Fayol’s Theory of Administration
Wikipedia (reference below) summarizes the administrative theory expounded by Henri Fayol (1841-1925) as encompassing five functions of management:
Wikipedia notes that:
“The control function, from the French controller, is used in the sense that a manager must receive feedback about a process in order to make necessary adjustments and must analyze the deviations. Lately scholars of management combined the commanding and coordinating function into one leading function.”
Wikipedia summarizes Fayol’s 14 Principles of Management as follows:
- Division of work – The division of work is the course of tasks assigned to, and completed by, a group of workers in order to increase efficiency. Division of work, which is also known as division of labour, is the breaking down of a job so as to have a number of different tasks that make up the whole. This means that for every one job, there can be any number of processes that must occur for the job to be complete. When an individual does the same job repeatedly he acquires speed and accuracy in performance. In words of Fayol,” The worker always on the same post, the manager always concerned with the same matters, acquires an ability, sureness and accuracy which increases their output”.
- Authority and Responsibility – Authority is the right to give orders and obtain obedience, and responsibility is the corollary of authority.
- Discipline – Employees must obey and respect the rules that govern the organization. Good discipline is the result of effective leadership.
- Unity of command – Every employee should receive orders from only one superior or behalf of the superior.
- Unity of direction – Each group of organizational activities that have the same objective should be directed by one manager using one plan for achievement of one common goal.
- Subordination – The interests of any one employee or group of employees should not take precedence over the interests of the organization as a whole.
- Remuneration – All Workers must be paid a fair wage for their services.
- Centralization – Centralization refers to the degree to which subordinates are involved in decision making.
- Scalar chain – The line of authority from top management to the lowest ranks represents the scalar chain. Communications should follow this chain.
- Order – this principle is concerned with systematic arrangement of men, machine, material, etc. There should be a specific place for every employee in an organization.
- Equity – Managers should be kind and fair to their subordinates.
- Stability of tenure of personnel – High employee turnover is inefficient. Management should provide orderly personnel planning and ensure that replacements are available to fill vacancies.
- Initiative – Employees who are allowed to originate and carry out plans will exert high levels of effort.
- Esprit de corps – Promoting team spirit will build harmony and unity within the organization.
Atlas topic, subject, and course
Wikipedia, Henri Fayol, at https://en.wikipedia.org/wiki/Henri_Fayol, accessed 19 January 2017.
Page created by: Ian Clark, last modified on 19 January 2017.
Image: Wikipedia, Max Weber, at https://en.wikipedia.org/wiki/Max_Weber, accessed 19 January 2017.