Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Principles of Management

Question:

Which of the following is not a principle of scientific management?

A) Science not Rule of Thumb
B) Functional foremanship
C) Harmony, Not Discord
D) Standardisation of work
E) Cooperation, Not Individualism
F) Differential piece wage system
G) Development of Each and Every Person to His or Her Greatest Efficiency and Prosperity

Choose the correct ans from the below.

Options:

ABCD

BDF

ACEG

BDFG

Correct Answer:

BDF

Explanation:

In the words of Taylor, “Scientific management" means knowing exactly what you want men to do and seeing that they do it in the best and cheapest way. The Bethlehem Steel company where Taylor himself worked achieved three-fold increase in productivity by application of scientific management principles which are as follows:

1) Science not Rule of Thumb: Taylor pioneered the introduction of the method of scientific inquiry into the domain of management practice. As different managers would follow their indigenous rules of thumb, it is but a statement of the obvious that all would not be equally effective. Taylor believed that there was only one best method to maximise efficiency. This method can be developed through study and analysis. The method so developed should substitute ‘Rule of Thumb’ throughout the organisation. Scientific method involved investigation of traditional methods through work-study, unifying the best practices and developing a standard method, which would be followed throughout the organisation.

2) Harmony, Not Discord: Taylor emphasized that there should be complete harmony between the management and workers. Both should realise that each one is important. To achieve this state, Taylor called for complete mental revolution on the part of both management and workers. It means that management and workers should transform their thinking. In such a situation even trade unions will not think of going on strike etc. Management should share the gains of the company, if any, with the workers. At the same time workers should work hard and be willing to embrace change for the good of the company. Both should be part of the family.

3) Cooperation, Not Individualism: There should be complete cooperation between the labour and the management instead of individualism. This principle is an extension of principle of ‘Harmony not discord’. Competition should be replaced by cooperation. Both should realise that they need each other. For this, management should not close its ears to any constructive suggestions made by the employees. They should be rewarded for their suggestions which results in substantial reduction in costs. They should be part of management and, if any important decisions are taken, workers should be taken into confidence. At the same time workers should desist from going on strike and making unreasonable demands on the management.

4) Development of Each and Every Person to His or Her Greatest Efficiency and Prosperity: Industrial efficiency depends to a large extent on personnel competencies. As such, scientific management also stood for worker development. Worker training was essential also to learn the ‘best method’ developed as a consequence of the scientific approach. Taylor was of the view that the concern for efficiency could be built in right from the process of employee selection. Each person should be scientifically selected. Then work assigned should suit her/his physical, mental and intellectual capabilities. To increase efficiency, they should be given the required training. Efficient employees would produce more and earn more. This will ensure their greatest efficiency and prosperity for both company and workers.

* FUNCTIONAL FOREMANSHIP, STANDARDISATION AND SIMPLIFICATION OF WORK & DIFFERENTIAL PIECE WAGE SYSTEM ARE TECHNIQUE OF SCIENTIFIC MANAGEMENT.

A) Functional Foremanship- In the factory system, the foreman represents the managerial figure with whom the workers are in face-to-face contact on a daily basis. the foreman is the lowest ranking manager and the highest ranking worker. He is the pivot around whom revolves the entire production, planning, implementation and control. Thus, Taylor concentrated on improving the performance of this role in the factory set-up. In fact, he identified a list of qualities of a good foreman/supervisor and found that no single person could fit them all. This prompted him to suggest functional foremanship through eight persons. Taylor advocated separation of planning and execution functions. This concept was extended to the lowest level of the shop floor.

B) Differential Piece Wage System- Taylor was a strong advocate of piece wage system. He wanted to differentiate between efficient and inefficient workers. The standard time and other parameters should be determined on the basis of the workstudy discussed above. The workers can then be classified as efficient or inefficient on the basis of these standards. He wanted to reward efficient workers. So he introduced different rate of wage payment for those who performed above standard and for those who performed below standard.

C) Standardisation of work- Standardisation refers to the process of setting standards for every business activity; it can be standardisation of process, raw material, time, product, machinery, methods or working conditions. These standards are the benchmarks, which must be adhered to during production. The objectives of standardisation are: (i) To reduce a given line or product to fixed types, sizes and characteristics. (ii) To establish interchange ability of manufactured parts and products. (iii) To establish standards of excellence and quality in materials. (iv) To establish standards of performance of men and machines.