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How do Taylor and Scientific Management fit into the American business system of 100
years ago?
American business environment of 100 years ago represents a period of transition in the
organization of production pushed by increased competition, new technology, and growing
consciousness of the potential of the factory. This situation was the inspiration of many
people to find ways to improve organization and management to improve productivity.
Those years were characterized by inefficient Rule of Thumb, the methods were handed
down from man to man by word of mouth, or have, in most cases, been unconsciously
learned through personal observation. There was no standardization of tasks. Foremen
were in charge of the powerful function of hiring and firing, function susceptible to
nepotism, favoritism, and arbitrary. Prevails the idea that Captains of industry are born, not
made, so that management training was not common. Underworking or working slowly
deliberately existed because workers soldiered on the job to protect themselves from
pressure and rate cutting, another reason for underworking was the defective systems of
management, and also time lost by machine operators in nonproductive works. There was
no specialization in the tasks. There was not a centralized organization that controls the
operations in the companies. Interest of company owners and employees were not aligned,
which results in lack of productivity.
When talking about US business we also should talk about US culture, US Americans are
very competitive. They have a highly individualistic orientation, learning from an early
age that they must learn to make their own choices and solve their own problems. They
