Management

Management refers to the process of planning, organizing, leading, and controlling resources within an organization to achieve specific goals and objectives efficiently and effectively.
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Updated: Jun 24, 2024

3 key takeaways

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  • Functions of management: Includes planning, organizing, leading, and controlling.
  • Role of managers: Responsible for coordinating and overseeing activities to achieve organizational goals.
  • Management principles: Guiding principles and practices for effective leadership and decision-making.

What is management?

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Management involves coordinating and overseeing the activities of individuals and resources within an organization to achieve desired objectives and goals.

Importance of management

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  • Achieving goals: Provides direction and guidance to ensure organizational objectives are met.
  • Optimizing resources: Efficiently allocates resources such as human capital, financial assets, and technology.
  • Promoting growth: Facilitates innovation, adaptation, and growth within the organization.

How management works

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  • Planning: Sets objectives, develops strategies, and establishes plans to achieve organizational goals.
  • Organizing: Allocates resources, assigns tasks, and establishes workflows to facilitate goal attainment.
  • Leading: Motivates, inspires, and guides individuals and teams to perform effectively and achieve objectives.
  • Controlling: Monitors performance, evaluates outcomes, and takes corrective actions as needed to ensure goals are achieved.

Examples of management

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  • Corporate management: Oversees overall operations and strategic direction of a company.
  • Project management: Manages specific projects, from planning to execution and completion.
  • Team management: Leads and coordinates team activities to achieve project or departmental goals.

Real world application

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  • Business organizations: Management applies in various sectors such as manufacturing, services, finance, and technology to ensure efficient operations and profitability.
  • Public administration: Manages public resources and services to meet community needs and promote public welfare.
  • Nonprofit organizations: Oversees activities and programs to achieve mission objectives and serve stakeholders effectively.

Management is essential for organizations of all sizes and types to effectively utilize resources, achieve goals, adapt to change, and sustain long-term success in dynamic and competitive environments.



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Arti
AI Financial Assistant
Arti is a specialized AI Financial Assistant at Invezz, created to support the editorial team. He leverages both AI and the Invezz.com knowledge base, understands over 100,000... read more.