Five M's of management - 5 M's of business - What are five M's - Edupedia

 

Management is responsible for the smooth working of the organization. They are authorized to use different resources of the organization for controlling its uses and allocating these resources on the right place to get the objectives of the organization. The resources are Man, Money, Material, Machines and methods. The working of the management is to direct all these resources towards the results achievement in effective manners.

Definition of Management:

“Management refers to managing and controlling the different processes and procedure of the organization”. They handle and controls the different resources especially the human resource of the organization and direct toward achieving the desired objectives of the organization. Management coordinates between the high level directors and lower level workers, guides and aware the employees with company policies and makes settlement of all the resources of the organization. The main focus of the management is about the organization’s 5’M features. The 5 M’s of the organization are;

Ø  Man Power

Ø  Money

Ø  Material

Ø  Machine

Ø  Methods

The 5 M’s of Management

Manpower

Man Power is the main and basic resource of the organization. Without man power no organization can work. In actual, this is the resource which controls and works on all the other resources of the organization. Raw material can never be converted into final product without the manpower who works with hand or machines for the productive purposes. Management is the art of settling the workers and getting the things done by the workers of the organization. Managers and workers are a competent and skilled worker who run and works on different resources to done the things. Managerial as well as non managerial staff of the organizations is the Man power of the organization. Management works for the settlement and retention of the employees, making the remuneration, bonuses and rewards on the base of performance and leading the man power towards the right directions.

Money

Money is also a crucial resource required for doing the businesses of the organization. For hiring a competent man power and retain on working, the organization needs funds. For buying and maintenance of machinery and raw material huge amount of funds are required. For running the production departments and other procedure money is crucial thing. So simply, sufficient capital is required at every level to do the business. Lack of the sufficient capital will lower the business activities.

Management is responsible for raising the funds for the businesses as well best allocation of the financial capital of the organization. If the management allocates the funds for hiring the competent human resource, for buying the best innovations and machinery and best raw material available in the market, it will be definitely the competitive edge for the organization. The production of the organization will be quality standard on the base of actions taken by the organization at production level.

It is seen regularly that, several people quit their jobs because of not paid well. Many of the companies do not get orders just because they have not machines for working on the project. If the raw material is of low quality the final production will also of low quality, which will hit negatively to sale. So, it is crucial for the management to allocate the Capital on their best use for getting the organization to a better position.

Material:

Material means the raw utilized things which are used for making the final production. Some time the product of the other organization may be the raw material for this organization. In simple, anything which is used for the production purposes is called raw material. So, the raw material is building block of your production. The quality of the raw material will directly influence the quality of the production.

Management is responsible for checking the quality of the raw material which is being purchased as well they have to get it most economically for getting more profit. Secondly, management is also responsible the working procedures to make final goods. Because, if there is no quality check on the production department best raw material can also be wasted. So, the management works from purchasing the raw material to convert it in qualitative final product.

Machines:

Machines are used for production purposes and converting the raw materials into final products. Some machines like computers are used in the offices for maintaining the records of the organizations. This is the era of machines and innovations are being made day by day on the machines as well new machines are being invented day to day.

The management should have innovative ideas for getting and working on latest machines available in the market. The availability of latest machines is necessity of the current era because it will boost in the quality and quantity of the production. So, by saving the times, saving the efforts of man power and boosting the quality and quantity of the production, the organization can get the competitive advantages.

Method

This is a specific function linked with the management. Methods are the techniques which are being used in the functional and production departments of the organization. It is the intellectual base resource of the organization. Different individuals have different methods and techniques to tackle and handle the problems and for completing the projects. The efficiency of the processes and workings is depends upon the techniques being used for the purpose. Time consumption by the management can be less or more on the base of the method of working.

Management should be capable of having the different routes and knowledge about the best root for doing the business in effective manners.  The most efficient method is that which is economical, time saving and meeting the standards of quality. It is all up upon the managers for choosing the best methods.

5 M’s of the management are interlinked with each other. Efficiency of the management in one thing hits positively to the efficiency in all the other things. So it is all on the management for doing the best on five M’s of management for boosting to the business and its activities. More the efficient the management will lead to more the efficiency of the organizational functions, procedures and processes at every level, which will lead the organization to gain good market value.