This is the second of the early business management styles. The process approach was propounded by Henri Fayol in the 1920′s. As such, it is popularly known as “Fayolism.” Fayolism is a modification of Taylorism. However, the modifications made this management style very different from Taylorism as it was broader in perspective. Fayolism follows 14 principles of administration:
1. Division of work
4. Unity of command
5. Unity of direction
6. Subordination of Individual Interests to the Common Interest
7. Remuneration of personnel
9. Scalar chain
12. Stability of personnel tenure
14. Esprit de corps (Union is strength)
Fayolism believed that each organization has 16 management duties. These are:
1. To give serious thought to the plans of the company and have them firmly executed.
2. To have the required number of employees and equipment, with which the plans of the organization can be executed.
3. To set up a ‘unique direction’ (top management) which is skilled and vigorous.
4. To consult others before taking actions, in order to coordinate efforts
5. To work on formulating decisions in a clear, clean, and precise way.
6. To have an efficient recruitment, with each department being led by a skilled and active person, and selecting an employee for the position where he can perform to his potential.
7. To define clearly the job description of each and every employee so that targets and expectations are set.
8. To encourage people so that they take up initiatives and responsibilities.
9. To pay appropriately, fairly, and expertly, for the services provided to the organization.
10. To have a system of correcting faults and errors made by the employees.
11. To ensure discipline in the organization.
12. To aim at having individual interests subordinated to the organization’s interest.
13. To give special attention to the ‘unity of command’.
14. To supervise the material order and social order, in order to keep the place tidy, and to avoid strikes.
15. To verify output by applying quality control on every operation.
16. To conquer the “red ribbon” attitude.
As per Fayolism, a manager should have the following 7 qualities:
1. Health and vigor
3. Moral qualities
4. General knowledge (culture)
5. Management capacity
6. Notions about other functions (activities)
7. The strongest skills in the function managed
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