Study and analyse Henry Gantt theory of management and apply all or some of it to a practical organisation of your choice clearly illustrating its relevance for the organisation currently and in a changing world.
Henry Gantt scientific management is a theory that incorporates benchmarks in a project as a way to complete the project efficiently. It dictates the use of both resources and time when evaluating projects. His main focus was to apply scientific analysis to all facets of the work being done as a means of increasing productivity. Gantt believed that it was only the application of scientific analysis to every aspect of work which could produce industrial efficiency, and that improvements in management came from eliminating chance and accidents. Gantt made four individual and notable contributions:
Henry Gantt made many contributions to modern scientific management. Together with such thinkers like Frederick Taylor and Douglas McGregor, Elton Mayo and Abraham Maslow they helped to shape modern scientific management. The principles of scientific management are: Develop a science for each operation to replace an opinion.
Determine precisely from the signs that would have been developed, the correct time and method of each job. Set up a suitable organisation to take all responsibility from the workers except that of actual job performance Select and train workers.
Give workers arbitrary power over operations, for example involve them. Scientific management is based upon the concept that workflow can be arranged in such as manner as to optimize throughput and efficiency.
Gantt revolutionised management by advocating for scheduling where by the foreman is given the order of work for each day. Gantt in1903 described two types of balance: Man’s record shows what each worker should do and what they actually did. Daily balance of work shows the amount of work to be done and the amount that is do The above was done to coordinate these activities to avoid interference.
Relating the theory to modern day management the theory works well in production industry to reconcile budgeted work against completed work. In doing-so there monitoring of workflow and any variance between budgeted and outcome is investigated and measures taken to rectify.
1. The task and bonus system
Gantt’s task and bonus wage system was introduced in 1901 and the employee received a bonus in addition to his regular day rate if he accomplished the task for the day; he would still receive the day rate even if the task was not completed. As a result of introducing Gantt’s system, which enabled workers to earn a living while learning to increase their efficiency, production often more than doubled. This convinced Gantt that concern for the worker and employee morale was one of the most important factors in management. A case in study is Liquid Telecom Zimbabwe one of the leading Independent Internet Access providers. The main goal for Liquid Telecom Zimbabwe is to connect as many customers onto their fiber network .In order to increase the number of customers connected per week Liquid Telecom Zimbabwe introduced Direct Sales Agents who are paid on commission. The more number of customers one brings onboard the more money they will be paid. This also applies to the project implementation teams who ensure that fiber projects are completed within the stipulated 6 weeks. The ability to complete the fiber trenching and installation of customer equipment means that the project team will be awarded a bonus every quarter for each task completed. There are also rewards for those engineers and technicians who are able to resolve customer connectivity queries within the stipulated Service Level agreement timeframes. This has increased service quality to customers and has managed to boost profits every year since most employees in all departments are motivated to complete their tasks within the set time to get...
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