Cyclopedia of Commerce, Accountancy, Business Administration, v. 02 (of 10)American School of Correspondence
General
Cyclopedia of Commerce, Accountancy, Business Administration, v. 02 (of 10)
American School of Correspondence
Accounting; Business; Commerce
=Limitations of Military Organization.= Most industrial organizations
to─day resemble military organizations, with their generals and
intermediate officers, down to sergeants, each man reporting to but one
man higher in rank. There is little doubt that the present tendency in
industrial organizations is to abandon the military system to a very
large extent, and for the following reasons:
A soldier has certain duties to perform, few in number, and simple in
kind. Hence the man directly in command can control the actions of
his subordinates easily and effectively. Control, moreover, should
come invariably from the same officer, to avoid any possibility of
disastrous confusion, and _to insure the instant action of a body of
men as one single mass_.
On the other hand, industrial operations do not possess the same
simplicity, particularly where men are using machines; nor is
there the necessity of action in mass. The military organization,
therefore, should be modified to suit the conditions; and one of these
modifications is the introduction of two or more foremen in charge
of certain functions or duties of the same men or groups of men, as
explained in the paragraph on _Subdivision of Duties_.
=Opposition to Change.= All men have a certain mental inertia which
makes them resist any change of their methods and habits. Foremen are
particularly resistant to change, because of their custom of giving
orders more frequently than receiving orders. Hence the Cost─Analysis
Engineer who is trying to introduce modern methods is sure to meet with
violent opposition from foremen; and the older the foreman, the more
violent the opposition. When the Cost─Analysis Engineer introduces
a new method, he must personally attend to every detail, or it will
surely "go wrong." The old foreman will see to it that it does "go
wrong," just to show that the "new─fangled ideas" are worthless.
Opposition may also develop among labor unions, particularly if it is
proposed to pay on the piece─rate plan──that is, to pay so and so much
for each unit of work performed. The bonus plan and the premium plan
(to be described later) are schemes to overcome this opposition to the
piece─rate plan, but in essence they are all the same.
No manager of men can attain great success unless he has grit enough
and tact enough to overcome the opposition to change which he will
encounter from all quarters. If he realizes in advance that such
opposition is as certain to manifest itself as it is certain that it
takes power to change the direction or speed of motion of a heavy
body, he will have possessed himself of one of the laws of successful
management.
Public-domain text, read in full here on John Shaqi.
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