introduction 1.1 CONCEPT Q. 1. Discuss the concept of management. Explain its importance. Or Define management. Discuss its objectives and importance. Or Explain the objectives of management. Ans. Management refers to the art of getting the things done through others. It deals with the human element of an organisation and aims at achieving the goals and objectives of the organisation. Management plays a key role in utilising the scarce resources of an organisation both effectively and efficiently. The concept of management revolves around the inter-relationship between its functions and its impact on the utilisation of various resources. Management is concerned with effective and efficient integration and coordination of available resources to achieve organisational goals and objectives. Management aims at achieving personal and organisational goals through proper planning, organising, staffing, directing and controlling. Various authors have defined management in different ways. Following are some important definitions of management given by some known authors, “Management is the process of designing and maintaining an environment in which groups, efficiently accomplish selected aims.” —Harold Koontz “Management is the process by which a co-operative group directs actions towards common goals.” —Joseph Massie “Management is that process by which managers create, direct, maintain and operate purposive organisation through systematic, coordinated and cooperative human efforts.” McFarland “Management is the coordination of all resources through the process of planning, organising, directing and controlling in order to atiain stated goals.” —Henry Sisk “Management is a social and technical process that utilises resources, influences Inman actions and facilitates changes in order to accomplish an organisation's goals.” =Theo Haimann, William Scott “Management is a process of working with and through others to achieve individuals working together organisational objectives in a changing environment, central io this purpose is effective and efficient use of limited resources.” —Robert Kreitner “Management is a distinct process consisting of planning, organising, actuating and controlling performance to determine and accomplish stated objectives by the use of Inman beings and other resources.” —George R. Terry2 SHIVA DELHI UNIVERSITY SERIES “Management is principally the task of planning, coordinating, motivating and controlling the efforts of others towards a specific objective.” —James L. Lundy Characteristics of Management (i) Management is a goal oriented process. Management unites the efforts of individuals in the organisation towards achieving the organisational goals (ii) Management is all pervasive. Management is required in all types of organisations— Economic, Social or Political. (iii) Management is multidimensional. It has three dimensions: (@ Management of work, ie, activities to be performed for achieving common goals (®) Management of people, ie., individuals working in the organisation to achieve those common goals (©) Management of operations. Production process involving flow of inputs and available technology to produce desired products or services. (iv) Management is a continuous process. The process of management is a series of continuous, composite, but separate functions which includes planning, organising, staffing, directing and controlling (2) Management is a group activity. Management deals with a group of individuals with different capabilities and needs, and coordinates their efforts in a common direction. (vi) Management is a dynamic function. It has to adapt itself to the ever- changing environment. (vi) Management is an intangible force that cannot be seen, but its presence can be felt in the way it functions to attain the organisational goals. Objectives of Management I. Organisational Objectives (i) Survival. Survival is the most important objective. An organisation must eam enough revenues to cover costs. (ii) Profit. Mere survival is not enough. The management must ensure that the organisation makes a profit. It is essential to cover costs as well as risks of business, (iii) Growth. A business must grow to improve its prospects in the long-run. IL, Social Objectives These involve creating economic value for various constituents of society. Social objectives may include: (i) conservation of environment and natural resources, (i giving employment opportunities to the disadvantaged sections of society. (iii) providing basic amenities like schools and creches for employee children, (iv) avoidance of anti-social and unfair trade practices. (2) conducting business in a lawful manner. IIL, Personal or Individual Objectives. Organisations are made up of people who have different personal backgrounds, experience and objectives Management should be able to reconcile personal goals with the organisational objectives for harmony in the organisation.UNIT I: INTRODUCTION 3 Personal objectives may include: (i) Fair and competitive remuneration for the wi (ii) Good working conditions. (iii) Opportunities for personal growth, training, and development (i) Job security and provision for social security (0) Job satisfaction, recognition etc Importance of Management: (i) Helps in achieving group goals. Management helps in achieving the overall objectives of the organisation by providing a common direction to the individual efforts, (ii) Increases efficiency. Management increases efficiency by optimum utilisation of available resources through proper planning, organising, staffing, directing and controlling. (iii) Creates a dynamic organisation. Management establishes a dynamic and sound organisation, which adapts to the ever-changing environment so that the organisation may be able to maintain its competitive edge. (iv) Helps in achieving personal objectives. Management helps individuals to achieve their personal objectives while contributing to the common organisational objectives. ) Helps in the development of society. Management helps in the development of a sound organisation and through that it helps in the growth and development of the society. It provides good quality products and services, creates employment opportunities, adopts new technologies for the greater good of the people. Functions of Management: (i) Planning. Planning is deciding, in advance what is to be done. It is the primary function of management, i,, the first function performed by every manager and is the base of all other functions. It involves the selection of objectives, policies, procedures and programmes. (ii) Organising. Organisation is the process of identifying and grouping the work to be performed by defining and delegating responsibility and authority and establishing relationships. It is done for the purpose of enabling people to work as a group most effectively for accomplishing organisational objectives. (iii) Staffing. Staffing is a managerial function of hiring and developing the required number of employees to fill in various positions in the organisation. The main purpose of staffing, is to have the right man for the right job at the right time. (iv) Directing. Directing is the ‘actuating function’ of management. It includes all those activities which are designed to encourage a subordinate to work effectively and efficiently. The process of direction includes four elements: (a) Supervision (b) Motivation (©) Leadership and (@) Communication. (») Controlling. Controlling is monitoring what is being accomplished by evaluating the performance and, if needed, applying corrected measures so that the performance takes place according to plan. performed4 SHIVA DELHI UNIVERSITY SERIES Q. 2. What do you understand by co-ordination? Why is it considered as an essence of management? Explain. Ans. Coordination is the orderly arrangement of group effort to provide unity of action in pursuit of a common purpose. It is the orderly arrangement of efforts by which a manager synchronizes the activities of different departments and individuals working in these departments towards the achievement of a common. goal Coordination is required at all levels of management: (i) The top level management has to take care that there is coordination betweon the organisation's goals and goals of different departments. (ii) The middle-level management, ie, the departmental managers have to coordinate their departmental plans in order to relate them to the plans of other departments For example, the work of Production Department and the Sales Department have to be coordinated because unless there is timely production of goods, the Sales Department cannot achieve its sales targets, (iif) At the lower-level management. Coordination between the workers and top as well as the middle-level management is required, In short, coordination is a function performed not only by the top managers of the organisation, but by all the managers at various levels, Q. 3. Explain the nature of coordination and its importance in an organisation. Ans. Nature of co-ordination: The nature or characteristics of co-ordination are: (i) Coordination integrates group efforts. The concept of coordination always applies to group efforts. The need for orderliness and integration arises only when more individuals are working together. As different individuals come from different backgrounds, have different styles of working, so there is a need to unify their efforts in a common direction. (ii) Coordination ensures unity of action. The purpose of coordination is to secure unity of action in the realisation of a common purpose. (iii) Coordination is a continuous process. Coordination is not a one time activity. It begins at the planning stage and continues till controlling, ie., the very end. (iv) Coordination is an all-pervasive activity. It is needed in all departments as well as at all levels of management. It is not the responsibility of top management only. Managers at all levels are responsible for achieving, coordinated efforts in their respective departments or units. (0) Coordination is a deliberate function, Coordination is the result of intentional efforts made by the management to unify, integrate, harmonise and balance different, but inter-related activities Importance of co-ordination: (i) Size of Organisation. The need of co-ordination increases with the increase in the size of the organisation, because in a large organisation number of employees is also large with each individual having his own needs, objectives, beliefs and style of working, Co-ordination therefore brings in harmonyUNIT I: INTRODUCTION 5 (i Functional differentiation, Business is organized into different departments, which are assigned specific functions. Coordination is essential to blend alll these activities in an orderly sequence (iii) Specialisation. Specialists tend to focus on their area of specialisation and may overlook the overall picture of the organisation. Therefore, coordination is required between efforts of various specialists as also between specialists and others in the organisation. 1.2 EVOLUTION OF MANAGEMENT THOUGHT Q. 4. Write a short note on Classical Approach to Management. Ans. Features of classical approach to management: (9 It is closely related with the industrial revolution and its fruits, ie. the growth of large scale undertakings which demand the new form of organisation and management practices. (ii) Traditional or classical theory of organisation and management is based on contributions from a number of sources, including scientific management, administrative management theory, bureaucratic model, micro-economics and public administration (ii) Management thought is focussed on—(a) job content, (b) structure, (0) division of labour, (d) function of management, (e) standardisation, simplification and specialisation, (/) scientific approach towards organisation and management, and (g) primary incentives based on physiological needs of the workers. This approach to management is based on the following tenets: () Management is. process which consists inter-related functions to be performed for achieving the desired results. (i From the experience of managers in different organisations, principles or guidelines can be derived (iii) These principles are fundamental truths which can be applied in different organisations for improving managerial efficiency. (jv) People are motivated mainly by incentives and penalties. Therefore, managers use and control economic rewards. (v) Managers can be developed through formal education and training. (ei) Theoretical research in the field of management helps to develop a body of knowledge which is necessary for the improvement of art of management. Classical or Traditional approach stands on three pillars: 1, Scientific management; 2. Bureaucratic management; 3. Administrative management. Uses and limitations. This approach offers a convenient framework for the education and training of managers. This approach has certain advantages: (i) The observation method of case study is helpful in drawing common principles out of past experience with some relevance for future application (i It focuses attention on what managers actually do.6 SHIVA DELHI UNIVERSITY SERIES (iii) This approach highlights the universal nature of management, (iv) It provides a scientific basis for management practice This approach, however, suffers from the following shortcomings: (i) It offers a machanistic framework which ignores human factor (ii) It is based on over-simplified assumptions. Its principles are ambitious and contradictory (iii) ‘The environmental dynamics and their effects on management are ignored. (iv) Little effort is made in search of a new path. Q.5. Write a short note on bureaucracy. Ans. The bureaucracy model of management was developed by Max Weber, a German sociologist. Max Weber considered bureaucracy as the most efficient form of management for a large and complex organisation in any branch of human activity. His model is characterised by the following features: (i) Hierarchy of authority ie., a well-defined chain of command. (i) Clear-cut division of work based upon competence and specialisation. (iii) System of Rules and Regulations clearly spelt out, (iz) Work procedure involving standardisation of methods. (v) Selection, placement and promotion of workers based upon their merits and competence and job performance. (vi) Professionalism in bureaucracy, on the assumption that the system cannot work effectively unless it is staffed by highly competent and specialised people. (vif) Authority and power vesting in each office or position in the organisation and not in an individual. (cif) Impersonality in human relations. Relations among the members of a bureaucratic organisation are impersonal and formal (ix) Personal and official matters are clearly divorced from each other, and personal considerations like gratitude and favours do not enter into and influence business decisions. Advantages of bureaucracy: (i) A bureaucratic organisation provides the advantages of specialisation because every one is assigned a specialised task to be performed. (ii) Emphasis on qualification and technical competence make the organisation more democratic. (iii) It helps to reduce friction. (iv) The Rules, regulations, specialisation, structure and training impart predictability and thereby ensure stability in the organisation, Limitations of bureaucracy (@ The bureaucracy model provides a rigid machine-like model of an organisation and not a humanistic model. (ii) It ignores the importance of human inter-personal and mutual relations in an organisation (iii) On account of its impersonal character, it does not permit competitive leadership. (iv) The bureaucracy model is not suitable for a dynamic business organisation. It is suitable only for static organisations where change is not anticipated.UNIT I: INTRODUCTION 7 (2) The bureaucracy model suffers from blind faith in rules and regulations and procedures, (vi) This model creates obstacles in the way of creativity and flexibility much needed in a modern successful organisation. (vii) It suffers from red-tapism. (viii) It results in higher cost of control. Despite its drawbacks, bureaucracy has become an integral feature of modern organisations. Further, many of its drawbacks could be removed by humanising the bureaucracy model of management Q.6. Outline Taylor's Scientific management and examine its relevance to management in the present day industry. Ans. Scientific management. F.W.Taylor (1856-1915) is called the father of scientific management. He laid emphasis on the necessity of accepting, the scientific approach in the management of an organisation. He was primarily concerned with the efficiency of workers and optimum utilisation of machines and other resources in order to bring up a sound enterprise. Taylor, who worked in different capacities in the mining industry, saw the urgent necessity for elimination of wastage, which was rampant in the industrial organisations. He felt that the only way to avoid wastage and achieve efficiency would be to apply scientific methods in the field of management. Scientific management implies to application of science to management. It emphasizes on the conduct of business activities through standardized tools and methods and use of trained personnel. It helps to increase output, reduce costs and wastages and improve the quality of output. In the words of Taylor, “Scientific management is the art of knowing exactly what you want your men to do and then seeing that they do it in the best and cheapest way.” According to Drucker, “The concept of scientific management is the organised study of work, analysis of work into its simplest elements and the systematic management of the workers' performance of each element.” Aims of scientific management are: 1. Higher productivity 2. Quality control 3. Cost reduction 4, Elimination of wastages 5. Right person for the right job 6. Incentive wages. Principles of scientif management are as follows: Replacement of rule of thumb with science. Taylor has emphasised that in scientific management organised knowledge should be applied, which will replace the rule of thumb. Scientific investigation should be used for taking managerial decisions instead of basing the decisions on opinions, intuitions, estimates and prejudices, likes, dislikes etc, Scientific selection, training and development of workmen. It is essential for efficiency in production that workers are selected with due care. Their skill and experience must be matched with the requirements of the respective jobs they are intific management. The basic principles of sci8 SHIVA DELHI UNIVERSITY SERIES to perform. The employees should be selected on the basis of tests and interviews. The workmen so selected must be given training for the specific tasks to be assigned to them, Co-operation between workers and management. A sound production management requires reciprocal co-operation between employers and employees. Taylor has stressed that no success could be achieved of scientific management without the co-operation of employers and employees. So without ignoring the opinion of the workers and without considering them as ‘order- carrying out machine’, proper steps should be taken on the part of management to do good for the welfare of the workers. Taylor has felt that this is the most important factor in executing scientific management. He calls it as bilateral mental revolution Division of responsibility between managers and workers. There must be proper division of responsibility between the management and the workers Planning of work should be the responsibility of managers whereas its execution in a planned manner is the responsibility of workers. Taylor advocated separation of the two kinds of responsibilities so that each individual may be able to perform the tasks to the best of one’s ability and be compensated accordingly. Maximum output in place of restricted output. The aim of both management and the workers should be to maximise output. This should be done by both parties in their own self interest. For management, increased production means more profits and lower cost of production. For workers, increased output may fetch them attractive wages. In this way it is the self interest that compels both management and the workers to achieve maximum output. Mental revolution. According to Taylor, “scientific management, in its essence, involves a complete mental revolution on the part of both sides of the industry viz. workers and management. “No scheme of scientific management could be a success unless and until both these groups fully co-operate with each other through developing and maintaining best friendly relations. This requires a meutal revolution (i.e. a radical change in outlook) on the part of management and workers through giving up an attitude of hostility and enmity towards each other.” Techniques of Scientific Management, In order to implement the above principles, Taylor and his associates developed the following, techniques: ‘Time study. Time study may be defined as the art of observing time required to do a particular job. It relates to fixing the standard time for doing a job under given conditions. It helps to measure the efficiency of each worker by laying down some standards. It creates time consciousness among workers. It helps in reduction of costs. Motion study. In the words of Frank Gilberth, “Motion study is the science of eliminating wastefulness resulting from using unnecessary, ill-directed and inefficient motions. The aim of motion study is to find and perpetuate the method of completing a job.” It increases the efficiency of workers by reducing fatigue and manual labour. It leads to increase in production and productivity. Fatigue study. A fatigue study is conducted to find out as to after how much time of work-performance is rest pause required for an average worker; so that hemes of least wasteUNIT I: INTRODUCTION 9 he may relax during the rest pause and proceed to job-performance in a refreshed manner after the rest, having recouped his lost energies. Standardisation and simplification. Under scientific _ management, predetermined standards are laid down regarding the task, material, methods, time, quality, cost and working conditions. Standardisation helps to simplify work, to ensure uniformity of operation and to facilitate comparison of efficiency. Differential piece-rate system of wage payment. In order to motivate workers to produce the standard output, Taylor devised a scheme of wage payment, known as the ‘differential piece-rate system of wage-payment The inherent features of this scheme are: (i) A standard output for each worker is determined in advance through scientific work studies, (ii) Two rates of wage-payment (based on piece-rate system) are established: (a) A higher rate per unit of output; (b) A lower rate per unit of output (iii) Workers, who produce the standard output or exceed the standard, are paid according to the higher rate for all the units produced by them, Those workers, who are unable to come upto the standard rate are paid according to the lower rate for all the units produced by them. Functional foremanship. The scheme of functional foremanship recommended by Taylor is, in fact, an introduction of managerial specialisation at the shop level. In Taylor's view, instead of a single foreman supervising all the tasks, there must be a number of foremen, each concerned with only a particular aspect of the job or shop. Each foreman, being a specialist in performance of his role, is a functional foreman. In the scheme of functional foremanship recommended by Taylor, there is a provision for eight foremen of the following type (i) Route clerk. The route clerk lays down the sequence of operations to he followed for the completion of a particular job. (ii) Instruction card clerk. The job of instruction card clerk is to prepare delailed instructions according to which workers have to perform their jobs. (iii) Time and cost clerk, The time and cost clerk is a foreman who would record the time taken by a worker in completing a job; and would also compile the cost of doing that job. (i2) Shop disciplinarian. He would look after the maintenance of discipline in the workshop, and deal with the cases of absenteeism, misbehaviour and other aspects of indiscipline. (2) Gang boss. The gang boss is the proper supervisor. He would see to it that all work facilities are made available to workers and they start their work as per the instructions imparted to them10 SHIVA DELHI UNIVERSITY SERIES Factory Manager Planning Incharge Production Incharge Tasiuction Tm® ooo. | : smction ote |] TE ® || cise oro || specs |] Reoat || nepecor on narian | | Boss 088 oss Fig, Functional Foremanship (vf) Speed boss. He ensures that machi proper tools are being used. (oii) Repair boss. The repair boss is a foreman who would look after and take care of all repairs and maintenance of machines. (viii) Inspector. The inspector is a foreman, who would look after the quality of production. Comments. The scheme of functional foremanship results in complete violation of the principle of unity of command as advised by Fayol; because in this scheme, a work is subject to the control and superintendence of eight foremen. The scheme, therefore, involves multiple command centres as against a single command. Critical evaluation. Scientific management emphasised faster and better methods of production and also increased output and efficiency. Great advances were made in the scientific management era for more efficient forms of organisation and management. Its emphasis was for achieving efficiency, standardisation, specialisation and simplification. Though at the initial stage many industrialists were attracted towards this system, yet later on they became garrulous with adverse criticism of different types. Scientific management has been criticised on the following grounds: (i It is a productivity-oriented approach. As such it ignores the human aspect of work, it ignores human feelings and emotions. (ii) Tt treats man as a rational being. But a man is also an emotional and social being. He is motivated by a variety of factors. (iif) This approach is related only to shop or plant level. It does not consider the “total” organisation (i2) It is less applicable in dynamic and complex situations. (v) The claim that there is only “one best way” of performing a job is misleading. (vi) It also overlooks the human desire for job satisfaction. es are run at their proper speed andUNIT I: INTRODUCTION n Despite all these criticisms, it cannot be denied that many of our modern concepts of management were derived from the productivity approach of Taylor. In the words of Peter Drucker, “Scientific management is one of the great liberating and pioneering insights. Without it a real study of human beings at work would be impossible.” Taylor laid the foundations of modern management as a science. He is, therefore, rightly known as “the father of scientific management.” Q.7. Critically examine the contribution of Henri Fayol to the development of management. Ans. The Management Process School has laid emphasis on the major functions of management and also developed principles for the working of such functions. Henri Fayol (1841-1925) is called the father of modern management theory. In management process the notable contribution of Henri Fayol is his famous book, ‘The General and Industrial Management’, which was the outcome of his long, experience. He, for the first time, studied the functions and principles of management in a systematic manner. There is another side of classical approach. Itis called the ‘administrative management’ or ‘management process Contribution of Fayol. Fayol's chief contributions are: * analysis of major activities involved in business; * exposition of the activities of administration in terms of six essential functions or elements; * formulation of number of important principles. Industrial activities. Fayol divided the activities of an industrial undertaking into six groups, namely: (i) Technical (production, manufacture etc.) (ii) Commercial (buying, selling and exchange) (iii) Financial (optimum use of Capital) (i) Security (protection of property and person) (v) Accounting (those leading to the determination of financial position) (vi) Managerial (planning, organisation, commanding, co-ordinating and control). He pointed out that these activities exist in every organisation. He observed that first five activities are well known to a manager. Fayol has divided his approach of studying management in three groups: (A) Managerial qualities and training; (B) General principles of management and (C) Elements of management ‘A. Managerial qualities and training. Fayol was the first man to identify certain qualities of a manager for smooth functioning of activities and at the same time recommended for proper training of employees so that with the increase of efficiency they can solve any complex problem. According to him, these qualities are: (i) physical (health, vigour and appearance); (i) mental (ability to understand and learn, judgement and adaptability) (iii) moral (energy, firmness, initiative, loyalty, tact and dignity); (iv) educational (acquaintance with matters relating to general functioning); (2) technical (acquaintance with the function being performed) and (vi) experience (arising from the work).12 SHIVA DELHI UNIVERSITY SERIES B. General principles of management. Fayol gave the following general principles of management: (i) Division of work. Division of work means to divide the work among the workers according to their capacity and quality on scientific basis. This helps them to do more and better work with the same effort. (ii) Authority and responsibility. Authority is the right to give orders and power to extract obedience while responsibility is a corollary of authority. Authority and responsibility go hand in hand. (iii) Discipline. Discipline, in simple terms, means obedience to the rules of the organisation, on the part of both managers and subordinates. It includes outward marks of respect shown by the subordinates towards their superiors. Discipline is necessary in an organisation, if the organisation is to function properly and prosper and grow. (iv) Unity of command, According to this principle, a subordinate must get orders and instructions, only from one superior at a time. If two superiors exercise their authority over the same person or department, it may cause uneasiness and disorder. (2) Unity of direction. Unity of direction means one head and one plan for a group of activities having the same objective. It is essential to have unity Of direction for unity of action, co-ordination of strength and focussing of efforts. The unity of direction is different from unity of command in the sense that the former relates to grouping of activities while the latter with functioning of personnel at all levels. (vi) Subordination of individual interests to general interest. Efforts should be made to reconcile individual interests with common interest. When there is conflict between the two, the interests of the organisation should prevail over the individual interests. (vi) Remuneration of personnel. Remuneration of personnel is the price of services rendered by them. It should be fair and provide maximum possible satisfaction to both employees and employers. (citi) Centralisation. ‘Centralisation’ refers to a reservation of decision-making authority at the top level of management. ‘Decentralisation’ on the other hand, means a dispersal of authority from the central (top-level) point to middle and specially lower levels of management. Management must strike out a balance between centralisation and decentralisation; a rightful compromise between the two, which will lead to most efficient and smooth functioning of the enterprise. (ix) Scalar chain. The scalar chain is the chain of superiors from the top executive to the lowest level employees in an organisation. It is through this chain that orders are issued to the lower levels. Communication also follows the scalar chain. Fayol suggested a horizontal communication in case of urgent matters known as ‘gang plank’. It is shown by Scalar ChainUNIT I: INTRODUCTION 13 the dotted line joining F and N. It permits F to communicate directly with N on urgent matters without following the chain of command. The subordinates must inform their respective superiors about the communication. (x) Order. This is a principle relating to the arrangement of things and people. In case of things, the formula is ‘a place for everything and everything in its place.’ It is the same case for human order, ‘a place for everyone and everyone in his place’ that is the right man in the right job. (xi) Equity. The concept of ‘equity’ implies a sense of ‘fairness and justice’ to all working in an enterprise. All the employees of the organisation are treated equally by the managers. Observance of equity alone would make personnel loyal and devoted to the organisation, (xii) Stability of tenure. In the interest of the efficiency of organisation and management, it is imperative that personnel must stay in the organisation for as long a period as possible. This might be called the principle of stability of tenure. Unnecessary labour turnover (movement of people into and out of an enterprise) is both the cause and effect of bad management. (xiii) Initiative. Initiative in the managerial context refers to the freedom to think out a plan and its execution, It is, infact, one of the keenest desires of, at least, an intelligent employee, to be allowed to take initiative in matters relating to his work. Management should secure as much initiative as possible from the subordinates. (xiv) Esprit de corps (Union is strength). As a principle of management, esprit de corps (Union is strength) indicates a lesson to management to take steps for promoting team-spirit among the groups; as it will greatly facilitate the most effective attainment of common objectives, C. Elements of management. Fayol analysed the managerial job in terms of a series of functions which are performed by managers in all types of organisations at all levels. Fayol said, “to manage is to forecast ani plan, to organise, io command, to co-ordinate and to control.” Thus, the elements of functions, which constitute the management process are: (i Planning. Planning is the most important and difficult managerial responsibility. The success of an undertaking depends largely on a good plan. (ii) Organising. To organise means building up the dual structure ie, material and human, of the concern. (ii) Command. To command means maintaining activity among the personnel, Creation of organisational structure and commanding function are necessary to execute plans. (iv) Co-ordinating. To co-ordinate means binding together, unification and harmonisation of an activity and effort. So, co-ordination is necessary to make sure that everyone is working together, (2) Control. To control means seeing that everything occurs in conformity with established rule and expressed command.4 SHIVA DELHI UNIVERSITY SERIES Fayol has told firmly about the universality of the management principles. The principles and elements of management apply not only to business concerns, but also to political, military, religious or any other undertakings. The management principles are flexible, but they can be applicable regardless of chang special conditions. Inspite of new experience, researches and observations during the last five or six decades principles of management still hold good. Critical evaluation, The work of Fayol stands out as a landmark in the development of management thought. He was the first person to think in terms of the necessity for and the possibility of teaching management. He made a clear distinction between operative and managerial activities of business. He provided a conceptual framework for analysing the managerial job. Fayol’s functions of management are still used with slight modification for studying and understanding management. Fayol’s observations and work are of comprehensive nature as these deal not only with management functions and principles but also with the basic business functions and management qualiti Fayol’s theory has, however, been criticised on the following grounds: (@ Some aspects of management, much valid and useful in the present day as they have been in the past seem to have been overlooked by Fayol. For example, technology, external environment factors etc. (ii) Some principles of management are too vague to comprehend and implement. For example, principle of centralisation does not recommend any guidelines for arriving at an optimum compromise between centralisation and decentralisation. (iii) Some of the principles as given by Fayol are of a contradictory nature e.g. the principle of division of work (leading to specialisation) and the principle of the unity of command. (iv) Fayol’s theory is said to be very formal Concluding observation. Despite these limitations, Fayol made a unique and outstanding contribution to management. Due to his outstanding contribution to management, he is known as ‘Father of modern management theory’ Q.8. Compare Fayol’s principles of management with Taylor's principles of scientific management. Ans. Fayol is known for his general management and Taylor for his scientific management. We can compare the two approaches on the basis of following points () General functions and special techniques. Fayol laid emphasis on universal functions like planning, organising, staffing etc. and also general principles like unity of command, division of work ete. Taylor introduced special techniques like functional foremanship, differential piece rates etc, Both of them wanted to improve management practices by following their respective approaches. (ii) Base. Taylor’s principles are based on a bottom up approach while Fayol’s principles are based on a top down approach. Both the approaches support each other. (iii) Rigidity and flexibility. Taylor’s approach was more rigid. One could not deviate from the fixed standards. Fayol propounded principles which are flexible in nature. z and