Answer the following.
1) What are the techniques of scientific management? Explain in detail?
Solution:
1) Work Study:
Before assigning the work to the available workforce, proper work-study should be done by management. Work-study consists of an organized, systematic, and critical assessment of the various activities or functions. Work-study is based on techniques such as time study, motion study, method study, and fatigue study.
A) Time Study: It is the technique of observing and recording the time taken by an employee to complete a given task. With the help of time study ,the precise time required for each element of work is determined.
B) Method Study: There are always various methods of completing the task. For best quality and cost-effectiveness, identifying the best method of doing a particular job is a very important but challenging task for a manager
C) Motion Study: The study of required motion means the movement of an employee as well as of machine while completing a particular task is very important. It is helpful in eliminating unnecessary motions and finding the best method of doing a particular job.
D) Fatigue Study: Generally long working hours without sufficient breaks, target pressure, heavy working tools, and poor working conditions result into physical and mental stress i.e. fatigue. The study of fatigue and steps to reduce the level of fatigue is very important to maintain the operational efficiency of the employees.
2) Standardization of Tools and Equipments:
With the result of experiments conducted at workplace, Taylor advocated the standardization of tools and equipment. Standardized working environment and methods of production help to reduce spoilage and wastage of material, cost of production, fatigue among the workers and it improves quality of work.
3) Scientific Task Setting:
Taylor emphasized the need for fixing a fair day’s work. Scientific work setting is important to prevent the employees from doing work much below their capacity. By using this technique, employees will complete the task according to standards given and management can keep proper control on optimum utilization of the workforce.
4) Scientific Selection and Training:
Management can select the right persons for the right jobs by using scientific selection procedures. It needs to fix job specifications as per requirement. Employees are selected according to predetermined standards in an impartial way. After selection, management should provide the proper training programs to increase their efficiency.
5) Functional Organization:
In this concept of Taylor, planning is separated from implementation. That means, planning is done by different people and actual work is supervised by different people.
They are categorized as follows:
A) At Planning Level:
Route Clerk- tells how work moves from one machine to another.
Instruction Clerk- records instructions to complete the work.
Time and Cost Clerk- determines the time in which work should be completed and work out the cost
Discipline- ensures that the workers are working as per factory rules.
B) At Implementation Level:
Gang Boss-actually gets the work done.
Speed Boss- ensures that the work is completed in a specified time.
Repair Boss- handles security and maintenance of the mechanism
Inspector- ensures that the work is done as per the specified standards.
6) Differential Piece-Rate Wage Plan:
Remuneration should be fixed in such a way that the average worker is motivated to attain a standard output. Taylor suggested the differential piece-wage system. Higher rates are offered to employees who complete the work more than the standard quantity under this system. On the other hand, if an employee is performing below the standard; he shall be given a lower rate of wages. This technique motivates the employees to attain higher standard performance and earn wages.
2) Explain 14 principles of Henry Fayol in detail.
Solution:
1) Principle of Division of Work:
According to this principle, the work is divided into different kinds such as technical, financial, commercial, security operations, accounting and managerial. It is assigned to employees as per their qualities and capabilities. It helps in improving efficiency and expertise of employees which ultimately turns into expected productivity level.
2) Principle of Authority and Responsibility:
Authority is the right to take decisions. It is necessary to get the things done appropriately from subordinates. Authority always comes with the responsibility. If the manager is given the authority to complete a task within a given time, he should be held responsible if he does not complete the work in given time. Manager should have proper authorities to take managerial decision on his own in respect to the goal.
3) Principle of Discipline:
According to Fayol, discipline is the most essential thing in the organization. Employees must obey and respect the rules that govern the organization. Discipline helps to achieve the goals in the organization. Good discipline is the result of effective leadership. There must be a clear understanding between the management and workers regarding the organization’s rules. Basic discipline should be observed at all levels of management.
4) Principle of Unity of Command:
Each member of organization should receive orders from only one superior. This principle helps in managing conflicts and solving disputes among people in organization. It also helps in avoiding confusion. If an employee receives commands from more than one authority, he will get confused and will not be able to take decision about whose orders should be followed.
This is wrong approach. For this organizational hierarchy should be well defined. Each employee should know his immediate superior and should receive orders from him only.
5) Principle of Unity of Direction:
This principle states that ‘there should be one head and one plan’ in every organization. Each group in the organization should have the same objective and the group should be directed by one manager using single plan.
6) Principle of Subordination of Individual Interest to Organizational Interest:
According to this principle the interest of an individual must be given less importance than the interest of the organization. While taking decision in the organization the manager should always consider the interest of the whole group rather than the interest of a single employee.
Similarly the employee should protect the interest of the organization first and his personal interest should be subordinated.
7) Principle of Centralization:
Centralization refers to the concentration of powers and authorities. In some organizations this power is vested in one hand or few hands. According to this principle there must be a proper balance between centralization and decentralization in the organization. This is to be done according to the size of the organization, nature of the activity etc.
8) Principle of Remuneration:
Appropriate remuneration to staff or employees is the principle to keep them satisfied financially as well as retain them for long span of time within the organization. The fair remuneration effects on the productivity and efficiency level in total. The remuneration should be fixed by taking into consideration the skill, expertise, knowledge, tenure, cost of living, market trend, profitability of organization etc.
9) Principle of Scalar Chain:
Scalar chain means the hierarchy of authority from the top level to the lower level for the purpose of communication. This helps to ensure the orderly flow of information and communication.
Traditionally, organizations used to frame large scalar chain which is time-consuming. For avoiding this longer chain and to take speedy decisions cross communication or direct communication is followed by various organizations which is known as Gang Plank. For direct communication, proper permission of the authorities is necessary.
But to avoid delay or in emergency situation there will be direct communication. It is termed as Gang Plank.
10) Principle of Order:
This principle is based on ‘A place for everything and everything in its place’. Human resources and materials should be in the right place at the right time for maximum efficiency. Human resources should be placed at right place and on right job. The principle focuses on the proper utilization of physical and human resources.
11) Principle of Equity:
Management should be fair as well as friendly to the subordinates. While dividing the work, delegating the authorities, deciding the monetary terms etc. There should not be any discrimination between the employees. It is also suggested that the remuneration should not depend on the department but at the level on which subordinates are working. The employees
working on the same level but in different Department should be paid same wages. This equity will help in avoiding conflicts in the Organisation..
12) Principle of Stability of Tenure:
At the time of recruitment of employees, the management should assure them about stability of tenure or job security. It plays very important role in creating sense of belongingness among the employees. Insecurity in job always affect the efficiency of employees adversely whereas job security minimizes employee turnover ratio.
13) Principle of Initiative:
Initiative refers to volunteering to do the work in an innovative way. The freedom to think and work on new ideas encourages employees to take initiative while working on given task. This initiative should be welcomed by the manager including thorough discussion on those new ideas. It also helps in creating healthy organisational culture.
14) Principle of Esprit de corpse: (Team work)
Henry Fayol has given emphasis on team work. Esprit de corps means union is strength. Running any organisation is a group activity and human resources are the valuable asset of the organisation. If all employees are working as a union and with mutual trust, the difficulties can be solved quickly. Therefore, as a leader, a manager should create a spirit of teamwork and understanding among employees to achieve organisational goals easily.