The following simple figure illustrates the above concept: In the scalar chain, each upper link is a superior; each lower links a subordinate. However, he disagreed with the notion that management requires an individual to possess some management traits… Henry Fayol is a French Mining Engineer, who developed the concept of general theory of administration and given 14 principles of management. The concept of ‘equity’ implies a sense of ‘fairness and justice’ to all working in an enterprise. The concepts and principles of Fayol have stood the test of time and form part of the modern science of man­agement. Remuneration of personnel is the price paid or payable to people – managers and workers – for their services rendered towards the attainment of the enterprise objectives. He clearly specified the functions of management by a systematic analysis of management process. Fayol also created a list of the six primary functions of management, which go hand in hand with the Principles. He is, therefore, ‘the real founder of modern management’. (8) Centralisation (i.e. For effective management of organization, there are certain aspects that have to be obs… Criticism: The contribution of Henry Fayol in the field of management thought is very important. He was one of the significant contributors to today’s prevalent modern concepts of management and is often referred to as the true father of strategic management or the real father of modern management theory (Kontz & Weihrich 2010). A contemporary of Taylor, Fayol for the first time attempted a systematic analysis of the overall management process. Fayol’s contribution to management is unique and valuable. Plagiarism Prevention 4. For example in the above figure, as between B and C, B is a superior and C his subordinate; as between C and D, C is a superior and D his subordinate; and so on for all other links in the scalar chain. managers) with grades of authority ranging from the highest to the lowest. Henri Fayol developed a theory of management administration, which is commonly known as Fayolism.focuses on the top managers and their actions. A conceptual framework has been given by him for analysing the process of management. Content Filtration 6. Fayol wrote as a practical man of business reflecting on his long managerial career and setting drown the principles he had Account Disable 12. Management must, therefore, strike out a balance between centralisation and decentralisation; a rightful compromise between the two, which under the circumstances will give the best overall yield, in terms of most efficient and smooth functioning of the enterprise. Responsibility, is the reverse of authority; whose essence is an obligation owed by a subordinate to the superior (from whom authority is received) for the proper performance of the job for which authority is granted to the former. He not only saved a large coal and steel company from bankruptcy, but also led to crowning success. Content Guidelines 2. Plagiarism Prevention 5. Scalar chain might be defined as the chain of superiors (i.e. “His contribution to the theory of management … Henri Fayol’s Principles of Management Henri Fayol (1841- 1925) developed a general theory of business administration. Discuss som recent contribution to management thoughts? Revolution of the 19th Century has paved the way to the development of an organized systematic approach to management.In the classical approach, there are two main subgroups: Scientific management of Frederick Taylor and … Privacy Policy 9. Therefore, his contributions to management have been integrated in the modern management aspects (McLean, 2011). Henri Fayol, born 29 July 1841 in Istanbul and deceased on the 19th of November 1925, was a French mining director and engineer, who analyzed and synthesized a theory of management called Fayolism. finances), (iv) Security activities (relating to protection of the properties and personnel of the enterprise). Copyright 10. Principles of Management by Henri Fayol Henri Fayol is claimed to be the real father of modern management. They are: 1. Henri Fayol is viewed as an avant-garde in the field of management, a trailblazing classical theorist who pioneered many of the ideas, principles and functions upon which the study and application of this subject is built today. November 1925 in Paris)[1], französischer Bergbauingenieur, ist der Begründer der (französischen) Management- bzw. Fayol made distinction between management principles and management elements. ‘similarity of guidance’. It is, in fact, one of the keenest desires of, at least, an intelligent employee, to have initiative in matters relating to his work. He and his colleagues developed this theory independently of scientific management but roughly contemporaneously. Observance of equity, alone would make personnel loyal and devoted to the organisation. It is the power inherent in a managerial position which enables a manager to command subordinates to work towards the attainment of enterprise objectives.