3. Fayol’s Administrative Theory
Henri Fayol (1841-1925)
General and Industrial Management
Principles and Elements of Management - how
managers should accomplish their managerial duties
PRIMARY FOCUS: Management
(Functions of Administration)
More Respect for Worker than Taylor
Workers are motivated by more than money
Equity in worker treatment
More PRESCRIPTIVE
http://www.lib.uwo.ca/business/fayol.html
4.
5. 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. Long-term employees
lead to better producing companies
6. 'STABILITY' means no frequent change, termination and transfer etc. It means that, in
an organization whenever an employee is appointed for a job, he/she shouldn't be
removed from that position frequently. The management of the organization should
ensure that there must be stability in the job and frequent changes and shuffling of
position should be avoided.
When one feels secure at his job, he/she contributes maximum of his
capability towards the organizational objectives. Stability also helps the
employee to know each and every aspect of the job with the passage
of time which consequently helps in performing the job with greater
efficiency and minimum wastage. It creates a sense of belonging-ness
towards the job and the organization.
7. An organization following the principle of stability achieves
its objectives effectively and efficiently with the maximum
contribution from their employees. The employees of such
organization always feel satisfied and thus are the
productive factor for the organization. But if this principle is
violated i.e. if the employees are frequently transferred from
one position to another or employee turnover, they will feel
dissatisfied and will not perform with their full potential
leading to non-achievement of the organizational objectives
or under utilization of resources as well as wastage.
8.
9. Advantages of this principle:
Develops sense of belonging-ness
towards the organization.
Improves the efficiency level of
employees.
Minimizes the wastage of resources.
Employee’s satisfaction.
Better accountability.
Saves time.
10. Disadvantages of this principle:
Non-achievement of the
organizational objectives
Lack of employee’s
participation.
Wastage of resources and time.
Dissatisfaction
Adds to cost.
12. Example
Due to Recent Clashes
Between Microsoft And
Nokia ,Nokia Removed
5000 Workers From Its
Chennai Manufacturing
Plant.
13. 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
14. Conclusion
In contrast to The Principles of Scientific Management, introduced in
1911 by Frederick Winslow Taylor, one of the prominent classical
theorists in the concurrent period, which emphasized on the
technology employed by individual workers in order to improve
production efficiency; Fayol underlined all of the elements necessary
to organize and manage a major corporation as a whole.
15. References:
•Henri Fayol, General and Industrial
Management, 1949 (Original work
published in 1916 with the title:
“Administration Industrielle et
Générale”)
•http://en.wikipedia.org/wiki/Henri_Fa
yol