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Principles of Management

The document discusses Henri Fayol's 14 principles of management. It provides an overview of each principle, including: division of work, authority and responsibility, discipline, unity of command, unity of direction, subordination of individual interest to mutual interest, remuneration, centralization, line of authority, order, equity, stability of tenure, initiative, and esprit de corps. The principles are fundamental statements that provide guidance for effective management and organization.

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Rheyjhen Cadawas
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64 views

Principles of Management

The document discusses Henri Fayol's 14 principles of management. It provides an overview of each principle, including: division of work, authority and responsibility, discipline, unity of command, unity of direction, subordination of individual interest to mutual interest, remuneration, centralization, line of authority, order, equity, stability of tenure, initiative, and esprit de corps. The principles are fundamental statements that provide guidance for effective management and organization.

Uploaded by

Rheyjhen Cadawas
Copyright
© © All Rights Reserved
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Name: CADAWAS, RHEYJHEN M.

Professor: JOSEFINA DE JESUS

EDM 400: Educational Leadership and Management of Institutions

Week: 1

INTRODUCTION

Management thinkers like Henri Fayol, F.W. Taylor and Max Weber derived certain
generalizations. These generalizations are termed principles of management. Principles
are not rules, but only a guide to action. They are applicable to different kinds of
organizations such as business, hospitals, clubs and educational institutions.

MEANING OF PRINCIPLE

A principle can be defined as a fundamental statement of truth providing a guide to thought


and action. In other words, it is a statement which reflects the fundamental truth about
some phenomenon. A fundamental statement tells what results are expected when the
principle is applied.

A principle establishes cause-and-effect relationship. For instance, the principle of unity of


command states the presence of a single superior avoids confusion. . Here, the presence of
unity of command is the cause and avoidance of confusion is the effect. Management
functions are based on certain principles. Principles are basic elements of management
theory which is a systematic grouping of interrelated principles.

Principles are either descriptive or prescriptive.

a. A principle is descriptive if it merely describes the relationship between variables.


b. A principle is prescriptive if it indicates what a manager should do.

NATURE OF MANAGEMENT PRINCIPLES

The principles of management have the following distinct features:

A. Flexibility. The principles of management are flexible in nature as they are


adjustable in accordance with situations of the organization. There are situations
where the principles may not be exactly.
B. Universal Application. Most of the management principles can be applied to all
kinds of organizations.
C. Principles are relative, not absolute. Management principles are relative in
nature. They should be applied carefully in accordance with the needsof the
organization. Thus, it may be modified form.
D. Based on Situation. The application of management principles depends upon the
specific situation prevailing in the organization. Principles can be modified in
accordance with the situations faced.
E. General Statements. It have been derived out of experience in managing
organizations. These principles have been expressed in the form of general
statements.

NEED FOR MANAGEMENT PRINCIPLES

According to Koontz and O’Donnell, the principles of management are important


and useful on account of the following reasons.

1. To Increase Managerial Efficiency.


2. To understand the Nature of Management.
3. To Train Managers
4. To Improve Research.
5. To Coordinate Material and Human Resources
6. To Attain Social Objectives

HENRI FAYOL’S PRINCIPLES OF MANAGEMENT

The Principles of Management are the essential, underlying factors that form the
foundations of successful management. According to Henri Fayol in his book General and
Industrial Management (1916), there are fourteen 'Principles of Management'.

1. Division of Work - According to this principle the whole work is divided into small
tasks. The specialization of the workforce according to the skills of a person,
creating specific personal and professional development within the labor force and
therefore increasing productivity; leads to specialization which increases the
efficiency of labor.

2. Authority and Responsibility - This is the issue of commands followed by


responsibility for their consequences. Authority means the right of a superior to
give enhances order to his subordinates; responsibility means obligation for
performance.

3. Discipline - It is obedience, proper conduct in relation to others, respect of authority,


etc. It is essential for the smooth functioning of all organizations.

4. Unity of Command - This principle states that each subordinate should receive
orders and be accountable to one and only one superior. If an employee receives
orders from more than one superior, it is likely to create confusion and conflict.
5. Unity of Direction - All related activities should be put under one group, there
should be one plan of action for them, and they should be under the control of one
manager.

6. Subordination of Individual Interest to Mutual Interest - The management must put


aside personal considerations and put company objectives firstly. Therefore the
interests of goals of the organization must prevail over the personal interests of
individuals.

7. Remuneration - Workers must be paid sufficiently as this is a chief motivation of


employees and therefore greatly influences productivity. The quantum and methods
of remuneration payable should be fair, reasonable and rewarding of effort.

8. The Degree of Centralization - The amount of power wielded with the central
management depends on company size. Centralization implies the concentration of
decision making authority at the top management.

9. Line of Authority/Scalar Chain - This refers to the chain of superiors ranging from
top management to the lowest rank. The principle suggests that there should be a
clear line of authority from top to bottom linking all managers at all levels.

10. Order - Social order ensures the fluid operation of a company through authoritative
procedure. Material order ensures safety and efficiency in the workplace. Order
should be acceptable and under the rules of the company.

11. Equity - Employees must be treated kindly, and justice must be enacted to ensure a
just workplace. Managers should be fair and impartial when dealing with
employees, giving equal attention towards all employees.

12. Stability of Tenure of Personnel - Stability of tenure of personnel is a principle


stating that in order for an organization to run smoothly, personnel (especially
managerial personnel) must not frequently enter and exit the organization.

13. Initiative - Using the initiative of employees can add strength and new ideas to an
organization. Initiative on the part of employees is a source of strength for
organization because it provides new and better ideas. Employees are likely to take
greater interest in the functioning of the organization.

14. Esprit de Corps/Team Spirit - This refers to the need of managers to ensure and
develop morale in the workplace; individually and communally. Team spirit helps
develop an atmosphere of mutual trust and understanding. Team spirit helps to
finish the task on time.

Reference:
Retrieved from: https://mbadegreeusa.blogspot.com/2017/04/fayols-14-principles-of-
management.html

Bose, D. C. (2012). Principles of management and administration. PHI Learning Pvt. Ltd.. Retreived from:
https://books.google.com.ph/books?
hl=en&lr=&id=AoFGD39Uqr4C&oi=fnd&pg=PT6&dq=principles+of+management&ots=VYL0u1UGyX
&sig=tLgeH4c2MZhN3VPANpudRa0L2dA&redir_esc=y#v=onepage&q&f=false

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