SCIENTIFIC MANAGEMENT - TAYLOR’S CONTRIBUTION

F.W. TAYLOR’S CONTRIBTION TO MANAGEMENT

Introduction to Taylor and his work
 Fredrick Winslow Taylor (March 20, 1856 - March 21, 1915) commonly known as
“Father of Scientific Management” started his career as an operator and rose to
the position of chief engineer.
 He conducted various experiments during this process which forms the basis of
scientific management. It implies application of scientific principles for studying
& identifying management problems. He sought to create a mental revolution
among both workers and managers by defining clear guidelines.
 According to Taylor, “Scientific Management is an art of knowing exactly what
you want your men to do and seeing that they do it in the best and cheapest way”.
In Taylors view, if a work is analyzed scientifically it will be possible to find one
best way to do it.
 Taylor’s scientific management is popularly called as “taylorism”. Scientific
management involves the application of a scientific approach to management
decision- making; and discarding at the same time, all unscientific approach as
like rule of the thumb, a hit or miss approach and a trial and error approach.
 According to Drucker, “The cost of scientific management is the organized study
of work, the analysis of work into simplest element & systematic management of
worker’s performance of each element”.
PRINCIPLES OF SCIENTIFIC MANAGEMENT:
1. Science, not the rule of thumb
The basic principle of scientific management is the adoption of a scientific approach to
managerial decision making and a complete discard of all unscientific approaches.
2. Harmony, not discord
Harmony refers to the unity of action, while discords refer to differences in approach.
3. Co-operation, not individualism:
Co-operation refers to working, on the part of people towards the attainment of group
objectives, while regarding their individual objectives as subordinate to the general
interest.
4. Maximum production, in place of restricted production:
His view the most dangerous evil of the industrial system was a deliberate restriction of
output.
5. Development of each person to the greatest of his capabilities:
Management must endeavour to develop people to the greatest of their capabilities to
ensure maximum prosperity for both employees and employers.
6. A more equal division of responsibility between management and workers:
This principle of scientific management recommends a separation of planning from
executives.
7. Mental revolution on the part of managerial and workers:
It involves a complete mental revolution on the part of both sides to industry viz. workers
and management.

FEATURES OF SCIENTIFIC MANAGEMENT

1. Separation of Planning and Doing:
 Taylor emphasised the separation of planning aspect from actual doing the work.
Before Taylor’s scientific management, a worker used to plan about how he had to
work and what instruments were necessary for that.
 Taylor emphasized that planning should be left to supervisor and worker should
emphasise only operational work.
2. Functional foremanship:
 Taylor evolved the concept of functional foremanship based on specialization of
functions. In this system, eight persons are involved to direct the activities of worker.
 Out of these, four persons are concerned with planning (i) route clerk, (ii) instruction
card clerk, (iii)time and cost clerk, (iv) disciplinarian. The remaining four persons are
concerned with doing aspect of the work.
 These are: (i) speed boss, (ii) inspector, (iii) maintenance foremen, and (iv) gang boss.
All of them give directions to workers on different aspects of work.
3. Job analysis:
 Job analysis is undertaken to find out the one best way of doing the thing.
 The best way of doing a job is one which requires the least movements, consequently
less time and cost.
 The best way of doing the thing can be determined by taking up time- motion fatigue
studies.
4. Standardization:
 As far as possible, standardization should be maintained in respect of instruments
and tools, period of work, amount of work, working conditions, cost of production,
etc.
5. Scientific Selection and Training of Workers:
Taylor has suggested that workers should be selected on scientific basis taking into account
their education, work experience, aptitude, physical strength, etc.
6. Financial Incentives:
 Financial incentives can motivate workers to put in their maximum efforts. If
provisions exist to earn higher wages by putting in extra effort, workers will be
motivated to earn more.
 Taylor himself applied the concept of differential piece rate system which was highly
motivating.
7. Economy:
 While applying scientific management, not only scientific and technical aspects should
be considered but adequate consideration should be given to economy and profit.
 For this purpose, techniques of cost estimates and control should be adopted. The
economy and profit can be achieved by making the resources more productive as well
as by eliminating the wastages.
8. Mental Revolution:
Scientific management depends on the mutual co-operation between management and
workers. For this co-operation, there should be mental change in both parties from conflict
to co-operation. Taylor feels that this is the most important feature of scientific
management because in its absence, no principle of scientific management can be applied.

HENRY FAYOL’S CONTRIBUTION

HENRY FAYOL’S CONTRIBTION TO MANAGEMENT
Introduction to Fayol and his work
 Henri Fayol (29, July 1841– 19, November 1925) was at French mining who turned a
leading industrialist and successful manager.
 He was a mining engineer in a French mining and rose to the position of the Chief
Managing Director, who developed independent of the theory of Scientific
Management, a general theory of business administration also known as Fayolism.
 He was one of the most influential contributors to modern concepts of management. He
is father of General Management.
 Fayolism is one of the first comprehensive statements of a general theory of
management, developed by Fayol. He has proposed that there are six primary activities
of management and 14 principles of management.
 Fayol’s classification of business activities:
Technical activities: relating to production
Commercial activities: relating to buying, selling or exchange
Financial activities: relating to search for and optimum use of capital
Security activities: relating to protection of the properties and personnel of the
enterprises.
Accounting activities: relating to a systematic recoding of business transactions,
including statistics also.
Managerial activities: planning, organization, command, coordination, and control

GENERAL PRINCIPLES OF MANAGEMENT

He argued that management was an activity common to all human under takings in
business, in government, and even at home. He also stated 14 principles of management:
1. Division of Work:
 Fayol has advocated division of work to take the advantage of specialization.
 The worker always works on the same part, the manager concerned always with the
same matters; acquire an ability, and accuracy which increase their output.
 Thus division of work can be applied at all levels of an organization.
2. Authority and responsibility:
 Fayol finds authority as a continuation of official and personal factors. Official
authority is derived from the manager’s position and personal authority is derived
from personal qualities such as intelligence, experience, moral worth, past services
etc.
 Responsibility arises out of assignment of activity.
3. Discipline:
 Discipline is obedience, energy, behaviour, outward mark of respect shown by
employees.
 Discipline is of two types:
(i) Self imposed discipline: This springs from within the individual and is in the nature of
spontaneous response to a skilful leader.
(ii) Command Discipline: This stems from a recognized authority and utilizes deterrents to
secure compliance with a desired action, which is expressed by established customs, rules
and regulation.
4. Unity of Command:
 It means that a person should get orders and instructions from any one superior.
 Fayol has considered unity of command as an important aspect in managing an
organization.
 If unity of command is violated, authority is undermined, Discipline is in jeopardy,
order distributed and stability threatened.
5. Unity of Direction:
 According to this principle, each group of activities with the same objective must have
one head and one plan.
 Unity of direction is concerned with functioning of the organization in respect of its
grouping of activities or planning. Unity of direction provides better coordination
among various activities to be undertaken by an organization.
6. Subordination of individual to general interest:
 Individual interest must be subordinate to general interest when there is conflict
between the two.
 The agreement between the employers and the employees should be fair and there
should be constant vigilance and supervision.
7. Remuneration of personnel:
 Remuneration and methods of payment should be fair and afford the maximum
possible satisfaction to employees and employer.
 Reward for the work done should, as far as possible, give satisfaction to both the
employees and the employer.
 Various systems of payment of wages are not considered of universal applicability,
and none of them can be offered as perfect, says Henry Fayol.
 The importance of non-financial incentives is also stressed by him, which is now
accepted as a matter of vital concern to the management.
8. Centralization:
 Fayol refers to the extent to which authority is concentrated or dispersed.
 Management should centralize the authority to the extent that neither there should
be too much concentration of power nor it divides too much.
 Management should see that maximum results are realized from all the faculties of
the personnel. Individual circumstances will determine the degree that will “give
the best overall yields”.
9. Scalar Chain (Line of Authority):
 The line of authority from top management to the lowest ranks represents the
Scalar Chain. A hierarchy is necessary for unity of direction. But lateral
communication is also fundamental, as long as superiors know that such
communication is taking place.
 Scalar chain refers to the number of levels in the hierarchy from the ultimate
authority to the lowest level in the organization. It should not be over-stretched and
consist of too-many levels.
10. Order:
 Order refers to the arrangement of things and people.
  In material order, there should be a place for everything and everything should be
in its place.
 In social order, there should be the right man in the right place.
11. Equity:
 Equity is the combination of justice and kindness.
 Equity in treatment and behavior is liked by everyone and it brings loyalty in the
organization. Equity application requires good sense, experience and good nature
for soliciting loyalty and devotion from subordinates.
 Equity ensures cordial relations between the management and the labor.
 Smooth and successful working of an enterprise depends on healthy industrial
relations which are built on enduring basis of justice and fair play. Equity does not
exclude either forcefulness or sternness.
12. Stability of Tenure of Personnel:
 Stability of tenure is reasonable security of jobs. Stability of tenure is essential to
get an employee accustomed to new work and succeeding in doing it well.
 Unnecessary turnover is both cause and effect of bad management. Frequent
changes should be avoided.
 Fayol considers that it is much better to have one manager of mediocre quality than
a sequence of able managers moving rapidly in and out of the function.
13. Initiative:
 Managers should encourage their employees for taking initiative within the limits of
authority and discipline. Initiative increases zeal and energy on the part of human
beings. Fayol describes initiative as one of the keenest satisfactions for an intelligent
man to experience.
 Management should encourage every employee in his field of duties to turn out
better work with his maximum versatility. Employees should be welcomed to make
any suggestions which should receive proper consideration by the management in
formulation of its objectives and plans.
14. Espirit de corps:
 Espirit de corps denotes “union is strength” and extension of unity of command for
establishing team work.
 Espirit de corps means the spirit of loyalty and devotion which unites the members
of a group. It also means regard for the honor of the group to which one belongs.
 Fayol called for harmonious relations among the personnel of the concern.
Harmony among the personnel is the source of strength. Strength, stability, stature
and reputation depend on the harmonious relations, subsisting among the
personnel.