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HomeNotesClass 12 BST: Nature and Significance of Management
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Business Studies
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Class 12 BST: Nature and Significance of Management

12/27/2025
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Class 12 Business Studies - Management

Management is the process of getting things done with the aim of achieving goals effectively and efficiently.

1. Effectiveness vs Efficiency

  • Effectiveness: Doing the right task and achieving goals on time.
  • Efficiency: Doing the task correctly at the minimum cost (Optimum utilization of resources).

2. Characteristics of Management

  • Goal-oriented process.
  • All-pervasive: Required in all types of organizations (Social, Economic, Political).
  • Multidimensional: Management of work, people, and operations.
  • Continuous process.
  • Group activity.
  • Dynamic function: Has to adapt to changes in the environment.
  • Intangible force.

3. Objectives of Management

  1. Organizational Objectives: Survival, Profit, and Growth.
  2. Social Objectives: Creating employment, eco-friendly production, etc.
  3. Personal Objectives: Fair wages, good working conditions, etc.

4. Importance of Management

  • Helps in achieving group goals.
  • Increases efficiency.
  • Creates a dynamic organization.
  • Helps in achieving personal objectives.
  • Helps in the development of society.

5. Levels of Management

  • Top Level: Policy making (CEOs, Board of Directors).
  • Middle Level: Execution of plans (Departmental Managers).
  • Operational/Lower Level: Direct supervision (Foremen, Supervisors).

Tip: Distinguish between 'Effectiveness' and 'Efficiency' using a comparison table in your exam for better marks! 📈📋

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