1. Nature of principles of management
A principle of management is a broad and general guideline for decision making and behaviour at work.
Features:
- Universal applicability: usable in all kinds of organisations, business and non-business.
- General guidelines: they guide action but give no ready-made solutions.
- Formed by practice and experimentation: they grew out of managers' experience and research.
- Flexible: managers can modify them to suit the situation.
- Mainly behavioural: they aim to influence human behaviour.
- Cause and effect relationship: they indicate the likely result of an action.
- Contingent: their use depends on the conditions prevailing at the time.
Unlike principles of pure science, they are not exact, because they deal with people.
| Feature | What it means |
|---|---|
| Universal applicability | Useful in every kind of organisation |
| General guidelines | Guide thinking; no ready-made answers |
| Formed by practice and experiment | Grew out of managers' experience and tests |
| Flexible | Can be adapted to the situation |
| Mainly behavioural | Aim to influence how people act at work |
| Cause and effect | Show the likely result of an action |
| Contingent | Their use depends on the conditions |
| Basis | Principles of pure science | Principles of management |
|---|---|---|
| Exactness | Exact | Not exact |
| Subject | Things and forces | People at work |
| Use | Applied word for word | Adapted to the situation |
| Imagined situation | Feature shown |
|---|---|
| One-boss rule works on a ship and in a school canteen | Universal applicability |
| Owner gives sales staff freedom in festivals but centralises in a crisis | Flexible |
| Principles say what to keep in mind, not exactly what to say | General guidelines |
| Most principles deal with how workers relate to each other | Mainly behavioural |
Key terms
- Principle of management
A broad, general guideline for decision making and behaviour at work.
- Contingent
Depending on the situation at the time.
2. Need for principles of management
- Useful insights into reality: they add to managers' knowledge and help them learn from past experience.
- Optimum utilisation of resources: they help reduce waste of materials, money and time.
- Scientific decisions: decisions become logical, objective and free from personal bias.
- Meeting the changing environment: being flexible, they help firms adapt.
- Fulfilling social responsibility: they guide fair treatment of workers and society.
- Management training, education and research: they form the base of management study.
| Need | Imagined example |
|---|---|
| Useful insights into reality | A new supervisor avoids mistakes others made before |
| Optimum use of resources | A grape packer cuts idle time and damaged crates |
| Scientific decisions | Shift plans rest on reasons, not moods |
| Meeting a changing environment | Managers adapt quickly to new export rules |
| Fulfilling social responsibility | Fair pay and fair treatment of staff |
| Training, education and research | Principles form the base of management courses |
Key terms
- Optimum utilisation
Getting the best possible use from limited resources.
3. Taylor's principles of scientific management
F. W. Taylor (an American engineer) believed work should be studied scientifically. His five principles:
- Science, not rule of thumb: find the one best method through observation and experiment, in place of guesswork and habit.
- Harmony, not discord: managers and workers should replace conflict with goodwill. This needs a mental revolution — a complete change of attitude on both sides.
- Cooperation, not individualism: managers and workers should work as partners and share responsibility; managers plan, workers offer suggestions.
- Development of each and every person to his or her greatest efficiency and prosperity: select workers scientifically, train them, and place them where their abilities fit best.
- Maximum, not restricted, output: aim for full output; lower costs mean higher profits and higher wages.
| Principle | What it asks for |
|---|---|
| Science, not rule of thumb | Find the one best method by study; drop guesswork and habit |
| Harmony, not discord | Replace conflict between managers and workers with goodwill |
| Cooperation, not individualism | Managers and workers share work and responsibility as partners |
| Development of each person to greatest efficiency and prosperity | Select, train and place each worker to use his or her best ability |
| Maximum, not restricted, output | Aim for full output so that costs fall and wages rise |
| Imagined practice at a mango packer in Ratnagiri | Principle of Taylor |
|---|---|
| Timed four ways of boxing and taught the best | Science, not rule of thumb |
| Sent quick learners on a grading course and promoted them | Development of each person |
| Packers stop holding back speed once gains are shared | Maximum, not restricted, output |
| Manager and packers' representatives solve problems together each evening | Cooperation, not individualism |
Key terms
- Scientific management
Managing work on the basis of careful study rather than guesswork.
- Mental revolution
A change of attitude by managers and workers from conflict to cooperation.
4. Fayol's fourteen principles of management
Henri Fayol (a French mining engineer and managing director) gave fourteen principles of general administration:
- Division of work — specialisation through small tasks.
- Authority and responsibility — authority should match responsibility.
- Discipline — obedience to rules; needs good superiors, clear and fair agreements, judicious penalties.
- Unity of command — one boss for each subordinate.
- Unity of direction — one head and one plan for activities with the same objective.
- Subordination of individual interest to general interest.
- Remuneration of employees — fair to workers, affordable for the firm.
- Centralisation and decentralisation — a suitable balance.
- Scalar chain — the line of authority from top to bottom; a gang plank allows direct contact between equals in an emergency, keeping superiors informed.
- Order — a place for everything and everyone.
- Equity — kindliness and justice to all.
- Stability of tenure of personnel.
- Initiative — encourage staff to make and carry out plans.
- Esprit de corps — team spirit.
| Principle | Meaning | Imagined example |
|---|---|---|
| Division of work | Split work into small tasks for specialisation | Graders only grade; packers only pack |
| Authority and responsibility | Authority must match responsibility | A supervisor answerable for an order may call overtime |
| Discipline | Obey rules; needs good superiors, fair agreements, fair penalties | Promised bonus is paid; rules are respected |
| Unity of command | One boss for each subordinate | A deckhand takes orders from the captain only |
| Unity of direction | One head and one plan for activities with one objective | One manager runs the whole trade-fair stall |
| Principle | Meaning | Imagined example |
|---|---|---|
| Subordination of individual interest | Firm's interest comes before any one person's | Best kiln goes to the urgent export order |
| Remuneration of employees | Pay fair to workers and affordable for the firm | Wages allow a decent living |
| Centralisation and decentralisation | Balance decisions kept at the top and passed down | Prices at head office; shifts by yard heads |
| Scalar chain | Line of authority from top to bottom | Conductor, supervisor, manager, controller |
| Order | A place for everything and everyone | Tools on marked racks; staff where needed |
| Principle | Meaning | Imagined example |
|---|---|---|
| Equity | Kindliness and justice for all, without bias | Overtime shared fairly, whatever the village |
| Stability of tenure | Keep staff long enough to learn the job | Quality checkers stay for whole seasons |
| Initiative | Let staff think out and carry out plans | A junior perfumer tries her own blend |
| Esprit de corps | Team spirit and unity | Weavers help a sick colleague finish |
| Basis | Unity of command | Unity of direction |
|---|---|---|
| Meaning | One boss for each subordinate | One head, one plan for a group of activities |
| Aim | Prevent confusion in orders | Coordinate efforts towards one objective |
| Concerns | Each individual employee | The organisation or a department as a whole |
| Imagined fact at a bus depot | Principle | Followed or violated? |
|---|---|---|
| Conductors get orders from two supervisors | Unity of command | Violated |
| A supervisor promotes his nephew over abler staff | Equity | Violated |
| Requests go up from supervisor to manager to controller | Scalar chain | Followed |
| The route planner is moved every month | Stability of tenure | Violated |
Key terms
- Unity of command
Each subordinate takes orders from one superior only.
- Unity of direction
One head and one plan for a group of activities with one objective.
- Gang plank
Direct contact between employees at the same level, to avoid delay.
5. Taylor and Fayol compared; relevance today
Comparison: perspective (shop-floor engineer vs top manager); focus (productivity vs general administration); unit of concern (operative level vs whole organisation); basis (observation and experiment vs personal experience); applicability (specialised production vs universal); key expression (scientific management vs general theory of administration). The two are complementary.
Relevance today: data-driven methods continue Taylor's science, not rule of thumb; remote teams still need unity of command; warehouses follow order; firms reward initiative. Ideas such as tight centralisation must be adapted for fast, digital markets. The principles remain useful when applied flexibly.
| Basis | Taylor | Fayol |
|---|---|---|
| Perspective | Engineer at the shop floor | Top manager |
| Focus | Productivity of workers | General administration |
| Unit of concern | Operative level | Whole organisation |
| Basis of ideas | Observation and experiment | Personal experience |
| Applicability | Mainly specialised production | Universal |
| Key expression | Scientific management | General theory of administration |
| Principle | How it shows up today |
|---|---|
| Science, not rule of thumb | Data from apps used to find the best method |
| Unity of command | Each remote worker has one team lead |
| Order | Warehouse items tracked by rack codes |
| Initiative | Staff encouraged to suggest new ideas |
| Centralisation and decentralisation | Needs adapting: more local freedom in fast markets |
| Imagined practice at an online apricot seller | Principle | Verdict |
|---|---|---|
| App data shows the fastest packing method | Science, not rule of thumb | Highly relevant |
| Staff in three cities each report to one lead | Unity of command | Relevant |
| City teams decide local deliveries | Decentralisation | Relevant, but adapted |
Key terms
- Complementary
Each fills in what the other leaves out.
Exam tips
Common mistakes
- Listing unity of command or esprit de corps under Taylor.
- Confusing unity of command (one boss) with unity of direction (one head, one plan).
- Writing Taylor's principles in half: always the full pair.
- Forgetting that a gang plank keeps superiors informed.
How marks are usually awarded
- 1 mark: the correct principle or feature.
- 2–3 marks: principle named, explained, and linked to the case (followed or violated).
- 5 marks: each principle with an example; comparison questions need clear bases.
- Case questions: quote the line, name the principle, say followed or violated.