Principles of
Organisation
An organisation has to follow certain basic principles
to be effective. Following are the important principles of organisation in the
field of management.
(i) Principle of span of management: The number
of persons that can be managed by one person is limited. Lesser managerial
levels will exceed the manager’s effective span of control and too many levels
will create confusion and disorder. There is a limit to the number of
subordinates that an executive can supervise effectively.
(ii) Principle of command: The subordinates
should be responsible to a single person. E.g, a junior executive, should know
to whom he has to report about the progress achieved, difficulties encountered
and to whom he can approach for any consultation required.
(iii) The scalar principle: A clear line of
authority from the top to the bottom levels of management. This will result in
efficient functioning of the management. If this principle is used, the
understanding of authority relationships within an organisation is made easier.
(iv) Principle of delegation: The delegation of
authority with responsibility is essential to enable managers to carry out
their duties efficiently. Thus responsibility and authority go hand in hand.
Therefore to enable the managers to carry out their duties effectively, they
must be delegated with adequate authority in proportion to their
responsibilities.
(v) Principle of division of work: Any major
work is to be suitably divided and allocated to individuals such that each
person has the qualification and capacity to perform the assigned work in the
most efficient manner.
(vi) Principle of separation of work: The works
carried out by an individual or team should be checked and controlled by people
other than those who executed the work. This helps in identifying the mistakes
and taking timely corrective actions.