The principles of management and administration serve as guidelines for managers to achieve organizational goals effectively. These principles, widely recognized in management theory, include:
1. Division of Work
Specialization increases efficiency and expertise. Tasks are divided among individuals based on their skills.
2. Authority and Responsibility
Authority is the right to give orders, while responsibility ensures accountability. A balance between the two is crucial.
3. Discipline
Rules and procedures must be followed for smooth operations. It encourages respect and compliance.
4. Unity of Command
Each employee should receive orders from only one superior to avoid confusion.
5. Unity of Direction
Teams should align their efforts toward a single objective.
6. Subordination of Individual Interest
Organizational goals take precedence over personal interests.
7. Remuneration
Fair compensation motivates employees and ensures their commitment.
8. Centralization and Decentralization
The degree of decision-making authority is determined based on organizational needs.
9. Scalar Chain
A hierarchy exists to establish clear lines of authority and communication.
10. Order
Resources, including people and materials, must be organized efficiently.
11. Equity
Fair treatment fosters loyalty and motivation among employees.
12. Stability of Tenure
Retaining employees ensures continuity and reduces costs associated with turnover.
13. Initiative
Encouraging employee creativity and initiative promotes innovation.
14. Esprit de Corps
Teamwork and a sense of unity build a stronger organization.
These principles were famously outlined by Henri Fayol, often referred to as the father of modern management.
