International Management: Analysis of Henri Fayol's Principles

This essay explores the principles of management in an international context, focusing on Henri Fayol's theories and their practical application. It begins by introducing the concept of business management and its various functions, highlighting the importance of efficient coordination within organizations. The report delves into Henri Fayol's background, his contributions to management theory (Fayolism), and his 14 principles of management, including division of work, authority and responsibility, discipline, unity of command, and others. The essay further illustrates how these principles are applied in a real-world scenario, using Domino's as a case study to demonstrate the practical relevance of Fayol's concepts in optimizing business operations and achieving organizational goals. The conclusion reinforces the significance of Fayol's principles for the smooth functioning of any business, especially in navigating unexpected challenges and fostering coordination among various functions.

Management and
Managing in an
International Context an
introduction

Table of Contents
Introduction......................................................................................................................................3
Main Body.......................................................................................................................................3
About Henri Fayol.......................................................................................................................3
14 Principles of Management......................................................................................................3
Application of management principles in Domino's-..................................................................5
Conclusion ....................................................................................................................................6
References........................................................................................................................................7

Introduction
The process of managing and bringing efficient coordination among the activities of the business
organisation is known as business management. It is consist of various functions i.e., planning,
organising, staffing, directing and controlling, which together make it easy to simplify the
activities in the companies (Ramakrishna, 2019). There are various advantages of business
management which can be seen in the functioning of the several departments of the company.
This report is related to one of the famous management thinker Henri Fayol who had stated
various theories to explain the working of business management in an organisation and its
effectiveness to accomplish the goals.
Main Body
About Henri Fayol
Henri Fayol was born on July, 29 1841 and the theories which have been given by him is
commonly known Fayolism. By profession he was an engineer and worked as mining engineer,
executive, author and director, apart from this he has also contributed in developing different
types of studies. Once Henri Fayol was asked for to explain a brief document which basically
related to the self ignition of coal exposed to the air (Mudliar, and Koontz, 2021). In the year
1888, he got an opportunity to work as an head of the mining company in which he was working
as an employee, this company is constitute of around thousands of workers. Various
achievements has been experienced by the team with the help of efficiency and good command
of Henri Fayol on the working and management of different elements which are necessary for
the functioning of the mining company. He is also known as father of management for his
working and contribution in the formation of different theories and studies which are important
source in managing the activities of the business.
14 Principles of Management
 Division of work- According to this principle of, for the optimum result of any work it is
necessary to distribute the work in the different department according to the ability of
workers.
 Authority and responsibility- This principle of management states that shifting of
authority to the employees, in order to develop the sense of responsibleness is important
to generate the efficiency in the working of the firm.

 Discipline- It is related to giving priority to the values and work ethics among the
employees, because in the absence of these factors, it could be difficult for the company
to attain their desired goals.
 Unity of command- With the help of this principle Henri Fayol wants to convey that for
the proper functioning and avoiding any kind of disruption among the management, it
important for the employees to follow the guidance of single person or leader.
 Unity of direction- Each and every worker of the company have to focus and and work
in the same direction, as it will speed up the process of achieve the organisational
objective which has been decided by the company.
 Subordination of individual interest to general interest- As per this principle of
business management, no one should focus on completing their own interest, fulfilling
organisation's interest should be considered as only motto of the company (Kaul, 2020).
 Remuneration- It is the main component through which a business institution can
increase the morale of their employees to work more in productive way and increase the
revenue of firm (Singhi, and Angurana, 2019). By praising and remunerate the workers
for their contribution will also assist in developing a good business culture.
 Centralization and decentralization- In this principle he has mentioned that there must
be a balance in decision making process of the company, which means proper authority
should be given to all the head of the management.
 Scalar chain- According to this, all the activities should be performed in an arranged
order which should not be break at any cost, as this may result in the inefficiency among
the department which can reduce the productivity of the firm.
 Order- There must be proper availability of resources and workforce, as and when
company needs it. Along with this, all these factors should be utilized in the best by
avoiding any kind of wastage.
 Equity- It is important to treat everyone equally in the organisation and there must be no
discrimination on the basis of race, gender, religion, culture, language, etc. Company
should focus on providing fair chances to each employee so that they can prove
themselves.

 Stability- It is concerned with the retention of employees in the firm for the longer period
of time which will support in diminishing the additional cost which is related to the hiring
of individual for the specific job role (Jain, 2021).
 Initiative- With this principle Henry Fayol is presenting his view in respect to the
encouragement which is needed for the employees so that they can take necessary steps
regarding the fulfilment of activities and to begin new project.
 Esprit de corps- The last principle of management is related to the concept of team work
which is very important for any type of business organisation as it will prevail better and
positive working environment.
Introduction of these principles is beneficial for the companies in numerous of ways as
they are helpful in deciding the targets of the business organisation and according to this proper
planning has been developed by the different departments. It also support in identifying the best
way through resources can be used and turned out in best possible output. Some of the principle
are based on scientific decision, through which it will become easy to take decision as per the
requirements of the time. Furthermore, they are not rigid in nature, which means company can
fix these principles according to the demand, this will develop dynamic culture in the
organisation. The applicability of these principles are considered as universal, because a firm
have to use principles of business management to create a better understanding about the
working culture and various aspects of the company. In addition to this, they also support in
accomplishing social responsibilities which improves the image of the firm.
Application of management principles in Domino's-
By considering first principle, Domino's has divided its workers by analysing their
efficiency to perform the task. Like, employees who are extremely good in handling the
customers are appointed at the counter and those who are better in cooking supposed to work in
kitchen area. In the context of second principle of management which is related to to the
delegation of authority. In time of need, managers in Domino's transfer their authority to the staff
and allow them to take decision regarding the speculation of behavioural changes and other
attributes of the customers. Due to COVID, restaurants like Domino's has made it mandatory to
take complete observation on maintaining the hygiene in the preparation of food items and also
use of sanitiser. In order to motivate the staff and members in the cafe, company provide
equivalent amount of salary to them and also focuses on issuing different benefits for the safety.

The business principles which is strictly followed here is order, the reason behind this is that
management does not want to face any kind of confusion and disturbance while serving to the
consumers. Moreover, Domino's believes in treating their employees in equal way and avoid any
discrimination. It is very well known to the company that holding staff for the longer period of
time in beneficial to them because Domino's will have to invest high cost in the process of
employees continuously (Agrawal, 2020). Complete freedom has been offered to the employees
to present their views and thoughts in respect to generate some changes or modification for the
betterment of the business. Here, Domino's is fulfilling the requirement of business management
principle which is concerned with the initiative.
Conclusion
From the above given report it has been concluded that principles of management which has
been given by Henri Fayol is very crucial for the smooth functioning of any business
organisation. It allows the company to tackle varieties of unexpected situation which can hamper
the growth and prosperity of the business. Although, there are several managers are appointed in
the organisation but still it is necessary to apply these principle in the different stages of the firm.
This report has explained it by considering the example of Domino's and how effectively
company is utilizing these principles of management principles to improve the operational
activities. They also help in bringing the coordination among the functions which are important
for the systematic functioning of the firm.

References
Book and journals-
Agrawal, N., 2020. A framework for Crosby’s quality principles using ISM and MICMAC
approaches. The TQM Journal, 32(2), pp.305-330.
Jain, K.K., 2021. Principles of Management of Drug-Induced Neurological Disorders. In Drug-
induced Neurological Disorders (pp. 79-87). Springer, Cham.
Kaul, K., 2020. Administrative Theories: Comparison between Classical and Scientific
Management Theory. Issue 3 Int'l JL Mgmt. & Human., 3, p.1498.
Mudliar, P. and Koontz, T.M., 2021. Locating power in Ostrom’s design principles: watershed
management in India and the United States. Society & Natural Resources, 34(5),
pp.639-658.
Ramakrishna, N., 2019. Henry fayol's principles of management and it's applicability in contract
staffing. International Journal of Management, IT and Engineering, 9(3), pp.168-182.
Singhi, S. and Angurana, S.K., 2019. Principles of management of central nervous system
infections. The Indian Journal of Pediatrics, 86(1), pp.52-59.