Management is the sum-total of

 Peter F. Drucker defines, "management is

all those activities that (i) deter-
an organ; organs can be described and de-
mine objectives, plans, policies
fined only through their functions".
and programmes; (ii) securemen,
material, machinery cheaply (iii)
There isn’t a put all these resources into ope-
 Henry Fayol, "To mange is to forecast and
general defini- rations through sound organizati-
 Definition of plan, to organize, to compound, to co-
tion, but some on (iv) direct and motivate the
Management authors have ordinate and to control."
men at work, (v) supervises and
tried. control their performance and (iv)
 G.E. Milward, "Management is the process provide maximum prosperity and
and the agency through which the execu- happiness for both employer and
tion of policy is planned and supervised." employees and public at large.

 Economic Resource: Management is one of the factors of production together with land, labour and capital.

 Goal Oriented: Management is a purposeful activity. It coordinates the efforts of workers to achieve the goals.

 Distinct Process: Management is a distinct process consisting of such functions as planning, organizing,
staffing, directing and controlling.

 Integrative Force: The essence of management is integration of human and other resources to achieve the
 Characteristics
desired objectives.
of Management
 System of Authority: Different levels possess varying degree of authority.

 Multi-disciplinary Subject: Management has grown as a field of study taking the help of so many other disci-
plines.

 Universal Application: The principles and techniques of management are equally applicable in the fields of
business, education, military, government and hospital.

 As a Science: Management principles are firmly based on observed phenomena, and

systematic classification and analysis of data.
Management
has been con-
 Nature of Ma- ceptualizedas a  As Art: Management as a body of knowledge. Principles of management used as gui-
science, as art des for solving practical problems.
nagement
and as a profes-
sion.
 As a Profession: Management is a profession in the sense that there is a systematized
body of management, and it is distinct, identifiable discipline.

 Administration refers to policy-making whereas management refers to execution of policies laid down by
administration.

 Administration is a determinative function; on the other hand, management is an executive function which is
 Management vs primarily concerned with carrying out of the broad policies laid down by the administration.
Administraton
 Administration is a part of management.

 The term management is used for higher executive functions like determination of policies, planning, organi-
zing, directing and controlling in the business circles, while the term administration is used for the same set
of functions in the Government circles.

 Division of Work.
 Centralization (or Decentralization).
 Authority.
 Oredern.
 Discipline.
 Equity.
 Principles of  Unity of Command.
 Scalar Chain.
Management  Unity of Direction.
 Stability of Tenure of Personnel.
 Subordination of individual in-
 Initiative.
terest (to the general interest).
 Esprit de Corps.
 Remuneration.

 Achievements of group goals.

 Optimum utilization of resources.

The significance of management in
business activities is relatively grea-  Minimisation of cost.

 Significance of ter. The inputs of labour, capital  Change and growth.

Management and raw material never become
 Efficient and smooth running of business.
productive without the catalyst of
management.  Provide innovation and social benefits.

 Useful for developing countries.

 Sound organization structure.