History of Management Thought Daniel A. Wren Chapter 8

1. 6 individuals railed around Taylor & prominent in
scientific management
1860 - 1939
Bor n in Nor way
Pr ofile
Hor ten Technical School
1881 emigr ated to Amer ica
a mathematical genius
appr enticeship as a machinist in Horten Navy Yar d
chief machine designer at William Seller s
Company of Philadelphia
Car eer
instr uctor at Ethical Cultur e Day School
in New Yor k City
joined Taylor in Betlehem
lectur er on scientific management at
Univer sity of Chicago (1914-1916) and
Har var d (1911-1916 and 1919-1922)
The M ost Orthodox : Carl Barth
Lenny Mar tini - 29006014
Part II The Scientific M anagement Era
Ch. 8 - Spreading The Gospel of Efficiency
Tabor Manufactur ing Company
Henr y Gantt began under Taylor 's guidance, contr ibuted significantly,
developed some notions in his later year s
Gilbr eth added motion study, study of fatigue, emphasized study of
psychology of scientific management
solution : a combination of a cr ude or embr yonic
logar ithmic slide r ule & set of table that allowed
instant solution for any machine feed & speed pr oblem
help Henr y L. Gannt with speed & feed
pr oblems at Betlehem
Car l Bar th as a faithful executioner of Taylor's Or thodoxy
Pr ojects
assisted Taylor in fir st installation of
scientific management
Link-Belt Company
Fair bank Scale
Yale and Towne
Summary
Water town Ar senal
Har r ington Emer son polished notion of efficiency, developed gener al staff concept
assisted Geor ge Babcock installing scientific management in
Fr anklin Motor Car Company (1908 - 1912)
Mor r is Cooke br ought scientific management to educational & municipal or ganizations
1872-1960
basic for moving assembly line
better ment in the company : higher pr oduction r ate, higher
wages, less labor tur nover and higher pr ofit
gained mechanical engineer ing degr ee fr om Leigh Univer sity (1895)
1861-1919
1911 : dir ector of public wor ks in gover nment of Philadelphia
bor n in Mar yland
1916 : opened consulting fir m
contr ibuted to War Depar tment dur ing WW I
gr aduated with distinction fr om John
Hopkins Univer sity in 1880
Pr ofile & Car eer
adviser of pr esident of Amer ican Feder ation of Labor
Pr ofile
adviser of pr esident of Amer ican Feder ation of Labor
administr ator of the Rur al Electr ification Administr ation
vice pr esident of ASME in 1914
adviser for Pr esident Har r y S. Tr uman
patented mor e than a dozen inventions
extending gospel of efficiency to educational & municipal or ganization
lectur er at Stevens, Columbia, Har var d and Yale
economic study of administr ation in educational or ganizations : Car negie Foundation
teacher of natur al science & mechanics
at McDonagh (1880-1883)
measur e the cost of input effor ts & r esulting output in teaching & r esear ch
inbr eeding
management pr actices in education wer e wor se than industr ial pr actice
assistant in engineer ing depar tment of
Midvale Steel Company in 1887
his findings
committee management was a cur se
Car eer
depar tments enjoyed excessive autonomy
seeds of SKS system
gained mechanical engineer ing degr ee
fr om Stevens Institute of Technology
(1886-1887)
published over 150, including 3 major books
New Yor k State Power Author ity
a studen t h our
The Gospel in NonIndustrial
Organization : M orris Cooke
life tenur e for pr ofessor s should be scr apped & unfit teacher s r etir ed
joined Taylor at Midvale
super intendent at Simonds Rolling
Machine Company
joined Taylor again at Betlehem Steel
consultant of Industr ial Engineer ing after
1901, ser ved mor e than 50 clients
pr ofessor should spend mor e time in teaching & r esear ch
administr ation handled by specialist
mutually inter est between labor & management
r ecommendations
assistant should be used mor e widely
scientific selection of wor ker s
pr ofessional pay should based on mer it not longevity
Concepts
salar y incr eased should be based on mer it or efficiency
cost of teaching & r esear ch should be mor e closely contr olled by the
central administration
incentive r ate to stimulate per for mance
detail instr uction on wor k
efficient utilization of labor thr ough
scientific investigation
saved gar bage-collection costs
har monious cooper ation between labor & management
r eduction in utility r ates
incentive system
organized labor as antagonist
fir ed inefficient wor ker s
established pension & benefit funds
The Task & Bonus System
contr ibution to municipal of Philadelphia
bonus if wor ker completed job in the
allowed time or less
opened channels of communication for wor ker s & manager s
wr ote Our Cities Aw ake
adapted idea of E.P. Ear le to give bonus
for fir st-line super visor
task & bonus system
concept of par ticipation in management decision making
shift r ole of first-line super visor fr om
dr iver to a teacher and helper for
subor dinate
concept of a dministrative leadership
develop har monious cooper ation between labor & management
ear ly landmar k of human behavior thought
1853-1931
encounter ed r esistance fr om the super visor
Spreading The
Gospel of Efficiency
educated in Eur ope
wor ked at Bur lington Railr oad
did scientific investigation of the task, analysis and study of time and
motions, standar dization of conditions, winning wor ker cooper ation
consultant to the Atchison, Topeka & Santa Fe Railr oad
unsuppor ted management & str ike by wor ker s
case of Sayles Bleacher ies
r equir e intensive tr aining & development of
employees as par t of his consulting wor k
founder of Emer son Consultant
Pr ofile & Car eer
testified on Taylor 's system & other efficiency systems
habits of industr y : mor e involvement of super visor
in incr easing wor ker 's skill and knowledge
exper t in Hoover Committee
published Elimin ation of Waste in I n dustry
industr iousness & cooper ation, would facilitate the
acquisition of other knowledge
The M ost Unorthodox : H.L. Gantt
found Efficien cy Society (1912)
policy of the futur e will be to teach & lead
for ming Association of Con sultin g Man agemen t Engineers
The Habits of Industr y
Th e High Priest of Efficiency
installed better methods & equipment
centr alized the manufactur e of mater ial & tools
1904
habit to be taught to wor ker s is doing pr omptly & to
the best of his ability the wor k set befor e him
pr ide that comes fr om quality & quantity of wor k
Contr ibution
management have to cr eate pr oper atmospher e of
cooper ation with and confidence in the employees
individual r ewar d system
inefficiency found in r ailr oad, manufactur ing, agr icultur e & education
lower cost & gr eater pr oductivity for the employer
Ideas
har monious cooper ation between labor &
management ar e vital to success
one of the gr eatest pr oblems was the lack of or ganization
fixing of habits of industr y thr ough hor izontal bar s
gener al staff
illustr ating the pr ogr ess of wor ker towar d meeting the task standar d
each subject vital to militar y effor ts was studied to per fection by a
separ ate staff specialist
gr aph r ecor d and help decide who get and not get the bonus
the specialists for med a supr eme gener al staff to advise the commander
plan, dir ect, and advise ever ything about well-being of employees
advise str uctur e, machines, tools, equipment
management can pinpoint deficiencies & pr ovide
feedback to the wor ker s
Line & Staff Or ganization
char ting for getting better per for mance
4 subgr ouping
pur chase & handling of mater ials
daily pr oduction balance
Efficiency Through Organization :
Harrington Emerson
make standar ds, r ecor ds, and accounting
super vision & author ity left to the line, basis on planning, advice by staff
other implementations
not using ter m objectives
expense of idle machiner y
Gr aphic Aids to Management
cost accounting
case at Fr ankford Ar senal
r atio of standar ds divided by actual cost
20% bonus for 100% efficiency
cost contr ol
quantity of wor k per machine
advantage : special knowledge, facilitated coor dination without splitting chain of command
distinct histor ical & planned cost accounting
higher wages, incr eased skill, gr eater pleasur e & pr ide for wor ker s
impact
waste&efficiency as the evils of US industr ial system
Gener al William Cr ozier developed pr ogr ess &
per for mance char ts
incentive system
scheduling pr oblems
case at Depar tment of Ar my dur ing WW I
1. clear ly defines ideal
seeds of CBHRM
3. competen t counsel
foundation of other 11 pr inciples
management can take cor r ective actions befor e completion date
1-5 , concer ned with people
ear ned him Distinguished Ser vice Medal fr om the gover nment
Wallace Clar k popular ized idea of Gantt Char t
4. discipline
management establish system of justice & fair ness in all dealings with wor ker s
management lack of infor mation to contr ol &
coor dinate pr ivate contr actor s
Gantt's solution : bar char t of planning & contr olling wor k
2. common sense
5. fair deal
basic for moder n for m of PERT
infor mation & accounting system
6. r eliable, immediate, accur ate & per manent r ecor ds
planning & r outing of wor k
methods & time for task
Pr inciples of Efficiency
based on fact
Leader ship concept
12 Prin ciples of Efficien cy
inspir e fr om Char les Fer guson
1916 : New Machine
8. standar ds & schedule
9. standar dized condition
influenced by wor ld events
business leader s had alr eady emphasized pr ofits,
sought monopolies, and for gotten to give ser vice to
the community
11. wr itten standar d pr actice instr uctions
the incentive plan
acquir e political and economic power
engineer s would for m ar istocr acy of the capable
Gantt : The Later Year s
6-12 , concer ned with methods, institutions & systems
10. standar dized oper ations
seeds of SOP
industr ial engineer as leader
str essing pr oductive efficiency
7. dispatching
12. efficiency r ewar d
opinion
business system must accept its social r esponsibility
and devote itself to community ser vice
the engineer should be accor ded the economic leader ship
Pr ofile & Car eer
Fr ank Bunker Gilbr eth (1868-1924)
Lilian Moller Gilbr eth (1878-1972)
Systematizing the Constr uction Industr y
Extending Motion and Fatigue Study
par ticipated in coining the phr ase
"scientific management"
Partners for Life : The Gilbreths
Suppor t for The Scientific Management Movement
wr ote Pr imer of Scientific Management
pr ovide the philosophy & pr actice of
scientific management
for m Society to Pr omote the Science of Management
later become Taylor Society
time & motion study wer e fundamentally complementar y
The Psychology of Management
Other contr ibution of The Gilbr eth
8- Spreading Gospel of Efficiency - Lenny 29006014.mmap - 24/09/2006 -