12 Most Important Principles of Management | Detail Explanation

12 Really Important Principles of Management, You shouldn't miss this management principles to make your management successful.

Principles of Management 

Principles are generally accepted fundamental truths. Principles of management are considered as generally accepted guidelines for decision making, management actions and have universal application. These principles are the essential and underlying factors that form the foundations of successful management. 

1) Management By Objective (MBO) 

Peter Drucker was the first person who popularized the term “management by objective” in his book ‘The Practice of Management’.
Management by objective or MBO is goal oriented and goals are set down in quantitative terms. It is a process of defining objectives within an organization so that management and employees agree to the objectives and understand what they need to do in the organization. It is named as management by result. According to Robbins, the process of MBO includes activities; goal setting, action planning, monitoring and evaluation of performance, and progress review and feedback for corrective actions. 

2) Division of Work 

According to this principle employees are specialized in different areas based on their skills and expertise. The work is divided into smaller package and distributed among the members of group according to their skills. Division of work specializes each and every ones skills and helps personal and professional development in the organization. What specialization does is, promotes efficiency of workforce and increases their accuracy and speed. 

3) Authority and Responsibility 

Authority means the right of a superior to give orders to his subordinates and with this authority comes responsibility. Every organization has managerial authority to give orders to the employees. And that authority leads to the responsibility of the manager. The principle states that authority should flow from responsibility. Similarly responsibility should be accompanied by authority. 

4) Discipline 

Discipline is the obedience, proper rules and regulation in order to run an organization smoothly. It is essential part of the management for smooth functioning of all organizations. 

5) Unity of command 

According to this principle one employee should have only one boss/manager. More than one boss/manager weakens discipline, divides loyalty and creates conflicts in the organization. 

6) Unity of direction 

This management principle states that there should be one head and one plan for group of activities having the same objective. All activities must be carried out by one group that forms a team. These activities must be described in a plan of action. The manager monitors the progress of the defined and planned activities. 

7) Subordination of individual interest 

According to this principle, interests of organization should be above the interests of individual. Personal goals should not conflict with the organizational goals. The primary focus is on the organizational objectives and not on those of the individual. 

8) Span of Management 

It states that there is a limit to the number of subordinates that the superior can supervise. It is also known as span of control. 

9) Scalar chain of command 

This principle refers to the chain of superiors ranging from top management to the lowest rank. The principle suggests that there should be clear line of authority from top to bottom linking all managers at all levels. Orders and communication should pass through the scalar chain. 

10) Human resource management (HRM) 

This principle states that there should be stability of tenure of employees, right man in the right job and fair and equitable remuneration, both financial and non financial. It also considers good working environment and spirits de corps. Workers must be paid sufficiently as it is the main motivation of employees and therefore greatly influences productivity. 

11) Participation in management 

This is the approach, where management encourages subordinates to give suggestions and participate in decision making in all matters directly related to their jobs. This improves personal usefulness, dignity of group members and secures their commitments to organizational goal. 

12) Equity 

This principle of management states that employees must be treated kindly and equally. This principle often occurs in the core values of an organization. Managers should supervise and monitor this process and they should treat employees fairly and impartially.