2. What is Principles of Management
Principles of management are basic
activities that can help you plan, organize
and control operations related to material,
people, machines, methods, money and
markets. They provide leadership to human
efforts so that they achieve set objectives
efficiently.
3. Features of Principles of Management
▪ Management is Goal- Oriented
▪ Management is all Pervasive
▪ Management is a Group Activity
▪ Management is Continuous
▪ Management integrates Human,
Physical and Financial Resources
5. 1. Division of Work
The first Henry Fayol principle of management is based on the theory
that if an employee is given a specific task to do, they will become
more efficient and skilled in it.
2. Authority
If managers did not have any authority, then they would lack the ability
to get any work done. However, this authority should come along with
responsibility.
3. Discipline
In order to have disciplined employees, managers need to build a
culture of mutual respect.
6. 4. Unity of Command
The employees should be clear on whose instructions to follow.
5. Unity of Direction
The work to be done should be organized in such a way that employees
work in harmony towards the same objective, using one plan, under the
direction of one manager.
6. Collective Interest Over Individual Interest
The overall interest of the team should take precedence over personal
ones. The interest of the organization should not be sabotaged by the
interest of an individual.
7. 7. Remuneration
The employees should be paid fair wages for the work that they carry out.
8. Centralization & Decentralization
the concentration of power in the hands of the authority and following a top-
bottom approach to management.
In decentralization, this authority is distributed to all levels of management.
In a modern context, no organization can be completely centralized or
decentralized.
9. Scalar Chain
A scalar chain refers to a clear chain of communication between employees
and their superiors. Employees should know where they stand in the
hierarchy of the organization and who to go to in a chain of command.
8. 10. Order
There should be an orderly placement of resources (manpower,
money, materials, etc.) in the right place at the right time.
11. Equity
Equity is a combination of kindness and justice. This principle states
that managers should use kindliness and justice towards everyone
they manage.
12. Stability of Tenure of Personnel
An organization should work to minimize staff turnover and
maximize efficiency. Any new employee cannot be expected to get
used to the culture of an organization right away.
9. 13. Initiative
All employees should be encouraged to show initiative. When
employees have a say as to how best they can do their job, they
feel motivated and respected.
14. Esprit de Corps
Esprit de Corps means “Team Spirit”. The management should
strive to create unity, morale, and co-operation among the
employees. Team spirit is a great source of strength in the
organization. Happy and motivated employees are more likely to
be productive and efficient.
10. CONCLUSIONS
The 14 principles of management can be used to manage
organizations and are usefultools for forecasting, planning, process
management, organization management,decision-making,
coordination and control. According to henri fayol,these principles
are the lighthouse fixing the bearing but it canonly serve those who
know the way to the port Although they are obvious, many of these
matters are still used based on commonsense in current management
practices in organizations. It remains a practical list withfocus areas
that are based on Henry Fayol’s research which still applies today also.
