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14 Principles of Management by Henri Fayol

After carrying many tests and observations in the organization, fayol introduced 14 principles of management which are defined in his famous book ‘General and Industrial Administration. Due to Henri Fayol‘s contribution to the development of managerial thoughts, he is named as ‘Father of modern Management’  he proposed 14 principles of management. These statements work as a guideline for decision-making. 14 principles of management are given as follows

14 Principles of Management 

1. Principle of Division Work
2. Principle of Authority and Responsibility
3. Principle of Discipline 
4. Principle of Unity command 
5. Principle of Unity of Direction
6. Principle of subordination of individual interest to Organizational interest
7. Principle of Centralization 
8. Principle of Remuneration
9. Principle of Scalar Chain
10. Principle of Order
11. Principle of Equity
12. Principle of Stability of Tenure
13. Principle of initiative
14. Principle of Esprit de corps [ Teamwork ]

1. Principle of Division of work

“According to Fayol, the task is divided into various kinds as such as technical, commercial, security operations, financial, accounting, and managerial. It is allotted to employees as per their merits and skills. It helps in improving the performance and expertise of employees which eventually turns into the expected productivity level.”

2. Principle of Authority and Responsibility

“Authority is the right to make decisions. It is important to get things done properly by subordinates. Authority has to take responsibility. If the manager is given the authority to complete work within time, He should be responsible if he doesn’t completely work in the given time. The manager should have the proper authority to take managerial decisions on his own.”

3. Principle of Discipline

“According to fayol;s 14 principles of management, Discipline is the most important thing in the organization. Employees must respect the laws that govern the organization. Discipline helps to accomplish the goals of the organization. Good discipline is the result of powerful leadership. There must be a clear understanding among workers and managers about rules. basic discipline should  be noted at all levels of management.”

4. Principle of Unity of Command

“Each member of the company should receive orders from only one boss.  This principle of management helps in managing conflicts and solving disputes among people in the organization. It also assists in avoiding confusion. If a member gets commands from more than one authority, he will get confused and will not be able to make decisions about whose orders should be followed. This is wrong that’s why In 14 principles of Management this principle is important.”

5. Principle of unity of Direction

“This principle states that ‘there should be one plan & one head’ in every organization. Each group in the organization should have an equal objective and the group should be directed by one manager using only one plan.”

6. Principle of subordination of individual interest to Organizational interest

“The interest of a person must be given less importance than the interest of the organization should the same objective and the group should be directed by only one manager using the plan.”
After carrying many tests and observations in the organization, fayol introduced 14 principles of management which are defined in his famous book 'General and Industrial Administration. Due to Henri Fayol's contribution to the development of managerial thoughts, he is named as 'Father of modern Management'  he proposed 14 principles of management. These statements work as a guideline for decision-making. 14 principles of management are given as follows    14 Principles of Management  1. Principle of Division Work 2. Principle of Authority and Responsibility 3. Principle of Discipline  4. Principle of Unity command  5. Principle of Unity of Direction 6. Principle of subordination of individual interest to Organizational interest 7. Principle of Centralization  8. Principle of Remuneration 9. Principle of Scalar Chain 10. Principle of Order 11. Principle of Equity 12. Principle of Stability of Tenure 13. Principle of initiative 14. Principle of Esprit de corps [ Teamwork ]  1. Principle of Division of work According to Fayol, the task is divided into various kinds as such as technical, commercial, security operations, financial, accounting, and managerial. It is allotted to employees as per their merits and skills. It helps in improving the performance and expertise of employees which eventually turns into the expected productivity level.  2. Principle of Authority and Responsibility Authority is the right to make decisions. It is important to get things done properly by subordinates. Authority has to take responsibility. If the manager is given the authority to complete work within time, He should be responsible if he doesn't completely work in the given time. The manager should have the proper authority to take managerial decisions on his own.   3. Principle of Discipline According to fayol;s 14 principles of management, Discipline is the most important thing in the organization. Employees must respect the laws that govern the organization. Discipline helps to accomplish the goals of the organization. Good discipline is the result of powerful leadership. There must be a clear understanding among workers and managers about rules. basic discipline should  be noted at all levels of management  4. Principle of Unity of Command Each member of the company should receive orders from only one boss.  This principle of management helps in managing conflicts and solving disputes among people in the organization. It also assists in avoiding confusion. If a member gets commands from more than one authority, he will get confused and will not be able to make decisions about whose orders should be followed. This is wrong that's why In 14 principles of Management this principle is important.   5. Principle of unity of Direction This principle states that 'there should be one plan & one head' in every organization. Each group in the organization should have an equal objective and the group should be directed by one manager using only one plan.   6. Principle of subordination of individual interest to Organizational interest The interest of a person must be given less importance than the interest of the organization should the same objective and the group should be directed by only one manager using the plan       7. Principle of Centralization  Centralization refers to the combination of strengths and authorities. In some organizations, these strengths are vested in one hand or few hands. This situation occurs in a tiny organization. but if the size of the organization is large then there is a decentralization of the power. According to this principle, there should be stability centralization and decentralization in the organization. This is to be arranged according to the capacity of the organization.  8. Principle of Remuneration  This principle is most important which is given by Henri Fayol in 14 principles of management is to keep employees satisfied financially as well as retain them for a long span of time within the organization. The remuneration should be made by taking into consideration the expertise, talent, knowledge, tenure, cost of living, market trend, the profitability of the organization, etc.  9. Principle of scalar chain scalar chain is the hierarchy of power from the top level to the lower level for the purpose of communication. This helps to assure the orderly flow of data and communication. This serves to ensure the orderly flow of knowledge and communication. Traditionally, organizations used to frame large scalar chains which are so time-consuming.  for example, a general manager tells the decision to a Functional manager. then Functional Manager will pass it to the administrator, the administrator will inform it to the head, and so on according to the level of authority. This method consumes more time. To take speedy decisions cross-communication is followed by many organizations which are known as gangplank. to do this, proper authorization of the authorities is important.     10. Principle of order This principle is about  'A place for everything and everything in its place. Materials and human resources should be in the correct place at the correct time for more efficiency. Human resources should be placed in the right place and at incorrect times. This principle largely focuses on the proper utilization of physical and human resources.  11. Principle of Equity Management should be friendly to subordinates. There should be no discrimination between employees. It also suggested that the payment should not depend on the department but on the level at which juniors or subordinates are working. The employees working on the same level but in different departments should be paid equal wages. This justice will help in avoiding fights in the organization.   12. Principle of stability of Tenure  At the time of recruitment of employees, the management should confirm them about the stability of job security. It plays a very essential part in creating a sense of belongingness between the employees. Insecurity always affects the efficiency of employees negatively whereas job security minimizes the employee turnover rate.  13. Principle of initiative  The initiative applies to volunteering to do the work in an innovative approach. The choice to think and work on new ideas encourages employees to take action while working on the given assignments. This initiative should be welcomed by the manager including thorough discussion on these new ideas. it also benefits in creating strong organizational culture.  14. Principle of Esprit de corps (Team Work)   Fayol has given importance to teamwork. Esprit de corps means unity is strength. Running any organization is a group activity and human resources are the precious asset of the organization. If all employees are working in unity, the problems can be solved quickly.     Therefore, as a leader, the manager should create a spirit of union and understanding between employees to fulfill organizational goals easily.   Importance of 14 Principle of management  The above 14 principles of management by Henri fayol are very important and useful to manage the organization efficiently and productively. These are also supportive of the functions of management. These 14 principles of management are very practical i.e they are applicable in the new management era.    Increases Understanding - From the information of principles managers get a suggestion on how to lead an organization. The principles enable managers to decide what should be done to accomplish given tasks and to manage conditions that may occur in management. These principles give managers more effective.  If you liked this post, then also share it with your friends on social media like Facebook, Twitter, and Instagram.   REFERENCE ARTICLE  http://ekatmik.balbharati.in/pdfs/1203020416.pdf https://www.iedunote.com/14-management-principles-henri-fayol https://byjus.com/commerce/henri-fayol-14-principles-of-management/

7. Principle of Centralization

“Centralization refers to the combination of strengths and authorities. In some organizations, these strengths are vested in one hand or few hands. This situation occurs in a tiny organization. but if the size of the organization is large then there is a decentralization of the power. According to this principle, there should be stability centralization and decentralization in the organization. This is to be arranged according to the capacity of the organization.”

8. Principle of Remuneration 

“This principle is most important which is given by Henri Fayol in 14 principles of management is to keep employees satisfied financially as well as retain them for a long span of time within the organization. The remuneration should be made by taking into consideration the expertise, talent, knowledge, tenure, cost of living, market trend, the profitability of the organization, etc.”

9. Principle of scalar chain

“scalar chain is the hierarchy of power from the top level to the lower level for the purpose of communication. This helps to assure the orderly flow of data and communication. This serves to ensure the orderly flow of knowledge and communication. Traditionally, organizations used to frame large scalar chains which are so time-consuming.”
“for example, a general manager tells the decision to a Functional manager. then Functional Manager will pass it to the administrator, the administrator will inform it to the head, and so on according to the level of authority. This method consumes more time. To take speedy decisions cross-communication is followed by many organizations which are known as gangplank. to do this, proper authorization of the authorities is important.”

10. Principle of order

“This principle is about  ‘A place for everything and everything in its place. Materials and human resources should be in the correct place at the correct time for more efficiency. Human resources should be placed in the right place and at incorrect times. This principle largely focuses on the proper utilization of physical and human resources.”

11. Principle of Equity

“Management should be friendly to subordinates. There should be no discrimination between employees. It also suggested that the payment should not depend on the department but on the level at which juniors or subordinates are working. The employees working on the same level but in different departments should be paid equal wages. This justice will help in avoiding fights in the organization.”

12. Principle of stability of Tenure 

“At the time of recruitment of employees, the management should confirm them about the stability of job security. It plays a very essential part in creating a sense of belongingness between the employees. Insecurity always affects the efficiency of employees negatively whereas job security minimizes the employee turnover rate.”

13. Principle of initiative 

“The initiative applies to volunteering to do the work in an innovative approach. The choice to think and work on new ideas encourages employees to take action while working on the given assignments. This initiative should be welcomed by the manager including thorough discussion on these new ideas. it also benefits in creating strong organizational culture.”

14. Principle of Esprit de corps (Team Work) 

“Fayol has given importance to teamwork. Esprit de corps means unity is strength. Running any organization is a group activity and human resources are the precious asset of the organization. If all employees are working in unity, the problems can be solved quickly.”
“Therefore, as a leader, the manager should create a spirit of union and understanding between employees to fulfill organizational goals easily.”

Importance of 14 Principle of management 

The above 14 principles of management by Henri fayol are very important and useful to manage the organization efficiently and productively. These are also supportive of the functions of management. These 14 principles of management are very practical i.e they are applicable in the new management era. 
Increases Understanding – From the information of principles managers get a suggestion on how to lead an organization. The principles enable managers to decide what should be done to accomplish given tasks and to manage conditions that may occur in management. These principles give managers more effective.
If you liked this post, then also share it with your friends on social media like Facebook, Twitter, and Instagram.


REFERENCE ARTICLE