Sunday, November 7, 2021

SAN JOSÉ STATE UNIVERSITY - Industrial & Systems Engineering

 SJSU Home>Industrial & Systems Engineering>About ISE>Your Career as an Industrial Engineer

Your Career as an Industrial Engineer


IE's are Really "Engineers Plus"

Like other engineering fields, including aeronautical, chemical, civil, electrical, mechanical, nuclear or petroleum, industrial engineering is concerned with solving problems through application of scientific and practical knowledge. But the IE differs from other engineers because he or she uses knowledge in a wider variety of applications.


The industrial engineering also applies problem-solving techniques in almost every kind of organization imaginable. There are IE's in banks, hospitals, government at all levels, transportation, construction, processing, social service, electronics, facilities design, manufacturing and warehousing. Hundreds of thousands of IE's are engaged in these and other activities worldwide.


Productivity-What It's All About

No challenge to a young women or man can be greater than improving productivity - the applications of knowledge and skills to provide improved goods and services to enhance the quality of life, both on and off the job.


This must be done without waste of physical and human resources while maintaining the environmental balance. To continue to satisfy the needs and desires of mankind, the rate of productivity improvement must be greater than the increases of cost. Failure to accomplish this in recent years has contributed to inflation, recession and worldwide unrest.


IE's are Productivity Catalysts

Industrial engineers are the "productivity people" who must provide leadership and integrate technology. they include the human factor in finding workable, effective solutions to production problems while retaining high standards of quality.


Want to join the engineering profession which is "people oriented"? Then by all means, become an IE!


* Taken from the brochure Planning Your Career as an IE/The People-Oriented Engineering Profession brochure produced by Institute of Industrial Engineers.

https://www.sjsu.edu/ise/about/yourcareer/


INDUSTRIAL & SYSTEMS ENGINEERING
SAN JOSÉ STATE UNIVERSITY
https://www.sjsu.edu/ise/

https://www.sjsu.edu/people/yasser.dessouky/publications/

Saturday, November 6, 2021

Frederick Taylor's Piece Rate System - 6 - 1895 - Part 6 - Improvement of Machine Elements

 Part 1 -  Part 2   -  Part 3 -  Part 4 - Part 5 - Part 6


Frederick Taylor's Productivity System - 6 - 1895 - Part 6 - Improvement of Machine Elements

Frederick Taylor's Piece Rate System - 1895 - Part 6


76. But what is perhaps of more importance still, the rate-fixing department has shown the necessity of carefully systematizing all of the small details in the running of each shop, such as the care of belting, the proper shape for cutting tools, and the dressing, grinding, and issuing sairfe, oiling machines, issuing orders for work, obtaining accurate labor and material returns, and a host of other minor methods and processes. These details, which are usually regarded as of comparatively small importance, and many of which are left to the individual judgment of the foreman and workmen, are shown by the rate-fixing department to be of paramount importance in obtaining the maximum output, and to require the most careful and systematic study and attention in order to insure uniformity and a fair and equal chance for each workman. Without this preliminary study and systematizing of details it is impossible to apply successfully the differential rate in most establishments.

77. As before stated, the success of this system of piece-work depends fundamentally upon the possibility of materially increasing the output per man and per machine, providing the proper man be found for each job and the proper incentive be offered to him.

78. As an illustration of the difference between what ought to be done by a workman well suited to his job, and what is generally done, I will mention a single class of work, performed in almost every establishment in the country. In shovelling coal from a car over the side on to a pile one man should unload forty tons per day, and keep it up year in and year out, and thrive under it.

With this knowledge of the possibilities I have never failed to find men who were glad to work at this speed for from four and a half to five cents per ton. The average speed for unloading coal in most places, however, is nearer fifteen than forty tons per day. In securing the above rate of speed it must be clearly understood that the problem is not how to force men to work harder or longer hours than their health will permanently allow, but rather first to select among the laborers which are to be found in every community the men who are physically able to work permanently at that job and at the speed mentioned without damage to their health, and who are mentally sufficiently inert to be satisfied with the monotony of the work, and then to offer them such inducements as will make them happy and contented in doing so.

79. The first case in which a differential rate was applied furnishes a good illustration of what can be accomplished by it.

A standard steel forging, many thousands of which are used each year, had for several years been turned at the rate of from four to five per day under the ordinary system of piece-work, 50 cents per piece being the price paid for the work. After analyzing the job and determining the shortest time required to do each of the elementary operations of which it was composed, and then summing up the total, the writer became convinced that it was possible to turn ten pieces a day. To finish the forgings at this rate, however, the machinists were obliged to work at their maximum pace from morning
to night, and the lathes were run as fast as the tools would allow, and under a heavy feed.

It will be appreciated that this was a big day’s work, both for men and machines, when it is understood that it involved removing, with a single 16-inch lathe having two saddles, an average of more than 800 pounds of steel chips in ten hours. In place of the 50-cent rate that they had been paid before, they were given 35 cents per piece when they turned them at the speed of 10 per day, and when they produced less than 10 they received only 25 cents per piece.

80. It took considerable trouble to induce the men to turn at this high speed, since they did not at first fully appreciate that it was the intention of the firm to allow them to earn permanently at the rate of $3.50 per day. But from the day they first turned 10 pieces to the present time, a period of more than ten years, the men who understood their work have scarcely failed a single day to turn at this rate. Throughout that time, until the beginning of the recent fall in the scale of wages throughout the country, the rate was not cut.

81. During this whole period the competitors of the company never succeeded in averaging over half of this production per lathe, although they knew and even saw what was being done at Midvale. They, however, did not allow their men to earn over from $2 to $2.50 per day, and so never even approached the maximum output.

82. The following table will show the economy of paying high wages under the differential rate in doing the above job.


COST OP PRODUCTION PER LATHE PER DAY.


Ordinary system of piece-work.


Man’s wages $2 50

Machine cost ....... 3 37

Total cost per day . . $5 87
5 pieces produced.

Cost per piece 1 17


Differential rate system.

Man’s wages ...... $3 50

Machine cost 3 37

Total cost per day ... $6 87
10 pieces produced.

Cost per piece $0 69


The above result was mostly, though not entirely, due to the differential rate. The superior system of managing all of the small details of the shop counted for considerable.

83. There has never been a strike by men working under differential rates, although these rates have been applied at the Midvale Steel Works for the past ten years, and the steel business has proved during this period the most fruitful field for labor organizations and strikes. And this notwithstanding the Midvale Company has never prevented its men from joining any labor organization. All of the best men in the company saw clearly that the success of a labor organization meant the lowering of their wages in order that the inferior men might earn more, and of course could not be persuaded to join.

84. I attribute a great part of this success in avoiding strikes to the high wages which the best men were able to earn with the differential rates, and to the pleasant feeling fostered by this system ; but this is by no means the whole cause. It has for years been the policy of that company to stimulate the personal ambition of every man in their employ, by promoting them either in wages or position whenever they deserved it and the opportunity came.

A careful record has been kept of each man’s good points as well as his shortcomings, and one of the principal duties of each foreman was to make this careful study of his men, so that substantial justice could be done to each. When men throughout an establishment are paid varying rates of day-work wages according to their individual worth, some being above and some below the average, it cannot be for the interest of those receiving high pay to join a union with the cheap men.

85. No system of management, however good, should be applied in a wooden way. The proper personal relations should always be maintained between the employers and men ; and even the prejudices of the workmen should be considered in dealing with ]them.

The employer who goes through his works with kid gloves on, and is never known to dirty his hands or clothes, and who either talks to his men in a condescending or patronizing way, or else not at all, has no chance whatever of ascertaining their real thoughts or feelings.

86. Above all it is desirable that men should be talked to on their own level by those who are over them.

Each man should be encouraged to discuss any trouble which he may have, either in the works or outside, with those over him. Men would far rather even be blamed by their bosses, especially if the “ tearing out ” has a touch of human nature and feeling in it, than to be passed by day after day without a word and with no more notice than if they were part of the machinery.

The opportunity which each man should have of airing his mind freely and having it out with his employers, is a safety-valve ; and if the superintendents are reasonable men, and listen to and treat with respect what their men have to say, there is absolutely no reason for labor unions and strikes.

87. It is not the large charities (however generous they may be) that are needed or appreciated by workmen, such as the founding of libraries and starting workingmen’s clubs, so much as small acts of personal kindness and sympathy, which establish a bond of friendly feeling between them and their employers.

88. The moral effect of the writer’s system on the men is marked. The feeling that substantial justice is being done them renders them on the whole much more manly, straightforward, and truthful. They work more cheerfully, and are more obliging to one another and their employers. They are not soured, as under the old system, by brooding over the injustice done them ; and their spare minutes are not spent to the same extent in criticising their employers.

A noted French engineer and steel manufacturer, who recently spent several weeks in the works of the Midvale Company in introducing a new branch of manufacture, stated before leaving that the one thing which had impressed him as most unusual and remarkable about the place was the fact that not only the foremen but the workmen were expected to and did in the main tell the truth in case of any blunder or carelessness, even when they had to suffer from it themselves.

89. From what the writer has said he is afraid that many readers may gain the impression that he regards elementary rate-fixing and the differential rate as a sort of panacea for all human ills.

This is, however, far from the case. While he regards the possibilities of these methods as great, he is of the opinion, on the contrary, that this system of management will be adopted by but few establishments, in the near future at least, since its really successful application not only involves a thorough organization but requires the machinery and tools throughout the place to be kept in such good repair that it will be possible for the workmen each day to produce their maximum output. But few manufacturers will care to go to this trouble until they are forced to.

90. It is his opinion that the most successful manufacturers, those who are always ready to adopt the best machinery and methods when they see them, will gradually avail themselves of the benefits of scientific rate-fixing ; and that competition will compel the others to follow slowly in the same direction.

91. Even .if all of the manufacturers in the country who are competing in the same line of business were to adopt these methods, they could still well afford to pay the high rate of wages demanded by the differential rate and necessary to induce men to work fast, since it is a well recognized fact the world over, that the highest-priced labor, providing it is proportionately productive, is the cheapest ; and the low cost at which they could produce their goods would enable them to sell in foreign markets and still pay high wages.

92. The writer is far from taking the view held by many manufacturers that labor unions are an almost unmitigated detriment to those who join them, as well as to employers and the general public.

The labor unions — particularly the trades unions of England — have rendered a great service, not only to their members but to the world, in shortening the hours of labor and in modifying the hardships and improving the conditions of wage-workers.

In the writer’s judgment the system of treating with labor unions would seem to occupy a middle position among the various methods of adjusting the relations between employers and men.

When employers herd their men together in classes, pay all of each class the same wages, and offer none of them any inducements to work harder or do better than the average, the only remedy for the men lies in combination ; and frequently the only possible answer to encroachments on the part of their employers is a strike. This state of affairs is far from satisfactory to either employers or men, and the writer believes the system of regulating the wages and conditions of employment of whole classes of men by conference and agreement between the leaders, unions, and manufacturers to be vastly inferior, both in its moral effect on the men and on the material interests of both parties, to the plan of stimulating each workman’s ambition by paying him according to his individual worth, and without limiting him to the rate of work or pay of the average of his class.

93. The level of the great mass of the world’s labor has been, and must continue to be, regulated by causes so many and so complex as to be at best but dimly recognized.

The utmost effect of any system, whether of management, social combination, or legislation, can be but to raise a small ripple or wave of prosperity above the surrounding level, and the greatest hope of the writer is that here and there a few workmen, with their employers, may be helped through this system toward the crest of the wave.


Updated on 6.11.2021,  4 November 2018, 24 July 2018


Frederick Taylor's Piece Rate System - 5 - 1895 - Part 5 - Importance of The Scientific Rate-fixing Department


Frederick Taylor's Productivity System - 5 - 1895 - Part 5 - Importance of The Scientific Rate-fixing Department



Frederick Taylor's Piece Rate System - 1895 - Part 5

61. As far as possible each man’s work should be inspected and measured separately, and his pay and losses should depend upon his individual efforts alone. It is, of course, a necessity that much of the work of manufacturing — such, for instance, as running roll-trains, hammers, or paper machines — should be done by gangs of men who cooperate to turn out a common product, and that each gang of men should be paid a definite price for the work turned out, just as if they were a single man.

In the distribution of the earnings of a gang among its members, the percentage which each man receives should, however, depend not only upon the kind of work which each man performs, but upon the accuracy and energy with which he fills his position.

In this way the personal ambition of each of a gang of men may be given its proper scope.

62. Again, we find the differential rate acting as a most powerful lever to force each man in a gang of
workmen to do his best; since if, through the carelessness or laziness of any one man, the gang fails to earn its high rate, the drone will surely be obliged by his companions to do his best the next time or else get out.

63. A great advantage of the differential rate system is that it quickly drives away all inferior workmen and attracts the men best suited to the class of work to which it is applied, since none but really good men can work fast enough and accurately enough to earn the high rate; and the low rate should be made so small as to be unattractive even to an inferior man.

64. If for no other reason that it secures to an establishment a quick and active set of workmen, the differential rate is a valuable aid, since men are largely creatures of habit, and if the piece-workers of a place are forced to move quickly and work hard the dayworkers soon get into the same way, and the whole shop takes on a more rapid pace.

65. The greatest advantage, however, of the differential rate for piece-work, in connection with a proper rate-fixing department, is that together they produce the proper mental attitude on the part of the men and the management toward each other. In place of the indolence and indifference which characterize the workmen of many day-work establishments and to a considerable extent also their employers, and in place of the constant watchfulness, suspicion, and even antagonism with which too frequently the men and the management regard each other under the ordinary piece-work plan, both sides soon appreciate the fact that with the differential rate it is their common interest to cooperate to the fullest extent, and to devote every energy to turning out daily the largest possible output This common interest quickly replaces antagonism and establishes a most friendly feeling.

66. Of the two devices for increasing the output of a shop, the differential rate and the scientific rate-fixing department, the latter is by far the more important. The differential rate is invaluable at the start as a means of convincing men that the management is in earnest in its intention of paying a premium for hard work, and it at all times furnishes the best means of maintaining the top notch of production ; but when, through its application, the men and the management have come to appreciate the mutual benefit of harmonious cooperation and respect for each other’s rights, it ceases to be an absolute necessity. On the other hand, the rate-fixing department, for an establishment doing a large variety of work, becomes absolutely indispensable. The longer it is in operation the more necessary it becomes.

67. Practically, the greatest need felt in an establishment wishing to start a rate-fixing department is the lack of data as to the proper rate of speed at which work should be done.

There are hundreds of operations which are common to most large establishments ; yet each concern studies the speed problem for itself, and days of labor are wasted in what should be settled once for all and recorded in a form which is available to all manufacturers.

68. What is needed is a hand-book on the speed with which work can be done, similar to the elementary engineering hand-books. And the writer ventures to predict that such a book will, before long, be forthcoming. Such a book should describe the best method of making, recording, tabulating, and indexing time-observations, since much time and effort are wasted by the adoption of inferior methods.

69. The term “ rate-fixing department,” has rather a formidable sound. In fact, however, that department should consist in most establishments of one man, who in many cases need give only a part of his time to the work.

70. When the manufacturing operations are uniform in character and repeat themselves day after day — as, for instance, in paper or pulp mills — the whole work of the place can be put upon piece-work in a comparatively short time ; and when once proper rates are fixed the rate-fixing department can be dispensed with, at any rate until some new line of manufacture is taken up.

71. The system of differential rates was first applied by the writer to a part of the work in the machine shop of the Midvale Steel Company, in 1884. Its effect in increasing and then maintaining the output of each machine to which it was applied was almost immediate, and so remarkable that it soon came into high favor with both the men and the management. It was gradually applied to a great part of the work of the establishment, with the result, in combination with the rate-fixing department, of doubling and in many cases trebling the output, and at the same time increasing instead of diminishing the accuracy of the work.

72. In some cases it was applied by the rate-fixing department without an elementary analysis of the time required to do the work, simply offering a higher price per piece providing the maximum output before attained was increased to a given extent. Even this system met with success although it is by no means correct, since there is no certainty that the reward is in just proportion to the efforts of the workmen.

73. In cases where large and expensive machines are used, such as paper machines, steam hammers, or rolling mills, in which a large output is dependent upon the severe manual labor as well as the skill of the workmen (while the chief cost of production lies in the expense of running the machines rather than in the wages paid), it has been found of great advantage to establish two or three differential rates, offering a higher and higher price per piece or per ton as the maximum possible output is approached.

74. As before stated, not the least of the benefits of elementary rate-fixing are the indirect results.

The careful study of the capabilities of the machines arid the analysis of the speeds at which they must run, before differential rates can be fixed which will insure their maximum output, almost invariably result in first indicating and then correcting the defects in their design and in the method of running and caring for them.

75. In the case of the Midvale Steel Company, to which I have already referred, the machine shop was equipped with standard tools furnished by the best makers, and the study of these machines, such as lathes, planers, boring mills, etc., which was made in fixing rates, developed the fact that they were none of them designed and speeded so as to cut steel to the best advantage. As a result, this company has demanded alterations from the standard in almost every machine which they have bought during the past eight years. They have themselves been obliged to superintend the design of many special tools which would not have been thought of had it not been for elementary rate-fixing.

Go to Part 6    Frederick Taylor's Productivity System - 6 - 1895 - Part 6 - Improvement of Machine Elements

Ud 6.11.2021
Pub 24.7.2018

Frederick Taylor's Piece Rate System - 4 - 1895 - Part 4 - The Law for Proper Cutting Speed

 Part 1 -  Part 2   -  Part 3 -  Part 4 - Part 5 - Part 6



Frederick Taylor's Productivity System - 4 - 1895 - Part 4 - The Law for Proper Cutting Speed


Frederick Taylor's Piece Rate System - 1895 - Part 4


46. Before the best results were finally attained in the case of work done by metal-cutting tools, such as lathes, planers, boring mills, etc., a long and expensive series of experiments was made, to determine, formulate, and finally practically apply to each machine the law governing the proper cutting speed of tools, namely, the effect on the cutting speed of altering any one of the following variables : the shape of the tool (i.e., lip angle, clearance angle, and the line of the cutting edge), the duration of the cut, the quality or hardness of the metal being cut, the depth of the cut, and the thickness of the feed or shaving.

47. It is the writer’s opinion that a more complicated and difficult piece of rate-fixing could not be found than that of determining the proper price for doing all kinds of machine work on miscellaneous steel and iron castings and forgings, which vary in their chemical composition from the softest iron to the hardest tool steel. Yet this problem was solved through the rate-fixing department and the “ differential rate,” with the final result of completely harmonizing the men and the management, in place of the constant war that existed under the old system. At the same time the quality of the work was improved and the output of the machinery and the men was doubled, and in many cases trebled. At the start there was naturally great opposition to the ratefixing department, particularly to the man who was taking time observations of the various elements of the work ; but when the men found that the rates were fixed without regard to the records of the quickest time in which they had actually done each job, and that the knowledge of the department was more accurate than their own, the motive for hanging back or “ soldiering ” on this work ceased, and with it the greatest cause for antagonism and war between the men and the management

48. As an illustration of the great variety of work to which elementary rate-fixing has already been successfully applied, the writer would state that while acting as general manager of two large sulphite pulp mills he directed the application of piece-work to all of the complicated operations of  manufacturing throughout one of these mills, by means of elementary rate-fixing, with the result, within eighteen months, of more than doubling the output of the mill.

The difference between elementary rate-fixing and the ordinary plan can perhaps be best explained by a simple illustration. Suppose the work to be planing a surface on a piece of cast iron. In the ordinary system the rate-fixer would look through his records of work done by the planing machine, until he found a piece of work as nearly as possible similar to the proposed job, and then guess at the time required to do the new piece of work. Under the elementary system, however, some such analysis as the following would be made :

Work done by Man. Minutes.

Time to lift piece from floor to planer table — - ■

Time to level and set work true on table

Time to put on stops and bolts —

Time to remove stops and bolts

Time to remove piece to floor

Time to clean machine “■

Work done by Machine . Minutes .

Time to rough off cut X in* thick, 4 feet long, 2 X in. wide . t

Time to rough off cut % in. thick, 3 feet long, 12 in. wide etc. -■

Time to finish cut 4 feet long, 2# in. wide

Time to finish cut 3 feet long, 12 in. wide, etc —

Total

Add per cent, for unavoidable delays

It is evident that this job consists of a combination of elementary operations, the time required to do each of which can be readily determined by observation.

This exact combination of operations may never occur again, but elementary operations similar to these will be performed in differing combinations almost every day in the same shop.

A man whose business it is to fix rates soon becomes so familiar with the time required to do each kind of elementary work performed by the men, that he can write down the time from memory.

In the case of that part of the work which is done by the machine, the rate-fixer refers to tables which are made out for each machine, and from which he takes the time required for any combination of breadth, depth, and length of cut

49. While, however, the accurate knowledge of the quickest time in which work can be done, obtained by the rate-fixing department and accepted by the men as standard, is the greatest and most important step toward obtaining the maximum output of the establishment, it is one thing to know how much work can be done in a day and an entirely different matter to get even the best men to work at their fastest speed or anywhere near it.

50. The means which the writer has found to be by far the most effective in obtaining the maximum output of a shop, and which, so far as he can see, satisfies the legitimate requirements, both of the men and management, is the differential rate system of piece-work.

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 imperfections, than is paid if the work takes a longer time or is imperfectly done.

51. 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 X 20 = $3. If, however, he works too slowly and turns out, say, only 19 pieces, then, instead of receiving 15 cents per piece he gets only 12 cents per piece, making his pay for the day 12 X 19 = $2.28, instead of #3 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 cents or 5 cents per piece, according to circumstances, making his pay for the day $ 2 , or only $1, instead of $3.

It will be observed that this style of piece-work is directly the opposite of the ordinary plan. To make the difference between the two methods more clear : Supposing under the ordinary system of piece-work that the workman has been turning out 16 pieces per day, and has received 15 cents per piece ; then his day’s wages would be 15 X 16 =$2.40. Through extra exertion he succeeds in increasing his output to 20 pieces per day, and thereby increases his pay to 15 X 20 =$3. The employer, under the old system, however, concludes that $3 is too much for the man to earn per day, since other men are only getting from $2.25 to $2.50, and therefore cuts the price from 15 cents per piece to 12 cents, and the man finds himself working at a more rapid pace and yet earning only the same old wages, ia X 20 = $2.40 per day. What wonder that men do not care to repeat this performance many times ?

53. Whether cooperation, the differential plan, or some other form of piece-work be chosen in connection with elementary rate-fixing, as the best method of working, there are certain fundamental facts and principles which must be recognized and incorporated in any system of management before true and lasting success can be attained ; and most of these facts and principles will be found to be not far removed from what the strictest moralists would call justice.

54. The most important of these facts is, that MEN WILE NOT DO AN EXTRAORDINARY DAY’S WORK FOR AN ordinary day’s pay ; and any attempt on the part of employers to get the best work out of their men and' give them the standard wages paid by their neighbors will surely be, and ought to be, doomed to failure.

55. Justice, however, not only demands for the workman an increased reward for a large day’s work, but should compel him to suffer an appropriate loss in case his work falls off either in quantity or quality. It is quite as important that the deductions for bad work should be just, and graded in proportion to the shortcomings of the workman, as that the reward should be proportional to the work done.

The fear of being discharged, which is practically the only penalty applied in many establishments, is entirely inadequate to producing the best quantity and quality of work ; since the workmen find that they can take many liberties before the management makes up its mind to apply this extreme penalty.

56. It is clear that the differential rate satisfies automatically, as it were, the above condition of properly graded rewards and deductions. Whenever a workman works for a day (or even a shorter period) at his maximum, he receives under this * system unusually high wages ; but when he falls off either in quantity or quality from the highest rate of Efficiency his pay falls below even the ordinary.

57. The lower differential rate should be fixed at a figure which will allow the workman to earn scarcely an ordinary day’s pay when he falls off from his maximum pace, so as to give him every inducement to work hard and well.

58. The exact percentage beyond the usual standard which must be paid to induce men to work to their maximum varies with different trades and with different sections of the country, And there are places in the United States where the men (generally speaking) are so lazy and demoralized that no sufficient inducement can be offered to make them do a full day’s work.

59. It is not, however, sufficient that each workman’s ambition should be aroused by the prospect of larger pay at the end of even a comparatively short period of time. The stimulus to maximum exertion should be a daily one.

This involves such vigorous and rapid inspection and returns as to enable each workman in most cases to know each day the exact result of his previous day’s work — i. e ., whether he has succeeded in earning his maximum pay, and exactly what his losses are for careless or defective work. Two-thirds of the moral effect, either of a reward or penalty, is lost by even a short postponement.

60. It will again be noted that the differential rate system forces this condition both upon the management and the workmen, since the men while working under it are above all anxious to know at the earliest possible minute whether they have earned their high rate or not. And it is equally important for the management to know whether the work has been properly done.

Go to Part 5  Frederick Taylor's Productivity System - 5 - 1895 - Part 5 - Importance of The Scientific Rate-fixing Department


Updated 6.11.2021, 4 November 2018, 24 July 2018

Frederick Taylor's Piece Rate System - 2 - 1895 - Part 2 - Faults in the Current Piece Rate Systems


 Part 1 -  Part 2   -  Part 3 -  Part 4 - Part 5 - Part 6


Frederick Taylor's Productivity System - 2 - 1895 - Part 2 - Faults in the Current Piece Rate Systems


Frederick Taylor's Piece Rate System - Part 2


16. If the plan of grading labor and recording each man’s performance is so much superior to the old day-work method of handling men, why is it not all that is required? Because no foreman can watch and study all of his men all of the time, and because any system of laying out and apportioning work, and of returns and records, which is sufficiently elaborate to keep proper account of the performance of each workman, is more complicated than piece-work. It is evident that that system is the best which, in attaining the desired result, presents in the long run the course of least resistance.

17. The inherent and most serious defect of even the best managed day-work lies in the 'fact that there is nothing about the system that is self-sustaining. When once the men are working at a rapid pace there is nothing but the constant, unremitting watchfulness and energy of the management to keep them there ; while with every form of piece-work each new rate that is fixed insures a given speed for another section of work, and to that extent relieves the foreman from worry.

18. From the best type of day-work to ordinary piece-work, the step is a short one. With good day-work the various operations of manufacturing should have been divided into small sections or jobs, in order to properly gauge the efficiency of the men ; and the quickest time should have been recorded in which each operation has been performed. The change from paying by the hour to paying by the job is then readily accomplished.

19. The theory upon which the ordinary system of piece-work operates to the benefit of the manufacturer is exceedingly simple. Each workman, with a definite price for each job before him, contrives a way of doing it in a shorter time, either by working harder or by improving his method ; and he thus makes a larger profit. After the job has been repeated a number of times at the more rapid rate, the manufacturer thinks that he should also begin to share in the gain, and therefore reduces the price of the job to a figure at which the workman, although working harder, earns, perhaps, but little more than he originally did when on day-work.

20. The actual working of the system, however, is far different. Even the most stupid man, after receiving two or three piece-work “cuts” as a reward for his having worked harder, resents this treatment and seeks a remedy for it in the future. Thus begins a war, generally an amicable war, but none the less a war, between the workmen and the management. The latter endeavors by every means to induce the workmen to increase the out put, and the men gauge the rapidity with which they work, so as never to earn over a certain rate of wages, knowing that if they exceed this amount the piece-work price will surely be cut sooner or later.

21. But the war is by no means restricted to piece-work. Every intelligent workman realizes the importance, to his own interest, of starting in on each new job as slowly as possible. There are few foremen or superintendents who have anything but a general idea as to how long it should take to do a piece of work that is new to them. Therefore, before fixing a piece-work price, they prefer to have the job done for the first time by the day. They watch the progress of the work as closely as their other duties will permit, and make up their minds how quickly it can be done. It becomes the workman’s interest then to go just as slowly as possible and still convince his foreman that he is working well.

22. The extent to which, even in our largest and best managed establishments, this plan of holding back on the work, — “ marking time ”, or “ soldiering ”, as it is called — is carried on by the men, can scarcely be understood by one who has not worked among them. It is by no means uncommon for men to work at the rate of one-third, or even one-quarter, their maximum speed, and still preserve the appearance of working hard. And when a rate has once been fixed on such a false basis it is easy for the men to nurse successfully “ a soft snap ” of this sort through a term of years, earning in the mean-
while just as much wages as they think they can without having the rate cut

23. Thus arises a system of hypocrisy and deceit on the part of the men which is thoroughly demoralizing and which has led many workmen to regard their employers as their natural enemies, to be opposed in whatever they want, believing that whatever is for the interest of the management must necessarily be to their detriment.

24. The effect of this system of piece-work on the character of the men is, in many cases, so serious as to make it doubtful whether, on the whole, well managed day-work is not preferable.

25. There are several modifications of the ordinary method of piece-work which tend to lessen the evils of the system, but I know of none that can eradicate the fundamental causes for war, and enable the managers and the men to heartily cooperate in obtaining the maximum product from the establishment. It is the writer’s opinion, however, that the differential rate system of piece-work, which will be described later, in most cases entirely harmonizes the interests of both parties.

26. One method of temporarily relieving the strain between workmen and employers consists in reducing the price paid for work, and at the same time guaranteeing the men against further reduction for a definite period. If this period be made sufficiently long, the men are tempted to let themselves out and earn as much money as they can, thus “ spoiling ” their own job by another “ cut ” in rates when the period has expired.

27. Perhaps the most successful modification of the ordinary system of piece-work is the “gain-sharing” plan. This was invented by Mr. Henry R. Towne, in 1886, and has since been extensively and successfully applied by him in the Yale & Towne Manufacturing Co., at Stamford, Conn. It was admirably described in a paper which he read before this Society in 1888. This system of paying men is, however, subject to the serious, and I think fatal, defect that it does not recognize the personal merit of each workman ; the tendency being rather to herd men together and promote trades-unionism, than to develop each man’s individuality.

28. A still further improvement of this method was made by Mr. F. A. Halsey, and described by him in a paper entitled “The Premium Plan of Paying for Labor,” and presented to this Society in 1891. Mr. Halsey’s plan allows free scope for each man’s personal ambition, which Mr. Towne’s does not.

29. Messrs. Towne and Halsey’s plans consist briefly in recording the cost of each job as a starting-point at a certain time ; then, if, through the effort of the workmen in the future, the job is done in a shorter time and at a lower cost, the gain is divided among the workmen and the employer in a definite ratio, the workmen receiving, say, one-half, and the employer one-half.

30. Under this plan, if the employer lives up to his promise, and the workman has confidence in his integrity, there is the proper basis for cooperation to secure sooner or later a large increase in the output of the establishment.

Yet there still remains the temptation for the workman to “soldier” or hold back while on day-work, which is the most difficult thing to overcome. And in this as well as in all the systems heretofore referred to, there is the common defect that the starting-point from which the first rate is fixed is unequal and unjust. Some of the rates may have resulted from records obtained when a good man was working close to his maximum speed, while others are based on the performance of a medium man at one-third or one-quarter speed. From this follows a great inequality and injustice in the reward even of the same man when at work on different jobs. The result is far from a realization of the ideal condition in which the same return is uniformly received for a given expenditure of brains and energy. Other defects in the gain-sharing plan, and which are corrected by the differential rate system, are :

( 1) That it is slow and irregular in its operation in reducing costs, being dependent upon the whims of the men working under it.

(2) That it fails to especially attract first-class men and discourage inferior men.

(3) That it does not automatically insure the maximum output of the establishment per man and machine.

Go to Part 3  Frederick Taylor's Productivity System - 3- 1895 - Part 3 - Establishment of Methods Improvement & Rate Fixing Industrial Engineering Department


Ud 6.11.2021
Pub 22.7.2018

Frederick Taylor's Piece Rate System - 3- 1895 - Part 3 - Establishment of Rate Fixing Department

 Part 1 -  Part 2   -  Part 3 -  Part 4 - Part 5 - Part 6

Frederick Taylor's Productivity System - 3- 1895 - Part 3 - Establishment of Methods Improvement & Rate Fixing Industrial Engineering Department


Frederick Taylor's Piece Rate System - 1895 - Part 3


31. Cooperation, or profit sharing, has entered the mind of every student of the subject as one of the possible and most attractive solutions of the problem ; and there have been certain instances, both in England and France., of at least a partial success of cooperative experiments.

So far as I know, however, these trials have been made either in small towns, remote from the manufacturing centres, or in industries which in many respects are not subject to ordinary manufacturing conditions.

32. Cooperative experiments have failed, and, I think, are generally destined to fail, for several reasons, the first and most important of which is, that no form of cooperation has yet been devised in which each individual is allowed free scope for his personal ambition. This always has been and will remain a more powerful incentive to exertion than a desire for the general welfare. The few misplaced drones, who do the loafing and share equally in the profits with the rest, under cooperation are sure to drag the better men down toward their level.

33. The second and almost equally strong reason for failure lies in the remoteness of the reward. The average workman (I don’t say all men) cannot look forward to a profit which is six months or a year away. The nice time which they are sure to have to-day if they take things easily, proves more attractive than hard work with a possible reward to be shared with others six months later.

34. Other and formidable difficulties in the path of cooperation are, the equitable division of the profits, and the fact that, while workmen are always ready to share the profits, they are neither 'able nor willing to share the losses. Further than this, in many cases it is neither right nor just that they should share either in the profits or the losses, since these may be due in great part to causes entirely beyond their influence or control, and to which they do not contribute.

35. When we recognize the real antagonism that exists between the interests of the men and their employers under all of the systems of piece-work* in common use, and when we remember the apparently irreconcilable conflict implied in the fundamental and perfectly legitimate aims of the two, namely, on the part of the men, —

THE UNIVERSAL DESIRE TO RECEIVE THE LARGEST  POSSIBLE WAGES FOR THEIR TIME ;

And on the part of the employers, —

THE DESIRE TO RECEIVE THE LARGEST POSSIBLE RETURN FOR THE WAGES PAID ;

What wonder that most of us arrive at the conclusion that no system of piece-work can be devised which will enable the two to cooperate without antagonism, and to their mutual benefit?


36. Yet it is the opinion of the writer that even if a system has not already been found which harmonizes the interests of the two/ still the basis for harmonious cooperation lies in the two following facts :

First . That the workmen in nearly every trade can and will materially increase their present output per day, providing they are assured of a permanent and larger return for their time than they have heretofore received.

Second. That the employers can well afford to pay higher wages per piece even permanently , providing each man and machine in the establishment turns out a proportionately larger amount of work.

37. The truth of the latter statement arises from the well recognized fact that, in most lines of manufacture, the indirect expenses equal or exceed the wages paid directly to the workmen, and that these expenses remain approximately constant, whether the output of the establishment is great or small.

From this it follows that it is always cheaper to pay higher wages to the workmen when the output is proportionately increased : the diminution in the indirect portion of the cost per piece being greater than the increase in wages. Many manufacturers, in considering the cost of production, fail to realize the effect that the volume of output has on the cost. They lose sight of the fact that taxes, insurance, depreciation, rent, interest, salaries, office expenses, miscellaneous labor, sales expenses, and frequently the cost of power (which in the aggregate amount to as much as wages paid to workmen), remain about the same whether the output of the establishment is great or small.

38. In our endeavor to solve the piece-work problem by the application of the two fundamental facts above referred to, let us consider the obstacles in the path of harmonious cooperation, and suggest a method for their removal.

39. The most formidable obstacle is the lack of knowledge on the part of both the men and the management (but chiefly the latter) of the quickest time in which each piece of work can be done; or, briefly, the lack of accurate time-tables for the work of the place.

40. The remedy for this trouble lies in the establishment in every factory of a proper rate-fixing department; a department which shall have equal dignity and command equal respect with the engineering and managing departments, which shall be organized and conducted in an equally scientific and practical manner.

41. The rate-fixing, as at present conducted, even in our best managed establishments, is very similar to the mechanical engineering of fifty or sixty years ago. Mechanical engineering at that time consisted in imitating machines which were in more or less successful use, or in guessing at the dimensions and strength of the parts of a new machine ; and as the parts broke down or gave out, in replacing them with the stronger ones. Thus each new machine presented a problem almost independent of former designs, and one which could only be solved by months or years of practical experience and a series of break-downs.

Modern engineering, however, has become a study, not of individual machines, but of the resistance of materials, the fundamental principles of mechanics, and of the elements of design.

42. On the other hand, the ordinary rate-fixing (even the best of it), like the old-style engineering, is done by a foreman or superintendent who, with the aid of a clerk, looks over the record of the time in which a whole job was done as nearly like the new one as can be found, and then guesses at the time required to do the new job. No attempt is made to analyze and time each of the classes of work, or elements of which a job is composed ; although it is a far simpler task to resolve each job into its elements, to make a careful study of the quickest time in which each of the elementary operations can be done, and then to properly classify, tabulate, and index this information, and use it when required for rate-fixing, than it is to fix rates, with even an approximation to justice, under the common system of guessing.

43. In fact, it has never occurred to most superintendents that the work of their establishments consists of various combinations of elementary operations which can be timed in this way ; and a suggestion that this is a practical way of dealing with the piece-work problem usually meets with derision, or, at the best, with the answer that “ It might do for some simple business, but my work is entirely too complicated.”

44. Yet this elementary system of fixing rates has been in successful operation for the past ten years, on work complicated in its nature and covering almost as wide a range of variety as any manufacturing that the writer knows of. In 1883, while foreman of the machine shop of the Midvale Steel Company of Philadelphia, it occurred to the writer that it was simpler to time each of the elements of the various kinds of work done in the place, and then find the quickest time in which each job could be done, by summing up the total times of its component parts, than it was to search through the records of former jobs and guess at the proper price. After practising this method of rate-fixing himself for about a year as well as circumstances would permit, it became evident that the system was a success. The writer then established the rate-fixing department, which has given out piece-work prices in the place ever since.

45. This department far more than paid for itself from the very start ; but it was several years before the full benefits of the system were felt, owing to the fact that the best methods of making and recording time observations of work done by the men, as well as of determining the maximum capacity of each of the machines in the place, and of making working-tables and time-tables, were not at first adopted.


Foot Note

1 The writer’s knowledge of the speed attained in the manufacture of textile goods is very limited. It is his opinion, however, that owing to the comparative uniformity of this class of work, and the
enormous number of machines and men engaged on similar operations, the maximum output per man and machine is more nearly realized in this class of manufactures than in any other. If this is the
case, the opportunity for improvement does not exist to the same extent here as in other trades. Some illustrations of the possible increase in the daily output of men and machines are given in paragraphs 78 to 82.

Go to Part 4   Frederick Taylor's Productivity System - 4 - 1895 - Part 4 - The Law for Proper Cutting Speed



Updated on 6 Nov 2021,  4 November 2018, 24 July 2018

Ergonomist - Is He an Industrial Engineer

Industrial Engineering and Ergonomics

 
In Industrial Engineering Curriculum, Ergonomics is an subject. But is Ergonomics Industrial Engineering? Or is Ergonomics, a science that supports Industrial Engineering. This issue is vital because, industrial engineering profession has ignored its core area of human effort engineering and promoted ergonomics in a big way. But if ergonomics professionals keep their subject  separate (they are forced to keep it separate as the basic underlying subjects for ergonomics are physiology or psychology), industrial engineering discipline ends up as a loser (it has already incurred losses). Actually industrial engineering discipline committed the same blunder in many emerging techniques or associated disciplines. It has not protected its turf and it has not made its IE stamp effective on those techniques and subjects.
 
Ergonomist's Activities
 
The role of ergonomist was described by Nevile Stanton in the article 'Human Factors and Ergonomics Methods" in the Handbook  "Handbook of Human Factors and Ergonomics Methods" edited by him.
 
According to him the domain of human factors and ergonomics includes:
 
Human capabilities and limitations
Human-machine interaction
Teamwork
Tools, machines, and material design
Environmental factors
Work and organizational design
 
Ergonomist is simultaneously a scientist and a practitioner.
As a scientist, the ergonomist is:
 
Extending the work of others
testing theories of human-machine performance
Developing hypotheses
Questioning everything
Using rigorous data-collection and data-analysis techniques
Ensuring repeatability of results
Disseminating the finding  of studies
 
As a practitioner, the ergonomist is:
 
Addressing real world problems
Seeking the best compromise under difficult circumstances
Looking to offer the most cost-effective solution
Developing demonstrators and prototype solutions
Analyzing and evaluating the effects of change
Developing benchmarks for best practice
Communicating findings to interested parties
 
The listing is very useful to describe activities of scientists and researchers in general.
 
But what is interesting from the point of view of industrial engineers is that the words "industrial engineering" or "industrial engineer" are not mentioned anywhere in the article. Actually, industrial engineering profession was ignored by many disciplines in the same manner and the IE profession did not recognize and make efforts to bring the relation between IE and the related disciplines explicit in the general literature.



Ud 6 Nov 2021
Pub 4.2.2012