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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.

It is not necessary to make more definite here the content of this oldest type of management, rather being satisfied with the extent, and accepting for working use the name "Traditional" with the generally accepted definition of that name.

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.

Preferable Name for Second Type of Management. — Perhaps the name "Transitory" is slightly preferable in that, though the element of temporariness is present in both words, it is more strongly emphasized 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, and might also be called, — but for the objection of Dr. Taylor, the "Taylor Plan of 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.13

Preferable Name of the Third Type of Management. — The name "Ultimate" has, especially to the person operating under the transitory stage, all the charm and inspiration of a goal. It has all the incentives to accomplishment of a clearly circumscribed task. Its very definiteness makes it seem possible of attainment. It is a great satisfaction to one who, during a lifetime of managing effort, has tried one offered improvement after another to be convinced that he has found the right road at last. The name is, perhaps, of greatest value in attracting the attention of the uninformed and, as the possibilities of the subject can fulfill the most exacting demands, the attention once secured can be held.

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

1. the Taylor Plan of Management

2. what we have defined as the "Transitory" plan of management

3. management which not only is not striving to be scientific, but which confounds "science" with "system." Both its advocates and opponents have been guilty of misuse of the word. Still, in spite of this, the very fact that the word has had a wide use, that it has become habitual to think of the new type of management as "Scientific," makes its choice advisable. We shall use it, but restrict its content. With us "Scientific Management" is used to mean the complete Taylor plan of management, with no modifications and no deviations.

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,

4. the distinctive name is the Taylor Plan of 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.

Relationship Between the Three Types of Management. — From the foregoing definitions and descriptions it will be clear that the three types of management are closely related. Three of the names given bring out this relationship most clearly. These are Traditional (i.e., Primitive), Interim, and Ultimate. These show, also, that the relationship is genetic, i.e., that the second form grows out of the first, but passes through to the third. The growth is evolutional.

Under the first type, or in the first stage of management, the laws or principles underlying right management 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.14

In the third stage the managing is operated in accordance with the recognized laws of management.

Psychological Significance of This Relationship. — The importance of the knowledge and of the desire for it can scarcely be overestimated. This again makes plain the value of the psychological study of management.

Possible Psychological Studies of Management. — In making this psychological study of management, it would be possible to take up the three types as defined above, separately and in order, and to discuss the place of the mind in each, at length; but such a method would not only result in needless repetition, but also in most difficult comparisons when final results were to be deduced and formulated.

It would, again, be possible to take up the various elements or divisions of psychological study as determined by a consensus of psychologists, and to illustrate each in turn from the three types of management; but the results from any such method would be apt to seem unrelated and impractical, i.e., it would be a lengthy process to get results that would be of immediate, practical use in managing.

Plan of Psychological Study Used Here. — It has, therefore, seemed best to base the discussion that is to follow 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.

Advantages of This Plan of Study. — In this way the reader can gain an idea of

1. The relation of Scientific Management to the other types of management.

2. The structure of Scientific Management.

3. The relation between the various elements of Scientific Management.

4. The psychology of management in general, and of the three types of management in particular.

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.

It is here only necessary to enumerate these divisions. Each will be made the subject of a chapter.

Derivation of These Divisions. — These divisions lay no claim to being anything but underlying ideas of Scientific Management, that embrace varying numbers of established elements that can easily be subjected to the scrutiny of psychological investigation.

The discussion will be as little technical as is possible, will take nothing for granted and will cite references at every step. This is a new field of investigation, and the utmost care is necessary to avoid generalizing from insufficient data.

Derivation of Scientific Management. — There has been much speculation as to the age and origin of Scientific Management. The results of this are interesting, but are not of enough practical value to be repeated here. Many ideas of Scientific Management can be traced back, more or less clearly and directly, to thinkers of the past; but the Science of Management, as such, was discovered, and the deduction of its laws, or "principles," made possible when Dr. Frederick W. Taylor discovered and applied Time Study. Having discovered this, he constructed from it and the other fundamental principles a complete whole.

Mr. George Iles in that most interesting and instructive of books, "Inventors at Work," 15 has pointed out the importance, to development in any line of progress or science, of measuring devices and methods. Contemporaneous with, or previous to, the discovery of the device or method, must come the discovery or determination of the most profitable unit of measurement which will, of itself, best show the variations in efficiency from class. When Dr. Taylor discovered units of measurement for determining, prior to performance, the amount of any kind of work that a worker could do and the amount of rest he must have during the performance of that work, then, and not until then, did management become a science. On this hangs the science of management.16

Outline of Method of Investigation. — In the discussion of each of the nine divisions of Scientific Management, the following topics must be treated:

1. Definition of the division and its underlying idea.

2. Appearance and importance of the idea in Traditional and Transitory Management.

3. Appearance and importance of the idea in Scientific Management.

4. Elements of Scientific Management which show the effects of the idea.

5. Results of the idea upon work and workers.

These topics will be discussed in such order as the particular division investigated demands. The psychological significance of the appearance or non-appearance of the idea, and of the effect of the idea, will be noted. The results will be summarized at the close of each chapter, in order to furnish data for drawing conclusions at the close of the discussion.

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 coöperate 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 coöperate and to promote industrial peace.



 1. Charles Babbage, Economy of Manufacturers. Preface, p. v.

 2. Halbert P. Gillette, Paper

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