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PHR · Question #158

Organizational functions, according to Fayol, conform to one of the six functional areas. Which one of the following is not an area of organizational functions for strategic planning?

The correct answer is C. Human resource management. Henri Fayol identified six functional areas of organizations, and Human Resource Management was not among them - it is a modern discipline that post-dates Fayol's original framework.

Business Management

Question

Organizational functions, according to Fayol, conform to one of the six functional areas. Which one of the following is not an area of organizational functions for strategic planning?

Options

  • ASales and marketing
  • BFinancial activities
  • CHuman resource management
  • DTechnical activities

How the community answered

(29 responses)
  • A
    10% (3)
  • B
    3% (1)
  • C
    83% (24)
  • D
    3% (1)

Why each option

Henri Fayol identified six functional areas of organizations, and Human Resource Management was not among them - it is a modern discipline that post-dates Fayol's original framework.

ASales and marketing

Sales and marketing corresponds to Fayol's Commercial functional area and is a legitimate part of his original framework.

BFinancial activities

Financial activities directly correspond to Fayol's Financial functional area, which covers sourcing and optimal use of capital.

CHuman resource managementCorrect

Fayol's six classical functional areas are: Technical (production), Commercial (buying/selling/exchange), Financial (capital management), Security (asset and personnel protection), Accounting, and Managerial (planning, organizing, commanding, coordinating, controlling). Human Resource Management as a standalone discipline was not part of Fayol's original 1916 taxonomy, making it the item that does not belong.

DTechnical activities

Technical activities correspond to Fayol's Technical functional area, covering production, manufacturing, and operational processes.

Concept tested: Fayol's six organizational functional areas

Topics

#Fayol functional areas#organizational theory#strategic planning#management functions

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