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 Explain the principals of scientific management given by Fayol with examples.

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Unity in direction: 

(a) According to this principle, there should be one head and one plan for a group of activities having the same objectives 

(b) This principle promotes smooth co-ordination of activities, effort and resources towards a common goal. 

(c) Example: - Suppose an automobile company has 3 division’s cars, scooters and three wheeler. Now each division has its own target since, each product have its own market and problems.

EQUITY 

(a) “Good sense and experience are needed to ensure fairness to all employees, who should be treated as fairly as possible,” according to Fayol. 

(b) Equity refers to fair treatment of all workers in an organisation. Fair treatment involves kindness and justice on part of the superiors on dealing with their subordinates. 

(c) Example: we find Indian born CEO’s such as Rajat Gupta heading multinational like McKinsey Inc.

Esprit de Corps: 

(a) Management should promote a team spirit of unity and harmony among employees, according to Fayol. 

(b) It refers to team spirit. Managers should take steps to develop a sense of belonging among the members of a work group. 

(c) Example: this principle states that the unity is strength and the managers should infuse the spirit of team work in their subordinates.

Order: 

(a)According to Fayol, “people and materials must be in suitable places at appropriate times for maximum efficiency.” 

(b)Order refers to a systematic arrangement of materials and placement of people in the organisation. 

(c)Example: production manager may be allotted an office room in a factory, the typist a particular table, the foreman to supervise a particular workshop

Centralisation and Decentralisation: 

(a) Centralisation of authority refers to relative concentration of authority for decision making especially at top managerial level. 

(b) Decentralisation of authority refers to relative dispersal of authority specially among the lower managerial levels to felicitate operational decision making 

(c) Example: panchayats in our country have been given more power to decide and spend funds granted to them by the government for the welfare of the villages. This is decentralisation in national level.

Imitative: 

(a) This principle states that: 

  • Subordinates should be given an opportunity to take initiative in making an executing the plan.  
  • Subordinate with initiative should be encouraged within the limits of authority and discipline 

(b) Example: Every employee has the right to give suggestion about any matter of the organisation but once a decision is taken on any issue there is no scope for disobedience.

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