Business Studies

Principles of Management

Question:

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

Answer:

Fayol introduced general principles of management. Some of them have been explained below
(a) Unity of Direction
All the units of an organisation should be moving towards the same objective. Each group of activities having the same objective must have one head and one plan. Each group should have its own incharge and on no account the working of two divisions neither be overlaped.
(b) Equity
This principle emphasise kindliness and justice in the behaviour of managers towards workers. This will ensure loyalty and devotion. Lazy personnel should be dealt sternly and strictly. There should be no discrimination against anyone on account of gender, religion, caste, language or nationality etc. All decisions should be merit based.
(c) Espirit de Corps
This principle emphasises on building harmony and team spirit among employees. In a large organisation due to a large work force teamwork is very important. Teamwork leads to better co-ordination while working. The head of each team should give credit of good result to the whole team rather than confining it to his ownself.
(d) Order
A place for everything and everyone in his/her place. Basically it means orderlinss. If there is a fixed place for different things in a factory and they remain in their places then no time is wasted in locating them. Same way if every personnel is allocated an area to operate from then his co-workers, head or subordinates, anyone can contact him easily.
(e) Centralisation and Decentralisation  Concentration of authority in a few hands is centralisation and its dispersal among more number of people is decentralisation. Fayol believed that an organisation should not work with anyone of them in isolation. A combination of both is important simple, easy and work of routine type should be decentralised and critical important type of work should be centralised.
(f) Initiative  Initiative means taking the first step with self-motivation workers should be encouraged to develop and carry out their plans for improvements according to Fayol. Initiatives should be encouraged. A good company should invite suggestions from employees which can result in substantial cost/time reduction. Rewards can be given to fruitful suggestions.

previuos
next

Principles of Management

Q 1.

Which principle of management states that an employee should receive orders  from one superior only? (Delhi 2010c)

Q 2.

Define scientific management. State any three of its principles.

Q 3.

Explain the principles of scientific management given by Taylor.

Q 4.

How is the Principle of ‘Unity of Command’ useful to management? Explain briefly.

Q 5.

Explain these principles in brief.

Q 6.

Explain Fayol’s principles of ‘equity’ and ‘order’ with examples.
(All India 2011)

Q 7.

Explain any four points regarding significance of Principles of management.

Q 8.

Explain the following principles of management:

  • Scalar chain
  • Science, not rule of thumb. (Delhi 2008)

 

Q 9.

Explain the following principles of Fayol with the help of one example of each.

  • Division of work
  • Unity of direction (All India 2011; Delhi 2011c)

 

Q 10.

Name and explain the principle of management according to which a manager should replace ‘I’ with ‘We’ in all his conversation with workers? (HOTS; Delhi 2013)

Q 11.

What precautions should the company undertake to implement the changes?
Give your answer with regard to each technique separately as enunciated in points 1 through 6 in the case problem.

Q 12.

What does the principle of initiative indicate? (Delhi 2009)

Q 13.

If an organisation does not provide the right place for physical and human resources in an organisation, which principle is violated? What are the consequences of it?

Q 14.

Which principle of management is violated, if a subordinate is asked to receive  orders from two or more superiors? (HOTS; Delhi 2008C)

 

Q 15.

Which principle of management implies that there should be ‘one head and one  plan’ for a group of activities having the same objective?  
(All India 2010)

Q 16.

Name and explain the principle of management in which workers should be  encouraged to develop and carry out their plans for improvement in the organisation.                     (HOTS; Delhi 2010c)

Q 17.

What steps should the company management take in relation to the above principles to restore the company to its past glory?

Q 18.

What is meant by Fayol’s principle of’esprit de corps'? (Delhi 2011)

Q 19.

Explain the following principles of Fayol with the help of one example for each

  • Discipline
  • Unity of command        (Delhi 2011c)

Q 20.

Explain any two of the following Fayol’s principles of management with examples
(i) Unity of direction                           (ii) Equity
(iii) Esprit de corps                                   (iv) Initiative(All India 2008; Delhi 2008C)

Q 21.

Discuss the following techniques of scientific work study
(a) Time study
(b) Motion study
(c) Fatigue study
(d) Method study
(e) Simplification and standardisation of work

Q 22.

Why did Fayol introduce the concept of ‘gang plank’ in the principle of ‘scalar  Chain’?       (All India 2009)

Q 23.

Discuss the differences between the contributions of Taylor and Fayol.

Q 24.

Discuss the relevance of Taylor and Fayol’s contribution in the contemporary business environment.

Q 25.

Explain the following principles:

  • Discipline
  • Harmony, not discord (All India 2008)

 

Q 26.

Explain the principle of Scalar Chain' and gang plank.

Q 27.

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

Q 28.

Explain the technique of ‘Functional Foremanship’ and the concept of ‘Mental Revolution’ as enunciated by Taylor.

Q 29.

Name and explain the principle of management which requires judicious  application of penalties by the management.
(HOTS; All India 2010; Delhi 2010)

Q 30.

Nikita and Salman completed their MBA and started working in a multi-national company at the same level. Both are working hard and are happy with their employers. Salman had the habit of backbiting and wrong reporting about his colleagues to impress his boss. All the employees in the organisation knew about it. At the time of performance appraisal, the performance of Nikita was judged better than Salman.
Even then their boss, Mohammad Sharif decided to promote Salman stating that being a female, Nikita will not be able to handle the complications of a higher post.
(i) Identify and explain the principle of management, which was not followed by this multi-national company.
(ii) Identify the values, which are being ignored quoting the lines from the above para.          (VBQ; All India 2013)

Q 31.

Explain the tallowing principles of Fayol with the help of one example  for each:

  • Scalar chain
  • Stability of tenure of personnel (All India 2011)

 

Q 32.

Voltech India Lid is manufacturing LED bulbs to save electricity and running under heavy losses. To revive from the losses, the management thought of shifting the unit to a backward area where labour is available at a low cost. The management also asked the workers to work overtime without any additional payment and promised to increase the wages of the workers after achieving its mission. Within a short period the company started earning profits because both the management and the workers honoured their commitments.    (Compartment 2014)

  • State the principle of management described in the above para.
  • Identify any two values that the company wants to communicate to the society.

Q 33.

Telco Ltd is manufacturing files and folders from the old clothes to discourage use  of plastic files and folders. For this, they employ people from nearby villages where very less job opportunities are available. An employee, Harish, designed a plan for the cost reduction but it was not welcomed by the production manager. Another employee gave some suggestion for improvement in design, but it was also not appreciated by the production manager.  

  • State the principle of management described in the above para.
  • Identify any two values that the company wants to communicate to the society.  (Compartment 2014)