Question

Explain the following principles of management: (i) Division of work (ii) Remuneration of employees (iii) Subordination of individual interest to…

Accepted Answer

• (a) Division of work Work is divided into small tasks/ jobs and each task is performed by trained employee or specialist who is • competent is required to perform each job. This results in efficient and effective output. • Remuneration of employees The overall pay and compensation should be fair to • both employees and the organisation. The employees should be paid fair wages, which should give them at least a reasonable standard of living. At the same time, it should be within the • paying capacity of the company. This will ensure congenial atmosphere and good relations between workers and management. Consequently, the working of the company would be smooth. • Subordination of individual interest to general interest: The interests of an organisation should take priority over, or supersede the interests of any one individual • employee. This is so because larger interests of the workers and stakeholders are more important than the interest of any one person. OR Q. (b) Explain the following techniques of scientific management: (i) Differential piece-wage system (b) (ii) Standardisation and simplification of work • Differential piece-wage system In order to differentiate between efficient and inefficient workers, and reward efficient workers, there should be different rate of wage payment for those who performed above standard and for those • who performed below standard. According to Taylor, the difference would be enough for the inefficient worker to be motivated to perform better. • Standardization and simplification of work Standardisation refers to the process of setting • standards for every business activity. These standards are the benchmarks, which must be • adhered to during production. Simplification aims at eliminating superfluous varieties, sizes and dimensions while standardisation implies devising new varieties instead of the existing ones. Simplification aims at eliminating unnecessary • diversity of products. It results in savings of cost of labour, machines and tools. It implies reduced inventories, fuller utilisation of equipment and increasing turnover.

Explain the following principles of management :
(i)
Division of work
(ii)
Remuneration of employees
(iii)
Subordination of individual interest to general interest

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