Management principles and its importance
Principles of management are very important for the successful management of organisation in its real situations. These are important guidelines to the management. These principles point out the areas where management should concentrate immediate attention. They simplify the process of management, increase the overall efficiency and help in achieving the desired objective of the business. Following factors are summarized below irrespective of significance of management principles:
It increases the efficiency of the management: Principles of management provides guidelines to the manager for handling complex problems more effectively. It also facilitates managers in performing this duties smoothly. Thus the efficiency of the management is increased and the managers adopts systematic and scientific approach towards the solution of the problem.
It helps in achieving social objective: Management develops spirit of co-operation and co-ordination among workers and their employees. It also helps in the optimum utilization of social resources. It eliminates unnecessary wastage of resources. These days, principles of management are directed at maximum profit without loss of social values. Thus, the management must supply commodities at fair price, not including the adulteration and make payment of reasonable wages to their workers.
It generates sound understanding: The management principles generate sound understanding of the difficult problems of business enterprises. The management applies scientific approach for the solution of the complex problem. In this regard, managing the enterprise and incur wastage of resources.
It directs the areas of training: the principles of management identify the present and prospective areas of management. For this managers should be specially trained. Business situations are themselves difficult and they change considerably with the change in social, political and economic situations. So, the principle of management make significance in finding the areas and impart requisite training program to their executives.
It guides to research work in management: The management principles needed to make guidelines which requires necessary modifications with the changing situations. In order to make management meaningful and practical utility, researchers examine these principles justify this utility and suggest various modification, if necessary.