Management is a vital aspect of the economic life of man, which is an organized group activity. A central directing and controlling agency are indispensable for a business concern. The productive resources – material, labor, capital etc. are entrusted to the organizing skill, administrative ability and enterprising initiative of the management. Thus, management provides leadership to a business enterprise. Without able managers and effective managerial leadership, the resources of production remain merely resources and never become production. Under competitive economy and ever-changing environment, the quality and performance of managers determine both the survival as well as the success of any business enterprise. Management occupies such an important place in the modern world that the welfare of the people and the destiny of the country are very much influenced by it. [ Management Defined ]
It is very difficult to have an all-encompassing definition of management which covers all its characteristics. Management is a vital function concerned with all aspects of the working of an enterprise. There are many ways to Management Defined.
Prof Hermann has interpreted the term “management” in three distinct aspects:
1. Management as a field of study or a subject.
2. Management as a team or class of people or a noun.
3. Management as a process.
Management as a field of study or a subject refers to the principles and practices of management. It entails all the principles and practices as a knowledge and its application in its entirety. This approach, however, fails to give the correct nature of management. Management as a team or class of people refers to the group of managerial personnel of an enterprise functioning in their supervisory capacity. However, who are the managers and what are the activities that should be treated as managerial, are hard to identify, unless some yardsticks are prescribed. This becomes more difficult especially when those performing managerial activities have different titles in one organization as well as in different organizations.
Management as a process refers to different processes or steps of management right from planning to organizing, staffing, supervising and controlling. Management in this context has been defined as the process of getting things done by and in cooperation with others. [ Management Defined ]
There are many definitions of management. They emphasize one or the other important aspect of management activity. According to Koontz, “Management is the art of getting things done with people and through informally organized groups. It is the art of creating an environment in which people can perform as individuals and yet cooperate towards
the attainment of group goals. It is the art of removing blocks for such a performance, a way of optimizing efficiency in reaching goals.” According to Dalton E. McFarland, “Management is the fundamental integrating and operating mechanism underlying organized effort.”
According to George R. Terry, “Management is a distinct process . . . performed to determine and accomplish stated objectives by the use of human beings and other resources.”
According to Harold Koontz and Cyrill O’Donnel, “Management is the creation and maintenance of an internal environment in an enterprise where individuals, working together in groups can perform efficiently and effectively towards the attainment of group goals.”