JO HEINRICK G.

AZUELO BSN 4B Nursing Leadership and Management

Topic: Universal Principles of Management (Fayol’s Principles of

Management)

Since we are done with topic that provided us with an overview what is management and its definition.
We are now moving to the Universal Principles of Management. But before that, let me introduce myself,
I am Jo Heinrick Azuelo your reporter for the day.

Our objectives for this topic are as follows:

1. Be able to have a background who is Hanri Fayol

2. Be able to define what is Principle of Mangement
3. Be able to have an in depth understanding regarding the principles of management; and
4. Be able to apply the learnings of this topic in undertaking of Nursing leadership and management.

Content:

Part 1.

Henri Fayol (Photo)

Henri Fayol, was one of the first theorists to define the function of management. He is also known as the
‘father of modern management theory’ gave a new picture on the concept of management. He identified 5
functions of management, which he labelled: planning, organizing, commanding, coordinating and
controlling wherein it would be tackled in depth by one of my student nurses. These duties, according to
Henri Fayol, are universal, and every management performs them in their everyday work.

Henri Fayol also established 14 broad management and organizational concepts. These 14 principles, in
part, present normative advice on how managers may effectively master and execute their five managerial
functions.

Definition of Principles of Management

Management Principles are rules universally applicable to achieve the sought objectives of the
organization. This also Guides the decision making of the manager- Fayol, H. (1916) General and
Industrial Management.

Management principle are developed by two experts

Fredrick Winslow Taylor- Coined the concept of scientific management whose principles are meant for
operational or supervisory management.

Henri Fayol- Formulated the 14 principles of management whose purpose is to be applied in general
administration.

*Before proceeding ask 5 student nurses what are their guiding principle/s in achieving their goals.

Part 2.

With Henri Fayol’s aim to concentrate in accomplishing managerial efficiency, he formulated the 14
principles of management.

*Guessing game would be then initiated by the reporter

1. Division of Work
As for this principle, the work should be delegated to person who can do it the best way to reduce overall
wastage of resources.
Division according to specialization of work, according to Henri Fayol, improves the productivity,
efficiency, accuracy and speed of the workers.
JO HEINRICK G. AZUELO BSN 4B Nursing Leadership and Management

2. Authority and Responsibility

These two terms should be understood in depth since they go hand in hand and Fayol emphasized that
there should be balance between the two. To define, Authority means the right to give commands and
receive obedience from subordinates. Responsibility is the obligation to perform the duties on time which
he/she is held accountable for.
3. Discipline
Employees must follow instructions, and the company should emphasize the significance of doing so.
Without discipline, nothing can be accomplished. It is the core value for any project or any management.
Good performance and sensible interrelation make the management job easy and comprehensive.
Employees good behavior also helps them smoothly build and progress in their professional careers.
4. Unity of Command
Every employee should only have one boss to report to, from whom he/she gets instructions of being
accountable for. We all know that we cannot serve two masters at a time.
This simply means an employee should have only one boss and follow his command. If an employee has
to follow more than one boss, there begins a conflict of interest and can create confusion/chaos which
delays decision making.
5. Unity of Direction
The work and efforts of the organization as a whole, must be in the same direction.
Whoever is engaged in the same activity should have a unified goal. This means all the person working in
an organization should have one goal and motive which will make the work easier and achieve the set
goal easily.
6. Subordination of Individual Interest
The individual interest of an employee should never take precedence over the interest of the organization.
This indicates a company should work unitedly towards the interest of a company rather than personal
interest. Be subordinate to the purposes of an organization. This refers to the whole chain of command in
a company.
7. Remuneration
Employees should always be paid a fair payment for their services to the organization to ensure their
satisfaction and increase productivity.
This plays an important role in motivating the workers of a company. Remuneration can be monetary or
non-monetary. However, it should be according to an individual’s efforts they have made.
8. Centralization and Decentralization
Fayol emphasized that there should be balance between the two terms. Centralization is when the top
level retains authority. Decentralization is when there is delegation of authority to all level.
*Students will be confused because of unity of command principle.
In any company, the management or any authority responsible for the decision-making process should be
neutral. However, this depends on the size of an organization. Henri Fayol stressed on the point that there
should be a balance between the hierarchy and division of power making it partly centralized and partly
decentralized.
9. Scalar Chain
A chain of authority and communication must exist that flows from highest to the lowest level, to avoid
chaos and delay.
Communication from the top of the organization to the employees should always follow a scalar chain of
command, meaning that communication should preferably flow top-down.
Fayol on this principle, highlights that the hierarchy steps should be from the top to the lowest. This is
necessary so that every employee knows their immediate senior also they should be able to contact any, if
needed.
JO HEINRICK G. AZUELO BSN 4B Nursing Leadership and Management

10. Order
There must be a proper place for everything/everyone and everything/everyone is in its intended place.
*Provide example
Men and material should be at their designated place at the right time.
A company should maintain a well-defined work order to have a favourable work culture. The positive
atmosphere in the workplace will boost more positive productivity.
11. Equity
There should always be a principle of fairness about how the organization treats its employees.
Equity implies kind, just and fair behavior of manager toward workers, creating a friendly atmosphere
between superior and subordinates.
All employees should be treated equally and respectfully. It’s the responsibility of a manager that no
employees face discrimination that is regardless of cultural background and other related factors.
12. Stability
Employee turnover should be reduced to ensure effectiveness and efficiency.
An employee delivers the best if they feel secure in their job. It is the duty of the management to offer job
security to their employees.
13. Initiative
Employee needs to be motivated to put forward their ideas or suggestion and execute them.
The management should support and encourage the employees to take initiatives in an organization. It
will help them to increase their interest and worth.
14. Esprit de Corps
A French word for team spirit.
It is the responsibility of the management to motivate their employees and be supportive of each other
regularly. Developing trust and mutual understanding will lead to a positive outcome and work
environment.

Part 3. Summary
Henri Fayol's 14 principles had a significant influence on the design of organizations in the francophone
world, and many of today's modern firms throughout the world still display many of Henri Fayol's
management and organizational qualities.

Reference/s:

Fayol, H. (1916) General and Industrial Management.

http://www.businessmate.org/Article.php?ArtikelId=226
https://byjus.com/commerce/henri-fayol-14-principles-of-management/
https://www.linkedin.com/pulse/5-functions-management-henri-fayol-kalpesh-shah
Marquis, Blessie L. and Huston, Carol J. (2017). Leadership roles and management functions in nursing:
theory and application. Philadelphia : Wolters Kluwer Health, (9th) pp 74-87.