Interrelationship Between Management Functions

MANAGEMENT AS A PROFESSION

The term ‘profession’ may be defined as an occupation backed by specialized body of knowledge and training and to which entry is regulated by a representative body. The essential requirements of a profession are as follows:

• Specialized field of knowledge.
• Restricted entry based on education and training.
• Representative or professional association.
• Ethical Code of conduct for self-regulation.
• Social responsibility.
• Professional fee

The application of the above tests or criteria to management is examined below.

1. Specialized Knowledge. There exist a specialized body of knowledge underlying the field of management. It has well defined principles, concepts, theories and techniques which can be put into practice by the managers. Further, management is widely taught in the universities and management institutes as a discipline.
2. Restricted Entry Based on Formal Training. Entry to a profession should be based on formal education and training. But entry to management profession is not restricted as there is no prescribed qualification (as MBBS in case of medical profession) to became manager. MBA's are preferred for managerial jobs. But MBA degree is not necessary condition to enter this profession. Persons with degrees in commerce, psychology, engineering, etc, can also take up managerial jobs.
3. Representative Association. For the development and regulation of any profession, the existence of a representative body is must. For example, the Institute of Chartered Accountants of India lays down the standard of education and training for those who want to enter the accounting profession. Only the persons holding. C.A. degree and membership of the Institute of Chartered Accountants of India can work as professional chartered accountants in India. But it is not so in case of management. Some organizations, such as All India Management Association (AIMA) have been set up for the professionalization of management. But none of these has any authority to prescribe minimum qualification for taking up managerial posts or to regulate the functioning of managers. Further, it is not compulsory for the manager to be a member of any recognized Management Association.
4. Ethical code. Every profession must have a code of conduct which prescribes norms and professional ethics for its members. But there is no universally accepted code of conduct for the practicing managers. The All India Management Association has prescribed a code for managers, but it has no right to take action against any manager who does not follow his code.
5. Social Responsibilities. Managers of today recognize their social responsibilities towards customers, workers and other groups. Their actions are influenced by social norms and values. They are guided by the motive of service to others rather than making money. That is why, managers enjoy respectable status in the society as d the case with doctors, chartered accountants, etc.
6. Professional Fee. The managers who act as consultants charge professional fee for services provided to their clients as in case of doctors. However, vast majority of managers are salaried people as they are engaged as full time employees in various organisations.

Management can be considered a profession because of the following reasons:

• The field of management is supported by well-defined body of knowledge that can be taught and learnt.
• Management of modern organizations requires competent application of management principals, techniques and skills. Thus, there is a need of formal education and training in management. Many institutes of management have come up now in India and abroad, which offer courses like MBA, PGDBM to create competent managers.
• Certain associations of managers have been formed in different countries of the world. These associations have prescribed standards of education and training for their members.
• Several associations of managers [such as All India Management Association (AIMA)] have prescribed codes of conduct for their members.
• Managers are aware of their social responsibilities towards various groups of the society, including customers, labour, suppliers, government, etc. They are guided by service motive. The managers enjoy higher status in the society.

Management can’t be fully regarded as a profession because it does not fulfill all the requirements of a profession as is the case with medical or accountancy profession. Argument against professional status of management are as follows:

• Entry to the management profession is not restricted. There are no prescribed standard qualifications (e.g., MBA) and training programme to became a manager.
• Management doesn’t have an All India Representative Association like Medical Council of India or Institute of Chartered Accountants of India to prescribe professional standards and enforce them.
• There is no ethical code of conduct for the managers as is the case with doctors and chartered accountants.

Thus, professionalization of management is not complete yet. However it is moving in that direction.