Question

Explain the following techniques of Scientific Management : (i) Differential piece wage system (ii) Time study

Hint:

Differential Piece Wage = "Pay for Performance."
Time Study = "Clocking the Task."

Answer 1

Step 1: Understanding the Concept:
F.W. Taylor introduced these techniques to standardize work and motivate workers to achieve maximum productivity.
Step 2: Detailed Explanation:
1. Differential Piece Wage System: This is a method of wage payment where efficient and inefficient workers are paid at different rates. Those who achieve or exceed the standard output receive a higher rate per piece, while those who fall short receive a lower rate. This acts as a strong financial incentive for workers to perform better.
2. Time Study: It determines the standard time taken to perform a well-defined job. The objective is to calculate the number of workers required, frame suitable incentive schemes, and determine labor costs. It uses measuring devices like stopwatches to observe a worker over several cycles.
Step 3: Final Answer:
Differential piece wage system motivates through varied pay rates, while Time study establishes the "Standard Time" for a task.