Mr. Rajiv the senior manager of Unique enterprise considered himself very wise and used to take all the dicsions himself without consulting the employees, he never used to help any one nor he used to take halp of anyone. The employees of unique enterprise were not working efficiently and companys profit margin started declining to tackle the problem, the company appointed a new manager from IIM Banglore. The new manager after joining made a policy that all the decisions will be taken after consulting employees in the meeting. All employees just give some suggestions and best suggestions will be rewarded with financial and nonfinancial incentives. This policy had a very positive effects on company.
State and explain the principle of Henry Fayol used by new manager.