7 principles of management every MBA aspirant must know about

Here’s an interesting fact – only a while after the COVID-19 pandemic struck, applications to MBA programs in the USA rose by 70%! It was also predicted that managerial occupations will grow by a whopping 9% between 2020 and 2030. Given the plethora of opportunities and competition in the field, understanding the principles of management would be a great way to build a strong foundation and safeguard your career in the management field.

So, without further ado, here are the 7 principles of management that will set you apart from the crowd and earn you a great reputation in no time!

Division of labor

Fayol believed that assigning tasks in the right way is an excellent method to enhance the quality of work that people do. This helps an organization accomplish several tasks at the same time, while also making the work less complicated for everyone. Here, the emphasis is on utilizing the different skills people have in their respective fields. As a result, a worker who has been assigned tasks according to their skill set will develop accuracy and speed in their performance. 

This may come across as a conflicting opinion against the multi-tasking mindset we all have today. But sticking to what you know and delegating work accordingly can be a very effective way of getting things done.

Balance between authority and responsibility 

According to Henri Fayol’s principles of management, a manager’s duties revolve around her authority and responsibility. And she needs to strike a balance between the two. For instance, a manager’s responsibility is getting their teams to finish tasks on time. But if they don’t have a sense of responsibility, they might end up misusing their authority in a way that is counterproductive. 

Authority enables the smooth and efficient functioning of a team. While responsibility ensures that it is done with leadership, guidance, and discipline.

Discipline 

Discipline plays an important role in management. With discipline, it becomes easier for employees and employers to come to mutually agreeable terms and conditions. It is a mark of respect for the numerous rules and regulations of an organization. Depending on the management, discipline can either be inspired or forced.

Fun fact: These 7 principles stem from Henri Fayol’s 14 management principles theory, and will equip you with the preliminary knowledge needed to accelerate your application process! 

According to Fayol, impartial judgment and excellent supervision are key to establishing discipline in an organization. With discipline on the part of all employees, an organization can achieve goals and experience significant professional progress with time.

Unity of command 

The fourth principle that you as an MBA aspirant need to know about is the unity of command. Henri endorsed that an employee needs to receive orders and instruction from a singular superior.

The reason for this is that dual subordination can create a number of problems. For instance, it may undermine the authority of the manager and create confusion. This confusion can in turn hamper the timely completion and quality of tasks assigned to an employee. Reporting to more than one authority figure can also lead to significant chaos and has a very high chance of work duplication. This is why unity of command dictates the orderly, stable, and functional existence of management. 

Unity of direction 

Within an organization, there are multiple teams with different goals and different priorities. Unity of direction states that teams need to work on their objectives with a singular plan in mind under the supervision of a single manager. All activities for a specific target should be part of a single strategy. As a result, you will be able to productively direct the efforts of the team members towards this common goal. 

For example, a single manager can run the marketing department of a firm. The manager can create a single effective plan and strategy to complete all of the department’s marketing activities. Unity of direction is an excellent principle that helps align all the small targets with a common objective.

Equity 

Equity is among the most important principles of management in Henri Fayol’s theory. It states that managers in an organization need to be fair to all the employees under them. Every employee needs to be treated with justice, kindness, and fairness. Under no circumstances can any manager mistreat their employee on the basis of relation, religion, gender, caste, and age. This is especially true if an organization expects devotion and loyalty on the part of the employees. 

Equity is integral to establishing cordial and functional relationships between managers and subordinates. However, it is necessary to note that you can be harsh when practicing equity. This is because, sometimes, harshness helps maintain equity in a team and an organization. 

Initiative 

One of the responsibilities of the management is to ensure and encourage initiative on the part of the employees. Allowing employees to create and execute their own plans to accomplish team objectives is a brilliant way to create satisfaction. The initiative also promotes creativity, allowing employees to think of new and original ways to achieve company objectives. 

One of the benefits of encouraging initiative is that it creates an atmosphere of understanding and trust. This can be a significant factor in determining the success of an organization and also affects employee loyalty. 

In a nutshell 

If you are an MBA aspirant, understanding these 7 different management principles is a great way to support your application. Applying these principles to management settings will show that you have the right knowledge and initiative, setting you apart from your peers! 

If you have any more questions or doubts, feel free to reach out to us or drop a comment below.

FAQs

Q1. What skills does one need to become a good manager?

Answer – Some of the skills that you need to develop as a manager are – communication skills, emotional intelligence, project management, decision making, and leadership.

Q2. Do I need prior work experience to pursue an MBA program?

Answer – Most of the top MBA programs require you to have a few years of work experience. However, if that is not the case for you, make sure you highlight any leadership experience in your applications.

Q3. What is the importance of principles of management?

Answer – Understanding the principles of management gives you an idea of what is expected of you as a manager. These principles will give you a direction when it comes to managing and will also help you be a more effective manager.