Management principles are basic guidelines that help managers plan, organize, lead, and control organizations effectively. The most widely known principles were developed by Henri Fayol.
Henri Fayol’s 14 Principles of Management
Division of Work
Work should be divided into small tasks to improve efficiency and specialization.Authority and Responsibility
Managers must have the authority to give orders, and with authority comes responsibility.Discipline
Employees must follow rules and respect organizational policies.Unity of Command
Each employee should receive orders from only one superior.Unity of Direction
Activities with the same objective should be directed by one manager using one plan.Subordination of Individual Interest to General Interest
Organizational goals should come before individual goals.Remuneration
Employees should be fairly paid for their work.Centralization
The degree to which decision-making is concentrated at the top level.Scalar Chain
Clear line of authority from top management to the lowest ranks.Order
Right person in the right job; proper arrangement of materials.Equity
Managers should be kind, fair, and just to employees.Stability of Tenure of Personnel
Job security improves performance and loyalty.Initiative
Employees should be encouraged to take initiative.Esprit de Corps
Promote team spirit and unity among employees.
4 Basic Functions of Management (Modern View)
Planning – Setting goals and deciding how to achieve them
Organizing – Arranging resources and tasks
Leading – Motivating and directing employees
Controlling – Monitoring performance and correcting problems