Mohan lal dayal vinay

mandirBusiness studies

projectSubmitted by:kiran hada(12

commerce)

Submitted to: yavnika mam

A project on principles

of management

of henry fayol

as followed in

PARLE COMPANY

ABOUT PARLE:Established in 1929.1st brands were Parle Glucose and Parle Monaco.Parle won acclaim at the mone selection since 1970.35%share of the total biscuit market share.15%share of the total confectionery market.Annual turnover 2000 crores.It has provided its products to the mass with the affordable range.

1. PRINCIPLE OF DIVISION OF WORK

According to this principle the whole work must me divided into small tasks or units and instead of assigning the whole work to one person one task should be assigned to one person according to the capability, qualification and experience of the person

2.Principle of authority and responsibility

Authority means power to take decision . Responsibility means obligation to complete the job assigned on time. According to this principle there must be balance or parity between the authority and responsibility

3. Principle of discipline

Discipline refers to general rules, regulations for systematic working in an organization . Fayol insists that discipline is required at superior as well as subordinate level. The disciplinary rules shall not be applicable only on subordinate but discipline requires good superiors at every level, clear and fair agreement between superiors and subordinates.

4. Principle of unity of command:

According to this principle an employee should receive orders from one boss only because if he is receiving orders from more than one then he will get confused and will not be able to understand that whose order must be executed first.

5. Unity of direction:

According to this principle the efforts of al the members and employees of organization must be directed towards one direction that is the achievement of common goal.

“ one head one plan”

6. Subordination of individual interest to general interest:

According to this principle the interest of organization must supersede the interest of individuals or employees. In the organization all the employees are working with some objective and there is always an objective of organization.

Personal interest should

be sacrificed

7. Principle of remuneration of persons:

According to this principle employees in the organization must be paid fairly or adequately to give them maximum satisfaction. The employees must be just and fair because they will be satisfied and a satisfied person can contribute his maximum.

Fair and just treatment

to employees

8. Principle of centralization and decentralization:

Centralization refers to authority in one hand at the top level and decentralization refers to dispersal of authority. According to fayol there must b combination of both depending upon the nature and size of the organization.

9. Principle of scalar chain:

Scalar chain means line of authority or chain of superiors from highest to lowest rank. fayol permitted a short cut in the chain which is called “gang plank”.

10. Principle of order:In this principle order does not mean command but it refers to orderly arrangement of men and material that is a fixed place for everything and everyone in the organization And everything should be in its fixed place.

fixed place for everything and everyone

11. Principle of equity:Equity refers to kind, fair and just treatment to employees. Employees will put their maximum efforts only when they are treated with kindness and justice.

11. Stability of tenure of personnel:

It refers to no frequent termination and transfer. According to this principle the management must provide the feeling of job security among the employees.

13. Principle of initiative :

Initiative refers to chalking out the plan and then implementing the same. Fayol suggested that employee in the organization must be given an opportunity to take some initiative and executing a plan.

14. Principle of esprit de corps:

Esprit de corps means union is strength. Fayol emphasized on team work. Management must develop a feeling of belongingness among the employees as they must feel themselves as the member of organization.

Observation table:Name of principle

Yes No NO RESPONS NO. OF RESPONDNTS

DIVISION OF WORK 60 18 02 90

AUTHORITY AND RSPONSIBILITY

67 13 10 90

DISCIPLINE 50 25 15 90UNITY OF COMMAND 78 12 00 90UNITY OF DIRECTION 60 30 00 90SUBORDINATION OF INDIVI…. 80 10 00 90REMUNERATION OR PESONNEL

48 31 11 90

CENTRALISATION …. 66 15 05 90SCALAR CHAIN 71 12 07 90ORDER 50 20 20 90EQUITY 67 18 05 90STABILITY OF PERSONNEL 38 51 01 90INITIATIVE 57 28 05 90

Thank you