2. Definition of Management
• Management is the art and science of
organising and directing human efforts
applied to control the forces and utilise the
materials of nature for the benefit of man.
—American Society of Mechanical Engineers
4. Management is goal-oriented
• The success of management is measured by
the extent to which the established goals one
achieved. Thus, management is purposeful.
5. Management is universal
• The fundamental principles of management
are applicable in all areas of organised effort.
Managers at all levels perform the same basic
functions.
6. Management is a continuous
Process
• Management is a dynamic and an on-going
process.
7. Management is an Art as well
as Science
• It contains a systematic body of theoretical
knowledge and it also involves the practical
application of such knowledge.
8. Management is Intangible
Management is an unseen or invisible force. It
cannot be seen but its presence can be felt
everywhere in the form of results.
9. Scope of Management
• Production Management
• Marketing Management
• Financial Management
• Personnel Management
10. Production Management
It includes the following activities:
• Designing the product
• Location and layout of plant and building
• Planning and control of factory operations
• Operation of purchase and storage of
materials
• Repairs and maintenance
• Inventory cost and quality control
• Research and development etc
11.
12. Marketing Management:
It involves the following activities:
• Marketing research to determine the needs
and expectation of consumers
• Planning and developing suitable products
• Setting appropriate prices
• Selecting the right channel of distribution,
and
• Promotional activities like advertising and
salesmanship to communicate with the
customers.
13.
14. Financial Management:
It comprises the following activities:
• Estimating the volume of funds required for both
long-term and short-term needs of business
• Selecting the appropriate source of funds
• Raising the required funds at the right time
• Ensuring proper utilisation and allocation of
raised funds so as to maintain safety and liquidity
of funds and the creditworthiness and
profitability of business, and
• Administration of earnings
15.
16. Personnel Management:
It consists of the following activities:
• Manpower planning
• Recruitments,
• Selection,
• Training
• Appraisal,
• Promotions and transfers,
• Compensation,
• Employee welfare services, and
• Personnel records and research, etc
17.
18. Management By Objectives
• Management by objectives (MBO) is a process
of defining objectives within an organization
so that management and employees agree to
the objectives and understand what they
need to do in the organization in order to
achieve them.
• The term "management by objectives" was
first popularized by Peter Drucker in his 1954
book 'The Practice of Management'.
