Management By Exception...
Management by Exception propounded by F.W.Taylor.According to this principle,that everySuperior should set their organisational plan and plan for every subordinates and delegate the authority to perform their work and attain goals.Superior should not be interfere in their work if they work according to plans and within the scope of authority.Superior only interfere when the exceptional situation arises or subordinates not able to control the situation or their is any deviation between in Target results and actual results,that is why it is known as Management by Exception..
Assumptions:-
I) Managers delegate the authority to their subordinates.
ii)Managers set up the Performance standard.
III)Fix the scope of authority.
iv)Managers interfere when exceptional situation arises.
Advantages of Management by Exception:-
a)It save time and efforts because manager only interfere in exceptional situations.
b) Superior can pay more attention on exceptional matters.
c)It focus on standards which are set by management.
d)It reduce the chances of deviations.
e) Freedom to do their routine activities.
f) Subordinates motivate by giving freedom to perform routine activities without interfere.
Disadvantages of Management By Exception..
1)It requires clear establishment of Performance standards but it is difficult to set.
2)It requires clear reporting system so that report of subordinates Performance delivered to superiors.
3)It is difficult to measure and evaluate the performance of subordinates.
4)It requires delegation of authority without it ,this principle can not work.
5)By delegating authority to subordinates ,they misuse their authority.
