Henry Fayol & His Principles Of Management Theory(Part2of2)

September 14th, 2008 Comments off
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In Part 1, we saw how Henry Fayol classifies operations of a business organization. In this article, he advocated the fourteen principles of management:

Henry Fayol’s 14 Principles Of Management Theory

  • Division of work:-the more staff socialized, the more efficient they can perform their work
  • Authority and Responsibility:-Authority is the right to command and the power to make people obey. Along with authority goes responsibility
  • Discipline:-Employees need to obey and respect the rules that govern the organization
  • Unity of command:-Every employee should receive orders and instructions from only one superior
  • Unity of direction:-There should be one manager and one plan for all operations having the same objective
  • Subordination of individual interests to the general interest:-the general interests of the organization must take precedence over individual/personal interests
  • Remuneration:-Workers must be paid a fair wage for their services
  • Centralization:- Whether decision making is centralized or decentralized is a matter of proper proportion
  • Scalar chain: It is a graded chain of authority from top to bottom through which all communications flow
  • Order:-People and materials should be in the right place and right time
  • Equity:- Manager should be fair, just and impartial and unbiased to their subordinates
  • Stability of tenure of personnel: The management must implement a plan of action which encourage long range commitment of employees
  • Initiatives- The opportunity to perform independently is an essential component of employee growth and development
  • Esprit de corps:-Need for teamwork and the importance of effective communication in obtaining it.

Salient point:

Henry Fayol is described as the father of modern management theory. His contribution to management theory is very significant Modern ideas and practices in management can be directly attributed to the contribution made by Henry Fayol

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