The compilation of these Nature and Significance of Management Notes makes students exam preparation simpler and organised.
Management as Profession
Management, as we all know, is a sought-after profession. Managers are usually credited with the successful running of a firm. Let us see the features of management that make it a profession.
How to Define a Profession?
There are various features that management and profession have in common. In other words, since management displays features that come under the umbrella of a profession, it is said to be a profession. Let us dig deeper into the characteristics common to all professions:
Well-defined Body of Knowledge
A profession has a certain basic set of knowledge that acts as instruction and can be acquired by practice.
Restricted Entry
One cannot simply just enter into a profession. Instead, there are some eligibility criteria like an examination which the person needs to pass in order to enter into the professional domain. For example, in India, a person becomes a CA only after they pass the examinations conducted by the ICAI.
Professional Association
Every profession is further on the lookout for their respective associations. In simple words, each profession is affiliated to a body, council, or association that carries out functions like regulating entries, maintaining the code of conduct, grants certificates, and so on. For example, the Bar Council of India controls the activities of all lawyers.
Ethical Code of Conduct
There are certain ethics which the torchbearer of every profession has to abide by. These guide the behavior of the members.
Service Motive
Lastly, the aim of every profession is to serve the clients. This further means that a professional is required to render committed and dedicated services to ensure the fulfillment of the client’s interests.
Management as Profession
Management runs along the lines of a profession. Although not exactly, management exhibits many features that ensure that it is a part of the professional universe. Let us observe how:
Management consists of well-defined and systematic knowledge, that is imparted to people aiming to be a manager. This knowledge developed over time and is ever-changing and increasing. Further, these concepts and principles are applied to general business situations. This knowledge is taught at various institutes, colleges and can also be acquired through books and journals. For example, the IIM is an institute aimed at teaching this management knowledge. Lastly, admission to these institutes is through an examination.
As discussed, a profession has restricted entry. But management does not meet this condition in a fulfilling manner. For example, medicine requires a practicing doctor. Interestingly there are no such conditions in the managerial domain. Any person can be called a manager in an organisation regardless of their educational qualifications. Additionally, there is no particular degree, devoid of which, a person won’t qualify as a manager. Then again possession of educational knowledge from reputed management colleges is an important aspect and desired quality.
There is no single association that controls and defines the code of conduct for all managers. Having said that, there are a number of organisations like the AIMA( All India Management Association) that regulate the activities of their manager members. However, there is no compulsion to be a member of any of these organisations to be called a manager.
The management section of an organisation has well-defined motives. These vary from organisations to organisations like profit maximisation, service, quality, etc. However, these motives are dynamic. Consequently, the profit maximisation motive of management is fast changing in favour of service.
Example:
Question:
Professional association grants certificate of practice of professions. True or False?
Answer:
The given statement is True. And even in Management, the knowledge is taught in various colleges and institutes, which do hand out degrees/certificates after successfully finishing the course.