1) Division of Work: Work is divided into small tasks/jobs i.e.

producing orders, quality and

quantity checks, date checks, cashier checks, light cleaning, customer service, and security etc.
The intent of division of work is to produce more and better work for the same effort. In
business work can be performed more efficiently if it is divided into specialised tasks each
performed by a specialist or trained employee. This results in efficient and effective output.

2) Authority and Responsibility: Authority is the right to give orders and obtain obedience,
and responsibility is the corollary of authority. Ghanshyam has built safeguards against abuse of
managerial power. At the same time ensures that a manager should have necessary authority to
carry out his responsibility.

Diagram

3) Discipline: Discipline is the obedience to organisational rules and employment agreement

which are necessary for the working of the organisation. Therefore, at Ghanshyam a definitive
code of conduct is followed, clear and fair agreements are made and judicious penalties are
applied.

4) Unity of Command: There is one and only one boss for every individual employee. Each
employee in Ghanshyam is commanded by their superiors only. There is no confusion between
the employees and coordinate between various departments.

5) Centralisation and Decentralisation: The concentration of decision-making authority is

called centralisation whereas its dispersal among more than one person is known as
decentralisation. The authority varies accordingly based upon the location and the decisions are
made collectively.

6) Unity of direction: All the units Ghanshyam are moving towards the same objectives
through coordinated and focused efforts. Each group of activities having the same objective
must have one head and one plan. For example, if the sales are to be increased new
commodities are launched, discounts and offers are issued and different advertisements are
displayed.

7) Scalar chain: Ghanshyam has a chain of authority and communication that runs from top to
bottom and should be followed by managers and the subordinates. However, in the case of
emergencies gang plank comes into action.

Diagram

8) Stability of personnel: Employee turnover should be minimised to maintain organisational

efficiency. Once selected the employees are kept at their post/ position for a minimum fixed
tenure. As well as have a stable tenure are given reasonable time to show results.
9) Remuneration: The overall pay and compensation should be fair to both employees and the
organisation. The employees are being paid fair wages, which should give them at least a
reasonable standard of living. They are also offered increments based upon their performances.

10) Order: People and materials must be in suitable places at appropriate time for maximum
efficiency. In Ghanshyam, there are various departments like frozen foods and dairy products,
daily essentials, instant foods, body care and much more and everything has a definitive place
and order.

11) Initiative: Initiative means taking the first step with self motivation. Workers are
encouraged to develop and carry out their plans for improvements. All the employee
suggestions are taken into account which thereby result in substantial cost/time reduction should
be rewarded.

12) Subordination of individual interest to general interest: The interests of an organisation

should take priority over the interests of any one individual employee. Every worker has some
individual interest for working in a company. The company has got its own objectives. For the
employees it is earning more wages whereas for the organisation it is earning more profits.

13) Equity: Good sense and experience are needed to ensure fairness to all employees, who
should be treated as fairly as possible. All the employees at Ghanshyam treated with respect and
dignity and there is no discrimination against anyone on account of sex, religion, language,
caste, belief or nationality etc.

14) Espirit de corps: The management at Ghanshyam promotes a team spirit of unity and
harmony among employees. It believes that ‘I’ should be replaced with ‘We’ and hence rise to a
spirit of mutual trust and belongingness among team members.