Do you know about the scenarios of the French mining industry in the year 1890? What is the first scene that crops up in your mind- miserable working conditions? Or a catastrophic collapse? O the black lung?
Do you ever think of the origin of the modern work culture? Undoubtedly, a coal mine might seem like the most unlikely place for the emergence of work culture and organizational management theory. However, you will be surprised.
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More than a century ago, Henri Fayol, the managing director of a French mining company, made earth-shattering advances in organizational management theory. He constantly iterated his miner’s working conditions to unearth the optimal environment for productivity, efficiency, and happiness.
Since there weren’t innumerable management resources early in the 1900s, he made his mind to pen down a book well known as “General and Industrial Management” about his own theory of management, Fayolism.
Undeniably, the fundamentals of modern management aren’t easy to comprehend. Fortunately, to aid you, we compiled this blog post that will help you learn certain timeless management principles that have guided numerous teams towards success for the last century.
14 Fundamental Principles Of Management As Formulated By Henry Fayol
- Division Of Work
The first principle of Fayol asserts that as far as possible, the whole work should be divided into different parts. Each individual should be assigned only one part of work according to his/her taste and ability instead of giving the whole work to one person.
When an individual performs the same kind of job repeatedly, he/she becomes an essay writer expert in performing that particular part of the whole job seamlessly. Consequently, the benefits of specialization become available.
- Authority And Responsibility
As per this principle, authority and responsibility must always go hand in hand. It implies that when an individual is assigned with a particular work, and he is made responsible for the results, this can be only possible when he/she is given sufficient authority to discharge the responsibility.
The responsibility must be traced back from the performance, and thus, it is essential to make agreements about this. In simple words, authority and responsibility go together and represent two sides of the same coin.
The third principle is about obedience. Without discipline, nothing can ever be achieved. It forms the core value for any project or management. Discipline is required within a company for it to run effectively. Organizational rules, philosophies, and structures are required to be met. In order to have disciplined workers, managers should be able to develop a culture of mutual respect and motivation.
Discipline can be self-discipline, or it may be enforced discipline. Like, a freelance essay writer can set his specific set of rules to deliver quality work within the promised deadline. Similarly, the manager of a company can present a good example to his subordinates by disciplining himself.
- Unity of Command
According to this principle, an employee or subordinate should receive orders and report back to only one supervisor. He should be answerable to only one manager.
If an employee has to follow more than one boss, there begins a conflict of interest. The authority, discipline, order, and stability start getting threatened. With the use of this principle, the responsibilities for mistakes can be established more easily.
- Unity of Direction
Foyal states in this principle that whoever is engaged in the same activity must have a unified goal. It implies there should be one head for one plan for a group of activities having the same objective. There should be one plan of action for a group of activities having the same objective and one manager to control them.
The manager is ultimately responsible for this plan, and he monitors the progress of the defined and planned activities. Focus areas are the efforts made by the employees and their coordination.
- Subordination Of The Individual Interest
There always remain different kinds of interest in an organization. To have an organization function properly and seamlessly, Henry Fayol indicated that personal interests should always remain subordinate to the interests of the organization.
The central focus should be always on the organizational objectives and not on those of the individual. If this fails to happen, the company will collapse. This principle applies to all levels of the entire organization, including the managers.
Productivity and motivation remain close to one another as far as the smooth running of a company is concerned. According to Fayol, employees should always get a fair remuneration so that the employees and the owners receive equal amount of satisfaction. The manager must make sure that employees are paid remuneration according to their work. Furthermore, Fayol also believes that apart from the general remuneration, employees should also be given monetary and non-monetary incentives.
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- The Degree of Centralization
In centralization, the authority is only concentrated in a few hands. While in decentralization, the authority gets distributed to all management levels. No organization can be completely centralized or decentralized. There should always remain a balance between the two.
Now, the degree to which centralization and decentralization should be adopted depends on the specific organization. However, managers must always retain the final responsibility but should give subordinates enough authority to complete the tasks successfully.
- Scalar Chain
In this principle, Fayol emphasizes the line of authority, a chain of superiors from the highest to the lowest rank. Each employee should know where they stand in the hierarchy of the organization and who to speak to within a chain of command.
This can be considered as a kind of management structure. Each employee can contact a manager or a superior in an emergency situation without challenging the hierarchy. This is especially in such cases, where reports about calamities should be given to immediate managers or superiors.
As per the principle of the order, the right person should always be placed at the right job and the right thing at the right place. In the words of Fayol, every enterprise must have two different orders- material order for physical resources and social order for human resources.
Material order refers to a ‘place for everything and everything in its place. Social order refers to the selection of the ‘right man in the right place’. Maintaining these two orders properly will make sure everybody is well-versed with his workplace, what he is required to do, and where he will acquire the required material. As a result, all the available resources in a company will always be utilized properly.
Fayol states in this principle that while dealing with employees, a manager should always use kindliness and justice towards employees equally so that they develop a feeling of attachment and dedication for their work. Equity is a combination of justice and kindness.
The equity principle also suggests that managers must be kind as well as equally fair to their subordinates.
- Stability of Tenure Of Personnel
Although it could take ample time, employees must be given fair time to settle into their jobs. An employee requires time to learn his job and to become efficient. The employees must have the much-needed job security as instability often leads to inefficiency. If observed carefully, successful firms usually have a stable group of employees.
Initiative signifies the capacity to work while expressing one’s thoughts. According to Fayol, it is the sole responsibility of the manager to encourage the feeling of initiative among his employees for doing some work or making decisions but within the limits of authority and discipline.
This is only possible when the manager of the company welcomes the thought of his/her subordinates. By doing so, the subordinates will present useful ideas repeatedly, which will gradually help them become an integral part of the organization.
- Espirit De Corps
The term Espirit de Corps means ‘team spirit’. Thus, the management must create unity, co-operation, and team spirit among the employees. They should refrain from the divide and rule policy. Espirit de Corps contributes toward the development of the culture along with creating an atmosphere of understanding and mutual trust.
Henry Fayol’s 14 principles of management can be used to manage organizations. It is incredibly useful for forecasting, planning, process management, organization management, decision-making, coordination, and control.
Although most of them are obvious, many of these principles are still used based on common sense in current management practices in the organizations. It remains a practical list with specialized focus areas that are based on Henry Foyal’s research that remains still true today and work as a guideline for managers to do their jobs according to their responsibility.
Clara Smith is a career advisor at a reputed firm in the USA. She also works as an eminent essay helper at AllEssayWriter.com. Clara loves to speak on issues related to management, business ethics, labor laws and regulations, corporate laws, and more.