Communication in Organisations Scientific Management S. Grabbe, M.Orthwein, R.Weiser

1. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Introduction: Before Taylor

2. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser • How did they “manage” before Taylor? • The predecessors of scientific management.

3. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Early examples of management guidebooks • Ancient Egypt :Management “text scroll” by Ptah-hotep, vizier (chancellor) of king Issi, about 2700 b.C. Mainly concerned with construction activities (building of pyramids.)

4. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser • Dynastic China: a textbook with guidelines for all levels of the civil service of the Chow –dynasty empire (1122-249 b.C.), issued about 1100 b.C. • Ancient Greece: numerous texts, for instance parts of Plato’s “Politeia” (about 400 b.C.)

5. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser • Europe, the Middle Ages: rules for organising projects, management of resources in convents and monasteries. • Germany, 1676 „Ein Beyspiel wohlgemeinter Projekte, um Arbeiter zu Manufakturen zu bekommen und denen fleißigen Armen zu helfen“ by “Projektmacher” Kraft.

6. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser • England, 1776, “An Inquiry into the Nature and Cause of the Wealth of Nations” by Adam Smith. • England, 1835, “The Philosophy of Manufactures” by Ure • England, 1832, “On the Economy of Machinery and Manufactures” by Charles Babbage

7. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser • The Babbage – principle: Lower your personal costs by employing just the necessary qualification for each task (job). • Germany after 1870: numerous textbooks with guidelines for proper use of statistical and formalisation methods (Bourcart 1874; Roesky 1878; Tolkmitt 1894; Schmidt 1901; Nyhoegen 1908 etc.) • France, 1916: Henri Fayol “Administration Industrielle et Générale”. 

8. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Was there a “reason for the emergence of Taylorism” at the beginning of the 20th century?

9. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser • progress in mechanisation, • division of labour, • rising demand for goods, • large supply of unskilled workforce (mainly from eastern Europe and rural USA), • necessity for restructuring of the manufacturing process, • all the “parts of the puzzle” already there, • strong belief in limitless possibilities offered by science.

10. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser

11. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Frederick Winslow Taylor – Father of Scientific Management – Biography

12. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser • 1856 • born in a wealthy Quaker family • compulsive • always counting and analysing to act more efficiently • dutiful

13. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser • started preparing studies for Harvard • gave up his studies because of an eye disease • against the will of his parents: apprenticeship as a machinist

14. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser 1878 – Midvale Steel Company (1) • developed his system of Scientific Management • tried to fight against “soldiering” and to raise the efficiency of the company “Let me show you how to do that.” (Copley 1993, I., p.174)

15. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Midvale Steel Company (2) “If he (Taylor) set up a law which must be obeyed, it was the law, not of his own will, but of the one best way. (Copley 1993, I., p.175) “… immediately started a war … which as time went on grew more and more bitter” (Copley 1993, I.) “If Mr. Taylor’s actions were largely uncomprehensible to those around him, it was because he always acted in accordance with the fundamental reasons of things.” Henry L. Gantt (Copley 1993, I., p.174)

16. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Midvale Steel Company (3) “Fines were inflicted not only for not only for damage to machines, tools, work, or other property of the company, but also for violation of the rules such as reporting late or leaving without permission.” (Copley 1993, I., p.168) “He was one of the first men in industry to set out systematically to combat the drink evil.” (Copley 1993, I., p.178)

17. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser 1898 – Bethlehem Steel Company • got his nickname “Speedy” Taylor • discovered „high-speed-steel” • became popular for his discovery at the world exhibition in Paris in 1900 • invented many tools to speed up and facilitate the working processes

18. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser 1901 – Serving the public without pay (1) “…I retired from money-making business in 1901 and have never received a cent of pay for any work that I have done in the interest of Scientific Management. On the contrary I have devoted nearly all of my time and money to furthering the cause of Scientific Management.”

19. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Serving the public without pay (2) This is done entirely with the idea of getting better wages for the workmen – of developing the workmen coming under our system so as to make them all higher class men – to better educate them – to help them to live better lives, and, above all, to be more happy and contented. This is a worthy object for a man to devote his live to.” (Copley, Father of Scientific Management II, p.238)

20. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser 1906 – President of the American Society of Mechanical Engineers 1911 – “The Principles of Scientific Management” published

21. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser 1915 – F.W. Taylor died of pneumonia • broken and discouraged man • in the same year his approach was rejected by the Congress

22. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Principles of Scientific Management

23. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Scientific: • measure a wide range of variables • the two stages of scientific time study • stage 1: Analysis • stage 2: Synthesis

24. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Management: • set objectives and visions • organize • decide • control • develop and support employees

25. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Scientific Management: • reveal the one best way of performing any task • reduce the number of methods • specify the skills • develop tools

26. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Mental Revolution: • application of the principles of science • mutual submission to the scientific method • transform relationship between management and workers

27. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Five Principles of Scientific Management • clear division of tasks between management and workers • find the one best way of doing a job • scientific selection of the worker • training and development • cooperation

28. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Systematic Soldiering: • common restriction of output • avoidance to work at maximum speed

29. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Can you imagine reasons for Systematic Soldiering?

30. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Functional Foremanship: • restrict every employee • divide the job of the general foreman • supervision

31. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Why do you think functional foremanship never gained widespread popularity?

32. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Establish Cost Accounting • labour variance • identify bottlenecks • rewards and punishments

33. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Humans: • first class man • modern machine theory • units of production • scoial aspects are irrelevant

34. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Unions: • no place for unions • individual assessment

35. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Underlying Assumptions: • capitalism • protestant work ethic • increased output is desirable

36. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Experiments in scientific management: • Bethlehem Steel company (1898) • show the advantages of task work

37. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser

38. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser

39. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser

40. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser

41. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Simulation

42. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Summary

43. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser After Taylor – what has become of his ideas?

44. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser In The USA: • The attitude of the workers and their organisations • The attitude of the management. • “Efficiency craze” 1911

45. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser • The failed attempt to implement Taylorism at the Waterdown Arsenal and • subsequent attitude of the American government.

46. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser • Lillian and Frank Gilbreth. • Henry Laurence Gantt. • Henry Ford and Fordism. • Implications of Taylorism and Fordism.

47. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser In Germany •  The attitude of the engineer elite. • German economy during WW I and after. • REFA. • And what about today?

48. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Criticism of Scientific Management (1) : • “If a man won’t do what is right,” said Taylor, “make him.” (Copley 1993, I., p.183) • What does this citation show about the nature of Scientific Management in practice? • Think about critical aspects of Scientific Management

49. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Criticism of Scientific Management (2) • Taylor was naive • too harsh • contradicted himself • called his ideas ‘principles’ • human being is viewed as an automaton

50. Communication in OrganisationsScientific ManagementS. Grabbe, M.Orthwein, R.Weiser Criticism of Scientific Management (3) • worker is only motivated through money • neglected the subjective side of work • didn’t care for the reaction of workers • ignored the psychological needs and capabilities of the workers (Buchanan/Huczynski 1997, p.359)