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Fayol's Theories on Staff Management and Worker Satisfaction

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  1. 0:05 14 Principles of Management
  2. 0:48 Review of Principles 1-7
  3. 1:58 Centralization, Scalar Chain & Order
  4. 4:05 Equity & Stability of Tenure…
  5. 5:32 Initiative & Esprit de Corps
  6. 6:37 Lesson Summary
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Taught by

Kat Kadian-Baumeyer

Kat has a Master of Science in Organizational Leadership and Management and teaches Business courses.

In this lesson, we'll discuss how Henri Fayol's final seven principles play out in the workplace. Using a professional restaurant kitchen as an example, you'll learn about the importance of worker satisfaction and other elements of effective management.

14 Principles of Management

In a previous lesson, we learned that Fayol, while working in mines in France, discovered that managers did not have the right tools to manage workers in an effective way. As a result, Fayol developed 14 principles that addressed the organization as a whole including both the work and the worker.

  1. Division of Work
  2. Authority
  3. Discipline
  4. Unity of Command
  5. Unity of Direction
  6. Subordination of Individual Interests to the General Interest
  7. Remuneration
  8. Centralization
  9. Scalar Chain
  10. Order
  11. Equity
  12. Stability of Tenure of Personnel
  13. Initiative
  14. Esprit de Corps

Review of Principles 1-7

To review, Fayol believed by dividing the work into specialized and specific jobs, workers are able to work more efficiently. Small management units who oversee functional areas of the organization are now able to assign work and hold workers accountable for their production. This makes it easier to measure productivity. Once a system of accountability is in place and productivity can be monitored, it is easier to determine who is performing and who is not performing. Managers are able to selectively and individually discipline workers who fall short of goals quickly and in the correct measure. Having just one manager assigned to a team takes away any task confusion. Workers have only one supervisor directing them. With only one supervisor directing work, it is easy to motivate employees to buy into one plan. This minimizes self-interest. With only one manager managing the work of one team who share one vision, compensating the team can be done fairly.

Principles 8-14

The following 7 principles focus on the decision-making process, hierarchy, hygiene, employee satisfaction, motivation, and team spirit. We will focus on how a professional kitchen might apply these 7 principles.

Centralization

This principle refers to how close employees are to the decision-making process. It is important to aim for an appropriate balance.

A chef generally leads a professional kitchen. A kitchen staff or brigade performs the work. There are decisions that need to be made as a team and others that need to be made by the leader. Chef Fayol strikes a balance by allowing the brigade to decide the day-to-day operations, like which vegetables to cook, evening specials and plate design. However, Chef Fayol makes all of the decisions about the restaurant image, menu design, and vision because he is the owner of Bistro Fayol.

Scalar Chain

Scalar chain: a term that refers to a direct chain of command in the military, ranking staff from the highest to the lowest level. Employees should be aware of where they stand in the organization's hierarchy or chain of command.

In scalar chain, Fayol knows that for centralization to even be possible, there needs to be a chain of command, and each member must be aware of their place in the hierarchy of the kitchen. Chef Fayol explains this to the brigade using an organizational chart.

Order

The workplace facilities must be clean, tidy and safe for employees. Everything should be in its place.

Nobody knows better than Chef Fayol that the work area must always be clean, neat, and safe. Watch what happens when one of the brigade leaves vegetable peels on the floor near his station. Fayol explains to the brigade the dangers involved in leaving food on the floor. The brigade appreciates his guidance and work much more productively when everything is in its place.

Equity

Managers should be fair to staff at all times, both maintaining discipline when necessary and acting with kindness where appropriate.

Chef Fayol levies discipline when needed, like when the member of the brigade left the peels on the floor. However, Chef Fayol also compliments the brigade when the restaurant receives rave reviews. A food critic reviewed Bistro Fayol. One of the cooks was mentioned as the most talented young chef in town. Chef Fayol gave the cook a plaque to hang on his wall. In all fairness, Chef Fayol also gave the other members smaller plaques for assisting in the effort.

Stability of Tenure of Personnel

Managers should strive to minimize employee turnover. Personnel planning should be a priority.

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