1. A principle is a fundamental truth or a basic statement of fact which serves as a guide in thinking or doing certain things Management principles are those fundamental truth which serve as guide to managers in thinking and doing their job of managing 10/12/10 CHARU NAGPAL

2.

• Division of work

• Authority and responsibility

• Discipline

• Unity of command

• Unity of direction

• Subordination of individual interest to general interest

• Remuneration

• Centralisation

• Scalar chain

• Order

• Equity

• Stability of personnel

• Initiative

• Espirit de Corps

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3. 10/12/10 CHARU NAGPAL

• This principle states that total work should be sub divided into small parts and each part of the work should be allocated who is expert in that part of the work

• Leads to specialisation

• Less wastage

• Reduces risk

4. 10/12/10 CHARU NAGPAL

• Authority creates responsibility

• Both without each other are incomplete

• Authority without responsibility results in irresponsible behaviour

• Responsibility without authority makes people ineffective

• Both must go together

5. 10/12/10 CHARU NAGPAL

• Each subordinate should receive orders from one boss only

• An individual cannot serve 2 bosses at the same time

• Otherwise it leads to confusion, misunderstandings and conflicts

6. 10/12/10 CHARU NAGPAL One head one plan The activities that have same objective should be directed by only one manager under one plan

7. 10/12/10 CHARU NAGPAL Harmony of individual interests and organisational interests

8. 10/12/10 CHARU NAGPAL Compensation for work should be fair to both employees as well as the firm

9. 10/12/10 CHARU NAGPAL There should be a fixed place for every thing and every person

10. 10/12/10 CHARU NAGPAL

• Everyone should be treated equal in the organisation, there should be no partiality

• Leads to job loyalty

• Good employee relationships

11. 10/12/10 CHARU NAGPAL

• Decreasing the role of subordinate in decision making is centralisation of authority

• Increasing their role is decentralisation of authority

• Fayol believed that managers should retain final responsibility but should at the same time give their subordinates enough authority to do their job properly

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• Subordinates should be given the freedom to develop and carry out their plans but within the limits of authority and discipline

• Leads to more confidence in employees

• Inspire the subordinates to take initiative

13. 10/12/10 CHARU NAGPAL Managers should promote team spirit or unity among the employees No divide and rule policy should be there

14. 10/12/10 CHARU NAGPAL Employee should not be removed from a position in a short period of time Stability of tenure leads to reduction in employee turnover as well as the cost of training and learning of employees

15. 10/12/10 CHARU NAGPAL

• What do you mean by principles of management?

• What do you mean by decentralisation of authority?

• What do you mean by centralisation of authority?

• What do you mean by Espirit de corps?

• Explain scalar chain principle?

• Explain order principle?

• Explain initiative principle?

• Explain the word authority?

• Explain the word responsibility?

• What do you mean by unity of command?