PRINCIPLES OF MANAGEMENT

Q1. What do you understand by ‘Principles of Management’? [AI 2006]

Ans: A statement which reflects fundamental truth about some phenomena is known as a principle. Cause and effect relationship is established by it and also serves as a guide to action and thought. Management principles are statements of fundamental truth which provide guidelines for managerial decision-making and action. On the basis of examination or experimental studies, the principles are found.

Q2. What do you mean by ‘flexibility’ of principles of management?

Or

In the following statement, state the attribute of management principle, ‘The management principles are not inelastic prescriptions, which need to be shadowed absolutely’. Also describe two more attributes of management.

Ans: These are flexible guidelines which provide enough scope to fulfill the necessities of a given situation. Such guidelines can be utilized in different conditions and in various ways. A study is required regarding the nature of enterprise, its size, competitive situations, etc., before these principles can be applied.

Q3. Explain the principles of ‘discipline’ and ‘Esprit de Corps’. [Delhi 2006C]

Or

Explain the principle of discipline. [AI 2008]

Ans: 

1. Discipline: In relations of management, discipline means to be obedient, to have proper conduct of relations with others, and to comply with the guidelines and protocols of the organizations. Discipline is obligatory for the even running of business. Both management and employees require discipline. At all points there has to be a good supervision, rules must be clear and penalties should be imposed with fairness to achieve discipline. 

1. Esprit de Corps: It is team spirit where there should be mutual understanding amid workers and also agreement in the working group. To improve a sense of belonging amongst the participants of a work group, the managers need to take steps. Everyone comes forward to help others if exists a team spirit. It helps to develop mutual understanding. It provides an inspiration to work hard and to advance the quality of work. The need to use penalties of default is lessened, when esprit de corps is present. The need to contribute to the best of ability increases if the degree of discipline is higher. Subordinates need not be used by managers for their personal ends. The credit for the completed work by lower levels msut not be taken by the managers. 

Q4. If a member of staff is asked to accept instructions from two superiors, which management principle is violated? Describe the principle by giving a suitable example.

Ans: UNITY OF COMMAND is the principle states that subordinates should accept instructions and be answerable to one and only one superior. Therefore, orders from more than one superior should not be received by any employee. This principle is vital to avoid conflict and confusion. For instance, if an employee has more than one superior, each of them would want the action to be carried out according to his instructions. This would cause confusion to the employee as to whose instructions to be followed. It is easy to fix responsibility for mistakes, when there is Unity of Command.

Q5. An organization follows the principles of management. What could be the adverse effects of each of the bellow mentioned principles of management on the organization?

• Unity of Command (ii) Order, and

• Stability of tenure of personnel. [Delhi, AI 2005]

Ans: The adverse effects of the given management principles are as follows:

(i) Unity of command: Sometimes it is essential that an employee be given orders by more than one superior to finish certain work in time. This principle, in such situations, leads to more delays in work. It results in repetition of efforts and wastage of time.

(ii) Order: Rigidity is created in context of position of resources and manpower employed. It decreases the efficiency and effectiveness of manpower and resources, in certain situations, by the application of the principle of order. Because of the rigidity that is provided by the principle, boredom among employees is created.

(iii) Stability of tenure of personnel: It is essential for the organizations to discontinue those employees whose skills have become obsolete. If staff is not rotated at regular intervals, then they specialize in only one small aspect of the entire process of the organization and fail to become an all-rounder. In that manner, the employees do not get an opportunity to think at a macro level view of the business. 

Q6. Explain the following management principles:

• Equity (b) Remuneration of employees  [CBSE Sample paper 2011]

Ans: (a) Principle of Equity: This principle of Equity states that similar treatment should be provided to people at similar positions. It suggests that while trade with the subordinates, the managers should be impartial and fair. For example, same pay rates and requisites should be paid to workers performing similar jobs.

• Principle of remuneration of employees: To provide maximum satisfaction to the employees, remuneration and method of payment should be rational. Employees may be demotivated to perform their best if injustice prevails.

Q7. Mohan, a manager supposes his juniors to work for the pleasure of being in the organization. Which management principle is being ignored and why? [Delhi 2007]

Ans: Principle of Order is getting overlooked by Mohan as problems will be created to ensure effective utilization of manpower employed in the undertaking. He thinks if managers are happy and content, they will perform better.

Q8. Mohan, the manager of a business undertaking, is very lax with his fellow employees and subordinates. He does not provide them bounds or rules for reporting to work and accomplishment of assignments. Which principle of management is ignored and why? [AI 2007]

Ans: Science, not rule of thumb/fair day’s work/scientific task setting is being ignored by the manager. The subordinates have not been the parameters relating to work which might create a situation where workers will work below their capacity.

9.’There has to be no battle between management and workers’. State and describe the management principle given by Taylor by which this conflict can be avoided.

Ans: Harmony, not discord: In the views of Taylor, a mutual give and take and proper considerate must be prevalent among workers who work together to carry out a task in harmony, in group action. An enlightened attitude should be adopted by managers and the gains of productivity should be joint with the workers. On the other hand, workers need to work with discipline and loyalty.

10. Explain any two principles of Taylor’s scientific management. [Delhi 2011]

Ans: Close assistance between employees and management: A cooperation should be present between employees and management. Only through cooperation among themselves, work can be carried out in line with the plans and performance standards. Taylor was in believe that both management and workforces had the same set of interests. Management needs greater production and workers need more pay. Workers can earn more by producing more. Like this, the mutual aid of workers is easy to secure. Management and workers should cooperate to increase profit or surplus instead of fighting among themselves.

Accessible relations between management and workforces: – A sense of good cooperation should be set between, the management and the workforces. Secure connections between both, bring out the work in line with plan and will get the best results from the desired work. Taylor favors the statement that management and workers have to have the same level of interest in the work. Management requires more production and workers wish for more remunerations. Workforces can earn more remunerations by fulfilling management’s requirement. Giving rewards to workers increases the chances of secure cooperation. Management and workforces should work parallel to increase profits/surplus rather than fighting amidst themselves. 

Harmony, not discord: In the views of Taylor, a mutual give and take and proper knowledge must be prevalent among workers who work together to carry out a task in harmony, in group action. A progressive attitude should be adopted by managers. On contrary, workers need to work in an organized manner and with loyalty.

Harmony, not discord: Taylor intensifies that, there has to be parallel coordination and shared understanding between the management and the workforces to gain a productive result, if any from the two will not work in solidarity the work will not produce positive results i.e. the work will not be beneficial for both. Management should share a part surplus from results with workers in a civilized manner. Whereas workforces should have honesty and determination throughout the work.

11. Explain any two techniques of Taylor’s Scientific Management. [AI 2011]

Ans: The two techniques of Taylor’s Scientific Management are:

(i) Motion Study: The study of movement of organized body or machine needed to perform a job is known as motion study. Its objectives are eliminating motions and finding out ways to do a job with least movements. By reducing fatigue and wasteful movements on a job, the efficiency of workers can be increased. 

(ii) Fatigue Study: Physical and mental exhaustion due to continuous work leads to fatigue. Accidents, spoilage, absenteeism, and high labor turnover may be resulted due to fatigue. A fatigue study will calculate the time intervals and predict hours of rest. It helps to maintain operational effectiveness of workers without injury to health and happiness.

(ii) Fatigue Study: Physical and emotional tiredness caused due to continuous work induce fatigue.  Fatigue may cause accidents, insufficiency, spoilage, health problems, and high labor turnover. Fatigue study helps in calculating the proper time interval and amount of rest needed for one task. The rest and interval given to workforces will support them to retain their energy and work with the full energy again thus not harm the mental and physical health.

12. Describe with example, the method of distinction piece rate system.

Ans: A method of payment of wages in which well-organized and inefficient employees are paid at diverse rates is known as differential piece wage system. The incompetent workforces are compensated less than the efficient workers. Based on the number of pieces produced, payment is given to workforces. If the making of the number of portions is higher than the specified limit then he is compensated a higher wage per piece on his total output. On the other hand, if the production is less than the required number then his wage is given at a lower rate per piece. It is known as differential piece rate plan due to different rates of different sets of workers.

For instance- An enterprise producing ball point pens giving ₹3 per piece, if in one day 25 or less than 25 pens are produced and ₹4 per piece, when more than 25 pens are produced. A worker who is producing 24 pens will get 24×3=₹72 whereas a worker producing 26 pens will get 26×4=₹104, i.e., difference of ₹32 (104-72) for producing just 2 more units.

13. Differentiate between ‘Motion Study’ and ‘Time Study’ on the basis of 

(a)Meaning and (b) Purpose

Or

Describe the purpose of ‘Motion Study’ and ‘Time Study’.

Ans:

9. (i)Mention and describe the management principle where workers are stimulated to improve and perform plans for the organization’s improvement.

    (ii)Name and explain the method of scientific management which aids in removing pointless diversity of products and thus consequences in saving cost. [Delhi, AI 2010]

Ans: 

(i) This principle is Initiative. In all work related matters, initiative has to be taken by all the employees at all levels. That doesn’t mean that people can do whatever they feel like. Discipline must be observed. To work better and harder, employees should be stimulated as an initiative from the management. Fayol states that managers should not yearn after their false vanity. Dynamic nature should be possessed by managers like being persuading, commanding, encouraging and simultaneously, their dignity should be kept intact. For example, for any matter of an organization, every employee has the right to contribute their suggestions but there is no room for disobedience once a decision has been taken about any issue.

(ii) Functional Foremanship: Taylor established the idea of functional foremanship to increase the quality of direction of workers. An employee is administered by several professional foremen under this. For example, speed bosses are a team of specialist foremen who look after matters relating to the speed of a work, repairs boss looks after repairs and breakdowns, etc. Different types of functional foremen were identified by Taylor. He believed that for supervising all functional matters, a single foreman would not be competent. Specialists should supervise each worker.

10. Which technique of Taylor suggests that each work should be supervised by specialists? Name two specialists also. [Delhi 2005C]
    Ans: Functional Foremanship: Taylor developed the functional foremanship to advance the quality of supervision of workers. A worker is administered by several specialist foremen under this. For example, speed bosses are a group of specialist foremen who look after matters relating to the speed of a work, repairs boss looks after repairs and breakdowns, etc. Different types of functional foremen were identified by Taylor. Specialists should supervise each worker.