Management – A universal Process ?

It was previously noted that a suitable environment is desirable in order to apply the principles of management effectively. Environment differs, and it has to be considered whether management problems vary with the environment and whether management skills can be effectively transferred.

A point worth further though is that privately owned can capitalistic enterprises, which have reasonable freedom from government control and influence, managers are free to make the basic decisions necessary for profitable operations and where the risk of wrong decisions is accepted by owners and management.

The profit motive and free competition make up the system now largely in operation. It can be realized that, where government influence increases, managers are less free to make decisions and many principles may be affected.

If one agrees that management is a universal process, i.e. a fundamental process with universal characteristics and principles, if appears that management skills are transferable, and a manager can successfully apply his knowledge and skill in a wide-variety of industries. It implies that general principles are at work and that detailed specialist work in the various businesses can later be absorbed. It then appears to follow that all types or organization can benefit from such universality, even non-profit-making concerns.

From the opposite view, management skill and experience, as such, cannot be applied to the running of different institutions, as the main objective of business is profit, consistent with its security and stability. This differs from a non-business organization, whose officers do not have the responsibility for producing goods and services or maintaining wealth-producing resources.