CBSE CLASS 12 BUSINESS STUDIES
CHAPTER – I
NATURE AND SIGNIFICANCE OF MANAGEMENT
REVISION NOTES
1. DEFINITION OF MANAGEMENT:
“Management is the process of working with and through others to effectively achieve the
organizational objectives by efficiently using limited resources in the changing environment.”
Kreitner
2. MEANING/CONCEPT OF MANAGEMENT:
Management is the process of getting things done with the aim of achieving goals effectively and
efficiently.
a. Process: refers to the primary function like planning, organising, staffing, directing and
controlling performed by the management to get things done.
b. Effectiveness: means completing the right task to achieve the deputed goal within the time
frame.
c. Efficiency: means completion of task using minimum resources
3. EFFECTIVENESS VS EFFICIENCY
• Effectiveness is about doing the right task, completing the assigned job on time, no matter
whatever the cost.
• Efficiency is about doing the job in cost effective manner i.e. getting maximum output
with minimum input
Basis Effectiveness Efficiency
, It refers to the It refers to the completion of
Meaning completion of work work correctively with
on time. minimum cost and maximum
profit
It simply means doing things
In simple It simply means
correctly in a faster and cost
words doing right things
efficient manner.
Performing task with least
To achieve end
Objective wastage of time and
results on time
effort(cost)
Main
Is on time Is on cost
Focus
4. CHARACTERISTICS OF MANAGEMENT:
CHAPTER – I
NATURE AND SIGNIFICANCE OF MANAGEMENT
REVISION NOTES
1. DEFINITION OF MANAGEMENT:
“Management is the process of working with and through others to effectively achieve the
organizational objectives by efficiently using limited resources in the changing environment.”
Kreitner
2. MEANING/CONCEPT OF MANAGEMENT:
Management is the process of getting things done with the aim of achieving goals effectively and
efficiently.
a. Process: refers to the primary function like planning, organising, staffing, directing and
controlling performed by the management to get things done.
b. Effectiveness: means completing the right task to achieve the deputed goal within the time
frame.
c. Efficiency: means completion of task using minimum resources
3. EFFECTIVENESS VS EFFICIENCY
• Effectiveness is about doing the right task, completing the assigned job on time, no matter
whatever the cost.
• Efficiency is about doing the job in cost effective manner i.e. getting maximum output
with minimum input
Basis Effectiveness Efficiency
, It refers to the It refers to the completion of
Meaning completion of work work correctively with
on time. minimum cost and maximum
profit
It simply means doing things
In simple It simply means
correctly in a faster and cost
words doing right things
efficient manner.
Performing task with least
To achieve end
Objective wastage of time and
results on time
effort(cost)
Main
Is on time Is on cost
Focus
4. CHARACTERISTICS OF MANAGEMENT:
