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Chapter 10Production and Operations ManagementBrainstormingToyota is an example of successful operations management at a global scale. These 10 decisions indicate the different areas of the business that require strategic approaches. Can you give more explanations to each practice according to your own thinking? What other areas do you think the operations management should involve?Text A The Principles of Scientific Management The Principal Object of ManagementTo secure the maximum prosperity for the employer, coupled with the maximum prosperity for each employeeFundamentals of Scientific Management The Nature of Maximum ProsperityMaximum prosperity isLarge dividends for the company or ownerThe development of every branch of the business to its highest state of excellence, so that the prosperity may be permanentHigher wages for employers than are usually received by men of his classThe development of each man to his state of maximum efficiency, so that he may be able to do or be given the highest grade of work for which his natural abilities fit himFundamentals of Scientific Management Three Causes for InefficiencyFirst, the fallacy, which has from time immemorial been almost universal among workmen, that a material increase in the output of each man or each machine in the trade would result in the end in throwing a large number of men out of work.Second, the defective systems of management which are in common use, and which make it necessary for each workman to soldier, or work slowly, in order that he may protect his own best interests.Third, the inefficient rule-of-thumb methods, which are still almost universal in all trades, and in practicing which our workmen waste a large part of their effort.The Best Type of Ordinary Management Is defined as management in which the workmen give their best initiative and in return receive some special incentive from their employers.The Best Type of Ordinary Management The Type of Management Initiative and incentive managem
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