Advance Management

1. The Hawthorn study:

1.1 Who conducted the study: The Hawthorne Studies (also knowns as the Hawthorne Experiments) were conducted from 1924 to early1932 at the Hawthorn plant of the Western Electric Company in Cicero, Illinois (a suburb of Chicago) was sponsored by the General Electric. The study comducted by Harvard Business School professor (joined the Harvard Business School faculty in 1926 ) Elton Mayo(1880-1949) and Fritz Roethlisberger. Mayo was born in Australia, trained in psychology. Elton Mayo started these experiments by examining the physical and environmental influences of the workplace (e.g. brightness of lights, humidity) and later, moved into the psychological aspects (e.g. breaks, group pressure, working hours, managerial leadership) and their impact on employee motivation as it applies to productivity. 1.2 Aim of the Study: To study attitudes and reactions of groups under varying conditions To study the work setting affected worker fatigue and performance in production. To identify factors other than fatigue that would diminish worker productivity

Specifically, Elton Mayo wanted to find out what effect fatigue and monotony had on job productivity and how to control them through such variables as rest breaks, work hours, temperature and humidity. In the process, he stumbled upon a principle of human motivation that would help to revolutionize the theory and practice of management. 1.3 Hawthorne Studies, a series of studies as follows : 1.3.1 Part I Illumination Experiments (1924-27): Aim: These experiments were performed to find out the effect of different levels of illumination (lighting) on productivity of labor. Experiment Process: Study involved manipulating illumination for one group of workers (Test group) and comparing their subsequent productivity with the productivity of another group of worker (Control group) whose illumination was not changed. Findings: When illumination was increased for the experimental group productivity went up in both groups. Productivity continues to increase in both groups, even when the lighting for the experimental group was decreased. Not till the lighting was reduced to the level of moonlight did productivity begin to decline. Result: The result were attributed to the fact that both groups received especial attention and sympathetic supervision for perhaps the first time. Experiments showed an increase in worker productivity was produced by the psychological stimulus of being singled out, involved, and made to feel important.

Page 1

Advance Management

Conclution: No correlation was found between changes in lighting conditions and individual work performance. It was concluded that factors other than light were also important. 1.3.2 Part II Relay Assembly Test Room Experiment (1927-1929): Aim: These experiments were performed to find out the effect of working comdition on productivity of worker. Experiment Process: Under these test small groups of six female telephone relay assemblers were selected. Each group was kept in special test room where they were observed. From time to time, changes were made in working hours, rest periods, lunch breaks, wage incentive etc. They were allowed to choose their own rest periods and to give suggestions. Findings: Output increased. Result: No matter what change they introduced, it always seemed no effect, rather improved productivity, even when working condition returned into original state because of the added attention they receive from the researchers. Conclution: People work better when they are part of a clear social structure. Social relationship among workers, participation decision-making, etc. had a greater effect on productivity than purely material gains, even material goods or physical events or wages or work hours etc. 1.3.3 Part III Terminal Bank Room of Telephone Exchange Experiment: Aim: These experiments were performed to find out the effect of piece work pay plan on productivity of a group worker. Experiment Process: A piece work incentive pay plan for a group of nine people. Scientific management would have predicted that each man would try to maximize his pay by producing as many units as possible. Findings: Researchers found that group itself informally established an acceptable level of output for its members and produced at the acceptable level and slacked off to avoid over producing. Result: The incentive pay plans did not work because wage incentives were less important to the individual workers than was social acceptance to determining output. Conclution: Induividual and social process played a majore role in shaping worker attitude and behaviour.

Page 2

Advance Management

1.3.4 Part IV - Bank Wiring Room Experiment (1932) Aim: The experiments were designed to investigate group production norms and individual motivation on productivity. Experiment Process: A group of 14 male workers in the bank wiring room were placed under observation. A worker's pay depended on the performance of the group as a whole. The researchers thought that the efficient workers would put pressure on the less efficient workers to complete the work. Findings: it found that tests of intelligence, manual dexterity, and physical health were unrelated to productivity. This means that social factors like norms of productivity overwhelmed any differences in ability among the workers. Work Condition change and Productivity Results: Conditions Results Put on piece-work for eight weeks. Output increased Give two five minute rest pauses, morning andOutput went up once more afternoon, were introduced for a period of five weeks. The breaks were each lengthened to ten minutes. Output rose sharply Six five minute pauses were introduced. The girls complained that their work rhythm was broken by the frequent pauses And output fell only slightly Return to the two rest pauses with a complimentary Output increased further still hot meal during the morning break supplied by the Company free of charge. The workday was shortened to end at 4.30 p.m.Output went up instead of 5.00 p.m. The workday was shortened to end at 4.00 p.m. Output remained the same Finally, all the improvements were taken away, andOutput was the highest ever recorded the girls went back to the physical conditions of theaveraging 3000 relays a week. Where beginning of the experiment: work on Saturday, 48under normal conditions with a forty hour week, no rest pauses, no piece work and noeight hour week, including Saturdays, free meal. This state of affairs lasted for a period ofand no rest pauses. The girls produced 12 weeks. 2,400 relays a week each. Findings: The major finding of the study was that almost regardless of the experimental manipulation employed, the production of the workers seemed to improve.

Page 3

Advance Management

Result: Individual and social process played a major role in shaping worker attitudes and behavior

1.4 Outcome of Hawthorn study:

Group feeling: Individuals became a team and the team gave itself wholeheartedly and spontaneously to co-operation to each other as a result production increased. Felt less pressure than ever before: Gettig free movment and talking opportunity, decision taken workers felt less pressure than ever before as a result production increased. The experimenter effect: The experimenter effect was that making changes was interpreted by workers as a sign that management cared, and more generally, it was just provided some mental stimulation that was good for morale and productivity A social effect: The social effect was that it seemed that by being separated from the rest and being given special treatment, the experimentee developed a certain bond and increased productivity. Opportunity to use self techniques and intelligence: Each girl had her own technique of putting the component parts of the relay together. sometimes she varied this technique in order to avoid monotony and it was found that the more intelligent the girl, the greater was the number of variations means prosuction. Sense of responsibility: Group had considerable freedom of movement. They were not pushed around or bossed by anyone. Under these conditions they developed an increased sense of responsibility so production increased. 1.5 Conclusions: General conclusions were drawn from the Hawthorne studies: Although they give some indication of the physical and mental potential of the individual, the amount produced is strongly influenced by social factors. The studies also showed that the relations that supervisors develop with workers tend to influence the manner in which the workers carry out directives. These experimentations led Mayo to conclude that logical factors were far less important than emotional factors in determining productive efficiency. Of all the human factors influencing employee behavior the most powerful were the workers participation in social groups. Effective management must recognize that, the work performed by individuals must satisfy their personal, subjective requirement of social satisfaction, as well as the companys requirement of productive output.

Page 4

Advance Management

The social and psychological factors are responsible for workers' productivity and job satisfaction. Only good physical working conditions are not enough to increase productivity. The informal relations among workers influence the workers' behavior and performance more than the formal relations in the organization. Employees will perform better if they are allowed to participate in decision-making affecting their interests. Employees will also work more efficiently, when they believe that the management is interested in their welfare. When employees are treated with respect and dignity, their performance will improve. Financial incentives alone cannot increase the performance. Social and Psychological needs must also be satisfied in order to increase productivity. Good communication between the superiors and subordinates can improve the relations and the productivity of the subordinates. Special attention and freedom to express their views will improve the performance of the workers.

1.6 Criticism of Hawthorne Studies / Experiments:

The Hawthorne Experiments are mainly criticized on the following grounds:Lacks of Validity: The Hawthorne experiments were conducted under controlled situations. These findings will not work in real setting. The workers under observation knew about the experiments. Therefore, they may have improved their performance only for the experiments. More Importance to Human Aspects: The Hawthorne experiment gives too much importance to human aspects. Human aspects alone cannot improve production. Production also depends on technological and other factors. More Emphasis on Group Decision-making: The Hawthorne experiments placed too much emphasis on group decision-making. In real situation, individual decision-making cannot be totally neglected especially when quick decisions are required and there is no time to consult others. Over Importance to Freedom of Workers: The Hawthorne experiments give a lot of importance to freedom of the workers. It does not give importance to the constructive role of the supervisors. In reality too much of freedom to the workers can lower down their performance or productivity.

Page 5

Advance Management

2. Mary Parker Follett

2.1 Mary Parker Follett: Mary Parker Follett (18681933) was an American social worker, consultant, and author of books on democracy, human relations, and management. Follett was born into an affluent Quaker family at Massachusetts in the United States of America and spent much of her early life there. She studied philosophy, law and political science at Thayer Academy and Radcliffe College and also studied in Cambridge and Paris. While at Radcliffe she spent a year at Newnham College, Cambridge. Her research thesis at Radcliffe was published in 1896 as The Speaker of the House of Representatives (and quickly became a standard work). 2.2 Her works: 1. Mary Parker Follett worked as a management and political theorist, introducing such Phrases as: "Conflict resolution," "Authority and power," and "The task of leadership." 2. Follett was considered as a prophet emphasizing for togetherness and group thinking. 3. Follett was one of the first to integrate the idea of organizational conflict into management theory, and is sometimes considered the "mother of conflict resolution." 4. She looks at management and leadership holistically, presaging modern systems approaches; she identifies a leader as "someone who sees the whole rather than the particular." 5. Mary Parker Follett stressed the interactions of management and workers. 6. She is known for her pioneering ideas introducing human psychology and human relations into industrial management. 7. She published many works, including: 1. The Speaker of the House of Representatives (1896) 2. The New State (1918) 3. Creative Experience (1924) 4. Dynamic Administration (1942) -this collection of speeches and short articles was published posthumously 2.3 Aim of the Study: Follett attempted to establish a management philosophy based on the grounds that any enduring society, any productive society, must be founded upon a recognition of the motivating desires of the individual and the group.

Page 6

Advance Management

2.4 Procedure of the study: She Suggested: worker help in analyzing their job and If worker have relevant knowledge of the task then they should control the task. 2.5 Findings of the study: He recognizes the human element in the workplace. Her work clearly anticipated the behavioral management perspective and she appreciated the need to understand the role of behavior in organization. 1. She emphasis on human relations. 2. People becoming part of groups and important for people to work together and understand each others roles. 3. The importance of the functioning of groups, not just individuals, in organization. She identified Group thinks Effect in decision making. Creativity exercises such as brainstorming and most importantly, MBO (Management by Objectives); which we know is mutual goal setting. TQM/CQI (Total Quality Management, Continuous Quality Improvement) An Integrated effort designed to improve quality performance at every level of the organization. 4. Follett advocated for the principle of power with rather than Power over in management employee relations. She was an advocate of honor and civility in the workplace as well as the idea that - power and authority derives from function, not the privilege of office. Such ideas and her strong belief in grassroots empowerment were quite revolutionary at the time. 5. She strongly believes in the inherent problem solving ability of people working in groups which is one assumption of theory Y by Douglas McGregor. 6. Follett asserts power should be cooperatively shared for the purpose of resolving conflict rather than assuming classical management's strongly hierarchical position of power in organizations. She argued for somewhat decentralization of power and less bureaucracy in organization. 7. Follett said Remember that life is fluid she has tried to say situation or the environment is constantly changing, and continuously interactive. We need to behave in a certain way to response to the new situation. 8. She is best known for her integration method of conflict resolution as opposed to the three choices she sites of domination, compromise or voluntary submission by one side over another. She hypothesized that managers could resolve conflict in one of four ways: (i) One side giving in, (ii) One side forcing the other to submit, (iii) Compromise (iv) Integration.

Page 7

Advance Management

9. She recognized that a new principle of association was needed because people had not yet learned how to live together in harmony. 10.She professed that this principle (i.e., the group concept) will be the basis for the future industrial system, new approach to politics and new international order. 11.Follett sought to bridge the gap between the mechanistic approach of Taylor and the subsequent approach of emphasizing human relations

2.6 Conclusions: Follet maintained that the basic problem of any organization was harmonizing and coordinating group effort. Coordination was the core of management and called for attention to the following facets: Coordination by direct contact Coordination as a continuous process Coordination as a reciprocal relation in all aspects of a situation

Page 8

Advance Management

3. Time And Motion Study

3.1 Who conducted the study? Time study is the work of US industrial engineer Frederick Winslow Taylor (1856-1915). Motion study is the work of Frank Gilbreth (1868-1924) and Dr. Lillian Gilbreth (18781972). 3.2 Time and motion study: Lillian Gilbreth introduced psychology to management studies and Frank Gilbreth (husband of Lillian) discovered scientific management while working in the construction industry, eventually developing motion studies independently of Taylor. These logically complemented Taylor's time studies, as time and motion are two sides of the efficiency improvement coin. The two fields eventually became time and motion study which is a business efficiency technique. Time study developed in the direction of establishing standard times, while motion study evolved into a technique for improving work methods. The two techniques became integrated and refined into a widely accepted method applicable to the improvement and upgrading of work systems. This integrated approach to work system improvement is known as methods engineering and it is applied today to industrial as well as service organizations. Time and Motion Studies introduced fixed performance standards for time, cost, and quality of work. Which lead to uniformity of work, as a result the efficiency of the workers could be compared with each other. 3.2.1 Time Studies Taylor was born into a wealthy Philadelphia family in 1856 and study law at Harvard University, He is generally considered the father of scientific management. Dissatisfied with what he perceived as a lack of efficiency among American workers, Taylor began a series of time management studies that resulted in his best-known work, The Principles of Scientific Management (1911), in which he set forth a system of efficient work that eventually was adopted by managers throughout the United States. For doing time study need to understand some terminology such as: Timing: The observer records the actual time taken to do the element or operation. Rating: To adjust the actual time to a standardized basic time that is appropriate. Rating is on a scale with 100 as its standard rating, Elements: Several smaller parts (elements) which, separately, will each be timed and rated. Basic time: This is the standardised time for carrying out an element of work at standard rating. Allowances: Extra time is allowed for various conditions Frequency: element 2 only occurs once every eight cycles so its basic time is one eighth of the element time Standard time: Basic time + allowances 3.2.2 Aim of the Study:

Page 9

Advance Management

The aim of time study is to establish a time for a qualified worker to perform specified work under stated conditions and at a defined rate of working. Time study is tried and tested method of work measurement for setting basic times and hence standard times for carrying out specified work. 3.2.3 Procedure of Time study: Time study means to record the time taken for doing each part of a job. For this need: The full job is first observed and analyzed. Then it is divided into different elements (parts). Later the time taken for doing each part of the job is recorded using a timekeeping device (e.g., decimal minute stopwatch, computer-assisted electronic stopwatch, and videotape camera).

Time Calculation Flow:

Establishing Standard Job Method

Job Breaking

Job Study ? Performance Rating Avg. Time Computing

Normal Time Computing

Total minutes of activiyies/no. of total activities

Nt=(t)(RF) or Normal Time=(elemental average time)x (rating factor)

Standard Time Computing

Standard time ST=(Nt) (1+AF) or Standard Time=(Normal cycle time) x (1+Allowance factor)

Time study is often used when: - There are repetitive work cycles of short to long duration, - Wide variety of dissimilar work is performed, or - Process control elements constitute a part of the cycle. The requirements for taking a time study are quite strict, such as:

Page 10

Advance Management

The observer must be fully qualified to carry out Time Study, The person performing the task must be fully trained and experienced in the work, The work must be clearly defined and the method of doing the work must be effective The working conditions must be clearly defined.

3.2.4 Findings of the study: Time study helps the management to know exactly how much time it will take to do a particular job. This helps the management to fix the amount of work to be done by each worker in one hour or in one day. That is, management can fix a standard output of work for a certain period of time. Conclusion: Time study will prevent the workers from passing time, working slowly and doing less work. Time study helps to increase the productivity of the organization. Criticism of Time study: Disguised tool of management Employee Initiatives inhibited Individual interpretation

Page 11

Advance Management

3.3 Motion study: Frank and Lillian Gilbreth (Husband and Wife) Motion study is the determination of the best way of doing a job based on the careful scrutiny of the work performed within the organization eliminating unnecessary, inefficient and wasteful movements while doing the job. Motion study consists of careful analysis of body motions used in doing a job to assist in eliminating and reducing ineffective or wasteful movement and reduce the total time taken for performing the work. Frank Gilbreth with his engineering background backed by the knowledge of psychology of his wife, Lillian Gilbreth stated Motion study as Analyzing an activity into its smallest possible elements and from the results synthesizing a method of performing the activity that shall be more efficient. 3.3.1 Aim of the motion study: - To find out better ways to perform the action. - To reorganize each job action to be more efficient. 3.3.2 Procedure of the study: Breaking up each job action into its components: (1) A complex task is broken into small, simple steps, (2) The sequence of movements taken by the employee in performing those steps is carefully observed to detect and eliminate redundant or wasteful motion, and (3) Precise time taken for each correct movement is measured. From these measurements production and delivery times and prices can be computed and incentive schemes can be devised. Generally appropriate only for repetitive tasks. Steps of Developing Motion Study Understanding the general nature of existing method of performing work. Studying the existing method in detail analyzing and timing in detail each and every motion. This involves use of many alternative techniques such as Simple motion study, Micro motion study, two handed process chart, SIMO, Cycle graph, Chronocyclegraph, and Memo-motion study.

Page 12

Advance Management

Record the facts. Develop alternative improved methods. Evaluate and compare alternative method. This step leads to identification of the best method. Define and document the new improved method. Install the new method. Where required this involves provision of standard tools and working environment, it also includes training of the workmen in new methods of working. Maintain the new method. Taylors Bricklaying motion study Experiment: In 1885,Gilbreth started out as an apprentice bricklayer. There he noticed three techniques: one, for just a regular day, second was to hurry up to finish a wall, and third, just to stretch out the job to fill the day and think which should be "The One Best Way. Frank and Lillian Gilbreth used cameras, they studied workers (masons) doing common movement for bricklaying. They found that the workers do many wasted motions while doing their work such the job had been stooping 125 times per hour for brick and 125 times for mortar that is the traditional method resulted in fatigue and The time-consuming, So, they asked the workers to stop all unnecessary motions and to do only the motions which were necessary for doing the job. By using Gilbreths method, a man could lay more bricks, standing normally and return home after a full days work not nearly as tired and reduced the motions per brick from 18 to 5 and increased the number of bricks laid per hour from 125 to 350. In folding cotton cloth, 20 to 30 motions were reduced to 10 or 12, with the result that instead of 150 dozen pieces of cloth, 400 dozen were folded, with no added fatigue. Conclusion: The Gilbreth Motion Study reduced tiredness, increased productivity of workers by eliminating wasted motions. 3.3.3 Some Findings derived from motion Studies: Motion study helps in determination of the best way of doing a job Eliminating unnecessary and inefficient processes reduce fatigue and helped in recognizing the key skills for doing the job effectively. Motion study helps in simplification and standardization of method by a systematic approach. This approach ensures that the new methods make work easier as well as more effective. Greater motivation improved efficiency in the work which in turn increased the productivity resulting in better employer-employee relationships. 3.4 Conclusion: Time and motion study have to be used together in order to achieve rational and reasonable results. It is particularly important that effort be applied in motion study to ensure equitable results when time study is used. In fact, much of the difficulty with time study is a result of applying it without a thorough study of the motion pattern of the job. Motion study can be considered the foundation for time study. The time study measures

Page 13

Advance Management

the time required to perform a given task in accordance with a specified method and is valid only so long as the method is continued.

Page 14