5 Principles of Management by Henri Fayol Apllied in Maxis Communications Berhad's General Administrative Management

1. Division Of Labor

• This principle of management simply means specialization increases output by making employees more efficient.

• Maxis Communications certainly practices this principle of management as its employees are divided into departments that match their capabilities and expertise in order to produce the most efficient and effective services and products.

• It is important that people who have a special talent or ability be placed at the correct department in order to maximize that ability or skill for the benefit of the organization.

• Maxis Communications has many different departments such as Finance and Administration, Network Engineering and Operations, Information Technology (IT) Services, Legal, Human Resources, Internal Audit, Enterprise Business, Consumer Business, Products and New Businesses and Consumer Marketing departments.

• These departments have managers and subordinates who all possess the relevant and significant expertise needed for every specific type of department. As every department has a head or a manager and their supporting subordinates, jobs are broken down into simple, routine and well-defined tasks that are able to be achieved most effectively and efficiently.

• For example, Maxis is especially well-known for the most high quality and innovative services and products in terms of telecommunication and the company owes this to the caliber and performance of their Products and New Businesses department who have executed their job well by making the products and services offered by Maxis the number one choice in the industry. This proves that when the right people are placed at the right place to the job or task relevant to their abilities and specialty, the outcome will be productive and outstanding.

2. Discipline

• This principle of management implies that employees must obey and respect the rules that govern the organization. Good discipline is the result of effective leadership, a clear understanding between management and workers regarding the organization's rules, and the judicious use of penalties for infractions of the rules.

• Maxis Communications have unquestionably applied this principle of management in their general administrative management because the superior reputation of the company and the high-quality products and services produced by the company is ought enough to prove that Maxis has an effective and efficient bunch of employees who are led by truly great leaders by moving forward towards the vision of the company and executing their tasks by obeying the values set by the company. Maxis is an organization that is based thoroughly on its values and aspirations and therefore, all its employees are groomed and seasoned to follow those goals set.

• Maxis Communications as a whole will not be listed in the Wall Street Journal Asia 200 today as Asia's Most Admired Company if it wasn't for the obedient, well-informed and dedicated employees who are led by their managers and leaders. For Maxis to achieve such a milestone in the telecommunications industry, it is indeed very obvious that this organization possesses worthy and credible leaders who are able to plan, organize, lead and control their employees and responsibilities to the heights of excellence.

• For any company to be able to become as accomplished, prestigious and admired as Maxis Communications, good discipline is quintessential. Maxis without a doubt has a good control of the conducts of its employees and are a great example of how an organization that practices good discipline could achieve so much success.

3. Unity of Direction

• This principle of management by Fayol signifies that each group of organizational activities that have the same objectives should be directed by one manager using one plan.

• This principle of management is definitely practiced by Maxis Communications because although the vision or the objective of the company as a whole is to become "A Regional Communications Leader of Choice", every department in this organization led by its leader and troops of employees develop their own specific objectives and goals to achieve according to their departments and tasks given.

• For example, if a task of successfully coming up with an interesting and attractive advertising campaign to promote Maxis's new low call rates to increase the Hotlink prepaid subscriber base to an additional 10% is assigned to its Consumer Marketing Department, the head of this department alongside its group of expert employees will begin to draw up a plan towards achieving this task or objective that has been set for them. As the objectives of these employees are now the