The importance of management is vast and can be applied to a wide range of contexts, from businesses and organizations to personal projects and individual goals.
What is management?
Management refers to getting things done through other people. It involves solving daily problems in a business organization and making all sorts of business decisions on daily basis.
There are several main functions of management including planning various activities, organizing resources and coordinating human and capital factors or production in order to achieve corporate objectives within a specific time frame and without exceeding the budget.
Management in business organizations
Here are some key points to consider about the important of management in businesses:
- Achieving goals. Effective management sets clear objectives, plans strategies, and directs resources to achieve them. This helps organizations function smoothly and reach their full potential.
- Optimizing resources. Management ensures the efficient allocation and utilization of resources like people, finances, and equipment. This minimizes waste and maximizes productivity, leading to cost savings and better performance.
- Motivating and leading people. Managers create a positive and productive work environment, motivate employees, and delegate tasks effectively. This fosters collaboration, engagement, and high morale, leading to increased individual and team performance.
- Adapting to change. Managers navigate dynamic environments, identify and address challenges, and adapt strategies to new situations. This ensures the organization remains flexible and competitive in a constantly changing world.
- Social responsibility. Good management practices consider the impact of the organization on its stakeholders, employees, and the broader community. This fosters ethical practices and contributes to a sustainable future.
Management beyond business organizations
Here are some key points to consider about the important of management in daily human life:
- Personal projects. Management principles can be applied to personal projects like self-improvement, goal setting, and time management. This helps individuals achieve their desired outcomes efficiently and effectively.
- Life skills. Many management skills like planning, communication, and problem-solving are valuable life skills that can benefit individuals in various aspects of their lives.
Who are managers?
Managers are responsible for daily running of a business organization. They make decisions to ‘get things done’ by organizing resources and delegating tasks to other people. Managers are not supposed to do all jobs by themselves but manage their workers instead.
They do not all use the same leadership style, but different managers approach problems and decisions in very different ways. However, the key functions of management are common to all.
Managers set business objectives for the future, organize scarce resources and motivating workers, so that the firm’s short-term and long-term aims are achieved. These management tasks and functions are best explained by reference to some of the best-known management researchers and writers such as Henri Fayol, Charles Handy and Peter Drucker.
Key competencies of managers
There are several competencies that business managers should have in order to do their job effectively including:
- Communication competency: Informal communication, formal communication and negotiation.
- Planning and administration competency: Information gathering, analysis and problem solving, planning and organizing projects, time management, and budgeting and financial management.
- Teamwork competency: Designing teams properly, creating a supportive team environment and managing team dynamics appropriately.
- Strategic action competency: Understanding the industry, understanding the organization and taking strategic actions.
- Global awareness competency: Cultural knowledge and understanding and cultural openness and sensitivity.
- Self-management competency: Integrity and ethical conduct, personal drive and resilience, balancing work-life issues and self-awareness and development.
Consequences of poor management
It way easier to recognize a business organization that has poor manager and is therefore badly managed than precisely determine when good decisions were made in a successful business.
The reason is that poorly managed business is not well-organized leading to ineffectively determined objectives, wasted resources and poor staff motivation.
In addition, the company is going to lack purpose and direction, hence unlikely to achieve long-term aims as a consequence.
Overall, effective management is crucial for business success by increasing the likelihood of achieving desired outcomes, efficiency by optimizing resources and processes leading to better results with less effort, inspiring and motivating individuals to contribute their best, creating a positive and productive environment as well as handling change by navigating challenges and thriving in a dynamic world.
