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MANAGEMENT CONCEPTS AND

ORGANISATIONAL BEHAVIOUR

By

Dr.Priyatosh Mishra
SEMESTER I

MANAGEMENT CONCEPTS AND ORGANISATIONAL BEHAVIOUR


Course Credit: 3 Contact Hours: 40
UNIT I (8 Lectures)
Fundamentals of Management: Management practices from past to present, Different levels of\management,
Managerial skills and Managerial Functions , Case Studies Planning- Objective of planning, Planning process, Types
of planning, Types of plans, Management byObjective, Decision-making- types, process & techniques,. Case Studies
UNIT-II (8 Lectures)
Organising & Staffing- Types of organization, Organization structure and decentralization of authority, Meaning of
staffing, Recruitment, selection & placement, Training & development..Directing & Controlling- Principle of
directing, Essence of coordination, Different control techniques,Management by exception. Case Studies
UNIT III(8 Lectures)
Fundamentals of individual behavior, Personality, types of personality, Personal effectiveness, meaningof Attitudes,
Types, Components, attitude formation and attitude change. Meaning & Type of Group Behaviour, Interpersonal skills,
Transactional Analysis, Johari Window,
UNIT IV (8 Lectures)
Motivation:, Theory of Motivation: Maslow’s, Herzberg’s, McClelland, Contemporary theories of Motivation: Self
Determination Theory, Self Efficacy Theory, Vroom’s Expectancy Theory, Equity Theory, Reinforcement Theory,
Meaning of Perception, process, behavioral applications of perception. Case Studies
UNIT V: (8 Lectures)
Leadership: What is leadership, types of leaders and leadership styles, traits and qualities of effectiveleader, trait
theory, LSM – Leadership Situational Model, Team Building, Tuckman Model of Team Development. Organizational
Change: Meaning of organizational change approaches to managingorganizational change, creating a culture for
change, implementing the change, Kurt Lewin Model of change. Case Studies
UNIT - 1
Syllabus
(UNIT -1)

Fundamentals of Management: Management


practices from past to present, Different levels of\
management, Managerial skills and Managerial
Functions , Case Studies Planning- Objective of
planning, Planning process, Types of planning,
Types of plans, Management by Objective,
Decision-making- types, process & techniques,.
Case Studies
Definition of Management
(Orientation wise)
 Production/Efficiency
Management is the art of knowing what you
want to do and then seeing that it is done in
best and cheapest way. – FW Taylor

 Decision
Management is simply the process of decision
making and control over the action of human
beings for the expressed purpose of attaining
pre-determined goal. – Stanley Vance
Contd.
Definition of Management
(Orientation wise)
(Contd)

 People
• Management is the accomplishment of
results through, the efforts of other
people. – Lawrence Appley
• Management is the art of getting things
done through and with people in formally
organized groups.- Harold Koontz

Contd.
Definition of Management
(Orientation wise)
(Contd)
 Function
• Management is defined for conceptual,
theoretical, and analytical purposes as that
process by which managers create, direct,
maintain, and operate purposive organizations
through systematic, co-ordinated, co-operative
human efforts. – Mc Farland
• Management is a process involving planning,
organizing, staffing, directing, and controlling
human efforts to achieve stated objectives in an
organization.
Contd.
Concept of Management
 As a :-
• Discipline
• Group of People
• Process – Set of activities
 To Include :-
• Definition - Content & Characteristics
• Principles
• Scope & boundary
• Objectives
Disciplines of Management

• Economics
• Sociology
• Psychology
• Anthropology
• Statistics
• Commerce
• Politics
Features of Management

 Organized activity.
 Existence of objectives.
 Relationship among resources.
 Working with & through people.
Approaches to Management

 Empirical or case.
 Managerial Role.
 Contingency or Situational.
 Mathematical or Management Science.
 Decision Theory.
 Re-engineering.
 Systems.
 Socio-technical Systems.

Contd.
Approaches to Management
(Contd)

 Co-operative Social Systems.


 Group Behaviour.
 Interpersonal Behaviour.
 McKinsey's 7-S Framework.
 Total Quality Management.
 Operational.
Resources of Management

 Man
 Money
 Machine
 Methods
 Material
 Market
 Maintenance
 Modernization
Importance of Management
 Effective utilization of resources.
 Development of resources.
 To in corporate innovations.
 Integrating various interest groups.
 Stability in the society.
Nature of Management
 Multi-disciplinary.
 Dynamic Nature of Principles.
 Relative, not Absolute Principles.
 Management : Science or Art.
 Management as Profession.
 Universality of Management.
Comparison between science and art
as used in management
Science Art
Advances by knowledge Advances by practice

Proves Feels
Predicts Guesses
Defines Describes
Measures Opines
Impresses Expresses
(Past to Present) Chronology of
Evolution : Management Practices
Industrial Revolution
18th /19th Century

Scientific Management

1900 – Frank & Lillian Gilbreth -Time & motion studies &
workers personalities.

1901 – Henry L Gantt - Scientific selection, Harmonious


cooperation & Gantt Chart.

1903 – Frederick W Taylor - Science, not rule of Thumb.


Contd.
Chronology of Evolution : Management
Practices
(Contd)

Administrative/Operational Management

1916 – Henri Fayol – Industrial activities : technical,


commercial, financial, security, accounting and
managerial. Formulated fourteen principles.

Contd.
Chronology of Evolution : Management
Practices
(Contd)

Behavioural Sciences

1911 – Walter Dill Scott – Application of psychology to


advertising, marketing, and personnel.
1912 – Hugo Munsterberg – Application of psychology to
industry and management.
1917 – Vilfredo Pareto – The father of the social systems
approach.

Contd.
Chronology of Evolution : Management
Practices
(Contd)

Behavioural Sciences (Contd)

1933 – F J Roethlisberger – Influence of social attitudes and


relationships of work groups on performance.
1947 – Max Weber (Translations) – Theory of bureaucracy.

Contd.
Chronology of Evolution : Management
Practices
(Contd)

Behavioural Sciences (Contd)

1959 - Frederick Herzberg


Hygiene and Motivational Factors.

1960 - Douglas McGregor's


Theory X and Theory Y.

Contd.
Chronology of Evolution : Management
Practices
(Contd)

Systems Theory

1938 – Chester Barnard – Comprehensive social systems


approach.

Sociotechnical Systems Theory

1949 – Eric Trist - Environment, Social, Technical Subsystems &


Organizational Design.

Contd.
Chronology of Evolution : Management
Practices
(Contd)
Modern Management
1969 – Laurence Peter - Observed that eventually people get
promoted to a level where they are incompetent.
1974 – Peter F Drucker –The Practice of Management & roles
Setting Objectives and Planning , Organizing the Group,
Motivating, Communicating , Measuring Performance &
Developing People
1981 – William Ouchi – Discussed selected japanese
managerial practices adapted in the US environment.
1982 – Thomas Peters & Robert Waterman – Identified
characteristics of companies they considered excellent.
Contd.
Chronology of Evolution : Management
Practices
(Contd)

Milestones that Matter

1960 - Reginald W. Revans  - Action Learning.


1964 - Robert Blake & Jane Mouton – Management Grid.
1978 - Tom Gilbert – Human competence : Engineering /Performance,
Performance Technology.
1978 – McKinsey's John Larson – In search of Excellence.
1990 - Peter Senge - System Thinking, Personal Mastery, Mental Models,
Shared Vision & Team Learning.

Contd.
Chronology of Evolution : Management
Practices
(Contd)

Milestones that Matter (Contd)

1995 - Aaron Feuerstein - Ethos and leadership.


2000 – Harold Koontz - Business Process Management
Record Management, Workflow - 1970 , Business Process Re-
engineering – 1990 & Business Process Management -2000.
2009 - Edward L. Deci & Daniel Pink – Autonomy, Mastery & Purpose,
Drive Theory (Motivation).
Video : Management
Introduction to Management and
Organizations
The 21st century has brought with it a new workplace, one
in which everyone must adapt to a rapidly hanging society
with constantly shifting demands and opportunities.
The economy has become global and is driven by
innovations and technology and organizations have to
transform themselves to serve new customer expectations.

Today’s
economy presents challenging opportunities as well as
dramatic uncertainty.
The new economy has become knowledge based and is
performance driven. The themes in the present context area
‘respect’, participation, empowerment, teamwork and self
management. In the light of the above challenges a new kind of
leader is needed to guide business through turbulence. Managers
in organizations do this task.
Different Levels of Management

• Top level / Administrative level


• Middle level / Executor
• Low level / Supervisory / Operative /
First-line managers

Contd.
Different Levels of Management
(Contd)

Contd.
Different Levels of Management
(Contd)

Contd.
Function of Different Levels
of Management
Top Level of Management

 It consists of board of directors, chief executive or managing


director. The top management is the ultimate source of authority
and it manages goals and policies for an enterprise. It devotes
more time on planning and coordinating functions.

 The role of the top management can be summarized as follows :-


• Top management lays down the objectives and broad policies
of the enterprise.
• It issues necessary instructions for preparation of department
budgets, procedures, schedules etc.

Contd.
Top Level of Management (Contd)

• It prepares strategic plans & policies for the enterprise.


• It appoints the executives for middle level i.e.
departmental managers.
• It controls & coordinates the activities of all the
departments.
• It is also responsible for maintaining a contact with the
outside world.
• It provides guidance and direction.
• The top management is also responsible towards the
shareholders for the performance of the enterprise.
Middle Level of Management
 The branch managers and departmental managers
constitute middle level.

 They are responsible to the top management for the


functioning of their department. They devote more time to
organizational and directional functions.

 In small organizations, there is only one layer of middle


level of management but in big enterprises, there may be
senior and junior middle level management.

 Their role can be emphasized as:–


• They execute the plans of the organization in
accordance with the policies and directives of the top
management.
Contd.
Middle Level of Management ( Contd)

• They make plans for the sub-units of the organization.


• They participate in employment & training of lower level
management.
• They interpret and explain policies from top level
management to lower level.
• They are responsible for coordinating the activities within
the division or department.
• It also sends important reports and other important data to
top level management.
• They evaluate performance of junior managers.
• They are also responsible for inspiring lower level
managers towards better performance.
Lower Level of Management

 Lower level is also known as supervisory / operative level of


management. It consists of supervisors, foreman, section
officers, superintendent etc.

 According to R.C. Davis, “Supervisory management refers to


those executives whose work has to be largely with personal
oversight and direction of operative employees”. In other words,
they are concerned with direction and controlling function of
management.

 Their activities include :–


• Assigning of jobs and tasks to various workers.
• They guide and instruct workers for day to day activities.
• They are responsible for the quality as well as quantity of
production.
• They are also entrusted with the responsibility of maintaining
good relation in the organization.
Contd.
Lower Level of Management (Contd)
• They communicate workers problems, suggestions, and
recommendatory appeals etc to the higher level and higher
level goals and objectives to the workers.
• They help to solve the grievances of the workers.
• They supervise & guide the sub-ordinates.
• They are responsible for providing training to the workers.
• They arrange necessary materials, machines, tools etc for
getting the things done.
• They prepare periodical reports about the performance of
the workers.
• They ensure discipline in the enterprise.
• They motivate workers.
• They are the image builders of the enterprise because they
are in direct contact with the workers.
Managerial Skills

Managers need certain skills to perform the challenging duties and


activities associated with being a manager. Robert L. Katz found
through his research in the early 1970s that managers need three
essential skills:

• Technical skills - are job-specific knowledge and techniques


needed to proficiently perform specific tasks.

• Human skills - are the ability to work well with other people
individually and in a group.

• Conceptual skills - are the ability to think and to conceptualize


about abstract and complex situations.

Contd.
Managerial Skills
(Contd)
Management Roles

 Interpersonal - Figurehead, leadership, and


liaison.
 Informational - Monitoring, disseminating, and
spokesperson.
 Decisional - Entrepreneur, disturbance handler,
resource allocator, and negotiator.
Management Functions

• Planning - Defining goals, establishing strategies, and developing


plans to integrate and coordinate.

• Organizing - Arranging and structuring work to accomplish


the organization’s goals.

• Leading - Working with and through people to accomplish


organizational goals.

• Controlling - Monitoring, comparing, and correcting work


performance.
Personal Characteristics Relevant for
Managerial Effectiveness
 Adaptability.
 Focus on a specific goal.
 Emotional stability.
 Extroversion.
 Openness.
 Perceptual ability.
 Ability to learn.
 Positive work-related values.
 Internal motivation.
Personal Characteristics of
Effective Managers
 Decisive.
 Aggressive.
 Self-starting.
 Productive.
 Well-Informed.
 Determined.
 Energetic.

Contd.
Personal Characteristics of
Effective Managers
(Contd)

 Creative.
 Intelligent.
 Responsible.
 Enterprising.
 Clear thinking.
Time spent by managers in different
managerial activities
 Traditional management (Decision making, planning &
controlling)
 Communication (Exchanging routine information and
processing paperwork)
 Human resource management (Motivating,
disciplining, managing conflict, staffing & training)
 Networking (Socialising, politicking & interacting with
outsiders)
McKinsey 7-S framework
Effectiveness & Efficiency

Organisation effectiveness in the degree to


which operative goals have been attained
while the concept of efficiency represents
the cost/benefit rate incurred in the pursuit
of these goals.
Planning

“Planning is the process of deciding in advance


what is to be done, who is to do it, how it is to be
done and when it is to be done.”

OR
“Planning is an intellectually demanding process; it
requires the conscious determination of courses of
action and the basing of decisions on purpose,
knowledge and considered estimates.”
Objectives of Planning

 To achieve organisational Objectives.


 To fulfil organisational commitments.
 To facilitate decision making.
 To provide stability to organisations.
 To have optimum utilisation of resources
efficiency of operations.
 To have development of managers.
Contd..
Objectives of Planning
(Contd)

 To be a basis for control.


 To reduce risk.
 To boost up morale.
Planning Process

 Establishing objectives.
 Collection of information and forecasting.
 Development of planning premises.
 Search of alternatives.
 Evaluation of alternatives.
 Selection of plan and development of
derivative plans.
Contd..
PLANNING PROCESS:

1. Situation analysis:
 Manager should collate all the information relevant to a given activity for which
planning is to made.

RIT
R.Arun Kumar, AP/Mech,
 Should analyze past experience, current trends and future scope.
 Helps to bring the issues and problems related to activity to
light.
PLANNING PROCESS:

2. Identification of opportunities:
 The exact planning starts.

RIT
R.Arun Kumar, AP/Mech,
 Identify the opportunity and carry out SWOT analysis.
 If the organization gets positive result, it would pass on to next stage, else the
opportunity would be dropped.
PLANNING PROCESS:

3. Objective setting:
 Represents the destination of an organization.

RIT
R.Arun Kumar, AP/Mech,
 Objectives of an organization and various departments are fixed.
 Timeline to finish the objectives are also fixed during this stage.
PLANNING PROCESS:

4. Planning premises:
 Denotes the circumstances under which the planning will be
undertaken.

RIT
R.Arun Kumar, AP/Mech,
 It represents the assumptions that are to be considered.
PLANNING PROCESS:

5. Determining alternative course of actions:


 Requires imagination, foresight and ingenuity.
 E.g. To improve productivity and organization can focus on

increasing wages or incentives or technology investment, etc.


PLANNING PROCESS:

6. Evaluation of alternatives:
 Analyzing various aspects and results of all the alternatives.
 Involves micro analysis of all the alternatives.
PLANNING PROCESS:

7. Selection of best alternatives:


 After micro analysis, the best methodology is preferred for to accomplish the goal of
an organization.
PLANNING PROCESS:

8. Derivative plans:
 Organization have to think about secondary or sub plans to
accomplish.
 E.g. If an organization prefers to provide transport facility instead
of outsourcing, then it have to think about financial burden, etc.
PLANNING PROCESS:

9. Implementation of plans:
 Communicating plan to all employees and providing instructions.
 Deploying facilities like raw materials, man power, machinery,
etc.
 Linking implementation with reward system and ensuring
execution.
PLANNING PROCESS:

10. Follow up:


 Monitoring the consequences of implementation, so that
necessary corrective actions can be to fine tune the plan.
Type of Plans
PLANNING TYPES:
PLANNING TYPES:

1. Breadth: Based on the range of area.


 Strategic planning
 Operational planning
PLANNING TYPES:
Strategic Plans:
 Apply to the entire organization.
 Establish the organization’s overall goals.
 Seek to position the organization in terms of its environment.
 Cover extended periods of time
PLANNING TYPES:
Operational Plans
 Plans that encompasses a particular operational area of the organization..
 Specify the details of how the overall goals are to be achieved
 Cover short time period.
PLANNING TYPES:

2. Time frame: Based on duration for achieving the goal.


 Long term goal
 Short term goal
PLANNING TYPES:
Long term goals:
 Plans with time frames extending beyond three years.
PLANNING TYPES:
Short term goals:
 Plans with time frames on one year or less.
are called as
 Any plans between these time duration
intermediate plans.
PLANNING TYPES:

3. Specificity: Based on range of defining.


 Specific plans
 Directional plans
PLANNING TYPES:
Specific Plans
 Plans that are clearly defined and leave no room for
interpretation.
 They have clearly defined objectives.
 No uncertainty
PLANNING TYPES:
Directional Plans
 Flexible plans that set out general guidelines, provide focus, yet allow freedom in
implementation.
 Directional plans are used when uncertainty is high.
 They provide focus but do not lock managers into specific goals
or courses of action.
PLANNING TYPES:

4. Frequency of use: Based on usage of planning.


 Single-Use Plan
 Standing Plans
PLANNING TYPES:
Single-Use Plan
 A one-time plan specifically designed to meet the need of a unique situation.
PLANNING TYPES:
Standing Plans
 Ongoing plans that provide guidance for activities performed repeatedly.
SINGLE USE PLANS VS STANDING PLANS
Single use plans Standard/Repeated use plans
1.Programmes 1.Objectives
2.Budgets 3.Projects 2.Policies
3.Procedures
4.Rules
5.Strategies
Single Use Plans:

1. Programmes
 A specific plan devised to meet a particular situation.

2. Budget
 A financial or quantitative statement prepared prior to a definite period of time.

3. Project
 Part of general programme.
Standing Use Plans:

1. Objectives
 Specific goals or targets to be accomplished.
 Realistic, flexible.
2. Policies
 Guiding principles established by the company to govern actions usually under
repetitive conditions.

3. Procedures
 Prescribe the manner or method by which the work is to be
performed.
Standing Use Plans:
4. Rules
 A decision made by the management regarding what is to be done and what is not to
be done in a given situation.
5. Strategy
 A special kind of plan formulated in order to meet the challenge
of the polices of competitors.
Tactical Planning:
 Deals with the low level units of an organization.
 Concerned with shorter time frames and narrower scopes.
Contingency Planning:
 Plans that are devised for specific situation.
Advantages of Planning:
 Helps in achieving objectives.
 Better utilization of resources.
 Economy in operation.
 Reduces uncertainty and risk.
 Effective control.
 Improves coordination.
 Guides in decision making.
 Improves output of an organization.
 Provides decentralization.
Disadvantages of Planning:
 Lack of accuracy.
 Time and cost.
 Inflexibility.
 Delay during emergency period.
Management by Objective [MBO]
Management by objectives (MBO) is a strategic management model
that aims to improve the performance of an organization by clearly
defining objectives that are agreed to by both management and
employees. According to the theory, having a say in goal setting and
action plans encourages participation and commitment among
employees, as well as aligning objectives across the organization.

 The term objective emphasises on four aspects:-


• Goal.
• Definiteness.
• Scope.
• Direction.
Ends Chain (Hierarchy of Objective)
Assumptions, Concepts & Techniques of MBO
Objectives of MBO

 It promotes subordinates participation in the

goal-setting process.

 It facilitates fast and effective decision-making

 It coordinates individual goals with

organisational goals.
Process of MBO
Decision Making

“Decision making is a process of selection from a

set of alternative courses of action which is thought

to fulfil the objectives of the decision problem

more satisfactorily than others.”


Decision Making Types

 Routine and strategic decisions.

 Policy and operating decisions.

 Organisational and personal decisions.

 Programmed and non-programmed decisions.

 Individual and group decisions.


Process of Decision Making

 Defining the problem.


 Analysing the problem.
 Collection of data.
 Developing alternatives.
 Review of key factors.
 Selecting the best alternative.
 Implementing the decision.
Contd..
Process of Decision Making
(Contd)
Techniques of Decision Making

 Marginal cost analysis.

 Cost benefit analysis.

 Operations research.

 Linear programming.

 Network analysis.
PERT/CPM Chart

PERT stands for Program Evaluation and Review


Technique. The numbered circles represent tasks or
milestones in a project. The arrows show the sequence of
these tasks.

The time to do a task is shown near the arrow. The critical


path in the chart shown above is drawn with 1-2-3-5-6-7-
11. PERT charts display task dependencies, showing
which tasks need to be done before others can be started.
CPM stands for Critical Path Method.

The networks if analyzed systematically will enable a


manager to take a decision conveniently.
Problems – Effective Decision Making

 Not enough information.


 Too much information.
 Too many people.
 Vested interests.
 (No) emotional attachment.
Case Study
Harish Bhatt, a very bright and ambitious young
executive, was born and raised in Jaipur. He
graduated from a local college and married a girl
who was his class-mate. Harish then went to
Mumbai where he received an MBA degree. He
was now in the seventh year with Birla Steel Ltd.
Which was located in Jaipur.
As part of an extension programme, the Board of
Directors of Birla Steel decided to build a new
branch plant.
Contd..
Case Study
(Contd)

Bhatt was selected to be the manager at the new


plant. He was also informed that if the new plant is
a success he would be promoted to a higher post.
The location of the new plant was to be decided by
an ad hoc committee of which Bhatt was made the
chairman. In the committee's first meeting Bhatt
explained to the members the ideal requirements
for the new plant and gave them one month to
come up with three choice locations.

Contd..
Case Study
(Contd)

When after a month the committee re-met, it


recommended the following cities in order of
preference : Gurgaon, Chennai; and Indore. Bhatt
thanked the committee members for their fine job
and told them, “I would like to study the report in
more depth before I make my final decision.”

That evening he asked his lovely wife. “Honey, how


would you like to move to Gurgaon?” Her answer
was quick and sharp. “Heavens no!” she said.
Contd..
Case Study
(Contd)

“I have lived in Rajasthan all my life and am not at


all inclined to move out to Gurgaon-extension of
Delhi. That kind of life is not for me.” Bhatt weakly
protested by saying that the committee had ranked
Gurgaon as the best location for the new plant. The
second was Chennai and the third was Indore. His
wife thought a moment, then replied, “well I would
consider moving to Indore, but if you insist on
Gurgaon, you will have to go by yourself.”

Contd..
Case Study
(Contd)

The next day Bhatt, called his committee together


and said, “Gentlemen, you should all be
commended for doing an excellent job on this
report. However, after detailed study, I am
convinced that Indore will meet the needs of our
new plant better than Gurgaon or Chennai.
Therefore, the decision will be to locate the new
plant in Indore, Thank you all again for a job well
done”

Contd..
Case Study
(Questions)

 Did Bhatt make a personally rational decision?


 Did he make an organisationally rational
decision?
Case Study : Steps to solve

 Problem Identification.
 Assumptions.
 Analysis.
 Alternate solutions.
 Proposed Solution.
 Managerial Application.
 Conclusions.
 Recommendations.
Industrial Revolution

1764 – James Hargreaves


Invented the spinning jenny.
1780 – Samuel Compton
Spinning mule, as well as later machines .
1780 – Edmund Cartwright
Innovation in textiles the power loom, which
mechanized the process of weaving cloth was
developed.

Contd.
Industrial Revolution
(Contd)

1800 – Abraham Darby


Discovered a cheaper / easier method of producing cast iron
using a coke fuelled furnace.
1850 – Henry Bessemer
First inexpensive process for mass producing steel.
1712 – Thomas Newcomen
The first practical steam engine.
1770 – Scottish James Watt
Steam engine went on to power machinery, locomotives and
ships during the industrial revolution.
Frederick W Taylor

The principles of Scientific Management (1911)


• Replacing rules of thumb with science (organized
knowledge)
• Obtaining harmony in group action, rather than discord.
• Achieving cooperation of human beings, rather than chaotic
individualism.
• Working for maximum output, rather than restricted output.
• Developing all workers to the fullest extent possible for their
own and their company's highest prosperity.
Henri Fayol
(Administrative Management)

Process
Forecasting, Planning, Organizing, Commanding, Co-ordinating &
Controlling.
Principles
• Division of work – employees specialized, skilled and made
efficient.
• Authority – With responsibility.
• Discipline – Must be upheld.
• Unity of Command – Only one superior to report to.
• Unity of direction – common objective, goal & aim.

Contd.
Henri Fayol
(Administrative Management)
(Contd)

• Subordination of individual interest – to interest of an


organisation.
• Remuneration – sufficient, both monetary and non-monetary.
• Centralization – of commands and decentralization of control.
• Scalar chain – hierarchy.
• Order – Operational, environment & social.
• Equity – fair & impartial.
• Stability of tenure of personnel – balanced.
• Initiative – Be encouraged.
• Esprit de corps – Involvement & unity.
END OF UNIT - 1

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