Principle of management [Henry’s Fayol]

Principles of management are fundamental guidelines and concepts that serve as a

foundation for effective and efficient managerial practices. These principles are
developed based on observations, experiences, and theories of management experts.
The principles help managers make informed decisions, improve organizational
performance, and achieve their goals. Here are some key principles of management:

1. Division of Work: Specialization and division of labour increase efficiency and

productivity. When tasks are divided among individuals based on their skills
and expertise, they can become more proficient in their respective areas.
2. Authority and Responsibility: Managers should have the authority to give
orders and make decisions, but they must also be willing to take responsibility
for the outcomes of those decisions.
3. Unity of Command: Employees should have only one direct supervisor to
avoid confusion and conflicting instructions.
4. Unity of Direction: The organization should have a single, unified plan and
clear objectives to ensure everyone is working towards common goals.
5. Subordination of Individual Interest to the Common Good: The interests
of individuals should be secondary to the interests of the organization as a
whole.
6. Remuneration: Fair compensation should be provided to employees to
maintain their motivation and morale.
7. Centralization and Decentralization: Decision-making authority should be
appropriately distributed between higher and lower levels of management
based on the organization's needs.
8. Scalar Chain: There should be a clear and unbroken line of communication
and authority from the top management to the lowest ranks of the
organization.
9. Order: The workplace should be organized to provide a suitable environment
for employees to perform their tasks efficiently.
10. Equity: Managers should treat all employees with fairness and justice to build
trust and commitment within the workforce.
11. Stability of Tenure: Providing employees with job security helps build a
stable and committed workforce.
12. Initiative: Encouraging employees to take the initiative and be innovative can
lead to improvements and new ideas within the organization.
13. Esprit de Corps: Fostering team spirit and a sense of unity among employees
can improve cooperation and collaboration.

These principles were first proposed by Henri Fayol, a French industrialist, and they
continue to be relevant and widely applied in modern management practices. Keep
in mind that these principles are not rigid rules but general guidelines that managers
can adapt to their specific organizational contexts. Effective management often
Principle of management [Henry’s Fayol]

involves a combination of these principles, tailored to the unique needs and

challenges of each organization.