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Scalar Chain
Fayol defines scalar chain as ’The chain of superiors ranging from the ultimate authority to the lowest”.
Every orders, instructions, messages, requests, explanation etc. has to pass through Scalar chain.
But, for the sake of convenience & urgency, this path can be cut shirt and this short cut is known as Gang Plank.
A Gang Plank is a temporary arrangement between two different points to facilitate quick & easy communication as explained : In the figure given, if D has to communicate with G he will first send the communication upwards with the help of C, B to A and then downwards with the help of E and F to G which will take quite some time and by that time, it may not be worth therefore a gang plank has been developed between the two.
Gang Plank clarifies that management principles are not rigid rather they are very flexible. They can be moulded and modified as per the requirements of situations.
Sub-Ordination of Individual Interest to General Interest
An organization is much bigger than the individual it constitutes therefore interest of the undertaking should prevail in all circumstances.
As far as possible, reconciliation should be achieved between individual and group interests.
But in case of conflict, individual must sacrifice for bigger interests.
In order to achieve this attitude, it is essential that -
- Employees should be honest & sincere.
- Proper & regular supervision of work.
- Reconciliation of mutual differences and clashes by mutual agreement. For example, for change of location of plant, for change of profit sharing ratio, etc.
Espirit De’ Corps (can be achieved through unity of command)
It refers to team spirit i.e. harmony in the work groups and mutual understanding among the members.
Spirit De’ Corps inspires workers to work harder.
Fayol cautioned the managers against dividing the employees into competing groups because it might damage the moral of the workers and interest of the undertaking in the long run.
To inculcate Espirit De’ Corps following steps should be undertaken -
There should be proper co-ordination of work at all levels
Subordinates should be encouraged to develop informal relations among themselves.
Efforts should be made to create enthusiasm and keenness among subordinates so that they can work to the maximum ability.
Efficient employees should be rewarded and those who are not up to the mark should be given a chance to improve their performance.
Subordinates should be made conscious of that whatever they are doing is of great importance to the business & society.
He also cautioned against the more use of Britain communication to the subordinates i.e. face to face communication should be developed. The managers should infuse team spirit & belongingness. There should be no place for misunderstanding. People then enjoy working in the organization & offer their best towards the organization.
Centralization & De-Centralization
Centralization means concentration of authority at the top level. In other words, centralization is a situation in which top management retains most of the decision making authority.
Decentralization means disposal of decision making authority to all the levels of the organization. In other words, sharing authority downwards is decentralization.
According to Fayol, “Degree of centralization or decentralization depends on no. of factors like size of business, experience of superiors, dependability & ability of subordinates etc.
Anything which increases the role of subordinate is decentralization & anything which decreases it is centralization.
Fayol suggested that absolute centralization or decentralization is not feasible. An organization should strike to achieve a lot between the two.
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Participants