Implications of Principles of Management Regarding

the Case “Kim Tanumi”

In the last century, organizations already had to deal with management in practice. In the
early 1900s, large organizations, such as production factories, had to be managed too. At the
time there were only few (external) management tools, models and methods available.
Thanks to scientists like Henri Fayol (1841-1925) the first foundations were laid for
modern scientific management. These first concepts, also called principles of management
are the underlying factors for successful management. Henri Fayol explored this
comprehensively and, as a result, he synthesized the 14 principles of management. Henri
Fayol ‘s principles of management and research were published in the book ‘General and
Industrial Management’ (1916).
Henri fayol’s 14 principles of management are remembered even today for their simplicity
and genius. The thing is, whenever you are managing something or running a business, you
cannot pinpoint what is going wrong.
The principles of management suggested 14 such steps which you can compare to your
business, and find out where you are missing out in proper implementation of the principles.
This was especially useful in the times when computers and modern software were not
available. Today, there are so many time tracking devices as well as management techniques
available, that you might think you don’t need the 14 principles of management. But these
principles are applicable in today’s work environment as well.
Kim Tanumi is an entrepreneur in the printing business. Her Ms. Print Shop is a franchise
that operates throughout two Midwestern states. But till now she has been operating the
business with full control on her hand. So, she was facing some challenges and many
decisions were made by her and issues were rising as well. Regarding her business a brief
explanation on the implication of principle of management is presented below:

Sl. Principles of
Implication Explanation
No. Management
According to Fayol, “The intent of division of
work is to produce more and better work from the
same effort. Specialization is the most efficient
way to use human effort.” Work should be
1. Division of Work Using
divided among individuals and groups to ensure
that effort and attention are focused on special
portions of the task and Kim always distributed
the works among the employees.
According to Fayol. “Authority is the right to
give orders and obtain obedience and
2. Authority Using responsibility is the corollary of authority.” The
power and responsibility to give orders should
reside with only a few people and should not be
1
Sl. Principles of
Implication Explanation
No. Management
diluted and Kim retain all the authority and
controls.
It goes without saying, that management is
responsible for the way discipline is maintained
3. Discipline Using in an organization and Kim controls and
supervises everything to maintain discipline at
work place.
If this print shop was not small then there may be
Unity of a chance of violating this principle but as it is a
4. Using
command small entity Kim is doing all the commands so in
this case unity of command is still used.
According to this principle, activities having the
common goal must have one head and one plan.
Unity of This helps in bringing unity of action and
5. Violating
direction coordination in an organization. But in this entity
employees are confused to their duties and
responsibilities.
According to Fayol, organizational interest should
be given more priority as compared to individual
Subordination of interest of an employee but one employee was not
6. Violating
the individual satisfied with the type of work he was given and
one resigned because her aim and time was not
valued.
Now, naturally when you are expecting your
employees to be disciplined, you want unity of
direction and command, then you have to
remunerate the employees so that they are less
7. Remuneration Violating likely to shift to the competition and more likely
to concentrate on the jobs they have in hand and
Kim failed because employees were not satisfied
with the money they received against the works
they were doing.
Centralization is the process of the concentration
of power of decision making with one person and
8. Centralization Using
it this entity Kim retains all the control and
authority and all the decisions are taken by her.

2
Sl. Principles of
Implication Explanation
No. Management
Hierarchy presents itself in any given
organization. This varies from senior
management to the lowest levels in the
organization. Henri Fayol ’s “hierarchy”
management principle states that there should be
9. Scalar chain Using a clear line in the area of authority. Each
employee can contact a manager or a superior in
an emergency situation without challenging the
hierarchy being a small entity the print shop is
still maintain scalar chain because of sole
commands by Kim.
According to this principle, in an organization
there should be a suitable place for everything
and everyone, and everything and everyone
should be at its right place. In other words, we
10. Order Violating
can say that there must be orderliness in the
organization. But in this entity Kim failed to
make the work place that suitable to make the
employees to work in order.
According to Fayol, “Good sense and experience
are needed to ensure fairness to all employees,
11. Equity Violating who should be treated as fairly as possible”. But
in this entity employees were not treated as they
deserved.
One of the critical things in Henri fayol’s 14
principles of management was stability of tenure,
Stability of or attrition of employees. In essence, Henri fayol
12. tenure of Violating said that an organization has a better chance to
personnel grow faster if its employees are stable but because
of the work load and unsuitable salary against the
work employees were not stable.
According to Fayol, “Workers should be
encouraged to develop and carry out their plans
for improvement”. Initiative refers to the first step
taken by the employees towards their self
motivation. This principle states that employees
13. Initiative Violating
at all levels should be given freedom to some
extent so that they can come forward and use
their skills to achieve expected goals. In this
entity there were no chances to do so because
Kim is the only one who decides and apply.
According to Fayol, “Management should
promote a team spirit of unity and harmony
14. Esprit de corps Violating among employees.” In order to achieve
organizational objectives, management should
promote team work and coordination. The feeling
3
 Sl. Principles of
Implication Explanation
No. Management
of ‘I’ should be replaced with ‘We’ in the
managers while having a conversation with the
workers. In this case Kim always decides and
orders and her opinion is the one which is to be
implemented.

The 14 principles of management can be used to manage organizations and are useful tools
for forecasting, planning, process management, organization management, decision-making,
coordination and control. So, in Kim’s case it is clear that if she had followed the principle of
management her business may see a better foreseeable future.
Although they are obvious, many of these matters are still used based on common sense in
current management practices in organizations. It remains a practical list with focus areas that
are based on Henri Fayol ’s research which still applies today due to a number of logical
principles. So, may each and every principles may not be possible to implement on the right
time or right way but if it is followed Kim Tanumi will be a gainer in her business sector.
Overall, these 14 principles of management are evergreen in nature and no matter the way
technology is catching up with us; these 14 principles of management will matter to even the
smallest of organizations and will help them when they are growing large and Kim’s business
is such an example which may grow bigger and can become a market leader by following
these principles accordingly.
--------x--------