The Role of Management in a Business Organization
Management is the process of administering and controlling an organization. It aims to maximize the use of basic resources, create an effective business environment, and coordinate the efforts of employees. Its functions can be broadly classified into four categories, according to Henri Fayol. Planning is one of the functions of management, and it involves allocating resources, setting targets, and delegating duties. The management role must keep an eye on team progress, and maintain a clear vision of the organization’s mission and vision.
Earlier, the term’management’ referred to labor specialization, the standardization of processes, workflow planning, and early accounting. The word’management’ was first used in the early 19th century, when a Frenchman called himself “mesnager”, meaning to hold the reins of a horse. Later, in the 19th century, it became more widespread, leading to the creation of management schools. In 1881, the Wharton School was established, and has since become a vital part of American business culture.
Managers’ duties range from overseeing daily operations to developing strategies for improving productivity and reducing costs. The role of a manager can be broad or specific, depending on the nature of the organization. In larger organizations, managers perform all the functions, including establishing a strategic plan and evaluating the business’ performance. The word’management’ derives from the XVIIIth century French verb,’mesnager’, which meant ‘to hold the reins of a horse. Italian and Spanish words maneggiare (to handle) and “manejar” (to rule a horse) all have the same root.
While the English word’manage’ comes from the XVth century, it has a rich history of development. Its roots can be traced to the slave-owners who struggled with motivation. Pre-industrial enterprises had little need for management until innovations like double-entry bookkeeping and Arabic numerals became widespread. In the late 19th century, the concept of a managerial class began to emerge. The idea of a separate faculty for the field of management arose.
The controlling function of management is the process of determining how an organization operates. Its scope varies, however, from managing people to overseeing the operations of an organization. Its main purpose is to make sure that all tasks are properly done in the best possible way. Therefore, a manager must have the capability to supervise every aspect of a company. Moreover, he must have the ability to understand and implement policies and procedures that are in place.
The quality of a manager can greatly determine the value of a company. An individual’s management skills are essential to the functioning of an organization. Its goals are to gather people together and make the most of available resources. A manager will utilize all resources to accomplish the objectives of the organization. The purpose of management is to make a group work together and to achieve a goal. Further, a good manager will motivate people to perform tasks that are in the best interest of the business.