Attempt the following.
1) Explain in detail any five Henry Fayol’s principles of management given by Henry Fayol.
1) Principle of Division of Work:
According to this principle, the work is divided into different kinds such as technical, financial, commercial, security operations, accounting and managerial. It is assigned to employees as per their qualities and capabilities. It helps in improving efficiency and expertise of employees which ultimately turns into expected productivity level.
2) Principle of Authority and Responsibility:
Authority is the right to take decisions. It is necessary to get the things done appropriately from subordinates. Authority always comes with the responsibility. If the manager is given the authority to complete a task within a given time, he should be held responsible if he does not complete the work in given time.
3) Principle of Discipline:
According to Fayol, discipline is the most essential thing in the organization. Employees must obey and respect the rules that govern the organization. Discipline helps to achieve the goals in the organization. Good discipline is the result of effective leadership. There must be a clear understanding between the management and workers regarding the organization’s rules. Basic discipline should be observed at all levels of management.
4) Principle of Unity of Direction:
This principle states that ‘there should be one head and one plan’ in every organization. Each group in the organization should have the same objective and the group should be directed by one manager using a single plan.
5) Principle of Remuneration:
Appropriate remuneration to staff or employees is the principle to keep them satisfied financially as well as retain them for long span of time within the organization. The fair remuneration effects on the productivity and efficiency level in total. The remuneration should be fixed by taking into consideration the skill, expertise, knowledge, tenure, cost of living, market trend, profitability of organization etc.
2) Describe the different techniques of scientific management?
Before assigning the work to the available workforce, proper work-study should be done by management. Work-study consists of an organized, systematic, and critical assessment of the various activities or functions. Work-study is based on techniques such as time study, motion study, method study, and fatigue study.
A) Time Study: It is the technique of observing and recording the time taken by an employee to complete a given task. With the help of time study, the precise time required for each element of work is determined.
B) Method Study: There are always various methods for completing the task. For best quality and cost-effectiveness, identifying the best method of doing a particular job is a very important but challenging task for a manager.
C) Motion Study: The study of required motion means the movement of an employee as well as of a machine while completing a particular task is very important. It is helpful in eliminating unnecessary motions and finding the best method of doing a particular job.
D) Fatigue Study: Generally long working hours without sufficient breaks, target pressure, heavy working tools, and poor working conditions result in physical and mental stress i.e. fatigue. The study of fatigue and steps to reduce the level of fatigue is very important to maintain the operational efficiency of the employees.
2) Standardization of Tools and Equipment:
With the result of experiments conducted at the workplace, Taylor advocated the standardization of tools and equipment. Standardized working environment and methods of production help to reduce spoilage and wastage of material, cost of production, fatigue among the workers and it improves the quality of work.
3) Scientific Task Setting:
Taylor emphasized the need for fixing a fair day’s work. A scientific work setting is important to prevent the employees from doing work much below their capacity. By using this technique, employees will complete the task according to standards given and management can keep proper control on optimum utilization of the workforce.
4) Scientific Selection and Training:
Management can select the right persons for the right jobs by using scientific selection procedures. It needs to fix job specifications as per requirement. Employees are selected according to predetermined standards in an impartial way. After selection, management should provide the proper training programs to increase their efficiency.
5) Functional Organization:
In this concept of Taylor, planning is separated from implementation. That means, planning is done by different people and actual work is supervised by different people.
They are categorized as follows:
A) At Planning Level:
Route Clerk- tells how work moves from one machine to another.
Instruction Clerk- records instructions to complete the work.
Time and Cost Clerk- determines the time in which work should be completed and work out the cost
Discipline- ensures that the workers are working as per factory rules.
B) At Implementation Level:
Gang Boss-actually gets the work done.
Speed Boss- ensures that the work is completed at a specified time.
Repair Boss- handles the security and maintenance of the mechanism.
Inspector- ensures that the work is done as per the specified standards.
6) Differential Piece-Rate Wage Plan:
Remuneration should be fixed in such a way that the average worker is motivated to attain a standard output. Taylor suggested the differential piece-wage system. Higher rates are offered to employees who complete the work more than the standard quantity under this system. On the other hand, if an employee is performing below the standard; he shall be given a lower rate of wages. This technique motivates employees to attain higher standard performance and earn wages.
3) Elaborate principles of scientific management.
Principles of Scientific Management:
These principles are as follows:
1) Science, Not Rule of Thumb:
In order to increase organizational efficiency, the ‘Rule of Thumb’ method should be substituted with the methods developed through scientific analysis of work. Rule of thumb decisions is based on personal judgments of the manager. Taylor insisted upon scientific methods for every small work. This principle is concerned with selecting the best way of performing a job after scientific analysis of that job and not by trial and error methods.
2) Harmony, Not Discord:
According to this principle, there should be harmony between the employees and management. This coordination will help in minimizing conflicts between them. The perfect understanding between employees and management will be helpful in creating a healthy work environment for achieving the desired goal.
3) Mental Revolution:
Taylor introduced the concept of “Mental Revolution”. This principle focuses on the change in the attitude of employees and management towards each other. Both should realize their equal importance in the organization. They should give full cooperation for achieving the goal of the organization. This will increase productivity and profits.
4) Cooperation, Not Individualism:
This principle emphasizes mutual cooperation between the workforce i.e. employees and management. Due to cooperation, trust, team spirit, etc. internal competition will turn into a healthy working environment. Management should always consider the suggestions given by employees in the decision-making process.
5) Division of Responsibility:
Proper division of work should always be accompanied by the division of responsibilities between the managers and employees. Major planning is done by the top and middle-level management authorities whereas employees are concentrating on its execution. It helps for the best performance of managers as well as employees.
6) Development of employer and employees for greater efficiency and maximum prosperity:
The best performance of any organization always depends on the skills and capabilities of its, employees to a great extent. Thus, providing training and development programs to the employees whenever required, is very essential. It ultimately affects the profitability of the organization. Each employee should be given the proper opportunity to attain greater efficiency and maximum prosperity.
4) Explain the nature of the principles of management?
The nature of management principles is given below:
1) Universal application:
The principles of management are universal in nature. That means they can be applied to all types of organizations, irrespective of their size and nature. Their results may vary and application may be modified but these are suitable for all kinds of organizations. Similarly, they are applicable to all levels of management.
2) General guidelines:
Management principles provide general guidelines in tackling the organizational situations wisely as well as in solving the problems. They are not rigid. Which management principles are to be applied depends upon the situation, size, and nature of the organization.
3) Principles are formed by practice and experiments:
The management principles are developed gradually with thorough research work. Systematic observations and experiments are conducted before developing them. The results of such experiments have been developed as a principle after its practice in organizations.
Management principles are flexible in nature. It means they can be changed or modified according to the situation. Managers can be flexible while implementing principles to suit the requirement. The business situations keep on changing. Management principles can be adjusted or modified and can be used in the organization according to its need.
5) Behavioral in nature:
Management is a group activity. Management aims at achieving a certain goal through a group of human beings. Management principles are designed to influence human beings. These principles control a group of persons and direct them to achieve the objectives.
6) Cause and effect relationship:
Principles of management are the base for taking decisions. They determine the cause or reason for a particular effect. For example, payment of good wages and incentives helps in increasing the output of workers or making effective advertisement increases the sale of a product.
7) All principles are of equal importance:
All principles of management are of equal importance. Those are to be practiced simultaneously to get the best results in the form of achievement of predefined goals. If any specific principle is focused more and others are not followed with the same focus, then it affects the working of the organization.