Difference Between Delegation of Authority and Decentralisation

Delegation of Authority differs from Decentralisation in the following ways :-
1. Meaning
Delegation of authority means giving work to others and giving them the authority to do this work. Delegate means to hand over or give. In Decentralisation, the authority is distributed to all the levels of management.

2. Cause and Effect
Delegation is the cause of decentralisation.Decentralisation is the

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Matrix Organisation - Meaning Features Advantages Limitations

Matrix Organisation - Meaning
Matrix Organisation was introduced in USA in the early 1960's. It was used to solve management problems in the Aerospace industry.Matrix Organisation is a combination of two or more organisation structures. For example, Functional Organisation and Project Organisation.The organisation is divided into different functions, e.g. Purchase, Production, R & D, etc. Each

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Qualities of a Good Leader - Traits of a Successful Leader

Leadership is an influential art that affects human behaviour. The art of leadership is an activity performed by a person called Leader. Every leader has some followers or subordinates. The leader and his followers work together for achieving the objectives of the organisation. The leader solves the difficulties / problems of his followers and takes the responsibility for all their actions.

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Control Controlling - Elements Steps in the Control Process

Definition of Control
According to Allen, "Control means to guide something in the direction it is intended to go."
Definition of Controlling
According to James Stoner, "Controlling is the process of ensuring that actual activities conform to the planned activities."
5 Steps In Control Process
Five main steps in the control process with diagram are discussed below :-
1. Fixing the Control

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Advantages of Controlling in the Organisation - Need Importance

1. Control improves Goodwill
Quality control improves the quality of the products. Cost control decreases the cost of the products. Therefore, the organisation can supply good quality products at lower prices. This increases the goodwill of the organisation.
Image Credits © Gaelsapori - Advantages of Controlling.
2. Control minimises Wastage
Control helps to reduce the wastage of human,

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Essential Requirements of a Good Control System

1. Focus on Objectives
The control system should always focus on objectives. It should aim to achieve the objectives of the organisation.
Image Credits © Cycloptography - Good Control System.
2. Suitability
The control system should be suitable to the needs of the organisation.
3. Promptness
The control system should be prompt. That is, it should find out the deviations quickly. This will help

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Control Techniques - 10 Types of Techniques of Controlling

10 Types of Traditional Control Techniques
The ten types of traditional techniques of controlling are discussed below :-
1. Direct Supervision and Observation
'Direct Supervision and Observation' is the oldest technique of controlling. The supervisor himself observes the employees and their work. This brings him in direct contact with the workers. So, many problems are solved during supervision

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What is Coordination? Meaning and Articles on Co-ordination

What is Coordination?
In the organisation, there are many individuals, groups and departments. They perform many different activities. Co-ordination means to integrate (i.e. bring together) these activities for achieving the objectives of the organisation.Image Credits © Catholic Church (England and Wales)
Meaning of Coordination
"Co-ordination means integration of activities."Coordination is

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Why Coordination is called the Essence of Management ?

Co-ordination is the Essence of Management
"Co-ordination is the Essence of Management." The meaning of this sentence implies, Co-ordination affects all the functions of management. In other words, Co-ordination affects Planning, Organising, Staffing, Directing, Communication, Leading, Motivating and Controlling.

1. Planning and Coordination
According to Harold Koontz and Cyril O'Donnell, "

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Importance of Coordination - Why Co-ordination is Necessary?

Why Co-ordination is Necessary?
Co-ordination means to integrate (bring together) all the activities of an organisation. It is done for achieving the goals of the organisation. There must be proper co-ordination throughout the organisation.According to management experts, co-ordination is necessary because :-"Co-ordination is the Essence of Management." i.e. co-ordination effects all the

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Four Principles of Coordination Given By Mary Parker Follett

Follett's Four Principles of Coordination
Mary Parker Follett gave four main Principles of Coordination. These four principles of co-ordination are called are Follett's Principles of Coordination. These four principles must be followed to make co-ordination effective.
Mary P. Follett's four main principles of coordination are discussed below :-
1. Principle of Early Stage
According to this

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Human Resource Accounting HRA - Meaning Advantages

Human Resource Accounting HRA - Meaning
Human Resource Accounting (HRA) means to measure the cost and value of the people (i.e. of employees and managers) in the organisation. It measures the cost incurred to recruit, hire, train and develop employees and managers.HRA also finds out the present economic value of its employees and managers. After measuring the cost and value of its employees and

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Performance Appraisal of Employees - Definition Meaning

Performance Appraisal of Employees
Performance appraisal is a systematic evaluation of the employee's performance at work. It is done by the superiors or other experts.Image Credits © Joakim K. E. Johansson.Performance appraisal has many other names. It is also called as Merit Rating or Employee Rating or Service Rating.
Definition of Performance Appraisal
According to the Professor of

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Old Methods of Performance Appraisal - Traits Approach

The Old / Traditional Methods of Performance Appraisal Traits Approach are :-
1. Ranking Methods
Ranking method is the oldest and simplest method of rating the employees. Here, all the employees who are doing the same job are compared with each other. Then, each employee is given a particular rank, i.e. First Rank, Second Rank, etc. The best employee is given the first rank, and the worst

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Modern Methods of Performance Appraisal by Results

1. Management by Objectives (MBO)
MBO is used to measure the performance of the managers.Here the following process is used :-The superior and subordinate managers jointly fix common objectives.
The superior and subordinate managers jointly make plans for achieving the objectives.
The subordinate manager implements the plans.
Then the actual performance of the subordinate manager is compared

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Importance of Performance Appraisal - Advantages Uses

Importance of Performance Appraisal
The main advantages or importance of performance appraisal are :-
1. Performance Feedback
Most employees are very interested in knowing how well they are doing at present and how they can do better in a future. They want this information to improve their performance in order to get promotions and merit pay. Proper performance feedback can improve the

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Limitations of Performance Appraisal Techniques

1. Halo Effect
The rater may base the full appraisal on the basis or one positive quality which was found out earlier. For e.g. If a person is evaluated on one quality i.e. emotional stability and if he scores very high in the case of emotional stability, then the rater may also give him high scores (marks or grades) for other qualities such as intelligence, creativity etc., even without judging

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360 Degree Appraisal - Meaning and Six Parties Involved In It

Meaning of 360 Degree Appraisal
An appraisal made by top management, immediate superior, peers, subordinates, self and customers is called 360 Degree Appraisal. Here, the performance of the employee or manager is evaluated by six parties, including himself. So, he gets a feedback of his performance from everyone around him. This method is very reliable because evaluation is done by many

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