Maharashtra State Board of Technical Education

Government Polytechnic College,Murtizapur

Computer Engineering Department
2023-24

Subject:Management
Micro-Project Topic
Study of management principles applied to large scale industries.
Guided By
Prof:-A.R.LAHANE

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 Submitted By

Sr.No RollNo. Name Enrollment No

1 21 Aachal Subash Gawande 2112410073
2 22 Vidhi Vijay Ingle 2112410075
3 23 Yashwant Shankar Jadhav 2112410076
4 24 Nikita Ravindra Jawanjal 2112410077
5 25 Renuka Devidas Joshi 2112410078
6 26 Ravi Vinayak Khandare 2112410081
7 27 Om Sachin Kokate 2112410084
8 28 Suhani Santosh Korde 2112410085
9 29 Parth Prafulla Lodam 2112410086
10 30 Prathmesh Rajesh Malokar 2112410089

 Work Done By Member

Sr.No Topic Member’s Name

1. Introduction Ravi Vinayak Khandare,
2. About Large Scale Industries Prathmesh Rajesh Malokar
3. Management Principal Parth Prafulla Lodam
4. Principles of management by Renuka Devidas Joshi
Henry Fayol: Suhani Santosh Korde
Nikita Ravindra Jawanjal

5. Primary Principles of Vidhi Vijay Ingle

Production Management Aachal Subash Gawande
In large Scale industries
6. How principles are applied Om Sachin Kokate,
in the large scale Yashwant Shankar Jadhav
Industry
7. Example how principal Prathmesh Rajesh Malokar
applied in real life
8. Conclusion & Reference Om Sachin Kokate
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 Maharashtra State Board of Technical Education

Certificate

This is to verify Mrs/Mr._________________________________________

Roll No of Sixth Semester in Diploma in Computer Engineering of
Institute Government Polytechnic Murtizapur (Code:1241) Has Completed the
Micro project Satisfactory in Course Management (22509) for The Academic Year
2023-24 as Prescribed in the Curriculum

Place: Enrolment No:

Date: Exam Seat No:

Course teacher Head of department Principal

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 INDEX

Sr.No. Title PageNo.

1 Introduction 5

2 About Large Scale Industries 5-6

3 Management Principal 6

4 Principles of management by Henry Fayol: 6-8

5 Primary Principles of Production Management 9-10

In large Scale industries
6 How principles are applied in the large scale 11-12
Industry
7 Example how principal applied in real life 13

8 Conclusion 13

9 Reference 13

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 Introduction

Management is essential to any organization that wishes to be efficient and

achieve its aims. Without someone in a position of authority there would be
organizational anarchy with no structure and very little, if any focus. In this
project, management principles applied in large scale industries is discussed.

Management principles are essentially guidelines that help managers

effectively plan, organize, lead, and control resources to achieve an
organization's goals.
These principles offer a foundational framework for good management
practices, but they are not rigid rules and should be adapted to specific
situations.
1. Division of work:Specializing tasks can improve efficiency and skill
development.
2. Unity of command:Employees should have a clear reporting structure
with only one direct supervisor.
3. Authority and responsibility:Managers have the right to give orders
and the responsibility to ensure those orders are carried out.
4. Subordination of individual interest:The organization's goals should
take priority over individual employee interests.
5. Remuneration:Employees should be fairly compensated for their
work.

 About Large Scale Industries

There are different forms of business organizations ranging from a sole
proprietorship to large scale businesses that employ over a thousand
employees. Based on the scaleof the business, various classifications can
be done, such as small scale industries, large scale industries, public
enterprises and multinational corporations. Large scale industries are
referred to as those industries that are having huge infrastructure,raw

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 material, high manpower requirements and large capital requirements.
Those organizations having a fixed asset of more than 10 crore rupees are
considered to be large scale industries.The growth of the economy is very
much dependent on these industries. Such industries work towards
bringing in foreign reserves, generating employment opportunities and
paving the way for economic growth

 Management Principal

Having a clear management structure in place is vital for any successful

organization.Efficient and well intentioned management sets the tone for the
rest of the staff. It is common for the attitude approach of managers to filter
through the entire organization,so having managers working in an exemplary
way is an excellent example for employees to follow.

 Principles of management by Henry Fayol:

Henry Fayol, also known as the ‘father of modern management theory’gave a
new perception of the concept of management. He introduced a general theory
that can be applied to all levels of management and every department. The
Fayol theory is practised by the managers to organize and regulate the internal
activities of an organization. He concentrated on accomplishing managerial
efficiency.

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The fourteen principles of management created by Henri Fayol are explained
below.
1. Division of Work- Henri believed that segregating work in the work
force amongst the worker will enhance the quality of the product.
Similarly, he also concluded that the division of work improves the
productivity, efficiency, accuracy and speed of the workers.

2. Authority and Responsibility- These are the two key aspects of

management.Authority facilitates the management to workefficiently,
and responsibility makes them responsible the work done under their
guidance or leadership.

3. Discipline- Without discipline, nothing can be accomplished. It is the

corevalue forany projector any management. Good performance and
sensible interrelation make the management job easy and
comprehensive.Employee’s good behavioural so helps them smoothly
build and progress in their professional careers.

4. Unity of Command- This means an employee should have only one

boss and follow his command.If an employee has to follow more than
one boss, there begins a conflict of interest and can create confusion.

5. Unity of Direction- Whoever is engaged in the same activity should

have a unified goal. This means all the person working in a company
should have one goal and motive which will make the work easier and
achieve the set goal easily.

6. Subordination of Individual Interest-This indicates a company should

work unitedly towards the interest of a company rather than personal
interest. Be subordinate to the purposes of an organization. This refers
to the whole chain of command in a company.

7. Remuneration-This plays an important role in motivating the workers

of a company. Remuneration can be monetary or non-monetary.
However, it should be according to an individual’s efforts they have
made.

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 8. Centralization- In any company, the management or any authority
responsible for the decision making process should be neutral.
However, this depends on the size of an organization. Henri Fayol
stressed on the point that there should be a balance between the
hierarchy and division of power.

9. Scalar Chain-Fayolon this principle highlights that the hierarchy steps

should be from the top to the lowest. This is necessary so that every
employee knows their immediate senior also they should be able to
contact any, if needed.

10. Order-Acompany should maintain a well-defined work order to have a

favourable work culture. The positive atmosphere in the workplace will
boost more positive productivity.

11. Equity-All employees should be treated equally and respectfully. It’s

the responsibilityof a manager that no employees face discrimination.

12. Stability-An employee delivers the best if they feel secure in their job.
It is the duty of the management to offer job security to their employees.

13. Initiative-The management should support and encourage the

employees to take initiatives in an organization. It will help them to
increase their interest and make then worth.

14. EspritdeCorps-It is the responsibility of the management to motivate

their employees and be supportive of each other regularly.Developing
trust and mutual understanding will lead to a positive outcome and work
environment.

This 14 principles of management are used to manage an organization and are

beneficial for prediction, planning, decision-making, organization and process
management, control and coordination.

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 Primary Principles of Production Management In large Scale
industries:
 Shorter set-up times: - By their nature, all set-up processes result in
waste;they tie up labour and equipment without adding value.Training,
improved efficiency, and giving workers accountability for their own
set-ups allows to slash the set-up times.
 Empowering employees:-Dividing a workforce into small teamsand
giving them accountability for housekeeping and various other tasks
has been shown to improve efficiency.Teams are assigned leaders,and
the workers within those teams are trained on maintenance issues –
allowing them to deal with delays in the production process
immediately.

 Equipment Maintenance:-Workers on the line are best placed to deal

with mechanical breakdowns and subsequentre pairs.They can react to
issues quickly and often without supervision, which allows the
production process to restart far more quickly after a shutdown.

 Management skill: - Possessing management skill is generally

considered a requirement for success. An effective manager is the
manager who is able to master four basic types of skills: technical,
conceptual, interpersonal, and decision making.

 Technical skills: - These skills are mostly related to working with

processes or physical objects. Engineering, accounting, and computer
programming are examples of technical skills. Technical skills are
particularly important for first-line managers and are much less
important at the top management level.

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 Decisionmaking:-The ability to identify a problem or an opportunity,
creatively develop alternative solutions, select an alternative, delegate
authority to implement a solution, and evaluate the solution.

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 How principles are applied in the large scale industry:
1. Providing managers with useful in sights into reality:The principles of
management provide the managers with useful in sights into realworld
situations.Adherence to these principles will add to their knowledge,
ability and understanding of managerial situations and circumstances.
It will also enable managersto learn frompast mistakes andconserve
time bysolving recurring problems quickly.As managerial discretion is
bounded by the principle of contribution to organizational objectives.

2. Scientific decisions:Decisions must be based on facts,thoughtful and

justifiable in terms of the intended purposes. They must be timely,
realistic and subject to measurement and evaluation. Management
principles Help in thoughtful decision-making.They emphasize logic
rather than blind faith. Management decisions taken on the basis of
principles are free from bias and prejudice. They are based on the
objective assessment of the situation.

3. Meeting changing environment requirements:Although the principles

are in the nature of general guidelines but they are modified and as
such help managers to meet changing requirements at theenvironment.
You have already studied that management principles are flexible to
adapt to dynamic business environment. For example, Management
principles emphasize division of work and specialization. In modern
times this principle has been extended to the entire business whereby
companies are specialising in their competency and divestingnon-core
businesses. In this context, one may cite the decision of Hindustan
Lever Limited in divesting non-core businesses of chemicals and
seeds. Some companies are outsourcing their non-core activities like
share-transfer management and advertising to outside agencies. So
much so, that even core processes such as R&D, manufacturing and
marketing are being outsourced today.

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4. Fulfilling social responsibility:The increased awareness of the public,
forces businesses especially limited companies to fulfil their social
responsibilities.Management theory and management principles have
also evolved in response to these demands. Moreover, the
interpretation of the principles also assumes newer and contemporary
meanings with the change in time. So, if any were to talk of ‘equity’
today,it does not apply to wages alone.Value to the customer,care for
the environment,and dealings with business associates would all come
under the purview of this principle.As an application of this principle,
we find that Public Sector Undertakings have developed entire
townships as, for example, BHEL has developed Ranipur in Hardwar
(Uttaranchal).One may also cite the story of Shri Mahila Grina Udyog
Lijjat Papad as can be seen in the accompanying box.

5. Management training, education and research: Principles of

management are at the core of management theory.As such these are
usedasa basisfor management training,educationand research.You
must be aware that entrance to management institutes is preceded by
management aptitude tests. Do you think that these tests could have
been developed without an understanding of management principles
and howthey maybe appliedin different situations?These principles
provide basic groundwork for the development of management as a
discipline. Professional courses such as MBA (Master of Business
Administration), BBA (Bachelor of Business Administration) also
teach these principles as part of their curriculum at the beginner's level.

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 Example how principal applied in real life
Toyota follows certain well-defined business principles guiding Its
functioning. These are:
1. Honor the language and spirit of law of every nation and undertake open
and fair corporate activities to be a good corporate citizen around the
world.
2. Respect the culture and customs of every nation and contribute to
economic and social development through corporate activities in local
communities.
3. To provide clean and safe products and to enhance the quality of life
everywhere. Downloaded by Jay Kumar
4. Create and develop advanced technologies and provide outstanding
products and services that fulfil the needs of customers worldwide.
5. Faster acorporate culture that enhances individual creativity and teamwork
value, while honoring mutual trust and respect between management and
labor.
6. Pursue growth and harmony with global community through innovative
management.
7. Work with business partners in research and creativity to achieve stable,
long term growth and mutual benefits and be open to new partnerships.

 Conclusion:
1) It has been said that management has four basic functions –
planning, organizing, leading and controlling.
2) Common sense dictates that without these principles of
management being in place an organization would have trouble
achieving its aims, or even coming up with aims in the first place
 Reference
 Management Theory of Henri Fayol
 Management Techknowledge publications Book
 Management Nirali publications Book

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