Question

summary of chapter 1 principles of management in commerce class 12​

Answer 1

Question:

Summary of Principles of Management.

Answer:

Principle:

A principle is a fundamental statement of truth that provides guidance to thought and action.

Principles of Management:

Principles of management are broad and general guidelines for managerial decision making and behavior (i.e. they guide the practice of management).

Nature of Principles of Management:

The nature of principles of management can be described in the following points:

• Universal applicability i.e. they can be applied in all types of organizations, business as well as non-business, small as well as large enterprises.
• General Guidelines: They are general guidelines to action and decision making however they do not provide readymade solutions as the business environment is ever changing or dynamic.
• Formed by practice and experimentation: They are developed after thorough research work on the basis of experiences of managers.
• Flexible: Which can be adapted and modified by the practicing managers as per the demands of the situations as they are man-made principles.
• Mainly Behavioural Since the principles aim at influencing complex human behaviour they are behavioural in nature.
• Cause and Effect relationship: They intend to establish relationship between cause & effect so that they can be used in similar situations.
•  Contingent: Their applicability depends upon the prevailing situation at a particular point of time. According to Terry, “Management principles are ‘capsules’ of selected management wisdom to be used carefully and discretely”

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~AnukomalJoshi