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Transcript

Summary

  • One person in charge that gives orders and takes key responsibilities.

  • Clear communication between each level of the organization is present (from customers/clients to the CEO; upside-down pyramid).

Real Life Example

Person Behind Theory and Background Information

  • The staff/employees would go to the middle manager to report any problems or suggestions in the department and take orders. The middle manager would then report to the head owner of the store and, if needed, the CEO of the entire company would be contacted.

  • An example would be a customer suggesting a better layout of products in the bakery department of Food Basics. A staff member would report the suggestion to the middle manager, who would then go to the head owner. The owner may possibly talk to the CEO of the business.
  • Year of birth to death: 1841-1925 (born in France)

  • French Engineer

  • Manager of French mining corporation called “Compagnie de Commentry-Fourchambeau-Decazeville”. He was managing director for 30 years.

  • Fayol might have thought he needed to improve the way managing worked in the corporation, which might have lead to the development of the administrative principles.

Henry Fayol

Analysis

Key Principles

  • Scalar chain principle – unbroken line of communication from the top to the bottom of the organization.

  • Unity of command principle – each person should receive orders from one boss.

  • Unity of direction principle – one person in charge of all similar activities.

Yes, I agree with all of principles in the theory. A clear communication needs to be made within the members of the company to create a smooth-running, efficient business. A head individual is needed to be in charge of making the final decisions in the company; however they can take ideas and suggestions from other individuals in the business. Having more than one person in charge could lead to conflicts/disputes and prevent the company from progressing or improving.

Administrative Principles

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