Chapter II - Principles of Management Flashcards
Meaning of Principles of Management
They are broad and general guidelines for decision making and behavior. They are fundamental statements of facts which establish a cause and effect relationship.
Nature of Principles of Management
i. Universal applicability
ii. General guidelines
iii. Formed by practice and experimentation
iv. Flexible
v. Cause and effect relationship
vi. Contingent
vii. Mainly behavioral
Significance of Principles of Management
i. Provides managers with useful insight into reality
ii. Optimum utilization of resources and effective administration
iii. Scientific decision
iv. Meeting changing environment requirements
v. Fulfilling social responsibility
vi. Management training, education and research
Meaning of Scientific Management
It means applying the scientific methods and tools to increase the output, its quality and reduce costs and wastages. It is a systematic and thoughtful approach.
Definition of Scientific Management
It means knowing exactly what you want men to do and seeing that they do it in the best and cheapest way.
Principles of Scientific Management
i. Science, not rule of thumb
ii. Harmony, not discord
iii. Cooperation, not Individualism
iv. Development of each and every person to his or her greatest efficiency
Meaning of Functional Foremanship
Taylor developed the technique of functional foremanship. Under this technique , planning and execution are separated from each other. Taylor advocated the appointment of eight foremen, out of which four will be responsible for planning and the other four for execution.
Meaning of Standardization of Work
It refers to the process of setting standards for every business activity. It can be standardization of process, raw material, time, product, machinery, methods, etc.
Meaning of Simplification of Work
It refers to eliminating unnecessary activities in order to reduce costs and save time.
Meaning of Method Study
It is to find out the one best way to perform a particular task.
Meaning of Motion Study
It refers to studying movements such as shifting, placing, sitting, etc while doing a particular job.
Meaning of Time Study
It refers to the study of the standard time taken to perform a particular task.
Meaning of Fatigue Study
This refers to studying a number of rest intervals a worker needs in order to work efficiently.
Meaning of Differential Piece Wage System
This refers to a system where the wages paid are based on the workers performance or the basis work done.
Meaning of Mental Revolution
It refers to the change of attitude of the workers from individualism to coordination.
