Principles of organization suggested by Henri Fayol are one of the best-known principles of efficient management recognized today. These rules are:
- Division of work - allows you to get more beneficial effects with the same workload. Specialization of tasks should result in increased efficiency. She is subject to both technical work and managerial work.
- Authority - is necessary for the proper performance of managerial duties. We divide it into two categories: formal (official) authority - resulting from the position held, gives the right to issue orders and commands, and personal authority - associated with the individual characteristics and character of the manager with his employees, results from knowledge, experience, obedience, leadership skills, etc..
- Discipline - understood as the submission to the rules and norms set by the employer. He reveals himself through obedience and diligence in the relations between managers and subordinates. In order for the rules in the organization to be duly respected, there must be fair arrangements, such as remuneration rules or appropriate punishment.
- Unity of command - this principle is based on the fact that every subordinate should receive commands issued only by one person - supervisor, manager. It is precluded to execute commands from two superiors, because it disturbs the organization of work, and thus the functioning of the organization.
- Unity of management - in each team there should be one manager and one goal of action, implemented by everyone. One should not combine the principle of unity of command (subordinates are always directed by one superior) with the principle of unity of the leadership (one manager, one plan). The difference is that the uniformity of the management ensures efficient organization of the team, and the uniformity of commanding affects its proper functioning.
- Subordination of the personal interest (individual) to the general interest - the interests of employees or groups can not dominate the interests of the organization as a whole.
- Salary - it should be fair to both employees (rewarding and motivating for further work) as well as employers. It depends on the effects of work and is proportional to them.
- Centralization - finding a "golden mean" between centralization (limiting the role of subordinates in decision making) and decentralization (increasing their role), so that it would bring the greatest efficiency, while making the best use of the staff's abilities.
- Hierarchy - linear arrangement of managerial positions on the principle of subordination (from the highest to the lowest level), which must be observed. The hierarchy sets out procedures for issuing commands and information a business road that should be as short as possible.
- Order - human resources (employees) and material resources should be in the right place at the right time. It is important that people are at the most appropriate positions for them to ensure stability.
- Justice (in relation to staff) - managers are required to be courteous and "human" in relation to their subordinates.
- Staff stability - avoiding large fluctuation of employees, which adversely affects the functioning of the organization.
- Initiative - a subordinate should be able to participate in the creation of their concepts and implementation of the organization's action plans, even if errors and mistakes would result. Such freedom increases engagement at all levels of management.
- Harmony of staff (esprit de corps) - a sense of community of staff. Teamwork, a sense of unity and belonging to one group should be accepted and maintained for work efficiency. Staffing should be based on the principle of unity of command. However, any conflicts and disputes between subordinates should be avoided.