Unlike managers of today’s world, managers of the 1900s had access to very few resources which would have helped them in managing an organisation. But with the ideas developed by certain early management experts such as Henry Fayol laid the foundation of modern principles of management which is published in the book titled “General and Industrial Management (1916).”
Henri Fayols 14 principles of management are as follows:
- Division of Work: According to this principle of management when workers are given a specialised task to perform, they become more skilful and efficient in it than if they had a broader range of tasks to accomplish. Division of labour makes the process more efficient and increases productivity by getting things done faster.
- Authority and Responsibility: According to Henri Fayol, authority and responsibility are essential to maintain order in an organisation. Managers must be having the authority to manage subordinates, and this authority must be backed by a sense of responsibility.
- Discipline: It is one of the pillars of a successful organisation. The willingness to abide by the rules of organisation and respect for authority is essential for the functioning of an organisation.
- Unity of Command: This principle emphasises on the fact that a sub-ordinate should be receiving orders from one superior only. If the orders are coming from multiple superiors, it will create confusion and possible conflict.
- Unity of Direction: The activities of a team in an organisation should be following a unidirectional approach; it will result in proper coordination and execution of the task.
- Subordination of Individual Interest: In order for the successful execution of tasks, personal interest should be subordinated with respect to the organisation’s benefit.
- Remuneration: Workers must be appropriately paid for the work done as it keeps them motivated for doing the work.
- The Degree of Centralisation: There should be a balance between the concentration of decision making in an organisation. It should not always be concentrated at the top level.
- Scalar Chain: There should be a clear line of authority in an organisation
- Order: Employees in an organisation must have proper resources available in order to complete the task.
- Equity: Managers must be fair and impartial to all employees.
- Stability of tenure of personnel: For the smooth functioning of the organisation, there should not be frequent entry exit of employees.
- Initiative: Employees can add ideas so that they will contribute to the growth of the organisation.
- Esprit de Corps/Team Spirit: This refers to the principle that managers must build morale among the team members, which will make work more productive.
For more information on such topics refer to Economics class 12 syllabus available on BYJU’S.
