Henry Fayol

Presentation made for MPOB course, MBA, ASIET, Kalady

1. Henry Fayol
Presented by
JOBIN ABRAHAM
MPOB, MBA, ASIET
Prof. Nimal C Namboodiripad

2. Henri Fayol
•He was a French Mining Executive & Expert, who first
systematically analysed managerial behaviour.
•Along with FW Taylor he is considered as founder of
modern management methods.
•Unlike Taylor who was interested in the functions he
was interested in total organisation.
•Aimed at top management than shop floor.
•According to him sound management has certain
patterns which can be analysed.
•Felt management could be taught, managers need
not be born

3. Henri Fayol
•Born in Constantinople, Turkey in 1841 where his
father was a superintendent of works building the
Galata bridge that bridged Golden Horn
•The family returned to France in 1847
•Fayol graduated from the mining academy "École
Nationale Supérieure des Mines" in Saint-Étienne in
1860.
•In 1860 started working at the mining company
named "Compagnie de Commentry-Fourchambault-
Decazeville" in Commentry as mining engineer.
•Died on November 19, 1925, Paris, France

4. Career
•During his time at the mine, he studied the causes,
prevention and fighting of underground fires and
reclamation burned mining areas
•Later as director, he made changes to improve
working situation in the mines, allowing employees
to work in teams, bringing in division of labor and
changing of duties.
•In 1888 he was promoted to managing director

5. Career
•Eventually, the board decided to abandon its iron
and steel business and the coal mines.
•They chose Henri Fayol to oversee this as the new
MD.
•Upon receiving the post, Fayol presented the board
with a plan to restore the firm which they accepted.
•When he retired in 1918, the company was
financially strong and one of the largest industrial
combines in Europe

6. Fayolism
•Based largely on his own management experience,
he developed his concept of administration.
•This concept came to be called Fayolism
•Fayol's work was one of the first comprehensive
statements of a general theory of management.
•He proposed that there were five primary functions
of management and fourteen principles of
management

7. Functions of Management
•The functions of management are:
•Planning
•Organizing
•commanding
•Coordinating
•Controlling

8. Principles of Management
•They 14 principles are:
–Division of labour – when workers do same tasks
repeatedly he becomes more efficient
–Authority – is power to give orders, responsibility is
its counterpart
–Discipline – employees must obey rules of
organisation and it’s a sign of effective leadership
–Unity of Command – an employee should report to
only one supervisor
–Unity of Direction – all groups should move in same
direction

9. Principles of Management
–Subordination - Common good over individual
interest
–Remuneration - all Workers must be paid a fair
wage for their services.
–Centralisation - centralisation refers to the
degree to which lower level employees are to be
involved in decision making.
–Heirarchy – Communication should follow the
line of authority from top management to the
lowest ranks which represents the scalar chain.

10. Principles of Management
–Order – There should be specific place for men
and even machines in an organisation
–Equity – managers should be fair to employees
and equal pay should be given to equal jobs
–Stability of staff – high employee turnover is
inefficient
–Initiative – employees allowed to ideate and then
implement the ideas will be highly motivated
–Espirit de corps – promoting team spirit will build
harmony in firm

11. Books
•Fayol, Henri (1900), Bassins houillers de Commentry et de
Decazeville, excursion sous la conduite de M. H. Fayol (in French),
Paris
•Fayol, Henri (1916), Administration industrielle et générale;
prévoyance, organisation, commandement, coordination,
controle (in French), Paris, H. Dunod et E. Pinat
•Fayol, Henri (1918), Notice sur les travaux scientifiques et
techniques (in French), Gauthier
•Fayol, Henri (1921), L'Incapacité industrielle de l'État: Les P. T. T (in
French), Paris Dunod
•Fayol, Henri 1923. La réforme administrative des PTT, tiré à part,
Dunod, 1923.
•de Calan, Pierre; Fayol, Henri (1963), Renaissance des libertés
économiques et sociales (in French), Plon

12. Book - Translations
•1930. Industrial and General Administration. Translated by
J.A. Coubrough, London: Sir Isaac Pitman & Sons. (The
foundations of Henri Fayol’s administrative theory)
•1949. General and Industrial Management. Translated by
C. Storrs, Sir Isaac Pitman & Sons, London.

13. THANK YOU
Source:https://en.wikipedia.org/wiki/Henri_Fayol