class 12 business studies Principal of management notes

Principle of management. .... Short & Easy Notes for Board Exam

#1. Write the Fayol's principles of management.

> Henry Fayol's was born in France in 1841. He became famous as father of Management. He gave 14 principles of management.

i. Principle of division of work - The intent of division of work is to produce more and better work for the same effort. Specialisation is the most efficient way to use human efforts.

ii. Principle of authority and responsibility - Authority means power to take decision and give order on the other hand responsibility means obligation to complete the job. It helps in achieving the large without any delay and reduce the abuse of power.

iii. Principle of discipline - It refer to general rules and regulations for systematic working in the organisation. It improve efficiency and better labour management relation.

iv. Principle of unity of command - According to this principle, a subordinate received order from one and only one superior at the same time.

v. Principle of unity of direction - All the member and employees of the organisation must be directed toward one direction to achieve common goal.

vi. Principle of subordination of individual interest to general interest - Every worker has some individual interest for working in a company.

vii. Principle of remuneration of employee - The employees should be paid fair wages which should give them at least a reasonable standard of living.

viii. Principle of centralisation and decentralisation - the centralisation of decision making authority is called centralisation. Whereas its dispersal among more than one person is known as decentralisation.

ix. Principle of scalar chain - The formal lines of authority from highest to lowest rank are known as scalar chain.

x. Principle of order - The principle of order state that a place for everything and everything in its place.

xi. Principle of equity - Employees can be made to put in their best only when they are given kind fair and just treatment.   

xii. Principle of stability of personnel - It refers to no frequent termination and transfer.

xiii. Principle of initiative - Fayol wanted that subordinates should be given an opportunity to take some initiative in making and executing their plan. 

xiv. Principle of Esprit De Crops - Management should promote a team spirit  of unity and harmony among employees.

#2. What do you mean by scientific management ?

> F.W. Taylor is regarded as the father scientific management. Scientific management refers to the use of scientific method in decision making to resolve management problems.

Following are the principles of scientific management;

i. Science, not the rule of thumb.

ii. Harmony, not discord.

iii. Cooperation, not individualism.

iv. Development of workers to their greatest efficiency and prosperity.

v. Separation of planning and operational work.

 

#3. Difference between time study and motion study.

> Time study;

i. Time study covers only stop-watch procedures.

ii. Time study is done before motion study.

iii. Time study provides the evolution of work measurement devices by establishing time standards.

iv. Time study considers the time taken by the worker in the performance of a job.

Motion study;

i. Motion study mainly covers photographic procedures.

ii. Motion study is done after Time study.

iii. Motion study provides for the evolution of Ideal methods of doing the work.

iv. Motion study is mainly concerned with the physical efforts made by him for completing the work.

#4. Difference between method study and motion study.

> method study;

i. It finds best way to perform the task is determined out of many.

ii. To keep the production cost to the minimum by a proper mixture of available resources.

iii. It determined at the stage of planning of the job.

iv. To get better result motion study is necessary.

Motion study;

i. It involves through analysis of various portions being performed by men and machines at work for eliminating the unnecessary emotions.

ii.  To minimize the number of motions involved in doing a particular job.

iii. It determined during the job.

iv. To get better result method study is necessary.

#5. What do you mean by fatigue study?

> It is a technique which is used to determine the requirement of rest or a break while performing a task for improving the performance of workers.

#6. What do you mean by scalar chain?

> An organisation consists of superiors and subordinates. The formal lines of authority from highest to lowest rank known as scalar chain.

                                       According to Fayol organisation should have a chain of authority and communication that Run from top to bottom and should be followed strictly by managers and the subordinates.

                                      However, if there is an emergency then 'E' can directly contact 'O' through gang plank as shown in the diagram: 

#7. Write the importance of Management principles.

> following are the importance of Management principles;

i. Principles are designed to get maximum benefit from human resources.

ii. It increase the production.

iii. It helps in better administration.

iv. It also guide the managers to perform social responsibility.

v. To achieve the organisational objective economically.

POINTS;

i. F.W. Taylor is also known as father of scientific management.

ii. Henry Fayol is the father of Administrative Management.

iii. Henry Fayol was born in France.

iv. Scientific management principles was introduced in 1913.

v. There are 14 principles of henry Fayol.

vi. Principle of management are dynamic, flexible and universal.

vii. Production in scientific management is maximum

viii. Working hour decreases in scientific management.

ix. Profit are increase in scientific management.

x. Scientific management is favoured by Indian industries.

xi. Scientific management reduce the cost

xii. Operation by labour of scientific management is not desirable.

THE END