UNIT 1: Management Meaning and Concept

1. Define management. Briefly explain the basic functions of management and their
relationships.
Management in businesses and organizations is the function that coordinates the
efforts of people to attain the certain goals/objectives by using available resources
efficiently and effectively. It involve planning, organizing, staffing, directing and
controlling the efforts of human resources in the use of material resources. The basic
function of management are:
a) Planning
b) Organizing
c) Staffing
d) Directing
e) Controlling
a) Planning
First and very basic function of management is planning. According to KOONTZ,
Planning is deciding in advance - what to do, when to do & how to do. It bridges the
gap from where we are & where we want to be.
Planning involves defining mission and objective and the detailed action plan to
achieve them. It requires decision making and choosing future course of action from
different alternatives.
b) Organizing
Organizing is establishing the internal organizational structure of the organization.
The focus is on division, coordination, and control of tasks and the flow of
information within the organization. It is in this function that managers distribute
authority to job holders.
c) Staffing
Staffing is filling and keeping filled with qualified people all positions in the business.
Recruiting, hiring, training, evaluating and compensating are the specific activities
included in the function. In the family business, staffing includes all paid and unpaid
positions held by family members including the owner/operators.
d) Directing
Directing is influencing people's behavior through motivation, communication, group
dynamics, leadership and discipline. The purpose of directing is to channel the
behavior of all personnel to accomplish the organization's mission and objectives
while simultaneously helping them accomplish their own career objectives
e) Controlling
Controlling is measuring and correcting individuals and organizational performance.
It involves measuring performance against goals and plans, showing where the
deviations from standards exit and helping to correct them. In short controlling
facilitates the accomplishment of plan. Controlling activity generally related to the
measurement of achievement.

UNIT 1: Management Meaning and Concept

2. Management has been defined as "getting things done through people".
Comments on this definition.
Management is the process by which human efforts are coordinated and combined
with other resources to accomplished organizational goals and objectives.
Yes, of course it is the art of getting things done through people. A good management
requires a good manager in directing or leading his subordinates, as well as a good
subordinate in doing things in a right way in order to meet the goal and objectives of
the organization. It is also said that management requires an understanding of the
economic principle of the division of labor, which breaks down into subtasks, and the
coordination of effort, which recognize the subtasks into an efficient and effective
whole. The managers do not do the work themselves. They get the work done through
the workers. The workers should not be treated like slaves. They should not be
trickled, threatened or forced to do the work. A favorable work environment should be
created and maintained.
Furthermore, its not really about time management because this focuses on the fact
that we are spending our time productively. Its not about being productive; its about
accomplishing the goals by our staff (people) that we set out. So, its not about time
management, its about goal management; putting the goals in order, figuring out
what are the requirements to accomplish those goals, and then moving forward with
those goals. Take the focus off managing your time and turn that focus towards
accomplishing those goals we set out for our organization.
3. Define management. And also explain the emerging problems and prospects of
management.
Management in businesses and organizations is the function that coordinates the
efforts of people to attain the certain goals/objectives by using available resources
efficiently and effectively. It involve planning, organizing, staffing, directing and
controlling the efforts of human resources in the use of material resources. The basic
function of management are planning, organizing, staffing, leading and controlling.
The emerging problems and prospects of management are discussed below.
i.

Globalization:
Globalization phenomenon is getting popular these days. Globalization of business
refers to the free flow of goods service, technology, labor, capital information,
across the national boundary; it is closer economic integration among different
countries in terms of flow of good service, capital labor and technology.
Globalization is the tendency of expanding business in different countries.
Managers have to work in boundary less world. There is no territory or barrier in
export and import business. Globalization invites global competition.
Organizations which were competing locally with local competitors now they have
to compete with global competitors. It is very difficult to organization to survive
and develop in such situation. Organizations should increase quality of product and
reduce cost which is a challenge for manager. Many organizations are becoming
global these days. They are running their business in different countries with
different culture, climate, and geography, political and economic system. It is a
challenging work for managers to prepare executives officers who can run business
in such countries.

UNIT 1: Management Meaning and Concept

ii.

Workforce diversity
Modern organizations are characterized by workforce diversity. Diversified
workforce is the reality of business these days. Organizations are becoming
heterogeneous in terms of ethnicity, gender, nationality, age group, etc. People
having different religions, different nationality works together under one roof.
Different people have different nature and they show different behavior because
they come from different background. How to manage such diversified workforce
is a great challenge for managers. If such diversified workforce is managed
properly, organization will be highly benefited because they also bring diversified
skill and knowledge. But, if they are not managed properly, they create serious
problem.

iii.

Quality assurance and productivity

Quality is the ability of the product to satisfy customers need. How to improve
quality of the product or how to assure customers about the quality of the product
has become a great challenge for management. Quality ensures organizations
survival and growth. Organizations use quality to compete with competitors. Only
improving quality of product organizations can face the global competition.
Therefore, there must be continuous improvement in quality. Quality improvement
has no boundary. It is the race without final line. It is said that people buy quality
not product. And, to improve quality is a really a challenge for management.
Along, with increasing quality to increase productivity again is another challenge
for management. Organization must try to achieve higher productivity. Higher
productivity only helps to reduce cost. Productivity is the ratio between input and
output. Improved technology, employees, regular skill development and better
utilization of resources helps to increase productivity. Total quality management is
the latest approach or needs to improve quality.

iv.

Technological advancement
How to utilize advanced and sophisticated technology has become another
challenge for management. Technology has developed beyond the expectation of
anybody in the world over last 100 years. Tremendous advancement has been made
in production, distribution and information technology. Managers must manage all
this technology with the development of computer, the face of information
technology has absolutely changed. Introduction of internet, email and other
electronic media, have benefitted organizations in the field of productions,
distribution and other areas of business. Decision making have been facilitated by
information technology. Technological advancement has changed the nature of job.
Most of the jobs which were performed by unskilled and semi-skilled labors
previously, now they are performed by skilled labors. Number of white collar job is
increasing and blue collar jobs are decreasing. Organization must train their
employees about new technology. Only with new technology, Organization can
compete with other competitors.

v.

Ethics and social responsibility

Ethics is study of how our decisions affect other people. It is the study of peoples
right and duties. The moral rules the people to make decisions and the nature of
relationship among people. Ethics is to follow social code of conduct, social norms,
values and attitude. The decisions made by managers have a broad reach both

UNIT 1: Management Meaning and Concept

inside and outside the organization. So, managers must follow ethical norms and
consider social responsibilities. Managerial decision must be based on ethical
ground. But, these days ethics id\s decreasing in business world. So, many
business organizations have unethical practice. Because of the unethical practice of
some business houses, all business world is blamed.
How to fulfill social responsibility is also a challenge for management. The
concept of corporate social responsibility has developed. Social responsibility
means obligation of business organizations towards society community, people,
shareholders, etc. To provide quality product at affordable price, to develop more
and more employment opportunities, to carry out different development activities
in society, to control pollution are some social responsibilities of business
organizations.
vi.

Innovation and change

Management must pay attention on innovation and change. Otherwise, they would
go out of business. Rapid innovations are taking place in technology, product and
service. Product lifecycle is getting shorter and shorter. Product needs continuous
improvement if the life span is to be made long. New ideas, new techniques, new
methods are being innovated; there must be new inventions of ideas, new invention
of product. Old and outdated product cannot satisfy customers.
There is change in external environment, political and legal, socio-cultural,
economic and technological environment change rapidly. How to adjust with such
change, how to keep pace with such change, how to keep pace with such change
that has become challenge for management.

vii.

Empowerment
This is the age of empowerment. Role difference between management and
workers has narrowed down. Status between worker and manager is very narrow.
Most of the decisions are taken at operating level. Workers are free to plan and
schedule their work. They are given more and more autonomy and freedom. They
participate in major decision making activities. Joint goal setting and joint
performance evaluation has become common. Self-managed work team had been
established, more and more information are given to employees, and how to
manage such empower team has become challenge for managers.

4. Highlights the concepts and importance of management. And also explain the
emerging issues in management.
Management in businesses and organizations is the function that coordinates the
efforts of people to attain the certain goals/objectives by using available resources
efficiently and effectively. It involve planning, organizing, staffing, directing and
controlling the efforts of human resources in the use of material resources.
viii.

Management Helps in Achieving Group Goals:

Needless to say that it is a goal- oriented activity. To achieve group goals a
manager gives proper direction to the efforts of all his subordinates.

ix.

Management Increases Efficiency:

A manager increases efficiency through the optimum utilization of all the resources
such as man, machine, material and money.

UNIT 1: Management Meaning and Concept

x.

Management Creates a Dynamic Organization:

Every organization works in an ever changing environment. To face the changing
environment, many changes need to be made in the organization as well. But
people resist changes. Manager creates a favorable environment through
introducing employees to the benefits of adapting to changes.

xi.

Management Helps in Achieving Personal Objectives:

Every employee wants to get suitable remuneration, a share in profit, participation
in management, promotion, etc. in the form of his personal objectives. This
objective can only be achieved, if they work while using their full abilities.
Managers make employees able through motivation, good leadership and open
communication. As a result, they attain their individual objectives.

xii.

Management Helps in the Development of Society:

Management has some responsibility towards society. Managers by fulfilling their
social responsibilities help in the development of society. These responsibilities
include providing employment opportunities, preventing environment from getting
polluted, making available good quality products at a reasonable price, etc.
The emerging issues could be divided into Socio-cultural, political-legal, and ethical
issues.
Socio-cultural issues:
- Change in Nepalese socio-cultural factors;
- Growing urbanization and consumer awareness
- Individualized lifestyle and world-oriented outlook.
- Greater acceptance of fashion
- Blending of traditionally defined male - female roles.
- Changing family structures Smaller families, less influence of elders and more
dual career households
- Increase in women empowerment
- Cross culture
Political-legal issues:
- The power exercised by the government to modify, postponed or settles the issues
and conflicts.
- Political climate of the local area and country is a very important force
- A stable government encourages investment and growth
- Political forces pose a number of risk like conflict, terrorism, government
intervention, labor activism etc.
- Volatile political situation
- No strong government mechanism
- More politicization
- Dramatic change in the policy with the change in the government
- Frequent change in the government.
- No effective process for the control of corruption
- Lobbying by the labor unions
- Unclear future political scenario.

UNIT 1: Management Meaning and Concept

-

It is concerned with legal institutions and processes that affect business activities
and atmosphere.
- Laws, Acts, Rules , regulations, institutions enforced by the government/ state
Ethical issues
- Open market , liberalization and deregulation of the economy:
- Freedom to business community and increases competition
- Privatization of major public enterprises: - Economy is tilted in favor of the
private sector
- Pressure groups have exerted pressure to work in the interest of customers and
response to environmental issues.
- Empowerment of minority group and women
- Demand for greater social responsibility
- Nepals participation, commitment and membership in different forums of the
international and regional communities further pushed the process of globalization
and trade liberalization.
5. Management is an interdisciplinary area of study. Discuss on in with examples.
The word interdisciplinary consists of two parts: inter and disciplinary. The prefix
inter means between, among, in the midst, or derived from two or more.
Disciplinary means of or relating to a particular field of study or specialization. So a
starting point for the definition of interdisciplinary is between two or more fields of
study (Stember, 1991, p. 4).