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FAYOL AND
ADMINISTRATIVEMANAGEMENT
Prof. Saptarshi Mukherjee
1
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Administrative Management2
Henry Fayol is known as the pioneer of “Administrative theory” and father of “Principles Of Management”.
The administrative theory is concerned with theentire range of managerial performances.
In administrative theory, major functions and
basic principles of management are universal incharacter.
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FAYOL AND ITSPRINCIPLES
3
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Henry Fayol4
He is popularly known as “Father of ModernManagement Theory”
He suggested 14 principles of management forrunning the business efficiently.
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14 Principles5
Division of Work
Authority and Responsibility
Discipline
Unity of Command
Unity of Direction
Subordination of Individual Interest to GeneralInterest
Fair Remuneration to Workers
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Contd…. 6
Effective centralization
Scalar Chain
Order
Equity
Stability of tenure of workers
Initiative
Esprit de corps
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Division of Work 7
Total task into compact jobs and allocating
these compact jobs to different individuals. ToFacilitate specialization, improve efficiency,higher productivity, better performance ispossible.
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Authority and Responsibility 8
Authority is the right to give orders and powerto exert obedience. Responsibility impliesobligations to perform the work in the mannerdesired and directed.
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Discipline9
It means obedience and outward marks of respect. Clarity of rules, good supervisionensures it.
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Unity of Command10
1 subordinate should receive orders from 1superior only.
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Unity of Direction11
There should be 1 plan for a group of activitieshaving the same objective.
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Individual Interest to general Interest12
Individual Interest should be discarded andgeneral interest must be maintained.
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Fair remuneration to Workers13
Fair, equitable, reasonable, and satisfactory remuneration should be given.
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Scalar Chain14
It refers to the chain of superiors ranging fromthe top rank to the lowest rank in management.
It determines the clear line of authority from topto bottom linking managers at all levels.
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Effective Centralization15
Centralization means concentration of authority for decision making especially at the
top level management. Balance has to be therefor centralization and decentralization.
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Order16
Systematic arrangement of materials and peoplein the organization. Right man in the right job
and right materials in the right place foreffective utilization of resources.
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Equity 17
It signifies management must treat employees with justice and equity based kindliness. No
favoritism. Fair treatment to everyone.
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Stability of tenure of workers18
Every employee should feel that his job will not
be terminated without any substantial cause. Itpromotes team work, loyalty, team work,minimizes labor turnover.
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Initiative19
It means eagerness to initiate action in work related matters without being asked to do so.
Initiative is a powerful motivator of humanbehaviour.
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Esprit de Corps20
It is based on 2 principles. unity is strength andteam spirit is most essential .
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