Explain the following Principles of management given by Fayol with examples:
(a) Unity of direction
(b) Equity
(c) Espirit de corps
(d) Order
(e) Centralisation and decentralisation
(f) Initiative
Answers
SOLUTION :
(a) UNITY OF DIRECTION :
There should be one head and one plan for activities having similar objectives.No organisation can succeed unless there is unity of direction. This will ensure unity of action and coordination.
(b) EQUITY :
Equity results from the combination kindness and justice. Management dealing with employee should be kind and impartial. They should not favour anyone at the cost of another . There must not be any discrimination on the basis of gender, personal bias, likes and dislikes of appraiser.
(c) ESPRIT DE CORPS :
The manager should promote working in teams unity and harmony. This will help in achieving objectives easily as efforts of all employees will be united. While conversing with the employees, the managers should replace ‘I’ with 'We' . This will foster sense of belongingness and minimise penalties.
(d) ORDER :
Here order means orderliness. It does not relate to giving command. Fayol suggested two types of order.
Social order: Every person must be available at their assigned place of work during the working hours of the organisation.
Material order : There should be fixed place for machines, tools and material so that no one need to make efforts to search them. If this principle is followed strictly there will be no chaos and it will help to increase productivity.
(e) CENTRALISATION AND DECENTRALISATION :
Retention of authority is called centralisation of authority while dispersal of authority is known as the decentralisation of authority. For the involvement of employees the decentralisation of authority in necessary. There cannot be complete centralisation or complete decentralisation in any organisation. A balance needs to be maintained between the two.
(f) INITIATIVE :
Freedom to think out and execute plan is known as initiative . Employees should be given sufficient opportunities to show their initiative but it does not mean allowing the employee going against established practices. A good employee suggestion system should be install whereby any good suggestion for initiative which results in substantial reduction in cost should be rewarded.
HOPE THIS ANSWER WILL HELP YOU…
a)unity of direction: according to this principle efforts of all the members of the organization should be director towords common goals . a group of activities having the same object must have one head and one plan . this principle 62 Ansar unity of action coordination of strength and focusing of effort .
b)equity: equity is a combination of kindliness and Justice . the managers should show kindness and Justice in dealings with their subordinates . if the managers are kind and just there will be cordial relations between labour and capital . besides it will make workers devoted and loyal to the firm.
c)esperit de corps: it implies that union is strength, which comes from the harmony of the personnel. it emphasizes the importance of teamwork and group endeavors. there should be lalati and concern for the honor of organisation to which he belongs .
d)order: order requires that there is a place for everything and everything in its place . this is a principle referring to proper arrangement of material things and human beings . social order requires the employment of the right man in the right place .
e)centralization and decentralization: it refers to the extent to which authority is concentrated or dispersed. the appropriate degree of centralisation will vary with different concerns . under centralisation managers are executives plays an important role .
f)initiative: initiative involves thinking out and execution of a plan and ensuring its success . this gives zeal and energy to an organisation . fayol advised manages to allow employees to show initiative as much as possible .
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