The basic prerequisites of discipline in industrial organisations are as follows:-

1. The objective of industrial discipline should be clearly stated and specify the standards expected of the work men.
2. Specific and clear rules and regulations should be laid down in consultation with the workers which serve as code of conduct for workers and managers.
3. Rules must be communicated to all in organisation and must be understood in same terms.
4. The rules of conduct must contain provision for investigation and settlement of grievances arising out of and during course of employment.
5. The management should ensure that their own conduct and policies do not encourage breach of discipline. This will promote self-discipline among workers.
6. The enforcement authority must be specified. The procedure for appeal against disciplinary action by aggrieved party should also be provided.
7. The quantum of prescribed punishment in specified cases of indiscipline should be known.
8. All rules and regulations should be executed objectively and consistently. They should be appraised regularly to keep them suitable and up to date.
9. The discipline policy should seek to prevent the breach of discipline rather than to administer penalties. Penalties should be used only when they become absolutely necessary.
10. There should be suitable grievance procedure for the prompt redressal of all grievances of employees. All awards & agreements should be implemented with out delay and discrimination.
11. A discipline committee may be constituted to look into the causes of indiscipline in the enterprise and to suggest suitable measures for their removal.