Henri Fayol: the Administrative Theory

In: Business and Management

Submitted By deathknight88
Words 379
Pages 2
Henri Fayol: The Administrative Theory
Henri Fayol developed the Administrative Theory. While Weber emphasized the principles of an ideal bureaucratic organization, Fayol concentrated on the management layer. He focused on the personal duties of a manager at a much finer level than Weber did. Fayol stated that management had five principle roles: planning, organizing, commanding, coordinating, and controlling. Planning meant anticipating the future and acting towards it. Organization meant the development of resources, both capital and human. Commanding meant keeping the processes of the business running. Coordinating meant syncing the group’s efforts in the best possible way. Controlling meant that all the above activities were done according to appropriate rules and procedures.
Fayol created 14 principles of administration to go along with these five goals.
1. Division of work: work is divided according to skill and technical expertise; each item of work be given to the employee most qualified for it
2. Authority and responsibility: Fayol defined authority as 'the right to give orders and the power to exact obedience.' He emphasized the importance of linking authority to responsibility.
3. Discipline: obedience and behavior of respect.
4. Unity of command: an employee should receive orders from one superior only.
5. Unity of direction: only one head shall lead a group with the same objective
6. Subordination of individual interests to the general interest: an individual should give priority to the company before himself
7. Remuneration of personnel: pay should depend on performance
8. Centralization: an element of centralization should always be present; all employees should be linked to a central authority
9. Scalar chain (line of authority): communication with another department has to go up the chain of command and then down the other…...

Similar Documents

Administrative Theory

...The founder of public administration considered by many is Woodrow Wilson. His essays were the cornerstone of public administration. He typified this link between academic and utilitarian studies through his personal overlap of professor and politician. Political science, he argued, should concentrate on how governments are administered. He was committed to developing the practice and theory of administration. In establishing the public administration disciplines, he believed that administration could and should be divorced from politics and policy-making. He defined administration as the machinery for implementing government policy. Dwight Waldo called a conference that birthed the New Public Administration. He argued that public administration should have a separate identity based on relevance, participation, change, values, and social equity. The NPA projected a normative role of public managers by being policy oriented. The practice and theory of public administration had an enduring effect and lasting influence from the conference. Social equity, cutback management, ethics, change, citizenry participation, implementation, and policy issues are some of the themes that that were developed at the Minnowbrook conference. Today, they continue to be considered important aspects of public administration. A political scientist and activist, Luther Gulick, introduced the now well-known but highly innovative and different functions of administration. Those functions are planning,......

Words: 1457 - Pages: 6

Is Henri Fayol's Management Theory Relevant Today

...one interview was made by telephone. The list of interviews is as following: Title Manager Name Mikko Alatalo Date 2.3.2011 Reason General information, goals, sales situation Staff Staff Customer Customer Virpi Jalasvaara Emiliia Knuutinen Zhang Qian Fang Ruina 2.3.2011 2.3.2011 5.3.2011 27.2.2011 Customer service Mission, vision Feedback of quality Feedback concept of Customer Tanja Kekkonen 16.3.2011 Feedback services of Table 1 The list of interviews 26 4 RESULT In this part, the substantial results of this research have been generalized. They are analyzed according to the theoretical knowledge concerning basics of strategic management. All the findings combined the H&M case and theories together in order to interpret the whole process of strategic management. 4.1 Environment analysis As mentioned in the theoretical part, environment analysis consists of mission, vision, value, goal and objectives. After the research, the detailed environmental analysis of H&M has been summarized in next paragraphs. 4.1.1 Mission “2010 was a very good year for H&M with a sales increase of 15 percent. Profit after financial items increased to SEK 25 billion. During the year we improved our market position further with a strengthened customer offering by giving the customers even more fashion and quality at the best price. The economy improved from 2009 but in several countries the economic situation was still uncertain and......

Words: 14584 - Pages: 59

Henry Fayol

...Henri Fayol: Contributions to the classical stream of Management Theory Present management practices and theories have evolved from classical management theory created by organisation pioneers, and one such influential pioneer was Henri Fayol. Henri began his career as an engineer in a large French mine and eventually succeeded to become the director, here he realised the lack of resources available to managers for developing management practices. Fayol’s did not believe in the old ideas of an individual born to rule, he believed that an employee needs to be motivated and among many other things, money is an important variable in motivation. He also said that managers should keep the morale of his employees high and keep them motivated so they can perform at their best. Fayol believed that by focusing on management practises he would minimise misunderstanding and increase efficiency in organisations and started synthesising his 14 principles of management, which are considered as the foundation and essential references for present management practices and theories. Fayol’s principles of management are still widely used in organisations by management to perform day to day tasks and other functions. His 14 principals acknowledged the importance of management hierarchy and key management process in any organisation. These principles are as follows (Study mode, 2013): 1) Specialisation of labour. Specialising encourages continuous improvement in skills and the......

Words: 1090 - Pages: 5

The Foundations of Henri Fayol's Administration

...The foundations of Henri Fayol’s administrative theory Daniel A. Wren David Ross Boyd Professor Emeritus and Curator, Harry W. Bass Business History Collection, University of Oklahoma, Norman, Oklahoma, USA Arthur G. Bedeian Boyd Professor, Louisiana State University, Baton Rouge, Louisiana, USA John D. Breeze Independent Scholar and Business Owner/Manager, Calgary, Alberta, Canada Keywords Management theory, History Abstract Among modern scholars and students there is an increasing distance between the fundamenta l thoughts of early management writers and contemporary , often secondary , accounts of how these pioneers develope d their ideas. This shortcomin g can be remedied by seeking original sources from when a pioneer’s ideas were being formulated and from the context within which this occurred. We examine examples of how others have furthered our understandin g of management history by the discovery and translation of pioneerin g writings and present a rare, out-of-prin t translation and a previousl y untranslate d and unpublishe d presentatio n from the French pioneer, Henri Fayol. These presentation s to his colleague s in the mineral industr y reveal Fayol’s early reflection s as they would later evolve into his classica l book, Administratio n Industriell e et Ge Ârale. Âne Management Decision 40/9 [2002 ] 906±918 # MCB UP Limited [ISSN 0025-1747] [DOI 10.1108/0025174021044110 8] As management historians, we are seldom able to trace the formative......

Words: 11033 - Pages: 45

Fayol

...Introduction Henri Fayol was born in 1841 in Istanbul, is often known as the person who developed a general theory of business administration. He was a mining engineer who worked as the managing director of a big French mining company named as Compagnie de Commentry-Fourchambeau-Decazeville for the last 30 years of his working life (1888–1918). He died in Paris in 1925. He suggested the following 14 principles as the general principles management: Fayol’s 14 principles derive from the circumstance that Fayol felt that management was not well defined. In his striving to change this circumstance he suggested “some generalized teaching of management” to be a main part of every curriculum at places of higher education and even beginning in “primary schools” . Fayol’s dedication to this idea is demonstrated by the fact that after retirement he went on to not just write books about management ideas, but more importantly, he found the Centre For Administrative Studies (CAS) in 1917 in Paris . The CAS mainly functioned as a centre of discussion between professionals from a large variety of professions, in order to further the knowledge and understanding of management principles. Discussion is what Fayol had in mind, when he presented his 14 principles . In Fayol’s own words: “Are they [the principles] to have a place in the management code which is to be built up? General discussion will show”. In the following I will discuss each of his principles under the aspect of a......

Words: 4880 - Pages: 20

Fayol or Mintzberg?

...Henry Amm Fayol or Mintzberg – Who is right? Date: 11/12/2011 Student Number: 110369257 Version 1.0 The task: Henri Fayol presented his analysis of the management function in 1916 and it has largely been superseded by the more descriptive approaches of what managers actually do, such that favored by Henry Mintzberg. However, it could be argued that the image portrayed by Fayol is superior to that of Mintzberg, and the latter’s description is of rather ineffective management! Who do you think is right? Fayol or Mintzberg – Who is right? By Henry Amm Introduction With his work General and Industrial Management (1949, in French 1916) Henri Fayol was a pioneer on the field of management theory. (Pryor & Taneja, 2010) Many more were to follow, some supporting Fayol’s thoughts and some, i.e. Henry Mintzberg in The Nature of Managerial Work (1973) saying that Fayol’s views are not holding true today. This essay will take a closer look at strengths and weaknesses of both Fayol and Mintzberg and conclude that Fayol’s work still is not only relevant to our contemporary understanding of management but also superior to Mintzberg in terms of its conceptualization and applicability to modern organizations. Description of Fayol’s work According to Fayol (1949) all industrial organisations consist of six different groups of activities: technical, commercial, financial, security, accounting and management. As he was a manager himself, or in other words an administrator,......

Words: 2109 - Pages: 9

Contribution of Henry Fayol & Max Weber on Management

...بسم الله الرحمن الرحيم Sudan Academy of Science MBA Program Principles of Management Assay about: Positive contribution of Henry Fayol & Max Weber on the Management thought Prepared by: Nuha Mohamed Saeed - Batch 15 Henri Fayol: the Administrative Theory: Henri Fayol developed the Administrative Theory. While Weber emphasized the principles of an ideal bureaucratic organization, Fayol concentrated on the management layer. He focused on the personal duties of a manager at a much finer level than Weber did. Fayol stated that management had five principle roles: * Planning, meant anticipating the future and acting towards it * Organizing, meant the development of resources, both capital and human * Commanding, meant keeping the processes of the business running. * Coordinating, meant syncing the group’s efforts in the best possible way. * Controlling, meant that all the above activities were done according to appropriate rules and procedures. Fayol created 14 principles of administration to go along with these five goals. 1. Division of work: work is divided according to skill and technical expertise; each item of work be given to the employee most qualified for it 2. Authority and responsibility: Fayol defined authority as 'the right to give orders and the power to exact obedience.' He emphasized the importance of linking authority to responsibility. 3. Discipline: obedience and behavior of respect. 4. Unity of command: an employee should receive......

Words: 553 - Pages: 3

Henri Fayol, Practitioner and Theoretician – Revered and Reviled

...com/1751-1348.htm Henri Fayol, practitioner and theoretician – revered and reviled Mildred Golden Pryor and Sonia Taneja Department of Marketing and Management, Texas A&M University-Commerce, Commerce, Texas, USA Abstract Purpose – Fayol’s theories were the original foundation for management as a discipline and as a profession. Also Fayol was the first to advocate management education. Yet he has critics who revile him (or at least disparage his work) as well as followers who respect and revere him. This paper intends to enlighten today’s practitioners and academicians about the relevance and value of Fayol’s theories today. Design/methodology/approach – The paper addresses Fayol’s contributions as well as the disparagement and the reverence. It compares Fayol’s work with that of Follett, Mintzberg, Taylor, and Porter. In addition, it demonstrates the original and current interpretation and application of his theories. Finally, it indicates the alignment of Fayol’s theories with strategic leadership and management. Findings – Fayol’s theories are valuable and relevant for organizational leaders because Fayol was a practitioner who documented theories that worked best for him and his co-workers. While there are those who criticize Fayol’s theories, there are many others who respect them and find them useful as academicians and as practitioners. The theory of management functions aligns well with strategic leadership and management models and theories. Originality/value –......

Words: 7742 - Pages: 31

Henri Fayol

...Assignment Q1) Describe how Henri Fayol explained the management function? ANS.1) Management is the achievement of organizational goals through the planning, organizing, delegating, commanding, coordinating and controlling functions. Management is an ongoing activity, entailing goal attainment and knowing how to carry out management’s major functions. These functions are crucial to effective management. Henri Fayol placed management center stage and secondly he pondered the question of how best a company could be organized. The functions are explained as follows: 1. PLANNING: drawing up plans of actions that combine unity, continuity, flexibility and precision given the organization's resources, type and significance of work and future trends. Creating a plan of action is the most difficult of the five tasks and requires the active participation of the entire organization. Planning must be coordinated on different levels and with different time horizons. 2. ORGANISING: providing capital, personnel and raw materials for the day-to-day running of the business, and building a structure to match the work. Organizational structure depends entirely on the number of employees. An increase in the number of functions expands the organization horizontally and promotes additional layers of supervision. DELEGATING: delegation is the assignment of authority and responsibility to another person (normally from a manager to a subordinate) to carry out specific......

Words: 2058 - Pages: 9

Fayol and Mintzberg

...effectiveness through focus on strategic issues. Fayol had the classical approach to management while Mintzberg had the modern approach. Mintzberg (2005) said the four words; planning, organizing, coordinating and controlling introduced by Fayol only indicate vague objectives that managers have when they work. Throughout this essay I am going to explore the claim that Fayol’s classic analysis of the management function has been made redundant by the more recent views of Mintzberg through comparing and contrasting both theorists’ conceptions of what a manager actually does. Henri Fayol Henri Fayol was a French industrialist who worked as a young mining engineer. He spent his life working his way up in the mine until he became the managing director. Under Fayol the business thrived and grew despite it nearly being bankrupt when he took over. Fayol, who undertook the classical approach to management meant he was mostly concerned with issues such as the establishment of a hierarchy of authority within a business, the span of control and also division of work. Fayol and Frederick Taylor were the main founders of the classical approach. It is from this approach that other theorists founded their ideas on. From Fayol, theorists such as Mintzberg developed and expanded their ideas to the approach of management. Fayol was the first to have a theory of management based on fourteen principles; 1. Division of work- Fayol believed this develops familiarity and that it......

Words: 2036 - Pages: 9

Beximco Group Mis Application of Henri Fayol's 14 Principles of Management

...BRAC University Summer'2013 BEXIMCO Group MIS Application Of Henri Fayol's 14 Principles of Management BEXIMCO Group MIS- Application of Henri Fayol's 14 Principles of Management Submitted to: Afsana Akhtar Assistant Professor BRAC Business School BRAC University Date of Submission: 13th August, 2013 LETTER OF TRANSMITTAL 13th August, 2013 To, Afsana Akhtar Assistant Professor BRAC Business School BRAC University. Sub: Submission of term paper for completion of course. Dear Madam, With high reverence we want to state that we have finished our term paper on the application of Henri Fayol's 14 Principles of Management in Beximco Group MIS in Bangladesh. While working with the term paper we got the first hand experience to learn about the applied management techniques in an organization. It helped us in gaining a new point of view on the significance of management theory like Henri Fayol's 14 Principles plays a role in effective and efficient performance of organizations such as Beximco Group MIS. We did some elaborate research and interviews and came up with sufficient resources to compile our term paper in a comprehensive manner. This term paper is valuable and a necessity to complete our course MGT211. In this term paper, all the team members contributed equally with sheer hard work. We faced some challenges in working as a team but due to everyone's collective efforts we overcame them and tried to produce this paper for......

Words: 12245 - Pages: 49

Henri Fayol

...Division of Work: This principle of Fayol tells us that as far as possible the whole work should be divided into different parts and each individual should be assigned only one part of the work according to his ability and taste rather than giving the whole work to one person. When a particular individual performs the same job repeatedly, he will become an expert in doing that particular part of the whole job. Consequently, the benefits of specialisation will become available. For example, a furniture manufacturer gets an order for manufacturing 100 lecture stands. He has five workers who will do the job. There are two ways to complete this order. First, every worker should be asked to complete 20 lecture stands. The second method can be distributing different parts of the lecture stand-legs, top board, centre support, assembling and polishing-to all the five workers in a manner that only one worker does the same job for all the 100 lecture stands. Here, Fayol’s indication is to the second way to do this job and not the former one. The principle of division of labour applies not only to the workers but also equally to the managers. For example, if a manager is tuned to work on the same kind of activities for a long period of time, he will certainly be an expert in his particular job. Consequently, more and beneficial decisions can be taken in a comparatively less time by him. Positive Effect advantages of specialisation are obtained, such as increase in the quality of......

Words: 443 - Pages: 2

Administrative Management Thought

...ADMINISTRATIVE MANAGEMENT. Administrative management focuses on the management process and principles of management. In contrast to scientific management, which deals largely with jobs and work at the individual level of analysis, administrative management provides a more general theory of management. Henri Fayol is the major contributor to this school of management thought. Fayol was a management practitioner who brought his experience to bear on the subject of management functions and principles. He argued that management was a universal process consisting of functions, which he termed planning, organizing, commanding, coordinating, and controlling. Fayol believed that all managers performed these functions and that the functions distinguished management as a separate discipline of study apart from accounting, finance, and production. Fayol also presented fourteen principles of management, which included maxims related to the division of work, authority and responsibility, unity of command and direction, centralization, subordinate initiative, and team spirit. Although administrative management has been criticized as being rigid and inflexible and the validity of the functional approach to management has been questioned, this school of thought still influences management theory and practice. The functional approach to management is still the dominant way of organizing management knowledge, and many of Fayol's principles of management, when applied with the......

Words: 651 - Pages: 3

Henry Fayols 14 Principles of Management

...DEPARTMENT OF ACCOUNTING ADP/1/12/H/0460 HENRY FAYOLS PRINCIPLES OF MANAGEMENT BY: AJIBODU OLAYEMI INTRODUCTION: In this (presentation) I shall be discussing Henry Fayols 14 principles of Management. To this end, I will like to take a look at the general definitions of Management from various proponents as well as look at the meaning of principles; especially in the context of Management. Before going into the work proper, the analysis of Henry Fayols Principles of Management theory, I will render some criticism against the theory as well as some appraisals before drawing a conclusion of the significant of the theory in the modern day business environment. Definitions: the term Management is used to a large extent in the business. It describes to the fullest the “is” and “ought” of efficient and effective running business organization. Accordingly various schools have offered definitions to the concept of management such as George R. Teny; “Management is a distinct process consisting of planning, organising, actuating and controlling performed to determine and accomplish stated objectives by the use of Human beings and other resources” Peter Drucker; “Management is a multipurpose organ that manages business, manages managers, manages workers and work” Harold Koontz; “Management is the art of getting things done through and with people in formally organizes groups” The description of the varying definitions as quoted above presupposes a......

Words: 2655 - Pages: 11

Henri Fayol

...Henri Fayol was a French mining engineer and director of mines who had developed a general theory of business administration.  He was one of the most influential contributors to modern theories of management. He also identified 5 functions and 14 general principles of management in the early 19th century. These functions and principles were based on his experience and observations and were made for general administration purposes. While today’s economy may be more service oriented, one would feel the management functions set down by Fayol are still very relevant. Many of these are considered to be common sense and constitutional to sound management. These functions are: * Planning * Organising * Directing * Controlling and * Coordinating Planning is basically deciding in advance what to do and how to do it. Planning bridges the gap between where one is and where he/she wants to be. It is the primary function and is present on all levels of management. Organising is a process that commences the implementation of the plans that are set down by clarifying working and reporting relationships and effectively deploying resources towards the attainment of organizational goals. Directing involves leading and motivating employees to perform tasks assigned to them. Motivation and leadership are essential to direction. Leadership is influencing others to do what is asked of them and motivating is getting people to want to do it. Controlling is the......

Words: 1482 - Pages: 6