SlideShare a Scribd company logo
1 of 31
Elton Mayo Contributions-
Hawthorne Experiments
Principles of Management-
Lecture Date:11.09.2023
INTRODUCTION
The Hawthorne studies were conducted in
order to find out the role of human resource in
increasing the production of an organization.
The Hawthorne studies included the following
experiments..
Experiments Conducted
• Illumination Experiment
• Relay Assembly Test Experiments
• Relay Assembly Room #2
• Mica Splitting Test Group
• Plant Interview Group
• Bank Wiring Observation Group
HAWTHORNE EXPERIMENT
Conducted between 1924-1932
Conducted at WESTERN ELECTRIC
COMPANY, Chicago, USA
Conducted by,
 Elton Mayo
White Head
Roethlisberger
George Elton Mayo
He was an Australian Psychologist, Sociologist
and Organization Theorist.
Lectured at University of Queensland before
moving to the University of Pennsylvania
Spent most of his career at Harvard Business
School and was the Professor of Industrial
Research
Known as the founder of Human Relations
Movement
Also known for his research including
George Elton Mayo
Fritz Roethlisberger
*He was a Social Scientist and Management Theorist
*He was also the Professor of Harvard Business
School
WhiteHead
He was the Industrial Worker
Western Electric Company
•Gray and Barton, a telephone industry supply
company founded in 1869 by Elisha Gray and Enos
Barton
•In 1872, the company changed its name to the
Western Electric Manufacturing Company
•In 1881, when the annual sales had already grown
to nearly $1 million, the firm was purchased by the
American Bell Telephone Company, it was renamed
the Western Electric Company and became Bells
manufacturing arm
Airplane View of Hawthorne Works.
Magnetic Wire Insulating
Department
Western Electric Company
Research on productivity at massive manufacturing complexes like
the Hawthorne Works was made possible through partnerships
among industries, universities, and government. In the 1920s, with
support from the National Research Council, the Rockefeller
Foundation, and eventually Harvard Business School, Western
Electric undertook a series of behavioral experiments.
The first, a sequence of illumination tests from 1924 to 1927, set
out to determine the effects of lighting on worker efficiency in three
separate manufacturing departments.
Accounts of the study revealed no significant correlation between
productivity and light levels. The results prompted researchers to
investigate other factors affecting worker output.
Hawthorne Experiment
The Hawthorne experiment were first conducted in
November, 1924 at Western Electric Company’s Hawthorne
plant in Chicago
The initial tests were sponsored by The National Research
Council (NRC) of the National Academy of Sciences
In 1927, a research team from Harvard Business School
was invited to join the studies after the illumination test drew
unanticipated results
A team of researchers led by George Elton Mayo from the
Harvard Business School carried out the studies
(General Electric originally contributed funding, but they
withdrew after the first trial was completed)
Illumination Studies
• 1924-1927
• Funded by General Electric
• Conducted by The National Research Council (NRC) of the National Academy
of Sciences with engineers from MIT
• Measured Light Intensity vs. Worker Output
• Result :
– Higher worker productivity and satisfaction at all light levels
– Worker productivity was stopped with the light levels reached moonlight intensity.
• Conclusions:
– Light intensity has no conclusive effect on output
– Productivity has a psychological component
• Concept of “Hawthorne Effect” was created
IILUMINATION STUDY
The next experiments beginning in 1927 focused on the
relay assembly department, where the electromagnetic
switches that made telephone connections possible were
produced. The manufacture of relays required the repetitive
assembly of pins, springs, insulators, coils, and screws.
Western Electric produced over 7 million relays annually.
As the speed of individual workers determined overall
production levels, the effects of factors like rest periods and
work hours in this department were of particular interest to
the company.
Relay Assembly Test Experiments
• 1927-1929
• Experiments were conducted by Elton Mayo
• Manipulated factors of production to measure effect on output:
– Pay Incentives (Each Girls pay was based on the other 5 in the group)
– Length of Work Day & Work Week (5pm, 4:30 pm, 4pm)
– Use of Rest Periods (Two 5 minutes break)
– Company Sponsored Meals (Morning Coffee & soup along with sandwich)
• Results:
– Higher output and greater employee satisfaction
• Conclusions:
– Positive effects even with negative influences – workers’ output will increase as a
response to attention
– Strong social bonds were created within the test group. Workers are influenced by
need for recognition, security and sense of belonging
PERFORMANCE RECORDING DEVICE
Relay Assembly Room #2
• 1928-1929
• Measured effect on output with compensation rates
– Special observation room
– 1st Session- Relay Assemblers changed from departmental
incentive to small group incentive
– 2nd Session - Adjusted back to large group incentive
• Results:
– ‘Small group incentives’ resulted in highest sustained level of production –
Output dropped in 2nd session
• Conclusion:
– Pay relevant to output but not the only factor
WOMEN IN THE RELAY TEST ASSEMBLY ROOM
Theresa Layman Zajac’s Paycheck,
August 13, 1927
Mica Splitting Test Group
• 1928-1931
• Measured output with changes to work conditions only:
– Special Observation Room
– Length of Work Day
– Use of Rest Periods
– Workers stayed on established Piece-rate compensation
• Result:
– Productivity increased by 15% over standard output base
• Conclusions:
– Productivity is affected by non-pay considerations
– Social dynamics are a basis of worker performance
Mass Interview Program
• Conducted 20,000 interviews.
• Objective was to explore information, which could be used to improve supervisory training.
• Initially used the method of Direct Questioning and changed to Non Directive.
• Results
- Giving an opportunity to talk and express grievances would increase the morale.
- Complaints were symptoms of deep-rooted disturbances.
-Workers are governed by experience obtained from both inside and outside the
company.
Mass Interview Program (Contd)
- The workers were satisfied or dissatisfied depending upon how they regarded their social
status in the company.
- Social groups created big impact on work.
- Production was restricted by workers regardless all financial incentives offered as group
pressure are on individual workers.
Bank Wiring Observation Group
• 1931-1932
• Limited changes to work conditions
– Segregated work area
– No Management Visits
– Supervision would remain the same
– Observer would record data only – no interaction with workers
• Small group pay incentive
• Result:
– No appreciable changes in output
• Conclusions:
– Preexisting performance norms
– Group dictated production standards –
– Work Group protection from management changes.
CONCLUSION
•The Hawthorne studies have had a remarkable impact on
management in organizations and how workers react to various
situations.
•The research carried out at the Western Electrics Hawthorne plant
during the 1920’s and early 1930’s helped to initiate a whole new
approach to human behaviour studies.
•The final result was “the organization of teamwork-that is, of
sustained cooperation leads to success”.
Other Experiment-Monotony and
Fatigue on Productivity
Using a study group other experiments were conducted to examine what
effect of monotony and fatigue on productivity and how to control those
using variables such as rest breaks, work hours and incentives.
At normal conditions the work week was of 48 hours, including
Saturdays, with no rest pauses.
On the first experiment workers were put on piece-work salary where they
were paid on each part they produced, as a result the output increased.
On the second experiment the workers were given 2 rest pauses of 5
minutes each for 5 weeks and again output went up.
The third experiment further increased the pauses to 10 min and the output
went up sharply.
For the fourth experiments a 6, 5 min breaks were given and output fell
slightly as the workers complained that the work rhythm was broken.
On the fifth experiments conditions for experiment three were repeated but
this time a free hot meal was given by the company and output wen up
again.
at the sixth experiment, workers were dismissed at 4.30p.m. Instead of
5.00p.m were an output increase was recorded.
The seventh experiment had the same results as experiments six even
though the workers were dismissed at 4.00 p.m.
on the eighth and final experiment, all improvements were taken away and
workers returned to their original working conditions. Surprisingly, results
concluded that output was the highest ever recorded!
Contributions of the
Hawthorne Experiment
to Management
1.A business organization is basically a social system. It is not just a
techno-economic system.
2.The employer can be motivated by psychological and social wants
because his behavior is also influenced by feelings, emotions and attitudes.
Thus economic incentives are not the only method to motivate people.
3.Management must learn to develop co-operative attitudes and not rely
merely on command.
4. Participation becomes an important instrument in human relations
movement. In order to achieve participation, effective two-way
communication network is essential.
4.Productivity is linked with employee satisfaction in any business
organization. Therefore management must take greater interest in
employee satisfaction.
5.Group psychology plays an important role in any business organization.
We must therefore rely more on informal group effort.
6.The neo-classical theory emphasizes that man is a living machine and he
is far more important than the inanimate machine. Hence, the key to higher

More Related Content

Similar to Principle of Management _Hawthorne-Experiments.pptx

Hawthrone studies explained
Hawthrone studies explainedHawthrone studies explained
Hawthrone studies explainedJoby Puthussery
 
Hawthrone studies explained
Hawthrone studies explainedHawthrone studies explained
Hawthrone studies explainedJoby Puthussery
 
hawthronestudiesexplained-121018032038-phpapp02.pdf
hawthronestudiesexplained-121018032038-phpapp02.pdfhawthronestudiesexplained-121018032038-phpapp02.pdf
hawthronestudiesexplained-121018032038-phpapp02.pdfUma Yadav
 
hawthronestudiesexplained-121018032038-phpapp02.pdf
hawthronestudiesexplained-121018032038-phpapp02.pdfhawthronestudiesexplained-121018032038-phpapp02.pdf
hawthronestudiesexplained-121018032038-phpapp02.pdfUma Yadav
 
hawthorneexperiments.ppt
hawthorneexperiments.ppthawthorneexperiments.ppt
hawthorneexperiments.pptSATHYA668342
 
Presentation on the hawthorne
Presentation on the hawthornePresentation on the hawthorne
Presentation on the hawthornepriyanshdwivedi22
 
Hawthorne experiments
Hawthorne experimentsHawthorne experiments
Hawthorne experimentsashugaurh
 
Early Advocates of Organisational Behaviour and hawthorne studies.pptx
Early Advocates of Organisational Behaviour and hawthorne studies.pptxEarly Advocates of Organisational Behaviour and hawthorne studies.pptx
Early Advocates of Organisational Behaviour and hawthorne studies.pptxssuserb9efd7
 
Principles of Management presnentation 1.pptx
Principles of Management presnentation 1.pptxPrinciples of Management presnentation 1.pptx
Principles of Management presnentation 1.pptxuetian12
 
Elton mayo and Management
Elton mayo and ManagementElton mayo and Management
Elton mayo and ManagementTonyMogoa
 
Organisational Behaviour & Development 1
Organisational Behaviour & Development 1Organisational Behaviour & Development 1
Organisational Behaviour & Development 1JFM Lohith Shetty
 
Hawthorne studies
Hawthorne studiesHawthorne studies
Hawthorne studiesTresarj
 
Hawthorne experiments
Hawthorne experimentsHawthorne experiments
Hawthorne experimentsVJIMPGDM
 

Similar to Principle of Management _Hawthorne-Experiments.pptx (20)

Hawthrone studies explained
Hawthrone studies explainedHawthrone studies explained
Hawthrone studies explained
 
Hawthrone studies
Hawthrone studiesHawthrone studies
Hawthrone studies
 
Hawthrone studies explained
Hawthrone studies explainedHawthrone studies explained
Hawthrone studies explained
 
hawthorne effect
hawthorne effecthawthorne effect
hawthorne effect
 
Hawthorne experiments
Hawthorne experimentsHawthorne experiments
Hawthorne experiments
 
hawthronestudiesexplained-121018032038-phpapp02.pdf
hawthronestudiesexplained-121018032038-phpapp02.pdfhawthronestudiesexplained-121018032038-phpapp02.pdf
hawthronestudiesexplained-121018032038-phpapp02.pdf
 
hawthronestudiesexplained-121018032038-phpapp02.pdf
hawthronestudiesexplained-121018032038-phpapp02.pdfhawthronestudiesexplained-121018032038-phpapp02.pdf
hawthronestudiesexplained-121018032038-phpapp02.pdf
 
hawthorneexperiments.ppt
hawthorneexperiments.ppthawthorneexperiments.ppt
hawthorneexperiments.ppt
 
Hawthrone experiment
Hawthrone  experimentHawthrone  experiment
Hawthrone experiment
 
Hawthrone experiment
Hawthrone experimentHawthrone experiment
Hawthrone experiment
 
Presentation on the hawthorne
Presentation on the hawthornePresentation on the hawthorne
Presentation on the hawthorne
 
Hawthorne experiments
Hawthorne experimentsHawthorne experiments
Hawthorne experiments
 
Hawthorne experiment
Hawthorne experiment Hawthorne experiment
Hawthorne experiment
 
Early Advocates of Organisational Behaviour and hawthorne studies.pptx
Early Advocates of Organisational Behaviour and hawthorne studies.pptxEarly Advocates of Organisational Behaviour and hawthorne studies.pptx
Early Advocates of Organisational Behaviour and hawthorne studies.pptx
 
Principles of Management presnentation 1.pptx
Principles of Management presnentation 1.pptxPrinciples of Management presnentation 1.pptx
Principles of Management presnentation 1.pptx
 
Elton mayo and Management
Elton mayo and ManagementElton mayo and Management
Elton mayo and Management
 
Organisational Behaviour & Development 1
Organisational Behaviour & Development 1Organisational Behaviour & Development 1
Organisational Behaviour & Development 1
 
2011.02.cesa sustain 02
2011.02.cesa sustain 022011.02.cesa sustain 02
2011.02.cesa sustain 02
 
Hawthorne studies
Hawthorne studiesHawthorne studies
Hawthorne studies
 
Hawthorne experiments
Hawthorne experimentsHawthorne experiments
Hawthorne experiments
 

Recently uploaded

Reflecting, turning experience into insight
Reflecting, turning experience into insightReflecting, turning experience into insight
Reflecting, turning experience into insightWayne Abrahams
 
ANIn Gurugram April 2024 |Can Agile and AI work together? by Pramodkumar Shri...
ANIn Gurugram April 2024 |Can Agile and AI work together? by Pramodkumar Shri...ANIn Gurugram April 2024 |Can Agile and AI work together? by Pramodkumar Shri...
ANIn Gurugram April 2024 |Can Agile and AI work together? by Pramodkumar Shri...AgileNetwork
 
VIP Kolkata Call Girl Rajarhat 👉 8250192130 Available With Room
VIP Kolkata Call Girl Rajarhat 👉 8250192130  Available With RoomVIP Kolkata Call Girl Rajarhat 👉 8250192130  Available With Room
VIP Kolkata Call Girl Rajarhat 👉 8250192130 Available With Roomdivyansh0kumar0
 
Introduction to LPC - Facility Design And Re-Engineering
Introduction to LPC - Facility Design And Re-EngineeringIntroduction to LPC - Facility Design And Re-Engineering
Introduction to LPC - Facility Design And Re-Engineeringthomas851723
 
Simplifying Complexity: How the Four-Field Matrix Reshapes Thinking
Simplifying Complexity: How the Four-Field Matrix Reshapes ThinkingSimplifying Complexity: How the Four-Field Matrix Reshapes Thinking
Simplifying Complexity: How the Four-Field Matrix Reshapes ThinkingCIToolkit
 
Board Diversity Initiaive Launch Presentation
Board Diversity Initiaive Launch PresentationBoard Diversity Initiaive Launch Presentation
Board Diversity Initiaive Launch Presentationcraig524401
 
Unlocking Productivity and Personal Growth through the Importance-Urgency Matrix
Unlocking Productivity and Personal Growth through the Importance-Urgency MatrixUnlocking Productivity and Personal Growth through the Importance-Urgency Matrix
Unlocking Productivity and Personal Growth through the Importance-Urgency MatrixCIToolkit
 
LPC Operations Review PowerPoint | Operations Review
LPC Operations Review PowerPoint | Operations ReviewLPC Operations Review PowerPoint | Operations Review
LPC Operations Review PowerPoint | Operations Reviewthomas851723
 
Fifteenth Finance Commission Presentation
Fifteenth Finance Commission PresentationFifteenth Finance Commission Presentation
Fifteenth Finance Commission Presentationmintusiprd
 
Pooja Mehta 9167673311, Trusted Call Girls In NAVI MUMBAI Cash On Payment , V...
Pooja Mehta 9167673311, Trusted Call Girls In NAVI MUMBAI Cash On Payment , V...Pooja Mehta 9167673311, Trusted Call Girls In NAVI MUMBAI Cash On Payment , V...
Pooja Mehta 9167673311, Trusted Call Girls In NAVI MUMBAI Cash On Payment , V...Pooja Nehwal
 
LPC Warehouse Management System For Clients In The Business Sector
LPC Warehouse Management System For Clients In The Business SectorLPC Warehouse Management System For Clients In The Business Sector
LPC Warehouse Management System For Clients In The Business Sectorthomas851723
 

Recently uploaded (13)

Reflecting, turning experience into insight
Reflecting, turning experience into insightReflecting, turning experience into insight
Reflecting, turning experience into insight
 
Call Girls Service Tilak Nagar @9999965857 Delhi 🫦 No Advance VVIP 🍎 SERVICE
Call Girls Service Tilak Nagar @9999965857 Delhi 🫦 No Advance  VVIP 🍎 SERVICECall Girls Service Tilak Nagar @9999965857 Delhi 🫦 No Advance  VVIP 🍎 SERVICE
Call Girls Service Tilak Nagar @9999965857 Delhi 🫦 No Advance VVIP 🍎 SERVICE
 
ANIn Gurugram April 2024 |Can Agile and AI work together? by Pramodkumar Shri...
ANIn Gurugram April 2024 |Can Agile and AI work together? by Pramodkumar Shri...ANIn Gurugram April 2024 |Can Agile and AI work together? by Pramodkumar Shri...
ANIn Gurugram April 2024 |Can Agile and AI work together? by Pramodkumar Shri...
 
VIP Kolkata Call Girl Rajarhat 👉 8250192130 Available With Room
VIP Kolkata Call Girl Rajarhat 👉 8250192130  Available With RoomVIP Kolkata Call Girl Rajarhat 👉 8250192130  Available With Room
VIP Kolkata Call Girl Rajarhat 👉 8250192130 Available With Room
 
Introduction to LPC - Facility Design And Re-Engineering
Introduction to LPC - Facility Design And Re-EngineeringIntroduction to LPC - Facility Design And Re-Engineering
Introduction to LPC - Facility Design And Re-Engineering
 
Simplifying Complexity: How the Four-Field Matrix Reshapes Thinking
Simplifying Complexity: How the Four-Field Matrix Reshapes ThinkingSimplifying Complexity: How the Four-Field Matrix Reshapes Thinking
Simplifying Complexity: How the Four-Field Matrix Reshapes Thinking
 
Board Diversity Initiaive Launch Presentation
Board Diversity Initiaive Launch PresentationBoard Diversity Initiaive Launch Presentation
Board Diversity Initiaive Launch Presentation
 
Unlocking Productivity and Personal Growth through the Importance-Urgency Matrix
Unlocking Productivity and Personal Growth through the Importance-Urgency MatrixUnlocking Productivity and Personal Growth through the Importance-Urgency Matrix
Unlocking Productivity and Personal Growth through the Importance-Urgency Matrix
 
LPC Operations Review PowerPoint | Operations Review
LPC Operations Review PowerPoint | Operations ReviewLPC Operations Review PowerPoint | Operations Review
LPC Operations Review PowerPoint | Operations Review
 
Fifteenth Finance Commission Presentation
Fifteenth Finance Commission PresentationFifteenth Finance Commission Presentation
Fifteenth Finance Commission Presentation
 
Pooja Mehta 9167673311, Trusted Call Girls In NAVI MUMBAI Cash On Payment , V...
Pooja Mehta 9167673311, Trusted Call Girls In NAVI MUMBAI Cash On Payment , V...Pooja Mehta 9167673311, Trusted Call Girls In NAVI MUMBAI Cash On Payment , V...
Pooja Mehta 9167673311, Trusted Call Girls In NAVI MUMBAI Cash On Payment , V...
 
sauth delhi call girls in Defence Colony🔝 9953056974 🔝 escort Service
sauth delhi call girls in Defence Colony🔝 9953056974 🔝 escort Servicesauth delhi call girls in Defence Colony🔝 9953056974 🔝 escort Service
sauth delhi call girls in Defence Colony🔝 9953056974 🔝 escort Service
 
LPC Warehouse Management System For Clients In The Business Sector
LPC Warehouse Management System For Clients In The Business SectorLPC Warehouse Management System For Clients In The Business Sector
LPC Warehouse Management System For Clients In The Business Sector
 

Principle of Management _Hawthorne-Experiments.pptx

  • 1. Elton Mayo Contributions- Hawthorne Experiments Principles of Management- Lecture Date:11.09.2023
  • 2. INTRODUCTION The Hawthorne studies were conducted in order to find out the role of human resource in increasing the production of an organization. The Hawthorne studies included the following experiments..
  • 3. Experiments Conducted • Illumination Experiment • Relay Assembly Test Experiments • Relay Assembly Room #2 • Mica Splitting Test Group • Plant Interview Group • Bank Wiring Observation Group
  • 4. HAWTHORNE EXPERIMENT Conducted between 1924-1932 Conducted at WESTERN ELECTRIC COMPANY, Chicago, USA Conducted by,  Elton Mayo White Head Roethlisberger
  • 5. George Elton Mayo He was an Australian Psychologist, Sociologist and Organization Theorist. Lectured at University of Queensland before moving to the University of Pennsylvania Spent most of his career at Harvard Business School and was the Professor of Industrial Research Known as the founder of Human Relations Movement Also known for his research including
  • 7. Fritz Roethlisberger *He was a Social Scientist and Management Theorist *He was also the Professor of Harvard Business School WhiteHead He was the Industrial Worker
  • 8. Western Electric Company •Gray and Barton, a telephone industry supply company founded in 1869 by Elisha Gray and Enos Barton •In 1872, the company changed its name to the Western Electric Manufacturing Company •In 1881, when the annual sales had already grown to nearly $1 million, the firm was purchased by the American Bell Telephone Company, it was renamed the Western Electric Company and became Bells manufacturing arm
  • 9. Airplane View of Hawthorne Works.
  • 12. Research on productivity at massive manufacturing complexes like the Hawthorne Works was made possible through partnerships among industries, universities, and government. In the 1920s, with support from the National Research Council, the Rockefeller Foundation, and eventually Harvard Business School, Western Electric undertook a series of behavioral experiments. The first, a sequence of illumination tests from 1924 to 1927, set out to determine the effects of lighting on worker efficiency in three separate manufacturing departments. Accounts of the study revealed no significant correlation between productivity and light levels. The results prompted researchers to investigate other factors affecting worker output.
  • 13. Hawthorne Experiment The Hawthorne experiment were first conducted in November, 1924 at Western Electric Company’s Hawthorne plant in Chicago The initial tests were sponsored by The National Research Council (NRC) of the National Academy of Sciences In 1927, a research team from Harvard Business School was invited to join the studies after the illumination test drew unanticipated results A team of researchers led by George Elton Mayo from the Harvard Business School carried out the studies (General Electric originally contributed funding, but they withdrew after the first trial was completed)
  • 14. Illumination Studies • 1924-1927 • Funded by General Electric • Conducted by The National Research Council (NRC) of the National Academy of Sciences with engineers from MIT • Measured Light Intensity vs. Worker Output • Result : – Higher worker productivity and satisfaction at all light levels – Worker productivity was stopped with the light levels reached moonlight intensity. • Conclusions: – Light intensity has no conclusive effect on output – Productivity has a psychological component • Concept of “Hawthorne Effect” was created
  • 16. The next experiments beginning in 1927 focused on the relay assembly department, where the electromagnetic switches that made telephone connections possible were produced. The manufacture of relays required the repetitive assembly of pins, springs, insulators, coils, and screws. Western Electric produced over 7 million relays annually. As the speed of individual workers determined overall production levels, the effects of factors like rest periods and work hours in this department were of particular interest to the company.
  • 17. Relay Assembly Test Experiments • 1927-1929 • Experiments were conducted by Elton Mayo • Manipulated factors of production to measure effect on output: – Pay Incentives (Each Girls pay was based on the other 5 in the group) – Length of Work Day & Work Week (5pm, 4:30 pm, 4pm) – Use of Rest Periods (Two 5 minutes break) – Company Sponsored Meals (Morning Coffee & soup along with sandwich) • Results: – Higher output and greater employee satisfaction • Conclusions: – Positive effects even with negative influences – workers’ output will increase as a response to attention – Strong social bonds were created within the test group. Workers are influenced by need for recognition, security and sense of belonging
  • 19.
  • 20. Relay Assembly Room #2 • 1928-1929 • Measured effect on output with compensation rates – Special observation room – 1st Session- Relay Assemblers changed from departmental incentive to small group incentive – 2nd Session - Adjusted back to large group incentive • Results: – ‘Small group incentives’ resulted in highest sustained level of production – Output dropped in 2nd session • Conclusion: – Pay relevant to output but not the only factor
  • 21. WOMEN IN THE RELAY TEST ASSEMBLY ROOM
  • 22. Theresa Layman Zajac’s Paycheck, August 13, 1927
  • 23. Mica Splitting Test Group • 1928-1931 • Measured output with changes to work conditions only: – Special Observation Room – Length of Work Day – Use of Rest Periods – Workers stayed on established Piece-rate compensation • Result: – Productivity increased by 15% over standard output base • Conclusions: – Productivity is affected by non-pay considerations – Social dynamics are a basis of worker performance
  • 24. Mass Interview Program • Conducted 20,000 interviews. • Objective was to explore information, which could be used to improve supervisory training. • Initially used the method of Direct Questioning and changed to Non Directive. • Results - Giving an opportunity to talk and express grievances would increase the morale. - Complaints were symptoms of deep-rooted disturbances. -Workers are governed by experience obtained from both inside and outside the company.
  • 25.
  • 26. Mass Interview Program (Contd) - The workers were satisfied or dissatisfied depending upon how they regarded their social status in the company. - Social groups created big impact on work. - Production was restricted by workers regardless all financial incentives offered as group pressure are on individual workers.
  • 27. Bank Wiring Observation Group • 1931-1932 • Limited changes to work conditions – Segregated work area – No Management Visits – Supervision would remain the same – Observer would record data only – no interaction with workers • Small group pay incentive • Result: – No appreciable changes in output • Conclusions: – Preexisting performance norms – Group dictated production standards – – Work Group protection from management changes.
  • 28. CONCLUSION •The Hawthorne studies have had a remarkable impact on management in organizations and how workers react to various situations. •The research carried out at the Western Electrics Hawthorne plant during the 1920’s and early 1930’s helped to initiate a whole new approach to human behaviour studies. •The final result was “the organization of teamwork-that is, of sustained cooperation leads to success”.
  • 29. Other Experiment-Monotony and Fatigue on Productivity Using a study group other experiments were conducted to examine what effect of monotony and fatigue on productivity and how to control those using variables such as rest breaks, work hours and incentives.
  • 30. At normal conditions the work week was of 48 hours, including Saturdays, with no rest pauses. On the first experiment workers were put on piece-work salary where they were paid on each part they produced, as a result the output increased. On the second experiment the workers were given 2 rest pauses of 5 minutes each for 5 weeks and again output went up. The third experiment further increased the pauses to 10 min and the output went up sharply. For the fourth experiments a 6, 5 min breaks were given and output fell slightly as the workers complained that the work rhythm was broken. On the fifth experiments conditions for experiment three were repeated but this time a free hot meal was given by the company and output wen up again. at the sixth experiment, workers were dismissed at 4.30p.m. Instead of 5.00p.m were an output increase was recorded. The seventh experiment had the same results as experiments six even though the workers were dismissed at 4.00 p.m. on the eighth and final experiment, all improvements were taken away and workers returned to their original working conditions. Surprisingly, results concluded that output was the highest ever recorded!
  • 31. Contributions of the Hawthorne Experiment to Management 1.A business organization is basically a social system. It is not just a techno-economic system. 2.The employer can be motivated by psychological and social wants because his behavior is also influenced by feelings, emotions and attitudes. Thus economic incentives are not the only method to motivate people. 3.Management must learn to develop co-operative attitudes and not rely merely on command. 4. Participation becomes an important instrument in human relations movement. In order to achieve participation, effective two-way communication network is essential. 4.Productivity is linked with employee satisfaction in any business organization. Therefore management must take greater interest in employee satisfaction. 5.Group psychology plays an important role in any business organization. We must therefore rely more on informal group effort. 6.The neo-classical theory emphasizes that man is a living machine and he is far more important than the inanimate machine. Hence, the key to higher