26-09-2016, 04:03 PM
Different management experts have explained different principles on the basis of their research. Henry Fayol, a famous industrialist of France, has described fourteen principles of management in his book General and Industrial Management.
Explaining the difference between ‘principles’ and ‘elements’ he makes it clear that the principles of management are fundamentally true and establish a relationship between cause and effect, while the ‘elements’ of management point towards its functions.
While presenting the principles of management Fayol has kept two things in mind. Firstly, the list of the principles of management should not be long but should be suggestive and only those principles should be explained which become applicable in most of the situations.
Secondly, the principles of management should be flexible and not rigid so that changes can be made in them in case of need. The fourteen principles given by Fayol are as under:
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(1) Division of Work:
This principle of Fayol tells us that as far as possible the whole work should be divided into different parts and each individual should be assigned only one part of the work according to his ability and taste rather than giving the whole work to one person.
When a particular individual performs the same job repeatedly, he will become an expert in doing that particular part of the whole job. Consequently, the benefits of specialisation will become available.
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For example, a furniture manufacturer gets an order for manufacturing 100 lecture stands. He has five workers who will do the job. There are two ways to complete this order. First, every worker should be asked to complete 20 lecture stands.
The second method can be distributing different parts of the lecture stand-legs, top board, centre support, assembling and polishing-to all the five workers in a manner that only one worker does the same job for all the 100 lecture stands. Here, Fayol’s indication is to the second way to do this job and not the former one.
The principle of division of labour applies not only to the workers but also equally to the managers. For example, if a manager is tuned to work on the same kind of activities for a long period of time, he will certainly be an expert in his particular job. Consequently, more and beneficial decisions can be taken in a comparatively less time by him.
Positive Effect advantages of specialisation are obtained, such as increase in the quality of work, increase in the speed of production, decrease in the wastage of resources.
Violating Effect the above-mentioned positive effects of specialisation will not be available.
(2) Authority and Responsibility:
According to this principle, authority and responsibility should go hand in hand. It means that when a particular individual is given a particular work and he is made responsible for the results, this can be possible only when he is given sufficient authority to discharge his responsibility.
It is not proper to make a person responsible for any work in the absence of authority. In the words of Fayol, “The result of authority is responsibility. It is the natural result of authority and essentially another aspect of authority and whenever authority is used, responsibility are automatically born.”
For example, the CEO of a company has doubled the sales target of the sales manager for the coming year. To achieve this target, authority for appointing necessary sales representatives, advertising according to the need, etc. shall have to be allowed. In case these things are not allowed the sales manager cannot be held responsible for not
(3) Discipline:
Discipline is essential for any successful work performance. Fayol considers discipline to mean obedience, respect for authority, and observance of established rules.
Discipline can be established by providing good supervision at all levels, clearly explaining the rules, and implementing a system of reward and punishment. A manager can present a good example to his subordinates by disciplining himself.
For example, if the employees break their promise of working up to their full capacity, it will amount to the violation of obedience. Similarly a sales manager has the authority to do business on credit.
But in case he allows this facility not to the general customers but only to his relatives and friends, then it will amount to ignoring his respect to his authority. (Note: Both these examples give a message of indiscipline which is an undesirable situation.
Explaining the difference between ‘principles’ and ‘elements’ he makes it clear that the principles of management are fundamentally true and establish a relationship between cause and effect, while the ‘elements’ of management point towards its functions.
While presenting the principles of management Fayol has kept two things in mind. Firstly, the list of the principles of management should not be long but should be suggestive and only those principles should be explained which become applicable in most of the situations.
Secondly, the principles of management should be flexible and not rigid so that changes can be made in them in case of need. The fourteen principles given by Fayol are as under:
ADVERTISEMENTS:
(1) Division of Work:
This principle of Fayol tells us that as far as possible the whole work should be divided into different parts and each individual should be assigned only one part of the work according to his ability and taste rather than giving the whole work to one person.
When a particular individual performs the same job repeatedly, he will become an expert in doing that particular part of the whole job. Consequently, the benefits of specialisation will become available.
ADVERTISEMENTS:
For example, a furniture manufacturer gets an order for manufacturing 100 lecture stands. He has five workers who will do the job. There are two ways to complete this order. First, every worker should be asked to complete 20 lecture stands.
The second method can be distributing different parts of the lecture stand-legs, top board, centre support, assembling and polishing-to all the five workers in a manner that only one worker does the same job for all the 100 lecture stands. Here, Fayol’s indication is to the second way to do this job and not the former one.
The principle of division of labour applies not only to the workers but also equally to the managers. For example, if a manager is tuned to work on the same kind of activities for a long period of time, he will certainly be an expert in his particular job. Consequently, more and beneficial decisions can be taken in a comparatively less time by him.
Positive Effect advantages of specialisation are obtained, such as increase in the quality of work, increase in the speed of production, decrease in the wastage of resources.
Violating Effect the above-mentioned positive effects of specialisation will not be available.
(2) Authority and Responsibility:
According to this principle, authority and responsibility should go hand in hand. It means that when a particular individual is given a particular work and he is made responsible for the results, this can be possible only when he is given sufficient authority to discharge his responsibility.
It is not proper to make a person responsible for any work in the absence of authority. In the words of Fayol, “The result of authority is responsibility. It is the natural result of authority and essentially another aspect of authority and whenever authority is used, responsibility are automatically born.”
For example, the CEO of a company has doubled the sales target of the sales manager for the coming year. To achieve this target, authority for appointing necessary sales representatives, advertising according to the need, etc. shall have to be allowed. In case these things are not allowed the sales manager cannot be held responsible for not
(3) Discipline:
Discipline is essential for any successful work performance. Fayol considers discipline to mean obedience, respect for authority, and observance of established rules.
Discipline can be established by providing good supervision at all levels, clearly explaining the rules, and implementing a system of reward and punishment. A manager can present a good example to his subordinates by disciplining himself.
For example, if the employees break their promise of working up to their full capacity, it will amount to the violation of obedience. Similarly a sales manager has the authority to do business on credit.
But in case he allows this facility not to the general customers but only to his relatives and friends, then it will amount to ignoring his respect to his authority. (Note: Both these examples give a message of indiscipline which is an undesirable situation.
