Principle of Management

What does Frederick Taylor's Principles of Management aimed?

It is a process in designing and maintaining an environment in which individuals, working together in groups, efficiently accomplish selected aims.

According to Fayol, there should be one and only one boss for every individual employee. Dual subordination should be avoided. Fayol felt that if this principle is violated “authority is undermined, discipline is in jeopardy, order disturbed and stability threatened”

According to Max Weber, each level controls the levels below and is controlled by the level above. Authority and responsibilities are clearly defined for each position.

It refers to the obedience to organizational rules and employment agreement which are necessary for the working of the organisation. According to Fayol, it requires good superiors at all levels, clear and fair agreements and judicious application of penalties.

According to Fayol, each group of activities having same objective must have one head and one plan. It prevents overlapping of activities.

According to Fayol, “People and materials must be in suitable places at appropriate time for maximum efficiency.” It states that ‘A place for everything (everyone) and everything (everyone) in its (her/his) place.

A manager should replace 'I' with ‘We’ in all his conversations with workers to promote teamwork.

Telco Ltd. manufactures files and folders from old clothes to discourage the use of plastic files and folders. For this, they employ people from nearby villages where very less job opportunities are available. An employee, Harish, designed a plan for cost reduction but it was not welcomed by the production manager. Another employee gave some suggestions for improvements in design, but it also was not appreciated by the production manager. State the principle of management that is violated in the above paragraph.

According to Fayol, the overall pay and compensation should be fair and equitable to both employees and the organisation.

Voltech India Ltd. is manufacturing LED bulbs to save electricity. However, it is running under heavy losses. To revive from the losses, the management shifts the unit to a backward area where labour is available at a low cost. The management also asks the workers to work overtime without any additional payments and promises to increase the wages of the workers after achieving its mission. Within a short period, the company starts earning profits because both the management and workers honour their commitments. State the principle of management described in the above paragraph.

Functions of Management: The needs to continuously check results against goals and take any corrective actions necessary to make sure that his area's plans remain on track.

It means taking the first step with self-motivation. The workers should be encouraged to develop and carry out their plans for improvement. Suggestion system should be adopted in the organization.

The principles of Taylor and Fayol are mutually complementary. One believed that management should share the gains with the workers while the other suggested that employees’ compensation should depend on the earning capacity of the company and should give them a reasonable standard of living. Identify and explain the principles of Fayol and Taylor referred to in the above paragraph.

Nikita and Salman completed their MBA and started working in a multinational company at the same level. Both of them worked hard and were happy with their employer. Salman had the habit of back-biting and wrong reporting about his colleagues to impress his boss. All the employees in the organisation knew about it. At the time of performance appraisal, the performance of Nikita was judged to be better than Salman. Even then their boss, Mohammed Sharif, decided to promote Salman stating that being a female, Nikita would not be able to handle the complications of a higher post. Identify and explain the principle of management which was not followed by this, multinational company.