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Principles of Management &

Scientific Management

(Moh'd Jerhan M. Pagayawan)


Principle Of Management
 Principles of management are basic activities that can help you plan,
organize and control operations related to material, people, machines,
methods, money and markets. They provide leadership to human efforts
so that they achieve set objectives efficiently.
 It has 14 Principles and the "Father of Management" is Henry Fayol
Henrey Fayol (1841-1925)
Was born in a suburb of Istanbul,
Turkey. A French mining engineer.
Henri Fayol is well-renowned as the
'Father of Modern Management
Theory'. Fayol worked at the French
mining company Commentry-
Fourchambault and Decazeville,
where he started as an engineer but
worked his way up to become the
general manager and then the
organization's director from 1888 to
1918.
 He made the management theory
 Fayol has given 14 principles of
 While giving the management
management.
principles, Fayol has emphasized two
 He has made distinction between things.
management principles and 1. The list of management principles is
management elements. not exhaustive but suggestive.
 While management principles is a 2. principles of management are not
fundamental truth and establishes rigid but flexible
cause effect relationship,
 Elements of management denotes the
function performed by a manager.
GENERAL PRINCIPLES OF MANAGEMENT
1 Division of Work

 Itis helpful to take the advantage of specialization.Here, the work is


divided among the members of the group based on the employees skills
and talents. It can be applied at all levels of the organization.

2 Authority and Responsibility

 Official authority is derived from the manager's position and personal


authority is derived from personalqualities such as intelligence,
experience, moral worth, past services, etc., Responsibility arises out of
assignment of activity. In order to discharge the responsibility properly,
there should be parity between authority and responsibility
3 Discipline

 All the personal serving in an organization should bedisciplined.


Discipline is obedience, application, behavior and outward mark of
respect shown by employees.

4 Unity of Command

 means that a person should get orders from only one superior. Fayol
has considered unity of command as an important aspect in managing
an organization.
5 Unity of Direction

 According to this principle, each group of activities with the same


objective must have one head and one plan. It is concerned with
functioning of the organization / respect of grouping of activities or
planning. Unity of direction provides better coordination among various
activities to be undertaken by an organization.

Subordination of Individual Interest to General


6 Interest

 Individual interest must be subordinate to general interest when there


is conflict between the two.However factors like ambition, laziness,
weakness, etc., tend to reduce the importance of general interest.
Therefore, superiors should set an example in fairness and goodness.
7 Remuneration to Personnel

 Remuneration to employees should befair and provide maximum


possible satisfaction to employees and employers. Fayol did not favor
profit sharing plan for workers but advocated it for managers. He was
also in favor of non-financial benefits.

8 Centralization

 Everything which goes to increase the importance of subordinate's role


is decentralization; every thing which goes to reduce it is centralization.
The degree of centralization or decentralization is determined by the
needs of the company.
9 Scalar Chain

 It suggests that each communication going up or coming down must


flow through each position in the line of authority. It can be short-
circuited only in special circumstances

10 Order

 This is a principle relating to the arrangement of things and people. In


material order, there should be a place for everything and everything
should be in its place. Similarly, in social order, there should be the right
man in the right place.
11 Equity

 It is the combination of justice and kindness. Equity intreatment and


behavior is liked by everyone and it brings loyalty in the organization.
The application of equity requires good sense, experience and good
nature.

12 Stability of tenure

 No employee should be removed within shorttime. There should be


reasonable security of jobs. Stability of tenure is essential to get an
employee accustomed to new work and succeeding in doing it well
13 Initiative

 Within the limits of authority and discipline, managers should


encourage their employees for taking initiative. Initiative is concerned
with thinking out and execution of a plan. Initiative increases zeal and
energy on the part of human beings.

14 Esprit de corps

 It is the principle of "union is strength" and extensionof unity of


command for establishing team work. The manager should encourage
esprit de corps among his employees.
Scientific Management
Theory
What is Scientific Management

 Scientific management, also often known as Taylorism, is a


management theory first advocated by Federick W. Taylor. It uses
scientific methods to analyze the most efficient production
process in order to increase productivity. Taylor’s scientific
management theory argued it was the job of workplace managers
to develop the proper production system for achieving economic
efficiency. Although the terms “scientific management” and
“Taylorism” are commonly used interchangeably, it would be more
precise to say that Taylorism was the first form of scientific
management.
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T H A N K S

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