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Principles of Management Fayol

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Summary

Henri Fayol (1841-1925) - 14 Principles of Management

What are the 14 Principles of Management?

The 14 Management Principles from Henri Fayol (1841-1925) are:

  1. Division of Work. Specialization allows the individual to build up experience, and to continuously improve his skills. Thereby he can be more productive.
  2. Authority. The right to issue commands, along with which must go the balanced responsibility for its function.
  3. Discipline. Employees must obey, but this is two-sided: employees will only obey orders if management play their part by providing good leadership.
  4. Unity of Command. Each worker should have only one boss with no other conflicting lines of command.
  5. Unity of Direction. People engaged in the same kind of activities must have the same objectives in a single plan. This is essential to ensure unity and coordination in the enterprise. Unity of command does not exist without unity of direction but does not necessarily flows from it.
  6. Subordination of individual interest (to the general interest). Management must see that the goals of the firms are always paramount.
  7. Remuneration. Payment is an important motivator although by analyzing a number of possibilities, Fayol points out that there is no such thing as a perfect system.
  8. Centralization (or Decentralization). This is a matter of degree depending on the condition of the business and the quality of its personnel.
  9. Hierarchy (Line of Authority). A hierarchy is necessary for unity of direction. But lateral communication is also fundamental, as long as superiors know that such communication is taking place. Scalar chain refers to the number of levels in the hierarchy from the ultimate authority to the lowest level in the organization. It should not be over-stretched and consist of too-many levels.
  10. Order. Both material order and social order are necessary. The former minimizes lost time and useless handling of materials. The latter is achieved through organization and selection.
  11. Equity. In running a business a ‘combination of kindliness and justice’ is needed. Treating employees well is important to achieve equity.
  12. Stability of Tenure of Personnel. Employees work better if job security and career progress are assured to them. An insecure tenure and a high rate of employee turnover will affect the organization adversely.
  13. Initiative. Allowing all personnel to show their initiative in some way is a source of strength for the organization. Even though it may well involve a sacrifice of ‘personal vanity’ on the part of many managers.
  14. Team Spirit (L'union du personnel, Esprit de Corps). Management must foster the morale of its employees. He further suggests that: “real talent is needed to coordinate effort, encourage keenness, use each person’s abilities, and reward each one’s merit without arousing possible jealousies and disturbing harmonious relations.”

5 Functions of Management (Fayol)

As part of the "administrative" activity, the administrator - who today is called the manager, Fayol distinguishes five functions:

  1. Prevoyance. (Forecast & Plan). Examining the future and drawing up a plan of action. The elements of strategy.
  2. To organize. Build up the structure, both material and human, of the undertaking.
  3. To command. Maintain the activity among the personnel.
  4. To coordinate. Binding together, unifying and harmonizing all activity and effort.
  5. To control. Seeing that everything occurs in conformity with established rule and expressed command.

Origin of the 14 Principles of Management. History

Henri Fayol (1841-1925) was a French management theorist whose theories in management and organization of labor were widely influential in the beginning of 20th century. He was a mining engineer who worked for a French mining company Commentry-Fourchamboult-Decazeville, first as an engineer. Then he moved into general management and became Managing Director from 1888 to 1918. During his tenure as Managing Director he wrote various articles on 'administration' and in 1916 the Bulletin de la Société de l’ Industrie Minérale, printed his "Administration, Industrielle et Générale – Prévoyance, Organisation, Commandement, Coordination, Contrôle". In 1949 the first English translation appeared:  ‘General and Industrial Management’ by Constance Storrs.


Usage of the 14 Management Principles. Applications

  • Change and Organization.
  • Decision-making.
  • Skills. Can be used to improve the basic effectiveness of a manager.
  • Understand that management can be seen as a variety of activities, which can be listed and grouped.

Book: Henri Fayol - General and Industrial Management


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topic Are Fayol's 14 Management Principles Still Relevant Today?
Despite being challenged by various scholars, these principles from Fayol are still relevant in many organisations in Tanzania, what we are doing is just refining those principles in order to suit our...
Rating241
 
Comments40 comments
topic What is Management? Art, Science, …?
Management... Indeed is a great learning and makes many things easy in their own way. Decision-making, organizing, co-ordinating and work not least are the components which come together in management...
Rating214
 
Comments113 comments
topic What is Organisational Hierarchy?
Describe the key management roles and discuss why some roles are considered to be more important or less important at different levels of the organisational hierarchy....
Rating162
 
Comments2 comments
topic Management Requires Patience
I think managers must be more patient than anybody else in the world, because when making a decision they don't just make a choice such as how cookers do in the kitchen....
Rating116
 
Comments3 comments
topic Best Ever Developed on Management
These principles are very efficient and they serve as the best principles ever developed for carrying out effective management activities....
Rating91
 
Comments8 comments
topic The 10 Principles of Urwick
Similar to Fayol's 14 principles although less well-known are the 10 Principles of Organisation by Lyndall Urwick. According to Urwick (Notes on the Theory of Organization, 1952), an organisation is b...
Rating85
 
topic Risks in Fayol's 14 Principles of Management
What and where are the risks in the 14 principles of management?...
Rating64
 
Comments6 comments
topic Managers versus Leaders
Not all managers are good leaders and not all leaders are good managers. We need to develop both managers and leaders to realize the vision and mission of the company....
Rating64
 
Comments119 comments
topic Evolution of Management
The way management is evolving keeps managers on their feet. Everyday brings a new management method. As a result the way we manage today you'll be surprised will change by the year 2010....
Rating63
 
Comments10 comments
topic Good and Bad Managers...
Why don't all managers follow the principles of management? Still they become managers? Why? How?...
Rating60
 
Comments11 comments
topic POLICE Acronym in Management
Can someone explain the terms P. O. L. I. C. E. in management?...
Rating53
 
Comments8 comments
topic Managers: Born or Made?
I think that managers are mostly born. The persons who have inborn, natural managerial qualities are much better in their role as manager than other managers who have acquired the managerial qualities...
Rating44
 
Comments16 comments
topic Fayol's 5 Management Roles (Functions)
Fayol mentioned 5 roles (also called functions, actions): 1. Prevoyance. 2. To organize. 3. To command. 4. To coordinate. 5. To control. Apart from these 5 managerial functions or roles in my vi...
Rating39
 
Comments6 comments
topic Add #15 Principle: Conformity to the Basic Origin
Aristotle noticed that well-being everywhere depends on two things: a choice of the correct goal, and a choice of a correct way of its achievement. In other words, to do the right things in the right ...
Rating37
 
Comments5 comments
topic What is Prevoyance? Explanation
Prevoyance is the function of management which says one must examine the future and draw a plan. How hard is it to forecast what needs to be done in the future? I need a bit of explanation on this, th...
Rating32
 
Comments7 comments
topic #14. Team Spirit / Esprit de Corps-principle (Fayol)
Can someone please come with an further explanation/example how to explain this to students?...
Rating28
 
Comments19 comments
topic Is Management an Inexact Science?
Social sciences are considered inexact. And indeed, the knowledge and study of management is quite an inexact science for many reasons: There is no laboratory for testing the principles of manage...
Rating27
 
Comments47 comments
topic Organizational Efficiency or Effectiveness?
Which is more important for an organization: efficiency or effectiveness? Why?...
Rating20
 
Comments12 comments
topic Which of Fayol's 14 Principles is Most Important?
Hi, I have just a simple question on Fayol: which of his 14 principles do you think is the most important one and why?...
Rating20
 
Comments5 comments
topic (Why) Do we Need Managers?
Why do we need managers? They are a layer of cost and add no real value, so why do we have them? Most specialists left their field to be managers and usually hate it and perform at lower levels than i...
Rating18
 
Comments48 comments
topic Difference between Adminstration and Management
Should't Fayol's principles be called the 14 principles of Administration? Why was 'administration' (in the French language) translated into English in 1949 as 'management'? What differences are there...
Rating17
 
Comments12 comments
topic #6. Subordination of Individual Interest-principle (Fayol)
Who can give me example of Henri Fayol's 6th principle ie. Subordination of Individual Interest. Thanks.....
Rating16
 
Comments3 comments
topic #1: Division of Work/Labor-principle (Fayol)
Let's discuss: What are the benefits of Fayol's "Division of Labor/Work"-principle (Fr: Division du Travail)? Henry Fayol argues that work should be divided among individuals and groups so that they ...
Rating14
 
Comments15 comments
topic #5. Unity of Direction-principle of Fayol
I'm looking for some further explanation and examples of UNITY OF DIRECTION as the 5th principle of Fayol's Principles of management? The 12manage summary says: "People engaged in the same kind of act...
Rating14
 
Comments6 comments
topic #9. Hierarchy (Scalar Chain)-principle (Fayol)
Had Fayol been alive today, he would have modified scalar structure as the hierarchy is different and structures are much more flat today. People are working in different countries on a single project...
Rating13
 
Comments2 comments
topic #4. Unity of Command-principle (Fayol)
According to Fayol's 4th Principle, Unity of Command, I should receive instruction from one boss who is my immediate manager. However I have been instructed by other managers from other department to...
Rating12
 
Comments17 comments
topic Management Mantras
What is the present management mantra practiced in your organisation? A paradigm shift in management may lead to innovations which may lead to new applications. Or are the old management theories sti...
Rating11
 
Comments12 comments
topic Exactly Where are the 14 Principles of Fayol Located?
I am writing an essay which encompasses Fayol's theory and applying it to a modern business. I have a copy of General and Industrial Management to hand but I'm having difficulty to find a reference to...
Rating11
 
Comments4 comments
topic A Good Organization Run by Monkeys
A good organization run by monkeys is still a zoo....
Rating11
 
Comments4 comments
topic Are Fayol's Principles of Management also applicable to non-profit organizations?
Fayol's principles of management were written having industrial (mining) firms in mind. Obviously these are for profit companies. Are the 14 principles also applicable to non-profit organizations? Wh...
Rating10
 
Comments11 comments
topic Books by Henri Fayol on Management
Has he written any books? I can only find articles about his management style, but no books. Please help....
Rating9
 
Comments2 comments
🔥 Using Fayol's Principles of Management as a Checklist
How to check the Principles of Management? Maybe most of Fayol's 14 Principles of Management are still necessary for organizations today, but what if we find a few of them can not be used in some kind...
Rating8
 
Comments1 comments

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🥇 How to Remember the 14 Principles by Fayol?
How to remember the 14 principles of management, if we find them difficult to remember?...
Rating93
 
Comments24 comments

🥈 Delegation: How to Delegate Effectively?
WHAT IS DELEGATION? Fayol's 13nd principle ("Initiative") is related to the management role of delegator. Kreitner (2009) defines "delegation" as: the transfer of decision-making authority to subordi...
Rating49
 
Comments37 comments

🥉 Need for Employees' Welfare in the Principles
It is obvious that in this 14 principles something is missing: the inclusion of "staff welfare". Because after all proper measures have been put in place, and the end-result is achieved, what becomes ...
Rating48
 
Comments5 comments

topic Difficulties to Apply 14 Principles of Henri Fayol
What difficulties can a manager confront today if he/she tried to implement the principles of Fayol as they were originally stated?...
Rating31
 
Comments9 comments

topic Manager in Conflict with Top Management...
Conflicts occur regularly in almost all organisations. Managers having a conflict with top management normally have to accept the decision and command of top management. But quite often, the lower/mi...
Rating18
 
Comments15 comments

topic Abuse of Delegation | Misuse of Delegating
Delegation is a core part of leadership and management, according to what we have learnt from numerous management works. It is often described positively as an effectiveness method or management techn...
Rating15
 
Comments23 comments

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