ESSAY
Management: Its Nature and 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 ‘disci-
pline’. Numerous Management Gurus have
emerged. They have been defining, redefin-
ing 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 Manage-
ment 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 stem-
ming from industrial engineering. This
body of knowledge formed the basis of the
first MBA programs, and has become “cen-
tral 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 prop-
er 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.
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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 manage-
ment and operations management”. How-
ever, “production management” is used for
a system that produces tangible goods.
Operations management is used for a sys-
tem that transforms various inputs into
tangible services, for example, banks, air-
lines, utilities, pollution control agencies,
super bazaars, educational institutions,
libraries, consultancy firms and police
departments, and, of course, manufactur-
Contents or Translation of contents of this document must not be reproduced in any manner without prior permission.
ing 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 Manage-
ment as simply the process of decision-
making and control over actions of human
beings for the attainment of pre-deter-
mined 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 possi-
ble service. The scope as well as nature of
Management, thus, remains undefined but
its goals are hotly pursued.
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