Management,administration and some basic principle,Defination of Management ,Management as art,Management as science,Scope of Management,Defination of Administration,Management and Administration ,Levels of Management ,Henri Fayol’s 14 Principles Of Management

1. MANAGEMENT,ADMINISTRA
TION AND SOME BASIC
PRINCIPLE

2. Defination of Management :
According to Harold Koontz, “Management is an art of
getting things done through and with the people in formally
organized groups. It is an art of creating an environment in
which people can perform and individuals and can co-
operate towards attainment of group goals”.
According to F.W. Taylor, “Management is an art of
knowing what to do, when to do and see that it is done in
the best and cheapest way”.

3.  Practical Knowledge
 Personal Skill
 Creativity
 Perfection through practice
 Goal-Oriented
Management as art:

4.  Universally acceptance principles
 Experimentation & Observation
 Cause & Effect Relationship
 Test of Validity & Predictability
Management as science

5. Scope of Management:
 The existence of management ensures proper function and
running of an enterprise.
 Management plas the activities ,coordinates and utilizes the
available recourses effectively and efficiently at minimum cost.
 Scope of management is not limited only to business
organization ,but it is extended to business establishment
,hospitals,educational institutions,govt offices,service
organizations,security organization etc.

6. Defination of Administration:
 The definition of administration refers to the group of
individuals who are in charge of creating and enforcing rules and
regulations, or those in leadership positions who complete
important tasks.
 Administration is defined as the act of managing duties,
responsibilities, or rules.

7.  Adminstration involves ”thinking” , it is top
level function.
 Management involves ”doing” , it is lower
level function.
Management and Administration :

8. Management Administration
Definition Art of getting things done
through others by directing
their efforts towards
achievement of pre-
determined goals.
Formulation of broad
objectives, plans & policies.
Nature executing function, doing
function
decision-making function,
thinking function
Scope Decisions within the
framework set by the
administration.
Major decisions of an
enterprise as a whole.
Level of authority Middle level activity Top level activity

9. Management Administration
Status Group of managerial personnel
who use their specialized
knowledge to fulfill the
objectives of an enterprise.
Consists of owners who invest
capital in and receive profits
from an enterprise.
Usage Used in business enterprises. Popular with government,
military, educational, and
religious organizations.
Influence Decisions are influenced by the
values, opinions, beliefs and
decisions of the managers.
Influenced by public opinion,
government policies, customs
etc.
Main functions Motivating and controlling Planning and organizing
Abilities Handles the employees. Handles the business aspects
such as finance.

10. Levels of Management
There are 3 levels of management :
1. Top level Management
2. Middle level Management
3. Lower level or first line Management

12. Henri Fayol’s 14 Principles Of Management:
1. Division Of Work
Work should be divided among individuals and groups to ensure that effort and attention are
focused on special portions of the task.
2. Authority & Responsibility
The concepts of Authority and responsibility are closely related. Authority was defined by Fayol as the
right to give orders and the power to exact obedience. Responsibility involves being accountable, and
is therefore naturally associated with authority. Whoever assumes authority also assumes responsibility.
3. Discipline
According to Fayol, “Discipline means sincerity, obedience, respect of authority & observance
of rules and regulations of the enterprise”.

13. 4. Unity Of Command
Each worker should have only one boss with no other conflicting lines of command.
5. Unity of Direction
The entire organization should be moving towards a common objective in a common direction.
6. Subordination of individual interests to the general interests
The interests of one person should not take priority over
the interests of the organization as a whole.
8. Equity
The employees should be treated with fairness, kindness & justice if devotion is expected of
them.
It implies that managers should be fair and impartial while dealing with the subordinates.
7. Initiative
Management should encourage initiative. That is, they should encourage the employees to suggest
ideas, experiences& new method of work.

14. 9. Scalar chain
Scalar Chain is a line of authority. This line joins all the members (managers and employees) from top to
bottom.
Every member must know who his superior is.He must also know who his subordinate is. Scalar Chain is
necessary for good communication.
Scalar Chain must not be broken in norm circumstances.
10. Order
There should be an Order for Things and People in the organization.
Order for things is called Material Order. Order for people is called Social Order.
11. Centralization (Or Decentralization)
Centralization means concentration of authority at the top level. In other words, centralization is a
situation in which top management retains most of the decision making authority.
Decentralization means disposal of decision making authority to all the levels of the organization. In
other words, sharing authority downwards is decentralization.

15. 14. Esprit de Corps
Management must foster the morale of its employees. He further suggests that: “real talent is needed to
coordinate effort, encourage keenness, use each person’s abilities, and reward each one’s merit without
arousing possible jealousies and disturbing harmonious relations.”
12. Stability of Tenure of Personnel
Employees work better if job security and career progress are assured to them. An insecure tenure and a high
rate of employee turnover will affect the organization adversely
13. Remuneration
Remuneration is the price for services received. If an organization wants efficient employees and best
performance, then it should have a good remuneration policy. This policy should give maximum
satisfaction to both employer and employees.