14 principles of management are universally accepted and used even today. According to Henri Fayol, all managers must follow these 14 principles.
Henri Fayol, a French industrialist, is now recognized as the Father of Modern Management. In the year 1916 Fayol wrote a book entitled “Industrial and General Administration”. In this book, he gave the 14 Principles of Management.
Henri Fayol’s 14 Principles of Management are;
Dividing the full work of the organization among individuals and creating departments is called the division of work.
Division of work leads to specialization, and specialization helps to increases efficiency and efficiency which results in improvements in the productivity and profitability of the organization.
Authority must be equal to Responsibility. According to Henri Fayol, there should be a balance between Authority (Power) and Responsibility (Duties). The right to give orders should not be considered without reference to responsibility.
If the authority is more than responsibility then chances are that a manager may misuse it. If responsibility is more than authority then he may feel frustrated.
Outward mark of respect in accordance with formal or informal agreements between a firm and its employees. Discipline means a respect for the rules and regulation of the organization. Discipline may be Self-discipline, or it may be Enforced discipline.
No slacking or bending of rules, not allowed in any organization. The works must respect the rules that run the organization. To establish discipline, good supervision and impartial judgment are needed.
According to this principle, a subordinate (employee) must have and receive orders from only one superior (boss or manager).
To put it another way, a subordinate must report to only one superior. It helps in preventing dual subordination. This decrease the possibilities of “Dual subordination” which creates a problem is a function of managers.
One head and one plan for a group of activities with the same objective. All activities which have the same objective must be directed by one manager, and he must use one plan.
This is called Unity of Direction.
For example, all marketing activities such as advertising, sales promotion, pricing policy, etc., must be directed by only one manager.
He must use only one plan for all the marketing activities. Unity of direction means activities aimed at the same objective should be organized so that there are one plan and one person in charge.
The interest of one individual or one group should not prevail over the general good. The individual interest should be given less importance, while the general interest should be given most importance.
If not, the organization will collapse. The interest of the organizational goal should not be sabotaged by the interest of an individual or on the group.
Remuneration is the price for services received. Pay should be fair to both the employee and the firm. If an organization wants efficient employees and best performance, then it should have a good remuneration policy.
This policy should give maximum satisfaction to both employer and employees. It should include both financial and non-financial incentives.
Compensation should be based on systematic attempt to reward good performance.
It is always present to a greater or lesser extent, depending on the size of the company and the quality of its managers. In centralization, the authority is concentrated only in a few hands.
However, in decentralization, the authority is distributed to all the levels of management. No organization can be completely centralized or decentralized.
If there is complete centralization, then the subordinates will have no authority (power) to carry out their responsibility (duties). Similarly, if there is complete decentralization, then the superior will have no authority to control the organization.
Therefore, there should be a balance between centralization and decentralization.
The degree to which centralization or decentralization should be adopted depends on the specific organization, but managers should retain final responsibility but should give subordinate enough authority to do the tasks successfully.
The chain of command, sometimes called the scalar chain, is the formal line of authority, communication, and responsibility within an organization.
The chain of command is usually depicted on an organizational chart, which identifies the superior and subordinate relationships in the organizational structure.
Or it is the line of authority from top to bottom of the organization. This chain implements the unity-of-command principle and allows the orderly flow of information.
Under the unity of command principle, the instructions flow downward along the chain of command and accountability flows upward.
More clear-cut the chain of command, the more effective the decision-making process and greater the efficiency.
A place for everything and everything in its place’ the right man in the right place. There should be an Order for material/things and people in the organization.
Baixar cd bruno e marrone so as melhores. Order for things is called Material Order and order for people is called Social Order. Material Order refers to “a place for everything and everything in its place.”
Social Order refers to the selection of the “right man in the right place”. There must be the orderly placement of the resources such as Men and Women, Money, Materials, etc. Human and material resources must be in the right place at the right time. Misplacement will lead to misuse and disorder.
While dealing with the employees a manager should use kindliness and justice towards employees equally. Equity is a combination of kindness and justice.
It creates loyalty and devotion in the employees toward the organization. The equity principle suggests that the managers must be kind as well as equally fair to the subordinates.
Although it could take a lot of time, Employees need to be given fair enough time to settle into their jobs. An employee needs time to learn his job and to become efficient.
The employees should have job security because instability leads to inefficiency. Successful firms usually had a stable group of employees.
Without limits of authority and discipline, all levels of staff should be encouraged to show initiative. Management should encourage initiative.
That is, they should encourage the employees to make their own plans and to execute these plans. This is because an initiative gives satisfaction to the employees and brings success to the organization. It allows the subordinates to think out a plan and do what it takes to make it happen.
Esprit de Corps means “Team Spirit”. Therefore, the management should create unity, co-operation, and team-spirit among the employees.
They should avoid dividing and rule policy. Harmony, cohesion among personnel. It’s a great source of strength in the organization. It is a quality in every successful business.
These principles are guidelines for every management function. The manager must act according to the 14 principles of management; in order to reach the goal and create a surplus.
These 14 management principles of Henri Fayol are universally accepted. they work as a guideline for managers to do their job according to their responsibility.
Henri Fayol | |
| Born | July 29, 1841 Constantinople, Ottoman Empire |
|---|---|
| Died | November 19, 1925 (aged 84) |
| Nationality | French |
| Education | École des Mines de Saint-Étienne |
| Occupation | Economist, Engineer, Entrepreneur |
| Known for | Fayolism |
Henri Fayol (29 July 1841 – 19 November 1925) was a French mining engineer, mining executive, author and director of mines who developed general theory of business administration that is often called Fayolism.[1] He and his colleagues developed this theory independently of scientific management but roughly contemporaneously. Like his contemporary, Frederick Winslow Taylor, he is widely acknowledged as a founder of modern management method.
Fayol was born in 1841 in a suburb of Constantinople (current Istanbul). His father (an engineer) was in the military at the time and was appointed superintendent of works to build Galata Bridge, which bridged the Golden Horn.[1] The family returned to France in 1847, where Fayol graduated from the mining academy 'École Nationale Supérieure des Mines' in Saint-Étienne in 1860.
In 1860 at the age of nineteen Fayol started working at the mining company named 'Compagnie de Commentry-Fourchambault-Decazeville' in Commentry as the mining engineer.[2]He was hired by Stéphane Mony, who had decided to hire the best engineers from the Saint-Étienne Mining School.Fayol joined the firm as an engineer and trainee manager.Mony made Fayol his protege, and Fayol succeeded him as manager of the Commentry Mine and eventually as managing director of Commentry-Fourchambault and Decazeville.[3]During his time at the mine, he studied the causes of underground fires, how to prevent them, how to fight them, how to reclaim mining areas that had been burned, and developed a knowledge of the structure of the basin.[2] In 1888 he was promoted to managing director. During his time as director, he made changes to improve the working situations in the mines, such as allowing employees to work in teams, and changing the division of labor.[2] Later, more mines were added to his duties.
In 1900 Fayol became a member of the Comité Central des Houillères de France, member of the board of the Comité des forges and administrator of the Société de Commentry, Fourchambault et Decazeville.[4]Eventually, the board decided to abandon its iron and steel business and the coal mines. They chose Henri Fayol to oversee this as the new managing director. Upon receiving the position, Fayol presented the board with a plan to restore the firm. The board accepted the proposal.[2] When he retired in 1918, the company was financially strong and one of the largest industrial combines in Europe
Based largely on his own management experience, he developed his concept of administration. In 1916 he published these experience in the book Administration Industrielle et Générale, at about the same time as Frederick Winslow Taylor published his Principles of Scientific Management.
Fayol's work became more generally known with the 1949 publication of 'General and industrial administration',[5] the English translation[6] of the 1916 article 'Administration industrielle et générale'. In this work Fayol presented his theory of management, known as Fayolism. Before that Fayol had written several articles on mining engineering, starting in the 1870s, and some preliminary papers on administration.[7]
Starting in the 1870s, Fayol wrote a series of articles on mining subjects, such as on the spontaneous heating of coal (1879), the formation of coal beds (1887), the sedimentation of the Commentry, and on plant fossils (1890),
His first articles were published in a French Bulletin de la Société de l'Industrie minérale, and beginning in the early 1880s in the Comptes rendus de l'Académie des sciences, the proceedings of the French Academy of Sciences.
Fayol's work was one of the first comprehensive statements of a general theory of management.[8] He proposed that there were five primary functions of management and fourteen principles of management[9]
In his original work, Administration industrielle et générale; prévoyance, organisation, commandement, coordination, controle, five primary functions were identified:[9]
The control function, from the French contrôler, is used in the sense that a manager must receive feedback about a process in order to make necessary adjustments and must analyze the deviations. Lately scholars of management combined the commanding and coordinating function into one leading function.
While Fayol came up with his theories almost a century ago, many of his principles are still represented in contemporary management theories.[10]
| Wikiquote has quotations related to: Henri Fayol |
| Wikimedia Commons has media related to Henri Fayol. |