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Frederick Winslow Taylor (1886–1915) used a scientific approach to try to work out how employees could work more efficiently to become more productive.
Can you think of any jobs where a piece rate system would not work?
He also suggested that staff are motivated by pay, so they should be paid piece rate to urge them to work harder.
To do this, he timed some workers whilst they completed their tasks and worked out how they could have done the tasks faster. He concluded that workers should be made to perform tasks in the most time effective ways.
This theory of group motivation became known as the Hawthorne Effect (after the electric plant).
The psychologist George Elton Mayo (1880–1949) wanted to know whether staff working conditions affected their productivity.
Mayo concluded that workers are motivated by respect and being part of a social group.
Mayo found that the workers became more productive – even when he made their working conditions worse.
Do you think the workers’ productivity changed? Why?
Mayo monitored a small group of electric plant workers. He explained to them that he was going to keep changing their working conditions but would warn them first.