Management functions, principles &

tools
PRINCIPLES OF MANAGEMENT

A principles may be defined as fundamentals statement of basic truth

that provides a guide to thought and action  Principles of management
originate and grow as a result of past experience and accomplishments

NEED OF PRINCIPLES OF MANAGEMENT

 
To improve efficiency

To crystalline the nature of management

To improve research

 
To attain social goals
HENRI FAYOL (1841 -1925)

A French mining engineer developed 14 principles of

management based on his management experience.
He pioneer in the field of management education
He has been rightly called as father of
management process school.
He was first person who laid emphasis on the process
of management
The Principles
1. Division of work 

 There is an efficient result in the operational level when

tasks
are distributed to qualified and competent workers or
when people do specialize
2. Authority 
  With formal authority managers have the right to
command and give orders to their subordinates
3. Discipline 
 Members in any organization have to respect the rules and
agreements governing it Respect and obedience to rules is
embodied in the conduct of good life and discipline
Principles of management
4. Unity of Command 
Employees must receive instruction only from one
person Reporting to more than one manager results to
conflicts in instruction and confusion of authority.
5. Unity of Direction 
Operations within any organization having the same
objective must be directed by only one manager using
one plan In a department for example there should not
be two or more supervisors each having different
policy to follow
Principles of management
6 . Subordination of the Individual Interest to 
General interest 
Individual interest must be subordinate to general
interest when there is conflict between the two The
agreement between the employers and the employees
should be fair and there should be constant vigilance
and supervision.
7. Remuneration 
Compensation for work done should be fair to both
employees and employers
Principles of management
8. Centralization & Decentralization
We have this approach by decreasing the role of
subordinates in decision making Managers should
retain their final responsibility while at the same time
give their subordinates enough authority to do their
jobs properly.
Principles of management
 9. Scalar chain 
The line of authority in any organization turns in the
order of rank from top management to the lowest level
of the enterprise.
10. Order 
Either material or human resources should be in the
right place at the right time. People should be in the
jobs or positions they are suited to.

 
Principles of management
11. Equity : Equity is combination of justice and
kindness Equity in treatment and behaviour is liked by
everyone and it brings loyalty in the organization.
This brings cordial relation between the management
and labour
Principles of management
12. Stability of Staff 
Employees work better if job security and career
progress are assured to them . A high employee turnover
rate will effect the organization.
13. Initiative 
Managers should encourage their employees for taking
initiative with in limits of authority and discipline
Initiative increases the zeal and energy on the part of
human beings Fayols describes initiative as one of the
foremost activity. Satisfactions for an intelligent man
to experience.
Principles of management
14. Esprit de Corps: Teamwork is fundamentally
important to an organization Work teams and
extensive face to face verbal communication
encourages team work.