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 ‘discipline’.

Numerous Management Gurus have emerged. They have been defining,

redefining 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 Management 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

stemming from industrial engineering. This body of knowledge formed the basis

of the first MBA programs, and has become “central 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 proper

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.

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 management and operations management”.

However, “production management” is used for a system that produces tangible

goods. Operations management is used for a system that transforms various

inputs into tangible services, for example, banks, airlines, utilities, pollution

control agencies, super bazaars, educational institutions, libraries, consultancy

firms and police departments, and, of course, manufacturing 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 Management as simply the process of decision-making

and control over actions of human beings for the attainment of pre-determined

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 possible service. The

scope as well as nature of Management, thus, remains undefined but its goals are

hotly pursued.