NATURE AND CONCEPT OF MANAGEMENT

Management is an important factor for the success of

any organized activity. Today management basically
concern with changes and challenges, and it is difficult
to manage. Management is an art of getting things done
through others. Management is to plan, organize, direct
and control the resources of the organization for
obtaining common objectives or goals. It is related with
resources like material, money, machinery, methods, PLANNING
manufacturing and marketing. Management principles
are universal in nature. Management is necessary for all Planning is the fundamental management function,
types of organization, such as public sector, private which involves deciding beforehand, what is to be done,
sector, govt. department, hotel, hospital, hostels, when is it to be done, how it is to be done and who is
educational institutes, require management for several going to do it. It is an intellectual process which lays
growth and expansion. down an organization’s objectives and develops various
courses of action, by which the organization can achieve
Definitions: those objectives. It chalks out exactly, how to attain a
specific goal.
1) According to Taylor:- “Management is the art of
knowing what you want to do and then seeing that it is Planning is nothing but thinking before the action takes
done in the best and cheapest way.” place. It helps us to take a peep into the future and
decide in advance the way to deal with the situations,
2) According to Lawrence: - “Management is the
which we are going to encounter in future. It involves
accomplishment of results through the efforts of other
logical thinking and rational decision making.
people.”
Steps in Planning
3) According to Henry Fayol: - “To manage is to forecast
and to plan, to organize, to co-ordinate and to control.”

The concept of management when applied to office is

called ‘office management’. Office management is the
technique of planning, coordinating and controlling
office activities with a view to achieve common business
objectives. One of the functions of management is to
organize the office work in such a way that it helps the
management in attaining its goals. It works as a service
department for other departments.

THE FIRM AND ITS ENVIRONMENT

The business firm consists of a set of internal factors ORGANIZING

and is confronted with a set of external factors (i.e.,
environment). This is the relation between a firm and its
environment. The internal factors are regarded as
controllable factors, as the firm has got control over
these factors.
The firm can alter or modify internal factors to its
advantage. The examples of internal factors are nature
and number of personnel, physical facilities,
organization and functional means, such as marketing
mix, to suit the environment.
The external or environmental factors are beyond the
control of the business firm and the success of the firm
will depend to a very large extent on its adaptability to
the environment (factors) i.e., its ability to properly
design and adjust the internal factors/variables to take
advantage of the opportunities and to combat the
threats of the environment.
According to Henry Fayol, “The specialization of the
workforce according to the skills of a person, creating
specific personal and professional development within
the labor force and therefore increasing productivity,
leads to specialization which increases the efficiency of
labor. By separating a small part of work, the workers
speed and accuracy in its performance increases. This
principle is applicable to both technical as well as
managerial work.”
Types of Organizational Structure
Divisional Structure
One way of structuring an organization is by division.
With this structure, each organizational function has its
own division.
Functional Structure

In a functional structure, a common configuration, an

organization is divided into smaller groups by areas of
specialty (such as IT, finance, operations, and performance, comparing with the existing standard and
marketing). finding the deviations, and correcting the deviations.
Control activities generally relate to the measurement
of achievement or results of actions which were taken
Matrix Structure to attain the goal.
Some means of controlling, like the budget for
The matrix structure is a type of organizational
expenses, inspection records, and the record of labor
structure in which individuals are grouped by two
hours lost, are generally familiar. Each measure also
different operational perspectives at the same time; this
shows whether plans are working out.
structure has both advantages and disadvantages but is
If deviations persist, correction is indicated. Whenever
generally best employed by companies large enough to
results are found to differ from the planned action,
justify the increased complexity.
persons responsible are to be identified and necessary
STAFFING
actions are to be taken to improve performance.
Staffing can be defined as one of the most important
Thus outcomes are controlled by controlling what
functions of management. It involves the process of
people do. Controlling is the last but not the least
filling the vacant position of the right personnel at the
important management function process.
right job, at right time. Hence, everything will occur in
It is rightly said, “Planning without controlling is
the right manner.
useless”. In short, we can say the controlling enables
It is a truth that human resource is one of the greatest for
the accomplishment of the plan.
every organization because in any organization all other All the management functions of its process are inter-
resources like- money, material, machine etc. can be related and cannot be skipped.
utilized effectively and efficiently by the positive efforts of The management process designs and maintains an
human resource. environment in which personnel’s, working together in
groups, accomplish efficiently selected aims.
Therefore it is very important that each and every person
should get right position in the organization so as to get
the right job, according to their ability, talent, aptitude,
and specializations so that it will help the organization to
achieve the pre-set goals in the proper way by the 100%
contribution of manpower. Thus it can be said that it is
staffing is an essential function of every business
organization. 

LEADING

The third basic managerial function is leading.

The skills of influencing people for a particular purpose
or reason are called leading. Leading is considered to be
the most important and challenging of all managerial
activities.
Leading is influencing or prompting the member of the
organization to work together with the interest of the
organization.
Creating a positive attitude towards the work and goals
in among the members of the organization is called
leading. It is required as it helps to serve the objective
of effectiveness and efficiency by changing the
behavior of the employees..
The functions of direction, motivation, communication,
and coordination are considered a part of the leading
processor system.
Rather they regard coordinating as the essence of
manager ship for achieving harmony among individual
efforts towards accomplishing group targets.
Motivating is an essential quality for leading. Motivating
is the function of the management process of
influencing people’s behavior based on the knowledge
of what cause and channel sustain human behavior in a
particular committed direction.

CONTROLLING

Controlling is measuring, comparing, finding deviation

and correcting the organizational activities which are
performed for achieving the goals or objectives.
Controlling consist of activities, like; measuring the