Observing Henri Fayol's Management Principles in Modern Organizations: What Has Changed Since 2009?

Gayatri panda
Which of Henri Fayol's principles of management do you observe in today's organization? How were they used in 2009-2010? Explain with examples of companies.
elegantmadhu
Hello, I newly joined this site. I think the application part of Henry Fayol's principles should be known to everyone.

Thank you.
hrtechindia
Hello Everyone,

Gayatri, first of all, please start all your sentences and requests with the words "Please," "Kindly," or "Requesting." You are so rudely asking for a request, which doesn't look like one.

Thank you, everyone.

Vikna Prakash S.
Asst. HR Manager
ajayaatreyasa
Hi Gayatri,

If you are a student and this is an assignment, please do self-study, self-analysis, and self-learning. Please refrain from asking here. If you want to understand the application part of it, it all depends on how you visualize it. Please refer to this thread: https://www.citehr.com/137134-14-pri...nri-fayol.html. I am providing you with an example of Centralization here.

The Concept of Centralization

A revealing example is that of Johnson & Johnson. The company standardized (centralized the process aspect, in other words) R&D activities and manages these efforts as a single research portfolio. At the same time, the sales and manufacturing processes are dealt with decentralized to enable decisions tailored to specific circumstances and products.

I hope you now understand and can apply it.

Regards,
Ajay
ajayaatreyasa
Gayatri, is this your assignment? You are asking question after question. Please do a simple search on this site. If you can't do that either, I guess nobody will answer your queries. I'm sorry to say that.
suri_pummy
All the 14 principles are self-explanatory and are used in all the companies, but the degree to which they are used to extract something from the employees varies.

For example, in any IT company, the remuneration would be different when compared to an employee of the manufacturing sector. In IT, the HR wants to retain them, so a good pay package is given, but not in the manufacturing sector where people look at career growth, development, etc.

Unity of command and direction is used in all the companies, but SONY ERICSSON, if I am not wrong, has a virtual organization, so there they have changed the concept according to their convenience.
viruses.dntworry
Authority: In today's SMEs, holding the authority and delegating the responsibilities has become an important aspect where every management is playing a toss. Due to the dynamic nature and rapid expansion of business, the trust factor between employer and employee has been reduced, which used to be there before when employees used to work in the same company for their lifetime. It's a fact that for the smooth running of the business, authority and responsibility should go hand in hand.

The solution that modern entrepreneurs or management have found, though not foolproof, but works well, is the implementation of good ERP software, which at least helps to integrate the data of all the transactions in the company. In this way, they have improvised the principle with an additional but correlated term, which is control.

Division of Work: The meaning of Division of Work or the word specialization is slowly changing. Now, most employers want their employees to specialize in something, but they also encourage knowing the other functionalities of the business. So, if you are a student and your teacher wants you to be focused in life, you must know that the teacher is narrowing your vision; always be dynamic.

Discipline: I don't still feel any change has happened.

Unity of Command: This is true for big organizations, but a small organization cannot afford one boss for an employee. The management generally takes care of the issues regarding conflicts. The boss-subordinate relationship plays a great role here and in modern business, it works.

Remuneration: To give an example, a lot of companies have opened creches and children's playing grounds in office premises. This is to make the mother feel comfortable that her child is in safe hands. Many companies are into aspects like these for motivating the employees and retaining them.

Subordination of Individual Interest: Not everybody is working for an NGO. But when looking at it from a holistic view with long-term perspectives and for brand image building, the management has to follow certain rules and make sacrifices.

Scalar Chain: Many companies are operating in a flat structure, meaning there is no boss. Each set of employees handles a particular project, with the sales team taking care of sales and the HR team taking care of employees. Projects are allocated by functional teams according to the competitive advantage of the individual teams.

Stability of Tenure of Personnel: Most employees in this modern business world do not look for stability in the organization because they know if they are efficient, they will easily get another job. Now, they look for comfort, locality preferences, job profile, salary structure, growth potential, etc.

Involving employees to take initiative and team spirit building are two of my favorite principles that Sir Henry Fayol has recommended, and I do believe that to grow in this modern dynamic world, as a manager, you need to see whether everyone who is supporting you is growing at the same pace. Otherwise, you will find after a certain point that there will be no one to support your growth.

I think I have tried to support your query and hope it will be useful. It's an always changing world, so no theories can be permanent. It's a continuous improvement process based on logic and practicability. I do admit that Henri Fayol has provided a foundation on which you can customize, configure, or develop your own logics and make the whole thing work better.

Regards,
Soumitra Rakshit
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