2. Background
• Henri Fayol was born in Istanbul in 1841.
When he was 19, he began working as an
engineer at a large mining company in France.
He eventually became the director, at a time
when the mining company employed more
than 1,000 people.

3. Background
• Through the years, Fayol began to develop
what he considered to be the 14 most
important principles of management.
Essentially, these explained how managers
should organize and interact with staff.

4. Background
• In 1916, two years before he stepped down as
director, he published his "14 Principles of
Management" in the book "Administration
Industrielle et Generale." Fayol also created a
list of the six primary functions of
management, which go hand in hand with the
Principles.

5. Background
• Fayol's "14 Principles" was one of the earliest
theories of management to be created, and
remains one of the most comprehensive. He's
considered to be among the most influential
contributors to the modern concept of
management, even though people don't refer
to "The 14 Principles" often today.

6. Background
• The theory falls under the Administrative
Management school of thought (as opposed
to the Scientific Management school, led by
Fredrick Taylor).

7. Fayol's 14 Principles of
Management
• Fayol's principles are listed below:
• Division of Work – When employees are
specialized, output can increase because they
become increasingly skilled and efficient.
• Authority – Managers must have the authority to
give orders, but they must also keep in mind that
with authority comes responsibility.
• Discipline – Discipline must be upheld in
organizations, but methods for doing so can vary.

8. Fayol's 14 Principles of
Management
• Unity of Command – Employees should have only
one direct supervisor.
• Unity of Direction – Teams with the same objective
should be working under the direction of one
manager, using one plan. This will ensure that action
is properly coordinated.
• Subordination of Individual Interests to the General
Interest – The interests of one employee should not
be allowed to become more important than those of
the group. This includes managers.

9. Fayol's 14 Principles of Management
• Remuneration – Employee satisfaction depends on
fair remuneration for everyone. This includes
financial and non-financial compensation.
• Centralization – This principle refers to how close
employees are to the decision-making process. It is
important to aim for an appropriate balance.
• Scalar Chain – Employees should be aware of where
they stand in the organization's hierarchy, or chain of
command.
• Order – The workplace facilities must be clean, tidy
and safe for employees. Everything should have its
place.

10. Fayol's 14 Principles of Management
• Equity – Managers should be fair to staff at all
times, both maintaining discipline as necessary and
acting with kindness where appropriate.
• Stability of Tenure of Personnel – Managers should
strive to minimize employee turnover. Personnel
planning should be a priority.
• Initiative – Employees should be given the necessary
level of freedom to create and carry out plans.
• Esprit de Corps – Organizations should strive to
promote team spirit and unity.