THE PSYCHOLOGY OF MANAGEMENT
The Function of the Mind in Determining,Teaching and Installing Methods of Least Waste
BY L. M. GILBRETH, M. L.
STURGIS & WALTON COMPANY
1914
Summary of Chapter I DESCRIPTION AND GENERAL OUTLINE OF THE PSYCHOLOGY
OF MANAGEMENT
It has demonstrated that the emphasis in successful management of human effort lies on the man. Efficiency is best secured by placing the emphasis on the man, and modifying the equipment, materials and methods that he uses to make the most of the man. It has, further, recognized that the man's mind is a controlling factor in his efficiency. Teaching, enables the man to make the most of his powers. In order to understand this teaching element that is such a large part of scientific management, a knowledge of psychology is imperative; and this study of psychology, as it applies to the work of the manager or the managed, is exactly what the " psychology of management " is.
Management is a life study of every man who works with other men. He must either manage, or
be managed, or both ; in any case, he can never work to best advantage until he understands both the
psychological and managerial laws by which he governs or is governed.
What is " Management "?
" Management," as defined by the Century Dictionary, is " the art of managing by direction or
regulation."
Successful management of the old type was an art based on no measurement. Scientific Management
is an art based upon a science, upon laws deducted from measurement. Management continues to be
what it has always been, the art of directing activity.
We may divide all management into three types
(1) Traditional
(2) Transitory
(3) Scientific, or measured functional.
Traditional Management, the first, has been variously called " Military," " Driver," the " Marquis of
Queensberry type," " Initiative and Incentive Management," as well as " Traditional " management.
Definition of the First Type. In the first type, the power of managing lies, theoretically at least, in
the hands of one man, a capable " all-around " manager. The line of authority and of responsibility is
clear, fixed and single. Each man comes in direct contact with but one man above him. A man may
or may not manage more than one man beneath him, but, however this may be, he is managed by but one man above him.
The Name " Initiative and Incentive " Authoritative. The term "Initiative and Incentive," is used
by Dr. Taylor, and is fully described by him.
The only excuses for the term " Traditional, are its brevity and its descriptiveness. The fact that it is indefinite is really no fault in it, as the subject it describes is equally indefinite. The " fringe " of this word is especially good. It calls up ideas of information handed down from generation to generation orally, the only way of teaching under the old type of management. It recalls the idea of the inaccurate perpetuation of unthinking custom, and the " myth " element always present in tradition, again undeniable accusations against the old type of management. The fundamental idea of the tradition, that it is oral, is the essence of the difference of the old type of management from science, or even system, which must be written.
Definition of the Second Type of Management.
The second type of management is called " Interim " or " Transitory " management. It includes all management that is consciously passing into Scientific Management and embraces all stages, from management that has incorporated one scientifically derived principle, to management that has adopted all but one such principle.
Perhaps the name " Transitory " is slightly preferable in that, though the element of temporari-
ness is present in both words, it is more strongly em- phasized in the latter. The usual habit of associating with it the ideas of " fleeting, evanescent, ephemeral, momentary, short-lived," may have an influence on hastening the completion of the installing of Scientific Management.
Definition of the Third Type of Management.
The third form of management is called " Ultimate," " measured Functional," or " Scientific, " management. This differs from the first two types mentioned in that it is a definite plan of management synthesized from scientific analysis of the data of management. In other words, Scientific Management is that management which is a science, i. e., which operates according to known, formulated, and applied laws.
The name " measured functional " is the most descriptive, but demands the most explanation. The
principle of functionalization is one of the underlying, fundamental principles of Scientific Management. It is not as necessary to stop to define it here, as it is necessary to discuss the definition, the principle, and the underlying psychology, at length later.
The name " scientific " while in some respects not as appropriate as are any of the other names, has already received the stamp of popular approval. In derivation it is beyond criticism. It also describes
exactly, as has been said, the difference between the older forms of management and the new. Even its " fringe " of association is, or at least was when first used, all that could be desired; but the name is, unfortunately, occasionally used indiscriminately for any sort of system and for schemes of operation that are not based on time study. It has gradually become identified more or less closely with of management as " Scientific," makes its choice advisable. We shall use it, but restrict its content.
We may summarize by saying that:
1. the popular name is Scientific Management,
2. the inspiring name is Ultimate management,
3. the descriptive name is measured Functional management,
For the purpose of this book, Scientific Management is, then, the most appropriate name. Through
its use, the reader is enabled to utilize all his associations, and through his study he is able to restrict and order the content of the term.
Under the first type, or in the first stage of management, the laws or principles underlying right man-
agement are usually unknown, hence disregarded.
In the second stage, the laws are known and installed as fast as functional foremen can be taught
their new duties and the resistances of human nature can be overcome.
In the third stage the managing is operated in accordance with the recognized laws of management.
Plan of Psychological Study Used in the book . The discussion follows upon arbitrary divisions of scientific management, that is
1. To enumerate the underlying principles on which scientific management rests.
2. To show in how far the other two types of management vary from Scientific Management.
3. To discuss the psychological aspect of each principle.
Underlying Ideas and Divisions of Scientific Management. These underlying ideas are grouped under nine divisions, as follows :
1. Individuality.
2. Functionalization.
3. Measurement.
4. Analysis and Synthesis.
5. Standardization.
6. Records and Programmes.
7. Teaching.
8. Incentives.
9. Welfare.
Each will be made the subject of a chapter.
Conclusions to be Reached. These conclusions will include the following:
1. " Scientific Management" is a science.
2. It alone, of the Three Types of Management, is a science.
3. Contrary to a widespread belief that Scientific Management kills individuality, it is built on the basic principle of recognition of the individual, not only as an economic unit but also as a personality, with all the idiosyncrasies that distinguish a person.
4. Scientific Management fosters individuality by functionalizing work.
5. Measurement, in Scientific Management, is of ultimate units of subdivision.
6. These measured ultimate units are combined into methods of least waste.
7. Standardization under Scientific Management applies to all elements.
8. The accurate records of Scientific Management make accurate programmes possible of fulfillment.
9. Through the teaching of Scientific Management the management is unified and made self-perpetuating.
10. The method of teaching of Scientific Management is a distinct and valuable contribution to Education.
11. Incentives under Scientific Management not only stimulate but benefit the worker.
12. It is for the ultimate as well as immediate welfare of the worker to work under Scientific Management.
13. Scientific Management is applicable to all fields of activity, and to mental as well as physical
work.
14. Scientific Management is applicable to self- management as well as to managing others.
15. It teaches men to cooperate with the management as well as to manage.
16. It is a device capable of use by all.
17. The psychological element of Scientific Management is the most important element.
18. Because Scientific Management is psychologically right it is the ultimate form of management.
19. This psychological study of Scientific Management emphasizes especially the teaching features.
20. Scientific Management simultaneously
a. increases output and wages and lowers costs.
b. eliminates waste.
c. turns unskilled labor into skilled.
d. provides a system of self-perpetuating welfare.
e. reduces the cost of living.
f. bridges the gap between the college trained and the apprenticeship trained worker.
g. forces capital and labor to cooperate and to promote industrial peace.
