Principles of Management Definition Principles of Management Definition: Principles of management are fundamental rules of management that could be taught in schools and applied in all organizational situations. Fayol’s 14 Principles of Management: Division of work: Specialization increases output by making employees more efficient. Authority: Managers must be able to give orders and authority gives them this right. Discipline: Employees must obey and respect the rules that governs the organization. Unity of command: Every employee should receive orders from only one superior Unity of direction: The organization should have a single plan of action to guide managers and workers. Subordination of the individual interests to the general interest: The interest of any one employee or group of employees should not take precedence over the interests of the organization as a whole. Remuneration: Workers must be paid a fair wages for their services. Centralization: This term refers to the degree to which subordinates are involved in decision making. Scalar chain: The line of authority from top management to the lowest ranks is the scalar chain. Order: People and materials should be in the right place at the right time. Equity: Managers should be kind and fair to their subordinates. Stability of tenure of personnel: Management should provide orderly personnel planning and ensure that replacements are available to fill vacancies. Initiative: Employees who are allowed to originate and carry out plans will exert high levels of efforts. Esprit de corps: Promoting team spirit will build harmony and unity within the organization. Other Related Accounting Articles: Middle Managers Definition Need for Managerial Accounting Information Top Managers Definition First Line Managers Definition Introduction to Managerial Accounting Accountable Plan What is Managerial Accounting Accounting and Auditing Organization for Islamic Financial Institutions AAOIF Stake Holder Value The Cost Method of Investment Accounting Recommended Books ! Or Download E accounting book in MS-word format for just 20 $ - Click here to Download Tweet Pin It Rubab Ali Accounting Definitions, Cost Accounting, Managerial Accounting, Managment Accounting No Comments Home » Accounting Definitions & Cost Accounting & Managerial Accounting & Managment Accounting » Principles of Management Definition About The Author Rubab Leave a Reply Cancel reply Your email address will not be published. Required fields are marked *Comment Save my name, email, and website in this browser for the next time I comment.