Pangasinan State University
Bayambang Campus
Bayambang,Pangasinan
Reporter: Mikee D.Gabonada
Topic: Principles of Office Management
14 Principles of Management by Henri Fayol
1. Division of Labor. There is more efficient work performance when more workers are engaged
in specialization through division of labor.
2. Authority. It is the right to issue orders and the power to compel obedience.
3. Discipline. It is a need to respect and comply with the rules of the organization. Without
discipline, it is imposible for the organization to move forward.
4. Unity of Command. This principle rest in one person, one boss relationship. Each employee
must receive instructions and orders from only one person.
5. Unity of Direction. It provides activities with the same objective. It should be under one
manager and only one plan should be used.
6. Subordination of individual Interests to General Interests. The individual interests of
employees should not prevail over that of the whole organization.
7. Remuneration of Pernonnel. Payment of services should be fair to both employees and
employer.
8. Centralization. Reducing the role of subordinates is centralization; while increasing the role of
subordinates is decentralization. Managers should have the final responsibility. But they have to
delegate to their subordinates activities which they can perform properly.
9. Schalar chain. This is the chain of command or line of authority from top management down
to the lowest level.
10. Order. To avoid waste, labor and materials should be in the right place at the right time.
Workers should be assigned in their most suitable jobs.
11. Equity. Managers should be both friendly and fair to their subordinates. Compassion and
justice should be practiced by managers to get the best from their suborsinates.
12. Stability of Tenure. The organization is more efficient and economical if turnover rate of
personnel is less.
13. Initiative. Managers should encourage their subordinates to propose and execute their
ideas of plans.
14. Esprit the Corps. Managers should promote team spirit in the organization. Harmony is
good in the organization. Fayol suggested the use of verbal communication instead of formal ,
written communication, if possible.
