Principles of Management Henri Fayol’s 14 Principles of Management Henri Fayol, a French industrialist, developed 14 fundamental principles of management that guide managers in their daily operations and decision-making processes. These principles form the foundation of modern management practices. 1. Division of Work: Specialization increases output by making employees more efficient. 2. Authority and Responsibility: Managers must have the authority to give orders and the responsibility to ensure they are obeyed. 3. Discipline: Employees must respect the rules and agreements that govern the organization. 4. Unity of Command: Each employee should receive orders from only one superior to avoid confusion. 5. Unity of Direction: Each group of activities with the same objective should be directed by one manager using one plan. 6. Subordination of Individual Interest to General Interest: The interest of one employee should not prevail over the interest of the organization. 7. Remuneration: Workers must be paid fairly for their services. 8. Centralization: The degree of centralization depends on the situation and organization’s nature. 9. Scalar Chain: A clear line of authority from top to bottom must be maintained for communication and hierarchy. 10. Order: There should be a place for everything and everyone, and everyone should be in their proper place. 11. Equity: Managers should be kind and fair to their subordinates. 12. Stability of Tenure: High employee turnover is inefficient; management should provide job security. 13. Initiative: Employees should be encouraged to think and work independently within their authority. 14. Esprit de Corps: Promoting team spirit will build harmony and unity within the organization. These principles emphasize structure, discipline, coordination, and employee welfare, all of which contribute to organizational success.