The purpose of management is to ensure that managers perform their traditional functions effectively to achieve success in various business areas. In this article, we examine five purposes of management.
1. Aid in the creation of managers
Individuals who practice management are called managers. This position helps individuals perform their responsibilities effectively. It ensures that their subordinates recognise their managerial position, show respect and comply with the instructions from the manager.
In some organisations, the term manager is not used to describe individuals in managerial positions. Rather terms like team leader, head of department, and chief officer are used.
2. Provide the theories required by management
Management theories are used by managers to be effective and efficient in performing their duties. Although management can be learnt from work experience, theories in management build the best management professionals. It reduces the use of trial and error in managing people and other resources.
Some theories in management are Abraham Maslow's Hierarchy of Needs, Theory X and Theory Y, system theory, and Henri Fayol's 14 principles of management, among others.
3. Help build leaders
Another purpose of management is to build leaders. Leadership theories exist in the field of management that are available for use by business leaders to lead their teams and subordinates. They are expected to be approachable, show empathy, and be active listeners.
4. Attainment of Goals and Objectives
This is a common purpose of management. In all, attaining set goals and objectives makes a group of managers thick. Investors examine the quality of the management team before investing in the company. If managers cannot achieve their objectives and goals, why are they managers in the first instance?
5. Help build operational efficiency
Management knowledge helps build operational efficiency. Managers are expected to maximise the business resources available to them. Managers achieve operational efficiency when cost is minimised and revenue and other benefits are maximised from the available resources.