Principles of Management

UNIT :- 1

BY PROF. VAISHNAVI NARENDRA

 INTRODUCTION

• Management
Planning
• The process of achieving company goals effectively
and efficiently by engaging in the four major
functions of planning, organizing, leading, and
controlling of company’s resources.
• Management principles are a set of fundamental truths
Controlling Management Organizing
based on logic which provides guidelines for managerial
decision making and other actions. These principles are
derived:

Leading
Hh HENRY FOYOLS PRINCIPLES OF MANAGEMENT

Henri Fayol was born in Istanbul in 1841.He was 19 years old when he began working as an
engineer at a mining company located in France. He also became The director, at a time
when the mining company had grown and he also employed more than 1,000 people.
Fayol started to develop what he considered to be the 14 most important principles of
management. Essentially, these principles gave insights ;how managers should organize
and interact with staff.
In 1916, two years before he retired down as director, he published his "14 Principles of
Management" in the book "Administration Industrielle et Generale“. And these concepts are
used even today.
Fayol also listed six primary functions of management, which go hand in hand with the
Principles.
Fayol's "14 Principles" was one of the earliest theories of management to be created, and
remains one of the most comprehensive, and its applicable even today.
Concept of Management

 “Management is the art of getting things done through people in formally

organized groups” – Koontz
 Management refers to a set of all activities (Planning, organizing , decision
making , controlling etc.) collectively directed towards the organizational
resources ( Human, Financial , Physical, Informational ), having an
objective of achieving the organizational goals more efficiently and
effectively.
 “To manage is to forecast and plan , to organize , to command to control
and to coordinate.- Henry Fayol.
Concept of Management

 Every business enterprise requires future planning to ensure there is a

successful operation of business, effective decision making plays a vital
role in Management.
 In economic terms management is one of the factors of production
integrated with capital and labor.
 The management can be viewed as follows :-
1. An Economic resource
2. A system of authority
3. A class or elite
Nature of Management

1. UNIVERSAL PROCESS

2. FACTOR OF PRODUCTION

3. GOAL ORIENTED
Nature of Management

4. SUPREME IN THOUGHT AND ACTION

5. GROUP ACTIVITY

6. DYNAMIC FUNCTION
Nature of Management

7. SOCIAL SCIENCE

8. IMPORTANT ORGAN OF SOCIETY

9. SYSTEM OF AUTHORITY
Nature of Management

10. Profession

11. Process