The Psychology of Management eBook

This eBook from the Gutenberg Project consists of approximately 318 pages of information about The Psychology of Management.

The Psychology of Management eBook

This eBook from the Gutenberg Project consists of approximately 318 pages of information about The Psychology of Management.

    2. profit sharing, and
    3. industrial cooeperation.  These are defined and discussed at
       length in his book in a lucid and simple manner.

It is only necessary to quote him here as to the relationship between these different forms, where he says, page 11,—­“The two leading forms of industrial remuneration under the Wages System are time wages, and piece wages.  Intermediate between these principal forms, stands that known as task wage, while supplemental to these two named methods, we find those various systems which will here be designated by the name of Progressive Wages."[6]

DAY WORK NEVER SCIENTIFIC.—­The simplest of all systems, says Dr. Taylor in “A Piece Rate System,” paragraph 10, in discussing the various forms of compensation “is the Day Work plan, in which the employes are divided into certain classes, and a standard rate of wages is paid to each class of men,” He adds—­“The men are paid according to the position which they fill, and not according to their individual character, energy, skill and reliability,” The psychological objection to day work is that it does not arouse interest or effort or hold attention, nor does it inspire to memorizing or to learning.

It will be apparent that there is no inducement whatever for the man to do more than just enough to retain his job, for he in no wise shares in the reward for an extra effort, which goes entirely to his employer.  “Reward,” in this case, is usually simply a living wage,—­enough to inspire the man, if he needs the money enough to work to hold his position, but not enough to incite him to any extra effort.

It is true that, in actual practice, through the foreman or some man in authority, the workers on day work may be “speeded up” to a point where they will do a great deal of work; the foreman being inspired, of course, by a reward for the extra output, but, as Dr. Taylor says, paragraph 17—­“A Piece Rate System,” this sort of speeding up is absolutely lacking in self-sustaining power.  The moment that this rewarded foreman is removed, the work will again fall down.  Therefore, day wage has almost no place in ultimate, scientifically managed work.

PIECE WORK PROVIDES PAY IN PROPORTION TO WORK DONE.—­Piece Work is the opposite of time work, in that under it the man is paid not for the time he spends at the work, but for the amount of work which he accomplishes.  Under this system, as long as the man is paid a proper piece rate, and a rate high enough to keep him interested, he will have great inducements to work.  He will have a chance to develop individuality, a chance for competition, a chance for personal recognition.  His love of reasonable racing will be cultivated.  His love of play may be cultivated.

All of these incentives arise because the man feels that his sense of justice is being considered; that if the task is properly laid out, and the price per piece is properly determined, he is given a “square deal” in being allowed to accomplish as great an amount of work as he can, with the assurance that his reward will be promptly coming to him.

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The Psychology of Management from Project Gutenberg. Public domain.