Today, there is a very lengthly list of management principles and it is not possible to give an exhaustive lot of these management principles. Nature It is related to the functioning of personnels. It emphasizes the attainment of common goal under one head. This ensures that effort and attention will be focused on special portions of the work. They must be encouraged to take initiatives as this increases the zeal and energy among the individuals. Any wrong decision could lead to chaos and jeopardy to human life. The practice of management has always reflected historical times and societal conditions.
Authority and Responsibility: Authority is the right to give orders and the power to exact obedience. This varies from senior management executive board to the lowest levels in the organization. The individual must not place his personal interest over the common interest, in case there a conflict. Each manager has a certain amount of authority. For example getting a Little Caesars employee motivated about the quality of their pizzas would be extremely hard—Little Caesars employees know that their customers are looking for an inexpensive pizza and are not going to demand a high quality pizza; instead, management depends on that employee to perform pre-set duties and crank out as many pizzas as possible for as little pay as possible. Management should encourage worker initiative. But they should also remember that with authority comes responsibility.
Motivates Employees Through Fair Compensation While the Fayolism advantages and disadvantages are still debated, one theory that continues to prove true is the idea that business leaders must compensate employees in a manner that motivates them to perform above standard. For example, a purchase manager of a company has to purchase 100 tonnes of raw material. Subordination of individual interest to the general interest: This principle calls to mind the fact that in a business the interest of one employee or group of employees should not prevail over that of the concern, that the interest of the home should come before that of its members and that interest of the state should have pride of place over that of one citizen or group of citizens. Authority and responsibility Henry Fayol finds Authority and responsibility to be related with the latter arising from the former. There should be specific place for every one and every one should have specific place.
Different levels of expertise can be distinguished within the knowledge areas from generalist to specialist. The existence of a scalar chain is essential. Logical and appropriate wage-rate and methods of their payment reduces tension and differences between workers and management, create harmonious relationship and a pleasing atmosphere of work. Production is a team work for which the whole-hearted support and co-operation of the members at all levels is required. Social sciences are considered inexact. This is a foundational theory of the team concept that has become so prevalent in many small businesses. Then he moved into general management and became Managing Director from 1888 to 1918.
Words: 2655 - Pages: 11. Rapid employee turnover is expensive, can allow competitors to get trade secrets, or create a knowledge gap for people backfilling those positions. The responsibility can be traced back from performance and it is therefore necessary to make agreements about this. General Principles of Management Henri Fayol was born in 1841 in Istanbul, is often known as the person who developed a general theory of business administration. Scalar Chain Hierarchy presents itself in any given organization. If you liked this article, then please subscribe to our Free Newsletter for the latest posts on Management models and methods. Directing involves leading and motivating employees to perform tasks assigned to them.
It is often described positiv. In this way, the principle of unity of command provides the enterprise disciplined, stable and orderly existence. Imagine accountants assigned to a production line and vice versa. Subordination of individual interests to general interests The interest of the business enterprise ought to come before the interests of the praise individual workers. Each worker should have only one boss with no other conflicting lines of command.
Examining the future and drawing up a plan of action. To end, we would like you to kindly accept our term paper and to acknowledge our devotion and efforts. In such a situation, the remuneration of the employees should be increased even without their asking. He has five workers who will do the job. This is essential to ensure unity and coordination in the enterprise.
In other words, they will leave the company at the first opportunity available. Order: According to Fayol there should be proper, systematic and orderly arrangement of physical and social factors, such as land, raw materials, tools and equipments and employees respectively. If this is not the case, it can lead to a heavy loss as a result of damage to the machines. If when he has got used to it, or before then, he is removed, he will not have had time to render worthwhile service. The question of centralization or decentralization is a simple question of proportion, it is a matter of finding the optimum degree for the particular concern.