Business Studies XII for Business Studies Notes

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Taylor’s scientific management concept and his contributions

Scientific management concept

Scientific management concept is one of the principles of management and is also known as classical theory. This principle is propounded by Fredrick Winslow Taylor (F.W Taylor) – the father of management. He was born in the USA in 1856. He joined Midvale steel company where he worked as a machine shop worker for two years as gang boss for some years and as chief engineer at the age of 28.he also joined Bethlehem steel company where he served for a long time. Later he devoted his time to develop the concept of scientific management.

He noticed that there were much disorder and wastage of human as well as other resources at work place. The managers and staffs had no concept about systematic and efficient performance of task. And all were following traditional ways of doing work. So he tried to remove these problems through the development of new concept. Thus, the scientific management concept was developed.

Contributions of F.W Taylor

While working in Midvale Company as a manager Taylor observed that employees were not performing as per their capacity of productivity. And he considered that this condition was occurring because of no care towards the waste. Taylor worked towards the experiments at his work place to increase the worker’s efficiency so that maximum output could be achieved by utilizing effort at maximum level.

1. Scientific task setting:- Taylor observed that the management does not know exactly the works – pieces of work- volume of works- which are to be performed by the workers during a fixed period of time- which is called working day. In a working day how much work is to be domed by a worker but be fixed by a manager and the task should be set every day. The process of task setting requires scientific technique. To make a worker do a quantity of work in a working day is called scientific task setting.

2. Differential payment system:- under this system, a worker received the piece rate benefit which will attract the workers to work more for more amount of wages and more incentives would be created to raise the standardization of output to promote the workers to produce more and perform more task than before and utilize waste time to earn more wages.

3. Reorganization of supervision:- concepts of separation of planning and doing and functional foreman ship were developed. Taylor opines that the workers should only emphasize in planning or in doing. There should be 8 foremen in which 4 are for planning and 4for doing. For planning they were route clerk, instruction cord clerk, time and cost clerk and disciplinarian. And for doing they were speed boss, gang boss, repair boss and inspector.

4. Scientific recruiting and training:- staffs and workers should be selected and employed on scientific basis. Management should develop and train every workers by providing proper knowledge and training to increase their skills and make them effective.

5. Economy:- efficient cost accounting system should be followed to control cost which can minimize the wastage and thoroughly reduced and thus eliminated.

6. Mental revolution:- Taylor argued that both management and workers should try to understand each other instead of quarreling for profits and benefits which would increase production, profit and benefits.

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