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14 PRINCIPLES OF MANAGEMENT
-HENRI FAYOL
A principle refers to a fundamental truth.
It establishes cause and effect relationship between
two or more variables under given situation.
They serve as a guide to thought & actions.
These principles are derived: -
•On the basis of observation and analysis
•By conducting experimental studies
INTRODUCTION
Management is an “art” of getting things
done through and with people in
formally organized groups.
Functions of management is
 Planning
 Organizing
 Staffing
 Directing/leading
 Controlling
Division of Labor
Party of Authority & Responsibility
Principle of One Boss
Unity of Direction
Equity
Order
 Discipline
Initiative
Fair Remuneration
Stability of Tenure
Scalar Chain
Sub-Ordination of Individual Interest to General Interest
Espirit De’ Corps
Centralization & De-Centralization
 stressed on the specialization of jobs
 work of all kinds must be divided and allotted to
various persons
 simpler and results in efficiency
 helps the individual in acquiring speed, accuracy in
his performance
 Specialization leads to efficiency & economy in
spheres of business
 co-existing
 Authority is given to a person, he should also be
made responsible.
 He should also have concerned authority, if anyone is
made responsible.
 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
 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
 The enterprise a disciplined, stable & orderly existence
 Harmonious relationship between superiors and sub-ordinates
 a sub-ordinate should not receive instructions from more than one
person
 One head one plan
 Related activities should be grouped together
 Efforts of all the members of the organization should be directed
towards common goal
 Without unity of direction, unity of action cannot be achieved.
 Unity of command is not possible without unity of direction.
 Equity means combination of fairness,
kindness and justice.The employees should
be treat with kindness and equity if
devotion is expected of them.
• Concerned with proper & systematic arrangement of
things and people.
• Arrangement of things is called material order
• Placement of people is called social order.
• Material order-should be safe, appropriate and specific place
for every article
• Social order-Selection and appointment of most suitable person
on the suitable job
 Sincerity, Obedience, Respect of Authority &
Observance of Rules and Regulations of the
Enterprise.
 subordinate should respect their superiors and obey
their order.
 smooth running of the enterprise
 subordinates but also on the part of management.
 Discipline can be enforced if -
-Good superiors
- Clear & fair agreements with workers
- Sanctions are judiciously applied
 Encouraged to take initiative in the work assigned to them
 Initiate actions without being asked to do
 Management should provide opportunity to its
employees
 Helps in developing an atmosphere of trust
 Enjoy working in the organization because it adds to their
zeal and energy
 Suggest improvement in formulation & implementation of
place
 Paid to the workers should be fair of the efforts
 Satisfaction to both employer and the employees
 Determined on the basis of cost of living, work
assigned etc,
 Provision of other benefits such as free education,
medical & residential facilities to workers
 Management creates harmonious relationship and
pleasing atmosphere of work.
 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
 Money spent on training the worker will go
waste
 Stability of job creates team spirit& a sense of
belongingness among workers
-ultimately increase the quality as well
as quantity of work
 The chain of superiors ranging from the ultimate
authority to the lowest
 Every orders, instructions etc. has to pass
through Scalar chain.
 For the sake of convenience & urgency, this path
can be cut this short cut -Gang Plank
 Temporary arrangement between two different
points to facilitate quick & easy communication
 Modified as per the requirements of situations.
 An organization is much bigger than the
individual
 As far as possible, reconciliation should be
achieved between individual and group
interests.
 Case of conflict, individual must sacrifice for
bigger interests
 In order to achieve this attitude
- Employees should be honest & sincere.
- Proper & regular supervision of work.
- Reconciliation of mutual differences
 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
Espirit De’ Corps following steps should be
undertaken
should be encouraged to develop informal relations among themselves.
employees should be rewarded
create enthusiasm and keenness among subordinates
proper co-ordination
 Centralization-concentration of authority at the top level
 De-centralization-disposal of decision making authority to all
the levels of the organization
 Increases the role of subordinate is decentralization & Decreases
the role of subordinate is centralization
 It is not feasible, organization should strike to achieve a lot
between the two.
 As we all know that a building cannot attain
stability without proper foundation . An
organization also cannot be stable in it’s long
run and achieve it’s long term goal without
following these 14 principles of management.
 Organization and these principle are like
complimentary goods which completes each
other, like car and petrol.
14 principle  of managment too short and too sweet
14 principle  of managment too short and too sweet

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14 principle of managment too short and too sweet

  • 1. 14 PRINCIPLES OF MANAGEMENT -HENRI FAYOL
  • 2.
  • 3. A principle refers to a fundamental truth. It establishes cause and effect relationship between two or more variables under given situation. They serve as a guide to thought & actions. These principles are derived: - •On the basis of observation and analysis •By conducting experimental studies INTRODUCTION
  • 4. Management is an “art” of getting things done through and with people in formally organized groups.
  • 5. Functions of management is  Planning  Organizing  Staffing  Directing/leading  Controlling
  • 6. Division of Labor Party of Authority & Responsibility Principle of One Boss Unity of Direction Equity Order  Discipline
  • 7. Initiative Fair Remuneration Stability of Tenure Scalar Chain Sub-Ordination of Individual Interest to General Interest Espirit De’ Corps Centralization & De-Centralization
  • 8.  stressed on the specialization of jobs  work of all kinds must be divided and allotted to various persons  simpler and results in efficiency  helps the individual in acquiring speed, accuracy in his performance  Specialization leads to efficiency & economy in spheres of business
  • 9.  co-existing  Authority is given to a person, he should also be made responsible.  He should also have concerned authority, if anyone is made responsible.  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
  • 10.  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  The enterprise a disciplined, stable & orderly existence  Harmonious relationship between superiors and sub-ordinates  a sub-ordinate should not receive instructions from more than one person
  • 11.  One head one plan  Related activities should be grouped together  Efforts of all the members of the organization should be directed towards common goal  Without unity of direction, unity of action cannot be achieved.  Unity of command is not possible without unity of direction.
  • 12.  Equity means combination of fairness, kindness and justice.The employees should be treat with kindness and equity if devotion is expected of them.
  • 13. • Concerned with proper & systematic arrangement of things and people. • Arrangement of things is called material order • Placement of people is called social order. • Material order-should be safe, appropriate and specific place for every article • Social order-Selection and appointment of most suitable person on the suitable job
  • 14.  Sincerity, Obedience, Respect of Authority & Observance of Rules and Regulations of the Enterprise.  subordinate should respect their superiors and obey their order.  smooth running of the enterprise  subordinates but also on the part of management.  Discipline can be enforced if - -Good superiors - Clear & fair agreements with workers - Sanctions are judiciously applied
  • 15.  Encouraged to take initiative in the work assigned to them  Initiate actions without being asked to do  Management should provide opportunity to its employees  Helps in developing an atmosphere of trust  Enjoy working in the organization because it adds to their zeal and energy  Suggest improvement in formulation & implementation of place
  • 16.  Paid to the workers should be fair of the efforts  Satisfaction to both employer and the employees  Determined on the basis of cost of living, work assigned etc,  Provision of other benefits such as free education, medical & residential facilities to workers  Management creates harmonious relationship and pleasing atmosphere of work.
  • 17.  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  Money spent on training the worker will go waste  Stability of job creates team spirit& a sense of belongingness among workers -ultimately increase the quality as well as quantity of work
  • 18.  The chain of superiors ranging from the ultimate authority to the lowest  Every orders, instructions etc. has to pass through Scalar chain.  For the sake of convenience & urgency, this path can be cut this short cut -Gang Plank  Temporary arrangement between two different points to facilitate quick & easy communication  Modified as per the requirements of situations.
  • 19.  An organization is much bigger than the individual  As far as possible, reconciliation should be achieved between individual and group interests.  Case of conflict, individual must sacrifice for bigger interests  In order to achieve this attitude - Employees should be honest & sincere. - Proper & regular supervision of work. - Reconciliation of mutual differences
  • 20.  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 Espirit De’ Corps following steps should be undertaken should be encouraged to develop informal relations among themselves. employees should be rewarded create enthusiasm and keenness among subordinates proper co-ordination
  • 21.  Centralization-concentration of authority at the top level  De-centralization-disposal of decision making authority to all the levels of the organization  Increases the role of subordinate is decentralization & Decreases the role of subordinate is centralization  It is not feasible, organization should strike to achieve a lot between the two.
  • 22.  As we all know that a building cannot attain stability without proper foundation . An organization also cannot be stable in it’s long run and achieve it’s long term goal without following these 14 principles of management.  Organization and these principle are like complimentary goods which completes each other, like car and petrol.

Editor's Notes

  1. By N.VIDIVARASI 1ST MBA
  2. INTRODUCTION
  3. Initiative Fair Remuneration Stability of Tenure Scalar Chain Sub-Ordination of Individual Interest to General Interest Espirit De’ Corps (can be achieved through unity of command Centralization & De-Centralization
  4. Initiative Fair Remuneration Stability of Tenure Scalar Chain Sub-Ordination of Individual Interest to General Interest Espirit De’ Corps Centralization & De-Centralization
  5. proper co-ordination should be encouraged to develop informal relations among themselves. create enthusiasm and keenness among subordinates employees should be rewarded
  6. Centralization