Tuesday 11 August 2015

Business and Management Concepts




A business organization is an economic entity, its survival is contingent on either in producing goods or services. In this way, there are two terms that have to do with the accomplishments of goals and objectives are effectiveness and efficiency. It is therefore appropriate to mention the effectiveness and efficiency of the business, without which its development and growth is difficult. Efficiency indicates fewer inputs (resources) or producing more outputs as compared to a similar process that achieves the objectives, while effectiveness is of great importance indicating if it is worth doing in the first place or if it has the same effect as is expected. If a business does not achieve what is needed then the efforts are ineffectual. What in general the term effectiveness indicates is the capacity to produce effect while efficiency means using resources in a way to maximize the out put – production of goods or services. Peter Drucker defines clearly, “Efficiency is doing things right; effectiveness is doing the right things.”

Management entails both dynamism and social science. It is dynamic as it is relentlessly busy with the ever-changing business environment, at the same time, reforming and altering the internal environment as and when needed. As a social science, it deals with its people in a way to provide them high morale and positive feelings towards the organization and its objectives. A good management style is again composed of both efficiency and effectiveness. Management is a source for nurturing talents of the employees and building their organizational competencies. On the one hand it focuses on the development of personalities of the employees and it lays emphasis on the work effectiveness and total organizational system on the other.
A true management implements its practices in the most constructive manner. With its healthy environment, not only it concentrates on the utilization of organizational resources effectively and efficiently, but also provides the opportunities to the individuals who deserve promotions and higher rewards on the basis of desirable qualities by enhancing their skills. As a flower is in a budding stage, so is the personality of a man. The bud withers when there is no proper care, so undeveloped are the skills of the employee when good management is no more. Thus, the healthier the environment, the more are the chances for growth and development.

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Written by:K. A. Fareed (Fareed Siddiqui)Writer, Trainer, Author, Blogger, Software Developer
BBA, MBA-Finance, MPhil-Financial Management, (MSc-Software Engineering)
(PhD-Management)MA-English, MPhil-English
Post Graduate Diploma in Computer Applications and Programming
Certificate course in English language proficiency
Level 1 – Leadership and Management ILM – UK
Pursuing CMA-USA
Individual Member of Institute of Management Consultants of India

 


 

 

 

 

 

 


 









2 comments:

  1. your articles are like ocean the more deep we go the more knowledge we get !!

    ReplyDelete
  2. Thanks a lot Mr. Jawaad for stopping by.
    And thanks for your valuable comment on my post.

    ReplyDelete