Henri Fayol’s 14 Management Principles

The 14 principles of administration are a set of rules that Henri Fayol established so that the administrative process will be carried out in the most effective way.

Henri Fayol's 14 Management Principles

In other words, they are rules that will help us to properly carry out the administrative process. Each of the 14 principles are developed in a book entitled "Administration Industrielle et Générale". In Spanish, it translates as "Industrial and General Administration."

To make understanding easier, in Economipedia we have prepared a short summary.

Management principles

The 14 principles established by Henri Fayol are:

  1. Division of labour. The division of labor consists of fragmenting the tasks necessary for the production of a good or a service. This division of labor is based on strength, work capacity, specialty, and the nature of each job. So production efficiency is improved.
  2. Authority There must be the principle of authority that maintains that authority is essential to get the job done. Without authority, everything would be messy and the work would not be carried out in the right quality and on time.
  3. Discipline Not only is it enough that there is an authority, in addition, the principle of discipline dictates that all processes must be followed with strict discipline. It is useless to know everything we have to do, if then we do not comply with it. Everything always, under the values ​​of respect and education.
  4. Unity of command . An employee receives orders from a single superior. The importance of this principle lies in the fact that its absence could negatively affect other principles such as authority or discipline.
  5. Unity of direction . The activities pursue the same objective, are directed by the same plan and the same superior.
  6. Subordination . Company goals are more important than personal or individual goals. In other words, the general objectives always come first.
  7. Remuneration Although there is no ideal payment system, remuneration is important. A balance must be found between motivating work with good wages, but not excessive and appropriate to productivity.
  8. Centralization It is important to have the management of the company concentrated in some cases, since that improves the results. However, on other occasions it is more convenient to decentralize and resort to delegation. This will depend on the type of company.
  9. Hierarchy Authority runs from top to bottom. In other words, it is a type of organization with a vertical organization in which there are different levels of command.
  10. Order . The resources necessary for the activity of the company must be at the right time and place.
  11. Equity Although to maintain coherence and obtain results, according to Fayol, we must comply with principles such as authority or unity of command, the treatment between employees must be that of colleagues. Fair and respectful treatment. There may be different levels in a company, but all people deserve the same respect.
  12. Staff stability . In keeping with the division of labor, it is important to keep staff long-term. Continuously changing personnel will cause new employees to be trained and wait for them to adapt. Also, job stability will improve productivity.
  13. Initiative . Anyone can suggest ideas and these can be valued. Four eyes see more than two.
  14. Union of staff . There must be a team spirit. If they all row in the same direction, the ship will reach a good port sooner.

Criticisms of the principles of administration

Since Henri Fayol proposed these 14 principles of administration, more than a century has passed. Thus, many experts in business and team management suggest that some of these principles should be reviewed.

Companies have evolved a lot, they have different structures, staff can telework, physical offices are not necessary, etc. Therefore, although these principles of administration can be useful in some cases, we should not take them as something fixed.