With his work and books, Fayol's 14 Principles of Management (1888) and Administration Industrially et Generale (1925), Henri Fayol (1841-1925) was the first to broadly apply the administrative theory of management (1916).

A French mining engineer by the name of Fayol documented his business practises. Ultimately, he developed into a management theorist who had possibly the biggest impact of all earlier management theorists.

Fayol is credited with developing Administrative Management Theory, sometimes known as Process Theory or Structural Theory.

Fayol's work differed from Taylor's, who concentrated on worker efficiency, in that it was a part of the classical theory movement. Fayol concentrated on the structure and organisation of labour duties instead. In order to complete tasks, he especially examined how management and employees are set up within a company.

He suggested setting up functional departments and work groups to carry out various tasks. The completion of these tasks advances the goals of the firm and helps to achieve higher tasks.

For organisational effectiveness, Fayol adopted a top-down strategy. He thought that management's ability to organise itself effectively would eventually affect the output of workers at the operational level.

Unlike the scientific management theory, which proposed that worker efficiency would increase managerial efficiency, Henri Fayol's Management theory does not make this assumption.

What is Fayol's 14 Management Principles?

The Administrative Management Approach is shown by Fayol's 14 management principles, which offer detailed guidance on the organisational components required for effective management.

These ideas can be summed up as follows:

Division of Labor - Within an organisation, specialisation is possible thanks to the division of labour. An individual's production might increase as they grow more adept at completing a specific set of tasks.

Managers must have the authority to give orders, but that authority also carries the burden of making sure that the work is completed.

Discipline: A distinct chain of command is necessary. Superiors' orders must be completely complied with by subordinates. The capacity to enforce discipline through punishment is a requirement for managers.

Unity of Command: Should there only be one boss from whom employees receive orders?

Each workgroup or department is operating under a single, coordinated strategy, which provides unity of direction. There should be one supervisor overseeing all work attempts.

Individual Interests Are Subordinated to Group, Departmental, or Company Interests – Individual interests are subordinated to group, departmental, or company interests in general.

Compensation is a tool for encouraging employee performance. Both monetary and non-monetary kinds of compensation can be considered as remuneration.

Centralization - Depending on the structure of the organisation and the skill level of the workforce, decision-making should be either centralised (all choices are made by management) or decentralised (decisions are also made by employees).

Line of Authority (Scalar Chain): In the reporting structure, there must be a hierarchy of authority that places employees below supervisors. At each level of the organisational hierarchy, the level of authority increases. It is important to comprehend the organisational hierarchy from beginning to end.

Order - The working environment and job duties must be subject to clear norms and expectations. Greater coordination results from a secure and organised environment.

Equity - Fairness must be a guiding principle in how the business is run. Kindness and justice should be combined when handling employees.

Organizations need stable tenure and low turnover. This gives workers time to become accustomed to their employment, hone their abilities, and create loyalty.

Initiative: Managers must encourage initiative by letting staff members make and carry out plans.

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What are the Five Functions of a Manager by Fayol entail?


According to Fayol's Administrative Management Theory, a manager's specific duties might vary greatly based on their personality type and job description. As a result, grouping managerial duties into several categories aids in comprehension.

Henri Fayol provided a useful classification of managerial duties. These activities include of:

  • Planning
  • Organizing
  • Commanding
  • Coordinating
  • Controlling

In general, the roles of controlling and commanding have been combined into the role of leading. The outcome is the current P-O-L-C framework for managing tasks.

Planning - According to Fayol, managerial planning entails:

predicting future situations, establishing goals, and creating strategies for achieving those goals

Take note of how adaptable the planning function is to account for unforeseen circumstances that may develop during the process.

Organizing- Fayol defined organising as the process of structuring activities and allocating personnel within a company. This includes hiring, supplying, and educating people.

Taking orders - According to Fayol, taking orders was a managerial responsibility that involved the:


Directly supervising workers and encouraging them to work toward a common goal.

Fayol understood the need for managers to be aware of and comprehend the actions of their staff members as well as to lead by example.

Fayol defined coordination as the process of identifying, planning, and scheduling all tasks performed by subordinates. The completion of all of the plans is made possible by this coordination. Students can take cheap assignment help from management professionals to wite flawless assignments.


Controlling is the process of continuously monitoring activity to see whether goals and objectives are being met. A management can take corrective action by deriving from the identified plan.