Understanding Management Principles

What's up everyone! Welcome back to the channel. We have successfully started our accountancy, economics. Today it's time for our business studies syllabus. And we'll be starting with our very first chapter. The difference between business studies of 11th and 12th is huge. You had read very basic things there. Here you will have very good conceptual and detailed discussions on finance and management. So it is going to be very interesting. Making notes together. and keep on learning and keep on trying to learn things little by little. Let's begin. So, first of all, let me tell you that your business studies are divided into two parts. Part 1 which is all about management part two which is about financial management so first is management so first we learn management after that we will manage finance too when we will know the meaning of management so here it is chapter number one the nature and significance of of management. What is the nature of management and what is the importance? Significance means importance. So, first of all, let's know what is management. We have talked about all the other things. First of all, let's know what is management. So, look, management is a term which we use in our homes, in our offices, in our businesses, in our professions, everywhere. And this is a term which everyone needs. With good management, you can achieve any goal and without management, you can achieve anything. When I talk about business, a big business is made when multiple people join it. If you look carefully, I look at a lot of businesses, analyze them, advise people about them. So whenever I look at things, a small business and a big business both are doing the same work. The difference is that in a big business, the number of persons is more and in a small business, a single person is trying to do everything, on which he miserably fails. Because a single person cannot do everything. You have to build a team. So management is managing. What do you have to manage? Managing the men and the things. Managing people and things. Taking ideas together and converting them into business. This is management. In self-employment, and working with others is very different. When you take 10 people together and start a big business, that is management. What is management? Management is a process. It is a complete process. It is not a thing. It is a process of getting Getting the things done. Working. Getting the things done. With the aim of achieving goals. Now, whenever you do something, you take some people with you, then there should always be a goal. There must be some goal, some purpose. Someone's purpose is to capture the market. Like Jio did in the initial phase. I will give a lot of examples. You can write them in the exam as well. Why did Jio give the internet for free? To capture the market. Some companies aim for profit maximization. Their products are expensive from the beginning. You see big brands. Their products are expensive, they are not looking at the market, they are making such things that who can afford from you? They have different opinions and goals. So, always what comes is achieving goals effectively and efficiently. We are going to discuss in detail on these two words. Management is a distinct process. Management is another definition. If you want to do this, you can write this. If you want to do this, you can write this. Anyways, no one is going to ask you the definition. It is a distinct process consisting of planning. To plan out things. Organizing. Organizing means this. You have to make a proper department for everything, you have to make a proper place for everything. You have to organize things. Planning, organizing, activating. Activating means getting things done, giving motivation, doing leadership. And controlling. Controlling means to make sure that whatever you had planned is happening or not. They say he is a good controller. He keeps control of everything. So, control means to check and go. Perform to determine the accomplished objectives. Achieve the same goals. Try the use of people. People and resources, men and things. Isn't it perfect? So, management is a whole process whose aim is to achieve the goal effectively and efficiently. Let's move to things like effectiveness and efficiency. What is effectiveness? What is efficiency? Now, look. These two words, you have to pay attention to two words, two letters. This is T. And this is C. Okay. In effectiveness and efficiency, pay special attention to T and C. T stands for time here. T means time. And C stands for cost. Karcha. You see, any business you do, because we are studying business studies, you will make any company, you will start up, so two things will be very important. Your customer will see two things. Whether your order is being fulfilled on time or not. Whether you are giving things in less money or not. Being a customer, you also think of these two things. Whenever you are watching something online, you first check the cost. How much is the cost? Secondly, you check whether the order will be complete on time or not. When I want, will that thing be delivered? So two things are very important, work on time and at least in expense. This is called effectiveness and efficiency. What is effectiveness? Effectiveness means the completion of task on time. Target should be complete on time. Efficiency means completing the task with minimum cost and no wastage. There should be no wastage. The more wastage there is, the more cost will increase. So the less wastage, the more cost will increase. Minimization of wastage will reduce the cost and cost will be reduced. Correct? So, when it comes to time, it is effectiveness. When it comes to cost, it is efficiency. A person has to be both, effective and efficient. Effective means to complete the work on time. And efficient means to be efficient. It means to complete the work in expense. Perfect. Objective. What is the purpose? It is concerned with achievement of end results. Whatever is our end goal, whatever is our target, that should be fulfilled at the right time. In this, we are benefiting from the cost. Let's analyze the cost with the benefit. That whether I am getting the same benefit or not. Let's compare the cost with the benefit. Cost benefit analysis is also mentioned in 1 mark. What will be the cost benefit analysis? It will be in efficiency. After this, consideration. What is the particular purpose of this? Producing the target on time. Fulfilling it at the right time. Fulfilling it at minimum cost. Focus. The main focus will be on the quality of the end product and it's complete. within the time, proper utilization of resources. Optimum utilization means proper utilization without any wastage. There should be no wastage. This is effectiveness and efficiency. Take a screenshot of this. Make small one-word notes. And in your homework, you should learn this difference today. Alright, let's go. Sir, what are the characteristics of management? How should management be? Characteristics means features. Features are only the definition that is broken. Whatever you have read in the definition, if you will read the next chapter, we will break out the definition and all the features will come out. So see what was the definition? Management is a process. It is a complete process. There is no particular thing, it is a complete process. In which we mainly achieve goals within time and minimum cost, minimum wastage, we are getting people to work. Thana Management, look at the first feature. Management is a goal-oriented process. Is that clear? What is your work? What is your goal? Whenever you manage anything, whether it's event management, hotel management, money management, time management, any management is always dependent on a goal. If you are managing your studies, then you have a goal in your mind. That I want to do something, I want to achieve something, I should have this, right? So management is a goal-oriented process. What does it mean? An organization has a set of basic goals, which are the basic reasons for its existence. Every organization has some goal in its mind, which is its reason. Perfect. Management integrates the efforts of different individuals in the organization towards achievement of the goals. What will a good management do? All the people in the organization, will bring everyone together and help achieve the goal. This is what management is. It is a goal-oriented process. The focus of management will always be on a goal. Second, it is all pervasive. You will get this word many times in the entire book. Pervasive means Universal. What does Universal mean? It means a small organization, a big organization, a charitable organization, a school, college, gym, club, your home, whatever it is. Everyone needs management. You need as much management at home as you need at school. It's a different thing that things are managed in different ways in different places. But, everyone wants management. Right? What does it mean? Management is a universal phenomena. The use of management is not restricted to business only. It's not only needed in business. It's applicable to profit making, not profit making, businesses, non-business organization, even a hospital, school, club. Everyone wants it. Management is multi-dimensional. What is multi-dimensional? Multi-dimensional means that you have to manage three things in management. It has three dimensions. First, work. Second, people. Third, your activities. Activities means operations. Whatever business you are doing. If I do a new business, first I have to see what work I have to do. How will I do it? First of all, work will be done. What is the work? Second is how many people will be involved in this work? 2, 4, 10, 20, 100, how many will be involved? Third is activities. When I start the work, how do I put them together? How many people will be working on how many machines? No wastage, no more money, no more time. Everything has to be applied. So, there are three dimensions in multi-dimensional. Management of work, management of people, Management of operations. First comes management of work. All organizations exist for performance of some goals or some work. So first you have to manage what your goal is, what is your purpose, what is your work. Then management of people. The task of management is to make people work towards achievement of goals. All the people in your organization, they all have the same goal to achieve this particular work, to achieve this goal. And your goal is to motivate these people towards this work. To get them to work. Because in management, you won't work yourself, you will get people to work. Right? What is the third? Management of operations Operations means when the work starts When we will merge these two For example, I saw management of work I am a bank I saw that today some loans have to be passed After that we have to open some accounts After that, there should be a lot of deposit and withdrawal. All that is work. To manage it, I need 5 people. So I did management of people. Then when the bank will open up, those 5 people will be doing that work. So they will be good. That work is done by the bank manager, not by any other way. If a customer is dissatisfied, then a solution is given to him. His grievance is solved. So this is management of operations. Organization of any nature for its survival has to produce and provide services. This is done by production process where raw material technology are transformed into outputs to produce. All this has to be managed and run. This is what management of operations is all about. I have told you about work, people, operations. You can drop this chart for now because you have not read the functions. When you will read the functions, you will understand what is actually happening. You can take a screenshot of it. We will read the functions of management later. Then we will discuss it in detail. I will show you again. Next is management is a continuous process. Sir, what does continuous process mean? Continuous process means that management never stops. Management never stops. You remember yourself. When you are young, your... There are some targets and goals. A small kid will always want to become a pilot, or a cricketer, or a doctor. But as he grows up, his aims, visions, goals, way of living, everything keeps changing. So, this is a process which keeps on going. Now, when your plans keep changing, so will your management. And your management will keep on going as your plans keep on going. Now, you are planning your studies, you are planning your boards. After this you will be planning college life, after college life you will be planning family, after family you will be planning business. You will be doing a lot of things. Management will also keep on going. Management keeps on going, it never stops. Right? Management is a continuous process. The process of management includes planning, organizing, directing, staffing, controlling. In the process of management, we have 5 functions mainly. Remember, how many functions are there? There are 5 functions First one is called planning First function is called planning Second function is called organizing Third function is called staffing Fourth function is called directing And fifth function is called controlling There are 5 functions which are required in every management. First of all, it is to plan things. To plan out the things. We will call it planning. Number 2 is organizing. What does organizing mean? Organizing means different days. Organising means making departments and bringing everyone together. After that, in staffing, we talk about staff, i.e. manpower. How many people will be required, how to select. In this, we talk about staff. In directing, we direct people on how to work, how to work with motivation. And in class controlling, we check whether things are going well or not. So, all these things, step by step, Step by step, one after another, keeps on going. So, that's why we say that management is a process in which all these things keep on going. The functions are performed simultaneously and continuously by all the managers all the time. That's why management is considered to be a continuous process. Group activity means that management is not the work of any individual. Management is not the work of a single person. It is a group activity. Management is to run people, things, everyone together. It is an individual process. It is not a process or individual person thing. There is teamwork in every way. There is group work. So what is it? Organization is a collection of diverse individuals with different needs. People have different needs. Every member has different purpose of joining the organization. But as members of the organization, they work towards fulfilling the common organizational goals. Next comes, management is a dynamic function. What is dynamic? Dynamic means it keeps on changing as per the situation. They go up and down. management would have been like 10 years ago. Today, it is not like that. Things that are managed today will not be like that after 10 years. You see, technology is consistently changing. AI is coming, metaverse is coming, so many things are coming. People's mindset was different 10 years ago. Today, it is different. Something else will happen after 10 years. So, according to that, there will be managers, young managers who will bring new strategies, new creativity, new innovations. So, management is changing with time. Earlier people used to do offline marketing, nowadays they do online marketing. Earlier sales techniques used to be different, today sales techniques are different. So everything is changing, so management also changes. Management is dynamic and has to adapt itself to the changing or dynamic environment. Management is an intangible force. What does intangible mean? It means you can't see management. You cannot see management. You can't come to your office and shake hands every day. And what's the status of management? It's good, everything is going well. No! You will only work, your goals will be achieved, so it proves that your management is good. If your goals are not being achieved, then it shows that there is a lack in your management. So in management, you have to keep in mind that management is good for you. You can only feel it. You will feel that your goals are being achieved. So I have a good percentage of management that I am doing a good job. So what is management? Management is an intangible force. It is an intangible unseen force. Its functioning is not visible but its results are felt. You will see the result whether you have done everything well or not. So these are the features or characteristics of management which you should know well. So this is the first thing you should know. so that you can identify. Alright. After this, we have a small topic which we call Objectives of Management. Why is management done? What is the purpose? What are the objectives? So, remember the objectives. O.S.P. What does O.S.P. mean? The first objective is to think about yourself. The second objective is to think about the society. The third objective is to think about your personal life. So, think about the people who are working with you, the persons who are connected to you, the employees. So, we have three objectives. Sir, let's go in order. See, there is no order. All three have to think. Number one is organizational. Think about yourself, think about social, society and thirdly think about your employees If they are not there then what will you be? So first comes organizational In organizational, when an organization thinks about itself first So, he thinks that he should survive. He should endure the competition well. Because if you do any new business, you will face competition. You will have competitors. People will try to pull your leg. When you will move forward, this world is like this. Whenever you move forward, 10 people will stand to pull your leg. That brother, catch this. Don't let it move forward. It should not go ahead of us. So, surviving there is the first objective. That you take out your expenses. You endure the competitor. You earn so much money. So that your organization becomes stable. So what is survival? You are earning enough to survive. You are not facing any problem. So survival is the first thing. Next is the profit. What is profit? In profit, you have to make sure that when you survive, you think about earning some money. You think that if you want to grow, then you need funds to grow. Where will they come from? They will come from your business. So after surviving in business, Make money, earn some profit. So first is survival, then you have to earn profits. You earned money, once you start earning money, then don't take that money home, don't draw with that money, Reinvest that money in your business. Business is something in which you will earn as much money as you invest. The more money you put into the business, the more you earn from business. This is important. This is a skill. This is art. This is how business works. You will keep investing money and as much money you invest, the business will keep growing. So, you need survival in business. You need profit. Then you need to grow. How will you grow? More number of branches. More number of employees. More number of products. You will need money for all of that. So, make profit. After making profit, think about growth. How to have more branches? How to get new technology? How to evolve? How to do something big? How to do things? So what comes first? Survival. Then you have profit. Then you have growth. Now let's go towards social objectives. What I told you about social is to think about society. Because all the resources you have come from society. Until you think about society, you will not look socially responsible. In the first month, there was a chapter called social responsibility of the business. It was a whole chapter. That we have to think about the society as well. So what do we have to think about the society? You will generate employment opportunities for the society. When you do business, generate good employment. Don't do environmental pollution. Dispose of the waste around you. Don't throw it anywhere. Be socially responsible. After that contribute to the standard of living. Give people products which improve their standard of living. That is, think about the society anyhow. Don't charge unnecessarily, keep a genuine price, give good quality product, help to increase the standards of society, help to grow your country. All these come under social objectives. Last comes personal, in which we think about our employees. Giving them rewards, giving healthy working conditions, if possible, giving them a share in profits. Part of profits means to incentivize, to give incentive, to increase the amount, to give bonus. So, we have to think about them also. Right? So, these are the things that come first. First is your organization, in which you have survival, profit, growth. Then you have your organization. Social objective, think about society and last is your personal. Right, perfect. Now, let's read what is written in this. And then we will end today's video. I will give you sufficient amount of time because we have it. Prepare well and in 3-4 months we will pack up all the syllabus. What is organization objective? Management has to achieve a variety of objectives in all the areas. Considering the interest of shareholder, employees, customers, So, first of all, survival. Survival means that you just generate sufficient revenues to cover your costs. What is profit? Make money, nothing will happen just by covering costs. Profit is the essence of any business. You have to make money. Third is growth. What does growth mean? You increase sales, sales volume is increasing, number of employees is increasing, number of products is increasing, capital investment is increasing, all these things. What are your social objectives? When we talk about society in social objectives, we talk about the social objectives. various activities which are useful and beneficial for the society. Giving quality goods at reasonable prices, generating employment opportunities, all the things that I have told you have been written down. The third comes personal. What comes in personal? In personal, giving best opportunities for development, for well-being, giving good training, giving good salaries to people, giving healthy working conditions, all these come under our personal objectives. Next is your importance of management. Keep a screenshot of this. I will explain this in the next class. Till then, you should read this and see does management help in all this? Does management help in group goals? Does management increase efficiency? All these things. Overall, go through this and think about it. All the characteristics I have told about management, does all these points justify that management is important? From here we will continue the chapter and read some more things in part 2. This chapter will end in 3 parts ladies and gentlemen. And you all have to understand and learn along with me. Alright. Today's homework is only this. N C E R T download the PDF and do NCIT reading. I know it will be a little boring, the book is framed in this way and there are some boring things written in it. But it is very essential to go through it if you want full marks. So please make sure you do the reading, watch the videos and learn the heading settings. Write down everything in the notes copy that you must have made for YouTube. Thank you so much everyone. I am gonna see you all super soon. Till then take care. Bye bye. Do like the video. And if you have any questions, then write them in the comment section. See you soon!

What's up everyone! Welcome back to the channel. We have successfully started our accountancy, economics.

Today it's time for our business studies syllabus. And we'll be starting with our very first chapter. The difference between business studies of 11th and 12th is huge.

You had read very basic things there. Here you will have very good conceptual and detailed discussions on finance and management. So it is going to be very interesting. Making notes together. and keep on learning and keep on trying to learn things little by little.

Let's begin. So, first of all, let me tell you that your business studies are divided into two parts. Part 1 which is all about management part two which is about financial management so first is management so first we learn management after that we will manage finance too when we will know the meaning of management so here it is chapter number one the nature and significance of of management. What is the nature of management and what is the importance? Significance means importance.

So, first of all, let's know what is management. We have talked about all the other things. First of all, let's know what is management. So, look, management is a term which we use in our homes, in our offices, in our businesses, in our professions, everywhere.

And this is a term which everyone needs. With good management, you can achieve any goal and without management, you can achieve anything. When I talk about business, a big business is made when multiple people join it.

If you look carefully, I look at a lot of businesses, analyze them, advise people about them. So whenever I look at things, a small business and a big business both are doing the same work. The difference is that in a big business, the number of persons is more and in a small business, a single person is trying to do everything, on which he miserably fails.

Because a single person cannot do everything. You have to build a team. So management is managing. What do you have to manage?

Managing the men and the things. Managing people and things. Taking ideas together and converting them into business.

This is management. In self-employment, and working with others is very different. When you take 10 people together and start a big business, that is management.

What is management? Management is a process. It is a complete process. It is not a thing.

It is a process of getting Getting the things done. Working. Getting the things done.

With the aim of achieving goals. Now, whenever you do something, you take some people with you, then there should always be a goal. There must be some goal, some purpose.

Someone's purpose is to capture the market. Like Jio did in the initial phase. I will give a lot of examples.

You can write them in the exam as well. Why did Jio give the internet for free? To capture the market. Some companies aim for profit maximization.

Their products are expensive from the beginning. You see big brands. Their products are expensive, they are not looking at the market, they are making such things that who can afford from you? They have different opinions and goals. So, always what comes is achieving goals effectively and efficiently.

We are going to discuss in detail on these two words. Management is a distinct process. Management is another definition.

If you want to do this, you can write this. If you want to do this, you can write this. Anyways, no one is going to ask you the definition. It is a distinct process consisting of planning. To plan out things.

Organizing. Organizing means this. You have to make a proper department for everything, you have to make a proper place for everything. You have to organize things. Planning, organizing, activating.

Activating means getting things done, giving motivation, doing leadership. And controlling. Controlling means to make sure that whatever you had planned is happening or not. They say he is a good controller. He keeps control of everything.

So, control means to check and go. Perform to determine the accomplished objectives. Achieve the same goals.

Try the use of people. People and resources, men and things. Isn't it perfect? So, management is a whole process whose aim is to achieve the goal effectively and efficiently. Let's move to things like effectiveness and efficiency.

What is effectiveness? What is efficiency? Now, look.

These two words, you have to pay attention to two words, two letters. This is T. And this is C. Okay.

In effectiveness and efficiency, pay special attention to T and C. T stands for time here. T means time.

And C stands for cost. Karcha. You see, any business you do, because we are studying business studies, you will make any company, you will start up, so two things will be very important.

Your customer will see two things. Whether your order is being fulfilled on time or not. Whether you are giving things in less money or not. Being a customer, you also think of these two things.

Whenever you are watching something online, you first check the cost. How much is the cost? Secondly, you check whether the order will be complete on time or not. When I want, will that thing be delivered?

So two things are very important, work on time and at least in expense. This is called effectiveness and efficiency. What is effectiveness? Effectiveness means the completion of task on time.

Target should be complete on time. Efficiency means completing the task with minimum cost and no wastage. There should be no wastage. The more wastage there is, the more cost will increase.

So the less wastage, the more cost will increase. Minimization of wastage will reduce the cost and cost will be reduced. Correct? So, when it comes to time, it is effectiveness.

When it comes to cost, it is efficiency. A person has to be both, effective and efficient. Effective means to complete the work on time. And efficient means to be efficient.

It means to complete the work in expense. Perfect. Objective.

What is the purpose? It is concerned with achievement of end results. Whatever is our end goal, whatever is our target, that should be fulfilled at the right time.

In this, we are benefiting from the cost. Let's analyze the cost with the benefit. That whether I am getting the same benefit or not.

Let's compare the cost with the benefit. Cost benefit analysis is also mentioned in 1 mark. What will be the cost benefit analysis?

It will be in efficiency. After this, consideration. What is the particular purpose of this? Producing the target on time. Fulfilling it at the right time.

Fulfilling it at minimum cost. Focus. The main focus will be on the quality of the end product and it's complete.

within the time, proper utilization of resources. Optimum utilization means proper utilization without any wastage. There should be no wastage.

This is effectiveness and efficiency. Take a screenshot of this. Make small one-word notes. And in your homework, you should learn this difference today.

Alright, let's go. Sir, what are the characteristics of management? How should management be? Characteristics means features. Features are only the definition that is broken.

Whatever you have read in the definition, if you will read the next chapter, we will break out the definition and all the features will come out. So see what was the definition? Management is a process.

It is a complete process. There is no particular thing, it is a complete process. In which we mainly achieve goals within time and minimum cost, minimum wastage, we are getting people to work. Thana Management, look at the first feature.

Management is a goal-oriented process. Is that clear? What is your work?

What is your goal? Whenever you manage anything, whether it's event management, hotel management, money management, time management, any management is always dependent on a goal. If you are managing your studies, then you have a goal in your mind. That I want to do something, I want to achieve something, I should have this, right? So management is a goal-oriented process.

What does it mean? An organization has a set of basic goals, which are the basic reasons for its existence. Every organization has some goal in its mind, which is its reason.

Perfect. Management integrates the efforts of different individuals in the organization towards achievement of the goals. What will a good management do?

All the people in the organization, will bring everyone together and help achieve the goal. This is what management is. It is a goal-oriented process.

The focus of management will always be on a goal. Second, it is all pervasive. You will get this word many times in the entire book.

Pervasive means Universal. What does Universal mean? It means a small organization, a big organization, a charitable organization, a school, college, gym, club, your home, whatever it is.

Everyone needs management. You need as much management at home as you need at school. It's a different thing that things are managed in different ways in different places. But, everyone wants management. Right?

What does it mean? Management is a universal phenomena. The use of management is not restricted to business only.

It's not only needed in business. It's applicable to profit making, not profit making, businesses, non-business organization, even a hospital, school, club. Everyone wants it.

Management is multi-dimensional. What is multi-dimensional? Multi-dimensional means that you have to manage three things in management.

It has three dimensions. First, work. Second, people.

Third, your activities. Activities means operations. Whatever business you are doing.

If I do a new business, first I have to see what work I have to do. How will I do it? First of all, work will be done. What is the work?

Second is how many people will be involved in this work? 2, 4, 10, 20, 100, how many will be involved? Third is activities.

When I start the work, how do I put them together? How many people will be working on how many machines? No wastage, no more money, no more time. Everything has to be applied.

So, there are three dimensions in multi-dimensional. Management of work, management of people, Management of operations. First comes management of work. All organizations exist for performance of some goals or some work.

So first you have to manage what your goal is, what is your purpose, what is your work. Then management of people. The task of management is to make people work towards achievement of goals. All the people in your organization, they all have the same goal to achieve this particular work, to achieve this goal.

And your goal is to motivate these people towards this work. To get them to work. Because in management, you won't work yourself, you will get people to work. Right?

What is the third? Management of operations Operations means when the work starts When we will merge these two For example, I saw management of work I am a bank I saw that today some loans have to be passed After that we have to open some accounts After that, there should be a lot of deposit and withdrawal. All that is work. To manage it, I need 5 people. So I did management of people.

Then when the bank will open up, those 5 people will be doing that work. So they will be good. That work is done by the bank manager, not by any other way.

If a customer is dissatisfied, then a solution is given to him. His grievance is solved. So this is management of operations.

Organization of any nature for its survival has to produce and provide services. This is done by production process where raw material technology are transformed into outputs to produce. All this has to be managed and run.

This is what management of operations is all about. I have told you about work, people, operations. You can drop this chart for now because you have not read the functions.

When you will read the functions, you will understand what is actually happening. You can take a screenshot of it. We will read the functions of management later. Then we will discuss it in detail. I will show you again.

Next is management is a continuous process. Sir, what does continuous process mean? Continuous process means that management never stops. Management never stops.

You remember yourself. When you are young, your... There are some targets and goals.

A small kid will always want to become a pilot, or a cricketer, or a doctor. But as he grows up, his aims, visions, goals, way of living, everything keeps changing. So, this is a process which keeps on going. Now, when your plans keep changing, so will your management.

And your management will keep on going as your plans keep on going. Now, you are planning your studies, you are planning your boards. After this you will be planning college life, after college life you will be planning family, after family you will be planning business.

You will be doing a lot of things. Management will also keep on going. Management keeps on going, it never stops.

Right? Management is a continuous process. The process of management includes planning, organizing, directing, staffing, controlling. In the process of management, we have 5 functions mainly. Remember, how many functions are there?

There are 5 functions First one is called planning First function is called planning Second function is called organizing Third function is called staffing Fourth function is called directing And fifth function is called controlling There are 5 functions which are required in every management. First of all, it is to plan things. To plan out the things. We will call it planning. Number 2 is organizing.

What does organizing mean? Organizing means different days. Organising means making departments and bringing everyone together. After that, in staffing, we talk about staff, i.e. manpower.

How many people will be required, how to select. In this, we talk about staff. In directing, we direct people on how to work, how to work with motivation.

And in class controlling, we check whether things are going well or not. So, all these things, step by step, Step by step, one after another, keeps on going. So, that's why we say that management is a process in which all these things keep on going.

The functions are performed simultaneously and continuously by all the managers all the time. That's why management is considered to be a continuous process. Group activity means that management is not the work of any individual.

Management is not the work of a single person. It is a group activity. Management is to run people, things, everyone together.

It is an individual process. It is not a process or individual person thing. There is teamwork in every way. There is group work.

So what is it? Organization is a collection of diverse individuals with different needs. People have different needs.

Every member has different purpose of joining the organization. But as members of the organization, they work towards fulfilling the common organizational goals. Next comes, management is a dynamic function. What is dynamic? Dynamic means it keeps on changing as per the situation.

They go up and down. management would have been like 10 years ago. Today, it is not like that.

Things that are managed today will not be like that after 10 years. You see, technology is consistently changing. AI is coming, metaverse is coming, so many things are coming. People's mindset was different 10 years ago.

Today, it is different. Something else will happen after 10 years. So, according to that, there will be managers, young managers who will bring new strategies, new creativity, new innovations.

So, management is changing with time. Earlier people used to do offline marketing, nowadays they do online marketing. Earlier sales techniques used to be different, today sales techniques are different. So everything is changing, so management also changes. Management is dynamic and has to adapt itself to the changing or dynamic environment.

Management is an intangible force. What does intangible mean? It means you can't see management.

You cannot see management. You can't come to your office and shake hands every day. And what's the status of management?

It's good, everything is going well. No! You will only work, your goals will be achieved, so it proves that your management is good.

If your goals are not being achieved, then it shows that there is a lack in your management. So in management, you have to keep in mind that management is good for you. You can only feel it. You will feel that your goals are being achieved.

So I have a good percentage of management that I am doing a good job. So what is management? Management is an intangible force.

It is an intangible unseen force. Its functioning is not visible but its results are felt. You will see the result whether you have done everything well or not.

So these are the features or characteristics of management which you should know well. So this is the first thing you should know. so that you can identify. Alright. After this, we have a small topic which we call Objectives of Management.

Why is management done? What is the purpose? What are the objectives?

So, remember the objectives. O.S.P. What does O.S.P. mean? The first objective is to think about yourself.

The second objective is to think about the society. The third objective is to think about your personal life. So, think about the people who are working with you, the persons who are connected to you, the employees. So, we have three objectives.

Sir, let's go in order. See, there is no order. All three have to think.

Number one is organizational. Think about yourself, think about social, society and thirdly think about your employees If they are not there then what will you be? So first comes organizational In organizational, when an organization thinks about itself first So, he thinks that he should survive. He should endure the competition well.

Because if you do any new business, you will face competition. You will have competitors. People will try to pull your leg.

When you will move forward, this world is like this. Whenever you move forward, 10 people will stand to pull your leg. That brother, catch this. Don't let it move forward.

It should not go ahead of us. So, surviving there is the first objective. That you take out your expenses.

You endure the competitor. You earn so much money. So that your organization becomes stable. So what is survival? You are earning enough to survive.

You are not facing any problem. So survival is the first thing. Next is the profit.

What is profit? In profit, you have to make sure that when you survive, you think about earning some money. You think that if you want to grow, then you need funds to grow. Where will they come from?

They will come from your business. So after surviving in business, Make money, earn some profit. So first is survival, then you have to earn profits.

You earned money, once you start earning money, then don't take that money home, don't draw with that money, Reinvest that money in your business. Business is something in which you will earn as much money as you invest. The more money you put into the business, the more you earn from business. This is important.

This is a skill. This is art. This is how business works.

You will keep investing money and as much money you invest, the business will keep growing. So, you need survival in business. You need profit.

Then you need to grow. How will you grow? More number of branches. More number of employees. More number of products.

You will need money for all of that. So, make profit. After making profit, think about growth. How to have more branches?

How to get new technology? How to evolve? How to do something big?

How to do things? So what comes first? Survival. Then you have profit. Then you have growth.

Now let's go towards social objectives. What I told you about social is to think about society. Because all the resources you have come from society.

Until you think about society, you will not look socially responsible. In the first month, there was a chapter called social responsibility of the business. It was a whole chapter. That we have to think about the society as well. So what do we have to think about the society?

You will generate employment opportunities for the society. When you do business, generate good employment. Don't do environmental pollution. Dispose of the waste around you.

Don't throw it anywhere. Be socially responsible. After that contribute to the standard of living.

Give people products which improve their standard of living. That is, think about the society anyhow. Don't charge unnecessarily, keep a genuine price, give good quality product, help to increase the standards of society, help to grow your country.

All these come under social objectives. Last comes personal, in which we think about our employees. Giving them rewards, giving healthy working conditions, if possible, giving them a share in profits.

Part of profits means to incentivize, to give incentive, to increase the amount, to give bonus. So, we have to think about them also. Right? So, these are the things that come first.

First is your organization, in which you have survival, profit, growth. Then you have your organization. Social objective, think about society and last is your personal. Right, perfect. Now, let's read what is written in this.

And then we will end today's video. I will give you sufficient amount of time because we have it. Prepare well and in 3-4 months we will pack up all the syllabus.

What is organization objective? Management has to achieve a variety of objectives in all the areas. Considering the interest of shareholder, employees, customers, So, first of all, survival. Survival means that you just generate sufficient revenues to cover your costs.

What is profit? Make money, nothing will happen just by covering costs. Profit is the essence of any business.

You have to make money. Third is growth. What does growth mean? You increase sales, sales volume is increasing, number of employees is increasing, number of products is increasing, capital investment is increasing, all these things.

What are your social objectives? When we talk about society in social objectives, we talk about the social objectives. various activities which are useful and beneficial for the society. Giving quality goods at reasonable prices, generating employment opportunities, all the things that I have told you have been written down. The third comes personal.

What comes in personal? In personal, giving best opportunities for development, for well-being, giving good training, giving good salaries to people, giving healthy working conditions, all these come under our personal objectives. Next is your importance of management.

Keep a screenshot of this. I will explain this in the next class. Till then, you should read this and see does management help in all this?

Does management help in group goals? Does management increase efficiency? All these things.

Overall, go through this and think about it. All the characteristics I have told about management, does all these points justify that management is important? From here we will continue the chapter and read some more things in part 2. This chapter will end in 3 parts ladies and gentlemen. And you all have to understand and learn along with me. Alright.

Today's homework is only this. N C E R T download the PDF and do NCIT reading. I know it will be a little boring, the book is framed in this way and there are some boring things written in it.

But it is very essential to go through it if you want full marks. So please make sure you do the reading, watch the videos and learn the heading settings. Write down everything in the notes copy that you must have made for YouTube. Thank you so much everyone. I am gonna see you all super soon.

Till then take care. Bye bye. Do like the video. And if you have any questions, then write them in the comment section. See you soon!

Transcript for:Understanding Management Principles

Transcript for:
Understanding Management Principles