Taylor, his associates and thinkers like Fayol adopted the concept of increasing the efficiency of individuals Taylor assumed workers as a machine part and focused on increasing the efficiency of that part and for him the efficiency was directly related only to financial incentives. Taylor gave the least amount of attention to factors which were non monetary in nature where as Chester Barnard gave his theory keeping in mind monetary and nonmonetary inducements. Barnard had also considered the attitudes of both the shop floor workers and top executives work responsibilities whereas Taylor focused only on shop floor workers.
Barnard said that monetary incentives are encouraging for workers up to the subsistence level and when this level is met many more factors come in play like the need to belong to an informal organization for prestige and recognition, desirable physical conditions of work, willingness to serve, pride of workmanship, loyalty to organization and many more.
Barnard also specifically says that cooperation is must for the healthy functioning of an organization and this is possible only when individual motive and organizational purpose complement each other. He also says that for cooperative action between two individuals it is important that there is no serious divergence in understanding the purpose of the organization. Nothing related to this has been explained by Taylor.
Taylor in his Scientific Management Theory has divided work responsibility between management and workers and have advised management to be more flexible in their attitude whereas Barnard has specified three works that must be done by the executive. They are –
1. Maintenance of Organization communication.
2. Securing of essential services from the individuals working in organization
3. Formulation of purpose and objectives.
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