Key Points

Management principles are broad and general guidelines for managerial decision-making and behavior. They are not rigid rules but provide a framework for action.

These principles are universal in application, formed by practice and experimentation, flexible, mainly behavioral, contingent, and based on cause and effect relationships.

They provide managers with useful insights into reality, help in optimum utilization of resources, facilitate scientific decisions, meet changing environment requirements, and fulfill social responsibility.

Fredrick Winslow Taylor is known as the 'Father of Scientific Management'. His approach emphasized using scientific methods to find the 'one best way' for performing a job to increase efficiency.

Taylor advocated that each job performed in the organization should be based on scientific enquiry and not on intuition, experience, or hit-and-miss methods.

This principle stresses that there should be complete harmony between management and workers. Taylor called for a 'Mental Revolution' where both sides change their attitude and cooperate.

Taylor suggested the division of factory work into planning and execution. He proposed eight functional specialists to supervise workers, thereby violating the principle of unity of command.

Standardisation involves setting standards for every business activity, from process to output. Simplification aims at eliminating unnecessary diversity of products, sizes, and types.

Work study includes four techniques to improve efficiency. These are Method Study (finding the best way), Motion Study (eliminating wasteful movements), Time Study (setting standard time), and Fatigue Study (determining rest intervals).

This technique links wages to performance by paying different rates to efficient and inefficient workers. Workers producing standard output or more get a higher rate, while those below standard get a lower rate.

Henri Fayol, known as the 'Father of General Management', developed 14 principles of management that provide guidelines for managers to perform their functions effectively.

Work should be divided into small, specialized tasks, and each task should be performed by a specialist. This leads to greater efficiency and productivity.

Authority is the right to give orders, and responsibility is the obligation to perform a duty. Fayol suggested that there must be a balance between authority and responsibility.

Each employee should receive orders from only one superior and be accountable to that superior alone. This prevents confusion, conflict, and the undermining of authority.

All activities with the same objective must have one head and one plan. This ensures unity of action and coordination across the organization.

Scalar Chain is the formal line of authority from the highest to the lowest rank. Fayol suggested a 'Gang Plank' (a shorter route) for direct communication between employees at the same level in emergencies to avoid delays.

This principle emphasizes promoting team spirit, unity, and harmony among employees. A manager should use 'we' instead of 'I' to foster a sense of teamwork.

Taylor's focus was on the shop floor level and increasing worker productivity (Scientific Management). Fayol's focus was on top-level management and improving overall administration (General Theory of Administration).