What are the principles of management given by Henry Fayol?

Answer 1

Henri Fayol, (1841-1925) a French mining engineer, developed 14 principles of management based on his management experiences. These principles provide modern-day managers with general guidelines on how a supervisor should organize her department and manage her staff. Although later research has created controversy over many of the following principles, they are still widely used in management theories.

· Division of work: Division of work and specialization produces more and better work with the same effort.

· Authority and responsibility: Authority is the right to give orders and the power to exact obedience. A manager has official authority because of her position, as well as personal authority based on individual personality, intelligence, and experience. Authority creates responsibility.

· Discipline: Obedience and respect within an organization are absolutely essential. Good discipline requires managers to apply sanctions whenever violations become apparent.

· Unity of command: An employee should receive orders from only one superior.

· Unity of direction: Organizational activities must have one central authority and one plan of action.

· Subordination of individual interest to general interest: The interests of one employee or group of employees are subordinate to the interests and goals of the organization. This is necessary to maintain unity and to avoid friction among the employees

· Remuneration of personnel: Salaries - the price of services rendered by employees - should be fair and provide satisfaction both to the employee and employer.

· Centralization: The objective of centralization is the best utilization of personnel. The degree of centralization varies according to the dynamics of each organization.

· Scalar chain: A chain of authority exists from the highest organizational authority to the lowest ranks.

· Order: Organizational order for materials and personnel is essential. The right materials and the right employees are necessary for each organizational function and activity.

· Equity: In organizations, equity is a combination of kindliness and justice. Both equity and equality of treatment should be considered when dealing with employees.

· Stability of tenure of personnel: To attain the maximum productivity of personnel, a stable work force is needed.

· Initiative: Thinking out a plan and ensuring its success is an extremely strong motivator. Zeal, energy, and initiative are desired at all levels of the organizational ladder.

· Esprit de corps: Teamwork is fundamentally important to an organization. Work teams and extensive face-to-face verbal communication encourages teamwork.