Henri Fayol’s 14 Principles Of Management. Management Thinker

1. Henri Fayol
(1841 - 1925)
Hi I am….

2. Henri Fayol’s Background
 Graduated from the National School of
Mines in Saint Etrenne in 1860
 After graduation he went to work and spent
his entire career at Commentry-
Fourchamboult-Decazeville.
 In 1888 he became managing director,
when the mine company employed over
10,000 people

3. MAJOR ACHIVMENTS
 He is credited with saving the company
from bankruptcy
 During his career he lectured at Ecole
Superievre de la Guerre
 In his retirement he established the Center
of Administrative Studies

4. How do we manage an
Organization…?

6. Division Of Work
 Work should be divided among
individuals and groups to ensure that
effort and attention are focused on
special portions of the task.

7. Authority
 The right to issue commands, along
with which must go the balanced
responsibility for its function.

8. DISCIPLINE
 A successful organization requires the
common effort of workers. Penalties
should be applied judiciously to
encourage this common effort.

9. Unity Of Command
 Each worker should have only one
boss with no other conflicting lines of
command.

10. UNITY OF DIRECTION
 The entire organization should be
moving towards a common objective
in a common direction.

11. Subordination of individual
interest
 Management must see that the goals
of the firms are always paramount.

12. Remuneration
 Many variables, such as cost of living,
supply of qualified personnel, general
business conditions, and success of
the business, should be considered in
determining a worker’s rate of pay

13. CENTRALIZATION
 Fayol defined centralization as
lowering the importance of the
subordinate role

14. SCALAR CHAIN
 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

15. ORDER
 For the sake of efficiency and
coordination, all materials and people
related to a specific kind of work
should be treated as equally as
possible.

16. EQUITY
 In running a business a ‘combination
of kindliness and justice’ is needed.
Treating employees well is important
to achieve equity

17. STABILITY OF TENURE OF
PERSONNEL
 Retaining productive employees
should always be a high priority of
management

18. Initiative
 new or additional work activity
undertaken through self direction

19. Esprit de Corps
 Management should encourage
harmony and general good feelings
among employees.

20. Functions of these
management
 To forecast and plan
 To organize
 To command or direct
 To coordinate
 To control

21. Common criticisms of Henri Fayol
Management is not always universal:
Fayol was criticized because he only had
experience in a coal mine. Many have said just
because you can manage a coal mine does not
necessarily mean you can manage a hospital.
His writing is lessons learned in his career:
Everything that Fayol wrote about was something
from his career as the managing director of a
mining company. The criticism is that his
background was not all that diverse.

22. Fayol’s Big Contributions to
Management
 1) Universality of management: The
same skills are needed to manage a coal
mine that are needed to manage a
hospital, post office, university, etc..
 2) Management is a field in and of itself:
There were no schools of management
prior to Henri Fayol!!!

23. SINTO K K
MAHRM-2014