In any organisation there are different objectives and management has to achieve all objectives in an effective and efficient manner. Objectives can be classified into organisational objectives, social objectives and personal or individual objectives:- (i) Organisational Objectives, (ii) Social objectives, (iii) Personal objectives. (Notes for class 12)

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. In fact, organisations may be considered the distinguishing feature that separated civilised society from uncivilised ones. The earliest management practices were a set of rules and regulations that grew out of the experiences of governmental and commercial activities. The development of trade and commerce gradually led to the development of management principles and practices. 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. Over a period of time, it has grown into a dynamic subject with its own special characteristics. 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. (Notes for class 12)

Management as an Art :- (i) Existence of theoretical knowledge, (ii) Personalised application, (iii) Based on practice and creativity.

Management as a Science :- (i) Systematised body of knowledge, (ii) Principles based on experimentation, (iii) Universal validity.

Management as a Profession :- (i) Well-defined body of knowledge, (ii) Restricted entry, (iii) Professional association, (iv) Ethical code of conduct, (v) Service motive.

Levels of Management :- (i) Top Management, (ii) Middle Management, (iii) Supervisory or Operational Management.

Functions of Management :- Planning, Organising, Staffing, Directing, Controlling.

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