Discuss the Importance of Management

1. Management helps in Achieving Group Goals:

It arranges the factors of production, assembles & organizes the resources, integrates the resources in effective manner to achieve goals. It directs group efforts towards achievement of pre-determined goals. By defining objective of Organization clearly there would be no wastage of time, money & effort. Mgt converts disorganized resources of men, machines, money etc. into useful enterprise. These resources are coordinated, directed & controlled in such a manner that enterprise work towards attainment of goals.

2. Management Ensure Optimum Utilization of Resources:

Management utilizes all the physical & human resources productively. This leads to efficacy in management. Management provides maximum utilization of scarce resources by selecting its best possible alternate use in industry from out of various uses. It makes use of experts, professional & these services leads to use of their skills, knowledge, & proper utilization & avoids wastage. If employees & machines are producing its maximum there is no under employment of any resources.

3. Management Reduces Costs:

It gets maximum results through minimum input by proper planning & by using minimum input & getting maximum output. Mgt uses physical, human & financial resources in such a manner which results in best combination. This helps in cost reduction.

4. Management Establishes Sound organization:

No overlapping of efforts (smooth & coordinated fns). To establish sound organization structure is one of the objective of mgt which is in tune with objective of organization & for fulfillment of this, it establishes effective authority & responsibility relationship i.e. who is accountable to whom, who can give instructions to whom, who are superiors & who are subordinates. Mgt fills up various positions with right persons, having right skills, training & qualification. All jobs should be cleared to everyone.

5. ManagementEstablishes Equilibrium:

It enables the Organization to survive in changing environment. It keeps in touch with the changing environment. With the change is external environment; the initial co-ordination of organization must be changed. So it adapts organization to changing demand of market / changing needs of societies. It is responsible for growth & survival of organization.

6. Management Essentials for Prosperity of Society:

Efficient mgt leads to better economical production, which helps in turn to increase the welfare of people. Good mgt makes a difficult task easier by avoiding wastage of scarce resource. It improves standard of living. It increases the profit, which is beneficial to business, & society will get maximum output at minimum cost by creating employment opportunities which generate income in hands. Organization comes with new products & researches beneficial for society.