Maximizing efficiency, reducing costs and increasing profits are facts which will be always of high interest for companies. In the course of development of organizations different approaches have emerge to fulfill these interest. The purpose of this essay is to compare scientific management and human relations theory. The paper will start by explaining both schools of management. Differences and similarities will be discussed on the followings. With the help of these facts it can be shown how different these theories are and whether they achieve the same ends. 2. Explanation of scientific management
Frederick Winslow Taylor was the founder of the scientific management (SM) also referred to as Taylorism (Thompson and McHugh, 2009, p.28). Optimize operational procedures and to implement the human recourse to be as effective as possible was the aim Taylor wanted to achieve. Therefore, it was necessary to change the existing proportion between management and workers regarding, who is responsible for the way the work has to be done (Thompson and McHugh, 2009, p.30). In the past the workers received their knowledge about working procedures from the previous generations or worked it out by themselves. However, there was no assurance if the way of doing the job was the most effective one (Thompson, 2003, p.31). To fix these problems and to make enterprises more profitable Taylor looked at the scientific side of establishments and developed four management principles. The first one is the principle of “developing a science for each element of work” (Thompson and McHugh, 2009, p.30). Within this principle Taylor summarizes the whole accumulated knowledge of the workers and the company. Hence, he creates rules and norms for each process. Furthermore, he divided the processes in small parts and analyzed them concerning their lead time and course of movement. As a result Taylor could identify and eliminate interference factors (Taylor, 1911, p.24). After these processes the second principle follows referring to the workers. Before Taylor developed this principle there was no selection or training of the workforce. Employees worked on their own and improved their skills and routines as good as possible. Now, a scientific based selection took place. Furthermore, the staff was exactly informed what they had to do and in which kind of way they had to do it (Taylor, 1911, p.36). Nevertheless, one problem was left and this was about motivation. Taylor named a number of different reasons, why the men worked very slowly and not as quickly as possible. This behavior was called “soldering”. One of Taylor’s explanations is the assumption of those men that if they work faster and maximize their output that this would finally lead to a reduction of the workforce (Taylor, 1911, p.13). However, the opposite is the case. Working faster means that the same number of people produce more goods. As a result unit costs decrease and the company can sell the merchandises to lower prices. Accordingly demand and also the profit rises and thereby the enterprise can pay higher wages to their employees. Resulting from this, Taylor implemented an incentive payment system to reward these workers who work more than others. Thus, he motivated the men in an economical way and reduced the might of the work-teams (Littler, 1982, p.55). The third principle is about “cooperation between management and the workers to ensure that the work is done according to the science” (Thompson and McHugh, 2009, p.30). This principle has two aims. On the one hand Taylor wants to achieve that the whole workforce follows the defined processes. On the other hand management and workers should work together. It is essential that both parties realize that it is more profitable for the company and their selves when they work hand in hand. Furthermore this is a key determinant to translate scientific management from theory into practice (Taylor, 1911, p.26)....
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