Read the following passage and mark the correct answer.

Master Industries developed a new product: 'Memory Sharpen Kit' for kids. Mr. Shankar the sales manager of the company, is asked to achieve target sales of 1000 kits in one month. He designed a sales plan for the sale of the kit without consulting his sales staff. He even refused to hear their suggestions and asked them to just follow his instructions. It led to frustration among the sales staff and as a result, the sales target was not achieved on time. But he focussed on one principle in which employees should not have multiple bosses, as it will lead to divided responsibility. He expects his colleagues to get work out of subordinates and yet has a differential treatment for each person. Mr. Shankar often speaks to people at all levels, passing on instructions regarding his department and also other departments.

'Mr. Shankar often speaks to people at all levels, passing on instructions regarding his department and also other departments.'

Which principle is violated in the above statement?

Scalar chain

The correct answer is option 4-Scalar chain.

The principle being violated is Scalar Chain. Scalar Chain refers to the formal line of authority from the top to the bottom of the organization, where communication should follow this chain to maintain clarity and order. By passing instructions across different departments and not adhering to the formal hierarchy, Mr. Shankar is bypassing the established scalar chain, which can lead to confusion and disruption in communication flow.

Scalar Chain: An organisation consists of superiors and subordinates. The formal lines of authority from highest to lowest ranks are known as scalar chain. According to Fayol, “Organisations should have a chain of authority and communication that runs from top to bottom and should be followed by managers and the subordinates.” According to Fayol, this chain should not be violated in the normal course of formal communication. However, if there is an emergency then direct contact through ‘Gang Plank’. 

OTHER OPTIONS

• Unity of Command- According to Fayol there should be one and only one boss for every individual employee. If an employee gets orders from two superiors at the same time the principle of unity of command is violated. The principle of unity of command states that each participant in a formal organisation should receive orders from and be responsible to only one superior. Fayol gave a lot of importance to this principle. He felt that if this principle is violated “authority is undermined, discipline is in jeopardy, order disturbed and stability threatened”. The principle resembles military organisation. Dual subordination should be avoided. This is to prevent confusion regarding tasks to be done.

• Unity of direction- All the units of an organisation should be moving towards the same objectives through coordinated and focussed efforts. Each group of activities having the same objective must have one head and one plan. This ensures unity of action and coordination. It prevent overlapping of activities.

• Order- According to Fayol, “People and materials must be in suitable places at appropriate time for maximum efficiency.” The principle of order states that ‘A place for everything (everyone) and everything (everyone) in its (her/his) place’. Essentially it means orderliness. If there is a fixed place for everything and it is present there, then there will be no hindrance in the activities of business/ factory. This will lead to increased productivity and efficiency.