Scribd
Upload
40 views2 pages

Principles of Management Importance

Management is essential for organizing all efforts and activities, not just businesses. It brings together resources like people, money, materials, and machines to enable economic growth. Management coordinates current and future organizational activities, and effectively utilizes scarce resources to meet societal demands. It also develops resources, incorporates innovation, and integrates various interest groups to provide stability in society through change.

Uploaded by

T S Kumar Kumar
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
40 views2 pages

Principles of Management Importance

Management is essential for organizing all efforts and activities, not just businesses. It brings together resources like people, money, materials, and machines to enable economic growth. Management coordinates current and future organizational activities, and effectively utilizes scarce resources to meet societal demands. It also develops resources, incorporates innovation, and integrates various interest groups to provide stability in society through change.

Uploaded by

T S Kumar Kumar
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PDF, TXT or read online on Scribd
You are on page 1/ 2

Principles of Management Unit – I

PRINCIPLES OF MANAGEMENT
UNIT –I

IMPORTANCE OF MANAGEMENT

Management is essential in all organised efforts, be it a business activity or any other activity.
Principles of management are now universally used not for managing business organisation,
they are also applied to various other type of organisations, such as educational, social, and
military and Government.

Management is a critical element in the economic growth of a country. By bringing together


the four factors of production management men, money, material, and machines enables a
country to experience a level of economic development. Peter Drucker rightly observes that
without management, a country’s resources of production remains resources and never become
production.

Management is the dynamic, life-giving element in every organisation. It is the element that
coordinates current organisational activities and plans future ones. In the words of Claude S.
George, management is “the central core of our national as well as personal activities, and the
way we manage ourselves and our institutions reflects with alarming clarity what we and our
society will become.”
Effective utilization of resources: Management tries to make effective utilization of various
resources. The resources are scarce in nature and to meet the demand of the society, their
contribution should be maximum for the general interests of the society. Management not only
decides in which particular alternative a particular resource be used but also takes actions to
utilize it in that particular alternative in the best way.

Development of resources: Management develops various resources. This is true with human
as well as non-human factors. Most of the researches for resource development are carried on
in an organization way and management is involved in those activities.

To incorporate innovations: Today changes are occurring at a very fast rate in both
technology and social process and structure these changes need to be incorporated to keep the
organizations alive and efficient. Therefore, they require high degree of specialization, high

DEPARTMENT OF BUSINESS ADMINISTRATION - JAWAHAR SCIENCE COLLGE, BLOCK -14, NEYVELI 1


Principles of Management Unit – I

level of competence, and complex technology. All these require efficient management so that
organizations work in the most efficient way.

Integrating various interest groups: In the organized efforts, there are various interest groups
and they put pressure over other groups for maximum share in the combined output. For
example, in the case of business organization, there are various pressure groups such as
shareholders, employees, government etc. These interest groups have pressure on an
organization.
Stability in the society: Management provides stability in the society by changing and
modifying the resources in accordance with the changing environment of the society. In the
modern age, more emphasis is on new inventions for the betterment of human beings. These
inventions make old systems and factors mostly obsolete and inefficient. Management provides
integration between traditions and new inventions and safeguards, society from the
unfavourable impact of these inventions so that continuity in social process is maintained.

DEPARTMENT OF BUSINESS ADMINISTRATION - JAWAHAR SCIENCE COLLGE, BLOCK -14, NEYVELI 2

You might also like