Syllabus – 2019-20-Unit-01 K

After going through this unit, the student/ learner

Management-concept,
objectives, and importance
 Concept includes
meaning and features
Management as Science, Art
and Profession
Levels of Management
Management functions-
planning, organizing,
staffing, directing and
controlling
Coordination- concept and
importance
Management is defined as a process of getting things done with the aim of achieving goals
effectively and efficiently.
would be able to: S
 Understand the concept of management.
 Explain the meaning of “Effectiveness and Efficiency”.
 Discuss the objectives of management. H
 Describe the importance of management.
 Examine the nature of management as a science, art and
profession.
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 Understand the role of top, middle and lower levels of
management T

Explain the functions of management
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 Discuss the concept and characteristics of coordination.
 Explain the importance of coordination. J

What is a process? E
Process is a series of actions or steps taken in order to achieve predefined objectives.

Management is a Process means the primary functions or activities that management performs to D
get things done. These functions are planning, organising, staffing, directing and controlling.

Being effective or doing work effectively means finishing the given task. Effectiveness in
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management is concerned with doing the right task, completing activities and achieving goals.
Effectiveness is concerned with the end result. C
Efficiency means doing the task correctly and with minimum cost. Efficiency means that more
benefits are derived by using lesser amount of resources. It involves cost-benefit analysis. A
Efficiency is said to have increased even if same output or benefit is achieved by using fewer
resources. Efficiency is inversely related to the costs. Higher the efficiency lesser will the cost.
Efficiency is directly related to profits. Higher efficiency always leads to higher profits by
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decreasing costs.
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Effectiveness versus Efficiency : Two aspects of management
Efficiency and Effectiveness both are different terms but they are interrelated.
Management should be both effective and efficient. O
Effectiveness and efficiency are two sides of the same coin.
Management has to balance these two aspects. N
Effectiveness without efficiency will lead to higher costs and less profits.
Efficiency without effectiveness will result in delays of work and result in a situation where
organisational objectives are not achieved at all.

e.g. Manager A & B are given a target to produce 1000 pieces of an article at a targeted cost of
Rs.100 per piece within 30 days. There is shortage of labor in the industry. K
Manager A arranged labor at a higher cost and was able to complete production on time. But the
actual cost incurred by him is Rs.110/- In this situation manager A is effective but not efficient.
Manager B waited for the labour rates to come down and slowed down the production. He S
produced the article at the rate of Rs.70 per piece. He took 45 days to complete the production.
Here manager B is efficient but ineffective.
In both the cases the managers A and B were not able to achieve desired results for the
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management. Therefore these two aspects of management need to be balanced.
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Conclusion : It is important for management to achieve goals (effectiveness) with minimum
resources i.e., as efficiently as possible while maintaining a balance between effectiveness and
efficiency. Both inefficiency and ineffectiveness reflects poor management. T
Doing something in right way : effectiveness I
Doing something in the most desirable way : Efficiency J
Productivity of Management = Efficiency X Effectiveness

Characteristics of Management E
Management is GOD GIFt PaC D
(i) Management is a goal-oriented process because Management unites the efforts of
different individuals in the organisation to achieve organisational goals. Organisation U
goals are the objectives and targets for which organisation exists. The goals and objectives
should be simple and clearly stated. Different organisations have different goals. For
example, the goal of a ecommerce concern is to increase sales, the goal of an Government
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Enterprise is to provide service to public.
(ii) Management is all pervasive because the activities involved in management of an A
organisation are common to all organisations whether economic, social or political
anywhere in the world. Pervasive means present everywhere or omnipresent. Therefore
management is pervasive in nature.
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(iii) Management is multidimensional (Faces of Management): Management is a complex
activity that has three main dimensions i.e. Management of work, Management of I
people and Management of operations. Management pursues the following broad
activities simultaneously.
a. Management of work: All organisations perform some work and exist for the
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performance of work only. Management translates this work in terms of goals to be
achieved. Management assigns the means to achieve the work. N
b. Management of people: People are an organisation’s greatest asset. Managing
people has two dimensions
i. it implies dealing with employees as individuals with diverse needs and
behaviour;
 ii. it also means dealing with individuals as a group of people. K
Every person has some strength and some weaknesses. The task of management is to make
people work towards achieving the organisation’s goals, by making their strengths
effective and their weaknesses irrelevant.
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c. Management of operations: Every organisation produces some good or provides a
service to survive. It requires a production process. This process includes the flow H
of input material and the technology for transforming given input into the desired
output for consumption. The task of management is to manage this process
effectively and efficiently. This dimension of management is interlinked with both
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the management of work and the management of people.
(iv) Management is a continuous process because the process of management is a series of T
continuous, composite, but separate functions (planning, organising, directing, staffing
and controlling). These functions are simultaneously performed by all managers all the time.
Every manager performs one or more of these functions regularly and continuously. I
(v) Management is a group activity because to achieve organisational goals team work and
coordination of individual effort is involved. Every organisation is a collection of diverse
individuals with different needs. While working in organisation every member has to work
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towards fulfilling organisational goals as part of a group. Therefore managing these
individuals in an organisation is a group activity.
(vi) Management is a dynamic function because management has to adopt itself to the
changing environment. An organisation interacts with its external environment which
consists of various social, economic and political factors. In order to be successful, an E
organisation must change itself and its goals according to the needs of the environment.
(vii) Management is an intangible force because it cannot be seen but its presence can be felt D
in the way the organisation functions in an orderly & non-chaotic manner. The effect of
management is noticeable in an organisation where targets are met according to plans,
employees are happy and satisfied, and there is orderliness instead of chaos. U
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