Wednesday 2 December 2020

Types of principles of management (Henri Fayol's and Fendwick Taylor)

 

                 

 

 TYPES OF PRINCIPLES OF MANAGEMENT
 

 

 There are two types of principles of management:

 



  


                                                                                                                 

 

 

 

 

A.  GENERAL principles of management:


General principles of management include basic and general guidelines which help in managing organization more efficiently.

 

Henri Fayol’s was the developer of General principles of management.

·        He is a French theorist.

·        Developed 4 functions of management:

 

Planning

Organizing

Directing

Controlling

·         Also, He gave 14 principles of management

·        And because of this he is known as FATHER OF GENERAL PRINCIPLES OF MANAGEMENT.

 

 



1.   Division of work

 

·       As, organization includes various complex activities or work.

·       This principles of management says to:

 

                                                                                i.            To divide whole work of organization in fragments called jobs.

                                                                             ii.            Where division of work or assigning of jobs would be done on the basis of skills and qualifications.

 

Aim: This aims to achieve specialization in all the jobs or work assigned.

v SPECIALIZATION refers to a process of performing things in a special or unique way so that no one can do it.

 

2.   Authority and Responsibility:


Here,

Authority means Power to give orders to subordinate.

Responsibility means Obligation to perform a work by a subordinate himself.

 

·       This general principle of management refers to maintaining a proper balance between Authority and responsibility.

·       IN ABSENCE

 

There is negative effect on organization:

 

              i. Lack of coordination between superior and subordinate.

            ii. Lacks understanding of organizational goal.

 

3.   Discipline:


Discipline refers to a practice of obeying rules and regulations for smooth functioning of organization.

 

·       IN ABSENCE

 

                                                          i.       Leads to chaos.

                                                          ii.     Conflict among members.

                                                         iii.    Avoids optimum Utilization of resources. 

4.    Unity of command:


This general principle of management refers to:

       i.            Each subordinate should receive orders from only one superior.

    ii.            Should be accountable to only one superior.

 

AIM:

 

·       To avoid dual subordination between superior and subordinate 

·       Quick decision making.

·       For better performance of subordinate.

·       Avoidance of chaos.

 


5.   Unity of direction:   


This principle mainly focuses on “ONE HEAD AND ONE PLAN”.

Every organization includes complex and group activity and in that regard:

·       Every department or for every group performing any kind of activity, there should be one head to provide directions towards achieving the prime organization goal.

·       AIM:

                                                                   i.            Provides coordination.

                                                                ii.            Efficiently and effectively achievement of goal.

                                                             iii.            Maximum utilization of funds.

 

 

 

 

6.   Centralization and Decentralization:


Centralization means distributing authority or power to lower level.

Decentralization means keeping power of authority in one hand and not sharing it with others at lower level.

 

BECAUSE OF:

·       Too much centralization leads to,

Increase in work load

Delay in decision making

Decreases motivation and willingness to work

 

·       Too much decentralization leads to Loss of managing power and is suitable only for skilled personnel.

·        Excess decentralization may lead to misuse of authority.

 

 

 

7.   Scalar Chain:


This principle demands that within the organization there should be a proper and an order for authority and communication which should be flow from top to bottom.

·       It helps in applying Unity of command.

·       IN CASE OF EMERGENCY,

To avoid delay in decision making employee of one department can directly report or communicate with employee of other department having same rank in the organization, after informing their superior.

It is known as Gang plank.

 (Conditions:

                                                i.            Employee having same rank.

                                                ii.            Employee should belong to same level.)

 

·       AIM:

                                              i.      To ensure unity of command.

                                            ii.      To ensure authority and responsibility.

                                          iii.      To maintain better relationship between superior and subordinate.

 

 

 

 

8.   Subordination of individual interest to general interest:



·       SUBORDINATION means placing lower position so, this principle of management states that individual interest must be placed lower for general or organizational interest.

·       Management must direct and coordinate with subordinate so that that can transmute their personal motive for achievement of organizational goal.

·       It is the duty of manager to apply this principle of management if individuals are unable to do the same.

·       AIM:

                                              i.      Increases the willingness and changes interest towards achievement of goal.

                                            ii.      To improve standard of living by benefiting organization.

 

 

9.   Order:


It states that in an organization, for everything there should be proper and suitable place.

AIM:

                i.            Increases productivity and efficiency.

               ii.            Saves time.

              iii.            No Obstruction.

 

10.    Remuneration of Employees:

Remuneration means giving salary or wages.

This principle states that remuneration:

                         i.     Amount must be fair and as per skills of Employees.

                        ii.    Within the capacity of organization.

AIM:

                         i.   Future prosperity of organization.

                        ii.            Motivates Employees.

 

 

11.     Stability of Personnel:



Stability of personnel means giving a sufficient period of time to employees for show their skills in the specified job.

AIM:

           i.  Reduces Employees turnover (resigning of employees from organization.

         ii.    Saves time and money of recruitment.

        iii.  Leads to specialization.

 

 12. Initiative:



According to this employs must be given equal chances and opportunities that take initiative in making and execution of plans.

AIM:

              i.   Increases self motivation which rises willingness to work.

             ii. Good coordination.                                                 

             iii.  Efficiently achievement of goal.

 

                                             

13.  Equity:


This principle states that management must avoid any type of discrimination and partiality based on sex, caste, rich or poor, religion, language etc.

AIM:

          i.  Better relations between management and employees.

         ii.   Increases coordination.

        iii.   Increases devotion, willingness and loyalty towards organization.                                                                                                      

                                                          

 

 

 

14.   Espirit de corps:

This refers to the duty of management to generating spirit of unity and maintaining and harmony among members of organization.

 

AIM:

     i.    It increases coordination.

      ii.   Optimum utilization of resources.

     iii.   Efficiently and effectively accomplishing prime goal.                                                                                                                                                                  





 

 




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