Scientific Management Theory Noman Mushtaq 03 Javeria Farooq 04 Muhammad Fayyaz 05 Muhammad Suleman 11
Scientific Management Theory A term coined in 1910 to describe the system of industrial management created and promoted by Frederick W. Taylor (1856– 1915) and his followers. Also called Taylorism, it was a theory of management that analyzed and synthesized workflows Main objective was improving economic efficiency, especially labor productivity. It was one of the earliest attempts to apply science to the engineering of processes and to management. Any system of organization that clearly spelled out the functions of individuals and groups
Advantages and Disadvantages of SMT
Advantages/Benefits Enhanced production: The scientific management theory is responsible for enhanced production as it concentrates on steady improvements in business operations. There is fruitful cooperation between managers and workers and hence enhanced team work is achieved. The harmonious relationship between the management and workers assists in production in the organization also called Taylorism, it was a theory of management that analyzed and synthesized workflows 2. Ability to control : The best part of scientific management theory is that the managers are able to have good control over production. Employees become specialists in their field as they do the same task repeatedly; this makes it easy for the manager to have control over employees.
Advantages/Benefits 3. Quick decision making : Planning ahead of time and prompt decision making are few good aspects of scientific management theory . 4 . Benefit to customers : With the help of scientific management theory there is triple benefits for the consumers. Consumers pay fewer prices and are able to get best quality products. They are also able to attain better living standards . 5. Cost of production is reduced: The mechanization and latest use of technology in production of goods enhances productivity. Since there is enhanced large scale production, there is decrease in per unit cost of production.
Disadvantages/Limitations 1 . Requires huge capital: The theory requires investment of huge capital and is considered as a costly system. The establishment of work study, planning department, training of workers, and standardization requires more money . 2. Planning reduces productivity: Though the capability to plan ahead is an advantage, the downside of planning is that it makes work inflexible and ridged and may lead to carelessness and dissatisfaction. This is directed to less productivity . 3 . Not suitable for teams: Scientific management theory doesn’t work fruitful for teams and groups as they have the capability to abuse and exploit human beings which may lead to conflicts. There is no scope for individual preference with this theory. Functional foremanship was followed by Taylor, where the workers were required to report to eight bosses. By this way the unity of command was broken, where the worker needs to report to just one boss. When there is no unity of command, there is confusion and disorder in the organization.
Disadvantages/Limitations 4 . Work division: By applying scientific management theory there is separation of work such as in planning any function and executing them. Since management takes complete responsibility, there is reduction in workers role into rigid and adherence procedures where, the workers have no idea. 5. Planning reduces productivity: Though the capability to plan ahead is an advantage, the downside of planning is that it makes work inflexible and ridged and may lead to carelessness and dissatisfaction. This is directed to less productivity . 6 . Avoids bargaining: Since the scientific approach follows piece work pay system, there is not chance for any realistic bargaining regarding the wage rates, as the tasks are timed, measured and rated scientifically.