Explain any four points of importance of Management.

Importance of Management:

(a) Helps in achieving group goals.

(b) Increases efficiency.

(c) Creates a dynamic organisation.

(d) Helps in achieving personal objectives.

(e) Helps in the development of society.

Detailed Answer

(a) Management helps in achieving group goals: Management is required not for itself but for achieving the goals of an organisation. The task of a manager is to give a common direction to the individual effort in achieving the overall goal of an organisation.

(b) 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 an organisation.

(c) Management creates a dynamic organisation: All organisations have to function in an environment which is constantly changing. It is generally seen that individuals in an organisation resist change. Management helps people adapt to these changes so that the organisation is able to maintain its competitive edge.

(d) 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 organisational objective. Through motivation and leadership, management helps individuals to develop team spirit, co-operation and commitment to the group success.

(e) Management helps in the development of society: An organisation 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 organisation and through that it helps in the development of a 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.

i. Management helps in achieving Group Goals: It is the most important characteristic of management that it is a goal-oriented activity. A manager achieves these goals by giving the proper direction to the efforts of all individuals.

ii. Management Increases Efficiency: A manager increases efficiency through the optimum utilisation of all the resources, such as, Man, Machine, Material and Money.

iii. Management Creates a Dynamic Organisation: Every organisation works in an ever changing environment. To face the changing environment, many changes need to be made in the organisation as well. But people resist changes. Manager creates a favourable environment through introducing employees to the benefits arising by adapting changes.

iv. Management helps in achieving Personal Objectives: Every employee wants to get suitable remuneration, a share in profit, participation in management, promotion, etc. in the form of his personal objectives. This objective can only be achieved, if they work while using their full abilities. Managers make employees able through motivation, good leadership and open communication. As a result, they attain their individual objectives.