The Webster dictionary describes a manager as ‘someone who handles or directs with a degree of skill’. But this definition is not rigid as are the responsibilities. Critical responsibilities of a professional manager are:
Responsibility towards Customers: A firm's responsibility towards its customer is in terms of ensuring that the desired quality of product at a reasonable price is made easily available to the customers. It is the responsibility of the manager to provide the right match between quality and price.
Responsibility towards Shareholders: The main responsibility of the manager is to ensure the security of the shareholders' capital. The manager must ensure that the firm does not become bankrupt. In other words, the manager must, at least, ensure the survival of the firm. The manager has to ensure that the shareholders are able to earn profit on their capital.
Responsibility towards Employees: Employees are the most important resource. The manager has to ensure that employees are getting a fair deal in terms of wages and salaries. The responsibility of a manager is to ensure that all dealings with the employees are fair. Whether it is determining the profit linked bonus that is being calculated or the provident fund of a retired employee, which has to be paid, you must ensure that the employees are not cheated, harassed or embarrassed.
Responsibility towards Suppliers: Suppliers provide the raw materials, components and parts necessary for the production of products. The manager's responsibility towards suppliers of funds, i.e., banks and other financial institutions, is that not only he has to make the interest payments, but make the repayment on time as per the agreed repayment schedules.
Responsibility towards Distributors and Retailers: A manager is responsible for ensuring regular supplies to the distributors. The products that are supplied to the distributor must be checked for quality to ensure that second grade or inferior quality goods are not shipped.
Responsibility towards Industry and Competition: A manager is responsible to register the firm as a member of industry association and comply with all its rules and regulations.
Responsibility towards Union: A manager should acknowledge employees' union as a friend rather than as a foe of the firm. Most problems with unions arise because of the assumption of the managers that unions have no constructive contribution. A responsible manager must understand and appreciate the fact that the management and union have a great degree of mutual dependence and the union cannot further its interests at the cost of the firm's interests and vice versa.
Responsibility towards Government: A manager should ensure that the constitution and operations of the firm are within the legal framework as specified by the government.
Responsibility towards Society: The manager has responsibility towards his surroundings and the people living in the vicinity of his factory and office. Firms behave irresponsibly when they pollute the environment by releasing harmful gasses, discharging toxic effluents into nearby rivers, lakes or seas, and dumping their waste matter in surrounding lands. A manager should make sure that the operations of the firm do not obstruct, disturb, disrupt or destroy physical structures (historical buildings, monuments), the flora and fauna, and animal and human life.