Efficiently Assets Management is required to increase the shareholder 's value M>hile Assets utilization and liquidity has direct relationship. In this article an attempt has been made to study the impact of liquidity management of Mahindra and Mahindra Ltd. A firm should ensure that it does not suffer from lack of liquidity, and also that it is not too highly liquid. The failure of the company to meet its obligations, due to lack of sufficient liquidity, will create a bad image, loss of creditors, investors confidence, or even it results in closure of the company. Too much of liquidity, is also not good for the company because idle cash earns nothing. The company sfunds will be unnecessarily tried up in current assets. It is very important for any company to maintain the liquidity position of the business. This research paper also offers some meaningful .suggestions to improve the efficiency of the liquidity management of the company.