A-1302 Tween Tower
near l.p savani road,
Adajan,Pal,Surat
23rd may 2016
subject-making project on sumul dairy about 14 principles of management
Sumul Dairy
Surat
Respected Sir/ma'am,
Respected sir/ma'am i jivani harsh state that i want to make project on sumul dairy about its 14 principles of management because it is my school project as you can confirm it by calling swaminarayan h.v academy adajan as our viva is on 4 june 2016 so i request you to make project available to me so that soon i complete that work on time
It woul be pleasure for me to make project on sumul dairy
yours sincerely
jivani harsh
1. Division of Work
In practice, employees are specialized in different areas and they have different skills. Different levels of expertise can be distinguished within the knowledge areas (from generalist to specialist). Personal and professional developments support this. According to Henri Fayol specialization promotes efficiency of the workforce and increases productivity. In addition, the specialization of the workforce increases their accuracy and speed. This management principle of the 14 principles of management is applicable to both technical and managerial activities.
2. Authority and Responsibility
In order to get things done in an organization, management has the authority to give orders to the employees. Of course with this authority comes responsibility. According to Henri Fayol, the accompanying power or authority gives the management the right to give orders to the subordinates. The responsibility can be traced back from performance and it is therefore necessary to make agreements about this. In other words, authority and responsibility go together and they are two sides of the same coin.
3. Discipline
This third principle of the 14 principles of management is about obedience. It is often a part of the core values of a mission and vision in the form of good conduct and respectful interactions. This management principle is essential and is seen as the oil to make the engine of an organization run smoothly.
4. Unity of Command
The management principle ‘Unity of command’ means that an individual employee should receive orders from one manager and that the employee is answerable to that manager. If tasks and related responsibilities are given to the employee by more than one manager, this may lead to confusion which may lead to possible conflicts for employees. By using this principle, the responsibility for mistakes can be established more easily.
5. Unity of Direction
This management principle of the 14 principles of management is all about focus and unity. All employees deliver the same activities that can be linked to the same objectives. All activities must be carried out by one group that forms a team. These activities must be described in a plan of action. The manager is ultimately responsible for this plan and he monitors the progress of the defined and planned activities. Focus areas are the efforts made by the employees and coordination.
6. Subordination of Individual Interest
There are always all kinds of interests in an organization. In order to have an organization function well, Henri Fayol indicated that personal interests are subordinate to the interests of the organization (ethics). The primary focus is on the organizational objectives and not on those of the individual. This applies to all levels of the entire organization, including the managers.
7. Remuneration
Motivation and productivity are close to one another as far as the smooth running of an organization is concerned. This management principle of the 14 principles of management argues that the remuneration should be sufficient to keep employees motivated and productive. There are two types of remuneration namely non-monetary (a compliment, more responsibilities, credits) and monetary (compensation, bonus or other financial compensation). Ultimately, it is about rewarding the efforts that have been made.
8. The Degree of Centralization
Management and authority for decision-making process must be properly balanced in an organization. This depends on the volume and size of an organization including its hierarchy. Centralization implies the concentration of decision making authority at the top management (executive board). Sharing of authorities for the decision-making process with lower levels (middle and lower management), is referred to as decentralization by Fayol. Henri Fayol indicated that an organization should strive for a good balance in this.
9. Scalar Chain
Hierarchy presents itself in any given organization. This varies from senior management (executive board) to the lowest levels in the organization. Henri Fayol ’s “hierarchy” management principle states that there should be a clear line in the area of authority (from top to bottom and all managers at all levels). This can be seen as a type of management structure. Each employee can contact a manager or a superior in an emergency situation without challenging the hierarchy. Especially, when it concerns reports about calamities to the immediate managers/superiors.
10. Order
According to this principle of the 14 principles of management, employees in an organization must have the right resources at their disposal so that they can function properly in an organization. In addition to social order (responsibility of the managers) the work environment must be safe, clean and tidy.
11. Equity
The management principle of equity often occurs in the core values of an organization. According to Henri Fayol, employees must be treated kindly and equally. Employees must be in the right place in the organization to do things right. Managers should supervise and monitor this process and they should treat employees fairly and impartially.
12. Stability of Tenure of Personnel
This management principle of the 14 principles of management represents deployment and managing of personnel and this should be in balance with the service that is provided from the organization. Management strives to minimize employee turnover and to have the right staff in the right place. Focus areas such as frequent change of position and sufficient development must be managed well.
13. Initiative
Henri Fayol argued that with this management principle employees should be allowed to express new ideas. This encourages interest and involvement and creates added value for the company. Employee initiatives are a source of strength for the organization according to Henri Fayol. This encourages the employees to be involved and interested.
14. Esprit de Corps
The management principle ‘esprit de corps’ of the 14 principles of management stands for striving for the involvement and unity of the employees. Managers are responsible for the development of morale in the workplace; individually and in the area of communication. Esprit de corps contributes to the development of the culture and creates an atmosphere of mutual trust and understanding.
Sumul or Surat Milk Union Limited, which is now renamed as The Surat District Co-operative Milk Producers' Union Ltd, is one among the 17 district unions which acts as manufacturing units of dairy products for Gujarat Co-operative Milk Marketing Federation Limited, the marketers of Amul brand of products.
Surat District has been a Pioneer in India in channeling trade in Cotton and Milk through co-operatives. Before SUMUL stepped in, traditional Private Milk Traders were dominant in the area.
The private trade was monopolizing the Milk market and exploiting both the Milk Producers and Consumers alike. The milk procurement price which used to be fixed by the traders (traditional Bhatias) was very low and was fluctuating from time to time at their sole discretion. These has capitalized on the absence of any infrastructure and processing facilities and has managed to keep producers from deriving equitable benefits from the marketable surplus generated. As such their income from milk was very low and they had no incentive for modern dairy farming. The farmers resented the system, but were helpless in the face of these traditional constraints and to their own lack of resourcelessness.
Dairying on the other hand, was never popular with tribal's (a major rural population in the District) as practically no infrastructure existed for milk marketing in their talukas, inaccessibility to their villages as well as taboos regarding keeping of buffaloes prevented the entire population of tribal's from considering dairying as a source of income. The tribal's kept their cows to produce bullocks rather than milk, which was insufficient even to nurse the calves. Most of the tribal's were unaware of the usual milch breeds, what to say of Scientific Animal Husbandry?
Hygienic and pure milk was almost unknown in the market. In fact unbridled adulteration of milk was practiced by these traders to meet the growing demand of milk in the city. To salvage the poor producers from the clutches of these Private Traders, Organisation and integration of procurement, processing and marketing of milk and milk products by the producers themselves on a sound co. operative line was essential; this would also ensure elimination of middlemen, equitable distribution of benefits to Rural Milk Producers and indirectly to urban milk consumers as well.
Hence, the Surat District Co. operative Milk Producers' Union Ltd., SUMUL is trade name and literally meaning sound price, came into existence on August 22, 1951.