Management is dynamic force which makes the
business work smoothly and profitability. The
survival and success of an organization
largely depends upon the quality of
management. Managing well requires
a good knowledge of the principles and
practices of management. Efficient
management is must for modern organization.
Principles of management are the guidelines to be followed by every
organization. No manager can be effective if he does not follow the principles
of management. Therefore, managers in all organization whether big or small
business, or non business, and all levels (top, middle or lower) must follow the
principles of management. The founder was Henry Fayol
Marry parker Follet
“management is the art of getting things done through people”
“to manage is to forecast and to plan, to organize, to command, to
coordinate and to control”
“management is the art of getting the things done through others.
1.Division of work
According to fayol , ‘’The intent of division of work
is to produce more and better work fir the same
effort . Specialization is the most efficient way to use
. Fayol applies this principle of division of work to all
kinds of work – technical as well as managerial.
According to Fayol ,Discipline requires
observation of certain rules and
regulation by all employees in the
organization. Good superiors at all levels
must have clear and fair agreements and
application of penalties. They have to
accept certain code of conduct while
performing their jobs. In return the
management has promised to increase
wages of the workers when this mission is
According to Fayol ‘Authority is the right
to give order and obtain obedience, and
responsibility is the one who is responsible
for certain function. ” Authority is both
formal and informal. There should be a
balance between authority and
responsibility. An organization should build
safeguards against abuse of managerial
power. At the same time a manager should
have necessary authority to carry out his
4.Unity of command
Henry fayol suggested that an employee should get
orders from one superior only . if two superiors exercise
their authority on the same employee, there will be
disorder and confusion . In fast, dual command is always
5.Unity of direction
Fayol suggested that there
should be one head and one
plan for a group of activities
having the same objective. In
the absence of unity of
direction there will be confusion
among the employees.
There should be same
directions to all the employees
doing similar activities. A
particular activity must be
directed with the help of a
According to Fayol, extreme centralisation or
decentralization of authority should be avoided
and a proper balance between centralisation
and decentralization should be maintained .
Fayol also suggests that some degree of
centralization must be introduced in order to
have best result in terms of achievement of
objectives .The concentration of decision –
making authority is called centralization.
THE GENERAL INTEREST OF THE ORGANISATION
MUST BE CONSIDERED PRIMARY AND INDIVIDUAL
MUST BE SECONDARY.
THIS CAN BE OBTAINED BY EFFECTIVE CONTROL
AND SUPERVISION IN THE ORGANISATION.
IT MEANS SYSTEMATIC ARRANGEMENT OF MEN
AND MATERIALS IN THE ORGANISATION .
There should be place for everything and everything
should be in its place.
IT REQUIRES PROPER SELECTION AND
CORRECT ASSIGNMENT OF EMPLOYEES IN THE
9.Stability of tenure
From the point of view of management it is absolutely
harmful to change the employees frequently as it is a
reflection of inefficient management.
Managers as well as subordinates need some time to
learn and understand the job assigned to them. They will
adjust the work within a short period. If they leave or are
removed within a short period, the learning time will be
wasted. Hence stability of personnel is necessary which
means security of job.
THE PRINCIPLE OF EUITY RELATES TO THE TREATMENT
MANAGERS SHOULD BE FAIR
AND,FRIENDLY TO THEIR
☻SUBORDINATES SHOULD BE PERMITTED TO
TAKE SOME INITIATIVE IN PREPARING AND
☻MANAGERS SHOULD ENCOURAGE
SUBORDINATES TO TAKE MORE INTEREST AND
INITIATIVE IN THE WORK ASSIGNED.
☻IT PROMOTES NEW IDEAS AND STRENGHENS
12.Esprit de corps
☻IT IMPLIES TEAM SPIRIT.
☻MUTUAL UNDERSTANDING,TRUST AND
CO-OPERATION AMONG THE
EMPLOYEES LEADS TO TEAM SPIRIT.
☻IT LEADS TO SYNERGY.SYNERGY
MEANS EFFECT OF TWO PEOPLE
WORKING TOGETHER IS MORE THAN
SUM OF THE INDIVIDUALS EFFECT.
☻EXTENSIVE FACE TO FACE VERBAL
COMMUNICATION PROMOTES TEAM
Wages and salaries should be fair
Wages must be paid on time depending upon the factors
such as cost of living, ability of the company to pay,
prevailing wage rates in the industry, etc.
Apart from financial benefits, non-financial benefits
should provided such as good working conditions,
canteen facilities, recreation facilities,etc.
According to this principal, scalar chain
refers to the line of authority and
communication which moves in a
straight line from the superior most
authority to the lowest subordinate.
Under this chain of authority, each
communication moves from top to lower
level and from lower to top level.
For example :
In this diagram A is the superior of the whole organization. B &
K are heads of next level of management and so on. If F & O
need to contact each other then acc. to scalar chain F will
move to E, E to D, D to C and so on and finally to O. In some
cases F can directly contact O but with the approval of E & N
(immediate superiors). This is called Gang Plank