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FACULTY OF EDUCATIONAL SCIENCES
DEPARTMENT OF BUSINESS, COMMERCE AND MANAGEMENT SCIENCES
NAME.
:
LUNGAKAZI
SURNAME.
:
DUBULA
STUDENT NUMBER.
:
230679250
MODULE.
:
ECONOMICS TEACHING II
MODULE CODE.
:
ECT36WO
AUTHOR.
:
HENRY FAYOL
TOPIC.
:
LECTURER
ADMINISTRATIVE MANAGEMENT THEORY
:MS. T XABA
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Introduction
Administrative management is an essential organizational function that
guarantees the smooth operation of the company. The significance of information in
business and corporate administration is mentioned in the concept of administrative
management. In fact, administrative management is the use of people to develop and
manage the organization's structure and information. To put it another way, it involves
keeping an eye on day-to-day activities to ensure continuity and remove process
disruptions. Administrative management theory looks for a logical approach to the
overall design of an organization. A structured administrative structure, a distinct
division of work, and the transfer of power and authority to administrators pertinent
to their areas of responsibility are all commonly recommended by the theory.
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ADMINISTRATIVE MANAGEMENT THEORY BY HENRY FAYOL
According to Patrick (2021) The French mining engineer Henri Fayol is regarded as the
“Father of Modern Management Theory.” From 1888 to 1918, he was the director of
the French mining business Commentry-Fourchambault and Decazeville, where he
started as an engineer and worked his way up to general manager.
To achieve
success, Fayol concentrated on developing his organizational abilities and people
management talents rather than only his technical ones. Fayol’s management theories
became widely accepted in the early 20th century. Principles relevant to all industries
and management levels were introduced in his book Administration Industrielle et
Générale. Henri Fayol’s 14 management principles, which still influence contemporary
management practices, offered an organized approach to leadership as the Industrial
Revolution changed the workforce.
He started using a realistic management strategy.
The book “Administration
Industrialle et Generalle”4 was written by him in 1916. Three categories of
administrators can be distinguished: intermediate, top, and executive managers and
executives who make sure that resources and information flows are distributed
throughout the entire organization. They guarantee that all processes and systems
operate efficiently. To briefly describe administrative theory/classical theory, we can
state that classical scholars focused their attention on the dismantling of institutional
ideas and the official qualities of the institutions they studied.
The organization
researcher also talks about the philosophies and suggests clarifications that leaders
should consider, like the rules that support effective management. We can see that
there aren't many tests or functional observations conducted by traditional academic
organizations to determine whether the anticipated theory and proposition are
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feasible. In addition to all of this, Fayol has attempted to explain management by
including certain details about the creation of any industrial setup. "Professional
activities, business activities, economics, defense, banking, and managerial activities"
are some categories into which these activities might be divided. Fifth
HENRY FAYOL KEY PRINCIPLES
According to Arditya(2025) the 14 key principles for administrative management
theory 9f Henri Fayol are:
1. Division of work
It is important to assign work to employees in a way that allows each person to focus
on their area of expertise and contribute to the organization's output while also
finishing tasks ahead of schedule. For example Every department in a school, including
academics, athletics, administration, food and beverage, sanitation, etc., has a distinct
set of responsibilities. Employees that specialize in that department handle these
duties, which boosts production and efficiency and positions them as experts in their
industry.
2. Authorities
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Employers and superiors have the power to command their subordinate employees
and can offer them instructions on how to complete tasks, but it's important to
remember that giving orders carries a weight of responsibility. For example No
efficiency or productivity will be attained if an employee is in charge of overseeing the
décor department during event preparation but lacks the power to decide on design
or to hire vendors to do the work.
3. Discipline
The most crucial element in every organization is discipline; only by maintaining
discipline can one hope to successfully manage any management, however how
discipline is maintained. For example for work to go smoothly and provide effective
results, each employee must adhere to certain rules and regulations and keep a
disciplined attitude in the workplace.
4. Unity of command
Only one superior should provide orders to an employer; if multiple superiors begin to
do so, it might cause a great deal of confusion and conflict among the management.
Accordingly, this is crucial for the management to function smoothly. For example An
employee's immediate boss may assign them a task that they must complete in three
to four hours. However, the department director requests that they complete the
assignment in an hour. In this situation, a lack of unity of command may lead to
misunderstandings and stress at work.
5. Unity of directions
Teams with similar goals ought to be guided by a single manager and follow a
single plan. This will guarantee effective coordination of action. For example To
prevent misunderstandings and decreased workflow efficiency, distinct
supervisors should oversee distinct sets of operations inside a department.
6. Subordination of individual interest to the general interest Everyone's interests
must be considered when working in management; that is, the management's
interests must take precedence over individual interests in order for everyone
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to gain. For example When organizing a team outing, the employee who is
choosing where to go and how long to stay must consider comfort and cost,
not just personal preference.
7. Remuneration
an employee is content, they will perform to the best of their abilities. This
includes both non-monetary methods of satisfaction, like a positive work
environment, and monetary ones, like bonuses, promotions, and remuneration.
For example Any organization’s compensation policy must be equitable, and all
workers—regardless of their gender, length of service, or other characteristics—
must be paid for their hard work.
8. Centralization
According to Fayol, centralization is a strategy for downplaying the importance
of the subordinate role inside the company. Additionally, the type of
organization the manager works for determines how hierarchical or
decentralized the power is. For example In small and medium-sized businesses,
where owners make the majority of the decisions and little work is delegated,
centralization is most prevalent.
9. Solar chain
The employee's sense of self is crucial. Self-identity is defined as the ability to
better understand one's own authority and rights by knowing one's place within
the organization, including one in management. For example To ensure efficient
school operations, department leaders in a school get reports from teachers
and then communicate with principals and district administrators.
10. Order
The workspace should be hygienic, with everything arranged clearly and neatly to
prevent confusion and staff always knowing where they need to go. For example To
perform their jobs effectively, employees need have a dedicated workspace and the
appropriate tools or equipment.
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11. Equity
The supervisor should always treat all subordinate staff members equally, with
equal respect, without bias, and with kindness. For example All workers must
have equal opportunity to develop and succeed in their careers inside the
company, regardless of their gender, sexual orientation, color, religion, or other
characteristics.
12. Stability of staff tenure of personnel
Managers will make an effort to minimize employee turnover. so that all levels
of stability can be preserved. Therefore, the primary goal is to reduce the
number of employees and focus more on individual effort. For example To
improve morale, former workers should get alumnus awards after reaching
specific tenures.
13. Initiative
Employees should be granted some autonomy since only then will they be able
to perform to the best of their abilities. Otherwise, they will become very
rigorous in their approach and their creative abilities would be overwhelmed by
excessive restrictions. For example Employees may feel more in control and
that they are contributing to the team’s success if their proposals are taken into
consideration for their particular area.
14. Espirit de corps
Since group work necessitates coordination, communication, and abilities, team
spirit and unity are crucial. Working as a team in management will guarantee
that all opinions are heard. For example Using the phrase “We” rather than “I”
when talking about the new strategy for reaching the goals for next month
fosters a sense of teamwork.
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EDUCATIONAL IMPLICATIONS OF ADMINISTRATIVE MANAGEMENT
THEORY
1. Create teams and division of labour based on employee expertise
Promote the division of labor and think about putting your staff members in
groups that play to their individual talents. According to Denizot, "specialize
tasks to enhance productivity and efficiency." "Assign employees to roles
that correspond with their training and expertise, for example." The team
members may rely on and support one another, which will strengthen their
job, if you form a group where each person specializes in a separate area.
You will need to fully comprehend and value each employee's distinct area
of expertise in order to accomplish this.
2. Unite employees through shared goals
Fayol promoted a team mentality in which employees shared objectives. In
line with this idea, Denizot recommended that organizations adopt a unity
of direction approach. She advised the team to "align all efforts toward a
common objective." "For instance, start group projects with clear objectives
and assigned duties." Team members will become closer as a result of
working together to accomplish a goal, which will improve their rapport and
future collaboration skills. When there is strong teamwork, everyone is
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encouraged to accept responsibility for their mistakes without worrying
about the consequences or retaliation.
3. Motivate employees with compensation
Employers are supposed to pay their employees when they go above and
beyond the call of duty under Fayol's approach. It is unreasonable to expect
your staff to put in long hours or take on more duties, as this could lead to
conflict and animosity. Give your staff credit for their efforts by rewarding
them with bonuses, overtime pay, or paid time off. Employees should be
given raises and promotions if you value their contributions. This
demonstrates to your staff how much you value their contributions to the
team. Additionally, Fayol promoted non-cash rewards such as prizes,
getaways, or honors.
4. Organise leadership clearly
5. Fayol's management style emphasizes a top-down power structure in which
managers make sure staff members follow rules and guidelines as precisely
as possible. You can set up a clear leadership hierarchy, but it might not be
appropriate for every small firm. Leaders should be aware of their
obligations to the company and the staff members they manage. Your team
members should, in turn, always be aware of who to contact for various
problems.
"The
theory
encourages
leaders
to
define
roles
and
responsibilities to ensure organizational alignment of work and tasks for
clarity in the workplace," Rymsha stated. "The pursuit of unity among
leaders and the upholding of order to guarantee resource alignment also
have their beauty.
Make a communication flow chart or contact list to ensure that your
leadership
team
is
reachable.
You
can
save
time
and
prevent
misunderstandings when everyone is aware of who is responsible for what.
For many modern businesses, “matrix management” is the preferred
organizational structure.
Employees today are more interested in
occupations that are exciting and demanding. Even though the division of
labor allows workers to concentrate in particular talents, once they are
proficient in those areas, they look for more difficult opportunities.
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Additionally, businesses have reduced the number of employees they had
by hiring multitaskers who are eager to learn new things outside of their
areas of competence. This has made it easier for businesses to compete
with the top workers in their industry.
•
ADVANTAGES OF ADMINISTRATIVE MANAGEMENT THEORY BY
HENRY FAYOL
According to Sean Peek (2025)the advantages and disadvantages/ criticism
of Henry Fayol’s administrative management are:
1. Clear Structure
This theory gives an organization a defined structure. Everyone will
understand what has to be done because it places each person's tasks
and responsibilities in a clear and concise manner. Errors and
misunderstandings are avoided with form. In this manner, the tasks are
completed on time, and the person is aware of both their tasks and their
report.
2. Better decision making
The theory of administrative management helps executives make better
decisions. It forces managers to consider the big picture and think things
through before acting. The theory focuses on gathering data and using
it to solve issues. By doing this, bad choices that could affect the entire
company are avoided.
3. Efficiency
The theory aims to improve the efficiency of businesses. It places a
strong emphasis on making sure that assets like cash and time are used
efficiently. Everyone can work more efficiently and quickly if tasks are
planned and there are clear guidelines. Businesses may accomplish their
goals with efficiency without wasting money.
4. Enhanced communication
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This approach helps to improve communication, which is important in all
organizations. It encourages managers and staff to speak honestly and
openly. People can exchange ideas and are aware of what is happening
when communication is done correctly. This facilitates quicker problemsolving and facilitates teamwork.
5. Goal Achievement
The theory of administrative management helps businesses stay focused
on their objectives. It encourages organizing and setting clear goals.
Everyone may more easily work toward the same goal when duties and
responsibilities are organized. When everyone is on the same page and
understands their job, achieving goals becomes easier.A lot of private
organizations now use performance-based pay systems, which are
reward based on performance. Employees are now inspired to reach
their full potential and potential because of this. The Today’s industries
are losing hierarchical decision-making. It has been noted that reducing
hierarchical components and adjusting to a cooperative culture might
maximize creativity. Businesses today prioritize flat, less structured, and
hierarchical decision-making structures.
Employee commitment is attained when the organization takes the
worker’s interests seriously. While workers in the past fought for equity,
companies now give their dedicated staff members a “sense of
ownership.”
• In the current organization, tenure stability of workers is not very
important. Many middle management positions have been flattened by
downsizing measures, which have also improved the jobs of lower-level
employees.
This has aided in cost reduction and retaining a loyal
workforce.
The International Labour Organization (ILO) projected that by the end
of 2009, at least 20 million jobs will have been lost due to the global
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recession that lasted from 2008 to 2012, primarily in the auto, finance,
real estate, and construction industries. This enormous number serves
as an illustration of the unpredictability of employee tenure in the
modern era and the fact that it is influenced by a variety of
circumstances, including the organization’s exposure to the global
economy.
• In the modern environment, maintaining esprit de corps is
impractical. These days, businesses are hiring more and more people
on a project and temporary basis. Additionally, staff morale has tended
to decline as a result of downsizing plans and the possibility of layoffs.
DISADVANTAGES OF ADMINISTRATIVE MANAGEMENT THEORY BY HENRY
FAYOL
1. Too much emphasis on the rules
This theory is largely based on protocol and regulations. Rigidly following
the rules might occasionally give the impression that work is less
innovative. Even when there are better or novel ways to do a task,
people will still feel compelled to follow the rules. People will be unable
to be adaptable or think creatively as a result.
2. Lack of personal freedom
Employees in companies that apply this philosophy typically have limited
options for what they do. They might be told to follow the manager's
instructions at all times, which could be boring or limiting. If people
aren't allowed to voice their own opinions, they might not be driven.
Less passion and interest in their work may result from this.
3. Slow to adapt
Organizations that adopt Administrative Management Theory may find it
difficult to adjust quickly. It can be challenging for the business to swiftly
adjust when something new happens because the focus is on structure
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and regulations. This would imply that the company might miss out on
fresh chances or fall behind faster-moving rivals. Businesses may find it
challenging to change if they are stuck in outdated practices.
4. Over dependent on managers
This approach gives managers a lot of power, which could be
problematic. Employees may occasionally feel that their ideas and efforts
aren't valued as much. If managers make all of the choices, the
organization may lose its sense of unity. Employees may feel less valued
or important within the organization as a result.
5. Too much control
Excessive control at the top might be a consequence of administrative
management theory. Employees may not feel trusted if supervisors have
complete control. They may believe that their opinions and inventiveness
are unimportant. Low staff morale and a lack of teamwork may arise
from this.
6. Limited point of reference
Research was never done by Fayol to support his theory. Rather, he
grounded it in his own experience as a coal mine manager. Fayol’s
management theory is therefore sometimes regarded as out of date for
the modern workplace and may not be applicable to a wide variety of
organizations and teams. Furthermore, he frequently applied the
concepts just to managers and supervisors, ignoring the experience of
employees.
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Conclusion
Henri Fayol is still considered one of the most significant management
theorists of all time because of his contributions to Administrative
Theory.This is obviously well earned because his theories have endured and
influenced reputable advances ever since. Fayolism is therefore a worthwhile
topic for research and should be preserved as managerial reference
material.
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References
Bright, D. S., & Cortes, A. H. (2019). Principles of management. OpenStax.
https://openstax.org/details/books/principles-management
Fayol, H. (1949). General and industrial management. Sir Isaac Pitman &
Sons,
Ltd.
https://archive.org/details/in.ernet.dli.2015.13518/page/n5/mode/2up?q=
elements
The Open University. (2020). Discovering management.
The Open University. (2012). Jules Henri Fayol.
University of Minnesota. (2015). Principles of management.
Witzel, M. (2003). Fifty key figures in management. Psychology Press.
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