Importance of Management

Management is a vital force that binds a business enterprise. Importance of management:
•    achievement of group goals,
•    increasing efficiency,
•    creating a dynamic organisation,
•    achievement of personal objectives,
•    proper utilisation of resources,
•    growth and development of business,
•    providing better quality of goods, etc.
Management helps in combining human and material resources in the right proportion. It helps in reducing costs and increasing, productivity through management functions. It helps in creating a suitable environment for employees to adapt to the changing environment. It helps organisations to maintain their competitive edge. Management helps in inducing employees to achieve their goals while contributing to the organisational objectives. Management enables the best use of various factors of production such as land, labour, capital and machinery. Management improves the efficiency and performances of employees which leads to higher profitability.
Management exercises controls on production processes and curtails wastage at different points and helps in producing better qualities at a minimum cost. Management helps in improving skills and technical competence of employees which gives them confidence, and boosts their morale. It regularly assesses the impact of various policies on business and takes corrective. It provides new ideas, vision, and imagination to the organisation to sustain in the competitive market. It helps in reducing costs through various measures, thereby assisting in profit maximisation. It helps in raising standard of living by offering good quality products and services, new employment opportunities and advanced technology.

 

To Access the full content, Please Purchase

  • Q1

    Management minimises

    Marks:1
    Answer:

    cost.

    Explanation:
    Management involves planning activity well before its implementation. Any human activity which is properly planned will certainly be cost effective compared to an unplanned activity.
    View Answer
  • Q2

    Management increases

    Marks:1
    Answer:

    efficiency of the organisation.

    Explanation:
    Management helps in doing a group activitiy in a planned manner with coordination. When an activity is done after proper planning, it increases efficiency of the whole group.
    View Answer
  • Q3

    The Chairman of XL Ltd. introduced 'Recognition Program' for the employees to

    Marks:1
    Answer:

    motivate the employees to work hard.

    Explanation:
    Motivation techniques such as bonus, increment, recognition, promotion, etc. stimulate employees to work towards accomplishment of organisational goals.
    View Answer
  • Q4

    Management integrates

    Marks:1
    Answer:

    human, physical and financial resources.

    Explanation:
    An organisation gathers machinery (physical resource), money (financial resource) and people (human resource) to accomplish its objectives. Management devices a way which best suits to the organisation and yields maximum return on capital invested by the owners.
    View Answer
  • Q5

    Management primarily aims at

    Marks:1
    Answer:

    achieving goals through group effort.

    Explanation:

    Management primarily aims at achieving goals of the organisation by uniting the efforts of different individuals working within the organisation.

    View Answer