Business studies Plus Two notes - nature & significance of a Management

simple notes for business studies.

1. Ms.Fathima Shirin Shaji M.Com , UGC-NET

2. Management is a universal concept. Used in every type of organisation (for profit or not for profit). Management is required in all sectors (manufacturing or service) Success of an organisation depends on successful functioning of management.

3. Consider a GOVERNMENT without these: A prime minister Set of rules & regulation Legal boundaries

4. Management is a “ PROCESS” of designing & maintaining an environment in which individuals work together with the aim of achieving goals EFFECTIVELY & EFFICIENTLY .

5. Management is a process. Management requires effective performance. Management needs efficiency. Effectiveness = aims to achieve the goals within time. Efficiency = optimum utilisation of resources to achieve the goals.

6. Management is a goal oriented process. Management is all pervasive. Management is multidimensional. Management of work. Management of people. Management is a continuous process. Management is a group activity. Management is a dynamic function. Management is an intangible force.

7. Orga n i s ation a l Objective Social Objective Personal & Individual Objectives

8. Survival Profit Growth

9. These objectives are for the benefit of the society For Example: Protection of environment Generation of employment opportunities Providing basic amenities like school Supply of good quality products at fair prices Conducting business in lawful manner Avoiding anti-social & unfair trade practices

10. Fina n cial needs Social needs Personal growth & d e v e lo p m e nt Good & healthy working condition

11. Management helps in achieving group goals: Management increases efficiency: Management creates a dynamic organisation: Management helps in achieving personal objectives: Management helps in the development of society:

12. Nature of management Management as a science Management as an art Management as a profession

13. Systemised body of knowledge Acquired through observation & experimentation Universally Valid

14. Existence of theoretical knowledge Persona lized Application Based on Practice & Creativity

15. Well defined body of knowledge Restricted entry Professional association Ethical code of conduct Service motive

16. Top Level Management Board of directors, chairman, president Middle Level Management Marketing manager, finance manager Operational Level Management Supervisor, Superintendent, Foreman

17. Co-ordinate with different departments as per an objective of an organisation. Analysis of the business environment. Survival of the firm. Formulate strategies & goals of an organisation. Arrange resources: Men Material Machine Money ROLES AT TOP LEVEL: Board of Directors President Vice-President General Manager CEO COO CFO CMO

18. A link between top & bottom level management. Implements plans & strategies developed by top management. Interprets the strategy Arranges the necessary personnel Assigns duties & responsibilities Motivates to achieve the desired objective Co-ordinates with other departments ROLES AT MIDDLE LEVEL: Production Manager Purchase Manager Marketing Manager Finance manager HR Manager

19. To look after workforce To instruct the workforce Ensure the quality output Wastage should be minimum Maintain safety standards Maintain the discipline & loyalty of workforce Keep them (workforce) motivated To represent workers grievances & problems to higher level management ROLES AT OPERATIONS LEVEL: Supervisors Foreman Superintendent Section offices

20. Functions of Management P l anni n g Organizing Staffing Di r ecting Controlling Futuristic process, Achieving Goals Organise & allocate the resources Finding the right person for the right job Supervising, Motivating & leading Meeting the standard of perfo r m a n ce

21. It ties a knot with other functions of management. It is a separate function of management. It synchronises the activities of different departments towards achievement of a common goal. It is a pervasive & inherent in all the processes of the organisation.

22. P l anni n g Organizing Staffing Directing Controlling Overall Plan & objective planning Resource & activities Finding the right person for the right job Order, instruct, suggest Standard = Actual perfo r m a n ce

23. Top Lev e l I n tegrate activities Accompli s hment of goals Middle Level I n tegrate efforts Low e r Level Co-ordinate with workers Ensure that work is done

24. C o ord i nati o n Integ r a t ed group efforts En s u r es unity of action Cont i n u ous Process Pervasive Function Re s p o n sibi li ty of all managers Deliberate Function

25. Growth in size Functional Differentiation Specialization