SUMMARY
Results to the Work. — Under the teaching of Traditional Management, the learner may or may not improve the quantity and quality of his work. This depends almost entirely on the particular teacher whom the learner happens to have. There is no standard improvement to the work.
Under the teaching of Transitory Management, the work gains in quantity as the methods become standardized, and quality is maintained or improved.
Under the teaching of Scientific Management, work, the quantity of work, increases enormously through the use of standards of all kinds; quantity is oftentimes tripled.
Under the teaching of Scientific Management, when the schools and Vocational Guidance movement coöperate, high output of required quality will be obtained at a far earlier stage of the worker's industrial life than is now possible, even under Scientific Management.
Results to the Worker. — Under Traditional Management, the worker gains a knowledge of how his work can be done, but the method by which he is taught is seldom, of itself, helpful to him. Not being sure that he has learned the best way to do his work, he gains no method of attack. The result of
the teaching is a habit of doing work which is good, or bad, as chance may direct.
Under Transitory Management, with the use of Systems as teachers, the worker gains a better method of attack, as he knows the reason why the prescribed method is prescribed. He begins to appreciate the possibilities and benefits of standardized teaching.
The method laid down under Scientific Management is devised to further the forming of an accurate accumulation of concepts, which results in a proper method of attack. The method of instruction under Scientific Management is devised to furnish two things:
1. A collection of knowledge relating in its entirety to the future work of the learner.
2. A definite procedure, that will enable the learner to apply the same process to acquiring knowledge of other subjects in the most economical and efficient way.
It teaches the learner to be observant of details, which is the surest method for further development of general truths and concepts.
The method of attack of the methods provided for in Scientific Management results, naturally, in a comparison of true data. This is the most efficient method of causing the learner to think for himself.
Processes differing but little, apparently, give vastly different results, and the trained habits of observation quickly analyze and determine wherein the one process is more efficient than the other.
This result is, of course, the one most desired for causing quick and intelligent learning.
The most valuable education is that which enables the learner to make correct judgments. The teaching under Scientific Management leads to the acquisition of such judgment, plus an all-around sense training, a training in habits of work, and a progressive development.
A partial topic list of the results may make more clear their importance.
1. Worker better trained for all work.
2. Habits of correct thinking instilled.
3. Preparedness provided for.
4. Productive and repetitive powers increased.
5. Sense powers increased.
6. Habits of proper reaction established.
7. "Guided original work" established.
8. System of waste elimination provided.
9. Method of attack taught.
10. Brain fully developed.
11. "Standard response" developed.
12. Opportunities and demands for "thinking" provided.
13. Self-reliance developed.
14. Love of truth fostered.
15. Moral sentiment developed.
16. Resultant happiness of worker.
Results To Be Expected in the Future. — When the schools, vocational guidance and teaching under Scientific Management coöperate, the worker will not only receive the benefits now obtained from Scientific Management, but many more. There will
be nothing to unlearn, and each thing that is learned will be taught by those best fitted to teach it. The collection of vocational guidance data will begin with a child at birth, and a record of his inheritance will be kept. This will be added to as he is educated, and as various traits and tendencies appear. From this scientifically derived record will accrue such data as will assist in making clear exactly in what place the worker will be most efficient, and in what sphere he will be able to be most helpful to the world, as well as to himself. All early training will be planned to make the youth adept with his muscles, and alert, with a mind so trained that related knowledge is easily acquired.
When the vocation for which he is naturally best fitted becomes apparent, as it must from the study of the development of the youth and his desires, the school will know, and can give exactly, that training that is necessary for the vocation. It can also supplement his limitations intelligently, in case he decides to follow a vocation for which he is naturally handicapped.
This will bring to the industry learners prepared to be taught those things that characterize the industry, the "tricks of the trade," and the "secrets of the craft," now become standard, and free to all. Such teaching Scientific Management is prepared to give. The results of such teaching of Scientific Management will be a worker prepared in a short time to fill efficiently a position which will allow of promotion to the limit of his possibilities.
The result of such teaching will be truly educated
workers, equipped to work, and to live,[65] and to share the world's permanent satisfactions.
The effect of such education on industrial peace must not be underestimated. With education, including in education learning and culture, — prejudice will disappear. The fact that all men, those going into industries and those not, will be taught alike to be finger wise as well as book wise, up to the time of entering the industries, will lead to a better understanding of each other all through life.
The entire bearing of Scientific Management on industrial peace cannot be here fully discussed. We must note here the strong effect that teaching under Scientific Management will ultimately have on doing away with industrial warfare, — the great warfare of ignorance, where neither side understands the other, and where each side should realize that large immediate sacrifices should be made if necessary, that there may be obtained the great permanent benefit and savings that can be obtained only by means of the heartiest coöperation.
[ 1]. F.B. Gilbreth, Bricklaying System, para. 541-545.
[ 2]. H.K. Hathaway, Prerequisites to the Introduction of Scientific Management, Engineering Magazine, April, 1911, p. 141.
[ 3]. H.L. Gantt, paper 928, A.S.M.E., p. 372.
[ 4]. H.L. Gantt, Work, Wages and Profits, p. 116.
[ 5]. H.L. Gantt, paper 928, A.S.M.E., p. 342.
[ 6]. F.W. Taylor, Shop Management, para. 289, Harper Ed., pp. 127-128.
[ 7]. H.K. Hathaway, Engineering Magazine, April, 1911, p. 144.
[ 8]. W.D. Ennis, An Experiment in Motion Study, Industrial Engineering, June, 1911, p. 462.
[ 9]. C.S. Myers, M.D., An Introduction to Experimental Psychology, chap. V, p. 73.
[10]. G.M. Stratton, Experimental Psychology and Culture, p. 125.
[11]. William James, Psychology, Briefer Course, p. 171.
[12]. F.B. Gilbreth, Bricklaying System, chap. I, Training of Apprentices.
[13]. McClure's Magazine, May, 1911, Dec, 1911, Jan., 1912.
[14]. As a woodman's keenness of hearing.
[15]. M.W. Calkins, A First Book in Psychology, chap. III.
[16]. Stratton, Experimental Psychology and Culture, chap. VII.
[17]. Compare with an actor's learning a part.
[18]. As proved by experimenting with a six-year-old child.
[19]. Imbert, Etudes experimentales de travail professionnel ouvrier, Sur la fatigue engendree par les mouvements rapides.
[20]. William James, Psychology, Briefer Course, p. 134.
[21]. Ibid., p. 138. William James, Psychology, Advanced Course. p. 112.
[22]. F.B. Gilbreth, Bricklaying System, p. 142.
[23]. Stratton, Experimental Psychology and Culture, p. 214.
[24]. Prof. Bain, quoted In William James' Psychology, Briefer Course, pp. 145-147.
[25]. F.B. Gilbreth, Bricklaying System, para. 18-19.
[26]. M.W. Calkins, A First Book in Psychology, p. 354.
[27]. James Sully, The Teacher's Handbook of Psychology, p. 119.
[28]. Stratton, Experimental Psychology and Culture, p. 99.
[29]. Stratton, Experimental Psychology and Culture p. 240.
[30]. Attracting the attention is largely a matter of appealing to what is known to interest, for example, to a known ambition.
[31]. M.S. Read, An Introductory Psychology, p. 183.
[32]. F.B. Gilbreth, Motion Study, p. 89.
[33]. Ibid., </>Bricklaying System, para. 555-557.
[34]. F.B. Gilbreth, Bricklaying System, p. 150.
[35]. M.S. Read, An Introductory Psychology, pp. 179-194.
[36]. G.M. Stratton, Experimental Psychology and Culture, p. 42.
[37]. M.S. Read, An Introductory Psychology, p. 208.
[38]. William James, Psychology, Advanced Course, Vol. I, p. 667.
[39]. M.S. Read, An Introductory Psychology, pp. 212-213. William James, Psychology, Briefer Course, p. 302.
[40]. M.W. Calkins, A First Book in Psychology, p. 25.
[41]. James Sully, The Teacher's Handbook of Psychology, p. 290.
[42]. William James, Psychology, Briefer Course, p. 150.
[43]. W.D. Scott, Influencing Men in Business, chap. II.
[44]. Ibid., chap. III.
[45]. W.D. Scott, The Theory of Advertising, p. 71.
[46]. W.D. Scott, Increasing Human Efficiency in Business, p. 41.
[47]. G.M. Stratton, Experimental Psychology and Culture, p. 200.
[48]. F.W. Taylor, The Principles of Scientific Management, p. 36.
[49]. William James, Talks to Teachers, chap. III.
[50]. Knight's Mechanical Dictionary, Vol. III, p. 2204.
[51]. For example, see W.D. Scott's Increasing Efficiency in Business, chap. IV.
[52]. R.A. Bray, Boy Labor and Apprenticeship, chap. II, especially p. 8.
[53]. Wilfred Lewis, Proceedings of the Congress of Technology, 1911, p. 175.
[54]. November, 1910.
[55]. The Link-Belt Co., Philadelphia, Pa.
[56]. For value of personality see J.W. Jenks's, Governmental Action for Social Welfare, p. 226.
[57]. F.W. Taylor, Shop Management, para. 311, Harper Ed., p. 143.
[58]. Compare with the old darkey, who took her sons from a Northern school, where the teacher was white, in order to send them to a Southern school having a colored teacher that they might feel, as they looked at him, "What that nigger can do, this nigger can do."
[59]. M.S. Read, An Introductory Psychology, pp. 297-303.
[60]. Hugo Münsterberg, American Problems, p. 29.
[61]. Morris Llewellyn Cooke, Bulletin No. 5 of The Carnegie Foundation for the Advancement of Teaching, p. 70. William Kent, Discussion of Paper 647, A.S.M.E., p. 891.
[62]. A well known athlete started throwing a ball at his son in infancy, to prepare him to be an athlete, thus practically sure of a college education.
[63]. Meyer Bloomfield, The Vocational Guidance of Youth, Houghton Mifflin & Co.
[64]. A. Pimloche, Pestalozzi and the Foundation of the Modern Elementary School, p. 139.
[65]. Friedrich Froebel, Education of Man, "To secure for this ability skill and directness, to lift it into full consciousness, to give it insight and clearness, and to exalt it into a life of creative freedom, is the business of the subsequent life of man in successive stages of development and cultivation."
[CHAPTER IX]
INCENTIVES
Definition of Incentive. — An "incentive" is defined by the Century Dictionary as "that which moves the mind or stirs the passions; that which incites or tends to incite to action; motive, spur." Synonyms — "impulse, stimulus, incitement, encouragement, goad."
Importance of the Incentive. — The part that the incentive plays in the doing of all work is enormous. This is true in learning, and also in the performance of work which is the result of this learning: manual work and mental work as well. The business man finishing his work early that he may go to the baseball game; the boy at school rushing through his arithmetic that he may not be kept after school; the piece-worker, the amount of whose day's pay depends upon the quantity and quality he can produce; the student of a foreign language preparing for a trip abroad, — these all illustrate the importance of the incentive as an element in the amount which is to be accomplished.
Two Kinds of Incentives. — The incentive may be of two kinds: it may be first of all, a return, definite or indefinite, which is to be received when a certain
portion of the work is done, or it may be an incentive due to the working conditions themselves. The latter case is exemplified where two people are engaged in the same sort of work and start in to race one another to see who can accomplish the most, who can finish the fixed amount in the shortest space of time, or who can produce the best quality. The incentive may be in the form of some definite aim or goal which is understood by the worker himself, or it may be in some natural instinct which is roused by the work, either consciously to the worker, or consciously to the man who is assigning the work, or consciously to both, or consciously to neither one. In any of these cases it is a natural instinct that is being appealed to and that induces the man to do more work, whether he sees any material reward for that work or not.
Definitions of Two Types. — We may call the incentive which utilizes the natural instinct, "direct incentive," and the incentive which utilizes these secondarily, through some set reward or punishment, "indirect incentive." This, at first sight, may seem a contradictory use of terms — it may seem that the reward would be the most direct of incentives; yet a moment's thought will cause one to realize that all the reward can possibly do is to arouse in the individual a natural instinct which will lead him to increase his work.
Indirect Incentives Include Two Classes. — We will discuss the indirect incentives first as, contrary to the usual use of the word "indirect," they are most easy to estimate and to describe. They divide themselves into two classes, reward and punishment.
Definition of Reward. — Reward is defined by the Century Dictionary as — "return, recompense, the fruit of one's labor or works; profit," with synonyms, "pay, compensation, remuneration, requital and retribution." Note particularly the word "retribution," for it is this aspect of reward, that is, the just outcome of one's act, that makes the reward justly include punishment. The word "reward" exactly expresses what management would wish to be understood by the incentive that it gives its men to increase their work.
Definition of Punishment. — The word "punishment" is defined as — "pain, suffering, loss, confinement, or other penalty inflicted on a person for a crime or offense by the authority to which the offender is subject," with synonyms, "chastisement, correction, discipline."
The word punishment, as will be noted later, is most unfortunate when applied to what Scientific Management would mean by a penalty, though this word also is unfortunate; but, in the first place, there is no better word to cover the general meaning; and in the second place, the idea of pain and suffering, which Scientific Management aims to and does eliminate, is present in some of the older forms of management Therefore the word punishment must stand.
Rewards and Punishments Result in Action. — There can be no doubt that a reward is an incentive. There may well be doubt as to whether a punishment is an incentive to action or not. This, however, is only at first glance, and the whole thing rests
on the meaning of the word "action." To be active is certainly the opposite of being at rest. This being true, punishment is just as surely an incentive to action as is reward. The man who is punished in every case will be led to some sort of action. Whether this really results in an increase of output or not simply determines whether the punishment is a scientifically prescribed punishment or not. If the punishment is of such a nature that the output ceases because of it, or that it incites the man punished against the general good, then it does not in any wise cease to be an active thing, but it is simply a wrong, and unscientifically assigned punishment, that acts in a detrimental way.
Soldiering Alone Cuts Down Activity. — It is interesting to note that the greatest cause for cutting down output is related more closely to a reward than a punishment. Under such managements as provide no adequate reward for all, and no adequate assurance that all can receive extra rewards permanently without a cut in the rate, it may be advisable, for the worker's best interests, to limit output in order to keep the wages, or reward, up, and soldiering results. The evils of soldiering will be discussed more at length under the "Systems of Pay." It is plain, however, here that soldiering is the result of a cutting down of action, and it is self-evident that anything which cuts down action is harmful, not only to the individual himself, but to society at large.
Nature of Rewards and Punishments. — Under all types of management, the principal rewards consist
of promotion and pay, pay being a broad word used here to include regular wages, a bonus, shorter hours, other forms of remuneration or recompense; anything which can be given to the man who does the work to benefit him and increase his desire to continue doing the work. Punishments may be negative, that is, they may simply take the form of no reward; or they may be positive, that is, they may include fines, discharge, assignment to less remunerative or less desirable work, or any other thing which can be given to the man to show him that he has not done what is expected of him and, in theory at least, to lead him to do better.
Nature of Direct Incentives. — Direct incentives will be such native reaction as ambition, pride and pugnacity; will be love of racing, love of play; love of personal recognition; will be the outcome of self-confidence and interest, and so on.
The Reward Under Traditional Management Unstandardized. — As with all other discussions of any part or form of Traditional Management, the discussion of the incentive under Traditional Management is vague from the very nature of the subject. "Traditional" stands for vagueness and for variation, for the lack of standardization, for the lack of definiteness in knowledge, in process, in results. The rewards under Traditional Management, as under all types of management, are promotion and pay. It must be an almost unthinkably poor system of management, even under Traditional Management, which did not attempt to provide for some sort of promotion of the man who did the most and best
work; but the lack of standardization of conditions, of instructions, of the work itself, and of reward, makes it almost impossible not only to give the reward, but even to determine who deserves the reward. Under Traditional Management, the reward need not be positive, that is, it might simply consist in the negation of some previously existing disadvantage. It need not be predetermined. It might be nothing definite. It might not be so set ahead that the man might look forward to it. In other words it might simply be the outcome of the good, and in no wise the incentive for the good. It need not necessarily be personal. It could be shared with a group, or gang, and lose all feeling of personality. It need not be a fixed reward or a fixed performance; in fact, if the management were Traditional it would be almost impossible that it would be a fixed reward. It might not be an assured reward, and in most cases it was not a prompt reward. These fixed adjectives describe the reward of Scientific Management — positive, predetermined, personal, fixed, assured and prompt. A few of these might apply, or none might apply to the reward under Traditional Management.
Reward a Prize Won by One Only. — If this reward, whether promotion or pay, was given to someone under Traditional Management, this usually meant that others thereby lost it; it was in the nature of a prize which one only could attain, and which the others, therefore, would lose, and such a lost prize is, to the average man, for the time at least, a dampener on action. The rewarding of the winner,
to the loss of all of the losers, has been met by the workmen getting together secretly, and selecting the winners for a week or more ahead, thus getting the same reward out of the employer without the extra effort.
Punishment Under Traditional Management Wrong in Theory. — The punishment, under Traditional Management, was usually much more than negative punishment; that is to say, the man who was punished usually received much more than simply the negative return of getting no reward. The days of bodily punishment have long passed, yet the account of the beatings given to the galley slaves and to other workers in the past are too vividly described in authentic accounts to be lost from memory. To-day, under Traditional Management, punishment consists of
1. fines, which are usually simply a cutting down of wages, the part deducted remaining with the company,
2. discharge, or
3. assignment to less pleasant or less desirable work.
This assignment is done on an unscientific basis, the man being simply put at something which he dislikes, with no regard as to whether his efficiency at that particular work will be high or not.
Results Are Unfortunate. — The punishment, under Traditional Management, is usually meted out by the foreman, simply as one of his many duties. He is apt to be so personally interested, and perhaps involved, in the case that his punishment will
satisfy some wrong notions, impulse of anger, hate, or envy in him, and will arouse a feeling of shame or wounded pride, or unappreciation, in the man to whom punishment is awarded.
Direct Incentives Not Scientifically Utilized. — As for what we have called direct incentive, the love of racing was often used under Traditional Management through Athletic Contests, the faults in these being that the men were not properly studied, so that they could be properly assigned and grouped; care was not always exercised that hate should not be the result of the contest; the contest was not always conducted according to the rules of clean sport; the men slighted quality in hastening the work, and the results of the athletic contests were not so written down as to be thereafter utilized. Love of play may have been developed unconsciously, but was certainly not often studied, Love of personal recognition was probably often utilized, but in no scientific way. Neither was there anything in Traditional Management to develop self-confidence, or to arouse and maintain interest in any set fashion. Naturally, if the man were in a work which he particularly liked, which under Traditional Management was a matter of luck, he would be more or less interested in it, but there was no scientific way of arousing or holding his interest. Under Traditional Management, a man might take pride in his work, as did many of the old bricklayers and masons, who would set themselves apart after hours if necessary, lock themselves in, and cut bricks for a complicated arch or fancy pattern, but such pride was in no way fostered
through the efforts of the management. Pugnacity was aroused, but it might have an evil effect as well as a good, so far as the management had any control. Ambition, in the same way, might be stimulated, and might not. There is absolutely nothing under Traditional Management to prevent a man being ambitious, gratifying his pride, and gratifying his pugnacity in a right way, and at the same time being interested in his work, but there was nothing under Traditional Management which provided for definite and exact methods for encouraging these good qualities, seeing that they developed in a proper channel, and scientifically utilizing the outcome again and again.
Pay for Performance Provided for by Transitory Management. — Under Transitory Management, as soon as practicable, one bonus is paid for doing work according to the method prescribed. As standardization takes place, the second bonus for completing the task in the time set can be paid. As each element of Scientific Management is introduced, incentives become more apparent, more powerful, and more assured.
Direct Incentives More Skillfully Used. — With the separating of output, and recording of output separately, love of personal recognition grew, self-confidence grew, interest in one's work grew. The Athletic Contest is so conducted that love of speed, love of play, and love of competition are encouraged, the worker constantly feeling that he can indulge in these, as he is assured of "fair play."
Incentives Under Scientific Management Constructive. —
It is most important, psychologically and ethically, that it be understood that Scientific Management is not in any sense a destructive power. That only is eliminated that is harmful, or wasteful, or futile; everything that is good is conserved, and is utilized as much as it has ever been before, often much more than it has ever been utilized. The constructive force, under Scientific Management, is one of its great life principles. This is brought out very plainly in considering incentives under Scientific Management. With the scientifically determined wage, and the more direct and more sure plan of promotion, comes no discard of the well-grounded incentives of older types of management. The value of a fine personality in all who are to be imitated is not forgotten; the importance of using all natural stimuli to healthful activity is appreciated. Scientific Management uses all these, in so far as they can be used to the best outcome for workers and work, and supplements them by such scientifically derived additions as could never have been derived under the older types.
Characteristics of the Reward. — Rewards, under Scientific Management are —
(a) positive; that is to say, the reward must be a definite, positive gain to the man, and not simply a taking away of some thing which may have been a drawback.
(b) predetermined; that is to say, before the man begins to work it must be determined exactly what reward he is to get for doing the work.
(c) personal; that is, individual, a reward for that particular man for that particular work.
(d) fixed, unchanged. He must get exactly what it has been determined beforehand that he shall get.
(e) assured; that is to say, there must be provision made for this reward before the man begins to work, so that he may be positive that he will get the reward if he does the work. The record of the organization must be that rewards have always been paid in the past, therefore probably will be in the future.
(f) the reward must be prompt; that is to say, as soon as the work has been done, the man must get the reward. This promptness applies to the announcement of the reward; that is to say, the man must know at once that he has gotten the reward, and also to the receipt of the reward by the man.
Positive Reward Arouses Interest and Holds Attention. — The benefit of the positive reward is that it arouses and holds attention. A fine example of a reward that is not positive is that type of "welfare work" which consists of simply providing the worker with such surroundings as will enable him to work decently and without actual discomfort. The worker, naturally, feels that such surroundings are his right, and in no sense a reward and incentive to added activity. The reward must actually offer to the worker something which he has a right to expect
only if he earns it; something which will be a positive addition to his life.
Predetermined Reward Concentrates Attention. — The predetermined reward allows both manager and man to concentrate their minds upon the work. There is no shifting of the attention, while the worker wonders what the reward that he is to receive will be. It is also a strong factor for industrial peace, and for all the extra activities which will come when industrial conditions are peaceful.
Personal Reward Conserves Individuality. — The personal reward is a strong incentive toward initiative, towards the desire to make the most of one's individuality. It is an aid toward the feeling of personal recognition. From this personal reward come all the benefits which have been considered under individuality.[1]
Fixed Reward Eliminates Waste Time. — The fact that the reward is fixed is a great eliminator of waste to the man and to the manager both. Not only does the man concentrate better under the fixed reward, but the reward, being fixed, need not be determined anew, over and over again; that is to say, every time that that kind of work is done, simultaneous with the arising of the work comes the reward that is to be paid for it. All the time that would be given to determining the reward, satisfying the men and arguing the case, is saved and utilized.
Assured Reward Aids Concentration. — The assured reward leads to concentration, — even perhaps
more so than the fact that the reward is determined. In case the man was not sure that he would get the reward in the end, he would naturally spend a great deal of time wondering whether he would or not. Moreover, no immediate good fortune counts for much as an incentive if there is a prospect of bad luck following in the immediate future.
Need for Promptness Varies. — The need for promptness of the reward varies. If the reward is to be given to a man of an elementary type of mind, the reward must be immediately announced and must be actually given very promptly, as it is impossible for anyone of such a type of intellect to look forward very far.[2] A man of a high type of intellectual development is able to wait a longer time for his reward, and the element of promptness, while acting somewhat as an incentive, is not so necessary.
Under Scientific Management, with the ordinary type of worker on manual work, it has been found most satisfactory to pay the reward every day, or at the end of the week, and to announce the score of output as often as every hour. This not only satisfies the longing of the normal mind to know exactly where it stands, but also lends a fresh impetus to repeat the high record. There is also, through the prompt reward, the elimination of time wasted in wondering what the result will be, and in allaying suspense. Suspense is not a stimulus to great activity, as anyone who has waited for the result of a doubtful examination can testify, it being almost impossible
to concentrate the mind on any other work until one knows whether the work which has been done has been completed satisfactorily or not.
Promptness Always an Added Incentive. — There are many kinds of life work and modes of living so terrible as to make one shudder at the thoughts of the certain sickness, death, or disaster that are almost absolutely sure to follow such a vocation. Men continue to work for those wages that lead positively to certain death, because of the immediateness of the sufficient wages, or reward. This takes their attention from their ultimate end. Much more money would be required if payment were postponed, say, five years after the act, to obtain the services of the air-man, or the worker subject to the poisoning of some branches of the lead and mercury industries.
If the prompt reward is incentive enough to make men forget danger and threatened death, how much more efficient is it in increasing output where there is no such danger.
Immediate Reward Not Always Preferable. — There are cases where the prompt reward is not to be preferred, because the delayed reward will be greater, or will be available to more people Such is the case with the reward that comes from unrestricted output.
For example, — the immediacy of the temporarily increased reward caused by restricting output has often led the combinations of working men to such restriction, with an ultimate loss of reward to worker, to employer, and to the consumer.
Rewards Possible of Attainment by All. — Every
man working under Scientific Management has a chance to win a reward. This means not only that the man has a "square deal," for the man may have a square deal under Traditional Management in that he may have a fair chance to try for all existing rewards. There is more than this under Scientific Management. By the very nature of the plan itself, the rewards are possible of achievement by all; any one man, by winning, in no way diminishes the chances of the others.
Rewards of Management Resemble Rewards of Workers. — So far the emphasis, in the discussion of reward, has been on the reward as given to the worker, and his feeling toward it. The reward to the management is just as sure. It lies in the increased output and therefore the possibility of lower costs and of greater financial gain. It is as positive; it is as predetermined, because before the reward to the men is fixed the management realizes what proportion that reward will bear to the entire undertaking, and exactly what profits can be obtained. It is a fundamental of Scientific Management that the management shall be able to prophesy the outputs ahead. It will certainly be as personal, if the management side is as thoroughly systematized as is the managed; it will be as fixed and as assured, and it certainly is as prompt, as the cost records can be arranged to come to the management every day, if that is desired.
Results of Such Rewards. — There are three other advantages to management which might well be added here. First, that a reward such as this attracts the best men to the work; second, that the
reward, and the stability of it, indicates the stability of the entire institution, and thus raises its standing in the eyes of the community as well as in its own eyes; and third, that it leads the entire organization, both managed and managing, to look favorably at all standardization. The standardized reward is sure to be attractive to all members. As soon as it is realized that the reason that it is attractive is because it is standardized, the entire subject of standardization rises in the estimation of every one, and the introduction of standards can be carried on more rapidly, and with greater success.
Rewards Divided into Promotion and Pay. — Rewards may be divided into two kinds; first, promotion and, second, pay. Under Scientific Management promotion is assured for every man and, as has been said, this promotion does not thereby hold back others from having the same sort of promotion. There is an ample place, under Scientific Management, for every man to advance. [3] Not only is the promotion sure, thus giving the man absolute assurance that he will advance as his work is satisfactory, but it is also gradual.[4] The promotion must be by degrees, otherwise the workers may get discouraged, from finding their promotion has come faster than has their ability to achieve, and the lack of attention, due to being discouraged, may be contagious. It is, therefore, of vital importance that the worker be properly selected, in order that, in his advancement and promotion, he shall be able to achieve
his task after having been put at the new work. He must be advanced and promoted in a definite line of gradual development, in accordance with a fully conceived plan. This should be worked out and set down in writing as a definite plan, similar to the plan on the instruction card of one of his tasks.
Promotion May Be to Places Within or Without the Business. — In many lines of business, the business itself offers ample opportunity for promoting all men who can "make good" as rapidly as they can prepare themselves for positions over others, and for advancement; but under Scientific Management provision is made even in case the business does not offer such opportunities.[5] This is done by the management finding places outside their own organization for the men who are so trained that they can be advanced.
Such Promotion Attracts Workers. — While at first glance it might seem a most unfortunate thing for the management to have to let its men go, and while, as Dr. Taylor says, it is unfortunate for a business to get the reputation of being nothing but a training school, on the other hand, it has a very salutary effect upon the men to know that their employers are so disinterestedly interested in them that they will provide for their future, even at the risk of the individual business at which they have started having to lose their services. This will not only, as Dr. Taylor makes clear, stimulate many men in the establishment whose men go on to take the places of those who
are promoted, but will also be a great inducement to other men to come into a place that they feel is unselfish and generous.
Subdivisions of "Pay." — Under "Pay" we have included eight headings:
1. Wages
2. Bonus
3. Shorter hours
4. Prizes other than money
5. Extra knowledge
6. Method of attack
7. Good opinion of others
8. Professional standing.
Relation Between Wages and Bonus. — Wages and bonus are closely related. By wages we mean a fixed sum, or minimum hourly rate, that the man gets in any case for his time, and by bonus we mean additional money that he receives for achievement of method, quantity or quality. Both might very properly be included under wages, or under money received for the work, or opportunities for receiving money for work, as the case might be. In the discussion of the different ways of paying wages under Scientific Management, there will be no attempt to discuss the economic value of the various means; the different methods will simply be stated, and the psychological significance will be, as far as possible, given.
Before discussing the various kinds of wages advised by the experts in Scientific Management, it is well to pause a moment to name the various sorts of methods of compensation recognized by authorities.
David F. Schloss in his "Method of Industrial Remuneration" divides all possible ways of gaining remuneration into three —
1. the different kinds of wages
1. time wage
2. piece wage
3. task wage
4. progressive wage
5. collective piece wage
6. collective task wage
7. collective progressive wage
8. contract work
9. coöperative work
with
2. profit sharing, and
3. industrial coöperation. These are defined and discussed at length in his book in a lucid and simple manner.
It is only necessary to quote him here as to the relationship between these different forms, where he says, page 11, — "The two leading forms of industrial remuneration under the Wages System are time wages, and piece wages. Intermediate between these principal forms, stands that known as task wage, while supplemental to these two named methods, we find those various systems which will here be designated by the name of Progressive Wages." [6]
Day Work Never Scientific. — The simplest of all
systems, says Dr. Taylor in "A Piece Rate System," paragraph 10, in discussing the various forms of compensation "is the Day Work plan, in which the employés are divided into certain classes, and a standard rate of wages is paid to each class of men," He adds — "The men are paid according to the position which they fill, and not according to their individual character, energy, skill and reliability," The psychological objection to day work is that it does not arouse interest or effort or hold attention, nor does it inspire to memorizing or to learning.
It will be apparent that there is no inducement whatever for the man to do more than just enough to retain his job, for he in no wise shares in the reward for an extra effort, which goes entirely to his employer. "Reward," in this case, is usually simply a living wage, — enough to inspire the man, if he needs the money enough to work to hold his position, but not enough to incite him to any extra effort.
It is true that, in actual practice, through the foreman or some man in authority, the workers on day work may be "speeded up" to a point where they will do a great deal of work; the foreman being inspired, of course, by a reward for the extra output, but, as Dr. Taylor says, paragraph 17 — "A Piece Rate System," this sort of speeding up is absolutely lacking in self-sustaining power. The moment that this rewarded foreman is removed, the work will again fall down. Therefore, day wage has almost no place in ultimate, scientifically managed work.
Piece Work Provides Pay in Proportion to Work Done. — Piece Work is the opposite of time work,
in that under it the man is paid not for the time he spends at the work, but for the amount of work which he accomplishes. Under this system, as long as the man is paid a proper piece rate, and a rate high enough to keep him interested, he will have great inducements to work. He will have a chance to develop individuality, a chance for competition, a chance for personal recognition. His love of reasonable racing will be cultivated. His love of play may be cultivated.
All of these incentives arise because the man feels that his sense of justice is being considered; that if the task is properly laid out, and the price per piece is properly determined, he is given a "square deal" in being allowed to accomplish as great an amount of work as he can, with the assurance that his reward will be promptly coming to him.
Danger of Rate Being Cut. — Piece work becomes objectionable only when the rate is cut. The moment the rate is cut the first time, the man begins to wonder whether it is going to be cut again, and his attention is distracted from the work by his debating this question constantly. At best, his attention wanders from one subject to the other, and back again. It cannot be concentrated on his work. After the rate has been cut once or twice, — and it is sure to be cut unless it has been set from scientifically derived elementary time units, — the man loses his entire confidence in the stability of the rate, and, naturally, when he loses this confidence, his work is done more slowly, due to lack of further enthusiasm. On the contrary, as long as it is to his
advantage to do the work and he is sure that his reward will be prompt, and that he will always get the price that has been determined as right by him and by the employers for his work, he can do this work easily in the time set. As soon as he feels that he will not get it, he will naturally begin to do less, as it will be not only to his personal advantage to do as little as possible, but also very much to the advantage of his fellows, for whom the rate will also be cut.
Task Wage Contains No Incentive to Additional Work. — What Schloss calls the Task Wage would, as he well says, be the intermediate between time or day wage and piece wage; that is, it would be the assigning of a definite amount of work to be done in definite time, and to be paid for by a definite sum. If the task were set scientifically, and the time scientifically determined, as it must naturally be for a scientific task, and the wage adequate for that work, there would seem to be nothing about this form of remuneration which could be a cause of dissatisfaction to the worker. Naturally, however, there would be absolutely no chance for him to desire to go any faster than the time set, or to accomplish any more work in the time set than that which he was obliged to, in that he could not possibly get anything for the extra work done.
Worth of Previous Methods in the Handling. — It will be noted in the discussion of the three types of compensation so far discussed, that there is nothing in them that renders them unscientific. Any one of the three may be used, and doubtless all are used,
on works which are attempting to operate under Scientific Management. Whether they really are scientific methods of compensation or not, is determined by the way that they are handled. Certainly, however, all that any of these three can expect to do is to convince the man that he is being treated justly; that is to say, if he knows what sort of a contract he is entering into, the contract is perfectly fair, provided that the management keeps its part of the contract, pays the agreed-upon wage.
In proceeding, instead of following the order of Schloss we will follow the order, at least for a time, of Dr. Taylor In "A Piece Rate System"; this for two reasons:
First, for the reason that the "Piece Rate System" is later than Schloss' book, Schloss being 1891, and the "Piece Rate" being 1895; in the second place that we are following the Scientific Management side in distinction to the general economic side, laid down by Schloss. There is, however, nothing in our plan of discussion here to prevent one's following fairly closely in the Schloss also.
The Gain-sharing Plan. — We take up, then, the Gain-sharing Plan which was invented by Mr. Henry R. Towne and used by him with success in the Yale & Towne works. This is described in a paper read before the American Society of Mechanical Engineers, in professional paper No. 341, in 1888 and also in the Premium Plan, Mr. Halsey's modification of it, described by him in a paper entitled the "Premium Plan of Paying for Labor," American Society of Mechanical Engineers, 1891, Paper 449. In this,
in describing the Profit-sharing Plan, Mr. Halsey says — "Under it, in addition to regular wages, the employés were offered a certain percentage of the final profits of the business. It thus divides the savings due to increased production between employer and employé."
Objections to This Plan. — We note here the objection to this plan: First, — "The workmen are given a share in what they do not earn; second, the workmen share regardless of individual deserts; third, the promised rewards are remote; fourth, the plan makes no provision for bad years; fifth, the workmen have no means of knowing if the agreement is carried out." Without discussing any farther whether these are worded exactly as all who have tried the plan might have found them, we may take these on Mr. Halsey's authority and discuss the psychology of them. If the workmen are given a share in what they do not earn, they have absolutely no feeling that they are being treated justly. This extra reward which is given to them, if in the nature of a present, might much better be a present out and out. If it has no scientific relation to what they have gotten, if the workmen share regardless of individual deserts, this, as Dr. Taylor says, paragraph 27 in the "Piece Rate System," is the most serious defect of all, in that it does not allow for recognition of the personal merits of each workman. If the rewards are remote, the interest is diminished. If the plan makes no provision for bad years, it cannot be self-perpetuating. If the workmen have no means of knowing if the agreement will be carried out or not, they will be constantly
wondering whether it is being carried out or not, and their attention will wander.
The Premium Plan. — The Premium Plan is thus described by Mr. Halsey — "The time required to do a given piece of work is determined from previous experience, and the workman, in addition to his usual daily wages, is offered a premium for every hour by which he reduces that time on future work, the amount of the premium being less than his rate of wages. Making the hourly premium less than the hourly wages is the foundation stone upon which rest all the merits of the system."
Dr. Taylor's Description of This Plan. — Dr. Taylor comments upon this plan as follows:
"The Towne-Halsey plan consists in recording the quickest time in which a job has been done, and fixing this as a standard. If the workman succeeds in doing the job in a shorter time, he is still paid his same wages per hour for the time he works on the job, and, in addition, is given a premium for having worked faster, consisting of from one-quarter to one-half the difference between the wages earned and the wages originally paid when the job was done in standard time," Dr. Taylor's discussion of this plan will be found in "Shop Management," paragraphs 79 to 91.
Psychologically, the defect of this system undoubtedly is that it does not rest upon accurate scientific time study, therefore neither management nor men can predict accurately what is going to happen. Not being able to predict, they are unable to devote their entire attention to the work in hand, and the result
cannot be as satisfactory as under an assigned task, based upon time study. The discussion of this is so thorough in Dr. Taylor's work, and in Mr. Halsey's work, that it is unnecessary to introduce more here.
Profit-sharing. — Before turning to the methods of compensation which are based upon the task, it might be well to introduce here mention of "Coöperation," or "Profit-sharing," which, in its extreme form, usually means the sharing of the profits from the business as a whole, among the men who do the work. This is further discussed by Schloss, and also by Dr. Taylor in paragraphs 32 to 35, in "A Piece Rate System"; also in "Shop Management," quoting from the "Piece Rate System," paragraphs 73 to 77.
Objections to Profit-sharing. — The objections, Dr. Taylor says, to coöperation are, first in the fact that no form of coöperation has been devised in which each individual is allowed free scope for his personal ambition; second, in the remoteness of the reward; third, in the unequitable division of the profits. If each individual is not allowed free scope, one sees at once that the entire advantage of individuality, and of personal recognition, is omitted. If the reward is remote, we recognize that its power diminishes very rapidly; and if there cannot be equitable division of the profits, not only will the men ultimately not be satisfied, but they will, after a short time, not even be satisfied while they are working, because their minds will constantly be distracted by the fact that the division will probably not be equitable,
and also by the fact that they will be trying to plan ways in which they can get their proper share. Thus, not only in the ultimate outcome, but also during the entire process, the work will slow up necessarily, because the men can have no assurance either that the work itself, or the output, have been scientifically determined.
Scientific Management Embodies Valuable Elements of Profit-sharing. — Scientific Management embodies the valuable elements of profit-sharing, namely, the idea of coöperation, and the idea that the workers should share in the profit.
That the latter of these two is properly emphasized by Scientific Management is not always understood by the workers. When a worker is enabled to make three or four times as much output in a day as he has been accustomed to, he may think that he is not getting his full share of the "spoils" of increased efficiency, unless he gets a proportionately increased rate of pay. It should, therefore, be early made clear to him that the saving has been caused by the actions of the management, quite as much as by the increased efforts for productivity of the men. Furthermore, a part of the savings must go to pay for the extra cost of maintaining the standard conditions that make such output possible. The necessary planners and teachers usually are sufficient as object-lessons to convince the workers of the necessity of not giving all the extra savings to the workers.
It is realized that approximately one third of the extra profits from the savings must go to the employer,
about one third to the employés, and the remainder for maintaining the system and carrying out further investigations.
This once understood, the satisfaction that results from a coöperative, profit-sharing type of management will be enjoyed.
The five methods of compensation which are to follow are all based upon the task, as laid down by Dr. Taylor; that is to say, upon time study, and an exact knowledge by the man, and the employers, of how much work can be done.
Differential Rate Piece Work the Ultimate Form of Compensation. — Dr. Taylor's method of compensation, which is acknowledged by all thoroughly grounded in Scientific Management to be the ultimate form of compensation where it can be used, is called Differential Rate Piece Work. It is described in "A Piece Rate System," paragraphs 50 to 52, as follows: —
"This consists, briefly, in paying a higher price per piece, or per unit, or per job, if the work is done in the shortest possible time and without imperfection, than is paid if the work takes a longer time or is imperfectly done. To illustrate — suppose 20 units, or pieces, to be the largest amount of work of a certain kind that can be done in a day. Under the differential rate system, if a workman finishes 20 pieces per day, and all of these pieces are perfect, he receives, say, 15 cents per piece, making his pay for the day 15 times 20 = $3.00. If, however, he works too slowly and turns out only, say 19 pieces, then instead of receiving 15 cents per piece he gets
only 12 cents per piece, making his pay for the day 12×19= $2.28, instead of $3.00 per day. If he succeeds in finishing 20 pieces — some of which are imperfect — then he should receive a still lower rate of pay, say 10¢ or 5¢ per piece, according to circumstances, making his pay for the day $2.00 or only $1.00, instead of $3.00."
Advantages of This System. — This system is founded upon knowledge that for a large reward men will do a large amount of work. The small compensation for a small amount of work — and under this system the minimum compensation is a little below the regular day's work — may lead men to exert themselves to accomplish more work. This system appeals to the justice of the men, in that it is more nearly an exact ratio of pay to endeavor.
Task Work with a Bonus. — The Task work with Bonus system of compensation, which is the invention of Mr. H.L. Gantt, is explained in "A Bonus System of Rewarding Labor," paper 923, read before the American Society of Mechanical Engineers, December, 1901, by Mr. Gantt. This system is there described as follows: —
"If the man follows his instructions and accomplishes all the work laid out for him as constituting his proper task for the day, he is paid a definite bonus in addition to the day rate which he always gets. If, however, at the end of the day he has failed to accomplish all of the work laid out, he does not get his bonus, but simply his day rate." This system of compensation is explained more fully in Chapter VI of Mr. Gantt's book, "Work, Wages and Profits,"
where he explains the modification now used by him in the bonus.
Advantages of Task Work with a Bonus. — The psychological advantage of the task with a Bonus is the fact that the worker has the assurance of a living wage while learning, no matter whether he succeeds in winning his bonus or not. In the last analysis, it is "day rate" for the unskilled, and "piece rate" for the skilled, and it naturally leads to a feeling of security in the worker. Mr. Gantt has so admirably explained the advantages, psychological as well as industrial, of his system, that it is unnecessary to go farther, except to emphasize the fine feeling of brotherhood which underlies the idea, and its expression.
The Differential Bonus System. — The Differential Bonus System of Compensation is the invention of Mr. Frederick A. Parkhurst, and is described by him in his book "Applied Methods of Scientific Management."
"The time the job should be done in is first determined by analysis and time study. The bonus is then added above the day work line. No bonus is paid until a definitely determined time is realized. As the time is reduced, the bonus is increased."
Three Rate with Increased Rate System. — The Three Rate System of Compensation is the invention of Mr. Frank B. Gilbreth and consists of day work, i.e., a day rate, or a flat minimum rate, which all who are willing to work receive until they can try themselves out; of a middle rate, which is given to the man when he accomplishes the work with exactness
of compliance to prescribed motions, according to the requirements of his instruction card; and of a high rate, which is paid to the man when he not only accomplishes the task in accordance with the instruction card, but also within the set time and of the prescribed quality of finished work.
Advantage of This System. — The advantage of this is, first of all, that the man does not have to look forward so far for some of his reward, as it comes to him just as soon as he has shown himself able to do the prescribed methods required accurately. The first extra reward is naturally a stimulus toward winning the second extra reward. The middle rate is a stimulus to endeavor to perform that method which will enable him easiest to achieve the accomplishment of the task that pays the highest wage. The day rate assures the man of a living wage. The middle rate pays him a bonus for trying to learn. The high rate gives him a piece rate when he is skilled.
Lastly, as the man can increase his output, with continued experience, above that of the task, he receives a differential rate piece on the excess quantity, this simply making an increasing stimulus to exceed his previous best record.
All Task Systems Investigate Loss of Bonus. — Under all these bonus forms of wages, if the bonus is not gained the fact is at once investigated, in order that the blame may rest where it belongs. The blame may rest upon the workers, or it may be due to the material, which may be defective, or different from standard; it may be upon the supervision, or some fault of the management in not supplying the material
in the proper quality, or sequence, or a bad condition of tools or machinery; or upon the instruction card. The fact that the missing of the bonus is investigated is an added assurance to the workman that he is getting the "square deal," and enlists his sympathy with these forms of bonus system, and his desire to work under them. The fact that the management will investigate also allows him to concentrate upon output, with no worry as to the necessity of his investigating places where he has fallen short.
Necessity for Workers Bearing This Loss. — In any case, whether the blame for losing the bonus is the worker's fault directly or not, he loses his bonus. This, for two reasons; in the first place, if he did not lose his bonus he would have no incentive to try to discover flaws before delays occurred; he would, otherwise, have an incentive to allow the material to pass through his hands, defective or imperfect as the case might be. This is very closely associated with the second reason, and that is, that the bonus comes from the savings caused by the plan of management, and that it is necessary that the workers as well as the management shall see that everything possible tends to increase the saving. It is only as the worker feels that his bonus is a part of the saving, that he recognizes the justice of his receiving it, that it is in no wise a gift to him, simply his proper share, accorded not by any system of philanthropy, or so-called welfare work, but simply because his own personal work has made it possible for the management to hand back his share to him.
Users of Any Task System Appreciate Other Task Systems. — It is of great importance to the workers that the users of any of these five methods of compensation of Scientific Management are all ready and glad to acknowledge the worth of all these systems. In many works more than one, in some all, of these systems of payment may be in use. Far from this resulting in confusion, it simply leads to the understanding that whatever is best in the particular situation should be used. It also leads to a feeling of stability everywhere, as a man who has worked under any of these systems founded on time study can easily pass to another. There is also a great gain here in the doing away of industrial warfare.
Shorter Hours and Holidays Effective Rewards. — Probably the greatest incentive, next to promotion and more pay, are shorter hours and holidays. In some cases, the shorter hours, or holidays, have proven even more attractive to the worker than the increase of pay. In Shop Management, paragraph 165, Dr. Taylor describes a case where children working were obliged to turn their entire pay envelopes over to their parents. To them, there was no particular incentive in getting more money, but, when the task was assigned, if they were allowed to go as soon as their task was completed, the output was accomplished in a great deal shorter time. Another case where shorter hours were successfully tried, was in an office where the girls were allowed the entire Saturday every two weeks, if the work was accomplished within a set amount of time. This extra time for shopping and matinees proved more attractive
than any reasonable amount of extra pay that could be offered.
Desire for Approbation an Incentive. — Under "Individuality" were discussed various devices for developing the individuality of the man, such as his picture over a good output or record. These all act as rewards or incentives. How successful they would be, depends largely upon the temperament of the man and the sort of work that is to be done. In all classes of society, among all sorts of people, there is the type that loves approbation. This type will be appealed to more by a device which allows others to see what has been done than by almost anything else. As to what this device must be, depends on the intelligence of the man.
Necessity for Coöperation a Strong Incentive. — Under Scientific Management, many workers are forced by their coworkers to try to earn their bonuses, as "falling down on" tasks, and therefore schedules, may force them to lose their bonuses also.
The fact that, in many kinds of work, a man falling below his task will prevent his fellows from working, is often a strong incentive to that man to make better speed. For example, on a certain construction job in Canada, the teamsters were shown that, by their work, they were cutting down working opportunities for cart loaders, who could only be hired as the teamsters hauled sufficient loads to keep them busy.
Value of Knowledge Gained an Incentive to a Few Only. — Extra knowledge, and the better method of attack learned under Scientific Management, are rewards that will be appreciated by those of superior
intelligence only. They will, in a way, be appreciated by all, because it will be realized that, through what is learned, more pay or promotion is received, but the fact that this extra knowledge, and better method of attack, will enable one to do better in all lines, not simply in the line at which one is working, and will render one's life more full and rich, will be appreciated only by those of a wide experience.
Acquired Professional Standing a Powerful Incentive. — Just as the success of the worker under Scientific Management assures such admiration by his fellow-workers as will serve as an incentive toward further success, so the professional standing attained by success in Scientific Management acts as an incentive to those in more responsible positions.
As soon as it is recognized that Scientific Management furnishes the only real measure of efficiency, its close relationship to professional standing will be recognized, and the reward which it can offer in this line will be more fully appreciated.
Punishments Negative and Positive. — Punishments may be first negative, that is, simply a loss of promised rewards. Such punishments, especially in cases of men who have once had the reward, usually will act as the necessary stimulus to further activity. Punishments may also be positive, such things as fines, assignment to less pleasant work, or as a last resort, discharge.
Fines Never Accrue to the Management. — Fines have been a most successful mode of punishment under Scientific Management. Under many of the old forms of management, the fines were turned back
to the management itself, thus raising a spirit of animosity in the men, who felt that everything that they suffered was a gain to those over them. Under Scientific Management all fines are used in some way for the benefit of the men themselves. All fines should be used for some benefit fund, or turned into the insurance fund. The fines, as has been said, are determined solely by the disciplinarian, who is disinterested in the disposition of the funds thus collected. As the fines do not in any way benefit the management, and in fact rather hurt the management in that the men who pay them, no matter where they are applied, must feel more or less discouraged, it is, naturally, for the benefit of the management that there shall be as few fines as possible. Both management and men realize this, which leads to industrial peace, and also leads the managers, the functional foremen, and in fact every one, to eliminate the necessity and cause for fines to as great an extent as is possible.
Assignment to Less Pleasant Work Effective Punishment. — Assignment to less pleasant work is a very effective form of discipline. It has many advantages which do not show on the surface, The man may not really get a cut in pay, though his work be changed, and thus the damage he receives is in no wise to his purse, but simply to his feeling of pride. In the meantime, he is gaining a wider experience of the business, so that even the worst disadvantage has its bright side.
Discharge To Be Avoided Wherever Possible. — Discharge is, of course, available under Scientific Management, as under all other forms, but it is really
less used under Scientific Management than under any other sort, because if a man is possibly available, and in any way trained, it is better to do almost anything to teach him, to assign him to different work, to try and find his possibilities, than to let him go, and have all that teaching wasted as far as the organization which has taught it is concerned.
Discharge a Grave Injury to a Worker. — Moreover, Scientific Management realizes that discharge may be a grave injury to a worker. As Mr. James M. Dodge, who has been most successful in Scientific Management and is noted for his good work for his fellow-men, eloquently pleads, in a paper on "The Spirit in Which Scientific Management Should Be Approached," given before the Conference on Scientific Management at Dartmouth College, October, 1911:
"It is a serious thing for a worker who has located his home within reasonable proximity to his place of employment and with proper regard for the schooling of his children, to have to seek other employment and readjust his home affairs, with a loss of time and wages. Proper management takes account not only of this fact, but also of the fact that there is a distinct loss to the employer when an old and experienced employé is replaced by a new man, who must be educated in the methods of the establishment. An old employé has, in his experience, a potential value that should not be lightly disregarded, and there should be in case of dismissal the soundest of reasons, in which personal prejudice or temporary mental condition of the foreman should play no part.
"Constant changing of employés is not wholesome for any establishment, and the sudden discovery by a foreman that a man who has been employed for a year or more is 'no good' is often a reflection on the foreman, and more often still, is wholly untrue. All working men, unless they develop intemperate or dishonest habits, have desirable value in them, and the conserving and increasing of their value is a duty which should be assumed by their superiors."
Punishment Can Never Be Entirely Abolished. — It might be asked why punishments are needed at all under this system; that is, why positive punishments are needed. Why not merely a lack of reward for the slight offenses, and a discharge if it gets too bad? It must be remembered, however, that the punishments are needed to insure a proper appreciation of the reward. If there is no negative side, the beauty of the reward will never be realized; the man who has once suffered by having his pay cut for something which he has done wrong, will be more than ready to keep up to the standard. In the second place, unless individuals are punished, the rights of other individuals will, necessarily, be encroached upon. When it is considered that under Scientific Management the man who gives the punishment is the disinterested disciplinarian, that the punishment is made exactly appropriate to the offense, and that no advantage from it comes to any one except the men themselves, it can be understood that the psychological basis is such as to make a punishment rather an incentive than a detriment.
Direct Incentives Numerous and Powerful. — As
for the direct incentives, these are so many that it is possible to enumerate only a few. For example —
This may be simply a result of love of speed, love of play, or love of activity, or it may be, in the case of a man running a machine, not so much for the love of the activity as for a love of seeing things progress rapidly. There is a love of contest which has been thoroughly discussed under "Athletic Contests," which results in racing, and in all the pleasures of competition.
Racing Directed Under Scientific Management. — The psychology of the race under Scientific Management is most interesting. The race is not a device of Scientific Management to speed up the worker, any speed that would be demanded by Scientific Management beyond the task-speed would be an unscientific thing. On the other hand, it is not the scope of Scientific Management to bar out any contests which would not be for the ultimate harm of the workers. Such interference would hamper individuality; would make the workers feel that they were restricted and held down. While the workers are, under Scientific Management, supposed to be under the supervision of some one who can see that the work is only such as they can do and continuously thrive, any such interference as, for example, stopping a harmless race, would at once make them feel that their individual initiative was absolutely destroyed. It is not the desire of Scientific Management to do anything of that sort, but rather to use every possible means to make the worker feel that his initiative is being conserved.
All "Native Reactions" Act as Incentives. — Pride,
self-confidence, pugnacity, — all the "native reactions" utilized by teaching serve as direct incentives.
Results of Incentives to the Work. — All incentives in every form of management, tend, from their very nature, to increase output. When Scientific Management is introduced, there is selection of such incentives as will produce greatest amount of specified output, and the results can be predicted.
Results of Incentives to the Worker. — Under Traditional Management the incentives are usually such that the worker is likely to overwork himself if he allows himself to be driven by the incentive. This results in bodily exhaustion. So, also, the anxiety that accompanies an unstandardized incentive leads to mental exhaustion. With the introduction of Transitory Management, danger from both these types of exhaustion is removed. The incentive is so modified that it is instantly subject to judgment as to its ultimate value.
Scientific Management makes the incentives stronger than they are under any other type, partly by removing sources of worry, waste and hesitation, partly by determining the ratio of incentive to output. The worker under such incentives gains in bodily and mental poise and security.
[ 1]. W.P. Gillette, Cost Analysis Engineering, p. 3.
[ 2]. F.W. Taylor, Paper 647, A.S.M.E., para. 33, para. 59.
[ 3]. Hugo Diemer, Factory Organization and Administration, p. 5.
[ 4]. James M. Dodge, Paper 1115, A.S.M.E., p. 723.
[ 5]. F.W. Taylor, Shop Management, para. 310-311, Harper Ed., pp. 142-143.
[ 6]. See also C.U. Carpenter, Profit Making in Shop and Factory Management, pp. 113-115. For an extended and excellent account of the theory of well-known methods of compensating workmen, see C.B. Going, Principles of Industrial Engineering, chap. VIII.
[CHAPTER X]
WELFARE
Definition of Welfare. — "Welfare" means "a state or condition of doing well; prosperous or satisfactory course or relation; exemption from evil;" in other words, well-being. This is the primary meaning of the word. But, to-day, it is used so often as an adjective, to describe work which is being attempted for the good of industrial workers, that any use of the word welfare has that fringe of meaning to it.
"Welfare" Here Includes Two Meanings. — In the discussion of welfare in this chapter, both meanings of the word will be included. "Welfare" under each form of management will be discussed, first, as meaning the outcome to the men of the type of management itself; and second, as discussing the sort of welfare work which is used under that form of management.
Discussion of First Answers. Three Questions. — A discussion of welfare as the result of work divides itself naturally into three parts, or three questions:
What is the effect upon the physical life?
What is the effect upon the mental life?
What is the effect upon the moral life?
Under Traditional Management No Physical Improvement. — The indefiniteness of Traditional Management
manifests itself again in this discussion, it being almost impossible to make any general statement which could not be controverted by particular examples; but it is safe to say that in general, under Traditional Management, there is not a definite physical improvement in the average worker. In the first place, there is no provision for regularity in the work. The planning not being done ahead, the man has absolutely no way of knowing exactly what he will be called upon to do. There being no measure of fatigue, he has no means of knowing whether he can go to work the second part of the day, say, with anything like the efficiency with which he could go to work in the first part of the day. There being no standard, the amount of work which he can turn out must vary according as the tools, machinery and equipment are in proper condition, and the material supplies his needs.
No Good Habits Necessarily Formed. — In the second place, under Traditional Management there are no excellent habits necessarily formed. The man is left to do fairly as he pleases, if only the general outcome be considered sufficient by those over him. There may be a physical development on his part, if the work be of a kind which can develop him, or which he likes to such an extent that he is willing to do enough of it to develop him physically; this liking may come through the play element, or through the love of work, or through the love of contest, or through some other desire for activity, but it is not provided for scientifically, and the outcome cannot be exactly predicted. Therefore, under Traditional Management
there is no way of knowing that good health and increased strength will result from the work, and we know that in many cases poor health and depleted strength have been the outcome of the work. We may say then fairly, as far as physical improvement is concerned that, though it might be the outcome of Traditional Management, it was rather in spite of Traditional Management, in the sense at least that the management had nothing to do with it, and had absolutely no way of providing for it. The moment that it was provided for in any systematic way, the Traditional Management vanished.
No Directed Mental Development. — Second, mental development. Here, again, there being no fixed habits, no specially trained habit of attention, no standard, there was no way of knowing that the man's mind was improving. Naturally, all minds improve merely with experience. Experience must be gathered in, and must be embodied into judgment. There is absolutely no way of estimating what the average need in this line would be, it varies so much with the temperament of the man. Again, it would usually be a thing that the man himself was responsible for, and not the management, certainly not the management in any impersonal sense. Some one man over an individual worker might be largely responsible for improving him intellectually. If this were so, it would be because of the temperament of the over-man, or because of his friendly desire to impart a mental stimulus; seldom, if ever, because the management provided for its being imparted. Thus, there was absolutely no way of predicting that wider or deeper
interest, or that increased mental capacity, would take place.
Moral Development Doubtful. — As for moral development, in the average Traditional Management it was not only not provided for, but rather doubtful. A man had very little chance to develop real, personal responsibilities, in that there was always some one over him who was watching him, who disciplined him and corrected him, who handed in the reports for him, with the result that he was in a very slight sense a free agent. Only men higher up, the foremen and the superintendents could obtain real development from personal responsibilities. Neither was there much development of responsibility for others, in the sense of being responsible for personal development of others. Having no accurate standards to judge by, there was little or no possibility of appreciation of the relative standing of the men, either by the individual of himself, or by others of his ability. The man could be admired for his strength, or his skill, but not for his real efficiency, as measured in any satisfactory way. The management taught self-control in the most rudimentary way, or not at all. There was no distinct goal for the average man, neither was there any distinct way to arrive at such a goal; it was simply a case, with the man lower down, of making good for any one day and getting that day's pay. In the more enlightened forms of Traditional Management, a chance for promotion was always fairly sure, but the moment that the line of promotion became assured, we may say that Traditional Management had really ceased, and
some form of Transitory Management was in operation.
"Square Deal" Lacking. — Perhaps the worst lack under Traditional Management is the lack of the "square deal." In the first place, even the most efficient worker under this form of management was not sure of his place. This not only meant worry on his part, which distracted his attention from what he did, but meant a wrong attitude all along the line. He had absolutely no way of knowing that, even though he did his best, the man over him, in anger, or because of some entirely ulterior thing, might not discharge him, put him in a lower position. So also the custom of spying, the only sort of inspection recognized under Traditional Management of the most elementary form, led to a feeling on the men's part that they were being constantly watched on the sly, and to an inability to concentrate. This brought about an inability to feel really honest, for being constantly under suspicion is enough to poison even one's own opinion of one's integrity. Again, being at the beck and call of a prejudiced foreman who was all-powerful, and having no assured protection from the whims of such a man, the worker was obliged, practically for self-protection, to try to conciliate the foremen by methods of assuming merits that are obvious, on the surface. He ingratiates himself in the favor of the foreman in that way best adapted to the peculiarities of the character of the foreman, sometimes joining societies, or the church of the foreman, sometimes helping him elect some political candidate or relative; at other times, by the more direct method
of buying drinks, or taking up a subscription for presenting the foreman with a gold watch, "in appreciation of his fairness to all;" sometimes by consistently losing at cards or other games of chance. When it is considered that this same foreman was probably, at the time, enjoying a brutal feeling of power, it is no wonder that no sense of confidence of the "square deal" could develop. There are countless ways that the brutal enjoyment of power could be exercised by the man in a foreman's position. As has already been said, some men prefer promotion to a position of power more than anything else. Nearly all desire promotion to power for the extra money that it brings, and occasionally, a man will be found who loves the power, although unconsciously, for the pleasure he obtains in lording over other human beings. This quality is present more or less in all human beings. It is particularly strong in the savage, who likes to torture captured human beings and animals, and perhaps the greatest test for high qualifications of character and gentleness is that of having power over other human beings without unnecessarily accenting the difference in the situation. Under Military Management, there is practically no limit to this power, the management being satisfied if the foreman gets the work out of the men, and the men having practically no one to appeal to, and being obliged to receive their punishment always from the hands of a prejudiced party.
Little Possibility of Development of Will. — Being under such influence as this, there is little or no possibility of the development of an intelligent will. The
"will to do" becomes stunted, unless the pay is large enough to lead the man to be willing to undergo abuses in order to get the money. There is nothing, moreover, in the aspect of the management itself to lead the man to have a feeling of confidence either in himself, or in the management, and to have that moral poise which will make him wish to advance.
Real Capacity Not Increased. — With the likelihood of suspicion, hate and jealousy arising, and with constant preparations for conflict, of which the average union and employers' association is the embodiment, naturally, real capacity is not increased, but is rather decreased, under this form of management, and we may ascribe this to three faults:
First, to lack of recognition of individuality, — men are handled mostly as gangs, and personality is sunk.
Second, to lack of standardization, and to lack of time study, that fundamental of all standardization, which leads to absolute inability to make a measured, and therefore scientific judgment, and
Third, to the lack of teaching; to the lack of all constructiveness.
These three lacks, then, constitute a strong reason why Traditional Management does not add to the welfare of the men.
Little Systematized Welfare Work Under Traditional Management. — As for welfare work, — that is, work which the employers themselves plan to benefit the men, if under such work be included timely impulses of the management for the men, and the carrying of these out in a more or less systematic way, it will be true to say that such welfare work has existed
in all times, and under all forms of management. The kind-hearted man will show his kind heart wherever he is, but it is likewise true to say that little systematic beneficial work is done under what we have defined as Traditional Management.
Definite Statements as to Welfare Under Transitory Management Difficult To Make. — It is almost impossible to give any statement as to the general welfare of workers under Transitory Management, because, from the very nature of the case, Transitory Management is constantly changing. In the discussion of the various chapters, and in showing how individuality, functionalization, measurement, and so on, were introduced, and the psychological effect upon the men of their being introduced, welfare was more or less unsystematically considered. In turning to the discussion under Scientific Management and showing how welfare is the result of Scientific Management and is incorporated in it, much as to its growth will be included.
Welfare Work Under Transitory Management Is Usually Commendable. — As to the welfare work under Transitory Management, much could be said, and much has been said and written. Typical Welfare Work under Transitory Management deserves nothing but praise. It is the result of the dedication of many beautiful lives to a beautiful cause. It consists of such work as building rest rooms for the employés, in providing for amusements, in providing for better working conditions, in helping to better living conditions, in providing for some sort of a welfare worker who can talk with the employés and benefit
them in every way, including being their representative in speaking with the management.
An Underlying Flaw Is Apparent. — There can be no doubt that an enormous quantity of good has been done by this welfare work, both positively, to the employés themselves, and indirectly, to the management, through fostering a kinder feeling. There is, however, a flaw to be found in the underlying principles of this welfare work as introduced in Transitory Management, and that is that it takes on more or less the aspect of a charity, and is so regarded both by the employés and by the employer. The employer, naturally, prides himself more or less upon doing something which is good, and the employé naturally resents more or less having something given to him as a sort of charity which he feels his by right.
Its Effect Is Detrimental. — The psychological significance of this is very great. The employer, feeling that he has bestowed a gift, is, naturally, rather chagrined to find it is received either as a right, or with a feeling of resentment. Therefore, he is often led to decrease what he might otherwise do, for it is only an unusual and a very high type of mind that can be satisfied simply with the doing of the good act, without the return of gratitude. On the other hand, the employé, if he be a man of pride, may resent charity even in such a general form as this, and may, with an element of rightness, prefer that the money to be expended be put into his pay envelope, instead. If it is simply a case of better working conditions, something that improves him as an efficient
worker for the management, he will feel that this welfare work is in no sense something which he receives as a gift, but rather something which is his right, and which benefits the employer exactly as much, if not more than it benefits him.
Welfare Work Not Self-perpetuating. — Another fault which can be found with the actual administration of the welfare work, is the fact that it often disregards one of the fundamental principles of Scientific Management, in that the welfare workers themselves do not train enough people to follow in their footsteps, and thus make welfare self-perpetuating.
In one case which the writer has in mind, a noble woman is devoting her life to the welfare of a body of employés in an industry which greatly requires such work. The work which she is doing is undoubtedly benefiting these people in every aspect, not only of their business but of their home lives, but it is also true that should she be obliged to give up the work, or be suddenly called away, the work would practically fall to pieces. It is built up upon her personality, and, wonderful as it is, its basis must be recognized as unscientific and temporary.
Scientific Provision for Welfare Under Scientific Management. — Under Scientific Management general welfare is provided for by: —
The effect that the work has on physical improvement. This we shall discuss under three headings —
1. the regularity of the work.
2. habits.
3. physical development.
As for the regularity of the work — we have
(a) The apportionment of the work and the rest. Under Scientific Management, work time and rest time are scientifically apportioned. This means that the man is able to come to each task with the same amount of strength, and that from his work he gains habits of regularity.
(b) The laying out of the work. The standards upon which the instruction cards are based, and the method of preparing them, assure regularity.
(c) The manner of performing the work. Every time that identical work is done, it is done in an identical manner.
The resulting regularity has an excellent effect upon the physical welfare of the worker.
2. Habits, under Scientific Management,
(a) are prescribed by standards. The various physical habits of the man, the motions that are used, having all been timed and then standardized, the worker acquires physical habits that are fixed.
(b) are taught; [1] therefore they are not remote but come actually and promptly into the consciousness and into the action of the worker.
(c) are retained, because they are standard habits and because the rewards which are given for using them make it an object to the worker to retain them.
(d) Are reënforced by individuality and functionalization;
that is to say, the worker is considered as an individual, and his possibilities are studied, before he is put into the work; therefore, his own individuality and his own particular function naturally reënforce those habits which he is taught to form. These habits, being scientifically derived, add to physical improvement.
3. Physical development
(a) is fostered through the play element, has been scientifically studied, and is utilized as far as possible; the same is true of the love of work, which is reënforced by the fact that the man has been placed where he will have the most love for his work.
(b) is insured by the love of contest, which is provided for not only by contest with others, but by the constant contest of the worker with his own previous records. When he does exceed these records he utilizes powers which it is for his good physically, as well as otherwise, to utilize.
Results of Physical Improvement. — This regularity, good habits, and physical development, result in good health, increased strength and a better appearance. To these three results all scientific managers testify. An excellent example of this is found in Mr. Gantt's "Work, Wages and Profits," where the increased health, the better color and the better general appearance of the workers under Scientific Management is commented on as well as the fact that they
are inspired by their habits to dress themselves better and in every way to become of a higher type. [2]
Mental Development. — Welfare under Scientific Management is provided for by Mental Development. This we may discuss under habits, and under general mental development.
1. As for habits we must consider
(a) Habits of attention. Under Scientific Management, as we have shown, attention must become a habit. Only when it does become a habit, can the work required be properly performed, and the reward received. As only those who show themselves capable of really receiving the reward are considered to be properly placed, ultimately all who remain at work under Scientific Management must attain this habit of attention.
(b) Habit of method of attack. This not only enables the worker to do the things that he is assigned satisfactorily, but also has the broadening effect of teaching him how to do other things, i.e., showing him the "how" of doing things, and giving him standards which are the outcome of mental habits, and by which he learns to measure.
2. General mental development is provided for by the experience which the worker gets not only in the general way in which all who work must give experience, but in the set way provided for by Scientific Management. This is so presented to the worker
that it becomes actually usable at once. This not only allows him to judge others, but provides for self-knowledge, which is one of the most valuable of all of the outcomes of Scientific Management. He becomes mentally capable of estimating his own powers and predicting what he himself is capable of doing. The outcome of this mental development is
(a) wider interest.
(b) deeper interest.
(c) increased mental capabilities.
The better method of attack would necessarily provide for wider interest. The fact that any subject taken up is in its ultimate final unit form, would certainly lead to deeper interest; and the exercise of these two faculties leads to increased mental capabilities.
Moral Development. — Moral development under Scientific Management results from the provisions made for cultivating —
1. personal responsibility.
2. responsibility for others.
3. appreciation of standing.
4. self-control.
5. "squareness."
1. Personal responsibility is developed by
(a) Individual recognition. When the worker was considered merely as one of a gang, it was very easy for him to shift responsibilities upon others. When he knows that he is regarded by the management, and by his mates, as an individual, that what he does will show up in an individual record, and will receive individual reward or punishment,
necessarily personal responsibility is developed.
Moreover, this individual recognition is brought to his mind by his being expected to fill out his own instruction card. In this way, his personal responsibility is specifically brought home to him.
(b) The appreciation which comes under Scientific Management. This appreciation takes the form of reward and promotion, and of the regard of his fellow-workers; therefore, being a growing thing, as it is under Scientific Management, it insures that his personal responsibility, shall also be a growing thing, and become greater the longer he works under Scientific Management.
2. Responsibility for others is provided for by the inter-relation of all functions. It is not necessary that all workers under Scientific Management should understand all about it. However, many do understand, and the more that they do understand, the more they realize that everybody working under Scientific Management is more or less dependent upon everybody else. Every worker must feel this, more or less, when he realizes that there are eight functional bosses over him, who are closely related to him, on whom he is dependent, and who are more or less dependent upon him. The very fact that the planning is separated from the performing, means that more men are directly interested in any one piece of work; in fact, that every individual piece of work that is done is in some way a bond between a great number of men, some of whom are planning and some
of whom are performing it. This responsibility for others is made even more close in the dependent bonuses which are a part of Scientific Management, a man's pay being dependent upon the work of those who are working under him. Certainly, nothing could bring the fact more closely to the attention of each and every worker under this system, than associating it with the pay envelope.
3. Appreciation of standing is fostered by
(a) individual records. Through these the individual himself knows what he has done, his fellows know, and the management knows.
(b) comparative records, which show even those who might not make the comparison, exactly how each worker stands, with relation to his mates, or with relation to his past records.
This appreciation of standing is well exemplified in the happy phrasing of Mr. Gantt — "There is in every workroom a fashion, or habit of work, and the new worker follows that fashion, for it isn't respectable not to. The man or woman who ignores fashion does not get much pleasure from associating with those that follow it, and the new member consequently tries to fall in with the sentiment of the community. [3] Our chart shows that the stronger the sentiment in favor of industry is, the harder the new member tries and the sooner he succeeds."
4. Self-control is developed by
(a) the habits of inhibition fostered by Scientific Management, — that is to say, when the
right habits are formed, necessarily many wrong habits are eliminated. It becomes a part of Scientific Management to inhibit all inattention and wrong habits, and to concentrate upon the things desired. This is further aided by
(b) the distinct goal and the distinct task which Scientific Management gives, which allow the man to hold himself well in control, to keep his poise and to advance steadily.
5. "Squareness." This squareness is exemplified first of all by the attitude of the management. It provides, in every way, that the men are given a "square deal," in that the tasks assigned are of the proper size, and that the reward that is given is of the proper dimensions, and is assured. This has already been shown to be exemplified in many characteristics of Scientific Management, and more especially in the inspection and in the disciplining.
Moral Development Results in Contentment, Brotherhood and the "Will To Do". — The three results of this moral development are
1. contentment
2. brotherhood
3. a "will to do."
1. Contentment is the outgrowth of the personal responsibility, the appreciation of standing, and the general "squareness" of the entire plan of Scientific Management.
2. The idea of brotherhood is fostered particularly through the responsibility for others, through the feeling that grows up that each man is dependent
upon all others, and that it is necessary for every man to train up another man to take his place before he can be advanced. Thus it comes about that the old caste life, which so often grew up under Traditional Management, becomes abolished, and there ensues a feeling that it is possible for any man to grow up into any other man's place. The tug-of-war attitude of the management and men is transformed into the attitude of a band of soldiers scaling a wall. Not only is the worker pulled up, but he is also forced up from the bottom. [4]
3. The "will to do" is so fostered by Scientific Management that not only is the worker given every incentive, but he, personally, becomes inspired with this great desire for activity, which is after all the best and finest thing that any system of work can give to him.
Interrelation of Physical, Mental and Moral Development. — As to the interrelation of physical, mental and moral development, it must never be forgotten that the mind and the body must be studied together, [5] and that this is particularly true in considering the mind in management. [6] For the best results of the mind, the body must be cared for, and provided for, fully as much as must the mind, or the best results from the mind will not, and cannot, be obtained.
Successful management must consider the results of all mental states upon the health, happiness and prosperity of the worker, and the quality, quantity and cost of the output. That is to say, unless the mind is kept in the right state, with the elimination of worry, the body cannot do its best work, and, in the same way, unless the body is kept up to the proper standard, the mind cannot develop. Therefore, a really good system of management must consider not only these things separately, but in their interrelation, — and this Scientific Management does.
Result of Physical, Mental and Moral Development Is Increased Capacity. — The ultimate result of all this physical improvement, mental development and moral development is increased capacity, increased capacity not only for work, but for health, and for life in general.
Welfare Work an Integral Part of Scientific Management. — Strictly speaking, under Scientific Management, there should be no necessity for a special department of Welfare Work. It should be so incorporated in Scientific Management that it is not to be distinguished. Here the men are looked out for in such a way under the operation of Scientific Management itself that there is no necessity for a special welfare worker. This is not to say that the value of personality will disappear under Scientific Management, and that it may not be necessary in some cases to provide for nurses, for physical directors, and for advisers. It will, however, be understood that the entire footing of these people is changed under Scientific Management. It is realized under Scientific
Management that these people, and their work, benefit the employers as much as the employés. They must go on the regular payroll as a part of the efficiency equipment. The workers must understand that there is absolutely no feeling of charity, or of gift, in having them; that they add to the perfectness of the entire establishment.