The 14 Principles of Management of Henri Fayol

 

Fayol’s 14 Principles of Management which are still applicable for most of today's companies:

1. Division of work. Specialization increases output by making employees more

efficient.

2. Authority. Managers must be able to give orders, and authority gives them this

right.

3. Discipline. Employees must obey and respect the rules that govern the

organization.

4. Unity of command. Every employee should receive orders from only one

superior.

5. Unity of direction. The organization should have a single plan of action to guide

managers and workers.

6. Subordination of individual interests to the general interest. The interests of any

one employee or group of employees should not take precedence over the interests

of the organization as a whole.

7. Remuneration. Workers must be paid a fair wage for their services.

8. Centralization. This term refers to the degree to which subordinates are

involved in decision making.

9. Scalar chain. The line of authority from top management to the lowest ranks is

the scalar chain.

10. Order. People and materials should be in the right place at the right time.

11. Equity. Managers should be kind and fair to their subordinates.

12. Stability of tenure of personnel. Management should provide orderly personnel

planning and ensure that replacements are available to fill vacancies.

13. Initiative. Employees allowed to originate and carry out plans will exert high

levels of effort.

14. Esprit de corps. Promoting team spirit will build harmony and unity within the

organization.