Penulis
The 14 major principles of management are:
- Division
of Work
- Authority
and Responsibility
- Discipline
- Unity
of Command
- Unity
of Direction
- Subordination
of Individual Interest
- Remuneration
- The
Degree of Centralization
- Scalar
Chain
- Order
- Equity
- Stability
of Tenure of Personnel
- Initiative
- Esprit de Corps
1. Division of Work
In the
real case, every individual employee has special skills and are specialized in
different areas. They may or may not have similar skills and specialization.
This principle explains the importance of distinguishing the employees based on
their levels of expertise and their knowledge areas. For example, categorizing
the employee from general to specialist.
This
management principle promotes the efficiency of the workforce thus increasing
productivity. In addition to this, specialization of the workforce increases
the accuracy and the speed of the work. The “division of work” principle of
management is applicable to both the technical and managerial activities of an
organization.
2. Authority and Responsibility
According
to Henry Fayol, authority gives the management the power to give orders to make
things done by the employees. With this authority comes the responsibility. The
performance helps to track back the responsibility. In other words, authority
and responsibility are the two sides of a coin.
3. Discipline
This principle states the importance of having obedience. The principle of having
discipline forms the essence of having good conduct and respectful
interactions.
4. Unity of Command
This
principle clearly defines the need to know from where the employee takes the
order and to whom he must report. If an employee receives the order from one or
more managers, confusion and sometimes conflicts may occur. Following this
principle reduces the chances of making such mistakes.
5. Unity of Direction
The principle
of “Unity of direction” emphasis on focus and unity. This highlights the fact
that all the employees perform a set of activities that finally links to the
same objectives. A single group that forms a team performs these activities.
The activities
must be enlisted as the plan of action. The ultimate responsibility of this
plan of action is on the manager. He must monitor the progress of the planned
activities. The efforts made by the employees and their coordination are the
focus areas.
6. Subordination of Individual Interest
As per
Henry Fayola, the personal interest of the individuals in an organization are
subordinate to the interest of the organization. The main and primary focus is
the organizational objectives. This principle of management is applicable to
all the levels of the organization including the managers.
7. Remuneration
This
principle conveys the importance of remuneration for the employees, which
promotes motivation and productivity. There are two types of remuneration
namely non-monetary and monetary.
Non-monetary
remuneration is conveyed in the form of compliments, assigning more
responsibilities and credits. Monetary remuneration is providing a bonus or any
other financial compensation. This is all about rewarding the employee for the
efforts made by him.
8. The Degree of Centralization
Centralization
refers to the practice of having decision making authority at the top
management or the executive board level. Henry Fayol explained the process of
sharing this decision making authority with the lower levels of management as
decentralization.
Now, how
big or small the organization, there must be a balance between the two forms of
decision-making.
9. Scalar Chain
Every organization must possess a clear cut hierarchy starting from the senior
management to the lowest level in the organization. There should be a clear
line in the area of authority from the top level to the bottom.
This way,
each employee must be able to contact a manager at the top-level without
challenging the hierarchy.
10. Order
According
to this principle, the right resources for the employees help them to function
properly in an organization. In addition to the responsibility of the managers,
there must be a safe, clean and tidy working environment.
11. Equity
The
equity principle focuses on the core values of an organization. This focus on
the importance of treating the employees kindly and equally. Employees in the
right place of an organization perform the function right. The supervision and
monitoring of these functions are performed by the managers. The employees must
be treated fairly without any partiality.
12. Stability of Tenure of Personnel
This principle focuses on minimizing employee turnover and to have the right
employee or staff in the right place. Frequent change of position and
sufficient development must be properly managed.
13. Initiative
According
to Henry Fayol, employee initiatives form one of the important sources of
strength of the organization. This management principle hence encourages the
employees to come up with new ideas. This makes the employees be more involved
in organizational development.
14. Esprit de Corps
The principle of management strives for the unity and involvement of the employees.
Morale must be developed in the workplace both individually and in the area of
communication. This responsibility is for the managers. The principle of
“Esprit de Corps” develops the culture and creates an atmosphere of mutual
understanding and trust.