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Question

Explain Fayol's principle of 'equity' and 'order' with examples.

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Solution

Equity: This principle emphasises kindliness and justice in the behaviour of managers towards workers. It will bring loyalty and devotion in the behaviour of employees and they will put their best to achieve the targets. For example, individuals performing similar jobs in Kapura Ltd. are paid at the same wage rate.

Order: As per this principle, there should be an orderly arrangement of men and material which implies that there is a fixed place for everything and everyone in the organisation. A place for everything, called material order, and a place for everyone, called social order, ensures that there is no hindrance in the activity going on in the organisation.

For example, for the Head of a Sales Department a cabin is allotted, for typist a single table and for a foreman a proper area should be allotted to supervise workers. These individuals should remain in their allotted to supervise workers. These individuals should remain in their allotted places during the working hours, so that they may be easily approached whenever necessary. Violation of this principle would cause chaos and leads to inefficiency.


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