fayol fourteen principle

1. Managing Change and Innovation
Chapter11

2. By:
Miss: Maham Muzamil
14 PRINCIPLES OF
MANAGEMENT
-HENRI FAYOL

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INTRODUCTION
 A principle refers to a fundamental truth.
 They serve as a guide to thought & actions.
 It establishes cause and effect relationship between
two or more variables under given situation.

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These principles are derived:
• On the basis of observation and analysis
• By conducting experimental studies

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14 PRINCIPLES OF MANAGEMENT
-HENRI FAYOL
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DIVISION OF work
 stressed on the specialization of jobs
 simpler and results in efficiency
 helps the individual in acquiring speed, accuracy
in his performance

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Authority & Responsibility
 Authority refers to the right of superiors. responsibility
means obligation for the performance of the job assigned.
 Should be a balanced.
 Authority- Responsibility = Irresponsible Behavior
 Responsibility- Authority= Ineffective

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Discipline
 Sincerity, Obedience, Respect of Authority &
Observance of Rules and Regulations of the
Enterprise.
 Discipline can be enforced if -
-Good superiors
- Clear & fair agreements with worker
- Sanctions are judiciously applied

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Unity of command
 A sub-ordinate should receive orders and be
accountable to only boss at a time.
 a sub-ordinate should not receive instructions
from more than one person
 Dual sub-ordination should be avoided

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UNITY OF DIRECTION
 Without unity of direction, unity of action cannot be
achieved.
 Unity of command is not possible without unity of
direction.
 Related activities should be grouped together

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Interest
 An organization is much bigger than the individual
 - Employees should be honest & sincere.
- Proper & regular supervision of work.
- Reconciliation of mutual differences
 As far as possible, reconciliation should be achieved
between individual and group interests.
 Case of conflict, individual must sacrifice for bigger
interests

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Remuneration
 Paid to the workers should be fair of the efforts
 Determined on the basis of cost of living, work
assigned etc,
 Provision of other benefits such as free education,
medical & residential facilities to workers
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Centralization
 Centralization-concentration of authority at the top
level
 Decreases the role of subordinate is centralization
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Scalar Chain
 The chain of superiors ranging from the
ultimate authority to the lowest
 Every orders, instructions etc. has to pass
through Scalar chain.
 Modified as per the requirements of
situations.
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Order
• Concerned with proper & systematic
arrangement of things and people.
• Placement of people is called social order.
• Social order-Selection and appointment of
most suitable person on the suitable job
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Equity
 Paid to the workers should be fair of the
efforts
 Provision of other benefits such as free
education, medical & residential facilities to
workers relationship and pleasing
atmosphere of work.
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Stability of Tenure
 Employees should not be moved frequently
from one job position to another
 Once they are appointed their services
should be served
 Time is required for an employee to get used
to a new work –fayol
 Stability of job creates team spirit& a sense
of belongingness among workers
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INITIATIVE
 Encouraged to take initiative in the work
assigned to them
 Helps in developing an atmosphere of trust
 Enjoy working in the organization because it
adds to their zeal and energy
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Espirit De’ Corps
 It refers to team spirit
 Inspires workers to work harder
 Interest of the undertaking in the long run.
 The managers should infuse team spirit &
belongingness
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Espirit De’ Corps following steps
should be undertaken
 proper co-ordination
 should be encouraged to develop informal
relations among themselves.
 create enthusiasm and keenness among
subordinates
 employees should be rewarded
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