Question

XYZ manufacturing company faced challenges related to the following issues:

1. The communication channels within the organisation were not clearly defined by the management, causing delays and misunderstandings.
2. The workplace was disorganised for both employees and material resources, affecting the overall efficiency. 

Which principles of Henri Fayol can be applied to overcome the above challenges? Explain.

Answer 1

1. Scalar chain: The formal line of authority from highest to lowest ranks is known as the scalar chain. Normally, the prescribed chain of command should be followed and communications should flow through the established H chain of command. However, to facilitate quick communication between two links in the chain, a gangplank (direct contact) may be created. This principle by Henri Fayol needs to be enforced in XYZ company as it will establish the chain of authority and communication that from top to bottom in hierarchy and will be followed by managers and subordinates.
2. Order: This principle states that there should be an orderly placement of human and material resources in the right place at the right time. Similarly, social order means "a place for everyone and everyone in his appointed place". The right man in the right job is very important for the successful functioning of an organisation. An implementation of this principle in XYZ company will ensure the proper use of resources in a structured fashion.