In this presentation, Henri Fayol's 14 principles of management are discussed and their practical implementation in JS Bank limited

1. APPLICATION OF HENRI
FAYOL’S
14 PRINCIPLES IN JS BANK
LTD
Ansharah Ashraf,
Mahnoor Fatima,
Saman Rafique,
Nusrat Fatima,
Sadaqat Ahsan

2. INTRODUCTION
•Henri Fayol was manager at mining company of France. He observed
the administration work so deeply and gave his “14 Principles of
management” in 1916
•His 14 principles was the one of the earliest theories in management
to be created and remains one of the most comprehensive.

3. ABOUT JS BANK
•JS Bank was formed in 2006 with the merger of Jahangir Siddiqui
Investment Bank ltd and American Express Bank
•Started with 281 employees in its establishment year 2007, the bank
is now the employer of more than 4000 people. With over 200 ATMs
all over Pakistan
•Its total revenue is around 562 million as of December 2018.
• JS Bank Limited currently owns 345 branches in 172 cities
•JS Bank comprises different business units, including Corporate
Banking, Investment Banking, Wealth Management, Treasury, and
Retail Banking
•In the banking sector, JS bank has been the largest mutual fund
distributor, second largest to offer PMYBL (Prime Minister Youth
Business Loans) to youth and entrepreneurs and the third largest

4. 1)DIVISION OF LABOR
•It says Employees should be specialized
which will increase the output and reduces
wastage of resources
•Analysis: JS Bank follows it

5. 2)AUTHORITY
Managers must have authority to give
order which will motivate them more to
work hard because with more authority
there comes more responsibility
Analysis:
JS BANK don’t give complete authority but
each and every decision is supervised

6. 3)DISCIPLINE
Discipline must be upheld in organization,
but methods for doing so can vary.
Analysis:
JS Bank has its Code of Conduct which is
strictly followed by Managers and
subordinates

7. 4)UNITY OF COMMAND
Employee should have only one boss and
there should be no confusion regarding
who should report to whom?
Analysis:
There is clear knowledge of the Boss and
who should report to whom question

8. 5)UNITY OF DIRECTION
Its says employees should share a same
objective
Analysis:
JS Bank has goals in terms of targets and
these targeted are distributed
departmental wise and all these targets
collectively make common objective

9. 6)SUBORDINATION OF INDIVIDUAL
INTEREST TO GENERAL INTEREST
It says individual interest of employees
should synergize with general interest of
Organization
Analysis:
JS Bank has incentive based rewarding
system which synergizes individual
interest with general interest

10. 7)REMUNERATION
Employees should be given satisfactory
Monetary and Non-Monetary benefits.
Analysis:-
JS Bank provides competitive salaries
along with different non-monetary and
monetary incentives.

11. EMPLOYEE BENEFITS

12. 8)CENTRALIZATION
It refers how much employees are
involved in decision making
Analysis:-
JS Bank is highly centralized institute
where most of decision making rests in
the hand of Top Management.

13. 9)SCALAR CHAIN
It refers to organization’s hierarchy and
chain of command
Analysis:
JS Bank has a very long Chain of command
with 11 levels in it

14. CEO AND PRESIDENT
BOARD OF DIRECTORS
SENIOR VICE PRESIDENTS
VICE PRESIDENTS
ASSISTANT VICE
PRESIDENTS
HEADS OF ALL
DEPARTMENTS
REGIONAL MANAGERS
AREA MANAGERS
BRANCH MANAGERS
CLERICAL STAFF
NON-CLERICAL STAFF

15. 10)ORDER
•The principle says that workplace facilities should be clean, tidy and
safe for employees. Everything should have its place.
•Question we asked: Are the employees with right equipment on right
time?
•Answer we got: Yes we make sure that our employees should not face
any difficulty in doing their job for that we have swift reporting
system whenever anything misses we deliver it on time.
•Analysis:When order is followed in organization its overall
performance is increased.As told by manager JS bank strives hard for
maintenance of order.

16. 11)EQUITY
•This principle says managers should be fair to all staff at all times,
both at maintaining discipline and at rewarding them.
•Question we asked: Are there any standardized methods of appraisal?
what are these?
•Answer we got: Yes we have very clear criteria for appraisals and
there is no ambiguity in it.The formula is very simple the more they
work the more they get rewarded.
•Analysis: As the rewarding criteria is crystal clear in JS Bank so the
chances of getting discrimination got reduced and transparency is
something which increases employees motivation and performance.

17. 12)STABILITY OF TENURE
It refers to number of employees entering
or exiting organization
Analysis:
JS Bank has unstable Tenure because work
is same in every bank so employees look
for more competitive salaries.

18. 13)INITIATIVE
It refers to encouragement given to
employees to initiate plans and suggest
changes.
Analysis:
JS Bank has very open communication
channel so anyone can highlight any
discrepancy and suggest any change

19. 14)ESPIRIT DE CORPS
Organization should strive to promote
team spirit and unity
Analysis:
JS Bank follows the policy of
“Team Work is Dream Work”

20. CONCLUSION
JS Bank follows almost all the principles
given by Henri Fayol that’s the reason its
management is very efficient and its
revenues are growing at a very fast pace
If remaining unimplemented principles
will be followed it will lead JS Bank to
ultimate victory.