Basically,this Power Point Presentation is based on survey of a company as in do they follow 14 principles of management in their company! *Content referred from other presentation*

1. Do all organizations follow 14
Principles of Management by Henry
Fayol? What are the application and
implication followed by the
organization.
Submitted to:
Dr.Rashmi GopinathanPresented by:
BBA core A
Group 11.
Shlok Mane-BBA015051
Sejal Gaikwad-BBA015052
Nikita Mhatre-BBA015053
Amita Patil-BBA015054
Komal Todekar-BBA015055

2. Objective
The purpose of this project is to see the
Principles of management being implemented
in real life. With its help we shall get the
information whether the principles of
management which we have came across in
the books are actually true? & whether by
following the Principles of Management the
efficiency of the management is actually
enhanced.

3. Organization
In order to achieve the objective of this project
we needed an organization where business is
carried on a large scale & various activities are
performed.
Therefore,INOX AIR PRODUCTS was selected
because it had following characteristics :
It is capable of fulfilling the purpose of project.
It is situated nearby &visiting it would be easy.

4. Introduction to Management
• Management is the process of achieving goals and
objectives effectively and efficiently through and
with the people.
• "Management is a process of designing and
maintaining an environment in which individuals
work together in groups to effectively and
efficiently accomplish selected aims".

5. • Management is the process of achieving organizational
goals and objectives effectively and efficiently by using
management functions i.e.
» Planning
» Organizing
» Staffing
» Controlling
• Management is a set of activities directed at an
organization's resources with the aim of achieving
organizational goals in an efficient and effective manner.

6. Henry Fayol
• Henry Fayol is considered as universalist and
the father of administrative management.
• In1860 he started working as mining engineer
in a French mining company.
• After his retirement in 1916,he developed
theories and principles of management which
are universally accepted.

7. Principles of management
1. Principle of division of work
2. Principle of authority and responsibility
3. Principle of discipline
4. Principle of initiative
5. Principle of unity of command
6. Principle of subordination of individual interest to general
interest
7. Principle of equity
8. Principle of stability of tenure
9. Principle of scalar chain
10. Principle of order
11. Principle of unity of direction
12. Principle of remuneration
13. Principle of centralization and decentralization
14. Principle of espirit de corps

8. Sample Questionnaire
Sr.
No.
Question Yes No No Response No. Of
Respondents
1 Do you have all the authority connected with your
work ?
2 Do you get orders from more than one boss ?
3 Do you give top priority to the interests of the
company ?
4 Do you get reasonable remuneration ?
5 Are the daily decisions made by the person
concerned ?
Are the major decisions taken only by the higher
authorities ?
6 Does the boss of your boss directly communicate
with you ?
7 Does your company give equal remuneration to all
the employees doing a similar job ?
8 Have you served this company for more
than 1 year ?
9 Does your boss give importance to
your suggestion ?

10. Principle of Division of work:
• According to this principle, work of all kinds must be
divided & subdivided and allotted to various persons
according to their expertise in a particular area.
• Fayol said that not only the production work but technical,
managerial and skill jobs should also be divided into small
parts to derive the benefits or specialization.
According to our observation, this company had divided
work into small parts. All the people perform particular task
repeatedly.

11. Principle of Authority &
Responsibility
• The concepts of Authority and responsibility are closely related.
• Authority was defined by Fayol as the right to give orders and
the power to exact obedience.
• Responsibility involves being accountable, and is therefore
naturally associated with authority. Whoever assumes authority
also assumes responsibility.
Questions Yes No No Response No. Of
Respondents
Do you have all the
authority connected with
your work ?
14 3 3 20
The figures indicate that employees have got the authority to
discharge their responsibility regarding the work

12. Principle of Discipline
• According to Fayol, Discipline means sincerity, obedience,
respect of authority & observance of rules and regulations of the
enterprise. Subordinate should respect their superiors and obey
their order.
• A successful organization requires the common effort of
workers. Penalties should be applied judiciously to encourage
this common effort.
• Discipline needs to flow from top level to lower level in the
organisation.
According to our observation,the principle of discipline is violated.
Following of this principle could have resulted in greater customer
satisfaction. So employees should be kept under check.

13. Principle of Unity of Command
• According to this principle, there should be one & only one
boss for every individual employees working in an
organisation
• Unity of command avoids confusion and conflicts. It also
helps in harmonious relations and fixation of
responsibility.
Questions Yes No No.
Response
No. Of Respondents
Do you get orders from
more than one boss ?
2 16 2 20
It is concluded that company understands the
importance of this principle and follows it.

14. Principle of Unity of Direction
• Efforts of all the members and employees of an organisation
must be directs towards one direction that is achievement of
common goal. This helps in bringing unity of action and
coordination in an organisation.
• All the units of an organisation should be moving towards the
same objectives through coordinated and focused efforts.
Positive effects are –
 Achievement of organisation goal
 Efforts of all the employees get unified towards one direction
only.
The observed fact is that the company has 2 units
(Sheets, Blocks) which are held by different individuals.
So this principle applies here.

15. Principle of Subordination Of Individual
Interests to the General Interests
• The interest of an organisation should take priority over the
interest of any individual employee. If objectives of both
organisation and individual are in different directions then
managers must try to reconcile individual interest with
organisation goal.
• Employees are required to give up carelessness, selfishness,
lethargy and personal interest.
Questions Yes No No Response No. Of
Respondents
Do you give top priority to
the interests of the
company?
16 2 2 20
It is seen that employees care for company’s benefits,
which is beneficial for the company.

16. Principle of Remuneration
of employees
• The overall pay and compensation should be fair to employees and
workers to give them at least a reasonable standard of living.
• Remuneration paid to employees must be fair because if employees
are unpaid they will not be satisfied and an unsatisfied person can
never contribute his maximum.
• Dissatisfaction will lead to increase in employees turnover .
Questions Yes No No Response No. Of
Respondents
Do you get
reasonable
remuneration ?
8 9 3 20
According to our observation company’s nearly half workmen are not
happy with their remuneration. So company should use this principle
and provide good remuneration to all its employees so that the may
work whole-heartedly for the company.

17. Principle of Centralisation &
Decentralisation
• Centralisation refers to concentration of authority in few hands
at the top level.
• Decentralisation means evenly distribution of power at every
level of management.
• According to Fayol, a company must not be completely
centralised or completely decentralised but there must be both
depending upon the nature and size of the organisation.
Questions Yes No No Response No. Of
Respondents
Are the major decisions
taken only by the higher
authorities ?
18 0 2 20
According to our observation, employees of this company
are happy with the decision making authorities. Therefore
the principles applies here.

18. Principle of Scalar Chain
• Scalar chain means line of authority or chain of superiors
from highest to lowest rank.
• Managers in hierarchies are part of a chain like authority
scale. Each manager, from the first line supervisor to the
president, possess certain amounts of authority.
Question Yes No No Response No. Of
Respondents
Does the boss of your
boss directly
communicate with you ?
15 3 2 20
The study shows that the employees of the company have direct
communication with the boss of their boss, which violates the scalar
chain principle.

19. Principle of order
• People and material must be in suitable place at appropriate
time for maximum efficiency. In other words, there must be
orderliness in the organisation
a) Material order – arrangement of things is called material order.
It ensures proper & fixed place for various materials , tools , and
equipment's.
b) Social order – arrangement of people is referred to as social
order. It ensures proper & fixed place for each employee in an
organisation.
• It results in increase in productivity and efficiency and smoothly
functions without hindrance.
According to our observation made it clear that all goods were
placed at their decided place and employees worked at their pre-
determined place. Which is beneficial for the company.

20. Principle of Equity
• Equity means to be kind, fair , and just treatment to employees.
• Employees will put their maximum efforts when they are treated
with kindness and justice. This will ensure loyalty and devotion.
• There should be no discrimination against anyone on a/c of sex,
religion, language, caste, belief or nationality.
Question Yes No No Response No. Of
Respondents
Does your company give equal
remuneration to all the
employees doing a similar job ?
11 7 2 20
Above facts tell that the company is not conscious about this principle.
Following of this principle will lead to sense of belongingness in the hearts
of the employees of the company.

21. Principle Stability of Personnel
• Employees turnover should be minimized to maintain
organisational efficiency.
• In an organisation the employees should be selected and
appointed after following a due and rigorous procedure. Once
they are appointed they should be for fixed period.
Question Yes No No Response No. Of
Respondents
Have you served this
company for more
than 1 year ?
8 12 0 20
This study shows that labour turnover of the company is high, which is
not good for the company. If this could be brought down the labour
would feel job security and would work more efficiently.

22. Principle of Initiative
• Initiative means first step with self motivation. Fayol said that
employees must be given an opportunity to take some initiative
in making and executing a plan.
• Employees must be given freedom to come ahead and use their
skills to achieve expected goal. Positive effects are –
i. Develops feeling of belongingness in employees.
ii. Employees achieve target on time if they are set up with their
consultation
Question Yes No No Response No. Of
Respondents
Does your boss give
importance to your
suggestion ?
14 4 2 20
This shows that most of the employees felt that their opinions were
given importance. This is good, as it helps to encourage the
employees and increase their confidence.

23. Principle Esprit De Corps
• Management should promote a team spirit of unity and
harmony among employees. In order to achieve organisational
goal, met should promote team work and coordination.
• Esprit De Corps means union is strength. Fayol suggested that
every employee in the organisation must consider him as a part
of a team and try to achieve team goal because team
contribution is always better than individual
According to our observation, the managers of the company are
victims of superiority complex due to which the feeling of
employee is out of question. Managers should be told that they
must take care of the employees in a good manner, so that it may
increase the confidence of the employee over the company.

24. Conclusion
Our hypothesis was that Company would work better
with all the management principles applied. Our
results do support our hypothesis.
We think the studies we did went smoothly and we had
no problems, except for the fact that the people
working in the factory had very less free time.
Therefore, we had to take the answers quickly.
An interesting future study might involve testing the
working of the company without any management
principle.