Saturday, 12 May 2018

The Nature of Management and Its Scope

The Nature of Management and Its Scope

The Nature of Management and Its Scope
Management studies are of recent origin but management is as old as man’s need for organizing work and activities. Management now has become a ‘discipline’. Numerous Management Gurus have emerged. They have been defining, redefining and commenting on the scope and nature of Management. Question as to whether Management is a Science or an Art has been resolved by saying that Management is the “oldest of the arts and youngest of the sciences”.

Management is different from other higher studies because of its inclusive nature. It, not only deals with the theory and practice of production of goods and services but also with development and deployment of human resources.

Manufacturing, procuring, distributing  and  delivering  of  goods in a competitive environment and international markets demands efficient and effective operations.  Selling, promoting and marketing of goods too calls for coordinated efforts and innovative ideas. Services to customers and the analysis of queue systems is yet another aspect of Management.

Historically, Management Studies have their origin in the body of knowledge stemming from industrial engineering. This body of knowledge formed the basis of the first MBA programs, and has become “central to operations management as used across diverse business sectors, industry, consulting and non-profit organisations”.

It is not only the scope but also the nature of Management that demands proper understanding. How the various “parts” of an organisation relate to their “whole” and what contribution they make to its efficient and productive working are important issues. Looked at from these considerations, an organisation needs to devise standards for measuring its performance. Here, the distinction between efficiency and effectiveness assumes significance.

Often, Management is divided into Operations management and Production management.  Operations management is the process whereby resources or inputs are converted into more useful products. Thus, there appears hardly any difference between “production management and operations management”. However, “production management” is used for a system that produces tangible goods. Operations management is used for a system that transforms various inputs into tangible services, for example, banks, airlines, utilities, pollution control agencies, super bazaars, educational institutions, libraries, consultancy firms and police departments,  and, of course, manufacturing enterprises. The second distinction relates to the evolution of the subject. ‘Operations management’ is currently in vogue. Earlier, ‘Production management’ was in use. Both terms are interchangeably used.

Stanley Vance has defined Management as simply the process of decision-making and control over actions of human beings for the attainment of pre-determined goals. Lawrence Appley says it is the “accomplishment results” through others. According to John Mee, management is the art of maximizing results and minimizing efforts for securing maximum happiness and prosperity for the employees and the employer and giving the public best possible service. The scope as well as nature of Management, thus, remains undefined but its goals are hotly pursued.



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