Shop Management by Frederick Winslow Taylor (top books to read .TXT) π
In referring to high wages and low labor cost as fundamental in good management, the writer is most desirous not to be misunderstood.
By high wages he means wages which are high only with relation to the average of the class to which the man belongs and which are paid only to those
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now going on throughout the country from failure to adopt and maintain
standards for all small details is simply enormous.
It is, however, a good sign for the future that a firm such as Messrs.
Dodge & Day of Philadelphia, who are making a specialty of standardizing
machine shop details, find their time fully occupied.
What may be called the βexception principleβ in management is coming
more and more into use, although, like many of the other elements of
this art, it is used in isolated cases, and in most instances without
recognizing it as a principle which should extend throughout the entire
field. It is not an uncommon sight, though a sad one, to see the manager
of a large business fairly swamped at his desk with an ocean of letters
and reports, on each of which he thinks that he should put his initial
or stamp. He feels that by having this mass of detail pass over his desk
he is keeping in close touch with the entire business. The exception
principle is directly the reverse of this. Under it the manager should
receive only condensed, summarized, and invariably comparative reports,
covering, however, all of the elements entering into the management, and
even these summaries should all be carefully gone over by an assistant
before they reach the manager, and have all of the exceptions to the
past averages or to the standards pointed out, both the especially good
and especially bad exceptions, thus giving him in a few minutes a full
view of progress which is being made, or the reverse, and leaving him
free to consider the broader lines of policy and to study the character
and fitness of the important men under him. The exception principle can
be applied in many ways, and the writer will endeavor to give some
further illustrations of it later.
The writer has dwelt at length upon the desirability of concentrating as
much as possible clerical and brain work in the planning department.
There is, however, one such important exception to this rule that it
would seem desirable to call attention to it. As already stated, the
planning room gives its orders and instructions to the men mainly in
writing and of necessity must also receive prompt and reliable written
returns and reports which shall enable its members to issue orders for
the next movement of each piece, lay out the work for each man for the
following day, properly post the balance of work and materials accounts,
enter the records on cost accounts and also enter the time and pay of
each man on the pay sheet. There is no question that all of this
information can be given both better and cheaper by the workman direct
than through the intermediary of a walking time keeper, providing the
proper instruction and report system has been introduced in the works
with carefully ruled and printed instruction and return cards, and
particularly providing a complete mnemonic system of symbols has been
adopted so as to save the workmen the necessity of doing much writing.
The principle to which the writer wishes to call particular attention is
that the only way in which workmen can be induced to write out all of
this information accurately and promptly is by having each man write his
own time while on day work and pay when on piece work on the same card
on which he is to enter the other desired information, and then refusing
to enter his pay on the pay sheet until after all of the required
information has been correctly given by him. Under this system as soon
as a workman completes a job and at quitting time, whether the job is
completed or not, he writes on a printed time card all of the
information needed by the planning room in connection with that job,
signs it and forwards it at once to the planning room. On arriving in
the planning room each time card passes through the order of work or
route clerk, the balance clerk, the cost clerk, etc., on its way to the
pay sheet, and unless the workman has written the desired information
the card is sent back to him, and he is apt to correct and return it
promptly so as to have his pay entered up. The principle is clear that
if one wishes to have routine clerical work done promptly and correctly
it should somehow be attached to the pay card of the man who is to give
it. This principle, of course, applies to the information desired from
inspectors, gang bosses and others as well as workmen, and to reports
required from various clerks. In the case of reports, a pay coupon can
be attached to the report which will be detached and sent to the pay
sheet as soon as the report has been found correct.
Before starting to make any radical changes leading toward an
improvement in the system of management, it is desirable, and for
ultimate success in most cases necessary, that the directors and the
important owners of an enterprise shall be made to understand, at least
in a general way, what is involved in the change. They should be
informed of the leading objects which the new system aims at, such, for
instance, as rendering mutual the interests of employer and employee
through βhigh wages and low labor cost,β the gradual selection and
development of a body of first class picked workmen who will work extra
hard and receive extra high wages and be dealt with individually instead
of in masses. They should thoroughly understand that this can only be
accomplished through the adoption of precise and exact methods, and
having each smallest detail, both as to methods and appliances,
carefully selected so as to be the best of its kind. They should
understand the general philosophy of the system and should see that, as
a whole, it must be in harmony with its few leading ideas, and that
principles and details which are admirable in one type of management
have no place whatever in another. They should be shown that it pays to
employ an especial corps to introduce a new system just as it pays to
employ especial designers and workmen to build a new plant; that, while
a new system is being introduced, almost twice the number of foremen are
required as are needed to run it after it is in; that all of this costs
money, but that, unlike a new plant, returns begin to come in almost
from the start from improved methods and appliances as they are
introduced, and that in most cases the new system more than pays for
itself as it goes along; that time, and a great deal of time, is
involved in a radical change in management, and that in the case of a
large works if they are incapable of looking ahead and patiently waiting
for from two to four years, they had better leave things just as they
are, since a change of system involves a change in the ideas, point of
view and habits of many men with strong convictions and prejudices, and
that this can only be brought about slowly and chiefly through a series
of object lessons, each of which takes time, and through continued
reasoning; and that for this reason, after deciding to adopt a given
type, the necessary steps should be taken as fast as possible, one after
another, for its introduction. The directors should be convinced that an
increase m the proportion of non-producers to producers means increased
economy and not red tape, providing the non-producers are kept busy at
their respective functions. They should be prepared to lose some of
their valuable men who cannot stand the change and also for the
continued indignant protest of many of their old and trusted employees
who can see nothing but extravagance in the new ways and ruin ahead. It
is a matter of the first importance that, in addition to the directors
of the company, all of those connected with the management should be
given a broad and comprehensive view of the general objects to be
attained and the means which will be employed. They should fully realize
before starting on their work and should never lose sight of the fact
that the great object of the new organization is to bring about two
momentous changes in the men:
First. A complete revolution in their mental attitude toward their
employers and their work.
Second. As a result of this change of feeling such an increase in their
determination and physical activity, and such an improvement in the
conditions under which the work is done as will result in many cases in
their turning out from two to three times as much work as they have done
in the past.
First, then, the men must be brought to see that the new system changes
their employers from antagonists to friends who are working as hard as
possible side by side with them, all pushing in the same direction and
all helping to bring about such an increase in the output and to so
cheapen the cost of production that the men will be paid permanently
from thirty to one hundred per cent more than they have earned in the
past, and that there will still be a good profit left over for the
company. At first workmen cannot see why, if they do twice as much work
as they have done, they should not receive twice the wages. When the
matter is properly explained to them and they have time to think it
over, they will see that in most cases the increase in output is quite
as much due to the improved appliances and methods, to the maintenance
of standards and to the great help which they receive from the men over
them as to their own harder work. They will realize that the company
must pay for the introduction of the improved system, which costs
thousands of dollars, and also the salaries of the additional foremen
and of the clerks, etc., in the planning room as well as tool room and
other expenses and that, in addition, the company is entitled to an
increased profit quite as much as the men are. All but a few of them
will come to understand in a general way that under the new order of
things they are cooperating with their employers to make as great a
saving as possible and that they will receive permanently their fair
share of this gain.
Then after the men acquiesce in the new order of things and are willing
to do their part toward cheapening production, it will take time for
them to change from their old easy-going ways to a higher rate of speed,
and to learn to stay steadily at their work, think ahead and make every
minute count. A certain percentage of them, with the best of intentions,
will fail in this and find that they have no place in the new
organization, while still others, and among them some of the best
workers who are, however, either stupid or stubborn, can never be made
to see that the new system is as good as the old; and these, too, must
drop out. Let no one imagine, however, that this great change in the
mental attitude of the men and the increase in their activity can be
brought about by merely talking to them. Talking will be most usefulβin
fact indispensableβand no opportunity should be lost of explaining
matters to them patiently, one man at a time, and giving them every
chance to express their views.
Their real instruction, however, must come through a series of object
lessons. They must be convinced that a great increase in speed is
possible by seeing here and there a man among them increase his
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