Fredrick Taylor's Rules

In 1890, there was a huge cocktail party in Pittsburgh with all of the movers and shakers of the city, including Andrew Carnegie. Carnegie held court in the corner of the room, smoking a cigar when Frederick Taylor, the man who was becoming famous as an expert on organizing work, came up to him to say hello. “Young man,” Carnegie said, squinting dubiously at the consultant, “if you can tell me something about management that is worth hearing, I will send you a check for $10K.”

Now, $10K was a great deal of money in 1890. Conversations stopped as the people nearby turned to hear what Taylor would say. “Mr. Carnegie,” Taylor said, “I would advise you to make a list of the 10 most important things you can do. And then, start doing No. 1.”

And, the story goes, a week later Taylor received a check for $10K. What Taylor told Carnegie was simple, clear, concise and doable. Taylor’s scientific management theory, also called classical management, emphasizes efficiency. It had several principles that are still relevant today:

Break Down Assignments into Subtasks

Rather than assigning an entire project to one individual and allowing he or she the proper time to complete it, managers break down larger tasks into smaller parts. These subtasks are meant to make the process more organized and efficient, as multiple employees work on one assignment — each taking care of their own piece.

Delegate Responsibilities and Train Workers

Executives measure the most efficient way to do a given task, then delegate the subtasks only to employees with the proper skills and abilities. Those workers are then trained by management.

Workers' roles tend to be specific and fixed, and their tasks basic and repetitive. Often, employees feel insignificant, completing the same chore hours on end. But to Taylor, each worker plays a crucial role in the company's success.

Monitor Performance

Supervisors ensure each worker below them is doing their job efficiently; and if a more productive practice is discovered, workers are re-trained to implement those methods into their work.

Because employees must repeat the same mundane tasks, incentives are high. Workers are motivated to deliver quality work because they are financially rewarded based on their performance. The more efficient the worker is, the higher their pay will be.

Allocate Work Between Managers and Employees

Most companies have various levels of workers, from supervisors to part-timers. Typically, the more experience and drive you have, the more likely you are to land an executive position. This is how much of the business world operates.

Taylor believed in being specific, being detailed so that everyone understand their job. He was a big believer in “Do your Job,” before the Patriots’ Bill Belichick made it famous. But like Belichick, Taylor wanted no grey areas in everyone understanding their specific roles.

The advice from Taylor proves once again Carnegie made smart decisions.

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