Nature of Management

Management is the process of coordinating and controlling human efforts in order to get the desired results and output. Management can be viewed as a subject, process or body of an organization. Management has certain features such as goal-oriented, group activity, universal activity, dynamic, art and science, profession, etc.

Concept of Management 

Any action can be accomplished if many people contribute to achieving the desired results. We, human beings are called social animals as we live in a society or a group. The main purpose of living together in a group was to fulfill one’s needs and demands. A single person cannot do all work by oneself, he cannot make clothes for himself, farm and fulfill all other basic needs for himself. So when the society started to develop people started to split their works and specialize in a particular area. Therefore, by this, we can understand that people need to work in a group to fulfill their needs and demands.

But there exist individualism as well in the world. By this, we understand that there is a difference in the nature, attitude, and perception of people. An American person has a different perception to that of a Japanese. This often causes difficulty for people to work together as a single unit moving in the same direction. Hence, management is the task of achieving the desired goals and objectives through the coordination of the involved manpower and resources.

Management can be simply understood as “manage-men”. So, management is managing the human resources in the most effective and efficient manner.

While some people may say that the task of managing people seems to be easy, many struggle when they are given an opportunity to manage people and resources. It is quite complex due to the unpredictable nature of human beings. If two people are put into the same situation, one might act differently than the other. This makes predicting the response difficult. So, management is a complicated and challenging activity.

Management has been defined in various ways by various writers from a different point of view. Some have defined management as a process to manage people while some argue management is a group of people who control other’s activities. Others say management is a discipline just like economics and mathematics. However, management can be defined as:

1. Management as a process:
   Management is taken as a process of activities performed in order to coordinate and control human efforts to achieve desired results. The process involves planning, organizing, staffing, leading and controlling, the efforts of the members to accomplish the objectives. These processes are not in sequence form but they are done simultaneously.

2. Management as a disciple:
   Management is also taken as a separate branch of knowledge as any other human knowledge. This discipline involves the principles and techniques to practice the management in any organization. Management is nowadays popular in campus and colleges as a field of high scope and is taught along with psychology, sociology, politics, etc.

3. Management as a noun:
   Management can also be taken as a separate group of people who control the activity of an organization. There is management in every organization whether it be a school or a hospital or a business company. There is a board of directors, managing director, chief executive officer, head of departmental, supervisors and so on. This hierarchy level controls the overall activities of an organization. 

Some of the famous definitions are given below: 

“Management is a distinct process consisting of planning, organizing, activating and controlling, performed to determine and accomplish the objectives by the use of human beings and other resources.” - George R. Terry

“Management is the art and science of decision making and leadership.” - Donald J. Clough

“Management is a multi-purpose organ that manages a business, manages a manager and manages workers and work.” - P. Drucker

 

In the above definitions, we can see that management has three key jobs.

• Managing a business
• Managing a manager
• Managing worker and work

So, even if one is omitted then there cannot be efficiency in the work and the desired output might not be achieved. Therefore, a manager should be capable enough to balance and harmonize all three main functions of management.

We have seen that management can be defined in various ways when they are viewed from different perspectives. However, the general idea of management is a process of getting things done through the manpower to attain organizational goals and objectives.

Management as science , art and profession

Management is considered a science by some management experts and some others take management as an art. This controversy has existed for a long time and still not solved.

According to J. Paul Getty, “Management cannot be systematized or practiced according to a formula. It is an art creative art.”

However, many people disagree with him. So the definition of management whether it is a science or an art or a profession depends on the authors.

There are few fundamentals for management to become a science, an art, and a profession.

Management as Science

Management can be taken as science as it is a systemized branch of knowledge or principle which can be proved and is found out by continuous observation and verified experimentations. Management is not pure science but it is a social science as it deals with human beings and their behavior.

Management uses various quantitative models and proven techniques to make decisions while solving a problem. Hence, the thumb of rule is not taken as management but a scientific approach to an issue is taken. Hence, management can be taken as a science. Some of the features of management as science are:

1. Systematic body of knowledge:
   Management has various theories, concepts, principles, models, and techniques which help in systematic solution to an issue. Thus, management is a systemized body of knowledge.
   
   
2. Universally applicable:
   The concepts and theories of management are true throughout the world. It is applicable and useful in every organization in any place. It may, however, vary in some exceptional situations.
   
   
3. Cause and effect relationship:
   Management also follows the principle of cause and effect relationship. When a certain management action is taken then it affects the organization in a certain manner. Hence, we can find management is based on cause and effect relationships.
   
   
4. Observation and Experiment:
   The laws of management are derived from many observations and different experiments carried out in various organizations. So the theories of management are based on the findings and proofs of observation and experimentations.
   
   
5. Predictability:
   Though all the results are not predictable, many predictions of future events can be forecasted because of the proven theories of management.

Management as Art

Management is the art of getting the work done through others. Management is the skill and art of a manager on how they are able to manage the people and resources to complete the task and attain the goals. So, management can be taken as a creative art as it uses knowledge, skills, and creativity to get the desired results. Features of management as art are:

1. Practical Knowledge:
   In the workplace, a manager has to make lots of decisions. Most of these decisions should be taken immediately when the problem arises. So, the experience of a manager helps them to make a practical decision. Thus, practical knowledge is an art that helps a manager to make a correct decision.
   
   
2. Creativity:
   In an organization, a manager has to apply new ways and techniques to manage various people. Only through innovative concepts and creative thinking, a manager can be successful to manage his employees well.
   
   
3. Personal Qualities:
   If a manager is highly influential then he can motivate the employees to work harder for the attainment of goals. This suggests that personal qualities such as personality, physic, linguistic capabilities, etc. are necessary for a manager.
   
   
4. Betterment through Practice:
   The practice is essential as it gives experience and makes a person more capable. So with regular practice, a manager is able to improve the grade of the action.
   
   
5. Result-oriented:
   Management is an art that focuses on the attainment of the organizational goal in the most effective and efficient manner.

Management as a Profession

Management in today’s world can be taken as a separate profession or occupation. In the past, there was no separation of ownership and management. Hence, owners themselves manage the people.

But now in the expanding world of corporate business, there are huge companies and they require a lot of manpower and machinery. So professional managers are a must for the companies. Management is taught and trained in universities as other disciplines and has a huge scope. Hence, management can be taken as a profession. Some of the features of management as a profession are:

1. Specialized knowledge:
   A profession should have a particular specialization in a particular field. One must possess a high level of knowledge and skills to practice a profession. Management is a separate discipline having a specialized and organized body of knowledge.
   
   
2. Formal education and training:
   To be a certain professional there must be a process of formal training of education. One cannot practice the profession without any guidance or training. Similarly, management is taught and trained in various universities throughout the world. One needs to hold a certain degree and attain certain knowledge and thus may apply for a management post in an organization. However, there is no compulsion for a degree to get a job as a manager by the law.
   
   
3. Social Responsibility:
   A profession is always linked with society. A man cannot perform his task running away from society. So there are some social responsibilities that a professional must follow. One should charge money for the services they provide but a manager must also take care of all the social needs of the community and should contribute by creating utility for social welfare.
   
   
4. Professional Association:
   Any profession has a group or association who decide the rules and regulation for the profession in which they are engaged. The members of an association must follow the rules and regulations set by the association. This association safeguards their rights and promotes their common interests.
   
   
5. Code of conduct:
   Any profession must be ethical to society. They must follow the rules and regulations and should be morally correct. They should not violate other’s rights. So there must be a standard set of values such as honesty, integrity, and ethics.

Hence, we can conclude that management is multidisciplinary in nature.

 

Characteristics/Features of Management

There are some important features that can be found in management. Some are:

1. Management is Goal-Oriented:
   The main objective of management is to attain certain pre-determined goals and objectives. Hence, effective management is always focused on achieving the desired goals and objectives. The basic goal is to maximize the efficiency and profit of any business organization. One of the parameters of the success of a business organization can be measured by analyzing its goal accomplishment. Hence, management is always goal-oriented.
   
   

2. Management is a distinct process:
   Management is a process of planning, organizing, leadership, motivation and controlling. The main function of management is not to do things but to get things done through others in an effective manner. Hence, it is a process of planned actions.
   
   

3. Management is a unified activity:
   Management is the act of integrating and uniting the efforts of human resources with the machines and materials to achieve the desired goals. Hence, we can say that management is a unified action of human efforts, machinery, and raw materials.
   
   

4. Management as a social process:
   Management is a process of getting a job done through others. So it involves people. So management is a social process that involves direction, coordination, and control of human beings and their efforts.
   
   

5. Management as a group activity:
   Management is not one man's action. There needs to be a coordinated action of many parts of an organization. So management is a group activity that works toward the same goal. A group helps an organization to achieve planned goals easily and effectively rather than an individual.
   
   

6. Management as a universal activity:
   Management is an important aspect of mankind as management is essential in every organization. When there is human activity there we need management to coordinate and control the efforts of people. Hence, management is required in business as well as non-business organizations.
   
   

7. Management as both science and art:
   Management is a science because management has proven principles and is proven by experiments and can be verified and predicted.
   Management is an art as they are dependent on the personal skills of a manager and they work on the result-oriented approach.
   
   

8. Management as a profession:
   Management has a huge scope in the present world. There is a need for managers in every type of organization. Hence, management can be taken as a profession that requires formal training and involvement in an association.
   
   

9. Management is multidisciplinary in nature:
   A manager requires skills related to many other disciplines such as economics, psychology, sociology, law, etc. Management has to make difficult decisions based on their knowledge of various other subjects. Hence, management is multi-disciplinary in nature.
   
   

11. Management is dynamic:
    The world is moving at a high pace as we advance in technology. Hence, there is no hard and fast rule regarding management. So management is flexible in nature and must adapt to the changing environment to get success.
    
    
12. Management is intangible in nature:
    Management is intangible as it cannot be seen but the results it generates proves its existence. The operation might not be physically visible but the results show the effectiveness of management in the organization.

Hence, these are some of the important characteristics of management. Management is also a continuous function of an organization that has a life span equal to the lifespan of the organization.

Level of management

An organization is composed up of employees having various skills and performing different tasks to achieve the predetermined organizational goals and objectives effectively and efficiently. So while managing the whole organization there exists a network of responsibility and accountability relationship between subordinate and their immediate supervisor. The immediate supervisor again has to be accountable to the supreme manager. And in this way, there are people working together in one organization but with a different designation from top to lower level.

So we can understand that the level of management can be divided on the basis of the organizational hierarchy and nature, history any and size of the organization. The three levels of management can be categorized as:

Top Level Management

The topmost level of management consists of the Chief Executive Officer, President, General Manager, Managing Director, Board of Director and shareholders. They are the most powerful people in the organization as they carry more authority and they make the policies and strategies of the organization. Hence, they are also known as strategic managers. Some of the major functions of Top-level management are:

1. They are the starters and promoters of the organization.
2. Formulation of long-term plans, policies and strategies and set objectives of the organization.
3. Organizes various departments and divisions in the organizational structure to implement the plans and policies.
4. Co-ordinates the human resources with the other factors of production for efficiency.
5. Reviews the work of all the departments and takes the necessary steps to achieve higher efficiency.
6. Lead the organization and directs the overall activities to achieve the desired output.
7. Links and communicates the organization with the external environment.
8. Provides guidelines for middle-level management.

Middle-level Management

The middle-level management consists of various managers such as department heads, divisional heads, section heads, branch managers, strategic business unit head, etc. This level acts as the bridge between top-level management and lower-level management. This level is also known as the tactical level of management. Hence, it follows the plans and policies and strategies set by top-level management. They direct the lower level management and they formulate the department and section goals to achieve the overall goals of the organization. Some major functions of Middle-level management are:

1. Establishes a relationship between the lower level and top-level management.
2. Implementation of plans, policies, and strategies designed by top-level management.
3. They design the organizational structure of their related departments, sections, branches, and strategic business units.
4. They recruit and train the employees to get into various departments.
5. They provide guidelines to the lower-level managers.
6. They transfer the problems and feedbacks to top-level management.
7. They motivate, supervise and lead the operating level managers to achieve higher productivity.
8. They coordinate with other departments of the organization.

Lower Level Management

The lower level management consists of supervisors, team leaders, superintendent, and foreman. They are the operating level managers as they deal with the workers to carry out the daily activities of the organization. They follow the plans and policies by middle-level management. They help in the smooth running of the organization. Some of the functions of lower-level management are:

1. Leads and directs the workers to perform the daily activities of the organization.
2. Supervises and controls the work of the workers to get higher efficiency.
3. Arranges the human resources and other resources to perform the job.
4. Assign tasks and work to the workers and guide them by providing goals.
5. Establishes a relationship between middle-level management and the workers.
6. Transports the suggestions and feedbacks to middle-level management.
7. Co-ordinates the labor and maintains discipline among the workers.

 

Importance of management