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Industrial Economics and Management, Schemes and Mind Maps of Industrial economy

The features, principles, and techniques of F.W. Taylor's scientific management and Henri Fayol's 14 principles of management. It explains how Taylor's approach aimed to increase efficiency and reduce wastage in production by standardizing work methods, equal division of work and responsibility, scientific selection of workers, and mental revolution. Fayol's principles focus on top-level management and include division of work, unity of command, unity of direction, subordination of individual interest, scalar chain, order, equity, stability, initiative, and esprit de corps. The document also highlights the advantages and disadvantages of both approaches.

Typology: Schemes and Mind Maps

2022/2023

Available from 10/06/2022

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F.W. Taylor's Scientific
Management:
Features , Principles &
Techniques &
Henri Fayol's 14
Principles of
Management
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F.W. Taylor's Scientific

Management:

Features , Principles &

Techniques &

Henri Fayol's 14

Principles of

Management

Introduction to F.W.

Taylor's Scientific Management

  • (^) The Scientific management theory/approach is one of the most

important theories of traditional public administration formulated

by Frederick Winslow Taylor who was an engineer by profession

and always viewed each and every thing and its aspects

scientifically and since he was into the production field ,he was

to be concerned with increasing efficiency of workers to increase

production within the least possible time with the least possible

resources

  • (^) Thus ,ruling out wastage to the maximum and increase profits to

the maximum

Basic principles of

Scientific management

Standardisation of work methods

Equal division of work and responsibility between management

and workers

Scientific selection of workers and their progressive

development

Mutual collaboration of workers and management

Standardisation of work methods

  • (^) A scientific method for each job/task of a worker via scientific

observation and analysis of a particular job to find out the one

best way to do that task that would lead to reduced work for the

worker as he could do more with limited number of movements

Use of benchmarks and standardized tools and equipment and

methods would improve quality control and inspections thus

reducing cost of production and increasing efficiency

Scientific selection of workers

and their progressive

development

  • (^) He advocated through this principle the need for the

management to study the nature and character of each

job/work and then scientifically choose the right worker for the

same who possess the necessary skills for the same

It is also the duty of the management to study the limitations

and possibilities of workers for their development as Taylor

believed that every worker had a definite potential for

development

Mutual collaboration of workers

and management

  • (^) According to this principle there should be active cooperation

and cordial relations between management and workers instead

of distrust in order to increase the production and efficiency of

the company

A healthy environment needs to be created

Mental Revolution

  • (^) He advocated a change in the attitudes of workers and

management towards each other and their responsibilities

  • (^) Managers should stop worrying about accumulating the most

and instead focus on generating the most that will lead to more

funds for them

  • (^) The workers should stop worrying about increasing wages

without putting in extra effort and instead increase their

responsibilty, efficiency and production that will definitely lead

to raise in their salaries sooner or later

Division of work

  • (^) Planning function to be taken over by management who were

appointed for the same as they have been trained and skilled

for the same and workers to concentrate on completing their

functional task as per the rules and guidelines and methods

planned by the former

Work study and work

measurement

  • (^) Work should be studied systematically and scientifically and

various laws and rules are to be applied to everyday work to

find the one best way to do that job

Work as an individual activity

  • (^) He asserted that people were only motivated by personal

ambition and tends to lose his individuality/individual drive in a

group setting

He stated that workers should have no verbal interaction as it

leads to undue personal pressures

Standardisation of tools

  • (^) Taylor himself developed and invented many standardized tools

to increase production and efficiency and those after a

successful stint became the benchmark to be used for those

particular jobs

Task prescription

  • (^) It means that a worker should get a clear prescription and

description of what task is to be done by them in clear language

and instructions that is understandable by them by the

management through proper planning

Incentive scheme

  • (^) If a worker achieves a greater output than the target assigned

to them would then receive a bonus payment for each piece

extra

And the bonus should be generous and consistent to encourage

the workers to produce more

Techniques of Scientific

Method

Work-Study

Standardization of Tools and Equipment

Scientific Task Setting

Scientific Setting of Wage Rates

Scientific Selection and Training

Functional Foremanship

Differential Piece-Rate Plan