Importance of Management in Agribusiness

Business and Management is an interrelated term. The importance of Management in Agribusiness is a vital aspect.

Management:

Whenever one wants to get things done, managing is important. Without management, which is supervised in turn by managers, no company can carry on its operation.

It is universal to handle and management is everywhere. To ensure the coordination of individual activities within an organization, management is important. It deals with setting, looking for, and achieving an organization’s goals. Each and every one of us is a manager and in every facet of human endeavor is found the practice of management-educational institutions, corporations, government or non-governmental organizations, associations, and even mosques and families.

Management is having things done by others. Management
Management is planning, organization, staffing, guiding, and regulating operations.
Management is the method of decision-making between different alternatives.

Various authors /authorities have specified management in various ways. Below, some of them are quoted:

According to Heinz Weihrich & Harold Koontz, “Management is the process of creating and sustaining an atmosphere in which individuals successfully achieve chosen goals by working together in groups.”

“To manage is to forecast and prepare, to coordinate, to command and control,” according to Henry Fayol.

According to Tarry & Franklin, “Management is a distinct mechanism consisting of planning, coordinating, operating and managing operations carried out through the use of human beings and other tools to evaluate and achieve specified goals.”

Finally, we can conclude that management is a collection of activities (planning, decision-making, coordinating, hiring, leading, and controlling) aimed at the resources of an organization (human, financial, physical, and information) in order to achieve organizational objectives in an effective and efficient way.

What is management’s main purpose?

Increasing productivity is the main objective of management; this means performance and effectiveness.

Productivity:

With due regard to quality, it can be defined as the output-input ratio within a time span.

Effectiveness:

The achievement of goals is effective. (Making the correct choices and implementing them successfully)

Efficiency:

For the least amount of energy, efficiency is the achievement of the end. (Wisely and in a cost-effective manner utilizing resources).

Nature and Management Scope:

“Management” is very detailed as a definition. Without proper management, no organized effort can be effective. As a consequence, in any type of organization, some sort of management is unavoidable. In short, it is possible to state the essence of management as follows:

Management as a system consists of planning, organization, staffing, management, and control.
Organizational production factors such as manpower, resources, land, facilities, etc. are used efficiently and effectively by management to achieve organizational objectives.
Management refers to any type of organization.
Management describes a particular group of individuals whose role is to direct other individuals’ efforts and activities towards shared goals.
It must pay attention to the fulfillment of the stakeholders’ goals.
Management is concerned with performance, thereby indicating efficiency and effectiveness.

With the incorporation of new insights from various fields of study, management as a term has grown in depth. Economics, sociology, psychology, and so on, for example. The management research has developed into more than just the use of means to accomplish ends; today it includes moral and ethical concerns regarding the choice of the right ends to be sought by the manager.

From the management point of view, Harbison and Myers proposed a classic threefold management definition to highlight a broader reach. Management was observed by them as—

A resource of the economy
A regime of authority
A Structure of Class and Status

An economic resource:

Management is one of the factors of development, along with property, labor, and capital, from an economist’s point of view. If a nation’s industrialization grows, the need for management becomes greater. A company’s administrative assets decide its competitiveness and profitability.

A System of Authority:

Management is a system of authority from an administrator’s point of view. Historically, leadership first developed an authoritarian ideology. It became paternalistic later on. Modern leadership is nothing but a fusion of four approaches to influence.

Totalitarian
Paternalistic
Consistent strategies and processes.
Democratic and participatory approaches.

A Class and Status System:

Management is a class and status system from a sociologist’s point of view. In modern society, the rise in the complexity of relationships demands that managers become an elite of the brain and education. Instead of family or political ties, entry into this executive class is increasingly dependent on excellence in education and expertise. Some scholars regard this growth as a “managerial revolution”.

Importance of Studying Management in Agribusiness:

Management guarantees efficacy
The precondition for the development of a country is sound management.
Management makes more effective human efforts.
Management ensures that all tools are used correctly.
Without management, technology will bear no fruit.
Management is action-focused.