Trade-off to Productivity

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Trade-off to Productivity

Introduction

 As modern contemporary society draws its attention to labor-intensive approach to production, business analyst has become interested in determining what could constitute to increasing workforce efficiency. This was when the concept of motivation came into place and intellectual leaders in the likes of Frederick Winslow Taylor began formulating a model or framework that would suffice for economic efficiency alongside work productivity. It is not a surprise that economic institutions began extending its resources to help power the thriving and yet promising business economy. Frederick Winslow Taylor initiated the application of blending in the principles of science to the engineering of process and the principle of management. Having said this, this paper would like to discuss the trade-offs that organizations have to compromise to ensure productivity.

Compromising Certain Matters for Productivity

As per Taylor’s point of view, the profitability of an organization could only be ensured if one best way to perform every activity in each job is known and defined. Manager along with the teaching workers were charged to disseminate these techniques to the field workers. The strategies of rewarding and punishing must be communicated to the workers. The managers would also be encouraged to use these strategies. Taylor expressed that this technique was used by him in a coal shovelers steel company to enhance the productivity. He experimented that a group of workers can lift a load of coal ranging 5 to 30 pounds. He discovered that most of the shovels could be moved in one day if it weighed about 21 pounds. He developed variety of the shovels ranging weighing 21 pounds of particular density. Taylor also taught use of these shovels. This increased the production of the coal and also wage of the workers per day. It was observed that in a particular year the company increased saving about 80,000 dollars per year and worker’s strength was also enhanced (Ivanko, 2013).

It has been observed that most of the business persons unconsciously adopt the boot strapping strategy in order to manage the constraints of resources. They are not able to articulate principles that direct them to take such decision. The continual usage of the bootstrapping strategy, the businessmen are persistently engaging themselves in such like behaviors. They are benefiting themselves in the terms of profitability, efficiency and productivity. The entrepreneurs who discover this knowledge through persistent tinkering remains embedded. They try to get output best under the specific condition. This knowledge provides the entrepreneurs the level of confidence in taking decision as per the requirement and prevailing circumstances. It has been established that the entrepreneurs who are not involved in this activity, would not adopt or apply these knowledges. Prior to adopting this knowledge, most of the businessmen consider it not appropriate as per their requirement. The study also reveals that the entrepreneurs must also go through in detail of the study before implementing it in the business. This is a factual statement that one can learn better by passing through the entrepreneurial journey and learn by trial and mistake. This trial and retrial method gives the businessmen various options to adopt and finally he learns the best one. Learning by doing is more effective than by reading. He can better understand that which activity works the best. Hence in each journey of entrepreneurial activity, some of the lesson has been learnt for himself and others. These studies and journeys reveals lessons for those entrepreneurs who have the myth that business can’t be taught and is a skill by birth. For those who do not believe on scientific management these studies and observations play a significant role. It has been depicted from the research that prior to establishment of scientific management concept traditionally guided principles for small or large enterprises were followed.

Conclusion

Change in these traditional principles was not accepted at all despite of getting persistent losses in business. They kept on trying those obsolete principles to enhance their profitability. Despite continuous failure, they did not accept concept of scientific management. Taylor, in this context, played tremendous role by introducing scientific management principle. This introduction was revolutionary in entrepreneurship and contributed a lot in scientific basis of the management. Prior to the establishment of scientific management theory, there were no proper rules, sequences, procedures and activities to carry out for prosperous business. With the use of scientific rigor, study and observations in entrepreneurial phenomena like, bootstrapping and bricolage; number of rules and procedures has been developed. These procedures and sequences of activities were so generalized that could be used in most of businesses. Examinations under the rules and principles framed by scientific management could lead the business towards prosperity (Giannantonio & Hurley-Hanson, 2011).

References

Giannantonio, C. M., & Hurley-Hanson, A. E. (2011). The Principles of Scientific Management 100 Years Later. Journal of Business and Management, 17(1), 7-10.

Ivanko, Š. (2013). Modern Theory of Organization. Ljubljana, Slovenia: University of Ljubljana Press.