5.2.2
Taylor's Theory
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Taylor's Theory on Motivation
Taylor suggests that to motivate employees they should be paid based on the amount of output they have produced.
Taylor's approach
- Taylor called his approach piece-rate pay and found that if employees were paid more for being more productive, they would, in turn, become more motivated and engaged with their job as there was an opportunity for employees to increase the amount they earnt.
- For example, a factory may pay its employees £2 for every complete unit produced, or £1 for every item added to a product on an assembly line.
Advantages of Taylor's theory
- Taylor’s theory may improve productivity which means a business can reduce its costs by employing fewer employees.
Disadvantages of Taylor's theory
- Taylor’s theory means that employees may rush during the production process leading to mistakes and errors.
- Taylor’s theory means that employees may become bored with completing the same task over and over again.
1Exploring Business
1.1Features of Business Organisations
1.2Organisation of Businesses
1.3Business Environment
1.3.1External Influences1.3.2Political & Legal Change1.3.3Economic Environment1.3.4Social & Technological Environment1.3.5Lifestyle & Technological Environment1.3.6Corporate Social Responsibility1.3.7The Competitive Environment1.3.8Innovation1.3.9Risk & Uncertainty1.3.10Porter's Five Forces1.3.11SWOT Analysis
2Marketing Campaigns
2.1Marketing
3Business Finance
3.1Sources of Finance
3.2Financial Planning
3.3Financial Statements
4International Business
4.1Globalisation
4.2International Business
4.3International Economic Environment
4.4Factors Affecting International Business
5Principles of Management
5.1Management & Leadership
5.2Theories of Motivation
6Business Decision Making
6.1Business Principles & Practices
6.2Quality Management
6.3Human Resources
6.4Documents & Business Decisions
Jump to other topics
1Exploring Business
1.1Features of Business Organisations
1.2Organisation of Businesses
1.3Business Environment
1.3.1External Influences1.3.2Political & Legal Change1.3.3Economic Environment1.3.4Social & Technological Environment1.3.5Lifestyle & Technological Environment1.3.6Corporate Social Responsibility1.3.7The Competitive Environment1.3.8Innovation1.3.9Risk & Uncertainty1.3.10Porter's Five Forces1.3.11SWOT Analysis
2Marketing Campaigns
2.1Marketing
3Business Finance
3.1Sources of Finance
3.2Financial Planning
3.3Financial Statements
4International Business
4.1Globalisation
4.2International Business
4.3International Economic Environment
4.4Factors Affecting International Business
5Principles of Management
5.1Management & Leadership
5.2Theories of Motivation
6Business Decision Making
6.1Business Principles & Practices
6.2Quality Management
6.3Human Resources
6.4Documents & Business Decisions
Practice questions on Taylor's Theory
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- 1What is the advantage of Taylor's theory?Multiple choice
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