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Financial Management includes those business activities that are concerned with acquisition and conservation of capital funds in meeting the financial needs and overall objectives of a business enterprise. Financial Management involves acquiring funds to buy Fixed assets (tangible and intangible) and Raw materials and maintain working capital.
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The Delegation of Authority is a process through which manager assigns responsibility to the subordinate with a certain level of authority, i.e. power to take decisions, in order to accomplish certain assignments on the manager's behalf.
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Gaurav Seth 7 years, 1 month ago
Fixed Capital
The amount of capital investment in fixed assets is called fixed capital, e.g. plant and machinery, land and building, etc.
Working Capital
It is that part of total capital which is required for holding current assets. It may also be defined as excess of current assets over current liabilities.
Net Working Capital = Current Assets – Current Liabilities
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Definition: According to French Wendell, “Human resource management is the recruitment, selection, development,
utilisation, compensation and motivation of human resources of the organisation”.
Evolution of HRM: The kind of role today HRM is playing was not the same since inception. Various phases of its
development are as follows:
(i) Labour Welfare Stage: Earlier businesses used to be on small scales. That was the era of establishment of Trade
Unions. By its effect the need for a person is felt who can act as a mediator between the employer and the employees.
For this Labour Welfare Officer was appointed. His role was limited to provide least welfare facilities to the employees.
(ii) Personnel Management Stage: With the expansion of business, factory system came into existence. Many people start
getting employment under one roof. As a result, the need for a person is felt, whose job is to make employees available
for a company. With this approach, earlier Personnel Officers and later on Personnel Managers were appointed. Their role
was limited to recruit, select and place the employees.
(iii) HRM Stage: The business further expanded and simultaneously the technology was developing at a fast pace. In this
situation, the need was felt for the training and development of employees. Human resource was now considered to be
an important part of organisation and was felt that it can be developed. With this cult, Personnel Manager was replaced
by Human Resource Manager. His job is to effectively manage the people so that they remain to be a part of the
organisation for all.
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Divya Gupta 7 years, 1 month ago
4Thank You