French mining engineer and director of mines who
developed a general theory of business administration.
He and his colleagues developed this theory independently
of scientific management but roughly contemporaneously.
He was one of the most influential contributors to modern
concepts of management
5. Planning - examine the future and draw up plans of
Organizing - build up the structure, material and
human, of the undertaking;
Coordinating - maintain activity among the
Controlling - bind together, unify and harmonise
activity and effort;
Commanding- see that everything occurs in
conformity with policy and practise.
6. Classification of Management
buying & selling -
FINANCIAL - search
for an optimum use
SECURITY - of
property & personnel
ordination & control. 6
7. Relative importance of requisite
abilities of personnel in
Table 1 - Personnel of the TECHNICAL FUNCTION:
Workman 5% 85% - - 5% 5% 100%
Foreman 15% 60% 5% - 10% 10% 100%
25% 45% 5% - 10% 15% 100%
30% 30% 5% 5% 10% 20% 100%
Head of Dept 35% 30% 10% 5% 10% 10% 100%
Manager 40% 15% 15% 10% 10% 10% 100%
8. Principles of Management
Division of work: Each job and work should be divided
into small task and should be assigned to specialist of it.
Authority and responsibility: Authority means right to
give order and command while responsibility means to
Discipline: Discipline is required at every level in every
Unity of command: A subordinate should receive order
from only one boss.
9. Unity of direction: It means that all the works of an
organization must work together to accomplish a common
objective in under one plan and head.
Subordination of individual interest to common
interest: Worker follows the common interest of
organization rather than individual.
Remuneration: Remuneration should be fair and
adequate. It includes both types of incentives financial as
well as non financial.
Centralization: There should be one central point in
organization which exercises overall direction and control
of all the parts.
10. Scalar Chain: Scalar chain is the chain or line of
command from superior to subordinates.
Order: Only proper order can give an efficient
Equity: Equity creates loyalty and devotion among the
11. Stability of tenure personnel: Retaining productive
employee should always be a higher priority of
Esprit de corps: Fayol said that in union there is
strength. Whole organization should work as a team.
Initiative: Manager should be encouraged the
employees Initiative for creative working.