Presentation

on

Henry Fayol
Principles Of Management
FAYOL’S 14 PRINCIPLES
OF
MANAGEMENT
 Introduction To Management

Traditional Approach :-

“ Management consist of getting thing done through the effort of other

people .”

Modern Approach :-

“ Management is a process of an activity , a discipline and an effort to co-ordi-

nate , control and direct , individual and group effort toward attaining the goal
of an organization.”
 PRINCIPLES OF MANAGEMENT
 A principles may be defined as fundamentals statement of basic
truth that provides a guide to thought and action

 Principles of management originate and grow as a result of past ex-

perience and accomplishments

NEED OF PRINCIPLES OF MANAGEMENT:

 To improve efficiency
 To crystalline the nature of management
 To improve research
 To attain social goals
 Fayol’s Administrative Management

Fayol’s Introduction :-

 A French mining engineer, developed 14 principles of management.

 He was the real father of modern management.

 He was the first person who laid emphasis on the Process of Manage-
ment.

 In his retirement, he established the centre of Administrative studies.

 Fayol’s Activities

Fayol found the six activities of an industrial organization

and divided into six group:

1. Technical (Relating to production)

2. Commercial (Buying, selling and exchange)
3. financial (Search for capital and its optimum use)
4. Security (Protection of property and person)
5. Accounting (balance sheet, stocktaking, statistics, costing);
6. Managerial ( Planning, organizing, command, co-ordination and con-
trol )
Management is a process of 5 elements…
 Fayol’s Principles of Management

1. Division of work :- This refer to specialization which increase

the efficiency of the individual employee.

2. Authority and Responsibility :- Authority and Responsibility

are related.. With formal authority managers have the right to com-
mand and to give order to their subordinate.

3. Discipline :- This means obedience, proper conduct in relation to

others and complying with the rules and regulations of the organiza-
tions.
4. Unity of command :- Employees must receive instruction only from
one person. Reporting to more than one manager results to conflicts in in-
struction and confusion of authority.

5. Unity of direction :- “One head one plan” each group activities hav-
ing one objective should be unified by having one plan and one head.

6. Subordination of individual to general interest :- Common

interest is above the individual interest means the effort should be bring
about convergence of general and individual interest.

7. Remuneration of personal :- Remuneration of employees should

be fair and provide maximum satisfaction to employees and employers.
8. Centralization - Everything which goes to increase the importance
of subordinate’s role is decentralization; everything which goes to re-
duce it is centralization.

9. Scalar chain –The chain of Superior ranging from the highest to

lowest rank .It refer to flow of information between management and
worker.

10. Order -This is a principal relating to the arrangement of things and

people.

11. Equity – It is a Combination of justice and kindliness with the em-

ployee. The application of equity requires good sense, experience,
and good nature for soliciting loyalty and devotion from subordinate.
12 Stability of tenure :- Stability of tenure is essential to get an em-
ployee accustomed to new work and succeeding in doing it well. Un-
necessary turnover is both cause and effect of bad management.

13 Initiative :- Within the limit of authority and discipline, managers

should encourage their employees for taking initiative. it also increase
the zeal and energy on the part of human being that concerned with
thinking out and execution of a plan.

14 Esprit de corps :- This is the principal of ‘union is strength’ and exten-

sion of unity of demands for establishing team work.
Thanking you….