Tuesday, 9 March 2021

General Administrative Theory & 14 Principles of Management by Henri Fayol

Henri Fayol, a French mining engineer, mining executive and director of mines, is the father of modern management. Fayol's contribution to management is immense and unforgettable. He was born in France in 1917. 

He developed a general theory of administration (Fayolism). He has mentioned 14 management principles for business and industry in his groundbreaking book, General and Industrial Management. These principles have been adopted in various organizations as the basic principles of management.

 

The Fourteen Principles of Management:

1/ Division of Work

According to the policy of the division of Labor, it is recommended that the work of each employee should be divided and specified so that their labour can be used efficiently. As a result of this principle, every employee and executive can acquire specialized knowledge in the workplace. The more specialized a person is, the more efficiently he will be able to perform his duties.

 

2/ Authority and Responsibilities

Managers and executive officials should be given legitimate power to carry out their responsibilities. In addition to delegating authority to employees to perform duties, they also have to be given the necessary responsibilities. But a balance between authority and responsibility must be ensured. Balanced responsibilities are essential for the smooth activities of an organization.

 

3/ Discipline

Discipline is a combination of obedience, application, and respect. In every organization, discipline is crucial. What does the superior authority of the organization expect from its subordinate employees?

 

Necessary actions should be taken if works are not performed in a prescribed manner. As a part of the discipline policy, employees need to have respect for the rules and agreements made by the organization.

 

4/ Unity of Command

Each worker will receive instructions from a supervisor for a specific task. That means an employee will not have two or more bosses. Every employee of the organization will be kept under one boss and will accept his orders. Because when a worker works under two bosses, there will be chaos and a lack of discipline.

 

5/ Unity of Direction

There should be one plan. To achieve the plan or goal, managers should make and communicate a set of actions plans to the employees. So that officers will get instructions and perform all the tasks to implement the organizational goals.

 

6/ Subordination of Individual Interests to The General Interest

There should not be any conflict between the purpose of the organization and the interests of the individuals. The general interest of the organization will take precedence over the personal interest of the employees. Prioritize the interests of the organization.

Organization > Departments > Employees

 

7/ Remuneration:

Maximize the wages of workers by introducing fair wage and wage structure. Remuneration must be fair and there must be a reasonable way to pay it. Arrangements must be made to provide satisfaction.

 

8/ Centralization

The amount of centralization and decentralization of authority required by the organization should be calculated scientifically. Managers will have the ultimate authority in their own hands but with the right responsibilities, managers will delegate some of the authority to staff to facilitate and get the job done.

 

9/ Scalar Chain

The chain of authority flows from the top to the bottom of the organization. There will be a chain. The flow of authority and communication is indicated by the upward or downward motion. You can easily understand by looking at the organogram or organizational chat of a big corporation.

 

 

10/ Order

Two most important elements: people and materials. All materials and human resources should be in the right place at the right time. Every position should have the right and worthy person. On the other hand, the objects should be in place. According to this principle, every worker and other element are to be arranged in a way so that they can continue to do the right thing from their place at the right time.

 

11/ Equity

Managers should treat all employees equally and show fairness. Justice should be ensured to treat and pay salary, promotion and other facilities. In this way, loyalty and a positive attitude will be increased among the employees.

 

12/ Job Stability:

Management will be ineffective if employees are frequently transferred or fired for no reason. One of the principles of management is to increase the efficiency of the executive. For this purpose, the workforce needs job security and stability.  

 

13 Initiatives

the employees should be given the freedom to plan and initiate a plan. The manager has to encourage the initiative of the employees. Encouragement, inspiration and appropriate opportunities need to be created among the employees to innovate any new method. This increases their interest in the organization and they can show efficiency and effectiveness.

 

14 Esprit de corps

Where there is unity, there is strength. Managers need to inspire subordinates with teamwork, unity and a sense of brotherhood. Teamwork helps achieve the organization's goals. It is necessary to create a sense of unity among the workers by creating a team spirit. Many heads are better than one head.

 

Jules Henri Fayol has benefited the world by putting his principles into practice. Various writers have contributed to the development of management theories and model.

F. W. Taylor and Henri Fayol are among those who have contributed to the development of management theories. Taylor has worked for the steel company and seeing the success in his management, the company has promoted him at various times. He later became the chief engineer. He was also a consultant to steel mills. The principles of management that he introduced based on his life experience are known as Taylor's principles. Taylor was the first and foremost person in the field of management to introduce the principles of scientific management in the industry.

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