Administrative Management Theory
- Theory / Concept Name
- Administrative Management Theory
- Description
While Frederick Taylor focused on optimizing shop-floor productivity, Henri Fayol developed a top-down, universal theory of management intended to be applicable to all types of organizations.
Key Contributions
- Distinction between technical and managerial skills: Fayol observed that as individuals rise in an organization's hierarchy, managerial ability becomes increasingly more important than technical ability.
- Management as a distinct discipline: Fayol was pioneering in identifying management as a separate intellectual activity worthy of systematic study and formalized principles, distinguishing it from other business functions.
- Universality of management: He proposed that the fundamental principles and five management functions apply in any organization, in any sector (private, public, military), and at any level of management.
Five Management Functions (POCCC)
Fayol identified five primary functions of management, often remembered by the acronym POCCC:
- Planning (Prévoyance): Examining the future and drawing up a plan of action; looking ahead.
- Organizing: Building up the structure of the enterprise, both material (resources) and human (personnel).
- Commanding: Maintaining activity among personnel; directing and leading employees to achieve organizational goals.
- Coordinating: Unifying and harmonizing all activities and efforts within the organization.
- Controlling: Ensuring everything occurs in conformity with established rules and expressed commands; identifying deviations and taking corrective action.
This theory was originally published in his influential book, Administration Industrielle et Générale (Industrial and General Administration), in 1916.
- Theorist / Pioneer
- Henri Fayol
- Year
- 1916
- Category
- Classical