In business, we have always heard and worked under management. But have you ever thought about why management is such an integral part of any activity? The word Management is understood by different senses. Some people take it as the art and science of getting things done through and with people. Some others consider it as the process of achievement of the goal. Some describe it as the optimum utilization of the resources for the purpose of accomplishing the organizational objectives.
As per the Management Innovations 2008, “Management is the process of reaching organizational goals by working with and through people and other organizational resources.”
It has three characteristics:
- It is a process of continuing and related activities
- It focuses on reaching company goals
- It achieves these goals by working with and through people and other resources
In addition, management comes up with all six Ms like Men and Women, Money, Materials, Machine, Methods, and Markets. These resources are used to reach business goals like high sales, revenue generation, business expansion, etc.
Here are some major points which make management important to any business especially in the modern-day;
Proper Utilisation of Resources
Utilising your resources is vital for an organisation to stay competitive and relevant in this modern era. The right management helps in the division of work and prevents the employees from underperforming or getting overburdened with work.
Every employee in a company has his own specific field. Through management, the employees are provided work related to their field of knowledge and experience. It boosts the speed and accuracy of work and the company’s growth ultimately. Besides, management also makes sure to make the right use of available space and equipment.
The company should be maintained in a way that external market problems do not hamper the company’s operation. It needs instant and effective changes that need to be made without hurting the company’s stand.
Without proper management, it will not be possible. Management will provide stability and adaptability to the company, supporting it to survive market turbulence and flourish with time.
Present the Feel-Good Factor
Keeping the employees delighted and satisfied is very important for the smooth functioning of the company. When a company is managed with efficiency, growing rapidly and, in turn, generates good revenue, hence opening avenues of development for the people involved.
The upward journey ensures the workforce of not just better incomes, but better positions, that keep them motivated.
Creation and Maintenance of Coordination
If in any company, people do their individual work without caring for and know about their connection with one another, such scattered activities and work can result in all wastage of time and productivity.
Managers create and work to maintain coordination among human and material resources and lead all of them towards the accomplishment of organizational goals.
The Balance Between Multiple Goals
This is another key factor that shows the importance of the right management in a business. In any organization, the management has two goals, the first one is individual and the second one is organizational. Both goals are important, individual goals satisfy the employees and employers of a company and the organizational goal satisfies both on a broader level.
Social Development & Innovation
The right management always prepares the company for social welfare. It helps to direct the human energies towards the needs of the society on different levels from education, health, environment, and so on.
Aside from social development, management also makes sure that their company is making efforts for innovation. In this digital era, where everything is changing so rapidly, moving with time is vital. Here, management plays an important role. They encourage employees to research the current market happenings and bring the latest innovation within the organization.
So, these are some key points to understand the importance of the right management to a Modern Business. Hopefully, you found this article interesting and helpful.