MODULE 1: BACKGROUND AND OVERVIEW OF

MANAGEMENT,

ENTREPRENEURSHIP, BUSINESS OPPORTUNITIES.

Unit 1: Definitions, Nature and Concepts of Management

Unit 2: The Foundation of Entrepreneurship
Unit 3: The Corporate Innovation on Entrepreneurs
Unit 4: Discovering Business Opportunities

Unit 1: Definitions, Nature and Concepts of Management

Table of Contents
1.0 Introduction

2.0 Objectives

3.0 Main Content

3.1 Meaning of Management

3.2 The scope of

Management 3.3 The purpose of

Management

3.4 Who is a Manager?

3.5 The Concepts of Management in Profit and Non-Profit Organizations

4.0 Conclusion

5.0 Summary

6.0 Tutor-Marked Assignment

7.0 Reference/Further Reading

1.0 Introduction

This unit is designed to provide an insight into the definitions, nature and concept of

management. By the end of the unit, you are expected to have an overview of what management

entails, whether management is an art or science and who a manager is?

2.0 Objectives:

By the end of the unit, you should be able to:

a. Explain the meaning of management

b. Explain the scope of management

c. Explain the purpose of management

d. Explain the concept of who is a manager

e. Discuss the concepts of management in profit and non-profit organizations

3.0 Main Content

3.1 Meaning of Management

As an individual, we are members of one organization-a team, a group, a university, a

church, organization, the army etc. all organizations whether formal or informal usually have

a structure and are put together by a group of people who see that there are benefits to be

achieved from working together toward some common goal. The basic element of every

organization is to achieve its goal or purpose. Hence, management is a conscious practice of

shaping the organization to achieve its set goal and objectives. In other words, it is the process

of working with people and resources to accomplish organizational goals in effective and

efficient manner. The four traditional management principles include planning, organizing,

leading and controlling.

3.2 The Scope of Management

Management is applicable to both business and non-business organizations alike such

as banks, factories, hospitals as well as churches, mosques, orphanages etc. This and many

more including one‘s personal affairs need to be managed.

3.3 The Purpose of Management

The basic purpose of any form of management in organizations is to achieve corporate

set goals and objectives in an effective and efficient manner.

3.4 Who is a Manager?

Among other things, a manager is one who has the responsibility to plan, organize, lead

and control its available resources effectively and efficiently in order to achieve organizational

purpose. Resources here include man, machine, money, time, information etc. A manager,

whether in a big or small corporation must know that he/she is in a competitive struggle to

survive and win. A manager must manage for competitive advantage and in order to succeed

as a manager in this ever dynamic and complex environment of business, he/she must deliver

innovation, quality, service, speed and competitiveness.

3.5 The Concepts of Management in Profit and Non-Profit Organizations

Management is essential in all organizations, profit or non-profit organizations. Management

principles are the same all over the world. It is a universal concept with its basic functions of

planning, organizing, leading and controlling. It is erroneously believed that the concept of

management applies majorly to profit making organizations, and less of non-profit making

organizations. There is also the perception that the term administration is strongly linked to

non-profit making organizations and less of profit making organization. Management is a

universal concept applied in organizations that have people working together with a structure

and that harness its scarce resources in order to accomplish its corporate goals. So in either

form of organizations, the concept of management is the same. Management is about achieving

result not just profit.

4.0 Conclusion

We have seen in this unit that management is concerned with getting things done

through and with other people. The primary purpose of management is to achieve desired goals

by efficiently utilizing available resources. The unit also made it clear that the end result of a

manager is to achieve organizational goal efficiently and effectively. This unit concluded by
saying that management is universal irrespective of the organizations whether profit or non-

profit organization.

5.0 Summary

The highlights of this unit are hereby summarized below:

The meaning of management; the purpose of management; the scope of management; who

is a manager and the concept of management in both profit and non-profit organizations.

6.0 Tutor- Marked Assignment

(a) Explain the meaning of management

(b) Explain the scope of management

(c) Explain the purpose of management

7.0 References/ Further Reading

Agbonifoh, B. A. (2012). The nature and purpose of management. In B. A. Agbonifoh, A. B.
Agbadudu, & F. I. O. Iyayi (Eds.), Pp 3 & 6. Management: A Nigerian Perspective. Benin
City, Mindex Publishing Co. Ltd.

Bateman, T. S. & Snell, S. A. (2011). Management: Leading and collaborating in a competitive

world. New York (NY), McGraw-Hill Company, Inc. Pp 36-42.

Bateman, T. S. & Snell, S. A. (2011). Management: Leading and collaborating in a competitive

world. New York (NY), McGraw-Hill Company, Inc. Pp 164-166; 171-172; 176-177.

Koontz, H., O‘Donnell, C., Weihrich, H. (1981). Management. McGraw-Hill Kogakusha Ltd.
Pp 36-47.

Stoner, J. A., Freeman, R. E., & Gilbert, D. R. (2009). Management. New Delhi, Dorling
Kindersley (India) Pvt. Ltd. Pp 89-90; 133.