Basic principles of management

The basic principles of management are general management rules. They belong to the universal category, the observance of which should lead the collective to a common goal: the prosperity of the company, enterprise, organization or other structure. They are a guide for managers who suggest choosing the most universal strategy for achieving their goals.

Principles of strategic management

Here we list the basic rules that employees of the organization must follow in order to achieve their goals.

1. A single direction. This means that a group of employees should have a clear view of the common goal and interests.
2. The dominant development. The presentation of the growth outlook is another important point in strategic management. Here employees see the rate of profit and technology, and on this basis represent the most important areas of management.
3. Science. At this point, the situational and system approaches are applied . On the basis of scientific knowledge, the most optimal ways of accomplishing the assigned tasks are selected.
4. Subordination of personal interests to the general. Here the hierarchy of interests is viewed: the aspirations and interests of one employee or group should not be more significant than organizational ones.
5. Economical. Here, the solution of problems occurs on the basis of an assessment of available resources and, depending on this, a method for their solution is chosen.
6. Division of labor. The manager must put before the organization two types of tasks: short-term (it takes a little time to implement them) and strategic (which ultimately leads to profitability). One group of people works on the first category, and the other on the second.

Principles of financial management

This branch of management is based on 4 principles:

1. Planned. It is in the planning of resources (material, labor and financial) in order to balance them.
2. Target orientation. Here, the goals of the organization are listed: for example, in countries with poorly developed economies, the main and almost sole purpose is profitability and productivity, and in countries with developed economies, in addition, the goal of complying with the responsibility to society is very important.
3. Diversification. This implies multifaceted production and the provision of different combinations of goods.
4. Strategic orientation. Here it is meant that the main goals of the organization should not come with a contradiction with the method of achieving them.

Basic principles of management: scientific and creative work

Managing a complex structure implies the need for periodic acceptance of non-standard solutions based on intuition. Undoubtedly, the bulk of decisions should be scientifically justified, however, when they can not be realized, creative approach is used.

Basic principles of management: specialization and universality

It also deals with the decision-making process: on the one hand, each problem must be accompanied by an individual approach, and on the other hand, any decision within the organization should be based on the general principles of its functioning.

Basic principles of management: consistency, continuity and competition

• Sequence. This is a very important principle, the observance of which ensures timely fulfillment of tasks and prevents confusion in work.
• Continuity. Here the interrelation of some projects with others is shown. For example, the fulfillment of one series of tasks makes it possible to perform the following series, and so, with the help of this principle, continuous growth occurs.
• Competition. Here, employees are motivated to perform not only more work, but also higher quality. It should be encouraged through material and moral means.