Frederick Taylor's experiment with pig iron at the Midvale Steel Company demonstrated the principles of scientific management. By selecting physically fit workers, precisely instructing them, tracking task times, and ensuring close supervision of work/rest intervals, Taylor was able to increase output from 12.5 tons per worker per day to 47 tons. His studies at Bethlehem Steel also optimized shovel design for different tasks, nearly quadrupling productivity from 16 to 59 tons per worker daily. Taylor advocated for specialized task analysis, standardization, differential wages to motivate workers, and intimate labor-management cooperation.

1. The Business
Management Lessons
from the Pioneers
Management Series
Episode -2
Puttu Guru Prasad - VIVA
F.W.Taylor’s Experiment with Pig Iron:
A Start for Scientific Management

2. Frederick Winslow Taylor

3. • Meaning: Conduct of business activities
according to standardized tools,
methods and trained personal so as to
have increased output through effective
and optimum utilization of resources.
Hence it stresses that there is always
one best way of doing things.
SCIENTIFIC MANAGEMENT:

4. 1. Science not rule of thumb -
• There should be scientific study and analysis
of each element of job rather than adopting
old rule of the thumb approach on a hit and
miss method. Encourage “thinking before
doing”.
2. Harmony not discord -
• There should be complete harmony and proper
understanding between management and
workers in achieving the organisation goals.
Principles of Scientific Management

5. Principles of Scientific Management
3. Cooperation not individualism -
• Taylor emphasized on the importance of cooperative
group effort between the management and workers in
achieving the organization's goals and not
individualism.
4. Development of workers to their greatest efficiency
and prosperity:
• The management should scientifically select the
workers; assign job as per their physical, mental and
intellectual capability and potential; and train them as
per the job requirement.

6. Midvale Steel Company USA

7. Midvale Steel Company USA

8. Bethlehem steel company

9. Major Problems Affecting Productivity
• Being an engineer, Taylor had a perfect insight into
how the work was being done by ordinary workers.
In his research he had outlined what decreased
productivity most of all:
• Workers’ negligence;
• Low safety standards at production which led to
numerous injuries;
• Poor work organization and distribution of resources;
• Soldiering (workers purposefully working below their
abilities as a response to low wages, fear to lose the
job and rule of thumb method).

10. Management Lessons
from F.W.Taylor
In 1911 The Principles of Scientific Management, a
research conducted by Frederick W. Taylor, was
published. The book made a profound impact on
what is now called management (in fact, it has given
it a real, scientific start). We now refer to him as one
of the founding fathers of management.
“Understanding of the Nature of
Productivity.”

11. • While working for Midvale Steel Company, Taylor needed to find ways to make
workers operate faster and better. In his experiment with pig iron he decided to
research whether it was possible to make them move 47 tons of pig iron instead
of 12 ½ tons. It was, as it later turned out.
• So, what did Taylor do? First of all, he selected a certain amount of physically fit,
enduring men who had strength enough to work more. In fact, he found out that
only about 12,5% of men already employed were really fit to work in the steel
industry.
• Second of all, he ordered these men to follow instructions of their supervisors
precisely, no matter how strange they could have seemed – have short rest
during the day, sit down for a while, distract from work, etc. (at that times workers
could hardly take frequent breaks or go for a stroll so these orders seemed really
weird to them).
• Next, Taylor divided the work into several operations and tracked exact time
needed to perform them. Average rates for the whole industry were thus defined
and workers wishing to keep their jobs were obliged to follow them.
• Also, Taylor found out that if the workers were left to decide how they could
organize their work on their own they failed to perform better. On the contrary, if
supervisors kept an eye on the work / rest ratio laborers could lift 47 tons a day
without tiring. Such system proved that what was previously done by 500 workers
could instead be done by 140.

13. The Patron Saint of the Shovel
• Taylor’s innovative approach to management is best illustrated in his
study of the Bethlehem Steel Company. After some research, Taylor
concluded that the efficiency of the whole operation could be greatly
enhanced if each man had a better shovel. At the time, the tools used in
the factory were one size fits all. A man who had to break through
dense, heavy substances, such as iron ore, would end up with back-
breakingly heavy loads each time he dug in. By the end of the day, these
workers were so exhausted that they could barely move.
• On the other hand, workers who had to scoop light materials, such as
ash, were stuck with identical shovels. A full scoop was so light that, as
Taylor put it, “it was manifestly impossible to even approximate a day’s
work” no matter how furiously the workers hoisted their tools. By Taylor’s
reckoning, the optimal weight of a loaded shovel should be around 21
pounds; a man could swing that weight all day without becoming
exhausted later in his shift.

15. Calling a Spade a Spade
• Instead of giving everyone the same shovel regardless of
task, Taylor offered workers eight specialized shovels that
would fit various jobs. Sure enough, the men with the
custom shovels got more work done. In fact, the tools
nearly quadrupled the productivity of each shoveling
laborer, improving the average worker’s daily output from
16 to 59 tons!
• Taylor wasn’t just efficient in the workplace—his expertise
extended to the tennis court. In 1881, he used a spoon-
shaped racket of his own design to become half of the
winning men’s doubles team at the United States National
Championship, the forerunner of the U.S. Open.

17. Frederick W Taylor
 Taylor (1856-1915) based his philosophy on 4principles (Scientific Management,
1911)
1. Development of science of management to get best method of
work
2. Scientific selection of workers to find the best fit
3. Scientific education and development of worker
4. Intimate, friendly relations between labor and management
5. Using time study as his base he broke each job into component parts
and designed quickest and best methods of performance
6. Pay more to more productive workers to motivate them- differential
rate system

18. Frederick W Taylor

20. Method, Time, Work, Motion,
Fatigue Study of F.W.Taylor

21. Techniques of scientific management
• a) Functional foremanship
• • Supervision is to be divided into several specialized
functions and each function to be entrusted to a
special foreman.
• • Each worker will have to take orders from eight
foremen in the related process of function of
production.
• •Stress on separating planning function from
executive function.

22. • b) Standardisation and
simplification of work
• Process of setting standards for every
business activity to maximize output.
• Simplification is eliminating unnecessary
varieties, sizes and grades of product
manufactured in the organisation.
Techniques of scientific management

23. c) Method study
• Finding one best way of doing a job.
• Critical analysis is made for plant layout, product design,
material handling and work processes using techniques like
process charts, operations research etc.
d) Motion study
• Making a thorough analysis of various motions being performed
by a worker while doing a particular task.
• Identifying and determining the ideal productive
• movement.
• Eliminate the unproductive movements and equipment's
Techniques of scientific management

24. e) Time study
• It is the technique used to determine the standard
time taken by the workman with reasonable skill
and ability to perform a particular task.
• Here the job is divided into series of elements and
the time required to complete each element
idealistically is recorded using a stop watch.
Techniques of scientific management

25. F) Fatigue Study
• Determines the amount and frequency of rest
intervals required in completing a task.
G) Differential Piece wage system
• Evolve a system wherein the efficient and
inefficient workers are paid at different rates, as
financial incentives act as motivators.
• First a standard task is established with the aid of
time and motion study, then two rates are
established. Higher when standard outputs is
produced and lower when the standard is not met
Techniques of scientific management

26. Advantages of scientific
management
• To the employer;
• Higher productivity
• Lower cost of production
• Better utilisation of resources
• Improved quality of work.
• To the employee;
• Improvement in working condition.
• Higher earnings
• Better skills through training

27. • To the society;
• Higher standard of living
• Better employee employer relations
• Improvement in work methods
Advantages of scientific
management

28. Definition of scientific management
• Scientific management is the art
of knowing exactly what you
want your men to do and then
seeing that they do it in the best
and cheapest way.
F.W.TAYLOR