(MARKETING MANAGEMENT_) Principles of Management as per Henry Fayol:Fayol suggested 14 principles of Management which he found can be most frequently

applied for the Management work. He, however, recognized that there was no limit of number of principles of Management and the principles of Management and the principles laid down by him were flexible and capable of adaptation to every need. These principles are:1. Authority and Responsibility: - The Authority and Responsibility are related closely with each other. If a person is given authority to work freely, and can take decision independently, he will become more responsible. Authority is derived from position and personal qualities. If the top management wants to discharge responsibility; there should be a balance between Authority and Responsibility. Unity of command: Unity of command means that a person should get orders and instructions from one superior. In case of unity of command, there will be no confusion and conflict. There will be greater feeling of personal responsibility. This is contrary to the Taylors functional foremanship. In the words of Fayol- If the unity of command is not followed, order will be disturbed and stability threatened. This rule seems fundamental to me and so I have put in the rank of principle. Unity of Direction:-According to this principle, there should be one plan for each group of activities. It provides a better coordination among various activities. Discipline: - All the persons who are working in the organisation should be disciplined. Discipline should be in behaviour and application. Discipline may be of two type:

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3. 4.

(i) Self-imposed discipline. (ii) Discipline by command. Self discipline arises within the individual while command discipline is expressed by customs, rules and regulations. This can be learned but experience and tact of managers. 05. Scalar Chain There should be a scalar Chain of authority and of communication ranging from highest to lowest. It suggests that each communication going up or coming down must flow through each position in the line of authority. Fayol has suggested gang plank which is used to prevent the scalar chain from bogging down action. 06. Initiative: within the limits of authority and discipline, managers should encourage their employees for talking initiative. Initiative is concerned with thinking out and execution of a plan. Initiative increases zeal and energy on the part of human beings. 07. Equity: - Equity is the combination of justice and kindness. Equity in treatment and behaviour is liked by everyone and it brings loyalty in the organisation. 08. Division of labour: Fayol was in favour of division of work. According to him it will brings specialisation. If the work is divided among works and their duties are fixed, they will work with more sincerity and honesty. Secondly, they will become experts their work and output will increase with accuracy. On the other hand , If the duties are changed frequently, it will require training of workers again and again and output will reduce. 09. centralisation :- centralisation indicates that the interests of organisation should be given highest priority . There should be efforts to archive the highest common objective of the enterprice. 10. Order :- There should be a place of every- thing and everything should be in its palce. If the size of the organisation is bigger, it will be more difficult to manage the organisation. 11. Remuneration of Personnel : Remuneration of employees should be fair and provide maximum possible satisfaction to employees and employers. Fayol did not favour profit-sharing plan for workers but advocated it for managers. He was also in favour of non-financial benefits though these were possible only in the case of large-scale organisation. 12. Stability of Tenure : No employee should be removed within short time. There should be reasonable security of jobs. Stability of tenure is essential to get an employee accustomed to new work and succeeding in doing it well. Unnecessary turnover is both cause and effect of bad management. 13. Espirit de Corps : this is the principle of Union is strength and extension of unity of command for establishing team work. The manager should encourage esprit de corps among his employees. The employees should be set right by oral directions and not by demanding written explanations. Written explanation complicate the matters.

14. Subordination of individual to general Interest : common interest is above the individual interest. individual interest must be Subordinate to general interest when there is conflict b/w the two. How-ever , factors like ambition, laziness, weakness etc., tend to reduce the importance of general interest . Therefore, superiors should set an example in fairness and goodness. The agreement b/w employers and employee should be fair and there should be constant vigilance and supervision.