1. DIVISION OF WORK:Work should be divided amongindividuals and groups to ensure that effort and attention are focusedon special portions of the task. Fayolpresented work specialization as thebest way to use the humanresources of the organization.
2. AUTHORITY:The concepts of Authority andresponsibility are closely related.Authority was defined by Fayol asthe right to give orders and thepower to exact obedience.Responsibility involves beingaccountable, and is thereforenaturally associated with authority.Whoever assumes authority alsoassumes responsibility.
3. DISCIPLINE:A successful organization requiresthe common effort of workers.Penalties should be appliedjudiciously to encourage thiscommon effort.
4. UNITY OF COMMANDWorkers should receive orders fromonly one manager.
5. UNITY OF DIRECTION:The entire organization should bemoving towards a common objectivein a common direction.
6. SUBORDINATION OFINDIVIDUAL INTERESTS TO THE GENERAL INTERESTS: The interests of one person should not take priority over the interests of the organization as a whole.
7. REMUNERATION:Many variables, such as cost ofliving, supply of qualified personnel,general business conditions, andsuccess of the business, should beconsidered in determining a worker’srate of pay.
8. CENTRALIZATION:Fayol defined centralization aslowering the importance of thesubordinate role. Decentralization isincreasing the importance. Thedegree to which centralization ordecentralization should be adopteddepends on the specific organizationin which the manager is working.
9. SCALAR CHAIN:Managers in hierarchies are part of a chainlike authority scale. Each manager, fromthe first line supervisor to the president,possess certain amounts of authority. ThePresident possesses the most authority;the first line supervisor the least. Lowerlevel managers should always keep upperlevel managers informed of their workactivities. The existence of a scalar chainand adherence to it are necessary if theorganization is to be successful.
10. ORDER:For the sake of efficiency andcoordination, all materials and peoplerelated to a specific kind of workshould be treated as equally aspossible.
11. EQUITY:All employees should be treated asequally as possible.
12. STABILITY OF TENURE OF PERSONNEL:Retaining productive employeesshould always be a high priority ofmanagement. Recruitment andSelection Costs, as well as increasedproduct-reject rates are usuallyassociated with hiring new workers.
13. INITIATIVE:Management should take steps toencourage worker initiative, which isdefined as new or additional workactivity undertaken through selfdirection.
14. ESPIRIT DE CORPS:Management should encourageharmony and general good feelingsamong employees.