PRINCIPLES OF MANAGEMENT
NATURE /FEATURES OF MANAGEMENT
PRINCIPLES
a.Universal application: Management
principles can be applied to all types of organisation irrespective of their
size and nature.
b.General guidelines: Management
principles give the guidelines to solve the problems and managers must consider
the size and nature of the organisation before applying management principles.
c.Formed by practice and experiments:
Management principles are developed through the past experience and research
work .They are not developed overnight and they are not the personal feelings
of any person.
d.Flexibility: They are flexible i.e.
it can be modified according to the changing environment.
e.Behavioural in nature: Management
principles are formed to guide and influence the behaviour of employees. They
insist on improving the relationship between superior and subordinates.
f.Based on cause and effect
relationship: Management principles are based on cause and effect relationship
that means these principles tell us what might be the effect if a particular
principle is applied in a situation.
SIGNIFICANCE/IMPORTANCE OF MANAGEMENT
PRINCIPLES
1.Optimum utilisation of resources:
Management principles are designed to get maximum benefits from the
human efforts and other resources.
2.Scientific decision: Management
principles enable the managers to approach various problems systematically and
scientifically.
3.Meeting the changing environment:
These principles helps the managers in implementing the changes in the right
direction and at the right level in the organisation.
4.Effective administration: They act as
guidelines and base to form various policies and the make administration more
effective by discouraging personal biases.
5.Fulfilling social responsibility:
Management principles not only act as guidelines for achieving organisational
goal but also guides the managers to perform social responsibilities.
PRINCIPLES OF MANAGEMENT DEVELPOED BY
HENRY FAYOL
1.Principle of Division of work
:According to this Principle the entire work must be divided into small unit
according to the eligibility and knowledge which will bring efficiency and
effectiveness
2.Principle of Authority and Responsibility:
According to this principle there must be proper balance between authority and
responsibility in an organization .If not then it will lead to negative result.
3.Principle of Discipline : There must be some rules and regulations
in the organization and the employee must follow those rules and regulations
.This will result in systematic working environment.
4.Principle of unity of Command : According to this an employee should
receive order from one boss because if he receiving orders from more than one
boss then he will get confused and not be able to understand that whose orders
must be executed first.
5.Unity of Direction : According to this efforts of all the
members should be directed towards one direction that is this achievement of
organisational goal.
6.Subordination of individual interest
to general interest: According to this principle the interest of the group must
supersede that of individual .This can be achieved when managers set an example
through their exemplary behavior.
7.Principle of remuneration of person : According to this principle
employees should get fair remuneration
for their performance .Apart from general remuneration they should be given
monetary and non-monetary incentives which will motivate the employees to give
their maximum efforts.
8.Principle of Centralisation and Decentralisation :According to this an
organization should follow the combination of both i.e. centralization and
decentralization
9.Principle of Scalar Chain : According to this an organization should
follow a proper line of authority and Fayol insist that this line or chain must
be followed.
10.Principle of Order : This principle
indicates that there should be a proper arrangement of men material in a fixed
place for everyone in the organization.
11.Principle of Equity: According to
this principle all the members should be given equal importance. The policy of
individualism should not be followed in an organization.
12.Stability of tenure of employees
:According to this principle management
must provide the feeling of job security among the employees because with the
feeling of insecurity of job ,the employees cannot contribute their maximum.
13.Principle of initiative :According to
this principle employees must be given an opportunity to take some initiative
in making and executing a plan . It gives immense satisfaction to employees.
14.Principle of Esprit de Crops :
TECHNIQUES OF SCIENTIFIC MANAGEMENT
DEVELOPED BY F.W.TAYLOR
1.Motion study : This technique is applied to determine the unnecessary
movements involved in doing a work. With the help of movie camera this
technique is done.
2.Time study : It is applied to determine the standard time
required to do a job, no of worker required to perform a job . And with the
help of stopwatch this technique is conducted .
3.Method study : This technique is conducted to identify the
best method of doing a particular work without effecting quality.
4.Fatigue study : It is applied to determine the frequency and
duration of rest while an employee doing a work.
5.Mental revaluation : It is conducted to change the attitude
of management and employees towards each
other.
6.Differential piece wage system : This
technique emphasizes on paying different
rate of wage for efficient and non efficient workers.
DISSIMILARITIES OF H.FAYOL AND
F.W.TAYLOR’S PRINCIPLES
POINT OF DIFFERENCE
|
TAYLOR
|
FAYOL
|
Concern
|
Taylor's technique and principles are concerned with
workers efficiency
|
Fayol’s
principles concerned with management efficiency.
|
Level
|
Taylor
started his studies from lower level
|
Fayol
started his studies from top level.
|
Emphasis
|
Taylor
emphasis on standardization of work.
|
Fayol
emphasis on functions of managers
|
Focus
|
Taylor
laid focuses on eliminating wasteful movements.
|
Fayol
laid focuses on development of principles for better management.
|
Contribution
|
Main
contribution was development of scientific technique and scientific
principles.
|
Main
contribution was development of fourteen principles of general management
|
Applicability
|
Applied
to specialized situation
|
Applied
universally.
|
SIMILARITIES OF TAYLOR AND FAYOL’S PRINCIPLES
1.Their main aim is maximising the efficiency
2.Both insist on co-operation between
employees and employers.
3.Both suggested on division of work
4.Both give more importance to
organisational interest over individual interest.
IMPORTANT QUESTIONS AND ANSWERS
Q.1.
State the two methods through which management principles have been derived.
Ans:
a) Observation method b) Experimental method
Q.2.
What is the objective of fatigue study?
Ans:
To find out the number of rest intervals and the frequency of rest intervals.
Q.3.
“The Principles of management are different from those used in pure science “.
Comment.
Ans:
The Principles of Management differ from those used in pure science as they are
not rigid like principles of pure science since, they deal with human behavior
which is Unpredictable.
Q.4.
Who Suggested the concept of functional foremanship?
Ans:
F.W.Taylor.
Q.5.
Rohit keeps machines ,materials, tools etc, ready for operations by concerned workers’.
Whose work is described by this sentence under functional foremanship?
Ans:
Gang Boss
Q.6.
What is meant by flexibility of principles of management?
Ans:
The principles of management are not rigid. They can be modified by the
manager
when the situation so demands.
Q.7.
What is the latest development in scientific management?
Ans:
Lean Manufacturing.
Q.8.
Which principle of management ensures fairness to all employees by treating
them as fairly as possible?
Ans:
Principle of equity.
Q.9.
What is mental revolution?
Ans:
Change in attitude of management & workers towards each other.
Q.10
A subordinate receives order from more than one loss’ . Which principle in
violated?
Ans:
Unity of command.
Q.11.
Name the founder of gender theory of management?
Ans:
Henry Fayol.
Q.12.
According to Taylor “ even a small production activity like loading pigs of iron
into boxcars can be scientifically planned and managed “ which principle of his
is emphasized here?
Ans:
Science not rule of thumb
Q.13.
“The true intentions of management and workers are one and the same
and
the prosperity of the one cannot exist without the prosperity of the other”
which principle of Taylor is being talked about.
Ans: Harmony not discord.
Q.14.
What type of organizational objective is satisfied if an organization
provides
salary to the workers commensurate with their job?
Ans: Personal objective
Q.15.
the production manager of a company is trying to produce good with minimum
cost. Name the concept which is being focused by management.
Ans:
Efficiency
Q.16
Hina & Hitesh are typists in a company having the same educational qualification.
Hina is getting Rs3000 per month ,Hitesh is getting Rs 4000 per month as
salary for the same work hours .Which principle of management is violated in
this case? Name the principle $ explain it.
Ans
In this case the ‘Principle of Equity’ is violated .As both are having same
qualification
working at same authority level but getting different salaries
Q.17.
Explain giving reasons under which situations technique of Taylor are not
applicable .
Ans-
Some technique of Taylor are not universally applicable under some
situations.
These are:-
(a)Functional
Foremanship- This technique is not applicable in the organizations adopting
principle of unity of command.
b)
Differential piece rate system: This technique is not possible in organization
following principle of equity.
c)
Simplification: This technique is not suitable for organizations having objective
of diversification and expansion of line of products and varieties develop a
differential piece rate plan for a shirt manufacturing company
Q.18.
Mohan a manager does not distribute the work among his subordinates either
according to the capability or proportionately which principal of management is
overlooked . what can be the consequences?
Ans
The principal overlooked is the principal of division of work
Following
can be the consequences
1.
lack of efficiency and effectiveness
2.
lack of specialization