14 Principles of Management

The principle of division of labor is the process of distributing all the activities of an organization among the employees based on merit and efficiency. The division of labor plays the first and foremost role in management activities.

14 Principles of Management

The principle of management is the guide for all the functions of management. The principles that management managers have been supporting for a long time are considered as management principles. At present, management policy follows 14 principles of Henry Fayol, the father of modern management theory. The 14 principles are discussed in detail below.

1. Division of Labor Policy: The principle of division of labor is the process of distributing all the activities of an organization among the employees based on merit and efficiency. The division of labor plays the first and foremost role in management activities. A huge number of staff work in an organization.  Therefore, if their activities are not appropriately distributed, the work may be disrupted and chaos may arise. When an employee is assigned a task in a specific sector, he/she will be able to complete his/her work properly. However, in terms of performing the same task, the employee will be able to acquire skills in that sector. And if the staff is skilled, it is better for the organization.

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2. Principle of maintaining equality in authority: Authority means the power and authority to give orders. Authority is not limited to donations. According to Sir Triwatha and Newport, "Authority is an important part of the organizational structure. Which authorizes the issuance of orders, authorizes the performance of certain tasks, and establishes the right to follow up and take necessary corrective action".

So in this context, it can be said that the characteristics of authority are: ordering, accountability of the employees with the issuance of orders, the right of the individual and the position where they can make the necessary decisions.

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3. Principles of Centralization and Decentralization: Various decisions must be taken in the management of an organization. From which sector of management will all these decisions be made is called centralization and decentralization. An organization has managers with different powers in different sectors.

If the decision-making power in the management of the organization is in the hands of the managers of the center or the upper echelons, then it is centralization. And if the decision-making power of the organization is given to the lower-level managers, then it is decentralization.

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4. Unity of Order: The principle of unity of order is the principle of ensuring that the order of an employee will be one. In more detail, a subordinate employee will receive an order from one of his superiors and he will give an excuse to that particular person for negligence in his work. Suppose 10 employees of an organization are working under a supervisor named Y. So those 10 employees will receive orders from the supervisor named Y and will be held accountable to the supervisor named Y for their negligence of work. If there were 2 supervisors out of those 10 people, then there would be a hindrance in taking orders and accountability.


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5. Unity of Direction: Direction is a function related to the implementation of an institutional plan. S.K. Kapur said, “Instruction is to motivate subordinates to work at the expected pace so that institutional objectives can be achieved.”

To implement a pre-plan, one has to provide instructions from an organization according to that plan. Suppose an organization has received an order for 20,000 pieces of a particular product. The organization will first recruit staff for the purpose of achieving the desired goal. The top executives will then issue various orders with motivation to the employees to deliver the goods in time. J.L. Massie said, "Instruction is a process by which the actual workings of the subordinates are carried forward to the general goal."

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6. The principle of twin-ladder-chain: The principle of twin-ladder-chain states that all from the upper echelons of an organization to the lower level are closely connected with each other to achieve the institutional objectives. Through this policy, the flow of authority and communication between the officials is created. So it is easy to understand who is under the staff and who is under whom. This policy creates sympathy among institutional officials. The result is unity. As a result, if there is a problem at any stage of the organization, it can be easily understood by everyone and everyone can find a solution together. This dramatically reduces the rate of institutional error.

7. The principle of sacrificing one's own interests for the common good:

The principle of giving priority to institutional interests over personal interests is called self-interest policy in the general interest. If the lower-level managers and the upper-level manager do not consider their own interests as big but the institutional interests as big, then there will be no corruption and division in the organization. This policy applies not only to business establishments but also to the management of the state. If the government and government officials work for the development of a country with patriotism in the heart abandoning their own interests, then the country will be developed and the people will benefit.

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8. Principles of Discipline: Every organization preserves a set of rules. The principle of discipline is to formulate rules to ensure the smooth running of an organization and to follow or compel to follow those rules. According to Sir Henry Fayol, "The principle of discipline in the organization will be easier if the superiors respect the rules."

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9. Principle of order: The principle of order is the principle of giving responsibility to the deserving person in the right place or placing the right object in the right place in the interest of institutional development. If the seat is given to a person with no talent, it will never be beneficial for an organization. On the other hand, if an instrument is placed in a place or if any of the items of an organization are arranged in such a way that the institutional benefits can be obtained, institutional improvement will be achieved.

10. Remuneration Policy: The principle of remuneration is the principle of proper payment of wages according to the merit, work skills, and type of work of each employee of an organization. This policy includes encouraging workers to work with extra pay for the purpose of institutional improvement without fixed wages. After receiving a fixed payment at the right time as well as receiving additional wages, the responsibility of the workers towards that organization increases. This makes them determined to give their best to the organization considering the interests of the organization as their own. In this way, an organization can easily reach its specific goal.

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11. Principle of Equality: The principle of equality of management is the principle of equal treatment and affection towards all subordinates. If the superior officer of an organization treats all his subordinates equally, then all the subordinates will get equal benefits, and the employees will also have confidence in the superior officers. If an employee commits a crime, he should be punished like the other five. If the senior officers provide opportunities to a certain number of employees through selection, then reluctance comes towards the work of others.

12. Principle of job stability: If an employee of an organization is assured of job stability, then naturally, interest and enthusiasm about the organization will be created in him. In the current context, the job market is challenging, everyone has to struggle to find a job. And if that job is motivated by permanence, then they consider it a matter of pride. On the other hand, if the jobs of the employees of the organization are not made permanent, then there is always fear and anxiety among them about dismissal and reluctance towards their work, and it can bring loss to an organization.

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13. Policy of Entrepreneurship: The principle of enterprise is that the officers of all levels of an organization can become entrepreneurial in their work. In more detail, if an employee is allowed to work in a specific sector, it is as if he is permanently employed in that sector. By doing so, he will soon be able to better understand his own actions, become more enterprising in his work, be able to follow the orders of his superiors properly, and be able to give advice to his superiors about that sector.

14. Unity is strength policy: The principle of unity is the principle of conducting all the activities of the officers of all levels working in the organization unitedly and in mutual cooperation for the achievement of the organizational objectives. If the officers of each sector of the organization are organized with the employees of their respective sectors, then they will be able to achieve the goal of giving advice to each other firmly. When there is no unity, mutual understanding and sympathy, there is a mutual conflict which is terrible for an organization.

Thank you for reading.

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