Category: PRINCIPLES OF MANAGEMENT

What is CPM (Critical Path Method)

COMMERCESTUDY GUIDE

CPM was developed by the engineers of the Du Pont Company in the 1950s for its application in all scheduling work, construction projects, research and development programmes and in many other situations that require estimates of time and performance. It calls for dividing a programme or project into its elementary parts in their chronological order of sequence. By breaking a Read More …

Factors Affecting the Degree of Decentralisation

COMMERCESTUDY GUIDE

Decentralisation helps in achieving the organisational objectives more efficiently. Following factors are usually considered in determining the degree of decentralisation 1. Size of operations: As an organisation grows in size and complexity, need for decentralisation tends to increase. More decisions are taken at different places and coordination of a large number of departments becomes difficult. Thus as the size increases, Read More …

Principles of Delegation

COMMERCESTUDY GUIDE

Delegation is one of the most important elements in the organising process. It is through delegation that interrelationships are created in any organisation. There are certain principles which may be followed as guidelines for effective delegation. These principles are: 1. Principle of delegation by results: The purpose of delegation is to get work done through another more effectively and efficiently Read More …

MERITS AND DEMERITS OF FUNCTIONAL ORGANIZATION

COMMERCESTUDY GUIDE

Functional authority occupies a mid-way position between line and staff authority. It is a means of putting the specialists in top positions throughout the enterprise. It confers upon the holder a limited power of command over the people of other departments concerning their function. Functional authority remains confined to functional guidance of different departments. It helps in maintaining ability and Read More …