Monday, April 8, 2019

What are the fourteen principles of management by Henri Fayol?

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A principle provides the best direction. A principle is a basic statement that provides understanding and guidance to thinking and action.
In management, it gives us predicting what would happen if the principles were applied.
There are two types of principles they are like:-

  • Descriptive
  • Prescriptive

A descriptive principle merely describes the relationship between the variables.
A prescriptive or normative principle is stated to indicate what a manager should do.

Management principles are an integral part of management science. For effectively perform managerial functions we should need to understand the principles of management.

Principles are the guidelines to the manager for making a decision and taking action. Principles of management have been formulated on the basis of …

  • Scientific observation
  • Research and analysis
  • Experience of executives in managing various situations

The classical management authors, such as F. W. Taylor, Henri Fayol, and Urwick etc…
But the most famous and the easiest content are given by the Henri Fayol. The fourteen principles of general management are like:-
  1. Division of Work: - according to this principle, to divide work among various departments and employees, according to required abilities and skills as to get the benefit of specialization. 
  2. Authority and Responsibility: - power or authority gives the rights to the management to give orders to subordinates. Authority and responsibility are the two sides of a coin. More authority may result in misutilisation or underutilization of it.
  3. Discipline: - it implies compliance – the rules and the responsibilities of an organisation which are fellows by the workers, superior and co-operation.
  4. Unity of Command: - according to this principle, one subordinate should get an order from one superior at a particular time. It helps in maintaining disciplines among employees, controlling their activities, fixing responsibility and not allowed them to sidetrack responsibility. 
  5. Unity of Direction: - all activities of employees are linked with the objectives. All activities related to common goals should be included in a single plan, to be implemented by a particular manager. 
  6. Subordination of Individual’s Interest to Interest of Organisation: - employees should sacrifice his personal interest and goals for accomplishing common goals of the organisation. The primary focus is on the organizational objectives and not on those of the individuals. Managers also follow this.
  7. Remuneration: - there are two types of remuneration namely non-monetary (a compliment, more responsibilities, credits) and monetary (compensation and bonus). Employees should be paid fairly and reasonably in accordance with their contribution.
  8. Centralisation: - the relationship between centralisation and decentralisation of authority is a matter of proportion and optimum balance which should be maintained according to the needs of the organisation. This depends on the volume and size of an organisation including its hierarchy.
  9. Scalar Chain: - the scalar chain is the authority in an organisation from top to the lowest level. This can be seen as a type of management structure. It is known as a scalar chain because all employees are attached to it in the relationship between superior and subordinate.
  10. Order: - for smooth flow of work and efficient use of resources material, machine tools equipment, etc. as well as employees should be in their prescribed proper place and order. 
  11. Equity: - the principle of equity suggests that similar treatment based on the principles of equity fairness and impartially should be assured to all employees working in the organisation. Employees must be in the right place in the organisation to do things right.
  12. Stability of Tenure of Personnel: - since people need time to learn their jobs; therefore they should not be allowed to move frequently from one position to another.
  13. Initiative: - according to this principle, employees should be allowed to express new ideas. Employees should be provided with an opportunity to develops and use initiatives for solving work-related problems. This encourages the employees to be involved and interested.
  14. Esprit-de-corps: - this stands for the unity and involvement of the employees. It implies to build team spirit among the employees so that they work in a harmonious manner with proper mutual understanding. 



Conclusion: - the 14 principles of management can be used to manage organizations and are useful tools for forecasting, planning, process management, organisation management, decision-making, coordination and control.




Happy reading :)


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