State the importance of principles of management.
State any three points of important principles of management.
Introduction: -Management principles are applicable in every business organization and in every situation. These principles are tested and practiced for years in all parts of the world. Therefore, it is important to study its importance or significance. It can be studied with the help of following points:
- Management principles help to improve understanding: -The principles of management help the manager to understand the organization. The study of the principles of management helps to improve the understanding of the situations and problems. It further helps the manager to find out the solutions to the problems and handle situations.
- Help in increasing the efficiency: -By using these principles the organization can increase the efficiency of the employees. Principles can guide the mangers about handling the human resource, reducing the wastage, co-ordinate the activities of different departments, etc. all this helps to improve the productivity in the organization,
- Help to develop the objective approach: -The principles of management help the manager to develop an objective approach. Thus the manager can identify the problem in correct manner and he can provide solutions in an objective manner. This approach builds confidence in the minds of the managers.
- Help to co-ordinate and control: -Management principles give the guidelines for better co-ordination and control. While practicing management the managers can make use of thee principles to co-ordinate the activities of different departments. Manager can exercise better control over the organization. Thus the given target can be achieved easily.
- Understanding social responsibility: -In Modern world more importance is given to understand the social responsibility of business organizations. It is because business organizations are the part of the society. Business organizations should not only emphasize on making profit but they should discharge their responsibility towards the society also. E.g. payment of good remuneration/wages is one of the principles of management which is the responsibility towards employees.
- Research and Development: -Principles of management are dynamic. Their natures go on changing along with the changes in the business world. Over years they have developed to suit the current needs. Therefore these principles give encouragement to research and development in the organization.