Management importance is an vital role in the growth and welfare of an organization. The following points describe the significance of Management:
- Motivates to Take Initiative: To do an activity without being influenced or motivated by someone is termed as initiative. Management always encourages the employees to take initiatives to perform activities that are new yet beneficial for the organization.
- Helps in Expansion and Growth: By exercising proper managerial skills, a manager can ensure effective and efficient use of resources. Since each activity is performed as per the predetermined norms and standards, there is a reduction in the wastage and spoilage of the resource.
- Improve Corporate Image: Effective management helps n providing superior products and services to the consumers. Offering best products and services at reasonable and economic prices creates a good image of the organization in the industry.
- Employee Motivation: Employees can be encouraged by providing both financial and non-financial incentives to increase the work efficiency. Both contribute positively towards improving the performance and efficiency of employees. These incentives give a feeling of empowerment to the employees regarding their presence in the organization. This result in increased productivity and profits.
- Reduces Wastage of Resources: There are three main type of resourced used in every organization namely physical, human and financial resources. The planning and controlling function of management should be efficient so that the resources are utilised in an efficient manner. Each management activity is conducted as per the predetermined standards and norms will reduce wastage and spoilage of resources and increase organizational productivity.
- Improves Efficiency: Cost involved in an activity and returns expected are directly proportional to the efficiency with which the activity s conducted. Higher efficiency helps in achieving increased returs at minimum costs. Managers are able to increase the organizational efficiency by using different managerial tools and techniques.
- Enhances Employee Relations: Management establishing proper coordination between the various divisions, sections and departments of the organization. Cordial relations between the top level, middle level and lower level management results in a teal spirit amongst employees.