Page 1 - Lesson Note 1

SAI INTERNATIONAL SCHOOL

Class-12
th
Business studies

Chapter – 2, Principles of Management

Topics: Meaning, Nature, Importance & Taylor’s Principles.
(Lesson Notes- 3)

Short Notes On:

Meaning and Sources of Principles of Management

 Principle: Principle refers to a statement which reflects the fundamental truth about

some phenomenon based on cause and effect relationship.
 Management Principles: These are the statements of fundamental truth; they serve as

a guide to thought and actions for managerial decision actions and their execution.
 Derivation of Management Principles: Management principles have been derived on

the basis of (i) Deep observations and (ii) Repeated experiments

Nature of Principles of Management:

1. Universal Applicability: The principles of management are universal in nature that

means they can be applied to all types of organisations irrespective of their size and
nature.

2. General Guidelines: Management principle give guidelines to solve the problems,
these principles do not provide ready-made solution for all the problems.

3. Formed by Practice and Experiments: The management principles are developed only

after deep and through research work.
4. Flexibility: These are not set of rigid statements. These can be modified by the

managers who are using them.
5. Mainly Behavioural: Management principles are formed to guide and influence the

behaviour of employees.