Henri Fayol’s Principles of Management

presented fourteen principles of management as general guides to the management method and management follow. These ar as under:

Division of labor Division of labor within the management method produces a lot of and higher work with constant effort. numerous functions of management like coming up with, organising, guiding and dominant can not be performed with efficiency by one owner or by a gaggle of administrators. they need to be entrusted to specialists in connected fields.

Authority and Responsibility because the management consists of obtaining the work done through others, it implies that the manager ought to have the correct to allow orders and power to actual obedience. A manager could exercise formal authority and conjointly personal power. Formal authority comes from his official position, whereas personal power is that the results of intelligence, experience, ethical price, ability to guide, past service, etc. Responsibility is closely associated with authority and it arises where authority is exercised. a personal UN agency is willing to exercise authority, should even be ready in-tuned responsibility to perform the add the style desired. However, responsibility is feared the maximum amount as authority is wanted.

Discipline Discipline is completely essential for the graceful running of business. By discipline we have a tendency to mean, the obedience to authority, observance of the foundations of service and norms of performance, respect for agreements, sincere efforts for finishing the given job, respect for superiors, etc. the simplest means that of maintaining discipline ar (a) sensible supervisors in the slightest degree levels, (b) clear and truthful agreements between the workers and therefore the leader, and (c) considered application of penalties. In fact, discipline is what leaders create it.

Unity of Command This principle needs that every worker ought to receive directions a couple of specific work from one superior solely. Fayol believed that if Associate in Nursing worker was to report back to over one superior, he would be confused because of conflict in directions and conjointly it’d be troublesome to pinpoint responsibility to him.

Unity of Direction It means there ought to be complete identity between individual and organisational goals on the one hand and between division goals inhume se on the opposite. they ought to not pull in numerous directions.

Subordination of Individual Interest to General Interest during a business organization, a personal is usually fascinated by maximizing his own satisfaction through more cash, recognition, status, etc. this is often fairly often against the final interest that lies in maximizing production. thence the necessity to subordinate the individual interest to general interest.

Remuneration The remuneration paid to the personnel of the firm ought to be truthful. It ought to be supported general business conditions, value of living, productivity of the involved workers and therefore the capability of the firm to pay. truthful remuneration will increase workers” potency and morale and fosters sensible relations between them and therefore the management.

Centralisation If subordinates ar given a lot of role and importance within the management and organisation of the firm, it’s decentralization. The management should decide the degree of centralisation or decentralization of authority on the idea of the character of the circumstances, size of the endeavor, the kind of activities and therefore the nature of organisational structure. the target to pursue ought to be the optimum activity of all colleges of the personnel.

Scalar Chain Scalar chain means that the hierarchy of authority from the very best govt to very cheap one for the aim of communication. It states superior-subordinate relationship and therefore the authority of superiors in reference to subordinates at numerous levels. As per this principle, the orders or communications ought to have the right channels of authority on the scalar chain. however just in case there’s would like for swift action, the right channels of authority is also short-circuited by creating direct contact (called gang plank) with the involved authority.

Order to place things in Associate in Nursing order desires effort. Disorder doesn’t would like any effort. It evolves by itself. Management ought to acquire orderliness in work appropriate organisation of men and materials. The principle of “right place each|for each}thing and for every man” ought to be discovered by the management. to look at this principle, there’s would like for scientific choice of competent personnel, correct assignment of duties to personnel and sensible organisation.

Equity Equity means that equality of truthful treatment. Equity results from a mixture of kindness and justice. workers expect management to be equally simply to everyone. It needs managers to be free from all prejudices, personal likes or dislikes. Equity ensures healthy industrial relations between management and labour that is important for the victorious operating of the enterprise.

Stability of Tenure of Personnel so as to inspire employees to try and do a lot of and higher work, it’s necessary that they ought to be assured security of job by the management. If they need concern of insecurity of job, their morale are going to be low and that they cannot offer a lot of and higher work. Further, can|they’re going to|they’ll} not have any sense of attachment to the firm and that they will forever air the lookout for employment elsewhere.

Initiative Initiative means that freedom to be after and execute a thought. The zeal and energy of workers ar increased by initiative. Innovation that is that the hallmark of technological progress, is feasible solely wherever the workers ar inspired to require initiative. in line with Fayol. initiative is one amongst the keenest satisfactions for Associate in Nursing intelligent man to expertise, and hence, he advises managers to allow their workers ample scope to point out their initiative. workers ought to be inspired to form every kind of suggestions to conceive and do their plans, even once some mistakes result.

Esprit DE Corps this implies shared aims. Since “union is strength”, the management ought to produce shared aims among the workers. only all the personnel collect as a team, there’s scope for realising the objectives of the priority. Harmony and unity among the employees ar a good supply of strength to the endeavor. to attain this. Fayol prompt 2 things. One. the catchword of divide and rule ought to be avoided, and two, verbal communication ought to be used for removing misunderstandings. variations grow a lot of bitter once cleared through communication.

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