Subject: Business Studies
Management is one of the most essential parts of every organization. Management is one of the key reasons for modernization and industrialization. The five basic functions of management is planning, organizing, staffing, directing and controlling.
Management is one of the most essential parts of every organization. Management is one of the key reasons for modernization and industrialization. The basic function of management is to integrate the efforts of human resources and to utilize them to achieve the desired result. So it is a very essential aspect of human existence as a whole. Some of the major importance of management are:
Hence, these are the importance and major significance of management. Besides these other objectives of management are encouraging innovation, improvement of a lifestyle of workers, developing a brand or image of an organization, improving relations with others, etc.
(Neupane Surendra; Parajuli, Ram Prasad; Jha, Deepak Kumar; Chhetri, Tuk Bahadur; Dulal, Gopal Prasad Pg.15-19)
As discussed in the previous topic, it is clear that management is a process of activities. There are some distinct managerial functions. As there are many definitions of management, experts have classified management functions in a different way.
From different studies of organizations and from a different point of view experts have given some important functions in the following manner:
So, from the above classifications, it is clear that the functions of management vary from experts to experts. But all of the above classifications have unanimity in terms of planning, organizing and controlling. But all of these things will work only if there is a proper system of dealing with human resources in any organization. Here comes the role of other functions such as commanding, motivating, communicating, directing, leading, etc.
Some experts have suggested staffing function as a function of facilitating the human element of an organization. Thus, broadly we can understand that managerial functions are:
(Shrestha: pg-17)
Management and administration are taken as the same thing by many people. But there is a controversy as some people regard management and administration as separate things. There are three points of view related to management and administration. They are:
Now, as we have analyzed all the point of views we can differentiate administration and management as follows:
Basis of Differences | Administration | Management |
Nature of Function |
The administration is linked as a thinking function. |
Management is taken as operating or executing the function. |
Basic Function |
Formulation of policies and determination of objectives. |
Implementing the plans and policies to achieve desired goals |
Area of use |
Used in mostly Government, educational and social organizations |
Used in mostly profit motive or business organizations |
Level of Authority |
Top-level authority: Strategic, Policy Making, and decision-making |
Operating level authority: Executive administrative decisions |
Ability required |
Requires a high level of administrative ability to analyze and make decisions |
Requires technical abilities to perform the actions |
Status of the members |
They are mostly owners who invest in the organization and gain huge profits. |
They are mostly employees working under salaries and wages. |
Basis of Decisions |
Social norms and values, government policies, public opinions are bases to make decisions |
Values and opinions of managers and meetings are the bases of decisions |
Major function |
Planning and Organizing |
Directing, leading and controlling |
(Sharma, Surendra Raj; Jha, Surendra Kumar; pg- 18)
Neupane Surendra; Parajuli, Ram Prasad; Jha, Deepak Kumar; Chhetri, Tuk Bahadur; Dulal, Gopal Prasad; "Business Studies class: XII." Kathmandu: Nawakala Publications, 2011. 28-40.
Sharma, Surendra Raj; Jha, Surendra Kumar; "Business Studies Grade XII." Sukunda Pustak Bhawan, 2011 A.D. 31-40.
Shrestha, Kul Narsingh. "Business Organization and Management ." Kathmandu: Nabin Prakashan, 2065 B.S. 30-46.
Explain the importance of management.
In today’s world, Management is essential in every organization. Management is one of the key reason for modernization and industrialization. Some of the major importance of management are:
Hence, these are the importance/significance of Management. Besides these other objectives of management are encouraging innovation, improvement of a lifestyle of workers, developing a brand or image of an organization, improving relations with others etc.
Describe the major functions of management.
The different authors have classified the functions of management in different ways. The major functions of management are described below:
Describe the difference between administration and management.
The difference between the administration and management are as follows:
Basis of Differences | Administration | Management |
Nature of Function |
Administration is linked as thinking function |
Management is taken as operating or executing function |
Basic Function |
Formulation of policies and determination of objectives. |
Implementing the plans and policies to achieve desired goals |
Area of use |
Used in mostly Government, educational and social organizations |
Used in mostly profit motive or business organizations |
Level of Authority |
Top level authority: Strategic and Policy Making and decision-making |
Operating level authority: executive administrative decisions |
Ability required |
Requires high level of administrative ability to analyze and make decisions |
Requires technical abilities to perform the actions |
Status of the members |
They are mostly owners who invest in the organization and gain huge profits. |
They are mostly employees working under salaries and wages. |
Basis of Decisions |
Social norms and values, Government policies, public opinions are basis to make decisions |
Values and opinions of managers and meetings are the bases of decisions |
Major function |
Planning and Organizing |
Directing, Leading and controlling |
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