PRINCIPLE OF

ORGANISING
AN ORGANISATION CAN PERFORM IN A BETTER WAY IF THE FOLLOWING
PRINCIPLES ARE FOLLOWED
 PRINCIPLE OF ORGANISING

UNITY OF
OBJECTIVE
EFFICIENCY
SPAN OF
MANAGEMENT
DIVISION OF WORK
FUNCTIONAL
DEFINATION
SCALAR PRINCIPLE

EXCEPTION
PRINCIPLE UNITY OF COMMAND

UNITY OF
DIRECTION RESPONSIBILITY

AUTHORITY AND
RESPONSIBILITY BALANCE

FLEXIBILITY CONTINUITY

FACILITATION OF
 UNITY OF OBJECTIVE
EVERY SECTION OF THE ORGANISATION AND THE ORGANISATION AS A
WHOLE SHALL FOCUS AND STRIVE TO ATTAIN THE CORE OBJECTIVE LAID
DOWN FOR THE ORGANISATION
 EFFICIENCY
1)THE DEFINITION OF EFFICIENCY DIFFERS ACCORDING TO DIFFERENT
PERSPECTIVES.THERE ARE BASICALLY THREE PERSPECTIVES WHICH DEFINE THE
TERM “EFFICIENCY”.
2)FROM BUSINESS POINT OF VIEW , A COMPANY IS CONSIDERED AS EFFICIENT
WHEN IT IS ABLE TO ACHIEVE THE OBJECTIVE IN MINIMUM POSSIBLE COST.
3)FROM PERSPECTIVE OF AN INDIVIDUAL ,AN ORGANISATION IS CONSIDERED AS
EFFICIENT WHEN IT IS ABLE TO PROVIDE JOB SATISFACTION TO THE EMPLOYEE.
4)FROM SOCIAL PERSPECTIVE ,AN ORGANISATION IS CONSIDERED EFFICIENT
WHEN IT CONTRIBUTES SIGNIFICANTLY TO THE SOCIAL WELFARE.
 SPAN OF MANAGEMENT

DIRECT SUPERVISION BY THE MANAGER IS POSSIBLE ONLY FOR A

LIMITED NUMBER OF EXECUTIVES.THEREFORE ,OPTIMUM NUMBER OF
EXECUTIVE ARE REQUIRED WHO WOULD BE ANSWERABLE TO THE TOP
MANAGEMENT.USUALLY SIX EXECUTIVES SHOULD BE THERE FOR AN
EFFICIENT SPAN OF MANAGEMENT.
 DIVISION OF WORK
A SUCCESSFUL ORGANISATION CONSISTS OF VARIOUS DEPARTMENTS
WHICH ASSIST IN BREAKING DOWN SEVERAL JO0BS INTO SMALLER TASK
FOR EFFICIENT FUNCTIONING OF ORGANISATION.A SOUND
ORGANISATION ALWAYS FOCUSES ON A PROPER DEPARTMENTATION
PROCESS.
 FUNCTIONAL
DEFINITION
THE RESPONSIBILITIES ENTRUSTED AND THE AUTHORITY PROVIDES
SHOULD BE CLEARLY DEFINED TO AVOID CONFUSIONAND
OVERLAPPING.HENCE FUNCTIONAL DEFINITION DELINEATES WORK
RESPONSIBILITIES AND AUTHORITY RELATED TO A POSITION IN THE
ORGANISATION.
SCALAR PRINCIPLE
• AN ORGANISATION SHOULD HAVE A PROPER CHAIN OF AUTHORITY
THAT WOULD RUN FROM TOP LEVEL TO THE BOTTOM LEVELOF
MANAGEMENT.EACH EMPLOYEE WORKING UNDER AN
ORGANISATION STRUCTURE SHOULD KNOW HIS SUPERIOR AND
SUBORDINATES.
• AN EMPLOYEE SHOULD ALSO KNOW THE RESPONSIBLE AUTHORITY
TO WHICH HE SHOULD REFER FOR THE MATTERS OUTSIDE HIS
PURVIEW.
EXCEPTION PRINCIPLE
• A PROPER AND EFFICIENT ARRANGEMENT OF POSITIONS IN AN
ORGANISATION GIVES SCOPE FOR EASY DEALING OF ROUTINE
ACTIVITIES BY THE SUBORDINATES WITHOUT ANY INDULGENCE OF
HIGHER AUTHORITIES
• ONLY COMPLEX MATTERS ARE DISCUSSED AND DEALT BY THE SENIOR
EXECUTIVES.THIS PROCESS IS REFERRED TO AS”EXCEPTION
PRINCIPLE”.
UNITY OF COMMAND
• EACH EMPLOYEE IN AN ORGANISATION SHOULD RECEIVE ORDERS
FROM ONLY ONE SUPERIOR.THIS IS VERY IMPORTANT,IN ORDER TO
PREVENT CONFLUSION AND CONFLICTS REGARDING ASSIGNED TASKS.
• IT ALSO HELPS IN ASSIGNING RESPONSIBILITIES TO THE POSITION.
UNITY OF DIRECTION
• EVERY DEPARTMENT OR DIVISION OF AN ORGANISATION SHOULD
FOLLOW THE SAME PLAN OF ACTION.
• THIS HELPS IN REDUCING THE CONFLICTS AND CONFLUSION AMONG
EMPLOYEES.
• IT ALSO IMPROVES COORDINATION AMONG VARIOUS DEPARTMENTS.
• IF THE DEPARTMENTS START FORMULATING THEIR INDIVIDUAL PLANS
OR PROGRAMMES,THEN THERE WOULD ALWAYS BE A POSSIBILITY OF
CONFUSION.
RESPONSIBILITY
• EVERY ORGANISATION HAS SUPERIORS WHO ASSIGN THE JOBS TO
THEIR SUBORDINATE AND ARE RESPONSIBLE FOR THE ASSIGNED
JOBS.
• SIMILARLY THE SUBORDINATES ARE CONSIDERED RESPONSIBLE FOR
THEIR OWN PERFORMANCE REGARDING THE ASSIGNED JOBS.
AUTHORITY AND RESPONSIBILITY
• EVERY RESPONSIBILITY SHOULD BE ASSOCIATED WITH AN
AUTHORITY.THEREFORE ,THE SUBORDINATES SHOULD POSSESS
NECESSARY AUTHORITY TO DISCHARGE THEIR DUTIES IN A RIGHTFUL
MANNER.
BALANCE
• IN A GOOD ORGANISATION,A BALANCE BETWEEN CENTRALISATION
AND DECENTRALISATION SHOULD BE ACHIEVED.
• SOME OF THE ROUTINE DECISION CAN BE LEFT TO THE
SUBORDINATES,WHILE SOME MAJOR DECISIONS SHOULD BE TAKEN
BY THE TOP LEVEL ONLY.
FLEXIBILITY
• VARIOUS BUSINESS ACTIVITIES CONDUCTED IN AN
ORGANISATIOPN,INCLUDING TECHNICAL ACTIVITIES SHOULD BE
DESIGNED IN A MANNER WHICH CAN BE FLEXIBLE ENOUGH TO
ADAPT ITSELF WITH THECONSTANT CHANGING ENVIRONMENTAL
FACTORS.
• THUS IT SHOULD AVOID COMPLICATED PROCESSES,COMPLEX
CONTROLLING MECHANISMS,AND REDTAPISM IN ORDER TO
MAINTAIN FLEXIBILITY.
CONTINUITY
• THE ORGANISATIONALSTRUCTURESHOULD BEFORMULATEDIN A
MANNER SO THAT IT HELPS IN ITS CONTINUITY AND SURVIVAL.
• EFFICIENT PROVISION OF TRAINING AND DEVELOPMENT ACTIVITIES
SHOULD BE CONDUCTED TO ENSURE CONTINUITY.
FACILITATION OF LEADERSHIP
• THE MANAGEMENT SHOULD BE PROVIDED RIGHT OPPORTUNITIES TO
LEAD THE ORGANISATION IN AN EFFECTIVE MANNER.
• THUS THE ORGANISATIONAL STRUCTURE SHOULD BE DESIGNED
ACCORDING TO THE ABOVE REQUIREMENTS.