Business Management

Definition: Scientific management concept was developed by F.W. Taylor who implemented the scientific techniques such as observation, logic, analysis and combination to study the working conditions and management at the floor level in the factories and production units. The concept of scientific management was given to improve the productivity, efficiency and effectiveness … [Read more...] about Scientific Management

Definition of Management: Management can be viewed as an effort made for accomplishing the organizational goals, objectives and vision through planning, organizing, staffing, directing and controlling all the business activities accordingly. These principles set the guidelines and standardize the management's course of action to run a business organization effectively and … [Read more...] about Henri Fayol’s 14 Principles of Management

Definition: A Ponzi scheme is a fraudulent game plan where a schemer proposes a false investment proposal to the public, promising risk-free high returns on their investment value by pretending to pool the accumulated funds in profitable business ideas. In reality, the money is not invested anywhere, whereas the schemer redistributes the collected amount by paying the … [Read more...] about Ponzi Scheme

Definition: Corporate culture is the blend of sociability and solidarity in an organization. It can be understood as the ethics, values, perception, atmosphere, practices, attitudes and beliefs shared by the employees of a company to achieve organizational goals and objectives. For Example; Let us take the instance of a world-renowned Swedish based furniture brand 'Ikea'. … [Read more...] about Corporate Culture

Definition: Seed capital is the initial fund or money which is required by a budding entrepreneur to start a new business venture. 'Seed' here refers to the business which is at the beginning stage. 'Capital' refers to the money or funds required at the very beginning of a business. A 'budding entrepreneur' is the business aspirant who looks forward to making money from his … [Read more...] about Seed Capital

Definition: A Public Limited Company (PLC) is a separate legal business entity which offers its shares to be traded on the stock exchange for the general public. According to the regulations of the corporate law, a PLC has to compulsorily present its financial stats and position publicly to maintain transparency. Example: Barclays Public Limited Company incorporated in the … [Read more...] about Public Limited Company (PLC)

Definition: Benchmarking is the process of continually improving the business or the organization by evaluating the scope for improvement, comparing the current position with that of the previous one or with the business practices of the relevant competitors, thereby establishing standards to be achieved. For Example, A food delivery service chain was facing a problem of … [Read more...] about Benchmarking

Definition: Centralization refers to that organizational structure where decision-making power is confined to the top management, and the subordinates need to follow the instructions of their seniors. Centralization of authority is essential for the small-scale organizations which lack resources and finance. Example: A person running a departmental store appoints a manager, … [Read more...] about Centralization

Definition: Team building is a management technique used for improving the efficiency and performance of the workgroups through various activities. It involves a lot of skills, analysis and observation for forming a strong and capable team. The whole sole motive here is to achieve the organization vision and objectives. Now, you must be wondering; How to Build a Great … [Read more...] about Team Building

Definition: Decentralization refers to the assignment of authority along with the responsibility at each level of the organization. Distribution of the power of decision making along with the related responsibilities among the different managerial levels is necessary for better management. Example; A bakery manufacturer and outlet owner opened two more retail outlets in his … [Read more...] about Decentralization