The need of management
(1) Optimum utilisation of resources,
(2) Expansion and diversification,
(3) Reduction of employers absenteeism
and turnover,
(4) Utilises the benefits of science and
technology,
(5) Encourages initiative and innovation,
(6) Minimises wastages,
(7) Team work,
(8) Motivation,
(9) Reduction in labour turnover,
(10) Higher efficiency,
(11) Improves the quality of life of the
workers,
(12) Cordial industrial relations,
(13) Corporate image,
(14) Promotes national development,
(15) It helps society.
1. Optimum utilisation of resources
Management brings all the available resources together. All
these available resources are important for achieving the objective of the
organization which are:
Men,
Money,
Machines,
Methods,
Optimum (best)
Utilization (use)
2. Expansion and diversification
Management helps the organization to achieve its objectives
efficiently, systematically, easily and quickly. It helps the organization to
face the cut-throat competition to grow, expand and diversify.
3. Reduction of employers absenteeism
and turnover
Management motivates people. It provides different incentives
to the employees. This includes positive, negative, monetary and non financial
incentives. These incentives increase the willingness and efficiency of the
employees. This increases the productivity and profitability of the
organization.
Management also develops team spirit and increases the
efficiency within the organization. It in addition reduces labor turnover and
absenteeism.
4. Utilises the benefits of science
and technology
Man has made rapid progress within the field of Science and
Technology. Management utilizes the benefits of this progress. It provides
industries with the latest machines. It provides the consumers with the newest
products.
5. Encourages initiative and
innovation
Management spurs initiative. This means it initiative the
employees to make their own plans and to execute these plans. It inspires the
employees to give their suggestions. Initiative gives satisfaction to the
laborers and success to the organization.
Management in addition encourages innovation. It brings
innovative ideas, modern methods, latest techniques to the organization.
6. Minimises wastages
Management minimizes the wastages of human, waste materials
and monetary resources. Work is done through arrangement, proper manufacturing
and Control. Managers motivate subordinate to reduce wastages. Reduction in
wastage's brings a higher return to firm.
7. Team work
Management always builds a team spirit in the organization.
The combine effort of work and unity lead to the prosperity within the
organization. Team work plays an important part in the success of organization.
8. Motivation
Management motivates employees by sharing their profits by
the mean of bonus. They also give a good amount of incentives to the employees.
This motivation zeal the employee to work harder, which results in higher
efficiency in production.
9. Reduction in labour turnover
Management helps to reduce labor turnover in the
organization. Employee turnover takes place when some employees leave the
organization, and others join in their place. Frequent labor turnover increases
selection and training cost.
Management creates a sense of responsibility among the
employees who brings down labor turnover.
10. Higher efficiency
Management always wants that his employees should produce
higher efficiency. Productivity is the relationship between returns and costs.
Higher returns at minimum investment then the organization is said to be more
proficient.
11. Improves the quality of life of
the workers
Management provides bonus and incentive to the employees for
their work. It gives a healthy work environment to the workers. It also
provides medical and insurance faculties to worker and their families. It
provides a financial stability which helps in boosting life of the workers.
12. Cordial industrial relations
Management ensures industrial peace. It gives more importance
to the ‘Human Element’ in business. It applies positive motivation. All this
improves the relations between the employees and the employers.
13. Corporate image
Efficient and effective management maintains a good image and
goodwill of organization. This is because of quality of products and services
offered by the organization and also due to the social responsibility of
organization towards society.
14. Promotes national development
Management is regarded as a key to the economic development
of nation. It puts resources to the optimum use. It leads to capital formation
and tech advancement. It generates handsome revenue for government. It increases
national income and standard of living of people. Thus, it leads to development
across all sectors, and significant growth throughout the nation.
15. It helps society
In management, profit is not only the objective of business.
Today, the managers are combining profit objective with social purposes. They
are providing society with a regular supply of good quality goods and services
at reasonable prices. They are also providing employment opportunities to
people. They in addition pay high taxes to the government. These taxes are used
for improving nations. Nowadays, managers are using part of their profits to
build hospitals, schools, colleges, etc. for civilization. So it is helping
humanity in many ways.
Conclusion:
The need and importance of Management are universally
accepted. The survival progress and success of an organization greatly depend
on its management. There is a wide gap between Europe and Asia. This gap is
called the ‘Science and Technology Gap.’ Even so, in reality, it is the
‘Management Gap.’ Japan and Germany were totally destroyed in the second world
war but today these countries are highly developed. This is because these
countries are well managed.
So,
management is required in all aspects of life.
