Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Principles of Management

Question:

According to Taylor, what was the purpose of the differential wage system?

Options:

To create competition among workers

To discourage inefficient workers

To motivate efficient workers

To ensure equal pay for all

Correct Answer:

To motivate efficient workers

Explanation:

The purpose of the differential wage system, as proposed by Taylor, was to motivate efficient workers. By implementing different rates of wage payment based on performance compared to standards, Taylor aimed to provide a financial incentive for workers who exceeded or met the established standards. The idea was to reward and motivate efficient workers by offering them higher wages, and encouraging them to perform better.