14 principles of Evolution of Management

An attitude and philosophy, which discards the traditional method of hit and miss, rule of thumb, trial and error of managing work and workers

Based on above division, 14 principles have been developed:

1.Division of Work:

- Concentrates on distribution of working responsibility among employees

- principle of right man at right job

- focus: specialization and efficiency

- at both level: technical and managerial

2. Discipline:

- obedience to the superior and their guidelines

- concerned to follow the rules, regulations and procedures

- rules and regulations must be clear & fair, penalties and punishments for non-observance of discipline must be impartial and equal

- a must for development of feeling of self- responsibility and smooth operation of organization

3. Unity of command:

- A subordinate must get order and instruction only from one superior at a time

- Should be accountable to one superior, to avoid confusion and puzzle among subordinates

4. Feeling of authority and responsibility:

- Authority: a power and right through which a person commands subordinates to achieve organizational objectives

- Responsibility: obligation taken by subordinates from superior for proper performance

- a proper balance between authority and responsibility

- without responsibility- irresponsible and arbitrary behaviour

- without authority- ineffectiveness and inefficiency

5. Unity of direction:

- similarity to guidance - one head and one plan for a group of activities having common objective

- essential to maintain unity in action or operation and coordination

6. Subordination of individual interest to organizational interest:

- individual interest refers to fulfillment of individual objectives and organizational interest refers to attainment of organizational objectives

- essential to reconcile individual interest to that of organizational interest

- achievement of organizational objectives in long run contribute to achievement of individual objectives

7. Remuneration:

- price payable to employees for their service towards the organizational objectives

- it should be acceptable to both the management and employees

- a fair wage system - should be determined by considering both employees’ responsibilities and work done , cost of living and financial status of organization

- provision of allowance on the basis of cost of living, skill, efficiency, experience, accountability

- financial soundness, productivity, profitability should be considered

8. Centralization:

- to reserve decision making authority at top level

- depending upon nature and size of organization, delegation of some of the authority to middle and lower levels

9. Scalar chain:

- refers to unbroken chain of relation ranking from superior to the lowest rank of authority in an organization

- for systematic and orderly communication from top level to lowest level - concept of gang plank:

10. Order:

- systematic arrangement of things and people

- material order and social order

- right materials at right place and time

- right person at right job

11. Equity:

- kindness and justice to all the employees

- for loyalty and devotion, feeling of responsibility and efficiency

- avoid favoritism, nepotism, partiality12. Stability of tenure:

- related to job security or long term existence of workers

- essential to maintain and develop working efficiency, job specialization

- feeling of job insecurity creates problems of high labour turnover, increasing cost of selection, training, supervision, possibility of wastage of materials, breakdown of machines etc.

13. Initiative:

- emphasizes to provide freedom and preference to subordinates to think out a plan and its execution

- encouragement to workers for creation, self plan making, ideas generation, problem solving approach development, perform the responsibility at own risk and knowledge, no interruption or guidelines from superior for intelligent workers

- it provides the sense of self-motivation and makes more dedicated and loyal towards the organization

14. Esprit de corps:

- “union is strength”

- a feeling of team spirit among the workers

- must be mutual cooperation among the employees

- managers must take necessary steps to promote spirit among the group and develop feeling of harmony to each other

- avoid the divide and rule principle, emphasis must be given for verbal and close communication among them

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