ABSTRACT

The technical function was important for Henri Fayol and was strongly linked with other functions in the company. It played two roles in the operations of Commentry-Fourchambault et Decazeville under Henri Fayol: the first involved lowering production costs through the use of modern equipment, and the second involved inventing new products. Before investing in new machinery to lower costs Henri Fayol collected information, tested the machines, undertook study tours to evaluate the technology if necessary and then invested if the results were positive. At the end of the nineteenth century, companies used electricity for lighting to replace gas, for motors to replace steam engines and for the telephone to replace the telegraph. Direct current electricity was first used to replace gas lighting. A mastery of technical skills and technologies allowed for the correct execution of plans, while the skills of management were the best guarantee that the best forecasts become reality.