Henri Fayol(1841 - 1925)

Hi I am….

Henri Fayol’s Background

Graduated from the National School of

Mines in Saint Etrenne in 1860

After graduation he went to work and spent

his entire career at Commentry-

Fourchamboult-Decazeville.

In 1888 he became managing director,

when the mine company employed over

10,000 people

MAJOR ACHIVMENTS

He is credited with saving the company

from bankruptcy

During his career he lectured at Ecole

Superievre de la Guerre

In his retirement he established the Center

of Administrative Studies

How do we manage an

Organization…?

Division Of Work

Work should be divided among

individuals and groups to ensure that

effort and attention are focused on

special portions of the task.

Authority

The right to issue commands, along

with which must go the balanced

responsibility for its function.

DISCIPLINE

A successful organization requires the

common effort of workers. Penalties

should be applied judiciously to

encourage this common effort.

Unity Of Command

Each worker should have only one

boss with no other conflicting lines of

command.

UNITY OF DIRECTION

The entire organization should be

moving towards a common objective

in a common direction.

Subordination of individual

interest Management must see that the goals

of the firms are always paramount.

Remuneration

Many variables, such as cost of living,

supply of qualified personnel, general

business conditions, and success of

the business, should be considered in

determining a worker’s rate of pay

CENTRALIZATION

Fayol defined centralization as

lowering the importance of the

subordinate role

SCALAR CHAIN

Scalar chain refers to the number of

levels in the hierarchy from the

ultimate authority to the lowest level in

the organization. It should not be over-

stretched and consist of too-many

levels

ORDER

For the sake of efficiency and

coordination, all materials and people

related to a specific kind of work

should be treated as equally as

possible.

EQUITY

In running a business a ‘combination

of kindliness and justice’ is needed.

Treating employees well is important

to achieve equity

STABILITY OF TENURE OF

PERSONNEL Retaining productive employees

should always be a high priority of

management

Initiative

new or additional work activity

undertaken through self direction

Esprit de Corps

Management should encourage

harmony and general good feelings

among employees.

Functions of these

management

To forecast and plan

To organize

To command or direct

To coordinate

To control

Common criticisms of Henri Fayol

Management is not always universal:

Fayol was criticized because he only had

experience in a coal mine. Many have said just

because you can manage a coal mine does not

necessarily mean you can manage a hospital.

His writing is lessons learned in his career:

Everything that Fayol wrote about was something

from his career as the managing director of a

mining company. The criticism is that his

background was not all that diverse.

Fayol’s Big Contributions to

Management

1) Universality of management: The same skills are needed to manage a coal mine that are needed to manage a hospital, post office, university, etc..

2) Management is a field in and of itself: There were no schools of management prior to Henri Fayol!!!

SINTO K K

MAHRM-2014