14 Principles of Management by Henri Fayol

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The work in an organization must be divided among individuals and departments. Different departments differing jobs 2. Authority and Responsibility: There should be a proper balance between authority and responsibility. Higher up the ladder should have more responsibility 3. Discipline: The best means of maintaining discipline is to have: Disciplined superiors at all levels, Clear and fair agreements, and Judicious use of all penalties. 4. Unity of Command: It means a subordinate should receive orders from only one superior. There should not be multiple bosses. 5. Unity of Direction: There should be 'one head, and one plan' for a group of activities having the same objective. For instance, if there are 10 salesmen, selling the same product in the same area, and if there are 2 sales supervisors, each in charge of 5 men, then every salesman would take orders from their respective supervisors. There will be unity of direction only when all the sales plans are coordinated at a higher level. 6. Subordination of individual interest to general interest: In other words, the interest of the organization should come first and then individual or group interest. This can be ensured by: Good example on the part of superiors, Having fair agreements, and Constant supervision. 7. Remuneration: Wages and salaries should be fair. It should depend on circumstances, such as cost of living, ability of the company to pay, prevailing wage rates in the industry. Apart from financial benefits, non-financial benefits be provided such as good working conditions, canteen facilities, recreation facilities, etc. 8. Centralization: Certain matters are to be centralized and others to be decentralized. There is a need to have a proper balance between centralization and decentralization. 9. Scalar Chain: It refers to the line of command from top level to

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