CHAPTER -1

NATURE AND SCOPE OF MANAGEMENT

Organization - two or more persons work together in a single place for achievement of common goal. Example of organization is Tata steel company, reliance group, and financial institutes etc. Management - Getting the things done through the efforts of others Getting from where we are to where we want to be with the least expenditure of
time, money and efforts Coordinating individual and group towards achieving goals Kootnz defines management as Management is the art of getting things done through and with the people in formally organized groups. McFarland defines as Management is defined for conceptual, theoretical and analytical purposes as that process by which managers create, direct, maintain and operate purposive organisation through systematic, coordinated cooerative human effort. Peter Drucker defines as Management is a multipurpose organ that manages a business, manages managers and manages workers & work Meaning of Management Management as an activity Management as a process Management as a discipline Management as a group Importance of Management It determines the objectives of the firm, helps in achieving the stated objectives , It helps in organizational development , It helps in optimum utilization of resources , Virtually, progress & development of an organization or country depends careful planning and management of various issues.\ Management is utilization of all available resources to the maximum in attaining all the objectives of the organization and the individual goals as well. Management functions 1. Planning it is a management first function. Determining the objectives, Forecasting, Search of alternatives, Evaluation of alternative course of actions and designing of plans, Formulation of plans & procedures, Preparation of programmes & schedules Budgeting 2. Organizing - Finding the objectives and locating the main activities, Division of act and creation of jobs, Filling individuals into jobs developing norms for delegating authorities and responsibilities 3. Directing - It is a management function involves giving proper direction to its employees to work effectively and efficiently to fulfill the objectives of the organization. Consists of 3 sub functions - Communication - Leadership - Motivation 4. Controlling It is the process of checking whether the proper progress is made or not to fulfill the objectives and goals of the organization

Process involves Creating standards of performance Measuring the actual performance Comparison of the both Taking corrective steps if not up to stds